Earnings release
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1 * Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement. SHANGHAI ELECTRIC GROUP COMPANY LIMITED 上海電氣集團股份有限公司 (A joint stock company incorporate d in the People’s Republic of China with limited liability ) (Stock Code: 02727) 2025 First Quarterly Report The board of directors (the “Directors”) of the Company (the “Board”) hereby announces the results of the Compa ny and its subsidiaries for the three months ended 31 March 2025 prepared in accordance with the PRC Accounting Standard for Business Enterprises. Such results have not been audited by independent auditors but ha ve been reviewed by the audit committee of the Company. This announcement is made pursuant to the Inside Information Provision under Part XIV A of the Securities and Futures Ordinance (Cap 571, Laws of Hong Kong) (as defined in the Listing Rules) and Rule 13.09(2) and Rule 13.10B of the Listing Rules. IMPORTANT NOTICE The Board an d the supervisory committee of the C ompany together with the Directors, supervisors and the senior management of the Company confirm that the contents of the quarterly report are true, accurate and complete, and that there are no false representations, misleading statements contained or material omissions, and are jointly and severally responsible for the liabilities arising from the quarterly report of the Company. Dr. WU Lei , person-in-charge of the Company , M s. FU Min, person-in-charge of Pursuant to the regulations and rules of the China Securities Regulatory Commission and the Shanghai Stock Exchange, Shanghai Electric Group Company Limited (the “Company”) is required to announce the quarterly results. This announcement is made pursuant to the Inside Information Provision under Part XIVA of the Securities and Futures Ordinance (Cap 571, Laws of Hong Kong) (as defined in the Rules Governing the Listing of Securities on the Stock Exchange of Hong Kong Limited (the “Listing Rules”)) and Rule 13.09(2) and Rule 13.10B of the Listing Rules.
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2 accounting and Mr. LI Chuan , head of accounting department confirm that the financial statements contained in the quarterly report are true, accurate and complete. MAJOR FINANCIAL INFORMATION Major accounting data and financial indicators Unit: '0001 Currency: RMB1 Particulars the Reporting Period2 the corresponding period of the previous year Increase/ (decrease) as compared with the corresponding period of the previous year (%) Before Restatement After Restatement After Restatement Total revenue 22,245,441 20,586,986 20,586,986 8.06 Revenue 22,095,521 20,446,608 20,446,608 8.06 Net profit attributable to shareholders of the Company 292,299 32,009 118,972 145.69 Net profit attributable to shareholders of the Company after excluding non-recurring profit or loss items 205,498 -119,582 -119,582 N/A Net cash flow generated from operating activities -3,870,138 -6,932,238 -6,937,684 N/A Basic earnings per share (RMB/share) 0.0188 0.0021 0.0076 147.37 Diluted earnings per share (RMB/share) 0.0188 0.0021 0.0076 147.37 Return on net assets on a weighted average basis (%) 0.55 0.06 0.21 Increased by 0.34 percentage point Particulars As at the end of the Reporting Period As at the end of the previous year Increase/ (decrease) as compared with the end of the previous year (%) Before Restatement After Restatement After Restatement
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3 Total assets 300,474,116 302,504,988 302,504,988 -0.67 Net assets attributable to shareholders of the Company 53,558,679 53,189,916 53,189,916 0.69 Note 1: unless otherwise specified. Note 2: "the Reporting Period" refers to the three -month from the beginning of this quarter to the end of this quarter, the same below. Reasons for Retroactive Adjustments or Restatements In the fourth quarter of 2024, Shanghai Electric Automation Group Co., Ltd.* (上海電氣自 動化集團有限公司), a wholly -owned subsidiary of the Company, acquired 100% equity interest in Shanghai Ningsheng Industrial Co., Ltd.* ( 上海寧笙實業有限公司 ) held by Shanghai Electric Holding Group Co., Ltd. ( 上 海 電 氣 控 股 集 團 有 限 公 司) in cash. Pursuant to Accounting Standards for Business Enterprises No. 33, this transaction constitutes a business combination under the same control and requires retrospective adjustments to the 2024 first quarterly financial information. Non-recurring profit and loss items and amounts Unit: '000 Currency: RMB Particulars the Reporting Period Profit or loss on disposal of non-current assets, including elimination of provision for impairment of assets 14,829 Government grants recognised in profit or loss for the current period, except for those government grants that are closely related to the Company's normal business operations, in line with national policies and in accordance with defined criteria, and that have a sustained impact on the Company's profit or loss 70,106 Profit or loss arising from changes in the fair value of holding financial assets/liabilities and profit or loss arising from disposal of financial assets/liabilities by non-financial corporations, except effective hedging business related to the Company's normal operations 22,703 Reversal of provision for impairment of receivables tested for impairment on an individual basis 35,000 Non-operating income and expenses other than aforesaid items 5,553 Less: Effect of income tax 31,820 Effect of minority interests (net of tax) 29,570 Total 86,801 Changes of principal items in the financial statements and financial indicators of the Company and the underlying reasons Particulars Percentage of Principal reasons
