Datang International Power (LSE:DAT) Generation reported third-quarter 2026 net profit attributable to shareholders of RMB878.5 million, down 58.81% from a year earlier. The Chinese generator said the decline was mainly due to higher fuel prices. Nine-month attributable profit fell 4.83% to RMB6.39 billion.

What was announced

Datang International Power Generation Co., Ltd., which is listed in Hong Kong and Shanghai and trades in London under LSE:DAT, published its third quarterly report for 2026 on 29 October 2026. The figures are unaudited and prepared under China Accounting Standards for Business Enterprises. All amounts are in renminbi.

The company said the falls in profit, net profit, profit after non-recurring items and earnings per share were mainly due to an "increase in fuel prices". Datang is controlled by state-owned China Datang Corporation, which with its subsidiaries held about 53.04% of the shares at 30 September 2026.

The numbers

Operating revenue for the third quarter fell 1.98% to RMB31.52 billion. Total profit fell 43.70% to RMB2.34 billion, and net profit attributable to equity holders fell 58.81% to RMB878.5 million. Excluding non-recurring items, attributable net profit was RMB344.9 million, down 84.31%. Basic earnings per share for the quarter were RMB0.0342, down 63.38%. Net cash from operating activities fell 26.97% to RMB10.34 billion. The weighted average return on equity for the quarter was 1.69%, down 3.36 percentage points.

For the nine months to September, operating revenue rose 0.66% to RMB89.93 billion. Total profit fell 7.02% to RMB10.64 billion and attributable net profit fell 4.83% to RMB6.39 billion. Profit after non-recurring items fell 13.48% to RMB5.79 billion. Basic earnings per share for the nine months were RMB0.3022, up 1.07%, even though attributable profit fell. The report does not explain this difference. Operating cash flow fell 13.83% to RMB25.61 billion.

Non-recurring items added RMB533.6 million in the third quarter and RMB601.6 million over nine months. The largest was a RMB1.12 billion gain from a subsidiary's transfer of creditor's rights, much of which went to minority interests. Total net profit for the nine months, including minority interests, was RMB8.45 billion. Minority shareholders' share was RMB2.06 billion, compared with RMB2.71 billion a year earlier.

Other drivers and balance sheet

Datang listed several other changes. Other income fell 39.55% because the 50% immediate VAT refund for onshore wind power was abolished from 1 November 2025, which reduced government grants. Investment income rose 60.25%, mainly because of the creditor's rights transfer. Non-operating income rose 62.82% on higher revenue from carbon emission rights trading. Credit impairment losses rose 98.84%, which the company linked to an earlier business combination. Prepayments rose 85.57%, mainly for fuel. Losses on asset impairment fell 99.99% because a provision had been made in the earlier period, and non-operating expenses fell 51.09% after fixed asset retirements a year earlier. Notes receivable rose 150.04% and notes payable 156.64% as more transactions were settled by bills. Contract liabilities fell 62.18% because subsidiaries received fewer heating fees in advance after the heating season ended.

Total assets were RMB337.78 billion at 30 September 2026, up 1.28% from the end of 2025. Equity attributable to shareholders rose 3.38% to RMB83.06 billion, and total liabilities were RMB233.49 billion. Net financing cash flow improved 34.59%. The company said net repayments were smaller than a year earlier because it needed more financing for project construction.

What to watch next

The quarterly report does not disclose power generation volumes, on-grid electricity sales or installed capacity, so this article cannot comment on operating trends. Those figures usually appear in separate company disclosures. Key factors for the fourth quarter are fuel costs, the continuing effect of losing the wind power VAT refund, and the funding needs of Datang's construction programme. The company has given no profit guidance.