Huadian Power Gains as Profit Almost Triples: Hong Kong Mover
Huadian Power International Corp. (1071), China’s fourth-largest generator by market value, gained the most in four months in Hong Kong trading after the company said 2013 profit may have almost tripled.
The stock advanced 6.1 percent to HK$3.50 at 11:40 a.m. local time, the biggest gain since Sept. 11. Earlier, shares increased as much as 14 percent.
Profit rose about 170 percent to 195 percent last year from 2012, driven by increased power generation and lower fuel costs, the Beijing-based company said in statement yesterday, after the close of trade. Profit in 2012 was about 1.4 billion yuan ($231.3 million), it said.
“Due to the increase of the power generated by the company as compared with that of last year, and the drop in the unit fuel cost of the company, the profit of the company for the year 2013 is estimated to significantly increase,” Huadian Power said in the statement.
Nineteen analyst recommend buying the stock, 5 rate it a hold and one advises selling it, according to data compiled by Bloomberg. Huadian Power has rallied 23 percent in the last year, compared with the 3.6 percent decline in the benchmark Hang Seng Index.
To contact the reporter on this story: Aibing Guo in Hong Kong at firstname.lastname@example.org
To contact the editor responsible for this story: Jason Rogers at email@example.com