Beijing Enterprises Water Group reports 22% rise in revenue for 2017
Beijing Enterprises Water Group Limited (BEW) reported full year financial results for 2017 last week, demonstrating a strong underlying business. The company said that revenue rose by 22%, year on year, to HK$21,192.4 million. The good news continued, with positive metrics across the board. For the full year, profit rose by 21% against 2016, and earnings per share came in at HK42.42¢.
BEW had a busy year: the company said it “participated in” the following “as at 31 December 2017”: “782 water plants either in operation or in the pipeline, including 655 sewage treatment plants, 112 water distribution plants, 14 reclaimed water plants and 1 desalination plant.”
The Group said that a report delivered at the 19th Party Congress advanced “the importance of promoting ecological progress for the thousand-year sustainable development of the Chinese nation and comprehensively illustrated the strategic moves towards a beautiful country by stepping up structural reform for promoting ecological progress and promoting green development.”
BEW sees itself playing a prominent role in this journey, and promised to “thoroughly implement the national measures” that define it. It also pledged to “vigorously explore innovative financing and operating models” and said it would “pursue smart restructuring of the industry”. It also plans to push further into rural water services and environmental projects.
In line with its asset light business model, BEW is planning to expend significant effort to create an “ecosystem of ‘operational technology’” to identify the resources required for its various jobs. Currently in-line with national policy, those jobs are fast amassing, and BEW looks poised to reap the rewards.
Dominion holds Beijing Enterprises Water Group Limited in its Global Trends Managed Fund.
If you would you like to receive the Newsfeeds daily, please click here to sign up now!Help us make this Newsfeed better by rating this article. 1 star = Poor and 5 stars = Excellent
- Click here to print this story: Print
The views expressed in this article are those of the author at the date of publication and not necessarily those of Dominion Fund Management Limited. The content of this article is not intended as investment advice and will not be updated after publication. Images, video, quotations from literature and any such material which may be subject to copyright is reproduced in whole or in part in this article on the basis of Fair use as applied to news reporting and journalistic comment on events.