Hua Yuan Zheng Quan·2025-05-19 14:50Investment Rating - The investment rating for the company is "Accumulate" (maintained) [6] Core Views - The decline in coal prices is expected to improve the company's performance, while long-term factors will determine its investment value [6] - The company reported a decrease in revenue but an increase in net profit in Q1 2025, indicating resilience amid market challenges [8] - The company is positioned to benefit from the ongoing transition in the energy market, with a focus on both coal and renewable energy sources [8] Financial Performance Summary - In Q1 2025, the company achieved revenue of 60.335 billion yuan, a year-on-year decrease of 7.70%, while net profit attributable to shareholders was 4.973 billion yuan, an increase of 8.19% [8] - The company's coal power segment saw a profit increase of 40.96% year-on-year, driven by falling coal prices [8] - The company’s revenue projections for 2023 to 2027 show fluctuations, with expected revenues of 254.397 billion yuan in 2023, decreasing to 242.266 billion yuan in 2025, and then slightly increasing to 244.067 billion yuan in 2027 [7] Profitability and Valuation - The forecasted net profit for 2025-2027 is 110 billion yuan, 117 billion yuan, and 126 billion yuan respectively, with corresponding P/E ratios of 14, 13, and 12 [8] - The company's return on equity (ROE) is projected to improve from 7.38% in 2024 to 8.12% in 2027 [7] - The average settlement price for electricity in Q1 2025 was 488.19 yuan per megawatt-hour, a decrease of 1.96% year-on-year [8]