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Sole electricity utility serving Hong Kong Island and Lamma Island, a regulated monopoly generation-and-distribution business.
Sole electricity utility serving Hong Kong Island and Lamma Island, a regulated monopoly generation-and-distribution business.
Under the government's Scheme of Control it earns a permitted return on its net fixed assets, so profit tracks the size of its asset base rather than electricity sold, and fuel costs are passed to customers through a fuel charge. Spending on gas-fired units and grid upgrades enlarges that base. The listed security is a stapled unit, a trust unit and a company share traded together.
In one line: A Hong Kong regulated utility akin to a US investor-owned electric utility serving one ser.
Moat: wide (regulatory licence, installed base). Sole regulated electricity franchise for Hong Kong Island under a government Scheme of Control agreement.
Headquarters: Hong Kong · Founded: 1889 · Employees: 1,635
Size HK Electric Investments & HK Electric Investments (2638.HK) is a Hong Kong Utilities company (Electric Utilities) with a market value of $6.99B, the 213th largest of 891 Hong Kong companies the cockpit tracks. Shares closed at HK$6.21 on 6 Nov 2026.
Performance Over six months the shares fell 3.0%, against -3.6% for the median peer and -13.4% for the Hong Kong market (cap-weighted) — 10th highest of 21 in its peer set.
Growth Revenue grew 3.7% over the last twelve months (peer median +11.0%); the operating margin is 42.4% (peer median 14.7%).
Valuation It trades at 17.1× forward earnings against a peer median of 16.6× (10th most expensive of 21).
Price implies For today's price to make sense, revenue must grow about 4% a year for seven years (Req g). Recent delivered growth is +3%, so the hurdle is +0 pp: the price needs faster growth than the company has been delivering — of companies that just grew 25–50% a year, 93.8% slowed down over the next four years.
Capital Return on invested capital runs 0.8 points below its cost of capital (5.2% WACC).
Next results Next results expected around 16 Mar 2027 (exchange calendar; dates can move).
| TTM | FY2025 | FY2024 | FY2023 | FY2022 | |
|---|---|---|---|---|---|
| Revenue | HK$12.5B | HK$12.1B | HK$12.1B | HK$11.4B | HK$10.8B |
| Revenue growth | — | +1% | +6% | +6% | — |
| Gross profit | HK$6.01B | HK$5.74B | HK$6.16B | HK$5.72B | HK$5.11B |
| EBITDA | HK$9.01B | HK$8.71B | HK$8.65B | HK$8.08B | HK$7.53B |
| Net income | HK$3.15B | HK$3.15B | HK$3.11B | HK$3.16B | HK$2.95B |
| Free cash flow | HK$3.19B | HK$3.39B | HK$2.38B | HK$3.79B | -HK$993M |
| Capital expenditure | HK$3.81B | HK$3.74B | HK$3.77B | HK$3.97B | HK$5.53B |
| Total debt | n/a | HK$50.6B | HK$50.9B | HK$50.2B | HK$51.2B |
The default views of Competitor Analysis ▸ Charts, drawn from the same data. Open them in the cockpit to change the axes, pin companies and read every value.
| Company | Market cap | 6M return | Revenue growth | Op. margin | Forward P/E | Req g |
|---|---|---|---|---|---|---|
| HK Electric Investments & HK Electric Investments 2638.HK | $6.99B | -3% | +4% | 42% | 17.1× | 3.5% |
| Clp 0002.HK | $26.1B | +7% | -2% | 16% | 17.9× | 1.6% |
Peer set: Industry: the same industry and sector in any market, nearest in size. This is the same default set the interactive Competitor Analysis opens with.
