Zheng Quan Zhi Xing·2025-08-18 09:29Core Viewpoint - Company released its 2025 mid-year report, showing significant profit growth despite a slight decline in revenue, and plans to raise funds for new coal power projects [2][4]. Financial Performance - In the first half of 2025, the company achieved revenue of 11.113 billion yuan, a year-on-year decrease of 3.28%, while net profit attributable to shareholders was 897 million yuan, representing a year-on-year increase of 157.96% (non-recurring profit increased by 182.50%) [2]. - For Q2 2025, the company reported revenue of 4.538 billion yuan, a year-on-year increase of 0.68%, and net profit of 453 million yuan, reflecting a substantial year-on-year growth of 374.71% (non-recurring profit increased by 560.34%) [2]. - The company's gross margin and net margin improved to 23.40% and 11.82%, respectively, with year-on-year increases of 9.58 percentage points and 8.41 percentage points [2]. Operational Metrics - The company's power generation volume in the first half of 2025 was 22.837 billion kWh, a year-on-year decrease of 3.52%, with thermal power generation down by 4.06% [3]. - The average on-grid electricity price was 438.95 yuan/MWh, showing a slight year-on-year decrease of 0.05% [3]. - The average coal price for the company decreased by 14.77% year-on-year, but recent market prices have rebounded, indicating potential for profit growth in the second half of the year [3]. Future Projects - The company plans to raise up to 2 billion yuan through a private placement to fund the construction of the Xibaipo Power Plant Phase IV, which will add 660 MW of coal power capacity [4]. - The total investment for this project is estimated at 5.863 billion yuan, with a post-tax internal rate of return of 7.10% and a payback period of 11.83 years [4]. - The company’s coal power capacity is expected to increase by 390 MW, representing a 33% growth in equity capacity upon completion of ongoing and planned projects by 2026 [4]. Investment Outlook - The company is projected to achieve net profits of 1.403 billion yuan, 1.545 billion yuan, and 1.672 billion yuan for the years 2025, 2026, and 2027, respectively, with corresponding price-to-earnings ratios of 9.6, 8.7, and 8.1 [4].