中信建投证券股份有限公司 关于浙江伟明环保股份有限公司 2025 年度持续督导现场检查报告 上海证券交易所： 中信建投证券股份有限公司（以下简称"保荐机构"）作为浙江伟明环保股 份有限公司（以下简称"伟明环保"或"公司"）2022 年公开发行可转换公司债 券项目以及 2024 年向不特定对象发行可转换公司债券项目的保荐机构，根据《证 券发行上市保荐业务管理办法》（以下简称"《保荐办法》"）以及《上海证券交易 所上市公司自律监管指引第 11 号——持续督导》等相关法规规定，于 2025 年 12 月 24 日对公司进行了现场检查。现将本次检查的情况报告如下： 一、本次现场检查的基本情况 保荐机构于 2025 年 12 月 24 日对伟明环保进行了现场检查。参加人员为徐 天全。 在现场检查过程中，保荐机构结合伟明环保的实际情况，查阅、收集了伟明 环保有关文件、资料，与公司管理人员和员工进行了访谈，实施了包括审核、查 证、询问等必要程序，检查了公司治理和内部控制、信息披露、公司的独立性以 及与控股股东及其他关联方资金往来、募集资金使用、关联交易、对外担保、重 大对外投资以及经营状况等情况，并在前述工作的基础上完成了 ...

Investment Rating - The report maintains an "Accumulate" rating for the environmental protection industry [1]. Core Insights - The release of the CCER methodology for renewable energy electrolysis hydrogen is expected to reshape the economic viability of green hydrogen projects [10][12]. - The environmental protection industry strategy for 2026 emphasizes a dual focus on value and growth, driven by carbon neutrality initiatives [15]. - The report highlights significant growth in the sales of new energy sanitation vehicles, with a year-on-year increase of 64.01% and a penetration rate increase of 6.68 percentage points to 18.6% [22]. - The price of biodiesel remains stable, with slight improvements in profit margins [34]. - The lithium battery recycling sector is experiencing a decline in profitability despite rising metal prices [35]. Summary by Sections CCER Methodology and Green Hydrogen - The CCER methodology for renewable energy electrolysis hydrogen was officially released, enhancing the regulatory framework for green hydrogen projects [10]. - The methodology specifies that it applies only to new projects and emphasizes the use of self-generated renewable energy [11]. - The economic benefits of green hydrogen projects are projected to improve, with investment recovery periods decreasing from 9.21 years to 8.77 years due to CCER revenue [12][13]. Environmental Protection Industry Strategy - The 2026 strategy focuses on the dual themes of value and growth, with an emphasis on market-oriented improvements and operational efficiency [15]. - Key recommendations include focusing on companies with strong cash flow and growth potential, such as Huanlan Environment and Longjing Environmental Protection [15][16]. Sanitation Equipment Market - The sanitation vehicle market saw a total sales volume of 66,563 units in the first eleven months of 2025, with new energy vehicles accounting for 12,383 units sold [22]. - The penetration rate of new energy sanitation vehicles reached 18.6%, indicating a growing trend towards electrification in this sector [22]. Biodiesel Market - The average price of biodiesel remained stable at 8,200 yuan per ton, with a slight improvement in profit margins [34]. - The price difference between UCOME and waste oil is approximately 2,172 yuan per ton, indicating a competitive market environment [34]. Lithium Battery Recycling - The profitability of lithium battery recycling projects has decreased, with average unit profits for lithium carbonate and waste materials showing negative margins [35]. - Despite this, metal prices for lithium, cobalt, and nickel have increased, suggesting potential for future profitability improvements [35][37].

