Core Viewpoint - Delixi Co., Ltd. is undergoing a potential change in control, as notified by its controlling shareholder and actual controller, Shi Weidong, leading to a temporary suspension of trading for the company's stock [1][6]. Group 1: Company Overview - Delixi Co., Ltd., founded by Shi Weidong, is headquartered in Fengyang, Anhui, and specializes in the research and manufacturing of various glass products, becoming a leading manufacturer of glassware in China over the past two decades [4]. - The company has faced continuous operational challenges, reporting losses of 110 million yuan, 86 million yuan, and 173 million yuan for the years 2022 to 2024, respectively [4]. - In the first half of 2025, the company reported a net profit loss of 45 million yuan, a staggering decline of 491% compared to the same period last year [4]. Group 2: Business Transformation Efforts - Delixi attempted to pivot its business model by entering the photovoltaic glass market, establishing a wholly-owned subsidiary, Delixi Energy, in 2020, and signing a five-year procurement agreement with Longi Green Energy for at least 250 million square meters of photovoltaic glass from 2022 to 2026, with a total contract value estimated at 5.531 billion yuan [4]. - However, the photovoltaic glass project faced significant challenges, as indicated in the 2025 semi-annual report, which noted that the project was idled due to the overall downturn in the photovoltaic industry [4]. Group 3: Recent Investment Adjustments - In July 2023, Delixi announced the termination of two external investment projects, the Beihai Company and the Delixi Pharmaceutical Glass project, which had not progressed to substantial construction over nearly five years [5]. - The company also disclosed an asset sale plan, agreeing to sell its 100% stake in Fengyang Derui Mining Co., Ltd. for 135 million yuan, which is expected to result in a loss of approximately 6.5 million yuan [5]. Group 4: Market Performance and Trading Suspension - Prior to the trading suspension, Delixi's stock closed at 8.32 yuan per share on September 30, 2023, reflecting a 6.12% increase on that day, with a total market capitalization of 3.3 billion yuan [6].

Core Viewpoint - Delixi Co., Ltd. is undergoing a potential change in control, as announced by its major shareholder and actual controller, Shi Weidong, on October 8. The specific transaction plan and agreement terms are still under further verification and negotiation [1]. Company Overview - Delixi Co., Ltd. was founded in 1996 by Shi Weidong and is headquartered in Fengyang, Anhui. The company specializes in the research and manufacturing of various glass products, including household glass, solar glass, packaging glass, optical glass, heat-resistant appliance glass, and crystal glass. It is recognized as the leading manufacturer of glassware in China and the largest household glass factory in the Asia-Pacific region [4]. Financial Performance - The company has faced continuous losses, with net profits attributable to the parent company reported as follows: a loss of 110 million yuan in 2022, 85.5094 million yuan in 2023, and 173 million yuan in 2024. In the first half of 2025, the net profit attributable to the parent company was a loss of 45.3166 million yuan, representing a year-on-year decline of 490.74% [4]. Business Challenges - Delixi Co., Ltd. established a wholly-owned subsidiary, Delixi Solar, in 2020 to enter the promising photovoltaic glass materials sector. In 2021, it signed a five-year procurement agreement for photovoltaic glass with Longi Green Energy. However, the company reported that both photovoltaic glass and daily-use glass faced pressures from insufficient capacity digestion and weak market demand due to global political and economic conditions [5]. - The company experienced significant losses due to fluctuating prices of key raw materials such as sodium antimonate and soda ash, as well as international shipping costs. The decline in photovoltaic glass prices further exacerbated the financial difficulties [5]. - In the 2025 semi-annual report, Delixi Co., Ltd. noted that its subsidiary, Bengbu Solar, achieved production quality comparable to industry leaders. However, the overall downward trend in the photovoltaic industry led to supply-demand imbalances and price declines, impacting profitability. To mitigate cash flow losses, the subsidiary temporarily halted production, affecting the company's overall profitability [6]. - The domestic trade of daily-use glass remained stable, but external trade faced challenges due to fluctuations in shipping costs. The entire industry continues to experience low profitability, with high inventory pressures not yet alleviated, compounded by the effects of international political and economic conditions [6].

