XINJI ENERGY(SH:601918) Xin Lang Cai Jing·2025-10-25 10:32Core Viewpoint - New Energy reported a decline in revenue and net profit for the first three quarters of 2025, but showed improvement in cash flow from operating activities, indicating potential resilience in the face of market challenges [1] Financial Performance - For Q1-3 2025, the company achieved operating revenue of 9.01 billion yuan, a year-on-year decrease of 1.95% - The net profit attributable to shareholders was 1.477 billion yuan, down 19.06% year-on-year - The net profit after deducting non-recurring items was 1.482 billion yuan, a decrease of 17.05% year-on-year - In Q3 alone, the company reported operating revenue of 3.199 billion yuan, a slight decrease of 0.16% year-on-year but an increase of 10.25% quarter-on-quarter - The net profit attributable to shareholders for Q3 was 555 million yuan, down 14.24% year-on-year but up 43.12% quarter-on-quarter [1] Coal Sector Analysis - The coal segment saw improved gross margins due to a combination of revenue and cost factors, with expectations for continued performance improvement in Q4 due to the approaching cold winter - For Q1-3 2025, the company produced 16.8037 million tons of raw coal, an increase of 7.87% year-on-year - The average selling price of coal for Q1-3 was 523.21 yuan/ton, down 6.91% year-on-year, while the cost of commodity coal was 327.40 yuan/ton, down 3.95% year-on-year - In Q3, coal production remained stable, and the gross margin for the coal segment increased by 30.86% due to rising coal prices and decreasing costs [2] Power Sector Analysis - The power segment benefited from increased demand and improved electricity generation, with expectations for continued performance support in Q4 - For Q1-3 2025, the company achieved a total electricity generation of 10.380 billion kWh, a year-on-year increase of 27.90% - The average on-grid electricity price for Q1-3 was 371.5 yuan/MWh, down 8.45% year-on-year - The commissioning of new power plants is expected to contribute positively to the company's performance in 2026 [3] Strategic Advantages - The company is focused on integrated coal and power development, with significant capacity under construction expected to drive future growth - By 2026, the company's coal and power installed capacity is projected to reach 7.96 million kW, enhancing profitability through self-supplied coal for power generation - Following the peak in capital expenditures, the company is expected to generate substantial free cash flow, increasing the potential for higher dividends [4] Profit Forecast and Investment Rating - The company is recognized as a leading player in the coal and power sector, with strong asset quality and cost control capabilities - Adjusted net profit forecasts for 2025-2027 are 2.069 billion, 2.585 billion, and 2.625 billion yuan respectively, with corresponding price-to-earnings ratios of 8.89, 7.11, and 7.01 times - The investment rating is maintained at "Buy" [4]