Tianfeng Securities: Zhejiang Energy Power Generation maintains stable production capacity, maintaining a "buy" rating.

The Tianfeng Securities research report pointed out that Zhejiang Energy Power is expected to achieve a net profit attributable to shareholders of 7.753 billion yuan in 2024, an increase of 18.92% year-on-year; and achieve a net profit attributable to shareholders of 1.074 billion yuan in Q1 2025, a decrease of 40.81% year-on-year. The electricity generation volume remained stable, and the decrease in coal prices led to a continuous improvement in costs. The company completed an electricity generation volume of 173.952 billion kilowatt-hours for the whole year, an increase of 6.56% year-on-year; the average price of Q5500 coal at Qinhuangdao Port was approximately 855 yuan per ton, a decrease of approximately 110 yuan per ton year-on-year. The decline in coal prices drove a significant improvement in the company's sector profitability, with the power sector achieving operating income of 77.839 billion yuan in 2024, an increase of 2.25% year-on-year, achieving a gross profit of 10.099 billion yuan, an increase of 49.66% year-on-year. The company achieved an investment net income of 4.146 billion yuan in 2024, a decrease of 10.05% year-on-year, affecting overall performance. Considering the decline in electricity prices in Zhejiang Province, the profit forecast has been adjusted, and the "buy" rating is maintained.