Towngas Smart Energy’s 2024 profit rises as bets on China’s renewable energy pay off.

Towngas Smart Energy reported a profit increase last year amid a slowing economy, as the subsidiary of Hong Kong’s sole gas provider reaped the benefits from its investments in renewable energy in mainland China.

Net profit rose 2 per cent from a year earlier to HK$1.6 billion (US$206 million), the company said in a Hong Kong stock exchange filing on Friday. Revenue increased 7.4 per cent from 2023 to HK$21.3 billion last year.

Its core operating profit surged 34.5 per cent to HK$1.6 billion, benefiting from the strong performance of its renewable energy business and the steady profit growth in its gas business owing to the “favourable cost pass-through outcomes”, the company said. Full-year net profit for the renewable energy business soared fivefold to HK$479 million.

Source: SCMP