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4 change (%) Net profit attributable to shareholders of the Company 145.69 The increase in net profit attributable to shareholders of the Company as compared to the corresponding period of the previous year was mainly due to the increase in operating revenue and gross profit compared to the corresponding period of the previous year. Net profit attributable to shareholders of the Company after excluding non-recurring profit or loss items N/A Basic earnings per share (RMB/share) 147.37 Diluted earnings per share (RMB/share) 147.37 Return on net assets on a weighted average basis (%) Increased by 0.34 percentage point
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5 FINANCIAL STATEMENTS UNAUDITED CONSOLIDATED BALANCE SHEET As at 31 March 2025 Prepared by: Shanghai Electric Group Company Limited Unit: '000 Currency: RMB Particulars As at 31 March 2025 As at 31 December 2024 Current assets: Cash at bank and on hand 36,897,223 32,569,013 Clearing settlement funds 1,134 1,134 Placements to banks and other financial institutions 16,420,958 26,207,572 Financial assets held for trading 7,699,642 7,779,560 Derivative financial assets 6,418 520 Notes receivable 2,467,328 3,169,750 Accounts receivable 37,416,837 37,547,437 Receivables financing 836,417 1,091,996 Prepayments 11,920,591 11,236,621 Premium receivable Amounts due from reinsurers Reinsurance contract reserve receivable Other receivables 4,730,777 5,047,036 Inclusive：Interest receivable 211,178 225,110 Dividends receivable 30,074 57,548 Financial assets purchased under resale agreements 1,649,751 2,905,106 Inventories 39,633,611 34,549,775 Inclusive：Data resources Contract assets 21,079,946 21,275,139 Assets held for sale Current portion of non-current assets 1,466,000 1,551,044 Other current assets 18,942,268 18,857,078 Total current assets 201,168,901 203,788,781 Non-current assets: Loans and advances 8,225,558 8,694,998 Debt investments 153,337 152,331 Other debt investments 471,393 368,431 Long-term receivables 2,315,740 2,332,623 Long-term equity investments 14,252,349 13,816,638 Other equity instrument investments
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6 Other non-current financial assets 6,457,814 6,435,416 Investment properties 1,011,253 1,043,169 Fixed assets 21,530,451 20,896,633 Constructions in progress 3,315,027 3,777,699 Bearer biological assets Oil and gas assets Right-of-use assets 2,121,998 1,890,038 Intangible assets 12,161,241 12,020,517 Inclusive：Data resources 192 221 Development expenditures 45,432 29,882 Inclusive：Data resources Goodwill 2,979,340 2,920,760 Long-term prepaid expenses 462,233 473,404 Deferred tax assets 8,670,067 8,690,212 Other non-current assets 15,131,982 15,173,456 Total non-current assets 99,305,215 98,716,207 Total assets 300,474,116 302,504,988 Current liabilities: Short-term borrowings 9,579,084 9,548,227 Borrowings from central banks Placements from banks and other financial institutions Financial liabilities held for trading 38,531 38,531 Derivative financial liabilities 10,496 25,507 Notes payable 13,283,242 15,124,080 Accounts payable 60,722,248 60,569,875 Advances from customers 824,911 833,268 Contract liabilities 61,263,627 57,928,502 Financial assets sold under repurchase agreement Deposits from customers, banks and other financial institutions 5,893,077 7,333,529 Customer brokerage deposits Securities underwriting brokerage deposits Employee benefits payable 3,962,759 5,256,409 Taxes payable 1,838,284 2,473,766 Other payables 7,880,231 9,704,410 Inclusive：Interest payable 215,939 290,002 Dividends payable 114,680 214,680 Fee and commissions payable Amounts due to reinsurer Liabilities held for sale Current portion of non-current 11,222,995 10,188,235
