# Huaneng Power International (600011.SHG)

Canonical: https://gigainvestors.com/s/600011.SHG

Analysis as of: 2026-10-16T07:34:53.880Z. Financial observations: FY1996–FY2025.

Listing currency: CNY. Reporting currency: CNY.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: fail; earnings resilience is evidence only). Published buy qualification: no.

Share price: CNY 7.52 per share; close as of 2026-10-15.

## Checklist

### understandable: fail

- 3 revenue declines in the last 10 years (informational)

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 3

- Years with a net loss: 2

- Operating margin variation: 1.52×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.13×

- FY2017: 0.03×

- FY2018: 0.02×

- FY2019: 0.03×

- FY2020: 0.06×

- FY2021: -0.07×

- FY2022: -0.04×

- FY2023: 0.05×

- FY2024: 0.08×

- FY2025: 0.13×

### moat: fail

- ROIC median below threshold

- ROIC worst years below threshold (more than 1 bad year allowed)

- ROIC, median of available years: 1.4%

- ROIC, second-lowest year: -2.2%

- Typical minus recent gross margin: -1.8 pp

- Typical gross margin (annual median): 13.3%

- Recent gross margin (lower of latest and 3-year median): 15.1%

- Years with nonpositive capital: 0

- Capital spending / revenue: 20.2%

- ROIC including acquisitions, ten-year median: -2.1%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 5.4%

- FY2017: 0.9%

- FY2018: 0.8%

- FY2019: 0.9%

- FY2020: 1.9%

- FY2021: -3.0%

- FY2022: -2.2%

- FY2023: 3.3%

- FY2024: 4.0%

- FY2025: 5.7%

### economics: fail

- owner earnings cash conversion below threshold

- incremental invested capital return below threshold

- Owner earnings / net income, 5-yr: -3.93×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: CNY -61B

- Net income, five-year total: CNY 16B

- Return on incremental invested capital: 3.3%

- Working capital / revenue, annual change: 0.9 pp

- Working capital / revenue, change between three-year averages: 5.8 pp

- Working capital / revenue, final three-year average: 19.4%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 1.14×

- FY2022: 1.14×

- FY2023: -1.60×

- FY2024: -1.82×

- FY2025: -0.66×

### management: fail

- Historical market-dollar context (not the management verdict): 2016 to 2025 (9 years)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 0.9% vs 4.0%

- Per-share earnings: 0.68 to 0.65 (three-year endpoint medians)

- per-share value declined or ends nonpositive

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 0.3%

- Ordinary dilution, 5-year annual growth: 0.0%

- Market cap gain: CNY 9.9B

- Cumulative retained earnings: CNY -15B

- Diluted shares, 10-year annual growth: 0.3%

- Diluted shares, 5-year annual growth: 0.0%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value growth: -0.7%

- Per-share value change: CNY -0.04

- Per-share value, starting three-year median: CNY 0.68

- Per-share value, ending three-year median: CNY 0.65

- Buyback history: 0 years

- Debt-funded buybacks: No

- Acquisition spending: CNY 24B

- Cumulative net income, 10 years: CNY 35B

- ROIC, first three-year median: 0.9%

- ROIC, last three-year median: 4.0%

Chart: Earnings per share; fiscal year observations.

- FY2016: CNY 0.68

- FY2017: CNY 0.11

- FY2018: CNY 0.09

- FY2019: CNY 0.10

- FY2020: CNY 0.29

- FY2021: CNY -0.64

- FY2022: CNY -0.47

- FY2023: CNY 0.54

- FY2024: CNY 0.65

- FY2025: CNY 0.92

### accounting: pass

- Sloan accruals: -8.7%

- Receivables to sales index (DSRI): 1.18×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 0.0%

- Earnings backed by cash: Yes

- Operating cash / earnings: 4.71×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.49×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -8.7%

- FY2017: -7.1%

- FY2018: -6.5%

- FY2019: -8.3%

- FY2020: -8.6%

- FY2021: -3.2%

- FY2022: -7.9%

- FY2023: -6.8%

- FY2024: -6.9%

- FY2025: -8.7%

## Holders

## Price story

Down 26% since May 2023 · sales -7%

Story as of 2026-10-16T10:00:02.932Z; price observation 2026-10-15.

