A line project of PV Power in Bình Phước Province. — Photo pvpower.vn

HÀ NỘI — Domestic electricity producers posted sharply improved earnings in the first quarter as rising power demand boosted the mobilisation of thermal and gas-fired power plants, although the sector continued to show clear divergence between conventional power generators and renewable energy companies.

According to data from Vietnam Electricity (EVN), total electricity production and imports across the national power system reached about 76 billion kWh in the first quarter, up 6.6 per cent from last year.

Coal-fired thermal power remained the largest source of electricity generation, accounting for around 52 per cent of total output, followed by hydropower at 20 per cent, renewable energy at 15 per cent and gas turbine power at about 7 per cent.

The increase in electricity demand created favourable conditions for many listed power companies to report strong business results from the beginning of the year.

Leading the earnings growth was PV Power. Its revenue rose more than 51 per cent over last year to around VNĐ12.33 trillion (US$483.5 million) while profit after tax surged over 175 per cent to VNĐ1.3 trillion.

The results reflected stronger mobilisation of gas-fired power plants amid rising electricity demand, particularly in northern Việt Nam. 

Several subsidiaries under PV Power also recorded strong growth as gas-fired plants operated at higher utilisation rates.

Among them, PetroVietnam Power Nhon Trach 2 JSC posted revenue of more than VNĐ2.17 trillion in the first quarter, up over 52 per cent from a year earlier. Its profit after tax reached nearly VNĐ180 billion, almost five times the figure of the same period last year.

The performance highlighted a gradual recovery of gas-fired electricity producers within the country's power system as electricity consumption continued to rise strongly.

In the coal-fired thermal power segment, several enterprises also reported positive earnings growth thanks to increased electricity output and easing financial pressure following years of debt restructuring.

Quang Ninh Thermal Power JSC recorded first-quarter revenue of more than VNĐ2.73 trillion. Although revenue declined slightly, profit after tax still rose over 14 per cent year-on-year to around VNĐ197 billion.

Meanwhile, Pha Lai Thermal Power JSC posted revenue of nearly VNĐ1.8 trillion, up more than 17 per cent, while profit after tax climbed 83 per cent to nearly VNĐ96 billion.

One notable factor supporting earnings recovery among thermal power companies was the easing pressure from foreign exchange losses and interest expenses compared with previous years. This helped improve profitability despite continued fluctuations in coal and fuel prices.

Workers monitor power plants' operation at EVNGENCO3. — Photo genco3.com

The improving performance of Việt Nam's baseload power segment was most evident at EVNGENCO3, currently the country's largest listed power generation company.

The company operates several key thermal and gas-fired plants, including Phú Mỹ, Mông Dương and Vĩnh Tân 2.

Its financial statement showed that EVNGENCO3 reported revenue of nearly VNĐ10.4 trillion. Its profit after tax surged to approximately VNĐ738 billion, nearly 7.5 times the figure of the same period last year.

The results underscored the continued importance of conventional baseload power sources in ensuring electricity supply for the economy as national demand continues to increase.

In contrast, hydropower and renewable energy firms experienced more mixed performance due to weather conditions and power mobilisation challenges.

Vinh Son - Song Hinh Hydropower JSC reported first-quarter profit after tax of around VNĐ269 billion, largely unchanged from a year earlier despite a slight decline in revenue.

Meanwhile, Thac Mo Hydropower JSC recorded a relatively positive start to the year, with profit after tax rising nearly 26 per cent to around VNĐ64 billion.

However, Song Ba Ha Hydropower JSC saw both revenue and profit decline due to less favourable hydrological conditions compared with the same period last year.

Renewable energy companies continued to face pressure from lower power mobilisation and rising financial costs.

Gia Lai Electricity JSC posted first-quarter revenue of around VNĐ767 billion, down more than 31 per cent year-on-year, while profit after tax fell over 45 per cent to VNĐ207 billion. — BIZHUB/VNS