Executive Summary
China Everbright Greentech delivered a modest year-over-year revenue decline in QQ1 2025 alongside a meaningful improvement in gross profit and profitability metrics. Revenue stood at HKD 1.70 billion, down 3.01% year over year and 2.05% quarter over quarter, while gross profit rose 25.8% YoY and 10.0% QoQ to HKD 428.4 million, lifting the gross margin to 25.20%. Operating income reached HKD 270.1 million with an operating margin of 15.89%, supported by controlled operating expenses and ongoing project activity. Net income was HKD 95.4 million, up 32.6% YoY and 134.1% QoQ, reflecting improved operating leverage and other income dynamics.
Key Performance Indicators
QoQ: 134.11% | YoY:32.56%
QoQ: 133.00% | YoY:32.76%
Key Insights
Revenue: HKD 1,700.06 million; YoY -3.01%, QoQ -2.05%
Gross Profit: HKD 428.39 million; YoY +25.79%, QoQ +10.02%; Gross Margin 25.20%
Operating Income: HKD 270.10 million; YoY +17.78%, QoQ +4.02%; Operating Margin 15.89%
EBITDA: HKD 593.54 million; EBITDA Margin 34.91%
Net Income: HKD 95.40 million; YoY +32.56%, QoQ +134.11%; Net Margin 5.61%
EPS (HKD): 0.0462; Diluted: 0.0462; Weighted Avg Shares: ~2.066 billion
Operating Cash Flow: HKD 402.89 million
Capital Expenditures: HKD -105.88 million
F...
Financial Highlights
Revenue: HKD 1,700.06 million; YoY -3.01%, QoQ -2.05%
Gross Profit: HKD 428.39 million; YoY +25.79%, QoQ +10.02%; Gross Margin 25.20%
Operating Income: HKD 270.10 million; YoY +17.78%, QoQ +4.02%; Operating Margin 15.89%
EBITDA: HKD 593.54 million; EBITDA Margin 34.91%
Net Income: HKD 95.40 million; YoY +32.56%, QoQ +134.11%; Net Margin 5.61%
EPS (HKD): 0.0462; Diluted: 0.0462; Weighted Avg Shares: ~2.066 billion
Operating Cash Flow: HKD 402.89 million
Capital Expenditures: HKD -105.88 million
Free Cash Flow: HKD 297.01 million
Cash & Equivalents: HKD 2,556.96 million; Total cash + ST investments: HKD 2,581.78 million
Total Assets: HKD 37,739.97 million; Total Liabilities: HKD 25,302.52 million; Total Equity: HKD 12,322.61 million
Total Debt: HKD 21,942.10 million; Net Debt: HKD 19,385.13 million
Current Ratio: ~1.30; Quick Ratio (approx): ~1.26
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
1.70B |
-3.01% |
-2.05% |
| Gross Profit |
428.39M |
25.79% |
10.02% |
| Operating Income |
270.10M |
17.78% |
4.02% |
| Net Income |
95.40M |
32.56% |
134.11% |
| EPS |
0.05 |
32.76% |
133.00% |
Management Commentary
Transcript data for QQ1 2025 were not provided in the prompt. Key management themes typically discussed in renewables-focused earnings calls include project pipeline execution, execution risk, regulatory and subsidy outlook for biomass and waste-to-energy in China, cost containment and margin expansion, capital allocation strategy, and balance sheet leverage. Pending access to the actual transcript, the following themes are anticipated: (1) project backlog and near-term revenue visibility; (2) capital expenditure plans and financing strategy given high net debt; (3) regulatory policy climate and tariffs/subsidies affecting biomass and WTE profitability; (4) any commentary on international pilots or expansion plans; (5) environmental remediation activities as a potential ancillary revenue stream.
Transcript quotes not provided in the data.
— Management
Transcript quotes not provided in the data.
— Management
Forward Guidance
Management guidance for QQ1 2025 was not disclosed in the provided data. The company faces a high leverage profile (net debt ~HKD 19.39 billion against quarterly EBITDA of HKD 0.594 billion, implying elevated interest and refinancing risk if this level persists). The near-term outlook will hinge on: (i) continued cash flow generation from operating activities to deleverage gradually; (ii) the ability to secure favorable financing terms for project development; (iii) policy support for WTE and biomass in China and any shifts in environmental remediation and related services. Investors should monitor: project pipeline and completion cadence, receivables aging and collection efficiency, capex plans and funding sources, and any refinancings/maturity risk on long-term debt.