China Power International Development Limited

1079 Words Jan 7th, 2016 5 Pages
The company I have chosen to analyse and interpret is China Power International Development Limited (CPID Limited). This company operates in the alternative energy industry. I will be examining the performance of the company through evaluating their annual reports for the years ended 2012 and 2013. Additionally I will be comparing the performance of CPID Limited to China Longyuan power as they operate within the alternative energy industry. China Power International is the “flagship company of China Power Investment Corporation (CPI Group), one of the five national power generation groups in the People 's Republic of China. It is engaged in developing, constructing, owning, managing and operating large power plants in China. Its segments include generation and sales of coal-fired electricity, and generation and sales of hydropower electricity.” (China power international annual report, 2013,p.8)1. China Longyuan power is “engaged in the design development, construction, management and operation of wind farms. It also operates other power projects such as coal, solar, biomass, tidal and geothermal power.” (China Longyuan power annual report, 2013, pg.12)
Gross profit margin for CPID Limited has increased singnificantly from the year of 2012 to 2013. In 2012 the gross profit margin was 9.6%, as of 2013, it had increased to 17.4%. A higher gross profit margin is an indicator that the company is in good financial health . The increase shows the company is improving its sales…
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