VPower Group International Holdings Limited (“VPower Group”, SEHK: 1608), one of the largest private gas-fired engine-based distributed power generation (DPG) station owner and operator in Southeast Asia, is pleased to announce that, based on the currently available information, the Group expects the net profit for the year ended 31 December 2016 to increase significantly not less than 40%, when compared with the net profit for the year ended 31 December 2015 of HK$141.2 million. If excluding the one-off listing expense, the Group’s net profit would have been expected to increase not less than 70%.
The increase in the Group’s net profit is principally due to (i) significant year-on-year growth in the IBO segment revenue of not less than 80%; (ii) the increase in the Group’s overall gross profit margin, which was driven primarily by strong growth in the IBO business. The increases in the revenue and gross profit contribution are mainly from the following IBO projects:
Commencement of operation of 49.9 MW Kyauk Phyu II project in Myanmar in March 2016;
Commencement of operation of 149.8 MW Myingyan project in Myanmar in June 2016;
Commencement of operation of 56.4 MW Jambi project in Indonesia in September 2016; and
Full year operation in 2016 of 56.2MW Palembang and 49.9 MW Kyauk Phyu I projects, which commenced operations in 2Q and 1Q 2015 respectively.
Mr. Rorce AU YEUNG, Co-Chief Executive Officer of VPower Group, said, “The IBO business has become the Group’s growth engine as a result of our proactive IBO business expansion in recent years. The 3 new IBO projects launched in Myanmar and Indonesia in 2016 will commence full 12-month operation in 2017 and are expected to remain our growth drivers. Following the Group’s successful listing at the end of last year, we will continue to seek and develop more IBO projects in the Southeast Asia and other emerging markets by leveraging the funds raised through IPO. The Group will also strive to establish high-quality partnerships in order to expand our market share. We expect the Group to maintain its rapid business growth in the future so as to maximize returns to our shareholders.”
About VPower Group International Holdings Limited (Stock code: 1608)
VPower Group is one of the world’s leading large gen-set system integration providers, and Southeast Asia’s largest private gas-fired engine-based DPG station owner and operator. The company derives operational synergies between its System Integration (SI) and Invest, Build and Operate (IBO) businesses. Under its IBO business, the company invests in, builds, and operates utility-grade DPG power stations. It is headquartered in Hong Kong and was listed on the Stock Exchange of Hong Kong in 2016 […]