FORM 6-K
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16 of
the Securities Exchange Act of 1934
August, 2003
Huaneng Power International, Inc.
West Wing, Building C, Tianyin Mansion
No. 2C Fuxingmennan Street
Xicheng District
Beijing, 100031 PRC
This Form 6-K consists of:
An announcement on 2003 interim results by Huaneng Power Interna
tional Inc. made on August 6, 2003, in English by Huaneng Power International
Inc.
EXHIBIT 99.1
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[graphic logo omitted]
To: Business Editor
[For Immediate Release]
HUANENG POWER INTERNATIONAL, INC.
Announces 2003 Interim Results
Net Profit Increases 28.58% to RMB2,285 Million
(Beijing, China, August 6, 2003) Huaneng Power International, Inc. (the
"Company") [NYSE: HNP; HKEx: 902; SSE: 600011] today announced its unaudited
operating results for the six months period ended June 30, 2003.
Consolidated net profit of the Company and its subsidiary for the first half
of 2003 was RMB 2,285 million (equivalent to US$276 million), representing an
increase of 28.58% compared to the same period last year. Earnings per share
was RMB0.38 or RMB15.20 (equivalent to US$1.84) for each American Depositary
Share. The board of directors does not recommend any interim dividends for
year 2003.
The increase in profit is due to power generation increase of the Company's
power plants, as well as the Company's effective cost control measures. The
Company's average unit cost for power sold for the first half of 2003 was
decreased by 2.19% compared to the same period last year. The board of
directors of the Company is satisfied with the above operating results.
With the joint efforts made by the management and all the staff, the Company
achieved satisfactory results in all aspects in the first half of this year:
1. The Company's total power generation based on a consolidation basis for
the first half of the year was 41.079 billion kWh, an increase of 39.67%
over the same period last year.
2. The Company made breakthrough in acquiring power assets. i) The Company
entered into an agreement with Shenzhen Energy Group Co., Ltd. ("SEG")
and Shenzhen Investment Holding Corporation to acquire a 25% interest of
the enlarged share capital of SEG. The transaction was completed and it
enlarged the Company's market share in Guangdong Province, in particular
Shenzhen Municipality, an area with rapid economic growth and
substantial power demand. ii) The Company entered into a transfer
agreement with China Huaneng Group on June 5, 2003 about transferring
China Huaneng Group's equity interests in Henan Huaneng Qinbei Power
Generation Limited Liability Company, Shanxi Huaneng Yushe Power Limited
Liability Company and the entire assets and liabilities of China Huaneng
Group Xindian Power Plant. The acquisition and the connected
transactions ancillary thereto were approved by the extraordinary
general meeting on July 22, 2003, now pending the approvals from the
relevant government authorities. The Company believes that the
acquisition will bring increase in earnings per share for the Company.
3. In addition, i) the two environmental friendly 135 MW coal-fired
generating units (Units 5 and 6) of Jining Power Plant expansion project
(using Cycled Fluidized Bed Combustion Boilers) have completed their 168
hours full-load trial run on July 11 and August 5, 2003, respectively
and the generating unit 5 has commenced commercial operation. ii) The
two gas-fired generation projects in Shanghai and Jinling and the
expansion projects of Huaiyin Power Plant Phase II and Shantou Power
Plant Phase II, as well as Zhejiang Yuhuan Power Plant have made
progress on their preliminary work.
In the second half of year 2003, increasing power demand will put a lot of
pressure on the power supply, and the power tariff reform will be further
deepened. The management of the Company will continue to put optimization of
shareholders' interests as its operating objective, seizing the opportunities
and overcoming the difficulties. Accordingly, the management and all the staff
of the Company will make joint efforts to ensure the achievement of the annual
targets in terms of generation and operation as well as other aspects, and to
bring stable and growth return to all of its shareholders.
Huaneng Power International, Inc. develops, constructs, operates and manages
large thermal power plants in China nationwide, with a total generation
capacity of 14,915MW on an equity basis. The Company wholly owns 13 power
plants, and has controlling interests in three power plants and minority
interests in three power companies. Today, it is one of the largest
independent power producers in China.