股份發行人及根據《上市規則》第十九B章上市的香港預託證券發行人的證券變動月報表 | 截至月份: | 2025年9月30日 | 狀態: | 新提交 | | --- | --- | --- | --- | | 致：香港交易及結算所有限公司 | | | | | 公司名稱: | 中國光大環境(集團)有限公司 (於香港註冊成立之有限公司) | | | | 呈交日期: | 2025年10月2日 | | | | I. 法定/註冊股本變動 不適用 | | | | FF301 第 1 頁 共 10 頁 v 1.1.1 FF301 II. 已發行股份及/或庫存股份變動 | 1. 股份分類 | 普通股 | 股份類別 | 不適用 | | 於香港聯交所上市 (註1) | 是 | | | --- | --- | --- | --- | --- | --- | --- | --- | | 證券代號 (如上市) | 00257 | 說明 | | | | | | | | | 已發行股份（不包括庫存股份）數目 | | 庫存股份數目 | | 已發行股份總數 | | | 上月底結存 | | | 6,142,975,292 | | 0 | | 6,1 ...

Investment Rating - The report does not explicitly state an investment rating for the industry Core Insights - In August, the electricity consumption growth rate in the secondary industry increased, contributing the largest increment to total electricity consumption, accounting for 59% of the total increase [3][7] - The total electricity consumption in August reached 10,154 billion kWh, a year-on-year increase of 5.0% [3][6] - The manufacturing sector saw a record monthly growth rate for the year, with high-tech and equipment manufacturing electricity consumption growing by 9.1%, surpassing the average manufacturing growth rate by approximately 4.6 percentage points [3][7] Summary by Sections 1. Electricity: August Secondary Industry Consumption Growth - The total electricity consumption in August was 10,154 billion kWh, with a year-on-year growth of 5.0% [3][6] - The first industry consumed 164 billion kWh (9.7% growth), the second industry consumed 5,981 billion kWh (5.0% growth), the third industry consumed 2,046 billion kWh (7.2% growth), and residential consumption was 1,963 billion kWh (2.4% growth) [3][8] - The secondary industry contributed the most to the total electricity consumption increase, with a significant growth in manufacturing, particularly in high-tech and equipment manufacturing [6][7] 2. Gas: Supply and Demand Stability - Global gas prices have shown narrow fluctuations, with the Henry Hub spot price at $2.90/mmBtu, a weekly increase of 0.17% [16][19] - The LNG national ex-factory price was 4,016 yuan/ton, with a slight weekly decrease of 0.07% [16][36] - The report suggests a positive outlook for city gas companies due to cost reductions and improved profitability [38] 3. Weekly Market Review - The public utility and environmental protection sectors underperformed compared to the CSI 300 index, while the electric equipment sector outperformed [40][42] 4. Company and Industry Dynamics - The report highlights recent government initiatives aimed at promoting high-quality development in energy equipment, focusing on enhancing the efficiency of energy conversion equipment and advancing renewable energy technologies [49] - Key announcements from companies include significant contract wins and strategic investments aimed at enhancing operational capabilities and market positioning [50]