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7 liabilities Other current liabilities 11,728,978 11,467,275 Total current liabilities 188,248,463 190,491,614 Non-current liabilities: Reserve of insurance contracts Long-term borrowings 27,255,522 27,682,117 Bonds payable Inclusive: Preferred shares Perpetual bond Lease liabilities 1,691,528 1,463,726 Long-term payables 556,955 535,827 Long-term employee benefits payable 184,253 180,065 Provisions 2,548,722 2,832,979 Deferred income 1,170,225 1,210,875 Deferred tax liabilities 714,172 714,141 Other non-current liabilities 12,404 13,325 Total non-current liabilities 34,133,781 34,633,055 Total liabilities 222,382,244 225,124,669 Equity: Paid in capital (or share capital) 15,579,809 15,579,809 Other equity instruments Inclusive: Preferred shares Perpetual bond Capital surplus 18,727,393 18,727,393 Less: Treasury stocks Other comprehensive income 140,571 71,417 Special reserve 131,135 123,825 Surplus reserve 5,963,972 5,963,972 General provisions Retained earnings 13,015,799 12,723,500 Equity attributable to owners (or shareholders) of the Company 53,558,679 53,189,916 Non-controlling interests 24,533,193 24,190,403 Total equity 78,091,872 77,380,319 Total equity and liabilities 300,474,116 302,504,988 Person-in-charge of the Company: WU Lei Person-in-charge of accounting: FU Min Head of accounting department: LI Chuan
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8 UNAUDITED CONSOLIDATED INCOME STATEMENT From 1 January 2025 to 31 March 2025 Prepared by: Shanghai Electric Group Company Limited Unit: '000 Currency: RMB Particulars For the period from 1 January 2025 to 31 March 2025 For the period from 1 January 2024 to 31 March 2024 (Restated) 1. Total revenue 22,245,441 20,586,986 Inclusive: Revenue 22,095,521 20,446,608 Interest income 149,840 140,245 Premium earned Fee and commission income 80 133 2. Total operating cost 21,935,674 19,999,608 Inclusive: Operating cost 18,029,811 16,504,242 Interest costs 22,235 27,842 Fee and commission expenses 259 241 Cash surrender value Claim settlement expenses, net Net provision for insurance contracts Policy dividend expense Reinsurance expenses Business taxes and surcharges 173,326 123,698 Selling and distribution expenses 702,300 625,469 General and administrative expenses 1,706,432 1,634,121 Research and development expenses 1,035,816 1,014,255 Financial expenses 265,495 69,740 Inclusive: Interest expenses 371,490 420,919 Interest income 66,678 356,425 Add: Other income 206,849 298,091 Investment income (losses are denoted by “-”) 514,305 455,178 Inclusive: Income from investment in associates and joint ventures 397,697 291,117 Income from derecognition of financial assets measured at amortised cost Exchange gains (losses are denoted by “-”) 1,770 2,593 Net exposure hedging gains (losses
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9 are denoted by “-”) Gains or losses on changes in fair value (losses are denoted by “-”) 30,688 -249,240 Credit impairment losses (losses are denoted by “-”) -168,365 -125,494 Asset impairment losses (losses are denoted by “-”) 17,156 -83,977 Gains on disposal of assets (losses are denoted by “-”) 14,829 4,417 3. Operating profit (losses are denoted by “- ”) 926,999 888,946 Add: Non-operating income 14,999 17,966 Less: Non-operating expenses 9,446 12,782 4. Total profit (total losses are denoted by “- ”) 932,552 894,130 Less: Income tax expenses 297,626 253,967 5. Net profit (net losses are denoted by “-”) 634,926 640,163 (A) Classified by continuity of operations (1) Net profit from continuing operations (net losses are denoted by “-”) 634,926 640,163 (2) Net profit from discontinued operations (net losses are denoted by “-”) (B) Classified by ownership of the equity (1) Attributable to shareholders of the parent company (net losses are denoted by “-”) 292,299 118,972 (2) minority interests (net losses are denoted by “-”) 342,627 521,191 6. Other comprehensive income, net of tax 81,417 -144,167 (A) Other comprehensive income, net of tax, attributable to shareholders of the parent company 69,154 -133,905 (1) Other comprehensive income that will not be subsequently reclassified to profit or loss (a) Changes arising from remeasurement of defined benefit plan (b) Other comprehensive income that will not be reclassified to profit or loss under the equity method (c) Changes in fair value of other equity instrument investments (d) Changes in fair value of credit risk of the Company (2) Other comprehensive income that will be subsequently reclassified to profit or loss 69,154 -133,905
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10 (a) Other comprehensive income that will be reclassified to profit or loss under the equity method (b) Changes in fair value of other debt investments -11,019 -4,018 (c) Other comprehensive income due to reclassification of financial assets (d) Provision for credit impairment of other debt investments -75 - (e) Cash flow hedging reserves 1,357 - (f) Differences on translation of foreign currency financial statements 78,891 -129,887 (g) Others (B) Other comprehensive income, net of tax, attributable to minority shareholders 12,263 -10,262 7. Total comprehensive income 716,343 495,996 (A) Attributable to shareholders of the parent company 361,453 -14,933 (B) Attributable to minority shareholders 354,890 510,929 8. Earnings per share: (A) Basic earnings per share (RMB/share) 0.0188 0.0076 (B) Diluted earnings per share (RMB/share) 0.0188 0.0076 For the business combinations involving enterprises under common control during the period, the net profit recognized by the combined party before the combination was RMB0, and the net profit recognized by the combined party in the previous period was RMB0. Person-in-charge of the Company: WU Lei Person-in-charge of accounting: FU Min Head of accounting department: LI Chuan