~ End ~
For any details regarding the interim results, please refer to the
announcements published on Wen Wei Po and South China Morning Post dated
August 7, 2003. The soft copy of the announcement will also be made available
at the following websites: Hong Kong Stock Exchange: http://www.hkex.com.hk
The Company: http://www.hpi.com.cn
Encl: The unaudited condensed consolidated balance sheet and condensed
consolidated income statement of the Company and its subsidiary for the six
months period ended June 30, 2003, prepared under International Financial
Reporting Standards.
For further information, please contact:
Ms. Meng Jing / Ms. Zhao Lin
Huaneng Power International, Inc.
Tel: (8610) 6649 1856 / 1866
Fax: (8610) 6649 1860
Email: ir@hpi.com.cn
Ms. Christy Lai / Ms. Edith Lui
Rikes Communications Limited
Tel: (852) 2520 2201
Fax:(852) 2520 2241
EXHIBIT 99.2
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HUANENG POWER INTERNATIONAL, INC. AND ITS SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEET (UNAUDITED)
AS AT 30TH JUNE, 2003
(Amounts expressed in thousands of Rmb)
As of As of
30th June, 2003 31st December, 2002
------------------------ -------------------
(Rmb) (US$) (Rmb)
ASSETS
Non-current assets
Property, plant and equipment, net 39,582,291 4,781,972 41,103,468
Investment in an associates 2,656,942 320,988 200,960
Available-for-sale investments 254,990 30,806 254,990
Other long-term assets 1,054,040 127,340 1,067,838
Goodwill 130,847 15,808 126,560
Less: Negative goodwill (1,854,588) (224,054) (1,978,227)
----------- ---------- -----------
Total non-current assets 41,824,522 5,052,860 40,775,589
----------- ---------- -----------
Current assets
Inventories, net 925,284 111,784 923,341
Other receivables and assets, net 247,223 29,865 242,905
Accounts receivable 2,411,838 291,376 2,361,833
Restricted cash 11,870 1,434 13,259
Temporary cash investments 934,252 112,868 1,141,502
Cash and cash equivalents 1,011,849 122,242 3,002,601
Due from Huaneng Group 8,324 1,006 -
----------- ---------- -----------
Total current assets 5,550,640 670,575 7,685,441
----------- ---------- -----------
Total assets 47,375,162 5,723,435 48,461,030
=========== ========== ===========
EQUITY AND LIABILITIES
Shareholders' equity
4,250,000,000 PRC Domestic Shares,
par value Rmb 1.00 each,
in form of legal person shares 4,250,000 513,446 4,250,000
250,000,000 A Shares, par value
Rmb 1.00 each 250,000 30,203 250,000
1,527,671,200 (2002:1,500,273,960)
Overseas Listed Foreign
Shares, par value Rmb 1.00 each 1,527,671 184,559 1,500,274
Additional paid-in capital 10,780,133 1,302,357 10,604,843
Dedicated capital 3,373,423 407,546 3,373,423
Equity component of convertible notes 255 31 44,647
Retained earnings 10,628,670 1,284,059 10,392,873
----------- ---------- -----------
Total shareholders' equity 30,810,152 3,722,201 30,416,060
----------- ---------- -----------
Minority interests 857,711 103,621 910,704
----------- ---------- -----------
Non-current liabilities
Liability component of convertible notes - - 155,999
Long-term loans from shareholders 194,460 23,493 388,891
Long-term bank loans 7,477,104 903,316 8,464,521
Other long-term loans 391,389 47,284 331,389
Other financial liabilities 13,322 1,609 19,397
Deferred tax liabilities 112,492 13,590 121,853
----------- ---------- -----------
Total non-current liabilities 8,188,767 989,292 9,482,050
----------- ---------- -----------
Current liabilities
Accounts payable and other liabilities 3,527,392 426,150 3,734,350
Taxes payable 652,942 78,882 620,189
Due to HIPDC 34,560 4,175 100,475
Staff welfare and bonus payable 241,154 29,134 233,566
Short-term loans 200,000 24,162 550,000
Current portion of long-term loans
from shareholders 388,896 46,983 388,891
Current portion of long-term bank loans 2,060,638 248,947 1,928,732
Current portion of other long-term loans 349,953 42,278 96,013
Liability component of convertible notes 913 110 -
Dividend payable 62,084 7,500 -
----------- ---------- -----------
Total current liabilities 7,518,532 908,321 7,652,216
----------- ---------- -----------
Total equity and liabilities 47,375,162 5,723,435 48,461,030
=========== ========== ===========
For the convenience of the reader, translation of amounts from Renminbi (Rmb) into United States dollars (US$)
has been made at the rate of US$1.00=Rmb8.2774 announced by the People's Bank of China on 30th June, 2003.