| Measure | 2638.HK | Peer median | Rank in peer set |
|---|---|---|---|
| 1-month return | 0.0% | +0.2% | 11th highest of 21 |
| 6-month return | -3.0% | -3.6% | 10th highest of 21 |
| Distance from 52-week high | -12.6% | -19.3% | 7th highest of 21 |
| Revenue growth (TTM) | +3.7% | +11.0% | 7th lowest of 21 |
| Operating margin | 42.4% | 14.7% | highest of 21 |
| Forward P/E | 17.1× | 16.6× | 10th most expensive of 21 |
| Growth the price implies (Req g, 7 yrs) | 3.5% | -1.0% | 3rd most demanding of 13 |
| Growth delivered (Del g) | +3.1% | +7.3% | lowest of 13 |
| Hurdle (Req g minus delivered) | +0.4 pp | -8.6 pp | 3rd most demanding of 13 |
| ROIC minus cost of capital | -0.8 pp | -0.2 pp | 10th lowest of 21 |
| EV / EBITDA | 11.8× | 11.7× | 7th most expensive of 15 |
| Net debt / EBITDA | 5.7× | 5.1× | 6th most indebted of 16 |
| Company | Market | Market cap | 6M return | Revenue growth | Op. margin | Forward P/E | Req g | Delivered g |
|---|---|---|---|---|---|---|---|---|
| HK Electric Investments & HK Electric Investments 2638.HK | Hong Kong | $6.99B | -3% | +4% | 42% | 17.1× | 3.5% | +3.1% |
| Capital Power CPX.TO | Canada | $7.13B | -4% | +25% | 10% | 19.5× | 18.9% | +11.8% |
| Torrent Power TORNTPOWER.NS | India | $6.78B | -26% | +8% | 13% | 23.3× | n/a | n/a |
| SPIC Hydropower 600292.SS | China | $7.26B | -34% | +301% | 28% | 72.6× | -6.8% | +27.0% |
| Inner Mongolia MengDian HuaNeng Thermal Power 600863.SS | China | $7.35B | +16% | -3% | 16% | 18.4× | -1.9% | +6.5% |
| Shenergy 600642.SS | China | $6.64B | +1% | -2% | 12% | 12.6× | -1.6% | +7.2% |
| Companhia Energetica de Minas Gerais SA Sponsored ADR Pfd CIG | United States | $6.45B | -23% | +13% | 13% | 9.0× | -1.6% | +9.4% |
| TXNM Energy TXNM | United States | $6.41B | -1% | +10% | 24% | 22.5× | n/a | n/a |
| Sembcorp Industries U96.SI | Singapore | $7.91B | -8% | +8% | 11% | 11.5× | n/a | n/a |
| Companhia Paranaense de Energia Sponsored ADR ELPC | United States | $7.92B | -15% | +27% | 19% | 16.3× | -5.5% | +5.3% |
| ATCO ACO-X.TO | Canada | $6.15B | +25% | +5% | 12% | 16.8× | 15.0% | +5.5% |
| YTL 1773.T | Japan | $6.14B | +1% | +19% | 19% | 12.5× | n/a | n/a |
| Hera HER.MI | Italy | $6.14B | -3% | -11% | 8% | 11.9× | -8.9% | +12.6% |
| Enel Chile SA Sponsored ADR ENIC | United States | $6.06B | -6% | +16% | 19% | 9.4× | 3.4% | +6.9% |
| Bkw BKW.SW | Switzerland | $8.12B | -17% | -5% | 11% | 14.1× | 1.6% | +7.4% |
| A2A A2A.MI | Italy | $8.55B | +4% | +14% | 8% | 11.9× | 2.8% | +15.6% |
| Huadian Power International 600027.SS | China | $8.61B | +3% | -7% | 6% | 13.2× | -0.4% | +6.3% |
| IDACORP IDA | United States | $8.63B | +2% | +4% | 23% | 21.7× | n/a | n/a |
| Ormat Technologies ORA | United States | $5.65B | -24% | +31% | 19% | 41.2× | n/a | n/a |
| NHPC NHPC.NS | India | $8.72B | +1% | +12% | 30% | 19.4× | n/a | n/a |
| China Southern Power Grid Energy Storage 600995.SS | China | $5.48B | -21% | +18% | 41% | 18.7× | n/a | n/a |