Hong Kong's Power Assets H1 profit jumps 383% on UK asset sales
Hong Kong's Power Assets H1 profit jumps 383% on UK asset sales
Overview
Hong Kong utility investor's H1 net income rose 383% yr/yr on UK asset divestments
H1 revenue reached HK$298 mln yr/yr
Company declared interim dividend of HK$0.78 per share, unchanged from last year
Outlook
Power Assets to focus on new investment opportunities in mature regulated energy markets
Company says renewables and sustainable energy will be key areas for future investment
Power Assets plans to build on partnerships with CK Group for new investment opportunities
Result Drivers
UK ASSET DIVESTMENTS - Net income surged due to divestment of interests in UK Power Networks and UK Rails
UK PORTFOLIO PERFORMANCE - UK portfolio profit contribution rose 661%, mainly due to asset sales and operational performance
STABLE REGULATED RETURNS - Other regulated asset portfolios delivered stable or improved returns, supporting overall results
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
H1 Revenue |
| HK$298 mln |
|
H1 Net Income Attributable |
| HK$14.70 bln |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the electric utilities peer group is "buy"
Wall Street's median 12-month price target for Power Assets Holdings Limited is HK$65.00, about 13% above its August 11 closing price of HK$57.50
The stock recently traded at 19 times the next 12-month earnings vs. a P/E of 20 three months ago
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)