UBS: Electric Energy Industries' (00006) performance in the first half of the year is roughly in line with the expected target price rising to HK$73

The Zhitong Finance App learned that UBS released a research report stating that Electric Energy Industries (00006)'s performance in the first half of the year was generally in line with expectations. The interim dividend remained unchanged at HK78 Hong Kong cents per share, and no special dividend was paid. According to the bank's estimates, after deducting sales proceeds from the sale of the UK Power Network and British Railways and other one-time items, the first half of the year's recurrent profit, excluding discontinued operations, increased 16% year-on-year on the same basis. UBS expects the market to respond moderately to slightly positively, lowering its 2026-2028 recurring profit forecast by 11% to 12%, mainly reflecting the impact of sales of the UK electricity network and British Rail, partially offset by higher interest income from sales proceeds. The target price was raised from HK$70 to HK$73, with a rating of “buy”.

Earlier, there was market news that Changjiang Infrastructure Group (01038) and Electric Energy are planning to sell EDL Energy, its Australian sustainable distributed energy producer. Power management confirmed the market's long-term interest in the asset and would consider selling it at an appropriate price, but there was no rush to sell it.