Investment Rating - The investment rating for the company is "Accumulate" (maintained) [8] Core Views - The company reported a revenue of 5.265 billion yuan for the first half of 2025, representing a year-on-year increase of 27.25%, with a net profit of 1.197 billion yuan, up 24.65% year-on-year [8] - The tire mold business showed strong resilience under tariff impacts, achieving a revenue of 2.737 billion yuan, a year-on-year increase of 16.17%, while large components and CNC machine tools saw revenues of 1.947 billion yuan (up 32.94%) and 506 million yuan (up 145.08%) respectively [8] - The company is enhancing its global presence with subsidiaries in Asia, Europe, and the Americas, establishing a comprehensive global production service system [8] - The company has formed strategic partnerships with several Fortune 500 clients and has received multiple "Best Supplier" awards, enhancing its brand image and industry position [8] - Revenue projections for 2025-2027 are 10.871 billion yuan, 12.332 billion yuan, and 13.773 billion yuan respectively, with corresponding net profits of 2.442 billion yuan, 2.783 billion yuan, and 3.131 billion yuan [8] Financial Performance Summary - For 2023A, the company reported a revenue of 7.166 billion yuan, with a net profit of 1.612 billion yuan, and an EPS of 2.03 yuan [7] - The revenue growth rate is projected to be 7.9% for 2023, 23.0% for 2024, and 23.4% for 2025 [7] - The net profit growth rate is expected to be 34.3% for 2023, 24.8% for 2024, and 21.4% for 2025 [7] - The company’s PE ratio is projected to be 14.7 for 2023, increasing to 20.4 for 2025, and then decreasing to 15.9 by 2027 [7]

Investment Rating - The investment rating for the company is maintained as "Buy" with a target price of 72.68 RMB [6]. Core Views - The company reported a revenue of 5.265 billion RMB for H1 2025, representing a year-over-year increase of 27.25%, and a net profit of 1.197 billion RMB, up 24.65% year-over-year [1]. - The demand for tire molds and large components is expected to remain strong, driven by the growth in global automotive ownership and the increasing penetration of electric vehicles [1][2]. - The company's machine tool business saw a significant revenue increase of 145.08% in H1 2025, reaching 506 million RMB, attributed to the introduction of advanced products and market expansion [3]. Summary by Sections Revenue and Profitability - In H1 2025, the company achieved a comprehensive gross margin of 34.48%, a slight decrease of 0.33 percentage points year-over-year [2]. - Tire mold revenue was 2.628 billion RMB, an 18.56% increase year-over-year, while large component machinery revenue reached 1.947 billion RMB, up 32.94% [2]. Business Expansion - The company is focusing on the development and promotion of multi-axis composite processing machine tools, with new products launched at the 19th China International Machine Tool Exhibition [3]. - The application of the company's products is expanding across various industries, including electronics, automotive manufacturing, and semiconductors [3]. Financial Management - The overall expense ratio for H1 2025 was 7.39%, down 0.97 percentage points year-over-year, indicating effective cost control [4]. - Operating cash flow was reported at 324 million RMB, a decrease of 5.41% year-over-year [4]. Earnings Forecast and Valuation - The company’s net profit forecasts for 2025-2027 have been adjusted upward by 5.83%, 6.88%, and 5.67% respectively, leading to projected net profits of 2.529 billion RMB, 2.925 billion RMB, and 3.338 billion RMB [4]. - The target price has been raised to 72.68 RMB, reflecting a price-to-earnings ratio of 23 times for 2025, considering the company's leadership in the tire mold sector and growth in high-end machine tools [4].