No representation is made that Renminbi amounts could have been, or could be, converted into United States
dollars at that rate on 30th June 2003, or at any other certain rate.
HUANENG POWER INTERNATIONAL, INC. AND ITS SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENT OF INCOME (UNAUDITED)
FOR THE SIX MONTHS ENDED 30TH JUNE, 2003
(Amounts expressed in thousands of Rmb, except per share data)
For the six months ended 30th June,
--------------------------------------------------------------
2003 2002
------------------------------------ -----------------------
(Rmb) (US$) (Rmb)
Operating revenue, net 10,514,107 1,270,219 7,861,204
----------------- ----------------- -----------------------
Operating expenses
Fuel (4,031,851) (487,091) (2,862,970)
Maintenance (309,316) (37,369) (268,548)
Depreciation (2,046,390) (247,226) (1,579,206)
Labor (676,911) (81,778) (433,642)
Transmission fees (24,876) (3,005) (11,906)
Service fees to HIPDC (105,220) (12,712) (143,703)
Others (231,819) (28,006) (140,105)
----------------- ----------------- -----------------------
Total operating expenses (7,426,383) (897,187) (5,440,080)
----------------- ----------------- -----------------------
Profit from operation 3,087,724 373,032 2,421,124
----------------- ----------------- -----------------------
Interest income 32,329 3,906 73,021
Interest expense (305,968) (36,964) (266,684)
Bank charges and exchange losses, net (10,439) (1,261) (6,625)
----------------- ----------------- -----------------------
Total financial expenses (284,078) (34,319) (200,288)
----------------- ----------------- -----------------------
Share of profit (loss) of associates 62,897 7,599 (16,935)
Gain from disposal of investments 10,168 1,228 -
Other income, net 10,035 1,212 -
----------------- ----------------- -----------------------
Profit before tax 2,886,746 348,752 2,203,901
----------------- ----------------- -----------------------
Income tax expenses
The Company and its subsidiaries (512,522) (61,918) (381,966)
Associates (11,476) (1,386) -
----------------- ----------------- -----------------------
Total income tax expenses (523,998) (63,304) (381,966)
----------------- ----------------- -----------------------
Profit before minority interests 2,362,748 285,448 1,821,935
Minority interests (77,543) (9,368) (44,658)
----------------- ----------------- -----------------------
Net profit attributable to shareholders 2,285,205 276,080 1,777,277
================= ================= =======================
Basic earnings per share(Rmb) 0.38 0.05 0.30
================= ================= =======================
Diluted earnings per share(Rmb) 0.38 0.05 0.29
================= ================= =======================
For the convenience of the reader, translation of amounts from Renminbi (Rmb) into United States dollars (US$)
has been made at the rate of US$1.00=Rmb8.2774 announced by the People's Bank of China on 30th June, 2003.
No representation is made that Renminbi amounts could have been, or could be, converted into United States
dollars at that rate on 30th June, 2003, or at any other certain rate.
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
under- signed, thereunto duly authorized.
HUANENG POWER INTERNATIONAL, INC.
By /s/ Wang Xiaosong
-------------------------------
Name: Wang Xiaosong
Title: Vice Chairman
Date: August 8, 2003