Moon Environment Technology (SZ:000811) CMS·2025-08-26 03:03Investment Rating - The report maintains a "Strong Buy" rating for the company [1][5]. Core Views - The company's revenue and profit have slightly decreased, primarily due to a slowdown in capital expenditure in traditional downstream sectors. However, the gross margin has shown a slight year-on-year increase, indicating a high-quality product and order structure. The performance of the company's subsidiary in Hong Kong has been a highlight, with revenue growth and significant profit increase from high-value AI liquid cooling units [1][5]. - The report anticipates that the company's performance will stabilize in the long term, supported by a recovery in traditional business and continued contributions from AI liquid cooling units [1][5]. Financial Performance - The company achieved a revenue of 3.118 billion yuan in the first half of 2025, a year-on-year decrease of 6.92%, and a net profit attributable to shareholders of 266 million yuan, down 19.71% year-on-year. The net profit after deducting non-recurring gains and losses was 243 million yuan, a decrease of 18.38% year-on-year [5]. - The gross margin for the first half of 2025 was 27.49%, an increase of 0.51 percentage points year-on-year, while the net margin was 9.51%, a decrease of 0.93 percentage points year-on-year [5]. - The report highlights a decline in sales volume of screw compressors in the first half of 2025, with a total of 35,700 units sold, down 3.9% year-on-year. However, the proportion of higher capacity units (>200HP) has increased [5][6]. Business Segmentation and Forecast - The company’s industrial product sales are expected to grow from 6.374 billion yuan in 2025 to 8.916 billion yuan in 2027, with respective year-on-year growth rates of 13.2%, 20.6%, and 16.0% [6][7]. - Engineering construction revenue is projected to grow by 15% annually over the next three years, maintaining a stable gross margin of 12% [6]. - Other income is expected to remain flat at 399 million yuan over the next three years, with a stable gross margin of 40% [6]. Valuation Metrics - The report provides a financial forecast indicating total revenue of 7.471 billion yuan in 2025, with a projected growth rate of 13%. The net profit attributable to the parent company is expected to be 609 million yuan, with a slight decline of 3% [8][16]. - The report estimates the company's price-to-earnings (PE) ratios for 2025, 2026, and 2027 to be 23.2, 16.3, and 12.2, respectively [8][16].