Financial Performance - The company's operating revenue for Q3 2025 was ¥117,695,627.10, a decrease of 20.86% compared to the same period last year[4] - The total profit for the period was ¥9,021,857.45, down 55.38% year-on-year, primarily due to a decline in revenue[4] - Net profit attributable to shareholders was ¥9,640,857.17, reflecting a decrease of 29.63% compared to the previous year[4] - For the first three quarters of 2025, the company achieved operating revenue of CNY 394,561,285.36, a year-on-year increase of 0.30%[14] - The net profit attributable to shareholders of the listed company was CNY 40,206,875.57, a year-on-year decrease of 11.18%[14] - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY 36,158,269.37, a year-on-year decrease of 10.27%[14] - Operating profit for the first three quarters of 2025 was CNY 42.09 million, down from CNY 58.29 million in 2024, indicating a decrease of 28%[34] - Net profit for the first three quarters of 2025 was CNY 37.78 million, compared to CNY 52.32 million in 2024, a decline of 27.8%[34] - The net profit attributable to the parent company shareholders for the current period is CNY 40,206,875.57, a decrease of 11.4% compared to CNY 45,265,776.59 in the previous period[35] - The total comprehensive income attributable to the parent company owners is CNY 39,859,562.70, down from CNY 44,572,329.71, reflecting a decline of 10.5%[35] Cash Flow and Assets - The net cash flow from operating activities increased by 32.05% to ¥45,081,814.87, mainly due to government subsidies received for the "Tangshan South Port Economic Development Zone Wastewater Resource Utilization Project"[9] - The company reported a decrease of 71.25% in net cash flow from operating activities year-to-date, primarily due to reduced project collections[10] - The net cash flow from operating activities was CNY 12,810,495.85[14] - Cash and cash equivalents as of September 30, 2025, were CNY 267.06 million, compared to CNY 411.20 million as of December 31, 2024, a decrease of 35%[30] - Total assets as of September 30, 2025, were CNY 2.24 billion, slightly down from CNY 2.30 billion as of December 31, 2024[31] - The company's current assets total CNY 940,243,592.33, a decrease from CNY 1,096,476,775.88 at the end of 2024[40] - The company's inventory increased to CNY 71,748,083.33 from CNY 67,058,004.56, reflecting a growth of 4.0%[40] - The total cash and cash equivalents at the end of the period is CNY 255,772,233.05, down from CNY 360,172,627.81 at the end of the previous year[39] Research and Development - Research and development expenses totaled ¥7,656,522.97, accounting for 6.51% of operating revenue, an increase of 1.31 percentage points year-on-year[5] - Research and development expenses for the first three quarters of 2025 were CNY 13.27 million, down from CNY 15.18 million in 2024, a decrease of 12.6%[34] - The company launched the Water Radish® AI Intelligent Body 1.0, a system for unmanned operation management in water treatment plants, integrating various AI technologies[15] - A strategic cooperation was established with Wuhan University to create the "Wuhan University-Jin Ke Environment Artificial Intelligence Innovation Research Center" to enhance AI research capabilities[17] - The company was recognized as the first in the water industry to receive the Ministry of Industry and Information Technology's AI industry innovation scene application certification[16] - The new water island® series products achieved continuous and steady progress, focusing on the deep development and process innovation of the new water island® 3.0 version, enhancing modularity and integration[21] Market and Contracts - The company's To B business revenue reached ¥16,423,440, representing a year-on-year increase of 91.98%[10] - The revenue from the wastewater resource utilization sector was ¥31,503,700, showing a year-on-year growth of 17.95%[10] - The company secured contracts for the "Yuhua Thermal Power Project" and the "Yancheng High-tech Zone Industrial Reclaimed Water Plant Project," providing high-quality reclaimed water and optimizing user water production processes[23] - In the overseas market, the company signed a supply contract with ecooil in Indonesia, showcasing its technical strength in oil refining water treatment[24] Liabilities and Equity - Total liabilities increased to CNY 1.04 billion as of September 30, 2025, from CNY 1.14 billion as of December 31, 2024, a decrease of 8.3%[32] - The company's total equity as of September 30, 2025, was CNY 1.20 billion, compared to CNY 1.16 billion as of December 31, 2024, an increase of 3.2%[32] - The total liabilities decreased to CNY 442,391,707.86 from CNY 596,287,396.72, reflecting a significant reduction in financial obligations[42] - The total equity increased slightly to CNY 977,867,752.47 from CNY 972,055,477.93, showing resilience in shareholder value despite operational challenges[42] Investment and Patents - The company completed applications for two patents related to deep water treatment and resource utilization technologies, bringing the total number of authorized patents to 123 as of the end of Q3 2025[25] - Investment income for the first three quarters of 2025 was CNY 554,934.23, down from CNY 1,866,315.01 in 2024, indicating challenges in investment performance[44] - The company reported a credit impairment loss of CNY 5,163,047.25, an increase from CNY 3,764,253.44 in the previous year, highlighting potential risks in receivables[44] Operational Challenges - The gross profit margin for the period was 32.15%, with a decrease in gross profit for the new water island and plant operation services[10] - Total operating costs increased to CNY 360.37 million in 2025 from CNY 338.59 million in 2024, representing a rise of 6.4%[34] - Financial expenses increased significantly to CNY 12.70 million in 2025 from CNY 5.33 million in 2024, an increase of 138.5%[34] - The net cash flow from operating activities for the first three quarters of 2025 is CNY 12,810,495.85, significantly lower than CNY 44,565,464.24 in the same period of 2024, indicating a decrease of 71.2%[38] - The company's cash flow management showed improvement, with a focus on reducing short-term borrowings and other current liabilities[45] Accounting Standards - The company will not apply new accounting standards starting from 2025[48]

