Group 1 - The core viewpoint of the article highlights that Yuehai Investment (00270) has seen a stock price increase of over 3%, with a current price of 7.35 HKD and a trading volume of 50.6043 million HKD [1] - Yuehai Investment reported a 1.3% year-on-year increase in total revenue from continuing operations, amounting to 14.281 billion HKD, primarily driven by growth in the water resources business, which offset declines in department store operations, road and bridge businesses, and power generation [1] - The company's net profit attributable to shareholders rose by 13.2% to 4.067 billion HKD during the same period [1] Group 2 - Huatai Securities expressed concerns regarding uncertainties related to the renewal of the Dongshen water supply project's franchise rights, water pricing, and transaction pricing; however, they believe that Yuehai Investment serves as an important platform for the Guangdong provincial state-owned assets in managing the Dongshen project, indicating strong visibility for renewal [1] - The DCF valuation for the Dongshen project is estimated to be between 45 billion to 62 billion HKD, and other water resources and business segments are expected to contribute stable profits and cash flow [1] - Even under pessimistic assumptions regarding transaction pricing, Yuehai Investment is still considered to have investment value [1]

Core Viewpoint - Yuehai Investment (00270) reported a 1.3% year-on-year increase in revenue for the first three quarters, driven primarily by growth in water resource business, despite declines in department store operations, road and bridge business, and power generation [1] Financial Performance - The unaudited consolidated revenue from continuing operations for the period was HKD 14.281 billion [1] - The unaudited consolidated profit attributable to owners of the company increased by 13.2% to HKD 4.067 billion [1] Market Concerns and Analysis - Concerns exist regarding the uncertainty of the East Shenzhen water supply project's franchise renewal, water pricing, and transaction pricing [1] - Huatai Securities believes that Yuehai Investment serves as an important platform for the Guangdong provincial state-owned enterprise in managing the East Shenzhen project, indicating strong visibility for renewal [1] - The discounted cash flow (DCF) valuation for the East Shenzhen project is estimated to be between HKD 45 billion to HKD 62 billion [1] Future Outlook - The East River water project is expected to maintain reasonable pricing levels [1] - Other water resources and business segments are anticipated to contribute stable profits and cash flow, suggesting that Yuehai Investment retains investment value even under pessimistic transaction pricing assumptions [1]

Investment Rating - Maintain "Buy" rating for the environmental protection industry [1] Core Views - The Fourth Plenary Session emphasizes integrating green development into the modern industrial system, accelerating market-oriented resource allocation, and addressing local government debt as a key task for the 14th Five-Year Plan [9][10] - The report highlights significant growth in the environmental sector, particularly in clean energy, recycling resources, and waste management, driven by policy support and market reforms [12][14] Policy Tracking - The Fourth Plenary Session outlines the importance of green transformation as a systemic project across economic and social development, with specific measures to achieve carbon peak and neutrality goals [9][10] - Key initiatives include accelerating the construction of a dual control system for carbon emissions, promoting green low-carbon energy transformation, and enhancing the circular economy [10][11] Industry Trends - The environmental protection sector is witnessing a surge in new energy sanitation vehicle sales, with a year-on-year increase of 63.18% and a penetration rate rise of 6.29 percentage points to 17.40% [6][9] - The report notes improvements in the profitability of biodiesel production, with stable prices for waste cooking oil and rising net profits [12][14] Investment Recommendations - Focus on clean energy operations, particularly in green electricity and green hydrogen, with specific companies recommended for investment [12][14] - In the recycling sector, companies involved in biofuels and recycled plastics are highlighted as key investment opportunities [12][14] - The report suggests that market-oriented pricing reforms in waste and water management will enhance cash flow stability and profitability for companies in these sectors [13][14] Company Tracking - Longjing Environmental plans to raise 2 billion yuan through a private placement to enhance its capital structure and support growth in green electricity and energy storage [12][14] - The report indicates that companies in the solid waste sector are experiencing improved cash flow and dividend payouts, with notable increases in free cash flow and dividend ratios [19][20]

Core Points - Yuehai Investment (00270) announced the appointment of Mr. He Zhifeng as a non-executive director effective from October 28, 2025 [1] - Ms. Wang Su Rong has submitted her resignation as a non-executive director of the company [1]

