12
20 March, 2015 2014 Annual Results Presentation
20 March, 2015
2014
Annual Results Presentation
Disclaimer
Huaneng Renewables Corporation Limited
This document has been prepared by Huaneng Renewables Corporation Limited (the “Company”) solely for information use during its presentation held in connection with the release of its 2014 annual results announcement and may not be taken away, reproduced, redistributed or passed on, directly or indirectly, to any other person (whether within or outside your organization/firm) or published in whole or in part, for any purpose The information contained in this document has not been independently verified. This document does not purport to be comprehensive or to contain all the information that a recipient may need in order to evaluate the Company and its subsidiaries (the “Group”). No representation or warranty expressed or implied is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of such information or opinions presented or contained herein. The information and opinions contained in this document are provided as of the date of this presentation, are subject to material change without notice and will not be updated or otherwise revised to reflect any developments, which may occur after the date of the presentation. The accuracy of the information and opinions contained in this document is not guaranteed. Neither the Company, nor any of its respective affiliates or any of its directors, officers, employees, advisers or representatives shall have any liability whatsoever (in negligence or otherwise) for any loss howsoever arising from any information contained or presented in this document or otherwise arising in connection with this document. It is not the intention to provide, and you may not rely on these materials as providing, a complete or comprehensive analysis of the Company’s financial or trading position or prospects. This document contains statements that reflect the Company’s current beliefs and expectations about the future as of the respective dates indicated herein. These forward-looking statements are based on a number of assumptions about the Company’s operations and factors beyond the Company’s control and are subject to significant risks and uncertainties, and, accordingly, actual results may differ materially from these forward-looking statements. These forward-looking statements are not a guarantee of future performance. Accordingly, you should not place undue reliance on any forward-looking information. The Company assumes no obligation to update or otherwise revise these forward-looking statements for new information, events or circumstances that occur subsequent to such dates This document does not constitute or form part of, and should not be construed as, an offer to sell or issue or the solicitation of an offer to buy or acquire securities of the Company or any holding company or any of its subsidiaries in any jurisdiction or an inducement to enter into investment activity. No part of this document, nor the fact of its distribution, shall form the basis of or be relied upon in connection with any investment decision, contract or commitment whatsoever.
1）Performance overview
2）2014 business review
3）2015 trends and targets
Performance overview in 2014
Huaneng Renewables Corporation Limited
2013 2014
59.09 61.51
（RMB 100 million）
Revenue
（RMB 100 million）
Adjusted EBITDA(1)
（RMB 100 million）
Net profit attributable to equity
shareholders
（RMB cents per share）
EPS
（%）
Net profit margin(2)
（RMB per KWH）
Wind power WA on–grid tariff （Inc. Tax)
2013 2014
46.76 54.48
2013 2014
9.13 11.21
2013 2014
10.66 12.39
2013 2014
17.0% 18.7%
2013 2014
0.594 0.598
（1）Adjusted EBITDA does not include other incomes （2）Net profit margin =net profit / revenue(does not include franchise construction revenue)
Performance overview
Power generation achieved steady growth through enhancing marketing approaches and improving equipment efficiency
Huaneng Renewables Corporation Limited
Region 2014 2013 Change(%)
Wind power generation 11,675,171.9 11,141,875.1 4.8%
including:: Inner Mongolia
2,795,683.6 3,096,665.0 -9.7%
Liaoning 2,057,122.2 2,115,846.7 -2.8%
Shandong 1,686,521.0 1,678,333.0 0.5%
Yunnan 1,546,919.3 1,126,898.3 37.3%
Shanxi 1,100,131.1 888,195.6 23.9%
Guizhou 676,062.7 593,546.0 13.9%
Guangdong 477,106.6 483,626.0 -1.3%
Hebei 503,080.6 523,297.0 -3.9%
Sichuan 43,078.2 - -
Xinjiang 534,315.8 370,618.1 44.2%
Jilin 103,668.8 108,408.5 -4.4%
Shanghai 116,963.2 129,098.6 -9.4%
Shaanxi 34,518.8 27,342.3 26.2%
Solar power generation 502,669.2 1,198.4 41,845.0%
Total 12,177,841.1 11,143,073.5 9.3%
（100 Gwh）
Geographical partition of gross power generation
Region 2014 2013 Change(%)
Wind power utilization hours 1,875 2,029 -7.6%
Inner Mongolia 1,627 1,810 -10.1%
Liaoning 1,730 1,908 -9.3%
Shandong 1,853 1,972 -6.0%
Yunnan 2,923 2,655 10.1%
Shanxi 1,896 2,252 -15.8%
Guizhou 1,594 2,092 -23.8%
Guangdong 1,882 2,085 -9.7%
Hebei 1,853 1,960 -5.5%
Sichuan 2,708 - -
Xinjiang 2,744 3,741 -26.7%
