XINJI ENERGY(SH:601918) Tianfeng Securities·2025-10-25 09:54Investment Rating - The investment rating for the company is "Buy" with a target price not specified [6]. Core Views - The company's performance improved in Q3 2025 due to an increase in coal and electricity prices, indicating growth potential in the power sector [1][4]. - The company reported a net profit of 1.48 billion yuan for the first three quarters of 2025, a year-on-year decrease of 19.1%, but a significant quarter-on-quarter increase of 43.1% in Q3 [1]. - The report highlights the growth in electricity generation and sales, with a 28.2% year-on-year increase in electricity generation for the first three quarters of 2025 [3]. Financial Performance Summary - For Q3 2025, the company achieved an operating revenue of 3.2 billion yuan, a quarter-on-quarter increase of 10.3% [1]. - The coal production for the first three quarters of 2025 was 16.8 million tons, a year-on-year increase of 7.9% [2]. - The average selling price of coal decreased by 6.9% year-on-year to 523.2 yuan per ton for the first three quarters of 2025 [2]. - The company expects to achieve net profits of 2.07 billion yuan, 2.28 billion yuan, and 2.42 billion yuan for 2025, 2026, and 2027 respectively, reflecting a year-on-year decrease of 13.7% in 2025 but growth in subsequent years [4]. Operational Highlights - The company’s electricity generation capacity is expected to grow with the commissioning of new power plants in 2026, enhancing its growth prospects [4]. - The report notes a significant increase in electricity sales volume, with a 43.4% quarter-on-quarter growth in Q3 2025 [3]. - The average on-grid electricity price for Q3 2025 was approximately 0.3713 yuan per kilowatt-hour, showing a slight increase from the previous quarter [3].