### Sales · FY2024–2025

sales -7%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: CNY 138B 

- FY2017: CNY 153B 

- FY2018: CNY 170B 

- FY2019: CNY 174B 

- FY2020: CNY 169B 

- FY2021: CNY 205B 

- FY2022: CNY 247B 

- FY2023: CNY 254B 

- FY2024: CNY 246B 

- FY2025: CNY 228B 

### Gross margin · FY2025

gross margin 17.8%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: 21.8% 

- FY2017: 11.3% 

- FY2018: 11.2% 

- FY2019: 14.6% 

- FY2020: 17.4% 

- FY2022: 3.0% 

- FY2023: 12.1% 

- FY2024: 15.1% 

- FY2025: 17.8% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in utilities independent power producers; annual sales are CNY 228.4 billion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:53.880Z); FY2025: revenue 228413131000; grossProfit 40558572000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 600011.SHG: Huaneng Power International, Inc., together with its subsidiaries, generates and sells electric power to the regional or provincial grid companies in the People's Republic of China, the Islamic Republic of Pakistan, and internationally. The company develops, constructs, operates, and manages coal-fired and gas-fired power plants, as well as is involved in the business of new energy generation projects and supporting ports, shipping, incremental distribution grid, and other facilities. It also provides port, transportation, maintenance, and heating pipeline services. It has installed power generation capacity of 155,869 MW, including natural gas power, hydropower, wind power, and solar power. The company was incorporated in 1994 and is based in Beijing, the People's Republic of China.

### Why customers stay

Margins ranged from 12.1% to 17.8% during 2023–25; it earns 1.4% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:53.880Z); FY2023: grossProfit / revenue = 12.1%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:53.880Z); FY2024: grossProfit / revenue = 15.1%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:53.880Z); FY2025: grossProfit / revenue = 17.8%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:53.880Z); 10-year return on capital observations [[2016,0.05436015652010529],[2017,0.008532329324503367],[2018,0.008047066061296454],[2019,0.008958813289475353],[2020,0.018798190738169775],[2021,-0.030227843720015447],[2022,-0.021623114959159376],[2023,0.03330775973420317],[2024,0.04029461872635641],[2025,0.056927973112524566]]; median 0.013878502013822564. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 10 of 10 years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:53.880Z); FY2016: growth capex 7957425000; upkeep 18329588000; owner earnings 10382414000. Growth capex / owner earnings = 0.7664330280029288.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:53.880Z); FY2017: growth capex 6738820000; upkeep 19424327000; owner earnings 1742482000. Growth capex / owner earnings = 3.8673685007936953.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:53.880Z); FY2018: growth capex 879581000; upkeep 19827444000; owner earnings 1438881000. Growth capex / owner earnings = 0.6112951661742702.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:53.880Z); Dividend observations: [[2016,16620598000],[2017,14522196000],[2018,12552534000],[2019,13242631000],[2020,13732835000],[2021,15099873000],[2022,13013653000],[2023,11657624000],[2024,14315972000],[2025,4238485000]]. Zero only counted when supported by a complete cash-flow statement.

### Are managers owners

Insiders own 73.1% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 600011.SHG SharesStats.PercentInsiders = 73.051 percentage points; cache date 2026-10-16.

### What the price says

The price is 0.5 times annual sales; cash earnings are negative.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:53.880Z); Closing price 7.52 CNY; reporting-to-trading FX 1; FY2025 annual sales per share 14.550374430830548; price multiple 0.5168251879529641. FY2025 cash earnings/share -0.6059185926863428. Closing-price date 2026-10-15.

