Report Summary 1. Report Industry Investment Rating There is no information about the industry investment rating in the provided content. 2. Core View of the Report The company is in a transformation process, focusing on two main areas: comprehensive computing power services and display driver chips. Despite facing competition in these sectors, the management is optimistic about the market prospects. The company plans to adopt a dual - wheel drive development model of technology deep - diving and market expansion in the next 2 - 3 years for both businesses. In 2025, the company aims to strengthen its core competitiveness and achieve good performance to reward investors [50]. 3. Summary by Relevant Catalogs 3.1. Research Basic Situation - Research object: Nongshang Environment [17] - Industry: Engineering construction [17] - Reception time: 2025 - 06 - 12 [17] - Reception personnel: Chairman Lin Feng and Secretary of the Board Jia Chunqi [17] 3.2. Detailed Research Institutions - Types of reception objects: Relevant institutional personnel, investors' online questions, others [20] 3.3. Research Institution Proportion There is no information about the research institution proportion in the provided content. 3.4. Main Content Data - **Computing Power Projects** - The company's subsidiary acquired a stake in Zhongxin Digital Technology (Aksu) Co., Ltd. Information about the Aksu computing power project will be disclosed according to regulations. The company has no available information about the Shawan area for now. The cooperation with Karamay City's cloud computing industrial park has a 3 - year - valid strategic cooperation framework agreement [40][47][54]. - In 2024, the company's computing power comprehensive service business achieved an operating income of 108.0828 million yuan, accounting for 46.66% of the total operating income, with a gross profit of 15.6034 million yuan [56]. - **Chip Business** - For detailed information on the display driver chip business, refer to the "Section III Management Discussion and Analysis" in the "2024 Annual Report" disclosed on the Juchao Information Network on April 15, 2025 [23][30][34]. - The company's investment in Xinhe Zhihui has been disclosed in the "Announcement on the Reply to the Annual Report Inquiry Letter of the Shenzhen Stock Exchange" on May 22, 2025 [24][26][43]. - **Business Strategy and Development** - The company's strategic positioning is to build a full - chain service system in the computing power business and focus on R & D, product development, and market expansion in the display driver chip business [26]. - In the next 2 - 3 years, the company will adopt a dual - wheel drive development model for both computing power and display driver chip businesses, focusing on technological innovation and market expansion [50]. - **Stock Price and Market Value Management** - The company will implement its established strategy, strengthen the construction of the operation risk management system, expand new computing power business, and shrink the landscaping construction business to improve asset quality, core competitiveness, and promote stock price growth [24]. - The secondary market stock price is affected by multiple factors, and the company does not have the situation of adjusting the stock price for private placement [49]. - **Accounts Receivable** - The company has strengthened the collection mechanism of accounts receivable and taken effective measures to speed up the recovery [26][48][51]. - **Company Name and Business Scope Change** - If the company changes its name or business scope, it will fulfill the information disclosure obligation in strict accordance with the regulations [25][33][56]

Group 1: Financial Performance and Projections - The company aims to achieve a revenue of 300 million in 2025, with measures in place to ensure this target is met [2] - The company reported a revenue of 108.08 million in 2024, accounting for 46.66% of total revenue, with a gross profit of 15.60 million [17] - The company has a significant amount of accounts receivable, amounting to 430 million, with ongoing efforts to recover these funds [14] Group 2: Chip Production and Development - The company is focused on the production of display driver chips, with detailed updates available in the 2024 annual report [6] - There are ongoing discussions regarding the mass production timeline for the chips, with expectations for progress updates in the near future [12] - The company has plans to invest 200 million in the Chip Hesheng project over the next 16 months, aiming for a 51% stake [13] Group 3: Strategic Initiatives and Market Position - The company is strategically positioning itself in the computing power service sector, aiming to build a comprehensive service system [3] - The company is exploring partnerships and collaborations to enhance its market presence and operational capabilities [10] - The company is committed to optimizing its asset quality and structure to improve core competitiveness and sustainable operations [4] Group 4: Investor Relations and Communication - The company emphasizes transparency and adherence to information disclosure regulations, ensuring that all relevant updates are communicated to investors [5] - There is a focus on maintaining investor confidence and addressing concerns regarding stock price performance and market perception [9] - The company is actively engaging with investors to provide updates on strategic initiatives and operational progress [8]

Core Viewpoint - The capital market's attention on Shango Holdings (00412.HK) is increasing, with multiple institutions issuing initial coverage reports and giving "buy" ratings, recognizing the company's strategic positioning in the "green electricity + computing power" emerging sector [1][2]. Group 1: Industry Positioning and Growth - Shango Holdings has achieved over 200% growth in total asset scale within three years, with the overall scale of the computing power industry exceeding 50 billion [2]. - The company plays the role of an "industry organizer," effectively integrating assets and creating value through a "1+1>2" synergy, distinguishing itself from traditional financial investments [2][3]. - The "source-network-load-storage integration" project in Ulanqab is expected to generate approximately 1.3 billion annually once fully operational, showcasing the company's ability to create economic benefits through green electricity [3]. Group 2: Strategic Collaborations and Ecosystem Development - Shango Holdings is collaborating with major players like Huawei to develop a "green computing + clean energy" model, enhancing its integrated computing power infrastructure [6][7]. - The partnership aims to create a digital ecosystem that integrates transportation, energy, and data, aligning with national strategies such as "East Data West Computing" [6][7]. - The company is positioned to expand its business radius beyond Huawei, aiming to become a key player in China's AI technology revolution and the foundation of the "AI ecosystem alliance" [7]. Group 3: Market Trends and Future Outlook - The integration of computing power and green electricity is becoming a standard for data center operators, driven by policy requirements and market demands for renewable energy [4][5]. - Shango Holdings is expected to benefit from the dual engines of green electricity and computing power, with optimistic profit forecasts of approximately 216 million, 456 million, and 555 million for the years 2025-2027 [7][8]. - The company is strategically positioned at the intersection of the digital economy and energy transition, making it a core leader in the evolving landscape of new productivity [8].