Investment Rating - The report maintains an "Overweight" rating for the public utility and environmental sectors [7] Core Insights - The report anticipates stable growth in hydropower and improvements in cash flow for green energy and environmental companies due to government subsidies and debt reduction policies [1][6] - The performance of thermal power companies is expected to improve in Q4 2025 despite some uncertainty due to impairment losses [2] - Hydropower generation has shown significant year-on-year growth, with expectations for increased profitability for major hydropower companies [3] - The renewable energy sector is experiencing growth in installed capacity, which supports an increase in generation, while the risk of impairment is expected to ease [4] - Natural gas production is on the rise, and cost reductions may boost demand in the coming years [5] Summary by Sections Thermal Power - In October and November 2025, thermal power generation increased by 7.3% and decreased by 4.2% year-on-year, respectively, with coal prices declining by 11.5% year-on-year [2] - The average price of Qinhuangdao thermal coal in Q4 2025 is projected to be 750 RMB per ton [2] Hydropower & Nuclear Power - Hydropower generation in October and November 2025 increased by 28.2% and 17.1% year-on-year, respectively [3] - The Three Gorges Dam's outflow increased significantly, and nuclear power generation also showed stable growth [3] Renewable Energy - From January to October 2025, wind and solar power generation increased by 7.6% and 23.2% year-on-year, respectively, with installed capacity growth supporting generation increases [4] - The utilization rates for wind and solar power were 96.4% and 94.8%, respectively, indicating a slight year-on-year improvement [4] Natural Gas - Natural gas production increased by 5.9% and 5.7% year-on-year in October and November 2025, while apparent consumption decreased by 1.3% [5] - The market anticipates a decline in international oil prices and domestic gas prices, which may support demand growth [5] Environmental Sector - The report highlights the positive impact of government subsidy repayments and pricing adjustments on the environmental sector's fundamentals [6] - The ongoing debt reduction policies are expected to enhance the financial performance of environmental companies [6]

Industry and Company Analysis Summary Industry Overview - The lithium, cobalt, and nickel sectors are expected to see price increases in Q1 2026, driven by strong demand and supply constraints [10][11] - Despite concerns regarding the demand for new energy vehicles in 2026, an overall growth rate of 15%-20% is anticipated, with a positive outlook for the energy storage market [1][2] Key Points on Lithium Market - Recent lithium carbonate prices have surged, exceeding 120,000 yuan per ton, primarily due to stable demand and production delays from major companies like CATL [2] - Current lithium carbonate supply is nearly at full capacity, limiting production flexibility. Even with price increases, significant new capacity is not expected in the short term [3][4] - Companies with substantial investment potential in the lithium sector include Guocheng Mining, Dazhong Mining, Tianhua Xinneng, and Shengxin Lithium Energy, all of which have considerable growth prospects [5] Nickel Market Insights - The Indonesian Nickel Mining Association has announced a planned 34% reduction in RKA approvals for 2026, which could shift the nickel market from surplus to a tight balance if strictly enforced [6][7] - The nickel market is currently influenced by potential policy changes from the Indonesian government, with significant implications for supply and demand dynamics [7][8] Cobalt Market Analysis - The cobalt market is currently in a state of information vacuum, with delays in cobalt exports from the Democratic Republic of Congo (DRC) leading to increased domestic inventory consumption [9] - In November, China imported approximately 4,900 tons of cobalt intermediate products, with a significant monthly demand leading to a reduction in inventory levels [9] - A rapid increase in cobalt prices is expected in Q1 2026 due to panic buying as inventory levels are depleted [9][10] Additional Considerations - The overall supply chain is becoming more closed, with heightened security concerns regarding resource availability, making commodity prices more resistant to declines [11] - Companies like Huayou, Likin, Greeenmei, Zhongwei, and Weiming Environmental are noted for their bottom-fishing value, even in a declining price environment [8]

