Core Viewpoint - Morgan Stanley reports that China Resources Gas (01193) significantly underperformed the market in the past year, indicating that while the stock price may stabilize, there are no observed key operational indicators that could drive the stock price upward [1] Summary by Category Financial Performance - The company's urban gas business profitability is likely to remain under pressure due to limited sales growth and gross margin expansion potential, alongside a continued decline in new connection volumes [1] - Overall profitability is expected to record a year-on-year decline in single digits, with low visibility for growth in 2026 [1] Forecast Adjustments - The firm has lowered its earnings forecasts for 2025 to 2027 by 3% to 4% [1] - The target price has been slightly increased from HKD 18.5 to HKD 19, while maintaining a "Neutral" rating [1] Business Segments - The comprehensive service business is anticipated to recover to positive growth in the second half of the year due to a low base effect [1]

Group 1 - The core viewpoint of the article indicates that China Resources Gas (01193) significantly underperformed the market in the past year, and while the stock price may stabilize, there are no observed key operational indicators that could drive the stock price upward [1] - The urban gas business is expected to face continued profit pressure due to limited sales growth and gross margin expansion potential, along with a decline in new connection volumes [1] - Although the comprehensive service business may see a recovery in positive growth in the second half of the year due to a low base, the overall profitability of the company is likely to record a year-on-year decline in single digits [1] Group 2 - The earnings visibility for 2026 remains low, prompting a downward revision of the profit forecast for 2025 to 2027 by 3% to 4% [1] - The target price for the stock has been slightly raised from HKD 18.5 to HKD 19, while maintaining a "neutral" rating [1]

Core Points - The article discusses a legal awareness event held in Zhenjiang, focusing on property management and gas safety regulations, aimed at educating property service companies about legal compliance and responsibilities [1][2] - The event was organized by multiple local authorities, including the Municipal Housing and Urban-Rural Development Bureau, and involved nearly 60 property service companies and over 90 project managers [1][2] Summary by Sections Legal Awareness and Compliance - The event highlighted recent cases of illegal activities in property management, emphasizing the importance of understanding legal obligations and the consequences of violations [2] - Specific penalties for common violations in the property sector were outlined, such as fines ranging from 50,000 to 200,000 RMB for refusing to exit service areas and double penalties for misappropriating public funds [1] Gas Safety Management - Zhenjiang Huaren Gas Company provided specialized training on the protection of gas facilities and safety management responsibilities, aiming to enhance safety awareness and emergency response capabilities among participants [2] - The initiative aligns with broader efforts to address corruption and misconduct in local communities, reinforcing the need for property companies to learn, understand, and apply relevant laws [2]

Investment Rating - The investment rating for the company is "Buy" (maintained) [6] Core Views - The company's performance is under short-term pressure, but dividend and share buyback plans demonstrate confidence [6] - The company reported a decrease in retail gas volume and net profit in H1 2025, influenced by various external factors [8] - The company is optimizing its gas supply system and diversifying its resource procurement to improve cost efficiency [8] - The gas connection business is under pressure due to the real estate sector's downturn, but the overall business structure is improving [8] - The comprehensive service business is facing short-term challenges, while the comprehensive energy segment continues to grow [8] - Financial costs have improved significantly, and the company is committed to maintaining dividends [8] Financial Performance Summary - For H1 2025, the company achieved revenue of 49.785 billion HKD, a decrease of 4.4% year-on-year, and a net profit of 2.403 billion HKD, down 30.5% year-on-year [8] - The company plans to distribute a mid-year dividend of 0.30 HKD per share, a 20% increase year-on-year [8] - The company's revenue and profit from gas sales accounted for 90.80% and 73.69% of total revenue and profit, respectively [8] - The company expects net profits for 2025-2027 to be 4.201 billion, 4.807 billion, and 5.273 billion HKD, with corresponding growth rates of 2.76%, 14.43%, and 9.70% [8][9]

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8月31日 狀態: 新提交 | 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) | 01193 | 說明 | | | | | | | | | | | 法定/註冊股份數目 | | | 面值 | | | 法定/註冊股本 | | | 上月底結存 | | | 10,000,000,000 | HKD | | 0.1 | HKD | | 1,000,000,000 | | 增加 / 減少 (-) | | | | | | | HKD | | | | 本月底結存 | | | 10,000,000,000 | HKD | | 0.1 | HKD | | 1,000,000,000 | 本月底法定/註冊股本總額： HKD 1,000,000,000 FF301 第 1 頁 共 10 頁 v 1.1.1 致：香港交易 ...

