Securities code: Huaneng Power International Inc(600011) securities abbreviation: Huaneng Power International Inc(600011) Announcement No.: 2022016
Huaneng Power International Inc(600011)
Announcement on profit distribution plan in 2021
The board of directors and all directors of the company guarantee that there are no false records, misleading statements or major omissions in the contents of this announcement, and bear individual and joint liabilities for the authenticity, accuracy and completeness of its contents.
Important content tips:
In view of the negative net profit attributable to the shareholders of the company realized by the company in 2021, the company plans not to distribute cash dividends or other forms of distribution including the conversion of capital reserve into share capital in 2021.
The profit distribution plan needs to be submitted to the 2021 annual general meeting of shareholders of the company for deliberation.
1、 Contents of profit distribution plan
Audited by Ernst & Young Huaming Certified Public Accountants (special general partnership) and Ernst & Young certified public accountants, the net profits of Huaneng Power International Inc(600011) ("the company" or " Huaneng Power International Inc(600011) ") attributable to the shareholders of the company were -10.264 billion yuan and -10.636 billion yuan respectively for the fiscal year ended December 31, 2021 in accordance with Chinese accounting standards for business enterprises and international financial reporting standards.
According to the provisions of Huaneng Power International Inc(600011) articles of Association ("articles of association"), the company distributes dividends in cash when the profit and accumulated undistributed profit of the current year are positive and the cash flow of the company can meet the normal operation and sustainable development of the company. In principle, the profit distributed in cash by the company every year shall not be less than 50% of the distributable profit in the consolidated statements of the current year.
In view of the negative net profit attributable to the shareholders of the company realized by the company in 2021, considering the investment demand of the company's transformation and development and the increase of the company's asset liability ratio in 2021, the company will not make profit distribution in 2021 according to the resolution of the 21st Meeting of the 10th board of directors of the company.
The profit distribution plan needs to be submitted to the general meeting of shareholders for deliberation.
2、 Decision making procedures performed by the company
(I) convening, deliberation and voting of the board meeting
The board of directors of the company has held the 21st Meeting of the 10th board of directors on March 22, 2022, deliberated and adopted the plan on profit distribution of the company in 2021.
(II) opinions of independent directors
The independent directors of the company expressed independent opinions on this profit distribution plan as follows:
The board of directors of the company made full deliberation and discussion when formulating the above profit distribution plan. The profit distribution plan of the company in 2021 complies with the provisions of relevant laws, regulations and the articles of association, the actual operation of the company in 2021, and there is no damage to the interests of the company and small and medium-sized shareholders. In conclusion, we agree to the above profit distribution plan and agree to submit it to the general meeting of shareholders for deliberation.
(III) opinions of the board of supervisors
The board of supervisors of the company held the 8th meeting of the 10th board of supervisors on March 22, 2022, deliberated and adopted the plan on profit distribution of the company in 2021.
3、 Relevant risk tips
The profit distribution plan will not affect the normal operation and long-term development of the company. The profit distribution plan must be submitted to the 2021 annual general meeting of shareholders of the company for deliberation and approval, and the majority of investors should pay attention to the investment risks.
It is hereby announced.
Huaneng Power International Inc(600011) board of directors March 23, 2022
