Lanzhou Great Wall Electrical Engineering Co., Ltd. 2025 Semi-Annual Performance Forecast [Core Performance Forecast Data](index=1&type=section&id=I.%20Current%20Period%20Performance%20Forecast) The company anticipates a loss for the first half of 2025, with estimated net profit attributable to shareholders of approximately **-114 million RMB** and non-recurring net profit of **-131 million RMB**, based on unaudited preliminary figures Estimated Financial Performance for H1 2025 | Indicator | Estimated Amount (RMB) | | :--- | :--- | | Net Profit Attributable to Shareholders of Listed Company | Approx. -114 million | | Net Profit Attributable to Shareholders of Listed Company After Non-Recurring Items | Approx. -131 million | - This performance forecast applies to situations where net profit is negative and is unaudited by a certified public accountant[3](index=3&type=chunk)[6](index=6&type=chunk) - The statistical period for this performance forecast is from January 1, 2025, to June 30, 2025[4](index=4&type=chunk) [Comparison with Prior Period Performance](index=1&type=section&id=II.%20Operating%20Performance%20and%20Financial%20Status%20in%20Prior%20Period) The company expects a larger loss in H1 2025 compared to H1 2024, with prior year net profit attributable to owners at **-80.98 million RMB** and non-recurring net profit at **-95.05 million RMB** Comparative Financial Performance: H1 2025 (Forecast) vs. H1 2024 (Actual) | Financial Indicator | 2025 H1 (Forecast) | 2024 H1 (Actual) | | :--- | :--- | :--- | | Net Profit Attributable to Parent (RMB) | Approx. -114 million | -80.98 million | | Non-Recurring Net Profit Attributable to Parent (RMB) | Approx. -131 million | -95.05 million | | Earnings Per Share (RMB) | Not Disclosed | -0.1833 | [Analysis of Forecasted Loss](index=2&type=section&id=III.%20Primary%20Reasons%20for%20Current%20Period%20Forecasted%20Loss) The forecasted loss is primarily due to decelerated market demand, intensified competition, reduced orders, and a year-over-year revenue decline, with fixed operating costs exacerbating the loss - Slowdown in market demand and intensified competition are core external factors contributing to the performance decline[10](index=10&type=chunk) - Influenced by market conditions, the company experienced a reduction in orders, leading to a year-over-year decrease in revenue[10](index=10&type=chunk) - Against the backdrop of declining revenue, the allocation of fixed operating expenses resulted in an operating loss for the company[10](index=10&type=chunk) [Risk Warning and Other Explanations](index=2&type=section&id=IV.%20Risk%20Warning) The company states this unaudited performance forecast is a preliminary calculation with no significant uncertainties, advising investors to refer to the official 2025 semi-annual report for final data and to be aware of investment risks - This performance forecast is a preliminary calculation by the company's finance department and has not been audited by a certified public accountant[11](index=11&type=chunk) - The company declares that there are no uncertain factors affecting the accuracy of this performance forecast[11](index=11&type=chunk) - The final accurate financial data will be based on the company's officially disclosed 2025 semi-annual report, reminding investors to be aware of investment risks[12](index=12&type=chunk)

Core Viewpoint - Great Wall Electric (600192) is expected to report a net profit of approximately -114 million yuan for the first half of 2025, indicating a significant financial downturn due to reduced market demand and increased competition [1] Financial Performance - The company anticipates a net profit attributable to shareholders of the listed company of about -114 million yuan for the first half of 2025 [1] - The net profit excluding non-recurring gains and losses is projected to be around -131 million yuan [1] Market Conditions - The decline in orders and revenue is attributed to a slowdown in market demand and intensified competition [1] - Fixed operating expenses allocation has also contributed to the company's operational losses during this period [1]

