Core Viewpoint - Guotai Environmental Protection (301203.SZ) is facing challenges due to the investigation of its chairman, but the company asserts that its operations remain unaffected and stable [1][2]. Company Summary - The chairman, Chen Baixiao, is under investigation by the Hangzhou Linping District Supervisory Committee, but the company claims this is a personal matter unrelated to its business operations [1]. - Guotai Environmental Protection has a robust governance structure and internal control mechanisms, ensuring compliance with relevant laws and regulations [1]. - The company reported a decline in performance since its listing in 2023, with a revenue drop of 15.52% to 309 million yuan and a net profit decrease of 6.49% to 139 million yuan [2]. - The main business segments, including sludge treatment services, have also seen revenue declines, with sludge treatment revenue falling by 14.55% to 266 million yuan [2]. - In 2024, the downward trend in profits continued, with a slight revenue increase of 1.98% to 316 million yuan, but net profit further decreased by 4.8% to 132 million yuan [2]. - In Q1 2025, the company achieved a revenue of 87.21 million yuan, a year-on-year increase of 6.11%, but net profit fell by 19.66% to 26.59 million yuan [3]. Industry Summary - The environmental protection industry, particularly in sludge treatment, has seen increased competition, impacting Guotai Environmental Protection's market share despite its technical and experiential advantages [3]. - The demand for sludge treatment is expected to grow due to increasing urbanization, industrialization, and stricter environmental regulations, which may provide opportunities for the company [3].
国泰环保回应董事长被立案调查：系个人事项，不影响正常经营