长江基建：稳守航道

Investment Rating - The report maintains a positive outlook on CKI, indicating it as a relatively safe investment option in the current macroeconomic environment [2]. Core Insights - CKI has continued its tradition of annual dividend growth, achieving a 1.2% year-on-year increase in dividends per share for the fiscal year 2025, reaching HKD 2.61 per share [2][3]. - The company is entering a peak regulatory reset period in 2026, which is expected to benefit CKI amidst the current inflationary environment driven by high energy prices [4]. - Following asset sales, CKI is focused on prudent capital deployment while continuing to seek acquisition opportunities in OECD countries, emphasizing a commitment to increasing dividends annually [5]. Summary by Relevant Sections Dividend Performance - For the fiscal year 2025, CKI reported a net profit of HKD 8.27 billion, reflecting a 2% year-on-year growth, and maintained a dividend payout ratio of 80%, resulting in a dividend yield of 4% based on current prices [3]. Regulatory Environment - CKI's six regulated business segments will undergo regulatory resets in 2026, which is anticipated to provide favorable conditions for the company, potentially offsetting cost pressures from rising oil prices [4]. Asset Management Strategy - The company has completed the sale of Eversholt UK Rails and is in the process of selling UK Power Network, with management assuring that they will not rush into acquisitions solely for cash deployment, maintaining internal return thresholds for evaluating potential opportunities [5]. Catalysts for Growth - Positive catalysts for CKI include favorable regulatory resets for its regulated businesses, potential value-enhancing acquisitions, currency appreciation against the HKD, and an optimistic dividend outlook [6].