HK Stock Market Move | Dongfang Electric Corporation (01072) rose over 5% in early trading. Institutions are optimistic about the profit elasticity of G50 self-owned gas engine going overseas.

Dongfang Electric Corporation (01072) rose by over 5% in the morning session, with an increase of 5.29% as of the time of publication, reaching 39.02 Hong Kong dollars, with a turnover of 270 million Hong Kong dollars. On the news front, on April 30th, Dongfang Electric Corporation and a North American customer held a signing ceremony for the export of its independent gas turbines at the Dongfang Turbine Factory. The signing involved a volume of 10 sets of 50MW G50 independent gas turbines for the first phase of the cooperation project. It is reported that the board of directors has agreed for Dongfang Turbine to carry out a core capacity enhancement project for independent gas turbines, with an expected capacity of 20-30 independent turbines by early 2028. Huatai believes that in the current tight global gas turbine production context, Dongfang Electric Corporation is expected to benefit greatly, and sees the future overseas orders gradually contributing to profit elasticity. In February 2025, the company announced a three-year shareholder return plan, stating that on the basis of the dividend ratio in 2024, the dividend ratio in 2025-27 will increase by at least 1 percentage point each year.