Jovo Energy(SH:605090) Huachuang Securities·2025-11-04 12:02Investment Rating - The report maintains a "Strong Buy" rating for Jiufeng Energy (605090) [2][9] Core Views - The company reported a revenue of 15.61 billion yuan for the first three quarters of 2025, a year-on-year decrease of 8.5%, and a net profit attributable to shareholders of 1.24 billion yuan, down 19.1% year-on-year [2] - The report highlights the impact of temporary costs on quarterly performance, particularly due to factors such as delayed shipping schedules, extreme weather affecting LPG transportation, and transitional maintenance of newly acquired facilities [9] - Looking ahead to Q4, the report anticipates improved performance in the LPG business as negative factors from Q3 are expected to be resolved, leading to a recovery in profitability [9] - The collaboration on the Xinjiang coal-to-gas project is viewed as a significant opportunity for the company's transformation, with all necessary approvals in place and project progress expected to accelerate [9] - The report projects net profits for 2025, 2026, and 2027 to be 1.592 billion yuan, 1.767 billion yuan, and 2.064 billion yuan respectively, reflecting the potential growth from the coal-to-gas project [9] Financial Summary - For 2025, the company is expected to generate total revenue of 21.56 billion yuan, with a year-on-year growth rate of -2.2% [4] - The projected net profit for 2025 is 1.592 billion yuan, with a year-on-year decrease of 5.4% [4] - The earnings per share (EPS) for 2025 is estimated at 2.29 yuan, with a price-to-earnings (P/E) ratio of 14 [4] - The target price for the stock is set at 45.72 yuan, compared to the current price of 33.06 yuan [5]