Company Reports

In the first half of 2026, net profit at China Longyuan, China Three Gorges Renewables, and Datang Renewable fell 28%, 68%, and 59% year over year, respectively.

China Three Gorges Renewables is a subsidiary of China Three Gorges, the largest hydropower producer in the world and a leading renewable energy player in China. While other sister companies like China Yangtze Power focus on hydropower, CTGR concentrates on other renewable energy, including solar and wind. CTGR has a total generation capacity of about 52.4 gigawatts as of the end of 2025. The firm is also one of the largest offshore wind farm operators in China, with 7.5 GW of installed capacity at the end of 2025. Furthermore, CTGR owns about a 9.2% direct stake in Goldwind Science & Technology, a leading wind turbine manufacturer, as of the end of 2025.

China power utilities under our coverage have fallen more than 15% on average year to date, reversing a 3% gain in the first quarter, when optimism over artificial intelligence-driven data center power demand boosted sentiment.

China Three Gorges Renewables is a subsidiary of China Three Gorges, the largest hydropower producer in the world and a leading renewable energy player in China. While other sister companies like China Yangtze Power focus on hydropower, CTGR concentrates on other renewable energy, including solar and wind. CTGR has a total generation capacity of about 52.4 gigawatts as of the end of 2025. The firm is also one of the largest offshore wind farm operators in China, with 7.5 GW of installed capacity at the end of 2025. Furthermore, CTGR owns about 9.2% direct stake in Goldwind Science & Technology, a leading wind turbine manufacturer, as of the end of 2025.

China Three Gorges Renewables’ 2025 net profit fell 39% year on year, while its first‑quarter 2026 net profit declined 57%. Datang Renewable’s (including interest on perpetual notes and bonds) and China Longyuan’s first‑quarter net profit fell 51% and 14%, respectively.

Datang Renewable’s 2025 net profit fell 33%, while China Three Gorges Renewables’ preliminary net profit declined 40%, underscoring continued earnings pressure across the renewable energy sector.

Share prices of the China power utilities under our coverage have fallen by about 3% on average since late October, following the release of third-quarter results. This contrasts with an average 6% rise in the third quarter due to accelerated subsidy collections.

China Three Gorges Renewables is a subsidiary of China Three Gorges, the largest hydropower producer in the world and a leading renewable energy player in China. While other sister companies like China Yangtze Power focus on hydropower, CTGR concentrates on other renewable energy, including solar and wind. CTGR has a total generation capacity of about 48.0 gigawatts as of the end of 2024. The firm is also one of the largest offshore wind farm operators in China, with 7.0 GW of installed capacity at the end of 2024, representing about 17% of China’s total offshore wind capacity. Furthermore, CTGR owns about 9.2% direct stake in Goldwind Science & Technology, a leading wind turbine manufacturer, as of the end of 2024.

China Three Gorges Renewables' and Datang Renewable's cumulative nine-month net profits fell by 15% and 12%, respectively, despite total power generation increasing by 8% and 12%.

China Three Gorges Renewables' and Datang Renewable's first-half 2025 net profit fell by 5% and 3%, respectively, despite total power generation rising by 9% and 10%.

China Three Gorges Renewables is a subsidiary of China Three Gorges, the largest hydropower producer in the world and a leading renewable energy player in China. While other sister companies like China Yangtze Power focus on hydropower, CTGR concentrates on other renewable energy, including solar and wind. CTGR has a total generation capacity of about 48.0 gigawatts as of the end of 2024. The firm is also one of the largest offshore wind farm operators in China, with 7.0 GW of installed capacity at the end of 2024, representing about 17% of China’s total offshore wind capacity. Furthermore, CTGR owns about 9.2% direct stake in Goldwind Science & Technology, a leading wind turbine manufacturer, as of the end of 2024.

China Three Gorges Renewables saw its 2024 net profit decline by 15% year on year, while its first-quarter 2025 net profit rose by 1%. Meanwhile, Datang Renewable's first-quarter 2025 net profit (including interest on perpetual notes and bonds) fell by 4%.

China Three Gorges Renewables is a subsidiary of China Three Gorges, the largest hydropower producer in the world and a leading renewable energy player in China. While other sister companies like China Yangtze Power focus on hydropower, CTGR concentrates on other renewable energy including solar and wind. CTGR has a total generation capacity of about 48.0 gigawatts as of the end of 2024. The firm is also one of the largest offshore wind farm operators in China, with 7.0 GW of installed capacity at the end of 2024, representing about 17% of China’s total offshore wind capacity. Furthermore, CTGR owns about 9.2% direct stake in Goldwind Science & Technology, a leading wind turbine manufacturer, as of the end of 2024.

The share prices of Chinese power utilities under our coverage retreated by approximately 9% on average on April 7 due to weakened market sentiment amid uncertainties surrounding President Donald Trump's tariff policies.

After a short rally following China's stimulus announcement on Sept. 24, share prices of our China power utilities coverage retreated by about 20% on average since early October, as the market is likely disappointed with the lack of further government supportive measures.

Despite respective cumulative nine-month year-on-year total output growth of 31% and 2% for China Three Gorges Renewables and Datang Renewable, their earnings both fell 6% and 17% during the same period.

China Three Gorges Renewables is a subsidiary of China Three Gorges, the largest hydropower producer in the world and a leading renewable energy player in China. While other sister companies like China Yangtze Power focus on hydropower, CTGR concentrates on other renewable energy including solar and wind. CTGR has a total generation capacity of about 40.0 gigawatts as of the end of 2023. The firm is also one of the largest offshore wind farm operators in China, with 5.5 GW of installed capacity at the end of 2023, representing about 15% of China’s total offshore wind capacity. Furthermore, CTGR owns about 8.9% direct stake in Goldwind Science & Technology, a leading wind turbine manufacturer, as of the end of 2023.

China Three Gorges Renewables, or CTGR, is a subsidiary of China Three Gorges, the largest hydropower producer in the world and a leading renewable energy player in China. While other sister companies like China Yangtze Power focus on hydropower, CTGR concentrates on other renewable energy including solar and wind. CTGR has a total generation capacity of about 40.0 gigawatts as of the end of 2023. The firm is also one of the largest offshore wind farm operators in China, with 5.5 GW of installed capacity at the end of 2023, representing about 15% of China’s total offshore wind capacity. Furthermore, CTGR owns about 8.9% direct stake in Xinjiang Goldwind Science & Technology, a leading wind turbine manufacturer, as of the end of 2023.

China Three Gorges Renewables’ 11% drop in first-half net profit to CNY 4.0 billion was disappointing. While total power output grew 29% year on year, this was lower than capacity growth of 46%. We believe this is due to poor wind resources (which saw wind output only growing 12%), higher curtailment rates, and a drop in average tariff because of an increasing number of grid parity projects and share of power trading volume. We have witnessed a similar trend in results from our other renewable peers. Consequently, we cut our 2024-26 net profit forecasts by 11%-13% to factor in the weak results.

The year-to-date share price performance of China utilities under our coverage have generally staged a strong recovery since May, given improving sentiment in the Hong Kong equity market and their cheap valuations. In addition, the market is expecting more positive policy measures from the upcoming third plenary session in July. We have seen the National Energy Administration calling for increased investment in the national grid recently to avoid curtailment risk on the back of the significant rise in renewable energy capacity. While we are positive about this in the longer term, we caution that the concerns about slow subsidy settlements and falling tariffs will remain in the near term.