Huaxin Securities·2025-07-17 07:32Investment Rating - The report maintains a "Buy" investment rating for China CNR Corporation Limited (601766.SH) [1] Core Views - The railway investment sector is experiencing high prosperity, driving steady performance for the company [5] - The company is expected to achieve a significant increase in net profit for the first half of 2025, with estimates ranging from 67.22 billion to 75.62 billion yuan, representing a year-on-year growth of 60% to 80% [4] - The company’s new industry segment, particularly in clean energy equipment, is becoming a crucial growth driver, with revenues from this segment reaching 863 billion yuan in 2024 [6] Summary by Sections Market Performance - The railway transportation industry is maintaining a high level of prosperity, with passenger and freight volumes projected to grow by 4.9% and 1.1% respectively in 2025 [5] - The demand for maintenance of high-speed trains is surging, with new orders for train sales reaching 602 billion yuan, a year-on-year increase of 162.48% [5] Business Structure Optimization - The company’s new industry segment, excluding rail transit components, has established clean energy equipment as a key growth area, with strong order growth expected in 2025 [6] - The global rail transit industry is recovering steadily, supported by policies promoting green and low-carbon development [6] Profitability and Financial Forecast - In Q1 2025, the company reported a revenue of 48.671 billion yuan, a year-on-year increase of 51.23%, with net profit soaring to 30.53 billion yuan, reflecting a growth rate of 202.79% [8] - The company forecasts revenues of 266.79 billion, 283.37 billion, and 299.71 billion yuan for 2025, 2026, and 2027 respectively, with corresponding EPS of 0.47, 0.52, and 0.56 yuan [9]