Core Viewpoint - The environmental governance sector experienced a slight increase of 0.14% on December 22, with Tongyuan Environment leading the gains, while the overall market indices also showed positive movements [1]. Group 1: Market Performance - The Shanghai Composite Index closed at 3917.36, up by 0.69% [1]. - The Shenzhen Component Index closed at 13332.73, up by 1.47% [1]. - The environmental governance sector stocks showed varied performance, with Tongyuan Environment rising by 18.56% to a closing price of 26.89 [1]. Group 2: Stock Performance - Key gainers included: - Tongyuan Environment (688679): 26.89, +18.56%, volume 120,400, turnover 321 million [1]. - Beijiete (300774): 19.41, +10.35%, volume 308,200, turnover 587.1 million [1]. - ST Xindongli (300152): 2.33, +4.95%, volume 399,700, turnover 91.91 million [1]. - Key losers included: - Huicheng Environmental (300779): 135.87, -12.43%, volume 136,100, turnover 1.963 billion [2]. - Zhongzhi Co. (603903): 14.71, -6.25%, volume 151,600, turnover 227 million [2]. Group 3: Capital Flow - The environmental governance sector saw a net outflow of 575 million from institutional investors, while retail investors contributed a net inflow of 321 million [2]. - The capital flow data indicates that retail investors were more active in the sector compared to institutional investors [2]. Group 4: Individual Stock Capital Flow - High-energy Environment (603588) had a net inflow of 21.75 million from institutional investors, while it faced a net outflow of 37.56 million from speculative funds [3]. - Tongyuan Environment (688679) experienced a net inflow of 12.82 million from institutional investors, with a slight outflow from speculative funds [3]. - The overall trend shows that while some stocks attracted institutional interest, others faced significant outflows from speculative and retail investors [3].

Investment Rating - The report maintains an "Accumulate" rating for the environmental protection industry [1] Core Views - The environmental protection industry is expected to benefit from tightening nickel quotas in Indonesia and increasing demand for air pollution control, particularly for companies like Longjing Environmental [1] - The report emphasizes the importance of the "15th Five-Year Plan" for achieving carbon neutrality and improving air quality, indicating a shift from end-of-pipe treatment to structural reduction [10][11] - The report highlights the growth potential in the waste management sector, particularly in overseas markets, and the expected acceleration in revenue recognition for companies like Weiming Environmental [19][21] Summary by Sections Industry Trends - The environmental protection industry is projected to experience a value and growth resonance driven by dual carbon goals [21] - The report notes a significant increase in sales of new energy sanitation vehicles, with a 61.32% year-on-year growth in the first ten months of 2025 [27] - The average price of biodiesel has decreased, leading to a decline in profit margins [39] Key Recommendations - Recommended companies include Longjing Environmental, Weiming Environmental, and others that are positioned to benefit from stricter air quality standards and increased demand for environmental services [1][21] - The report suggests focusing on companies with strong cash flow and market positioning in the water services sector, such as Yuehai Investment and Xingrong Environment [22] Market Dynamics - The report indicates that the tightening of nickel quotas in Indonesia could support nickel prices, benefiting companies involved in nickel production and processing [18] - The report also discusses the expected growth in the waste-to-energy sector in Indonesia, with significant investments planned for waste incineration plants [19] Financial Performance - Longjing Environmental reported a 1.1% year-on-year increase in new environmental equipment contracts, with a total of 76.26 billion yuan in new contracts for the first three quarters of 2025 [13] - The report projects that the free cash flow for the water services sector will improve significantly, enhancing dividend potential and PE valuation [22]

