Core Viewpoint - Dongwu Securities reports that Yuehai Investment's water business performance is stable, with improved liabilities after the divestment of Yuehai Land, stable dividend ratio, and strong cash flow certainty. The firm has raised its forecast for net profit attributable to shareholders for 2025-2027 due to better-than-expected cost reduction and efficiency improvements, maintaining a "Buy" rating [1]. Financial Performance - For Q1-Q3 2025, the company's continuing operations revenue reached HKD 14.281 billion, a year-on-year increase of 1.3%, with comprehensive profit attributable to shareholders at HKD 4.067 billion, up 13.2% year-on-year [2][3]. - The net profit attributable to shareholders grew by 13.2%, while financial expenses decreased by 52.9% [3]. Water Resource Business - The Dongshen Water Supply Project generated revenue of HKD 5.242 billion (+1.6%) in Q1-Q3 2025, with HKD 4.303 billion (+2.6%) from Hong Kong supply and HKD 0.939 billion (-2.5%) from Shenzhen and Dongguan supply. The project contributed a pre-tax profit of HKD 3.596 billion (+3.9%) [4]. - Total water supply volume reached 16.70 million tons (+1.5%), indicating strong market pricing capabilities and profitability [4]. - Other water resource projects achieved revenue of HKD 5.611 billion (+5.8%) with a pre-tax profit of HKD 1.601 billion (-2.6%) [4]. Property Segment - The property segment, including Yuehai Tianhe City, reported a pre-tax profit increase of 11.3% to HKD 0.767 billion, with revenue from Yuehai Tianhe City and Yuehai Investment Building at HKD 1.262 billion (+4.8%) and HKD 0.036 billion (+2.6%) respectively [5]. - The department store segment contributed revenue of HKD 0.317 billion (-45.6%) with a pre-tax profit of HKD 0.064 billion (+37.3%) [5]. - The hotel segment saw revenue growth of 57.8% to HKD 0.505 billion, although pre-tax profit decreased by 20.3% [5].