China Suntien Green Energy Corporation Limited: history, ownership, mission, how it works & makes money

A Brief History of China Suntien Green Energy Corporation Limited

Founded in 2006, China Suntien Green Energy Corporation Limited specializes in the development and operation of clean energy projects across China. The company is primarily engaged in wind power generation but has expanded its portfolio to include solar energy and natural gas utilization. As of 2023, Suntien operates over 3,000 MW of installed wind power capacity.

In 2010, Suntien was listed on the Hong Kong Stock Exchange under the ticker 956. This initial public offering raised approximately HKD 1.1 billion (around USD 142 million), providing capital for expansion and project development.

By 2013, Suntien achieved significant milestones, including the commissioning of its flagship wind farm in Hebei Province, which contributed to its annual energy output exceeding 7 billion kWh. The company’s revenue for this fiscal year was reported at approximately RMB 2.7 billion (around USD 420 million).

In 2015, Suntien further diversified its energy portfolio, investing in solar energy projects. By the end of 2016, the company had installed solar capacity exceeding 200 MW, contributing to its overall revenue growth. The total revenue in 2016 was around RMB 4.1 billion (approximately USD 611 million).

A year later, Suntien’s financial performance reflected consistent growth, with net profits reaching approximately RMB 850 million (about USD 130 million) in 2017. The company’s installed wind capacity had grown to over 4,000 MW, representing a compound annual growth rate (CAGR) of approximately 13% since 2010.

In 2019, the company undertook strategic initiatives to align with China's renewable energy goals, focusing on sustainable development and emission reduction. The total installed capacity reached approximately 5,500 MW by year's end, with a reported revenue of around RMB 5.5 billion (around USD 790 million).

As of 2022, the company announced its long-term goal to achieve 10,000 MW of total installed capacity by 2025. The total revenue for the fiscal year 2021 was reported at approximately RMB 6.9 billion (around USD 1.06 billion), with net income reaching RMB 1.1 billion (approximately USD 170 million).

In 2023, Suntien continues to solidify its position as a key player in the renewable energy sector, having strategically aligned its operations with national policies favoring green energy solutions. The company is expected to reach its target of 10,000 MW of total installed capacity ahead of schedule, reinforcing its commitment to sustainable development.

A Who Owns China Suntien Green Energy Corporation Limited

China Suntien Green Energy Corporation Limited (Suntien) is a publicly traded company listed on the Hong Kong Stock Exchange under the stock code 00956. It primarily operates in the renewable energy sector, focusing on wind, solar, and natural gas. The company has shown a commitment to sustainability and growth in clean energy initiatives.

As of the latest available data, the ownership structure of China Suntien Green Energy Corporation Limited is as follows:

The largest shareholder, State Grid Corporation of China, is a state-owned enterprise and one of the largest utility companies in the world. This substantial ownership stake underscores the strategic alignment between Suntien and national energy policies promoting renewable energy sources.

In terms of financial performance, during the first half of 2023, Suntien reported revenue of approximately RMB 1.99 billion, reflecting an increase from RMB 1.74 billion in the same period of 2022. The company's net profit for the first half of 2023 was around RMB 482 million, which was an increase of 14% compared to the previous year's profit.

As part of its expansion strategy, Suntien has invested heavily in wind power projects. As of June 2023, the company has an installed wind power capacity of approximately 6,672 MW, with ongoing projects anticipated to increase this capacity significantly in the coming years.

In conclusion, the ownership of China Suntien Green Energy Corporation Limited is predominantly held by the State Grid Corporation of China, which plays a crucial role in influencing the company's strategic direction and investment in renewable energy projects. Financially, Suntien has shown a robust performance, with consistent growth in revenue and profit, bolstering its prominence in the clean energy sector.

China Suntien Green Energy Corporation Limited Mission Statement

China Suntien Green Energy Corporation Limited focuses on renewable energy, particularly in the areas of wind power and natural gas. The core mission is to contribute to the sustainable development of society by providing clean energy and promoting environmental protection. As of December 2022, the company reported a total installed capacity of over 4,000 MW in wind power projects.

The company aims to enhance its operational efficiency and improve the quality of its energy products, aligning with China's national goal of achieving peak carbon emissions by 2030 and carbon neutrality by 2060.

In 2022, the company’s revenue increased by approximately 24% compared to 2021, reflecting its strategic investments and expansion in renewable energy projects. The net profit rose by around 18%, indicating effective cost management and operating efficiencies.

China Suntien Green Energy's focus on renewable energy aligns with global trends towards sustainability, as evidenced by increasing investments in green technologies. For instance, the company’s wind power projects accounted for approximately 80% of total electricity generation in 2022.