Summary of Key Points from Conference Call Records Industry Overview - The focus is on the public utility and environmental protection sectors, particularly in the context of coal-fired power, renewable energy, and waste-to-energy industries [1][6][10]. Core Insights and Arguments Coal-Fired Power Sector - In 2025, the coal-fired power sector is expected to perform well with a growth rate of approximately 13.3%, primarily due to declining coal prices [2]. - The flexibility and scarcity value of coal-fired power are highlighted, especially in regions with a high proportion of renewable energy [2][3]. - By 2026, the power supply-demand relationship is anticipated to shift towards structural looseness, leading to pressure on coal-fired utilization hours and market prices [1][3]. - New coal-fired power units are projected to peak in 2025-2026, with an annual addition of about 70 GW, increasing revenue pressure due to rising renewable energy installations [3]. Investment Strategies - Investment strategies should focus on companies with controllable electricity price declines, new quality asset additions, or high dividend yields, such as Inner Mongolia Huadian and Huaneng International [1][3]. - Recommended stocks include national players like Huaneng International, Datang Power, and local companies like Inner Mongolia Haitan and Shaanxi Energy [3]. Renewable Energy Sector - The renewable energy sector is characterized by low valuations among Hong Kong-listed wind power operators, benefiting from reduced capital expenditure expectations and accelerated government subsidy recoveries [1][4]. - The cancellation of VAT refund policies in 2025 is expected to lead to more cautious capital expenditures among renewable energy operators [16]. - The sector is projected to see a significant increase in installed capacity, with annual additions expected to be between 150-200 GW over the next decade [16]. Waste-to-Energy and Biomass Diesel - The waste-to-energy sector is highlighted as a key emerging area for 2026, with significant growth potential and policy support [1][5]. - The industry has seen a substantial increase in the number of waste incineration facilities, with capacity rising from 25.59 million tons/day in 2016 to 115 million tons/day by 2024 [8]. - The sector's capital expenditure peaked in 2020 at 22.3 billion yuan, declining to 10.742 billion yuan by 2024, while free cash flow turned positive for the first time in 2024 [8]. Financial Performance and Market Dynamics - The public utility sector overall saw a 3.6% increase in 2025, outperforming the CSI 300 index by 12.8 percentage points, while the environmental sector rose by 16.1% [6]. - Concerns regarding subsidy delays and accounts receivable are gradually easing, with companies exploring new business models to enhance profitability [7][10]. Other Important Insights - The SAF (Sustainable Aviation Fuel) industry is entering a growth phase, with demand expected to rise significantly due to EU regulations [21][22]. - The supply of Yoko (waste cooking oil) is limited, but its price has stabilized, and demand is expected to increase, benefiting companies with expansion plans [23]. - The waste-to-energy sector is also exploring international opportunities, such as projects in Indonesia, which could provide significant growth avenues for Chinese companies [9]. Recommended Companies - Key companies to watch include: - Waste-to-energy: Weiming Environmental, Huaneng International, and Longyuan Power [10][24]. - Gas sector: Hong Kong gas companies like Towngas and integrated gas companies in A-shares [13][24]. - Biomass diesel: Companies with scarce Yoko resources like Shanhai Environmental and Jiaao Environmental [24].

Summary of the Conference Call for Weiming Environmental Company Overview - **Company**: Weiming Environmental - **Industry**: Environmental Services, specifically focusing on waste treatment and new materials, including high-grade nickel production Key Points and Arguments Nickel Supply and Pricing - The Indonesian government plans to significantly reduce nickel ore production by 2026, which is expected to tighten nickel supply and support price increases, benefiting Weiming Environmental's high-grade nickel business [2][4] - Nickel prices are currently stable at $14,000 to $15,000 per ton, with a low risk of decline due to cost support [4] New Materials Business Development - Weiming Environmental's new materials business is progressing steadily, with the high-grade nickel project expected to be fully operational by Q2 2026, releasing a capacity of 40,000 tons [2][5] - The company has also planned additional production capacities totaling 130,000 tons, including electrolytic nickel and precursor production [5][10] - In the first three quarters of 2025, the electrolytic nickel business contributed approximately 110 million RMB in investment income, with a sales volume of 3,500 tons and a net profit of about 11,000 RMB per ton [6][10] Waste Treatment Market in Indonesia - Weiming Environmental is actively expanding into the Indonesian solid waste treatment market, which has significant potential, with expectations to capture 10%-20% market share [2][7] - The Indonesian waste incineration market is projected to have a daily capacity of 200,000 to 250,000 tons, with the first batch of 33 cities expected to release a capacity of 40,000 tons [7] - The revenue per ton from incineration projects in Indonesia is significantly higher than in China, with potential earnings of 582 RMB per ton compared to 270 RMB domestically [7][9] Financial Performance and Projections - Weiming Environmental expects a total profit of 2.8 billion RMB for 2025 and 3.4 billion RMB for 2026, representing a year-on-year growth of approximately 22% [3][12] - The company anticipates maintaining a compound annual growth rate (CAGR) of over 20% driven by multiple business segments [3][12] - The company’s market capitalization is currently 40 billion RMB, with a price-to-earnings ratio of 12, which is considered undervalued [12] Equipment Sales and Orders - In the first three quarters of 2025, Weiming Environmental secured new equipment orders worth 4.5 billion RMB, a year-on-year increase of 66%, indicating a strong order backlog for future growth [2][11] - Despite a slight decline in equipment revenue to approximately 3.4 billion RMB due to order execution timing, the company expects equipment sales revenue to reach 4 billion RMB in 2026 [11] Investment Model and Market Outlook - The Indonesian government mandates local sovereign funds to participate in waste incineration projects, ensuring a minimum stake of 30%, which may increase to 51% if necessary [9] - Weiming Environmental's operational gross margin in domestic waste incineration is around 60%, higher than the industry average of 50%, due to its self-manufacturing capabilities [9] Additional Important Insights - The integration of high-grade nickel, electrolytic nickel, and precursor production is expected to create significant synergies and enhance profitability in the new materials sector [8][10] - The company is well-positioned to leverage its operational advantages and technical capabilities to achieve higher economic returns in the Indonesian market [9][10]