Core Viewpoint - Haomai Technology held an investor relations event, revealing strong financial performance in the first half of 2025, with significant revenue growth across various business segments [1] Financial Performance - In the first half of 2025, Haomai Technology achieved revenue of 5.265 billion yuan, a year-on-year increase of 27.25% [1] - The net profit attributable to shareholders was 1.197 billion yuan, reflecting a year-on-year growth of 24.65% [1] - Tire mold revenue reached 2.628 billion yuan, up 18.56%, with a gross margin of 40.21%, down 1 percentage point year-on-year [1] - Large component machinery products generated revenue of 1.947 billion yuan, a 32.94% increase, with a gross margin of 24.30%, up 0.22 percentage points [1] - CNC machine tool revenue surged to 506 million yuan, marking a 145.08% increase [1] Business Segment Insights - Tire mold business gross margin decline attributed to changes in product structure and an increase of over 1,000 personnel [1] - Large component machinery products benefited from strong demand in the gas turbine and wind power markets, with full production line operations [1] - The gas turbine components account for approximately 30% and wind power components for about 60% of large component machinery products [1] - CNC machine tool business has seen repeat orders and increased procurement from diverse industries since its market launch in 2022 [1] Construction and Expansion - Ongoing construction projects include expansions in casting, machine tools, and mold businesses, with a 65,000-ton casting expansion project coming online [1] - The machine tool facility's main structure is nearing completion, expected to be ready for assembly by year-end [1] - Sulfur machine business revenue was approximately 110 million yuan, with anticipated growth in the second half of the year despite initial order delays [1] Cost Structure - In 2024, raw material costs accounted for about one-third of tire mold business costs and around 50% for large component machinery products [1] - Key raw materials for tire molds include forged steel and aluminum ingots, while large component machinery relies on pig iron and scrap steel [1]

Group 1: Financial Performance - In the first half of 2025, the company achieved operating revenue of 52.65 billion yuan, a year-on-year increase of 27.25% [2] - Net profit attributable to shareholders reached 11.97 billion yuan, with a year-on-year growth of 24.65% [2] - The tire mold business generated operating revenue of 18.56 billion yuan, up 18.56%, with a gross margin of 40.21%, a decrease of 1.00 percentage point [2] Group 2: Business Segment Performance - Large component machinery products achieved operating revenue of 19.47 billion yuan, a year-on-year increase of 32.94%, with a gross margin of 24.30%, up 0.22 percentage points [2] - The CNC machine tool business reported operating revenue of 5.06 billion yuan, a significant year-on-year increase of 145.08% [2][4] Group 3: Operational Insights - The overseas production capacity accounts for approximately 10% of the mold production capacity, with ongoing expansions in Mexico and Thailand [3] - The company has established subsidiaries in multiple countries, enhancing its global production service system [3] Group 4: Future Outlook and Challenges - Future business growth may be influenced by market changes, supply-demand relationships, and policy dynamics [3] - The CNC machine tool business is experiencing rapid growth, with increasing customer orders and a focus on various industries including electronics and automotive [4] Group 5: Research and Development - R&D expenses for the first half of 2025 amounted to 2.84 billion yuan, a 43.73% increase from the previous year, driven by more R&D projects in the machine tool sector [5] Group 6: Tax and Cost Structure - The company maintains a corporate income tax rate of 15% as a high-tech enterprise, unchanged from the previous year [5] - In 2024, raw materials accounted for about one-third of the costs in the tire mold business, while in large component machinery products, the raw material cost share was around 50% [5]

Macroeconomic Insights - The average import tax rate in the U.S. increased by 6.6 percentage points compared to the end of 2024, which is lower than market expectations[5] - If the average import tax rate rises by 10% this year, it could push the PCE year-on-year growth rate to 3.1% and the core PCE to 3.4% under stable demand conditions[7] Consumer and Business Impact - As of June, U.S. businesses bore approximately 63% of the tariff costs, while consumers accounted for less than 40%[6] - The consumer price sensitivity may lead businesses to absorb a significant portion of tariff costs, affecting pricing strategies[6] Durable Goods and Construction Sector - Domestic demand for construction remains weak, with steel and glass prices declining, while cement prices have rebounded due to enhanced production management[9] - Retail sales of passenger vehicles increased, with a year-on-year growth of 8% in daily sales from August 11 to August 17[10] Insurance Sector Performance - The insurance industry reported a total premium income of CNY 420.85 billion from January to July 2025, reflecting a year-on-year growth of 6.8%[14] - Life insurance premiums reached CNY 258.61 billion in July, marking a significant year-on-year increase of 33.5%[15] Steel Industry Outlook - China's crude steel production from January to July 2025 was 594 million tons, a decrease of 3.1% year-on-year, indicating a contraction in production capacity[25] - The steel industry is expected to stabilize in 2025 due to a combination of demand recovery and supply-side reductions[27]

