BEIJING ENT(HK:00392) 智通财经网·2025-09-01 04:00Core Viewpoint - CICC maintains the earnings forecast for Beijing Enterprises Holdings for 2025 and 2026, with a target price of HKD 35, indicating an 8.2% upside potential from the current stock price [1] Group 1: 1H25 Performance - In 1H25, Beijing Gas reported total natural gas sales of 12.51 billion cubic meters, a year-on-year increase of 5.5%, with pipeline gas sales in Beijing at 9.19 billion cubic meters, down 1.7% year-on-year [2] - The pre-tax profit from natural gas distribution and trading business was HKD 970 million, reflecting a year-on-year increase of 13.2% [2] - The company confirmed investment income from joint ventures, including 1.26 billion from the National Pipeline Network, 330 million from VCNG, 310 million from China Gas, and 370 million from Beijing Waterworks, maintaining overall stability [2] Group 2: LNG Processing Agreement - Beijing Gas signed a three-year processing agreement for 4.5 million tons of LNG with major domestic suppliers, which is expected to enhance the stability of its profitability [3] - The company anticipates that increased LNG unloading revenue may partially offset the new costs arising from the operation of the Nangang LNG project [3] Group 3: Debt Structure Optimization - The company benefited from lower domestic financing rates and converted some foreign currency debt to RMB, resulting in a reduction of over HKD 100 million in financial expenses year-on-year [4] - There is potential for a decrease in the scale of interest-bearing liabilities as subsidiary dividends are expected to increase [4] Group 4: Dividend Policy - The company maintained an interim dividend of HKD 0.85 per share for 1H25, with management committing to a full-year dividend of at least HKD 1.62 per share [5] - The company’s long-term dividend distribution is expected to have room for growth, supported by its stable utility characteristics and nearing completion of capital expenditure cycles [5]