2013 interim result - dec-ltd.cn · pdf filethermal power: the 600mw ultra- supercritical cfb...
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Forward-looking Statement Disclaimer
This presentation and subsequent discussion may contain forward-looking
statements that involve risks and uncertainties. These statements typically use
"believe," "expects," "expect," "estimate," "plans," "anticipates," "target," "may,"
"will," forward-looking terminology to express or may be described as possible or
expected results of operations will occur in the future. You should not place undue
reliance on these apply only to the date of the forward-looking statements in this
report. These forward-looking statements based on our own information from the
sources which we believe is reliable. Such statements related to future events or
our future financial, business or other performance and are subject to a number
may cause actual results to differ materially from the uncertainties.
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Table of Contents
3 Prospects in the Latter Half of 2013
2 Status Quo of Core Business Development
1 The Overall State of Operation
5
1.2 Operating Performance in the First Half of 2013
New Energy
Equipment
Hydro power and
environmental protection Equipment
Engineering projects and services
Principle Operating Indexes 2012(Jan. to June. ) 2013 (Jan. to June.)
operating revenue RMB 20. 011billion RMB 20.467billion
Year-on-year increase/decrease of operating revenue 1.28% 2.28%
Net profit attributable to shareholders of the company RMB 1.244 billion RMB 1.186 billion
Year-on-year increase/decrease of net profit -19.11% -4.65%
Consolidated gross profit margin 19.35% 19.05%
Electric power equipment production volume 16551 MW 17705 MW
Earnings per share RMB 0.62 RMB 0.59
Cash and cash equivalents RMB 8.123 billion (by the end of June) RMB 9.959 billion (by the end of June)
The 2013 Interim Results Maintained Stable
High-efficient and clean energy generating equipment
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1.2 Highlights
3. Actual effect from tight control 1. Fair results despite adversity 2. Cash flow improved markedly
Steady Progress in Revenue
2.28%
Production Output Remain High
Unit: RMB Billion
Unit:10MW
7.0%
Year-on-year Up of Cash Flow
Year-on-year Up of Net Cash Flow
18.36亿
Costs Maintain Steady
YoY Down of Assets Depreciation loss
0.09亿
0.56亿
Unit: RMB Billion Unit: RMB Billion
Unit: RMB Billion Unit: RMB Billion
1H2012 1H2013 1H2012 1H2013 1H2012 1H2013
1H2012 1H2013
1H2012 1H2013
1H2012 1H2013
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1.3 Achievements in Market Expansion
High efficiency and clean energy generation equipment
New energy equipment
Hydro power and environmental protection Equipment
Engineering projects and services
2013 Interim New Orders and Orders in Hand
66.8%
6.3%
22.2%
4.7%
59.5%
7.3%
19.2%
14%
• Highlights achieved in the nuclear
markets where a series of VIP orders were settled;
• Gas power market maintained the leading position;
• 1000MW High-efficient-parameter boiler market maintained the leading position
• Duyen Hai Thermal Power Plant Phase III
realized EOC;
• Kazakhstan BTPP 2×660MW project symbolized DEC’s first entry into markets of Kazakhstan.
Domestic Markets
International Markets
New orders
Unit: RMB 100 million
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1.4 Accelerated Technological Innovation
Gas Power: R&D of 50MW F-class HD gas turbine is smoothly progressing
Thermal Power: the 600MW ultra-supercritical CFB Boiler was put into operation in Baima Power Plant.
• The first half of 2013, the
company applied and obtained 54
patents of which patents for
invention amounts to 26;
• Obtained 47 patent licensing, of
which patents for invention
amounts to 15
Hydro Power:Xiluodu Power Plant with 770MW per unit capacity of large-scale hydro turbine was officially put into operation
风电:5.5MW海上风机实现并网发电 Nuclear Power : R&D of TG package of SNPTC Large-scale Advanced PWR CAP1400 demonstration projects entered into development stage of substance.
Wind Power : 5.5MW offshore wind power project accomplished combination to the grid
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1.5 Steady Progress In Manufacturing And Engineering Projects
All the major engineering projects have witnessed marked progress and substantial breakthrough;
19 power plant projects are under construction with a total output capacity of 14518MW, of which 4 are
EPC projects.
• Two units of RABEC project obtained PAC
• The stator of the world largest per unit capacity-Taishan 1750MW Nuclear Project unit 1 finished manufacturing and delivered to the site
• HYH nuclear power plant phase I has been put into commercial operation
• Self-develped Xianyou pumped storage 300MW hydro power unit 1 and 2 successfully put into operation
• Bosnia Stanari project held kick-off meeting in May 2013.
• Indian Kalisindh project unit 1 was sucessfully combined to the grid
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2.1 Business Segments—Overall Review
2012 interim gross profit margin by segment
Analysis of revenue and gross profit margin by segment
10.33% 14.63%
14.50%
-5.83%
Unit:RMB100 Million High-efficient and clean energy generation equipment
• Revenue: down 5.83% YoY(thermal power down 2.68%、gas power down 23.13%、CI of Nuclear power down 18.94%)
• Gross margin: down 2.39% YoY (mainly attributable to downturn of gross margin in boiler and steam turbine)
New Energy
• Revenue:up 14.50% YoY(wind power up 23.51%)
• Gross margin:down 1.57% YoY (mainly due to downturn of price in wind power equipments )
Hydro power and environmental protection equipment
• Revenue : up 19.96% YoY(mainly due to upturn of environmental protection equipments)
• Gross margin :down 0.68%(mainly due to downturn of hydro power equipments)
Engineering projects and services • Revenue :up 10.33% YoY(projects up 4.56%、services up
27.18%) • Gross margin :up 3.76%(mainly due to margin increase in
services)
1H2012 1H2013
1H2012 1H2013
High efficiency and clean energy generation equipment
New energy equipment
Hydro power and environmental
protection equipment
Engineering projects and
services Consolidated
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2.2 High-efficient and Clean Energy Generating Equipments
清洁高效发电板块产品收入及毛利率 板块产品发展情况 Projects such as 2×1000MW
Shenhua Wanzhou phase II and 2×1000MW Shenhua Anqing boiler contracts became effective
1X660MW Indonesia Cilacap Phase II main contract signified the breakthrough in high-moisture supercritical lignitous coal boiler.