Investment Rating - The report maintains an "Accumulate" rating for the company [2][3][17] Core Views - The company's core business remains highly prosperous, and it is expected to maintain good development throughout 2025 [3] - The target price is set at 72.75 CNY, corresponding to a market value of 582 billion CNY and a PE ratio of 23.33 for 2025 [17] Financial Summary - Total revenue is projected to grow from 7,166 million CNY in 2023 to 11,077 million CNY in 2025, reflecting a growth rate of 25.7% [6][12] - Net profit attributable to the parent company is expected to increase from 1,612 million CNY in 2023 to 2,495 million CNY in 2025, with a growth rate of 24.0% [6][12] - Earnings per share (EPS) is forecasted to rise from 2.02 CNY in 2023 to 3.12 CNY in 2025 [6][12] - The return on equity (ROE) is expected to be 21.4% in 2025 [6] Business Segments - The tire mold business is expected to grow at a rate of 15.0% from 2025 to 2027, with a gross margin of 40.0% [12][14] - Large mechanical components are projected to see a revenue growth rate of 29.75% in 2025, with a gross margin of 25.94% [12][14] - The machine tool business is anticipated to grow at a remarkable rate of 90.0% in 2025, with a gross margin of 27.50% [12][14] - Other businesses are expected to grow at a rate of 50.0% in 2025, with a gross margin of 45.0% [12][14] Market Trends - The demand for gas turbines and wind power is expected to remain strong, with the company benefiting from a favorable market environment [10][12] - The company is actively exploring new fields such as semiconductors and humanoid robots, indicating a strategic expansion into emerging markets [10][12]

Core Viewpoint - The company maintains a positive outlook for its core business, expecting good development throughout 2025, and has a "Buy" rating [1]. Investment Highlights - The company is rated "Buy" due to strong performance in its main business areas, with an upward revision of EPS for 2025-2027 to 3.12, 3.83, and 4.47 yuan respectively. The target market value is set at 58.2 billion yuan, corresponding to a target price of 72.75 yuan, which reflects a PE ratio of 23.33 for 2025 [2]. - In the first half of 2025, the company achieved revenue and net profit attributable to shareholders of 5.27 billion and 1.20 billion yuan, respectively, representing year-on-year growth of 27.3% and 24.7%. The gross margin and net profit margin were 34.5% and 22.7%, with slight declines of 0.7 and 0.5 percentage points year-on-year [2]. Industry Demand and Product Development - Demand for gas turbines and wind power remains strong, with full orders and production. The company's large component machinery products are expected to benefit from a favorable market for gas turbines and wind power. The global gas turbine market is projected to grow steadily over the next five years, driven by flexibility, environmental benefits, and economic efficiency [3]. - The domestic price of land-based wind turbines has rebounded, and the industry is expected to benefit from the conclusion of the "14th Five-Year Plan" and the release of postponed European offshore projects. The offshore wind sector is anticipated to grow by 300% year-on-year in 2026 as the "15th Five-Year Plan" commences [3]. - The company continues to innovate in machine tools, targeting emerging fields such as semiconductors and humanoid robots. New products launched in the first half of 2025 include advanced laser micro-machining machines and composite machining centers, which have made breakthroughs in various industries. The company is also collaborating with partners to develop solutions for new industries [3].

Macro Strategy - The core viewpoint highlights the unprecedented removal of Federal Reserve Governor Cook by Trump, raising concerns about the independence of the Federal Reserve and the potential for more "Trump-aligned" appointees, which could lead to increased expectations for interest rate cuts in the future [1] - Following the removal announcement, market reactions included rising long-term U.S. Treasury yields and gold prices, while the U.S. dollar index declined, indicating a shift in investor sentiment towards risk assets [1] Fixed Income - The report indicates a cautious approach in the convertible bond market, suggesting a reduction in exposure to high-priced targets while increasing allocations to ETFs to balance risks [2][3] - The 10-year government bond yield increased from 1.745% to 1.785%, reflecting market adjustments to macroeconomic conditions [2] Industry Insights - New Lai Ying Material (300260) reported improved Q2 performance, benefiting from growth in the semiconductor and liquid cooling sectors, with a focus on domestic substitution and an optimized customer structure [5][6] - Li Yuan Heng (688499) achieved profitability with a robust order backlog in solid-state battery equipment, indicating a strong operational cash flow and successful delivery to major clients [7] - Jin Zai Food (003000) is experiencing a Q2 adjustment period, leading to a downward revision of profit forecasts for 2025-2027, reflecting a mismatch between internal expansion strategies and external market conditions [8][9] - Anpei Long (301413) reported steady growth in its temperature and pressure sensor business while investing in humanoid robotics, adjusting profit forecasts for 2025-2026 [10] - Xinde New Materials (301349) is seeing significant growth in fast-charging products, with profit forecasts adjusted upwards due to improved margins [11] - The report on China National Railway (601766) indicates strong growth in H1 2025, driven by recovery in railway fixed asset investments [18] - The report on China Duty Free Group (601888) highlights a narrowing revenue decline in Q2 2025, with a focus on expanding city store operations to boost sales [31] - Yun Aluminum (000807) reported a 17.98% increase in revenue for H1 2025, with a focus on maintaining high profit margins amid fluctuating aluminum prices [32][33]