Group 1 - The company announced the appointment of Mr. He Zhifeng as a non-executive director effective from October 28, 2025 [1] - Ms. Wang Surong has submitted her resignation as a non-executive director of the company [1]

自 2025 年 10 月 28 日起，粤海投資有限公司董事會及董事委員會的成員 如下： | | | | 董事委員會 | 審核 | 薪酬 | 提名 | | --- | --- | --- | --- | --- | --- | --- | | 董事會 | | | | 委員會 | 委員會 | 委員會 | | 執行董事 | | | | | | | | 白 | 濤女士 | （主席） | | - | - | C | | 曠 | 虎先生 | （董事總經理） | | - | - | - | | 曾翰南先生 | | （副總經理） | | - | - | - | | 梁元娟女士 | | （財務總監） | | - | - | - | | 非執行董事 | | | | | | | | 王 | 閔先生 | | | - | - | - | | 李文昌先生 | | | | - | - | - | | 賀志鋒先生 | | | | - | - | - | | 獨立非執行董事 | | | | | | | | 陳祖澤博士 | | | | M | C | M | | 金紫荊星章、太平紳士 | | | | | | | | 馮華健先生 | | | | ...

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對 其準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任何部份 內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 （於香港註冊成立之有限公司） （股份代號：00270） 非執行董事變更 賀志鋒先生，47 歲。彼於中國中山大學取得經濟學學士學位（國際企業管 理專業）和法學博士學位（經濟社會學專業）。彼於 2006 年 12 月至 2017 年 7 月期間在廣東粵財投資控股有限公司（「粤財控股」）擔任包括辦公 室經理、辦公室高級經理、信託管理一部副總經理，以及粤財控股附屬公 司中銀粵財股權投資基金管理（廣東）有限公司總監、副總經理等多個職 務。彼亦於 2015 年 7 月至 2016 年 5 月期間曾兼任粤財控股另一附屬公司 廣東粤財創業投資有限公司總經理。彼於 2017年 7月至 2020年 9月期間， 1 董事會宣佈以下變更由 2025 年 10 月 28 日起生效： （1） 賀志鋒先生將獲委任為本公司非執行董事； （2） 王蘇榮女士提出辭任本公司非執行董事。 粤海投資有限公司（「本公司」）董事會（「董事會」）宣佈 ...

Core Insights - The company reported a consolidated revenue of HKD 14.281 billion for the nine months ending September 30, 2025, representing a 1.3% increase compared to HKD 14.099 billion in the same period of 2024 [1] - The unaudited consolidated profit attributable to the owners of the company increased by 13.2% to HKD 4.067 billion, up from HKD 3.593 billion in 2024 [1] - The revenue growth was primarily driven by an increase in the water resources business, which offset declines in revenue from department store operations, road and bridge businesses, and power generation [1]

