CMS·2025-08-28 03:05Investment Rating - The report maintains a rating of "Buy" for the company [3] Core Views - The company's revenue for the first half of 2025 was CNY 39.167 billion, a year-on-year decrease of 0.53%, while the net profit attributable to shareholders was CNY 5.952 billion, down 16.3% year-on-year [6][8] - The decline in performance is attributed to falling electricity prices and rising costs, but the acceleration of the Huizhou nuclear power project is expected to drive future growth [6][8] - The company managed to achieve a stable increase in nuclear power generation due to reduced maintenance downtime, with a total on-grid electricity of 113.36 billion kWh in the first half of 2025, up 6.93% year-on-year [6][8] - The average nuclear power price (excluding tax) was CNY 0.343 per kWh, reflecting a decrease of 7.3% year-on-year [6][8] Financial Data and Valuation - The company is projected to have total revenue of CNY 85.88 billion in 2025, with a year-on-year decrease of 1% [7] - The net profit attributable to shareholders is expected to be CNY 10.042 billion in 2025, a decrease of 7% year-on-year, followed by growth of 6% and 12% in 2026 and 2027 respectively [7][11] - The current stock price corresponds to a PE ratio of 19.0x for 2025, 17.9x for 2026, and 16.0x for 2027 [7][11] Operational Highlights - The company is managing 28 operational nuclear power units and has 20 units under construction or approved for construction, with a total installed capacity of 3,179.8 MW and 2,422.2 MW respectively [6][8] - The company plans to acquire 82% of the Huizhou Nuclear Power project and 100% of several other projects, which is expected to contribute positively to future earnings [6][8]