Investment Rating - The report maintains a positive outlook on the power and gas sectors, recommending specific companies for investment based on their performance and market conditions [3][16][18]. Core Insights - The report highlights that in August, the total electricity consumption reached 10,154 billion kWh, marking a year-on-year growth of 5.0%. The second industry contributed the largest increase, accounting for 59% of the total electricity increment [3][8][9]. - The report notes that global gas prices are experiencing slight fluctuations, with the Henry Hub spot price at $2.90/mmBtu and the TTF spot price at €32.15/MWh as of September 26 [18][19]. - The report emphasizes the stable growth in electricity consumption driven by high temperatures and government policies aimed at boosting consumption [8][9]. Summary by Sections 1. Electricity Sector - In August, the second industry saw a significant increase in electricity consumption, with a year-on-year growth of 5.0% and contributing 59% to the total electricity increment [3][9]. - The manufacturing sector achieved a record monthly growth rate, particularly in high-tech and equipment manufacturing, which grew by 9.1% year-on-year [9][10]. - The report recommends investments in hydropower, green energy, nuclear power, and thermal power companies, citing favorable conditions for growth and profitability [16][17]. 2. Gas Sector - The report indicates that the supply-demand dynamics for gas remain stable, with slight fluctuations in global gas prices. The LNG price in Northeast Asia decreased by 2.61% to $11.20/mmBtu [18][19]. - It highlights the steady increase in U.S. natural gas inventories and the impact of mild weather on heating and cooling demands, leading to low price volatility [21][27]. - The report suggests focusing on integrated gas companies and city gas firms that are expected to benefit from cost reductions and improved profitability [41][42]. 3. Market Performance Review - The report notes that the public utility and environmental sectors underperformed compared to the Shanghai and Shenzhen 300 indices, while the power equipment sector outperformed [43][44]. 4. Company and Industry Dynamics - Recent government initiatives aim to enhance the quality of energy equipment and promote the development of renewable energy sources [52]. - The report includes updates on major companies' announcements, including contract wins and strategic investments, which are expected to positively impact their future performance [52][53]. 5. Key Company Valuation Table - The report provides a valuation table for key companies in the public utility and environmental sectors, indicating their market positions and potential for growth [54].

Group 1: Green Electricity Direct Connection Policy - The National Development and Reform Commission and the National Energy Administration have jointly issued a notice to promote the development of green electricity direct connection, aiming to explore innovative models for the integration of new energy production and consumption [1] - The policy is the first national-level regulation regarding green electricity direct connection, balancing efficiency and fairness, and aims to optimize the power grid allocation mechanism [1] - The implementation of this policy is expected to facilitate the local consumption of new energy, meet actual green electricity demands, and reduce costs for end users [1] Group 2: Waste-to-Energy Industry Outlook - According to CITIC Securities, the waste-to-energy industry is expected to see a narrowing revenue decline in the first half of 2025, with performance stabilizing and improving trends in both operational and non-operational aspects [2] - Renewable energy subsidy funds have reached a high point since 2020, indicating that the profit and cash flow mismatch issues faced by waste-to-energy companies may be resolved, leading to potential revaluation of undervalued companies in the sector [2] - The industry is showing positive signals for dividends in the first half of 2025, with expectations for increased returns [2] Group 3: Company-Specific Developments - China Everbright Environment (00257.HK) reported a 10% year-on-year decline in net profit for the first half of the year, but a 23% increase in pre-tax profit when excluding one-time projects, exceeding expectations [3] - The company has increased its interim dividend by 1 Hong Kong cent, with a payout ratio of 42%, up 7 percentage points year-on-year, and is expected to have an attractive annual yield of 6.5% [3] - The company has adjusted its earnings per share forecasts for 2025 to 2027 upwards by 23% to 38%, reflecting improvements in gross margins and reduced impairment losses [3] Group 4: YUEFENG Environmental Protection Developments - YUEFENG Environmental Protection (01381) is a leading company in the waste-to-energy sector, having received a total of 3,331,857 green electricity certificates for its 13 waste incineration power projects [4] - The company’s Yingkou waste incineration project has been certified for carbon reduction, marking the first instance of a waste-to-energy project in China approved under the voluntary carbon standard in 12 years [4] - The company is expected to pursue low-carbon production and certification of emission reductions for more projects in the future [4]

