CYPC(SH:600900) Xin Lang Cai Jing·2025-09-04 06:28Core Viewpoint - The company reported a stable revenue growth and improved profitability in the first half of 2025, driven by increased power generation and controlled costs [1][2]. Financial Performance - In H1 2025, the company achieved a revenue of 36.698 billion yuan, a year-on-year increase of 5.34%, and a net profit attributable to shareholders of 13.056 billion yuan, up 14.86% year-on-year [1]. - In Q2 2025, the company recorded a revenue of 19.682 billion yuan, a year-on-year increase of 2.61%, and a net profit of 7.876 billion yuan, up 6.43% year-on-year [1]. - The total power generation in H1 2025 was approximately 126.656 billion kWh, a year-on-year increase of 5.01%, with Q2 generation at about 68.977 billion kWh, up 1.63% year-on-year [1]. Cost Management - Operating costs decreased by 2.97% year-on-year in H1 2025, attributed to the dilution of fixed costs due to increased power generation [2]. - Financial expenses fell by approximately 800 million yuan, a decrease of 13.98%, mainly due to a significant reduction in interest expenses, likely from lower financing rates [2]. - The company's gross margin and net margin improved to 56.12% and 36.19%, respectively, with year-on-year increases of 3.74 percentage points and 2.91 percentage points [2]. Shareholder Returns - The company announced a five-year dividend plan for 2026-2030, committing to distribute no less than 70% of the annual net profit attributable to shareholders as cash dividends, maintaining previous levels [3]. - The controlling shareholder, Three Gorges Group, plans to increase its stake by investing between 4 billion to 8 billion yuan over the next 12 months, reflecting confidence in the company's long-term development [3]. Profit Forecast and Valuation - The company is projected to achieve net profits attributable to shareholders of 34.893 billion yuan, 37.374 billion yuan, and 38.903 billion yuan for 2025-2027, representing year-on-year growth rates of 7.37%, 7.11%, and 4.09% respectively [3]. - As of September 2, 2025, the company's stock price corresponds to a PE ratio of 19.78, 18.47, and 17.74 for the years 2025, 2026, and 2027 [3].