Jilin 1,841 2,190 -15.9%
Shanghai 1,949 2,152 -9.4%
Shaanxi 1,902 2,099 -9.4%
Solar power utilization hours 1,420 - -
（hours）
Weighted average utilization hours
2014 business review
Project construction proceeded effectively and the structural layout continuously optimize
Huaneng Renewables Corporation Limited
Yunnan 26%
Sichuan 19%
Guizhou 15%
Shanxi 8%
Guangdong
6%
other region
26%
（MW）
Distribution of newly added projects in 2014
（%）
Capacity proportion of Inner Mongolia, Liaoning
and Jilin province gradually decreasing
Solar 330.0
Solar 485.0
Wind 6,220.9
wind 7,526.4
6,550.9
2013 2014
1,305.5
155
（MW）
Total installed capacity
57.4 52.5
47.6 41.3
0.0
10.0
20.0
30.0
40.0
50.0
60.0
2011 2012 2013 2014
2014 business review
Breakthroughs in preliminary development and resources
reserved for future projects is sufficient
Huaneng Renewables Corporation Limited
Non-
curtailing
areas92%
Capacity in the 4th batch of approved national
planned wind power projects amount to 1,915MW
Approved photovoltaic projects of 253.5MW in 2014
Total approved wind power projects in of
2,037.5MW in 2014
Enhance the cooperation with wind power, solar power equipment manufacturing enterprises
80
60 50
23.5
20 20
Inner mongolia
Hebei
Xinjiang
Yunnan
Shanxi
Liaoning
Non-
curtailing
areas
80%
2014 business review
Remarkable operating management performance
Huaneng Renewables Corporation Limited
Target Liaoning Juliangtun WP project（48MW）
Date of
agreement
March 2014
Target Huaneng Ge’ermu phase 1-3 on-grid
photovoltaic power station (70MW)
Date of
completion
April 2014
Process of acquisitions in 2014
Issuer Huaneng Renewables Corporation Limited
Offering type Private placement
Date December 2014
Offering Size 698,780,832H shares （20% of outstanding shares prior to the
offering）
Net proceeds Approx. HK$1.72 billion
H-share private placement under general mandate
Financial management enhanced Technical support reinforced
Investor relations management
recognized by the market
Strengthen
capital
control
Expanding
financing
channels
Severe
financial
cost control
Initially completed 3 topics under national
project 863, building up a large number of
technological achievements in various aspects
Collaborated with professional scientific
institutions on establishment of joint workshop
to provide scientific basis for wind resources
assessment and project decision making
scientific achievements honored with industry
and national awards, innovative capability
recognized by wind industry
2014 business review
Coped with policy risk associated with wind power tariff reduction in a proactive and effective manner
Huaneng Renewables Corporation Limited
NDRC announced onshore wind
power tariff reduction 68% of newly installed projects in
2015 distributed in Zone I-III 53% of under construction Wind
power projects located in Zone I-III
by end of 2014
76%of 2014 approved projects were
located in Zone IV
70% of un-constructed projects
within four batches national pre-
approval plans located in Zone IV
85% of proposed project for 5th
batch of national pre-approval plans
located in Zone IV
Zone IV
47% Zone I-III
53%
Zone I-III 68%
Zone IV
76%
Zone I-III
24%
Zone IV
70%
Zone I-III
30% Zone IV
85%
Zone I-III
15%
On 07/01/2015, NDRC announced that
the standardized on-grid tariffs of new
on-shore wind farms in Zones I, II and
III in China will be lowered by Rmb
0.02 /kWh while that in Zone IV remain
unchanged. The new tariffs are
applicable to on-shore wind projects
approved after 01/01/2015 and the
ones approved before 01/01/2015 but
become operative after 01/01/2016.
Zone IV 32%
2014 business review
Present situations
Huaneng Renewables Corporation Limited
Reform of power sector will lead to more intensive market competition
The policy adjustment of wind power tariff affects the development of wind power projects in
partial regions
The general economic condition brings slackened growth of the gross electricity consumption
across whole society
Challenges
The fundamental direction of State for carrying out energy restructuring and vigorously
developing low-carbon green energy remains unchanged
The renewable portfolio standard has been submitted to the State Council, expected to be
implemented recently.
The UHV long-distance power transmission channel has been under rapid construction and
development
The renewable power industry has a bright future
Opportunities
2015trends and targets
Huaneng Renewables Corporation Limited
Key jobs in 2015
Strengthen resources development to promote a steady enhancement in sustainability
Promote the construction progress in full swing, and
accelerate the pace of transformation and upgrade
Stick to the economic efficiency-focused management
philosophy for continuous profitability enhancement
Continue to proceed management innovation to further
enhance the Company’s competitiveness
Focus on improvement of development efficiency and quality
Achieve synchronous growth of installed capacity and profitability
01
02
03
04
2015trends and targets
Thank you