Core Insights - The company Haomai Technology (002595) reported a significant increase in revenue and net profit for the first half of 2025, with total revenue reaching 5.265 billion yuan, up 27.25% year-on-year, and net profit attributable to shareholders at 1.197 billion yuan, up 24.65% [1][3] Financial Performance - Total revenue for Q2 2025 was 2.986 billion yuan, reflecting a year-on-year increase of 25.9% [1] - Net profit for Q2 2025 was 677 million yuan, showing a year-on-year growth of 20.87% [1] - The company's gross margin was 34.48%, a slight decrease of 0.96% compared to the previous year, while the net margin was 22.73%, down 2.21% [1] - The total of selling, administrative, and financial expenses was 104 million yuan, which accounted for 1.98% of revenue, a decrease of 44.6% year-on-year [1] Balance Sheet Highlights - Accounts receivable increased to 3.153 billion yuan, up 27.09% year-on-year, with accounts receivable to net profit ratio at 156.78% [1][3] - Cash and cash equivalents decreased to 1.281 billion yuan, down 33.67% year-on-year [1] - The company reported a significant reduction in interest-bearing liabilities, which fell by 90.43% to 6.3316 million yuan [1] Earnings Per Share - Earnings per share (EPS) for the first half of 2025 was 1.5 yuan, an increase of 23.91% year-on-year [1] - The company’s operating cash flow per share was 0.41 yuan, a decrease of 5.41% compared to the previous year [1] Investment Insights - The company's return on invested capital (ROIC) was reported at 21.48%, indicating strong capital returns [3] - Analysts expect the company's performance for 2025 to reach 2.448 billion yuan, with an average EPS forecast of 3.06 yuan [3] Fund Holdings - The largest fund holding Haomai Technology is Dachen Gaoxin Stock A, with a scale of 12.34 billion yuan [4] - The fund manager, Liu Xu, has seen a 27.7% increase in the fund's value over the past year [4]

Investment Rating - The industry is rated as "Positive" for the next 12 months, expecting a growth rate exceeding 10% compared to the CSI 300 index [38] Core Views - Excavator sales maintained a strong recovery in July, with significant growth in both domestic and international markets. The demand for construction machinery is expected to continue due to favorable policies such as water conservancy projects and urban renewal actions. Additionally, the reduction of tariff disturbances in major global regions will enhance the cost-performance advantage of domestic construction machinery [3][30] - The recent launch of NVIDIA's new robot computing platform, Jetson Thor, has significantly improved performance and energy efficiency compared to its predecessor. This advancement is seen as a critical phase for the industry, enabling humanoid robots to achieve higher levels of autonomy and control capabilities. Continuous attention to investment opportunities in the supply chain is recommended [3][30] Industry News - The tower crane utilization rate in July was 57.2%, an increase of 0.3 percentage points from the previous month [10] - The national construction machinery operating rate in July was 44.43%, with a month-on-month increase of 4.44% [10] - The U.S. has included mobile cranes, bulldozers, and other heavy equipment in its steel and aluminum tariff list, which may impact the industry [10] Company Announcements - Huichuan Technology reported a 40.15% year-on-year increase in net profit for the first half of 2025 [18] - Sany Heavy Industry announced a 46.00% year-on-year increase in net profit for the first half of 2025 [19] - Zhongdali De reported a 6.50% year-on-year increase in net profit for the first half of 2025 [20] Market Review - From August 20 to August 26, 2025, the CSI 300 index rose by 5.43%, while the machinery equipment industry increased by 2.90%, underperforming the CSI 300 by 2.53 percentage points [21] - As of August 26, 2025, the TTM P/E ratio for the machinery equipment industry was 31.40 times, with a valuation premium of 135.94% compared to the CSI 300 [22]