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11 UNAUDITED CONSOLIDATED STATEMENT OF CASH FLOWS From 1 January 2025 to 31 March 2025 Prepared by: Shanghai Electric Group Company Limited Unit: '000 Currency: RMB Particulars For the period from 1 January 2025 to 31 March 2025 For the period from 1 January 2024 to 31 March 2024 (Restated) 1. Cash flows from operating activities: Cash received from sales of goods or rendering of services 27,944,936 27,727,378 Net increase in deposits from customers, banks and other financial institutions Net increase in borrowings from central banks Net increase in placements from other financial institutions Cash from premiums on original insurance contracts Net cash received from reinsurance business Net increase in insured's deposits and investments Cash received from interest, fee and commission Net increase in placements from banks and other financial institutions Net increase of funds in repurchase business Net cash received from customer brokerage Refund of taxes and surcharges 181,535 146,335 Cash received relating to other operating activities 2,632,726 1,091,521 Total cash inflows from operating activities 30,759,197 28,965,234 Cash paid for goods and services 25,777,021 23,777,023 Net increase in customer loans and advances Net increase in deposits with central banks, banks and other financial institutions Cash paid for claim settlements on original insurance contracts Net increase in placements to banks and
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12 other financial institutions Cash paid for interest, fee and commission Cash paid for policy dividends Cash paid to and on behalf of employees 4,244,535 3,929,515 Payments of taxes and surcharges 1,571,083 1,324,904 Cash paid relating to other operating activities 3,036,696 6,871,476 Total cash outflows from operating activities 34,629,335 35,902,918 Net cash flows from operating activities -3,870,138 -6,937,684 2. Cash flows from investing activities: Cash received from disposal of investments 1,646,713 3,184,251 Cash received from returns on investments 206,356 213,583 Net cash received from disposal of fixed assets, intangible assets and other long-term assets 77,194 11,052 Net cash received from disposal of subsidiaries and other business units Cash received relating to other investing activities 981,981 361,729 Total cash inflows from investing activities 2,912,244 3,770,615 Cash paid to acquire fixed assets, intangible assets and other long-term assets 1,032,774 738,930 Cash paid to acquire investments 1,494,620 1,427,396 Net increase in pledged loans Net cash paid to acquire subsidiaries and other business units 1,441,000 - Cash paid relating to other investing activities 1,868,045 774,921 Total cash outflows from investing activities 5,836,439 2,941,247 Net cash flows from investing activities -2,924,195 829,368 3. Cash flows from financing activities: Cash received from capital contributions - 11,520 Inclusive: Cash received by subsidiaries from capital contributions by minority shareholders - 11,520 Cash received from borrowings 5,583,169 4,747,920 Cash received from bonds - 1,499,190.00 Cash received relating to other financing activities Total cash inflows from financing 5,583,169 6,258,630
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13 activities Cash repayments of borrowings 4,561,956 4,240,391 Cash payments for distribution of dividends, profits or interest expenses 483,613 515,409 Inclusive: Cash payments for dividends or profits to minority shareholders by subsidiaries 112,914 41,606 Cash paid relating to other financing activities 102,418 76,432 Total cash outflows from financing activities 5,147,987 4,832,232 Net cash flows from financing activities 435,182 1,426,398 4. Effects of foreign exchange rate changes on cash and cash equivalents 14,684 -3,239 5. Net increase in cash and cash equivalents -6,344,467 -4,685,157 Add: Cash and cash equivalents at beginning of the period 36,176,519 38,390,812 6. Cash and cash equivalents at end of the period 29,832,052 33,705,655 Person-in-charge of the Company: WU Lei Person-in-charge of accounting: FU Min Head of accounting department: LI Chuan By Order of the Board Shanghai Electric Group Company Limited WU Lei Chairman of the Board Shanghai, the PRC, 28 April 2025 As at the date of this announcement, the executive directors of the Company are Dr. WU Lei, Mr. ZHU Zhaokai , Mr. DONG Jianhua and Mr. WANG Chen hao; the non -executive directors of the Company are Mr. SHAO Jun and Ms. LU Wen; and the independent non - executive directors of the Company are Dr. XU Jianxin, Dr. LIU Yunhong and Dr. DU Zhaohui. * For identification purpose only