Investment Rating - The industry investment rating is maintained as "Positive" [6] Core Insights - Lithium prices have once again broken through, indicating a potential second round of upward movement in equity [2] - The expected recovery in supply and demand fundamentals is strengthening, with the cancellation of mining licenses for 27 expired mining rights having a minimal impact on actual supply [4] - The report emphasizes the importance of positioning in lithium equity given the current price misalignment [4] Summary by Sections Precious Metals - Inflation data is lower than expected, increasing the probability of interest rate cuts, leading to a continued upward trend in gold and silver [4] - The report anticipates significant gold purchases by central banks towards the end of the year, driving gold prices higher [4] - Silver is expected to outperform due to macroeconomic conditions and low inventory levels, with a focus on silver stocks' elasticity [4] Industrial Metals - Copper and aluminum are expected to see a spring rally, supported by enhanced interest rate cut expectations [4] - Recent data shows a rise in copper and aluminum prices, with LME three-month copper up by 2.8% and aluminum by 2.4% [4] - The report suggests that the copper and aluminum sectors still have low valuations, making them attractive for investment [4] Energy and Minor Metals - The report highlights a turning point for lithium rights in 2026, with a strong demand cycle anticipated [4] - Strategic metals like rare earths and tungsten are expected to see a revaluation, with significant improvements in company performance [4] - The cobalt market is projected to face shortages from 2025 to 2027, with prices expected to rise significantly [4]

Investment Rating - The report maintains a "Positive" investment rating for the environmental sector [4]. Core Insights - The environmental sector has shown resilience, with a 0.3% increase in the sector's performance, outperforming the broader market [4][11]. - The report highlights the ongoing expansion of waste-to-energy companies in Southeast Asia, particularly in Vietnam, Thailand, and Indonesia, where waste management issues are significant [5][19][25]. - The Vietnamese government aims to increase waste recycling and processing, with a target of 95% by 2030, while currently, only 10% of waste is incinerated [21][22]. - Thailand's waste management is heavily reliant on landfills, with over 70% of waste sent to landfills, and the government plans to increase waste-to-energy capacity significantly by 2037 [25][26]. - Indonesia faces severe waste management challenges, with only 9-10% of waste processed properly, prompting government initiatives to expedite waste-to-energy project approvals [27][28]. Summary by Sections Market Performance - As of December 19, the environmental sector rose by 0.3%, outperforming the Shanghai Composite Index, which remained flat [4][11]. Industry Dynamics - The report discusses the release of the 2025 energy-saving and carbon reduction technology equipment directory, which includes over 350 technologies aimed at improving energy efficiency [32]. - The report notes the government's push for clean and efficient coal utilization, indicating a shift towards higher value products in the coal industry [33]. Waste-to-Energy Market in Southeast Asia - Vietnam generates significant waste, with 63% currently landfilled and only 10% incinerated. The government has set ambitious waste management goals [19][21]. - Thailand's waste generation is increasing rapidly, with a focus on enhancing waste-to-energy capacity as part of its renewable energy development plan [25][26]. - Indonesia's government is actively working to improve waste management, with plans to streamline project approvals for waste-to-energy facilities [27][28]. Investment Recommendations - The report suggests that the environmental sector, particularly waste management and recycling, is expected to maintain high growth due to government policies and market reforms. Key companies to watch include Huanlan Environment, Xingrong Environment, and Hongcheng Environment [5][51].