Core Viewpoint - Longcheng Electric (600192) experienced a significant drop, hitting the daily limit down with a trading volume of 9.26 billion yuan and a turnover rate of 19.98% [2] Trading Activity - The stock was listed on the Shanghai Stock Exchange due to a daily decline of 10.48%, with a total net sell of 8.0456 million yuan from brokerage seats [2] - The top five brokerage seats accounted for a total transaction of 126 million yuan, with a buying amount of 59.0377 million yuan and a selling amount of 67.0833 million yuan, resulting in a net sell of 8.0456 million yuan [2] - The largest buying brokerage was Dongfang Caifu Securities, with a purchase amount of 15.8937 million yuan, while the largest selling brokerage was China Galaxy Securities, with a selling amount of 24.4292 million yuan [2] Fund Flow - The stock saw a net outflow of 35.4265 million yuan in main funds today, with a significant outflow of 27.8315 million yuan from large orders and 7.5950 million yuan from big orders [3] - Over the past five days, the main funds experienced a net outflow of 248 million yuan [3] Financial Performance - In the first quarter, the company reported a revenue of 285 million yuan, a year-on-year decrease of 26.23%, and a net loss of 39.9298 million yuan [3]

Group 1 - The power grid equipment sector is experiencing a downturn, with significant declines in stock prices [1] - Great Wall Electric (600192) hit the daily limit down, indicating severe market reaction [1] - Xinning Electric (301388) fell over 10%, reflecting broader sector weakness [1] Group 2 - Other companies such as Songsheng Co. (301002), Zhongli Group (002309), Zhiyang Innovation, Keta Power (300153), and Caneng Electric also saw declines [1]

Core Insights - The A-share market saw a significant rise in charging pile concept stocks following the release of a government notice aimed at optimizing the construction of high-power charging infrastructure in China [1][2] - The notice outlines nine measures to enhance the layout and quality of charging facilities, addressing issues such as uneven development and user experience [2][4] Group 1: Industry Growth and Infrastructure Development - As of March 2025, China's charging infrastructure is projected to reach 13.749 million units, a year-on-year increase of 47.6%, with public charging facilities accounting for 3.9 million units [2] - The notice aims for over 100,000 high-power charging facilities nationwide by the end of 2027, with a focus on improving service quality and technology application [3][4] - The current public charging infrastructure includes 4.083 million public charging piles, with a 33.9% year-on-year growth [3] Group 2: Operational Management and Investment - The notice emphasizes the need for better management of high-power charging facilities, including the establishment of intelligent operation and maintenance platforms to enhance monitoring and fault handling capabilities [4][5] - It encourages long-term leasing agreements and financial support mechanisms to address challenges such as high costs and long investment recovery periods in the charging industry [4][5] Group 3: Technological Advancements and Challenges - The industry is experiencing a shift towards higher power charging technologies, with a focus on 250kW and above charging facilities, although the current utilization rates indicate room for improvement [3][6] - The integration of high-power charging facilities with the power grid is crucial, with the notice calling for research on the impact of charging loads on regional distribution systems [7] - Challenges remain in the economic viability of ultra-fast charging stations, with operators reporting low utilization rates and high equipment costs [6][7]

Summary of Key Points Core Viewpoint - 长城电工 (600192) experienced a significant increase in stock price, reaching the daily limit, with a trading volume of 1.335 billion yuan and a turnover rate of 27.48% on the day of the report [2][3]. Trading Activity - The stock was listed on the龙虎榜 due to a daily fluctuation of 16.52%, a daily price deviation of 10.02%, and a turnover rate of 27.48% [2]. - The total net buying from brokerage seats amounted to 13.54 million yuan, with the top buying brokerage being 国泰海通证券, which purchased 25.08 million yuan worth of shares [2][3]. Recent Performance - Over the past six months, the stock has appeared on the龙虎榜 seven times, with an average price increase of 5.45% the day after being listed and an average increase of 11.56% over the following five days [3]. - The stock saw a net inflow of 104 million yuan in main funds on the reporting day, with a significant inflow of 112 million yuan from large orders, while smaller orders saw a net outflow of 7.91 million yuan [3]. Financial Results - The company reported a revenue of 285 million yuan for the first quarter, reflecting a year-on-year decline of 26.23%, and a net loss of approximately 39.93 million yuan [3].