The organization is actively involved in various international collaborations and partnerships aimed at enhancing technological capabilities and expanding its market reach. In 2023 alone, they have initiated plans to invest 2 billion CNY into new wind farms and solar power projects to bolster their renewable energy portfolio.

Strategically, the company targets a 25% annual growth rate in installed capacity over the next five years, and aims to diversify its energy generation mix further by increasing investments in solar and biomass energy. As of the first quarter of 2023, they have successfully acquired new land for an additional 500 MW of wind capacity.

China Suntien Green Energy is dedicated to fostering a cleaner environment and aims to achieve 100% renewable energy production by 2050, making it a pivotal player in the transition towards a low-carbon energy future.

How China Suntien Green Energy Corporation Limited Works

China Suntien Green Energy Corporation Limited operates primarily in the renewable energy sector, focusing on the development, construction, and operation of wind and solar power projects. The company's portfolio includes wind farms, solar power plants, and natural gas distribution.

As of December 31, 2022, China Suntien reported a total installed capacity of approximately 4,284 MW in renewable energy. This includes wind power capacity of about 3,203 MW and solar power capacity of around 1,081 MW. The company has positioned itself as a significant player in China's ongoing transition to cleaner energy.

In its latest financial report for the year ended December 31, 2022, China Suntien achieved revenue of approximately RMB 6.32 billion (about USD 934 million), representing an increase of 12.9% year-over-year. The primary driver of this growth was an increase in energy generation and higher feed-in tariffs for renewable energy sources.

The company also focuses on the integration of energy distribution, providing natural gas services to residential and industrial customers. In the 2022 fiscal year, the natural gas distribution segment contributed approximately RMB 2.15 billion (around USD 318 million) to total revenues.

China Suntien's key operational strategies include:

• Expansion of renewable energy projects across various provinces in China.
• Investment in technology and innovation to improve energy efficiency.
• Development of partnerships with local governments to increase project viability.

For the first half of 2023, the company reported an operational capacity increase of 6% compared to the same period in 2022. This growth is attributed to the commissioning of new wind and solar projects amounting to an additional 200 MW.

In terms of shareholder returns, the company announced a dividend payout of RMB 0.05 per share for the year 2022. This reflects the solid financial performance and growing profitability, with a dividend yield of approximately 2.5%.

The company’s stock is listed on the Hong Kong Stock Exchange under the ticker symbol 00956. As of October 2023, the stock price was trading at approximately HKD 5.20, with a market capitalization of about RMB 15 billion.

China Suntien is committed to supporting China's goal of achieving carbon neutrality by 2060, actively participating in governmental green energy initiatives and exploring opportunities in the international renewable energy market.

How China Suntien Green Energy Corporation Limited Makes Money

China Suntien Green Energy Corporation Limited (CGN) is a prominent player in the renewable energy sector, primarily focusing on wind power, solar energy, and natural gas. The company has adopted a diversified business model, generating revenue through various channels.

Wind power is a critical revenue stream for CGN, contributing significantly to its overall financial performance. As of the most recent report, CGN operates over 4,000 MW of wind power capacity across China. In 2022, wind power generated approximately RMB 4.5 billion (around $700 million) in revenue, reflecting a year-on-year growth of 15%.

The solar segment is another essential aspect of CGN's operations. The company’s solar energy capacity reached 1,500 MW, and revenue from solar power generation amounted to about RMB 1.8 billion (approximately $280 million) in 2022. This segment grew by 20% compared to the previous year.

CGN also engages in natural gas distribution, which has increasingly become a focus area as China shifts towards cleaner energy sources. In the fiscal year 2022, the natural gas segment reported revenues of RMB 2.2 billion (around $350 million), up by 10% from 2021.

CGN benefits from favorable government policies that promote renewable energy investments. In 2022, subsidies provided by the Chinese government accounted for approximately RMB 1 billion (around $150 million) in support for renewable energy projects.

The company is also focused on international expansion. In 2023, CGN entered into a partnership to develop a 500 MW solar project in Thailand, expected to generate an additional RMB 0.9 billion (approximately $140 million) in revenue annually once operational.

Investments in technology play a pivotal role in CGN's revenue generation. The company has allocated approximately RMB 300 million (around $46 million) toward research and development in 2022, focusing on improving the efficiency of wind and solar technologies.

The demand for renewable energy continues to rise, with a projected compound annual growth rate (CAGR) of 12% in the renewable sector through 2030. This trend supports CGN's strategic focus on expanding its renewable energy portfolio.