Hopewell Energy Delays Japan Project Recognition to Q3, Advances Strategic Layout Across Taiwan, Japan, and Australia

Hopewell Energy (6873-TW) turned unprofitable in the second quarter due to delayed revenue recognition from Japanese projects, reporting a net loss of NT$224 million attributable to owners of the parent company, or NT$1.57 per share. The cumulative loss for the first half was NT$1.32 per share. Looking ahead, the company expects that several 2MW energy storage projects in Japan, now deferred to third-quarter recognition, along with continued expansion across Taiwan, Japan, and Australia, will establish a solid foundation for future operational performance.

In the first half of the year, Hopewell Energy made continuous progress in both the Japanese and Australian markets. In Japan, the group's Hokkaido Helios energy storage project completed Japan's first green project financing based on grid-scale energy storage assets, and has successively entered the wholesale electricity and demand-response markets. The company has also partnered with major Japanese energy firms such as Tokyo Gas and Chubu Electric Power Miraiz to expand energy storage O&M and power insurance services.

This year marks the third consecutive year that Hopewell Energy has won bids in Japan's Long-Term Decarbonized Power Auction (LTDA), accumulating a total capacity of 560MW. In Australia, the Dartmoor energy storage project under the ZEBRE platform secured a long-duration energy storage tender from the South Australian government, further expanding its presence in the capacity market.

Looking ahead to the second half, Japan's power trading market remains a key focus for Hopewell Energy's overseas operations. The 2MW energy storage facility in the Chubu region began participating in the demand-response market in mid-July and has generated cumulative revenue exceeding 15 million JPY, averaging around 700,000 JPY per day—demonstrating the revenue potential of energy storage assets in power trading.

Additionally, Hopewell Energy continues to expand its footprint in Australia's energy sector by investing in local green steel and green fuel companies, each holding a 30% equity stake, thereby extending its business into emerging green industries and renewable fuel sectors.

As global AI applications and data center investments continue to rise, large power consumers' demand for stable, low-carbon electricity and energy management is increasing. The energy industry is evolving beyond simple power supply toward integrated power service models that combine generation, storage, trading, and consumption management.

Australia has recently proposed that large data centers should bear the costs of new power supply and grid infrastructure, further highlighting the need for comprehensive power solutions among major consumers. Hopewell Energy plans to leverage its portfolio of renewable energy and storage assets, along with the capabilities of its subsidiary Xingxing Power in power trading, green power wheeling, and energy management, to meet the needs of large consumers such as data centers. At the same time, the company is advancing the overseas expansion of its smart energy equipment brand TAITEN, currently preparing for international certifications targeting high-spec applications in overseas markets and data centers.

In Q2, Hopewell Energy recorded revenue of NT$1.654 billion, up 16.15% quarter-on-quarter but down 12.45% year-on-year. Gross margin was 18.32%, down 13.63 percentage points sequentially and 2.96 percentage points annually. Operating margin was -4.59%, turning negative compared to the previous quarter and the same period last year. Net loss attributable to owners of the parent company was NT$224 million, resulting in a loss of NT$1.57 per share.

For the first half, total revenue reached NT$3.078 billion, down 8.29% year-on-year. Gross margin was 24.63%, up 0.13 percentage points annually. Operating margin was 3.64%, down 4.45 percentage points year-on-year. Net loss attributable to owners of the parent company was NT$189 million, turning into a loss compared to the same period last year, with a loss of NT$1.32 per share.