Investment Rating - The investment rating for China Resources Gas (01193.HK) is "Buy" (maintained) [1] Core Views - The company's H1 2025 operating data fell short of expectations, with a revenue of HKD 49.79 billion, down 4.4% year-on-year, and a net profit of HKD 2.40 billion, down 30.5% year-on-year. The proposed interim dividend is HKD 0.30 per share, an increase of 20% year-on-year, with a payout ratio of 29% [7] - The decline in performance is attributed to a decrease in retail gas volume and a drop in income from comprehensive services and connections. The company anticipates low single-digit growth in retail gas volume for the full year 2025, with a slight increase in gross margin [7] - The company is managing capital expenditures and enhancing shareholder returns, with operating cash flow of HKD 3.01 billion in H1 2025 and a commitment to maintain or increase dividend payouts [7] Financial Summary - Revenue projections for 2023A, 2024A, 2025E, 2026E, and 2027E are HKD 101.27 billion, HKD 102.68 billion, HKD 92.87 billion, HKD 95.67 billion, and HKD 99.04 billion respectively, with a year-on-year change of 7.35%, 1.39%, -9.55%, 3.01%, and 3.53% [1] - The net profit forecasts for the same years are HKD 5.22 billion, HKD 4.09 billion, HKD 3.73 billion, HKD 3.97 billion, and HKD 4.29 billion, reflecting year-on-year changes of 10.36%, -21.74%, -8.82%, 6.59%, and 7.91% [1] - The latest diluted EPS for 2025E is projected at HKD 1.61, with corresponding P/E ratios of 12.35, 11.59, and 10.74 for 2025E, 2026E, and 2027E respectively [1][8]

Core Viewpoint - DBS reported that China Resources Gas (01193) experienced a 30.5% year-on-year decline in net profit for the first half of the year, falling short of expectations, primarily due to weak new connection volumes and sluggish comprehensive service operations [1] Financial Performance - The company's net profit dropped by 30.5% year-on-year, indicating significant underperformance against market expectations [1] - The forecast for comprehensive service revenue is expected to show negative growth as the company adjusts its development strategy [1] Market Conditions - The ongoing sluggish real estate market continues to suppress new connection demand, impacting overall performance [1] Earnings Forecast - Earnings forecasts for 2025 and 2026 have been revised downwards by 6% and 12% respectively, reflecting a cautious outlook [1] Investment Rating - Based on a prudent outlook, the rating is maintained at "Hold," with the target price adjusted from HKD 24.3 to HKD 20.5 [1] - The stock is still considered to offer an attractive dividend yield of over 5% [1]

Core Viewpoint - DBS reported that China Resources Gas (01193) experienced a 30.5% year-on-year decline in net profit for the first half of the year, falling short of expectations, primarily due to weak new connection volumes and comprehensive service business [1] Financial Performance - The company's net profit decreased by 30.5% year-on-year, which was below market expectations [1] - The forecast for comprehensive service revenue is expected to show negative growth due to a strategic adjustment by the company and ongoing weakness in the real estate market, which continues to suppress new connection demand [1] Earnings Forecast - DBS has revised down its earnings forecasts for 2025 and 2026 by 6% and 12% respectively [1] Investment Rating - Based on a cautious outlook, DBS maintains a "Hold" rating and has lowered the target price from HKD 24.3 to HKD 20.5 [1] - The stock is still considered to provide an attractive dividend yield of over 5% [1]

Core Viewpoint - Daiwa's report indicates that China Resources Gas (01193) experienced a 30% year-on-year decline in net profit for the first half of the year, suggesting potential management issues as it underperformed compared to peers, which may lead investors to demand a higher risk premium [1] Financial Performance - The company reported a 30% decline in net profit year-on-year for the first half of the year [1] - As the last city gas company to announce its half-year results, the performance of China Resources Gas was notably weaker across almost all metrics compared to its industry peers [1] Analyst Adjustments - Daiwa has revised its earnings per share forecasts for the company downwards by 19% to 25% for the years 2025 to 2027 [1] - The target price for China Resources Gas has been lowered from HKD 19.9 to HKD 16 [1] - The rating for the company has been set to "Sell" [1]

Core Viewpoint - The report from Daiwa indicates that China Resources Gas (01193) experienced a 30% year-on-year decline in net profit for the first half of the year, suggesting potential management issues and leading to a demand for higher risk premiums from investors [1] Financial Performance - China Resources Gas reported a 30% decrease in net profit compared to the previous year [1] - The company is the last urban gas company to announce its half-year results, and its performance is below that of its peers in almost all aspects [1] Analyst Adjustments - Daiwa has revised its earnings per share forecasts for China Resources Gas downwards by 19% to 25% for the years 2025 to 2027 [1] - The target price for the company has been reduced from HKD 19.9 to HKD 16 [1] - The rating for China Resources Gas has been set to "Sell" [1]