Core Insights - The conference themed "Digital Intelligence New Engine, Leading New Journey" highlighted the importance of management innovation and digital transformation in the petrochemical industry, focusing on sustainable development paths during the 14th Five-Year Plan period [1] Group 1: Company Achievements - Jinko Environment was recognized in the "Top 500 Petrochemical and Chemical Enterprises by Sales Revenue in 2025," reflecting its growing influence and competitiveness in the industrial environmental protection sector [1][4] - The company showcased its innovative "New Water Island" intelligent water treatment unit, which provides integrated green and energy-saving solutions for industrial water treatment and resource utilization [1][2] Group 2: Industry Trends - The petrochemical industry is undergoing a critical transformation, with efficient water resource utilization and pollution reduction becoming central to sustainable development [1][4] - The "New Water Island" product is standardized, modular, and movable, significantly reducing construction time and land use by 90%, making it adaptable for various scenarios in petrochemical enterprises [2] Group 3: Strategic Vision - Jinko Environment's strategic shift from a "customized + heavy asset" model to "engineering productization" aims to enhance efficiency and transparency in water system management [3] - The company plans to continue its focus on resource utilization, AI digitalization, and productization to reshape industrial water treatment and support the green transformation of the industry [4]

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 Insights - Wuxi Xishan Zhonghe Water Co., Ltd. has been recognized as a key enterprise in the water-saving industry, marking it as a benchmark for the "water-based production" development concept in Xishan District [1][2] - The company has established an innovative development model integrating resource utilization, AI intelligence, and productization, gaining industry-wide recognition for its technical strength and operational effectiveness [1][2] Company Overview - Xishan Zhonghe Water Co., Ltd. was founded in 2021 through a collaboration between Jinke Environment and Xishan Energy, focusing on the recycling of water resources [1] - The company employs advanced "ultrafiltration + reverse osmosis" dual membrane treatment technology to convert industrial wastewater into high-quality recycled water, achieving a daily processing capacity of 32,500 tons and an annual replacement of 5.8825 million tons of tap water [1] Industry Impact - The inclusion in the water-saving enterprise list aims to drive high-quality development in Wuxi's water-saving industry and inject new momentum into the construction of a water-saving society [1] - The company’s model of "re-employing" industrial wastewater has become a benchmark for water resource recycling in industrial parks, providing stable water sources for various industries such as PCB electronics, thermal power, photovoltaic new energy, and semiconductors [1] Technological Innovation - The Longting New Water Island 2.0 recycled water plant features a highly integrated design, allowing for construction completion in just 15 days, occupying only 300 square meters while producing 5,000 tons of recycled water daily [2] - The plant utilizes the "Water Radish AI Intelligent System" for operational management, achieving a 90% reduction in construction time, area, and operational personnel, as well as a 50% reduction in lifecycle costs [2] Future Plans - The company aims to deepen the integration of resource utilization, AI intelligence, and productization, promoting technology output and model replication to help Wuxi become a national hub for the water-saving industry [2]

