HK Stock Market Move | Thermal power stocks collectively decline, institutions point out that thermal power had a steady start in the first quarter, but its performance may face pressure in the second quarter.

Thermal power stocks collectively fell, as of press time, DATANG POWER (00991) fell by 7% to HK$2.79; Huadian Power International Corporation (01071) fell by 4.79% to HK$4.37; Huaneng Power International, Inc. (00902) fell by 3.85% to HK$6.49. On the news front, in April, the electricity generation of industrial enterprises above designated size reached 744 billion kilowatt-hours, an increase of 2.6% year-on-year, with a growth rate 1.2 percentage points faster than that in March; the daily average electricity generation was 248.0 billion kilowatt-hours. Among them, the electricity generation of industrial enterprises above designated size grew by 3.1% year-on-year, with a growth rate slowing down by 1.1 percentage points compared to March. Huayuan Securities released a research report stating that the net profit attributable to shareholders of thermal power in 2025 reached a historical high, and the first quarter of 2026 started steadily. It is expected that in the second quarter, thermal power operators may face performance pressure due to rising coal prices and the off-peak season for electricity consumption, but in the third quarter, they may frequently reflect their demands for price increases during the peak electricity consumption season. It is optimistic about the year-end electricity price negotiations for thermal power, and thermal power operators are expected to see EPS and PE improvement together in the electricity price restoration cycle and the supply and demand improvement cycle.