Market Overview - The A-share market experienced slight fluctuations, with the Shanghai Composite Index opening lower but turning positive in the afternoon, while small-cap growth stocks were relatively active [1] - The overall trading volume decreased to 1.23 trillion yuan, with more stocks rising than falling [1] Index Performance - Shanghai Composite Index: 3473.13, up 0.02% - Shenzhen Component Index: 10435.51, down 0.70% - ChiNext Index: 2130.19, down 1.21% - SSE 50 Index: 2731.53, down 0.33% - CSI 300 Index: 3965.17, down 0.43% - STAR 50 Index: 4978.29, down 0.66% - North Exchange 50 Index: 1401.92, down 0.93% [2] Sector Performance - Sectors with notable gains included power generation, real estate, and diversified finance, while sectors such as environmental monitoring, components, coal, and medical beauty saw declines [2] - Significant net inflows were observed in power equipment, public utilities, and computers, each exceeding 4 billion yuan, while sectors like electronics and pharmaceuticals experienced net outflows exceeding 2 billion yuan [2] Future Outlook - Huachuang Securities suggests maintaining patience in the short term while remaining optimistic in the medium to long term, as resource sectors related to central state-owned enterprises are currently undervalued and may see policy catalysts in the second half of the year [3] - Haitong Securities notes that recent trading sentiment has improved, leading to a "technical breakthrough" in the A-share market, although volatility may increase due to various external factors [3] Power Sector Highlights - The power sector showed strong performance, with the index reaching a new high for the year, driven by stocks like Huaguang Huaneng, which hit a 14-year high [3][5] - The energy sector, including storage, green power, and nuclear energy, saw significant gains, with multiple sub-sectors reaching historical highs [5] Weather Impact on Energy Demand - The Central Meteorological Observatory issued a yellow heat warning, with temperatures exceeding 35°C in several regions, leading to a rapid increase in electricity demand [7][8] - National Energy Administration reported a record peak electricity load of 1.465 billion kilowatts, an increase of approximately 200 million kilowatts since late June, with air conditioning usage accounting for about 90% of the load increase [8] - Guosheng Securities recommends focusing on the power sector, particularly thermal power and green energy operators with cost-reduction advantages [8]

Market Review - The Shanghai Composite Index experienced narrow fluctuations, while the ChiNext Index fell over 1% [1] - Power stocks surged, with companies like Shaoneng Co., Huayin Power, and Shimao Energy hitting the daily limit [1] - Cross-border payment and stablecoin concepts were active, with stocks such as Zhongyi Technology and Jingbei Fang also reaching the daily limit [1] - Real estate stocks saw intraday gains, with companies like Yudai Development and Shahe Co. hitting the daily limit [1] - The overall market saw more gainers than losers, with over 3,200 stocks in the Shanghai, Shenzhen, and Beijing markets in the green, and total trading volume at 1.22 trillion yuan, down nearly 220 billion yuan from the previous trading day [1] Power Sector - The power sector continued to rise, with Huayin Power achieving four consecutive daily limits in five days, and other stocks like Changcheng Electric and Huaguang Huaneng also hitting the daily limit [4][5] - The National Climate Center predicts that high temperatures will be intense and prolonged this year, with the highest temperatures in North China possibly exceeding 42°C, and high temperatures expected to last over 30 days [4] - On July 4, the national maximum power load reached 1.465 billion kilowatts, an increase of about 200 million kilowatts from the end of June and nearly 150 million kilowatts from the same period last year, setting a historical record [4] - The East China grid load reached 422 million kilowatts, with air conditioning load accounting for approximately 37% [4] - The load in provinces like Jiangsu, Shandong, Henan, Anhui, and Hubei has set new records nine times since the start of summer [4] RWA Concept - The RWA concept remained active, with stocks like Jinyi Culture and Xinyada continuing to hit daily limits [7][8] - On July 4, the People's Bank of China released a notice soliciting opinions on the "Rules for the RMB Cross-Border Payment System," clarifying detailed processes for CIPS participants [7] - The Hong Kong "Stablecoin Regulation" is set to take effect in August, with the government expecting to issue a limited number of licenses this year [7] Medical Devices - The medical device sector performed well, with stocks like Baolait and Zhengchuan Co. hitting daily limits [11] - On July 6, the Ministry of Finance announced measures regarding government procurement of medical devices imported from the EU, stating that EU companies (excluding those with operations in China) will be excluded from participating in procurement activities exceeding 45 million yuan [11][12] - The policy aims to systematically restructure the development path of high-end medical devices through five core measures, including speeding up innovation approvals and clarifying classification standards [12]