Core Insights - Wuxi Xishan Zhonghe Water Co., Ltd. has been recognized as a key enterprise in the water-saving industry, marking it as a benchmark for the "water-based production" development concept in Xishan District [1][2] - The company has developed an innovative model integrating resource utilization, AI intelligence, and productization, gaining industry-wide recognition for its technological strength and operational effectiveness [1][2] Group 1: Company Achievements - Xishan Zhonghe Water has successfully transformed industrial wastewater into high-quality reclaimed water using advanced "ultrafiltration + reverse osmosis" dual membrane treatment technology, achieving a daily processing capacity of 32,500 tons and an annual replacement of 5.8825 million tons of tap water [1] - The company has significantly reduced wastewater discharge by 5.8825 million tons annually, providing stable water sources for various industrial sectors, including PCB electronics, thermal power, photovoltaic new energy, and semiconductors [1] Group 2: Innovative Practices - The Longting New Water Island 2.0 reclaimed water plant employs a highly integrated design, completing construction in just 15 days with a footprint of only 300 square meters, producing 5,000 tons of reclaimed water daily [2] - The plant utilizes the "Water Radish® AI Intelligent Body" operational management system, enabling a fully automated and efficient operation, reducing construction time, land area, operational personnel, and lifecycle costs by 90% and 50% respectively [2] - This industrialized approach to water plant construction is seen as a significant shift from traditional methods, marking the entry of the water treatment industry into a productization era [2]

Core Viewpoint - Wuxi Xishan Zhonghe Water Co., Ltd. has been recognized as a key enterprise in the water-saving industry, highlighting its technological breakthroughs and leadership in the field of recycled water resource utilization [1][2]. Group 1: Company Overview - Xishan Zhonghe Water Co., Ltd. was established in 2021 through a collaboration between Jinke Environment and Xishan Energy, focusing on the recycled water sector [1]. - The company has developed an innovative model that integrates resource utilization, AI intelligence, and productization, gaining wide recognition in the industry for its technical strength and operational effectiveness [1][2]. Group 2: Technological Innovations - The company employs an advanced "ultrafiltration + reverse osmosis" dual-membrane treatment process to convert industrial wastewater into high-quality recycled water, achieving a resource upgrade from waste [1]. - The total treatment capacity of its facilities, including Wuxi Xishan High-Quality Recycled Water Plant and others, has reached 32,500 tons per day, replacing 5.8825 million tons of tap water annually and reducing wastewater discharge by the same amount [1]. Group 3: Industry Impact - The company’s model of "re-employing" industrial wastewater has become a benchmark for water resource recycling in industrial parks, promoting a win-win situation for water conservation and emission reduction [1]. - The Dragon Pavilion New Water Island 2.0 Recycled Water Plant features a highly integrated design, completing construction in just 15 days and occupying only 300 square meters while producing 5,000 tons of recycled water daily [2]. - This industrialized approach to water plant construction is seen as a significant shift from traditional methods, marking the entry of the water treatment industry into a productization era [2]. Group 4: Future Plans - The company aims to deepen the integration of resource utilization, AI intelligence, and productization, and plans to assist Wuxi in becoming a national hub for the water-saving industry by providing replicable practices for water resource recycling [2].

Core Insights - JinKe Environment showcased its "New Water Island®" and "Water Radish® AI Intelligent System" at the WEFTEC conference in Chicago, highlighting China's technological innovation in water management and accelerating its overseas market expansion [2][4] - The WEFTEC event, the largest global water conference, attracted over 20,000 water professionals from more than 100 countries and featured over 1,000 companies presenting technological solutions across 50+ sub-sectors [2] Group 1: Product Innovation - "New Water Island®" redefines traditional water plant construction with a modular design, industrial production, AI operation, and specialized services, achieving a 90% reduction in land use, delivery time, and operational staff, while cutting lifecycle costs by 50% [2][3] - The "Water Radish® AI Intelligent System" supports the productization of "New Water Island®" by integrating process optimization, multi-modal perception models, and large language reasoning models to autonomously ensure safe and efficient water plant operations [3] Group 2: Industry Engagement - The immersive presentation at WEFTEC allowed attendees to experience the advantages of "New Water Island®" and "Water Radish® AI Intelligent System," facilitating in-depth discussions on technology adaptability and implementation pathways with water professionals from various countries [3] - The event served as a platform for JinKe Environment to demonstrate its technological capabilities and contribute to global water ecological governance, reinforcing its commitment to "AI bringing water freedom to humanity" and promoting international collaboration [4]