## Monthly share-price history (CNY per share)

- 2016-10: CNY 7.15 per share

- 2016-11: CNY 7.66 per share

- 2016-12: CNY 7.05 per share

- 2017-01: CNY 7.27 per share

- 2017-02: CNY 7.73 per share

- 2017-03: CNY 7.17 per share

- 2017-04: CNY 7.80 per share

- 2017-05: CNY 7.79 per share

- 2017-06: CNY 7.34 per share

- 2017-07: CNY 7.34 per share

- 2017-08: CNY 7.15 per share

- 2017-09: CNY 6.94 per share

- 2017-10: CNY 6.73 per share

- 2017-11: CNY 6.33 per share

- 2017-12: CNY 6.17 per share

- 2018-01: CNY 6.31 per share

- 2018-02: CNY 6.19 per share

- 2018-03: CNY 6.87 per share

- 2018-04: CNY 6.26 per share

- 2018-05: CNY 7.03 per share

- 2018-06: CNY 6.36 per share

- 2018-07: CNY 7.56 per share

- 2018-08: CNY 7.02 per share

- 2018-09: CNY 7.71 per share

- 2018-10: CNY 6.46 per share

- 2018-11: CNY 6.90 per share

- 2018-12: CNY 7.38 per share

- 2019-01: CNY 6.42 per share

- 2019-02: CNY 6.89 per share

- 2019-03: CNY 6.56 per share

- 2019-04: CNY 6.48 per share

- 2019-05: CNY 6.50 per share

- 2019-06: CNY 6.23 per share

- 2019-07: CNY 6.52 per share

- 2019-08: CNY 6.30 per share

- 2019-09: CNY 5.80 per share

- 2019-10: CNY 5.70 per share

- 2019-11: CNY 5.99 per share

- 2019-12: CNY 5.58 per share

- 2020-01: CNY 5.41 per share

- 2020-02: CNY 4.70 per share

- 2020-03: CNY 4.69 per share

- 2020-04: CNY 4.22 per share

- 2020-05: CNY 4.33 per share

- 2020-06: CNY 4.22 per share

- 2020-07: CNY 4.69 per share

- 2020-08: CNY 5.51 per share

- 2020-09: CNY 5.41 per share

- 2020-10: CNY 4.88 per share

- 2020-11: CNY 5.14 per share

- 2020-12: CNY 4.48 per share

- 2021-01: CNY 4.17 per share

- 2021-02: CNY 4.03 per share

- 2021-03: CNY 4.41 per share

- 2021-04: CNY 4.22 per share

- 2021-05: CNY 4.21 per share

- 2021-06: CNY 4.22 per share

- 2021-07: CNY 3.83 per share

- 2021-08: CNY 5.55 per share

- 2021-09: CNY 8.27 per share

- 2021-10: CNY 7.71 per share

- 2021-11: CNY 6.21 per share

- 2021-12: CNY 9.69 per share

- 2022-01: CNY 7.40 per share

- 2022-02: CNY 8.77 per share

- 2022-03: CNY 6.91 per share

- 2022-04: CNY 7.30 per share

- 2022-05: CNY 7.39 per share

- 2022-06: CNY 7.04 per share

- 2022-07: CNY 7.02 per share

- 2022-08: CNY 8.18 per share

- 2022-09: CNY 7.59 per share

- 2022-10: CNY 6.70 per share

- 2022-11: CNY 7.75 per share

- 2022-12: CNY 7.61 per share

- 2023-01: CNY 7.48 per share

- 2023-02: CNY 8.17 per share

- 2023-03: CNY 8.57 per share

- 2023-04: CNY 9.70 per share

- 2023-05: CNY 10.18 per share

- 2023-06: CNY 9.26 per share

- 2023-07: CNY 8.60 per share

- 2023-08: CNY 8.15 per share

- 2023-09: CNY 7.87 per share

- 2023-10: CNY 7.61 per share

- 2023-11: CNY 7.71 per share

- 2023-12: CNY 7.70 per share

- 2024-01: CNY 8.76 per share

- 2024-02: CNY 8.82 per share

- 2024-03: CNY 9.38 per share

- 2024-04: CNY 9.36 per share

- 2024-05: CNY 8.96 per share

- 2024-06: CNY 9.62 per share

- 2024-07: CNY 7.95 per share

- 2024-08: CNY 6.94 per share

- 2024-09: CNY 7.71 per share

- 2024-10: CNY 7.26 per share

- 2024-11: CNY 6.97 per share

- 2024-12: CNY 6.77 per share

- 2025-01: CNY 6.44 per share

- 2025-02: CNY 6.72 per share

- 2025-03: CNY 6.92 per share

- 2025-04: CNY 7.16 per share

- 2025-05: CNY 7.23 per share

- 2025-06: CNY 7.14 per share

- 2025-07: CNY 7.33 per share

- 2025-08: CNY 7.38 per share

- 2025-09: CNY 7.06 per share

- 2025-10: CNY 8.13 per share

- 2025-11: CNY 7.78 per share

- 2025-12: CNY 7.46 per share

- 2026-01: CNY 7.06 per share

- 2026-02: CNY 7.24 per share

- 2026-03: CNY 7.02 per share

- 2026-04: CNY 6.99 per share

- 2026-05: CNY 8.87 per share

- 2026-06: CNY 7.59 per share

- 2026-07: CNY 7.19 per share

- 2026-08: CNY 6.68 per share

- 2026-09: CNY 7.04 per share

- 2026-10: CNY 7.27 per share

## Annual estimated value (CNY per share)

- FY2016: low CNY 4.08 per share, central CNY 5.42 per share, high CNY 6.29 per share

- FY2017: low CNY 3.91 per share, central CNY 4.39 per share, high CNY 5.04 per share

- FY2018: low CNY 4.76 per share, central CNY 6.08 per share, high CNY 6.98 per share

- FY2019: low CNY 2.00 per share, central CNY 2.19 per share, high CNY 2.45 per share

- FY2020: low CNY 1.67 per share, central CNY 1.80 per share, high CNY 1.99 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

## Sources

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.