HYH nuclear power plant phase I has been put into commercial operation;
The stator of the world largest per unit capacity-Taishan 1750MW Nuclear Project unit 1 finished manufacturing and delivered to the site.
Mass production of gas power products have formed scale;
Despite a downturn of order intake YoY; the new order valued still over RMB 1 Billion.
-2.68%
-23.13% -18.94%
Revenue, breakdown and gross profit margin of high efficient and clean energy generating equipments
Segment product development achievements
1H2012
1H2013
1H2012 1H2013
Unit:RMB100 Million
Gas turbine equipment Nuclear power conventional island Thermal power equipment
Thermal power equipment
Nuclear power conventional island
Gas turbine equipment
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新能源板块产品收入及毛利率 板块产品发展情况
Obtained all the contracts from
restart of nuclear power program.
Capable of R&D 3rd Generation
nuclear power equipment
(EPR/AP1000/CAP1000)
simultaneously.
5.5MW offshore wind power
turbine put into operation;
Overall uplifting product quality
and after-sale services。
23.51%
-27.18%
Revenue, breakdown and gross profit margin of new energy equipments
Segment product development achievements
2.3 New Energy Equipments
1H2012 1H2013
1H2012
1H2013
Unit:RMB100 Million
Wind Power Nuclear power island
Wind Power
Nuclear power island
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水能与环保板块产品收入及毛利率 板块产品发展情况
Self-develped Xianyou pumped
storage 300MW hydro power unit
1 and 2 successfully put into
operation;
Xiluodu Power Plant with 770MW per
unit capacity of large-scale hydro
turbine was officially put into
operation
Marked increase in environmental protection industry;
Signed Henan Hebi 2×600MW units boiler denitration devices contract;
Orders of environmental protection devices in hand valued RMB 4.5 Billion
149.49%
-6.65%
Revenue, breakdown and gross profit margin of new energy equipments
Segment product development achievements
2.4 Hydro Power and Environmental Protection Equipments
Unit:RMB100 Million
1H2012
1H2013
1H2012 1H2013
Hydro power Environmental
protection equipment
Hydro power
Environmental protection equipment
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工程与服务板块产品收入及毛利率 板块产品发展情况
All the major engineering projects have witnessed marked progress and substantial breakthrough ;
Indian Kalisindh project unit 1 was sucessfully combined to the grid;
Two units of RABEC project obtained PAC ;
Bosnia Stanari project held kick-off meeting in May 2013.
Signed india MUNDRA power plant spare parts overhaul contracts and made VIP breathrough in overseas service market;
Orders of service contract in hand valued over RMB 1 Billion.
4.56%
27.18% 86.12%
Revenue, breakdown and gross profit margin of new energy equipments
Segment product development achievements
2.5 Engineering Projects And Services
Unit:RMB100 Million
1H2012 1H2013
1H2012
1H2013
Engineering Power plant services Others
Engineering
Power plant services
Others
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3.1 Industry Development Trends
单位:万千瓦
World:emerging markets and developing economies lead a pickup in growth
By 2020, the world total installed power generating
capacity is to reach 5470GW, with new orders of 830
GW(IEA);
Main sources of growth comes from China,
India, Indonesia, Vietnam and Brazil.
Brazil: hydro power
projects enjoy greater prospects
Indonesia: newly planned installed capacity in 2013 is 23.44GW
Vietnam: total Installed capacity of
51GW by 2015
India: “12th 5-year”plan
(2012-2017)electrical power capacity to reach 100GW,20GW annually on average
能源发展“十二五”规划(电力装机容量) China:sustained and stable growth in energy development
Energy development
“12th 5-year” plan
(installed power
generating capacity )
Unit:10MW
Breakdown of installed power
generating capacity plan
2010 2015
2010 2015
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3.2 Opportunities and Challenges Chinese Market Overseas Market
Opportunities
• Seek improvement while maintaining stability
• Clean energy, environmental protection devices
and power plant services shall welcome quicker
development.
Challenges • Demands for conventional power generation
equipments stay at low-level;
• The overall demand of power generation equipment shall witness a further downfall;
• A fierece competition in thermal power market; limited number of market orders in nuclear power; kick-off and promotion of gas power is constrained by price issues; wind power saw an excess production volume and still suffering adjustment.
机 遇
• A sluggish recovery of the global economy;
• Favorable exploration prospects in certain
countries or regions.
挑 战
• A flattened demand in overseas market for power generation equipments;
• Shortage of finance;
• Project safety, commercial and technical issues
• A heightened difficulties in overseas market exploration.
Opportunities
Challenges
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3.3 Prospects in the Latter Half of 2013 To highlight efficiency; to emphasize transformation; to manage risks; to guarantee sustainable development; The Company is expected to finish power generating equipments with total capacity of 33,000MW in 2013.
Measures taken to achieve the annual target
2 Strive to make technological breakthrough and accelerate R&D of critical products
1 Dedicated to expand markets home and abroad
5 To strengthen risk control and heighten project execution
4 To enhance capital management by increasing revenue and cutting expenditure
3 To reinforce quality control and uplift product quality