Core Insights - Jin Ke Environment showcased its "New Water Island®" and "Water Radish® AI Intelligent Body" at the WEFTEC World Water Conference in Chicago, highlighting China's technological innovation in water services and accelerating its overseas market expansion [1][4] Group 1: Event Overview - WEFTEC is the largest global water event, gathering over 20,000 water professionals from more than 100 countries and featuring over 1,000 companies showcasing technological solutions across 50+ subfields [1] - The exhibition provided a significant platform for Jin Ke Environment to demonstrate the innovative value of its products [1] Group 2: Product Features - "New Water Island®" redefines traditional water plant construction with a modular design, industrial production, AI operation, and specialized services, achieving a 90% reduction in land use, delivery time, and operational personnel, while cutting lifecycle costs by 50% [1][2] - The "Water Radish® AI Intelligent Body" is a self-developed intelligent management system that optimizes water plant operations through AI, ensuring safety, efficiency, and cost-effectiveness [2] Group 3: Engagement and Impact - The immersive presentation at the exhibition allowed attendees to experience the rapid deployment and integration capabilities of "New Water Island®" and the operational logic of "Water Radish® AI Intelligent Body" [3] - The event attracted numerous water professionals for in-depth discussions on technology adaptability and implementation pathways, establishing a foundation for future global partnerships [4] Group 4: Future Strategy - Jin Ke Environment aims to contribute to global water resource challenges by adhering to its mission of "AI bringing water freedom to humanity" and following a strategy focused on resource utilization, AI digitization, and productization [4]

Core Insights - Jin Ke Environment showcased its "New Water Island & Water Radish AI Intelligent Body" at the WEFTEC World Water Conference in Chicago, highlighting China's technological innovation in water services and accelerating its overseas market expansion [1][5] Group 1: Event Overview - WEFTEC is the largest global water event, gathering over 20,000 water professionals from more than 100 countries and featuring over 1,000 companies showcasing technological solutions across 50+ subfields [1] - The exhibition provided a significant platform for Jin Ke Environment to demonstrate the innovative value of its products [1] Group 2: Product Features - The "New Water Island" redefines traditional water plant construction with a modular design, industrial production, AI operation, and specialized services, achieving a 90% reduction in land use, delivery time, and operational personnel, while cutting lifecycle costs by 50% [1][2] - The "Water Radish AI Intelligent Body" is a self-developed intelligent management system that optimizes water plant operations through AI, ensuring safety, efficiency, and cost-effectiveness [2] Group 3: Interactive Demonstrations - At the event, Jin Ke Environment engaged attendees with immersive presentations, demonstrating the operational logic of the "New Water Island" and the interactive capabilities of the "Water Radish AI Intelligent Body" [4] - The demonstrations highlighted the rapid implementation of modular design, space-saving integration, and AI-driven optimization and predictive maintenance [4] Group 4: Industry Engagement - The exhibition attracted numerous water professionals who engaged in discussions about technology adaptability and implementation pathways, positioning the products as highlights of intelligent water service innovation [5] - Jin Ke Environment aims to contribute to global water resource challenges by promoting international collaboration and advancing its mission of "AI bringing water freedom to humanity" [5]

Group 1 - The company’s wholly-owned subsidiary, Jinko Xinhe (Tangshan) Wastewater Reuse Co., Ltd., received a total government subsidy of RMB 50 million for the "Wastewater Resource Utilization Project in Nankou Economic Development Zone, Tangshan" [1] - In March 2025, the subsidiary received an initial subsidy of RMB 10 million, followed by the remaining RMB 40 million, with all funds now fully received [1] - The government subsidy is classified as an asset-related government grant according to the relevant accounting standards [2] Group 2 - The accounting treatment of the government subsidy will be conducted in accordance with the "Accounting Standard for Enterprises No. 16 - Government Grants," and the final impact on the company's financial results will be confirmed by the annual audit [2]