Group 1: Green Electricity Direct Connection Policy - The National Development and Reform Commission and the National Energy Administration have jointly issued a notice to promote the development of green electricity direct connection, aiming to explore innovative models for the integration of new energy production and consumption [1] - The policy is the first national-level regulation regarding green electricity direct connection, balancing efficiency and fairness, and aims to facilitate local consumption of new energy and meet actual green electricity demands [1][2] - The policy supports the direct connection of new energy generation with data centers, enhancing energy efficiency and cost reduction for end users [1][2] Group 2: Waste-to-Energy Industry Outlook - The waste-to-energy industry is expected to see a narrowing decline in revenue in the first half of 2025, with signs of stabilization and improvement in both operational and non-operational aspects [2] - Renewable energy subsidy funds have reached a high point since 2020, indicating potential resolution of profit and cash flow mismatches for waste-to-energy companies, leading to a possible revaluation of undervalued firms [2] - Positive signals for industry dividends are emerging, with expectations for increased returns in the sector [2] Group 3: Company-Specific Developments - Everbright Environment (00257.HK) reported a 10% year-on-year decline in net profit for the first half of the year, but a 23% increase in pre-tax profit when excluding one-time projects, exceeding expectations [3] - Everbright Environment's interim dividend increased by 1 Hong Kong cent, with a payout ratio of 42%, up 7 percentage points year-on-year, and projected annual returns of 6.5% [3] - Guangdong Environmental Protection (01381) is a leading company in the waste-to-energy sector, having received over 3.3 million green electricity certificates for its projects, and is actively pursuing low-carbon production and emission reduction certifications [4]

Investment Rating - The report does not explicitly state an investment rating for the industry Core Views - The report highlights that in August 2025, the average daily power generation exceeded 30 billion kilowatt-hours for the first time, with a total industrial power generation of 936.3 billion kilowatt-hours, reflecting a year-on-year growth of 1.6% [4][7][53] - The report emphasizes the continuous improvement in the power generation structure, with significant contributions from clean energy sources such as wind and solar power, amidst ongoing dual carbon policies and the development of a new power system [8][9][12] Summary by Sections 1. Power Generation - In August 2025, the total power generation reached 936.3 billion kilowatt-hours, with a daily average of 30.2 billion kilowatt-hours, marking a 1.6% increase year-on-year [4][7] - The breakdown of power generation types shows that thermal power generation increased by 1.7%, nuclear power by 5.9%, wind power by 20.2%, and solar power by 15.9%, while hydropower decreased by 10.1% [9][12] - Wind power contributed the most to the increase in power generation, adding 12.4 billion kilowatt-hours compared to the same month last year [8][9] 2. Natural Gas - The report indicates a stable supply-demand balance in the natural gas market, with global gas prices experiencing slight fluctuations [18][19] - As of September 19, 2025, the Henry Hub spot price was $2.89/mmBtu, reflecting a weekly decrease of 1.80% [19][21] - The report suggests that the LNG prices in Northeast Asia remained stable at $11.50/mmBtu, with expectations of a further decline in prices as summer heat waves end [18][35] 3. Investment Analysis - Recommendations for investment include: - Hydropower: Favorable financial conditions due to interest rate cuts, with suggested companies being Guotou Power, Chuan Investment Energy, and Yangtze Power [16] - Green Energy: Increased stability in returns for renewable energy operators, with a focus on companies like Xintian Green Energy and Longyuan Power [16] - Nuclear Power: Continued approval of new units, with recommendations for China Nuclear Power and China General Nuclear Power [16] - Thermal Power: Improved profitability due to falling coal prices, with recommendations for Guodian Power and Huaneng International [16] - Gas Utilities: Favorable conditions for city gas companies, with recommendations for Kunlun Energy and New Hope Energy [40]

