CCA(SH:603100) Changjiang Securities·2025-11-12 15:18Investment Rating - The investment rating for the company is "Buy" and is maintained [9]. Core Views - The company reported a revenue of 4.89 billion yuan for the first three quarters of 2025, a year-on-year decrease of 13.02%. The net profit attributable to the parent company was 462 million yuan, down 17.28% year-on-year [2][6]. - In Q3 2025, the company achieved a revenue of 1.61 billion yuan, a year-on-year decline of 14.30%, with a net profit of 137 million yuan, down 29.91% year-on-year [2][6]. - The company's gross margin improved to 35.17% in Q3 2025, reflecting a year-on-year increase of 0.78 percentage points and a quarter-on-quarter increase of 1.01 percentage points, marking three consecutive quarters of gross margin improvement [2][6]. - The company is actively expanding into new industries, with significant growth in orders from sectors such as nuclear power, fine chemicals, non-ferrous metal smelting, and water resources, with new orders increasing by 38%-64% in the first half of 2025 [2][6]. - The acquisition by China National Machinery Industry Corporation is expected to provide more support to the company, enhancing business synergy and facilitating overseas revenue growth [2][6]. Summary by Sections Financial Performance - For the first three quarters of 2025, the company reported a revenue of 4.89 billion yuan, a decrease of 13.02% year-on-year, and a net profit of 462 million yuan, down 17.28% year-on-year. In Q3 2025, revenue was 1.61 billion yuan, a decline of 14.30% year-on-year, with a net profit of 137 million yuan, down 29.91% year-on-year [2][6]. Profitability - The gross margin for Q3 2025 was 35.17%, which is an improvement of 0.78 percentage points year-on-year and 1.01 percentage points quarter-on-quarter. The decline in net profit was primarily influenced by fair value changes, but the stock price has shown recovery since October, which is expected to positively impact Q4 profits [2][6]. Industry Expansion - The company is focusing on expanding into new industries, with notable growth in sectors such as large coal chemical, high-end chemical new materials, and nuclear power. The new orders in these segments have shown significant increases, indicating potential for future revenue support [2][6]. Strategic Changes - The control change to China National Machinery Industry Corporation is anticipated to enhance the company's operational capabilities and market reach, particularly in overseas markets, leveraging the extensive network of the parent company [2][6].