Huadian Energy (600726.SH): The adjustment of heating prices is expected to increase revenue by approximately 7.8 million yuan in 2024.

Huadian Energy (600726.SH) announced that its affiliated enterprises have received a notice from the Qiqihar City Development and Reform Commission, titled "Notice on Adjusting the Factory Price of District Heating and the Transmission Price of the First-Level Pipeline Network" (Qifaigai Rule [2024] No.1). This heating price adjustment involves four heating enterprises affiliated with the company, namely: Huadian Energy Co., Ltd. Fulaerji Power Plant, Huadian Energy Co., Ltd. Fulaerji Cogeneration Plant, Heilongjiang Huadian Qiqihar Thermal Power Co., Ltd., and Huadian Energy Co., Ltd. Qiqihar Heat Supply Branch. The heating price adjustment is as follows: 1. The heating factory price for cogeneration enterprises is adjusted to 40.01 yuan/joule (including tax). 2. The transmission price of the first-level heating network pipeline (including heat loss) is adjusted to 46.18 yuan/joule (including tax). Based on the company's preliminary estimates (unaudited), it is expected that after this heating price adjustment, the company's operating revenue in 2024 will increase by approximately 7.8 million yuan, with a total profit of approximately 6.5 million yuan.