PVTIME – On March 28, GCL New Energy Holdings Limited (0451.HK) released its final results for the year of 2021. During the reporting period, the Group achieved an operating income of 19.698 billion yuan, a year-on-year increase of 34.3%, and the company’s owners accounted for a profit of 5.084 billion yuan.
GCL stated that during the year of 2021, GCL New Energy firmly advanced towards the clear goal of reducing debt and maintaining a stable cash flow, resolutely promoted the implementation of the strategic asset-light transformation and announced the disposal of solar power plants with installed capacity of nearly 2.9GW, from which the debt scales was reduced by 11.2 billion yuan and the gearing ratio declined from 81% at the same period of previous year to 56%. The cash disposal proceeds can not only effectively reduce the debt scale of GCL New Energy and mitigate the financial strain, but also maintain a stable cash flow to provide solid capital foundation at the outset of its new business. After deducting the disposed and transferred assets, the total installed capacity of the Group’s subsidiary solar power plants was approximately 1,051MW. As of the date of this results announcement, the total installed capacity of the Group’s subsidiary solar power plants that has been contracted for disposal but has yet to be completed was approximately 298MW and the total installed capacity of the Group’s subsidiary solar power plants upon completion of the asset disposal transactions will be approximately 753MW. The successful strategic asset-light transformation enables GCL New Energy to focus on its core capabilities and lays a solid foundation of its new business development.