CYPC(SH:600900) HTSC·2025-09-01 10:56Investment Rating - The investment rating for the company is maintained as "Buy" with a target price of RMB 32.59 [1][6][9] Core Insights - The company's performance in the first half of 2025 met expectations, with revenue of RMB 366.98 billion, a year-on-year increase of 5.34%, and a net profit attributable to the parent company of RMB 130.56 billion, up 14.86% year-on-year [6][9] - The company has strong financial expense management capabilities, with financial expenses decreasing by 13.91% year-on-year to RMB 48.63 billion, significantly enhancing profitability [8][9] - The company is committed to maintaining a dividend payout ratio of no less than 70% of the net profit attributable to the parent company during the "14th Five-Year Plan" period, ensuring stable returns for investors [6][9] Financial Performance Summary - Revenue projections for 2024 to 2027 are as follows: RMB 84,492 million (2024), RMB 81,872 million (2025E), RMB 83,382 million (2026E), and RMB 83,851 million (2027E), with a growth rate of 8.17% in 2024 and a slight decline of 3.10% in 2025 [5][9] - Net profit attributable to the parent company is projected to be RMB 32,496 million (2024), RMB 32,546 million (2025E), RMB 34,054 million (2026E), and RMB 35,688 million (2027E), with a growth rate of 19.30% in 2024 [5][9] - The company's earnings per share (EPS) is expected to be RMB 1.33 (2025E), RMB 1.39 (2026E), and RMB 1.46 (2027E) [5][9] Operational Insights - In the first half of 2025, the company's power generation increased by 5.01% year-on-year, totaling 1,266.56 billion kWh, primarily driven by a 9.01% increase in water inflow at the Wudongde Reservoir [7][9] - The company anticipates challenges in power generation growth in the third quarter of 2025 due to lower water inflow levels in July and August [7][9] Valuation Metrics - The company is currently trading at a price-to-earnings (PE) ratio of 21.15 for 2025, with a projected PE of 21.12 for 2026 and 20.18 for 2027 [5][9] - The price-to-book (PB) ratio is 3.27 for 2025, expected to decrease to 2.97 by 2027 [5][9] - The company maintains a dividend yield of approximately 3.36% for 2025 [5][9]