Guoxin Securities·2025-11-04 07:14Investment Rating - The report maintains an "Outperform the Market" rating for the company [6][31]. Core Views - The company's profitability has shown recovery in Q3 2025, with a net profit of 2.97 billion yuan, representing a year-on-year increase of 13% [10]. - The demand for power construction during the "14th Five-Year Plan" period is expected to be robust, driven by government initiatives to enhance energy equipment quality [4][31]. - The company has a strong order backlog, ensuring future performance, with new orders signed in the first three quarters of 2025 amounting to 88.58 billion yuan, a year-on-year increase of 9% [3][23]. Financial Performance - In the first three quarters of 2025, the company achieved total revenue of 55.52 billion yuan, up 16% year-on-year, and a gross margin of 15.4%, down 0.4 percentage points year-on-year [2][10]. - The gross margin for Q3 2025 was 15.2%, showing a year-on-year decline of 1.4 percentage points but a quarter-on-quarter increase of 0.6 percentage points [2][16]. - The company has adjusted its profit forecasts for 2025-2027, expecting net profits of 4.58 billion, 4.79 billion, and 5.10 billion yuan respectively, with a significant increase of 56.6% in 2025 [31][35]. Order and Production - The company signed new orders worth 231 billion yuan in Q3 2025, a decrease of 8% year-on-year and 22% quarter-on-quarter [3][23]. - The total production of power generation equipment in the first three quarters reached 61.5 GW, with a target of 73 GW for 2025, indicating a 26% year-on-year growth [3][23]. Market Outlook - The report highlights the government's commitment to advancing clean energy projects, including coal, gas, and renewable energy, which is expected to benefit the company due to its leading technology in various power sources [4][31].