Financial Performance - The group's unaudited revenue from continuing operations for the nine months ended September 30, 2025, was HKD 14,280.95 million, an increase of 1.3% compared to HKD 14,098.89 million in 2024[4] - The group's unaudited profit before tax from continuing operations increased by 9.5% to HKD 6,241.14 million, up from HKD 5,697.17 million in 2024[7] - The unaudited profit attributable to owners of the company from continuing operations was HKD 4,083.69 million, a 12.4% increase from HKD 3,632.77 million in 2024[7] - The unaudited equity attributable to owners of the company was HKD 41,762.33 million, a slight increase of 0.3% from HKD 41,658.02 million as of December 31, 2024[4] - The group distributed a special dividend of HKD 2,335 million in the form of shares of Yuehai Land Holdings Limited[8] Water Supply Operations - The group achieved a total water supply of 1.67 billion tons for the period, generating revenue of HKD 5,242 million, which is a 1.6% increase from HKD 5,159 million in 2024[10] - The pre-tax profit from the Dongshen Water Supply Project was HKD 3,596 million, reflecting a 3.9% increase from HKD 3,461 million in 2024[10] - The total water supply capacity of the group's subsidiaries and joint ventures is 8,886,800 tons per day, with wastewater treatment capacity at 2,297,900 tons per day as of September 30, 2025[14] - The total water supply capacity of ongoing water resource projects is 1,187,000 tons per day as of September 30, 2025[15] - Revenue from other water resource projects increased by 5.8% to HKD 5,611,484,000 for the period, compared to HKD 5,305,151,000 in 2024[15] - The pre-tax profit from other water resource projects decreased by 2.6% to HKD 1,601,407,000, down from HKD 1,644,176,000 in 2024[15] - The construction service revenue for other water resource projects was HKD 304,103,000, up from HKD 211,304,000 in 2024[15] Property Investment - Property investment income from Guangdong Tianhe City increased by 4.8% to HKD 1,261,736,000, compared to HKD 1,204,167,000 in 2024[16] - The pre-tax profit from property investment activities rose by 11.3% to HKD 767,178,000, up from HKD 689,281,000 in 2024[16] - The average rental rate for Tianhe City shopping centers showed a mixed performance, with some centers experiencing increases while others saw declines[17] - The total revenue from the Hong Kong investment building increased by 2.6% to HKD 35,984,000, compared to HKD 35,057,000 in 2024[18] Hotel and Management Services - The average room rate for the Sheraton Hotel was HKD 1,174, a decrease from HKD 1,217 in 2024, while the average occupancy rate increased to 93.5% from 92.7% in 2024[21] - The hotel management business revenue increased by 7.3% to HKD 504,805,000, compared to HKD 470,543,000 in 2024, but the pre-tax profit decreased by 20.3% to HKD 68,930,000[22] Energy and Transportation - The electricity sales volume of the Guangdong Energy Project increased by 24.0% to 2.594 billion kWh, but the revenue decreased by 3.5% to HKD 1,173,074,000 due to lower electricity prices[23] - The revenue from Guangdong Electric Power decreased by 21.4% to HKD 4,161,390,000, with a pre-tax profit of HKD 189,347,000, down from HKD 426,959,000 in 2024[24] - The average daily toll traffic for the Xingliu Expressway decreased by 7.1% to 24,472 vehicles, resulting in a toll revenue of HKD 445,555,000, down 7.0%[25] Economic Outlook and Strategic Plans - The global economic downturn risk is increasing, with major international organizations lowering global growth forecasts by an average of 0.4 percentage points[30] - The company aims to maintain steady improvement in core business operations while optimizing governance and risk management mechanisms[30] - The company plans to extend its water resource segment into high value-added areas, promoting business structure transformation and upgrading[30] - The company is focusing on the potential development opportunities brought by the "Guangdong-Hong Kong-Macao Greater Bay Area Development Plan" and is actively seeking market investment and acquisition opportunities[30] - The company aims to achieve new breakthroughs in profit growth and enhance overall operational performance and value[30] Audit and Financial Reporting - The unaudited financial data for the nine months ending September 30, 2025, has been reviewed by the company's audit committee[31] - Shareholders and potential investors are advised that the information provided is unaudited and should not be considered as an indicator of the company's financial performance[32]

Financial Performance - The consolidated profit attributable to owners of the Company for 9M25 increased by 13.2% to HK$4,067 million[2, 10] - Revenue for 9M25 increased by 1.3% to HK$14,281 million[10] - Net finance costs from continuing operations decreased by HK$295 million to HK$263 million[2] - Net gain arising from fair value adjustments for investment properties from continuing operations was HK$1 million (9M24: net loss of HK$73 million)[2] - Interim dividend increased by 11.2% to HK$0.2666 per share[10] Segment Results (Water Resources) - Dongjiang (East River) Water Supply Concession revenue and profit before tax (excluding net exchange differences and net finance costs) for 9M25 amounted to HK$5,242 million and HK$3,596 million respectively[18] - Other Water Projects revenue and profit before tax excluding net exchange differences and net finance costs for 9M25 amounted to HK$5,611 million and HK$1,601 million respectively[23] - The total designed water supply capacity of the Group's Other Water Resources Projects as at 30 September 2025 are 16.60 million tons per day[21] - The total waste water processing capacity of the Group's Other Water Resources Projects as at 30 September 2025 are 3.09 million tons per day[21] Segment Results (Property Investment & Department Store Operation) - GDH Teem's Property Investment Business Revenue for 9M25 was HK$767 million[31] - Department Store Operation Revenue for 9M25 was HK$582 million[34] Segment Results (Hotel Operations and Management) - Total hotels operated as at 30 September 2025: 7 hotels[37]