Investment Rating - The report maintains a positive outlook on the power and gas sectors, indicating a favorable investment environment for these industries [4]. Core Insights - In August, the average daily power generation exceeded 30 billion kilowatt-hours for the first time, with total industrial power generation reaching 936.3 billion kilowatt-hours, a year-on-year increase of 1.6% [9][57]. - The report highlights the continued growth of thermal power and the significant contribution of renewable energy sources, particularly wind and solar power, to the overall power generation increase [10][11]. - Global gas prices are experiencing narrow fluctuations, with a stable supply-demand balance in the market, particularly in the U.S. and Europe [20][29]. Summary by Sections 1. Power Generation - In August, the total power generation was 936.3 billion kilowatt-hours, with a daily average of 30.2 billion kilowatt-hours, marking a 1.6% increase year-on-year [9][57]. - The breakdown of power generation types shows thermal power at 6,274 billion kilowatt-hours (up 1.7%), hydropower at 1,479 billion kilowatt-hours (down 10.1%), nuclear power at 645 billion kilowatt-hours (up 5.9%), wind power at 738 billion kilowatt-hours (up 20.2%), and solar power at 538 billion kilowatt-hours (up 15.9%) [11][58]. - The report emphasizes the strong growth of renewable energy, with wind and solar power showing significant year-on-year increases of 20.2% and 15.9%, respectively [10][11]. 2. Natural Gas - As of September 19, the Henry Hub spot price was $2.89/mmBtu, reflecting a weekly decrease of 1.80%, while the TTF spot price in Europe remained stable at €32.00/MWh [20][21]. - The report notes that U.S. natural gas production remains high, contributing to a stable supply-demand balance and low price fluctuations [23][29]. - The LNG ex-factory price in China was 4,019 yuan/ton, with a weekly decrease of 0.84%, indicating a softening market due to weak domestic demand [41][44]. 3. Investment Recommendations - For hydropower, the report recommends companies like Guotou Power, Chuan Investment Energy, and Yangtze Power due to stable growth and financial benefits from interest rate cuts [18]. - In the renewable energy sector, companies such as Xintian Green Energy and Funi Co. are highlighted for their stable returns and high profitability [18]. - The report suggests focusing on integrated natural gas traders like New Hope Energy and Shenzhen Gas, as well as city gas companies benefiting from cost reductions [44].

Investment Rating - The industry investment rating is "Positive" and maintained [10] Core Viewpoints - The Ministry of Finance's comprehensive debt reduction measures have been effectively implemented since the fourth quarter of last year, with a focus on accelerating the issuance of local government special bonds and improving cash flow for environmental sectors [2][4][20] - The report highlights that the average interest cost of replaced debts has decreased by over 2.5 percentage points, saving more than 450 billion yuan in interest expenses [4][19] - The report anticipates that the early allocation of part of the 2026 new local government debt limit will further enhance cash flow for various environmental sectors [4][20] Summary by Sections Debt Issuance Progress - As of August 2025, 40% of the 60 billion yuan special debt limit for 2024-2026 has been issued, with 27.8 billion yuan of new local government special bonds issued this year [4][19] - The issuance of special refinancing bonds for debt replacement has accelerated, with 99% of the 2 trillion yuan quota for 2025 already in place [6][21] Cash Flow Improvement - The report suggests that the acceleration of debt reduction will benefit multiple environmental sectors, particularly those with significant government receivables [7][36] - The focus on debt reduction is expected to lead to a substantial improvement in cash flow for To G enterprises, as the government is committed to resolving hidden debt risks [5][20] Investment Logic - Two recommended investment strategies are identified: 1. Value side: Focus on sectors with large absolute receivables and low risk, such as waste incineration and water operations [7][38] 2. Elasticity side: Pay attention to sectors with low price-to-book ratios and high government receivables, where performance is significantly affected by credit impairment losses [7][38] Special Debt Utilization - The report notes that the use of special bonds for clearing government debts has become a new purpose for local government special bonds, with a focus on addressing overdue payments to enterprises [6][35]