Group 1: Power Sector - Several companies in the power sector have shown significant stock performance, with Huaguang Huaneng achieving a 10.02% increase over three consecutive days [2] - Shaoneng Co. saw a 10.07% rise over two days due to changes in its controlling shareholder [2] - New Zhonggang and Shen Nan Electric A both recorded a 10.00% increase over two days, driven by the power sector's overall positive sentiment [2] - New companies like Shimao Energy and YN Energy debuted with a 10.00% increase, indicating strong market interest in the power sector [2] Group 2: Cross-Border Payment - The People's Bank of China is seeking public opinion on the draft rules for the Cross-Border Interbank Payment System (CIPS), which outlines detailed processes for account management and fund settlement [4][18] - Companies like Xinyada and Jingbeifang have seen stock increases of 9.98% and 10.00% respectively, attributed to developments in cross-border payment and digital currency [5] Group 3: Smart Grid - The National Development and Reform Commission has issued a notice promoting the scientific planning and construction of high-power charging facilities, which is expected to enhance the smart grid infrastructure [7] - Companies such as Xinling Electric and Suwen Electric have experienced stock increases of 20.00% and 20.01% respectively, reflecting positive market sentiment towards smart grid advancements [8] Group 4: Real Estate - The Ministry of Housing and Urban-Rural Development is actively working to stabilize expectations and stimulate demand in the real estate market, which has led to increased stock performance for companies like Nanshan Holdings and Caixin Development [9][12] - Nanshan Holdings recorded a 9.90% increase over four days, while Caixin Development saw a 9.85% rise over three days, indicating a recovery trend in the real estate sector [10][12] Group 5: Medical Devices - The Ministry of Finance has decided to exclude EU companies from participating in government procurement for certain medical devices, which is expected to benefit domestic manufacturers [15] - Companies like Jin'an Guoji and Baolait have seen stock increases of 9.96% and 20.02% respectively, driven by favorable policy changes in the medical device sector [16] Group 6: Nuclear Power - The Shanghai Stock Exchange has approved the merger of China Shipbuilding and China Shipbuilding Industry Corporation, which is expected to enhance the capabilities of the nuclear power sector [20] - Companies such as Changcheng Electric and Wangzi New Materials have recorded stock increases of 10.05% and 10.00% respectively, reflecting positive market sentiment towards nuclear power developments [21] Group 7: Digital Currency - The recent developments in the CIPS are also influencing the digital currency sector, with companies like Jinyi Culture and Jihong Co. seeing stock increases of 9.95% and 10.00% respectively [19]

Group 1 - The stock of Great Wall Electric has experienced a significant increase, with 4 limit-up days within 6 trading days, resulting in a cumulative increase of 48.01% and a turnover rate of 116.90% [2] - As of 11:19, the stock's trading volume reached 119 million shares, with a transaction amount of 1.306 billion yuan and a turnover rate of 26.92% [2] - The latest total market capitalization of the stock in the A-share market is 5.08 billion yuan [2] Group 2 - The margin trading data shows that as of July 4, the stock's margin balance is 142 million yuan, with a financing balance of 142 million yuan, which increased by 13.21 million yuan compared to the previous trading day, reflecting a growth of 10.29% [2] - Over the past 6 days, the margin balance has decreased by 24.46 million yuan, representing a decline of 14.73% [2] - The stock has appeared on the Dragon and Tiger list twice due to a cumulative deviation in the price increase of 20% over three consecutive trading days, a daily turnover rate of 20%, and a daily price deviation of 7% [2] Group 3 - The company's Q1 report released on April 30 indicates that the total operating revenue for the first quarter was 285 million yuan, a year-on-year decrease of 26.23%, and a net profit of -40 million yuan, a year-on-year decrease of 43.27% [2] - Recent trading data shows fluctuations in daily price changes and net inflows of main funds, with notable changes on specific dates, such as a 4.60% increase on July 4 and a 10.06% increase on July 1 [2]