SDIC Power(SH:600886) Changjiang Securities·2025-07-17 23:30Investment Rating - The investment rating for the company is "Buy" and is maintained [9] Core Views - The company's hydropower generation increased by 2.85% year-on-year in Q2, but the growth rate has significantly narrowed. The average on-grid electricity price decreased by approximately 0.017 yuan per kilowatt-hour to 0.350 yuan per kilowatt-hour, primarily due to a reduction in the proportion of high-priced thermal power generation and a decline in long-term trading prices for thermal power in some regions. The overall performance of the clean energy sector is expected to be suppressed due to weak water and wind conditions, alongside a year-on-year drop in electricity prices [2][12] - The company's thermal power generation decreased by 8.10% year-on-year in Q2, influenced by an increase in clean energy generation in the region and higher external electricity sales. However, cost improvements are expected to support the thermal power performance, leading to a stable outlook for the company's Q2 performance [2][12] - The company is advancing its integrated hydropower, wind, and solar projects in the Yalong River basin, with a total potential hydropower capacity of approximately 30 million kilowatts. As of 2024, 19.2 million kilowatts of hydropower capacity has been put into operation, with additional projects under construction. The company maintains a broad development space while adhering to the principle of "efficiency first" in investment management [12] Summary by Sections Operating Data - In Q2 2025, the company's cumulative power generation reached 38.067 billion kilowatt-hours, with on-grid electricity of 37.074 billion kilowatt-hours, representing increases of 0.52% and 0.59% year-on-year, respectively [6] Financial Forecast - The company expects EPS for 2025-2027 to be 0.90 yuan, 0.99 yuan, and 1.05 yuan, corresponding to PE ratios of 16.57 times, 15.04 times, and 14.15 times, respectively, maintaining a "Buy" rating [12][16]