Group 1 - On June 11, a strategic cooperation signing ceremony was held between Ruqi Data and the Datong Data Bureau, marking the official launch of the Datong base, which is a high-standard data labeling base developed in response to the rapid growth of business demands [1] - According to the cooperation agreement, both parties will leverage their respective advantages to jointly promote the development of the data industry in Datong. Ruqi Data will establish a professional data labeling team exceeding 500 people at the Datong base, with an initial team size of over 200 [3] - Datong is one of the first cities designated by the National Data Bureau to undertake the construction of data labeling bases. The city is focusing on building a "computing power city" by leveraging its stable, low-cost, and high-quality power infrastructure, and is attracting leading enterprises in various industries to develop around data and computing power [3] Group 2 - Ruqi Data is a comprehensive artificial intelligence data production, service, and management solution launched by Ruqi Travel, aiming to create a data fission engine for the AI era. The company has expanded its business boundaries from the autonomous driving industry to various sectors including healthcare, education, finance, law, biology, and large models [4] - Ruqi Data has built a professional labeling team of over 1,500 people, delivering a labeling capacity of over 700,000 frames per month [4]

Group 1 - Inner Mongolia Mobile was awarded the title of "Seventh National Civilized Unit" for its commitment to integrating civilized creation with production and operation, achieving significant results in promoting civilization [1] - The company has established the "Ulan" propaganda team and a "Five Four Four" work mechanism to enhance grassroots propaganda efforts, focusing on themes such as digital economy and rural revitalization [2] - Inner Mongolia Mobile has implemented the "Digital Rural Revitalization Plan," completing over 45 assistance projects and donating more than 3.3 million yuan to support rural areas [2] Group 2 - The company has conducted extensive anti-fraud campaigns, distributing over 101,400 promotional materials and sending 2.32 billion warning messages, aiding in the arrest of 329 suspects [3] - Inner Mongolia Mobile has invested over 700 million yuan in communication infrastructure, achieving fiber network coverage in 724 administrative villages and constructing nearly 1,000 4G/5G base stations [4] - The company has applied 5G technology in various industries, providing smart mining services to 50 mining enterprises and creating a smart hub for vocational education [4] Group 3 - Inner Mongolia Mobile has established the largest single-unit intelligent computing center in China Mobile's Hohhot data center, with a computing power scale of 6.7 EFlops, recognized as one of the "Top Ten Super Projects" of state-owned enterprises in 2023 [6] - The company has successfully won the bid for Byte Group's "Volcano Engine Data Center Project," which will become the largest hub in northern China for the group [6]

Investment Rating - The report assigns a "Buy" rating for the company, indicating a positive outlook for investment opportunities [1]. Core Insights - The company benefits from a tight electricity supply-demand balance in Hebei Province, characterized as a "nuclear-poor" area, which is expected to sustain over the next three years [8][10]. - The report highlights the significant efficiency improvements from the combined heat and power (CHP) model, achieving thermal efficiency rates of 80%-90% [39]. - The company is positioned favorably due to its proximity to major coal-producing provinces, which enhances its cost structure amid declining coal prices [37]. Summary by Sections 1. Supply and Demand Dynamics - In 2024, the conventional power sources in Hebei Province are projected to consist of 63% thermal, 2% hydro, and 0% nuclear, significantly lower than the national averages of 67%, 14%, and 5% respectively [10][15]. - The report anticipates a sustained tight supply of conventional power in Hebei, with thermal power growth slightly exceeding the national average [20][26]. - The demand for electricity is expected to increase due to the "East Data West Computing" initiative, which is projected to release additional demand [27][28]. 2. Pricing and Revenue Projections - The average on-grid electricity price for 2024 is estimated at 438.22 RMB/MWh, reflecting a decrease of 12.57 RMB/MWh year-on-year [32]. - The report forecasts that the company's net profit attributable to shareholders will reach 1.34 billion RMB in 2025, with a year-on-year growth rate of 152.2% [1][10]. 3. Operational Efficiency - The company operates 14 thermal power plants, achieving a total generation of 538.90 billion kWh in 2024, an increase of 116.24 billion kWh from the previous year [32][33]. - The implementation of a stock incentive plan aims for significant growth in operating profit over the next three years, with targets set at 300 million RMB, 520 million RMB, and 630 million RMB for 2024, 2025, and 2026 respectively [10][39]. 4. Market Position and Competitive Advantage - The company is the largest thermal power operator in Hebei, with a total installed capacity of 1,177 MW as of 2025 [39]. - The strategic location near coal-rich provinces allows the company to optimize fuel procurement and manage costs effectively [37][39].

Core Viewpoint - Data elements are a new type of production factor in the digital economy era, serving as a core engine for the development of new productive forces and an important strategic resource for the country [1][2] Group 1: Macro Perspective - The transition from factor-driven to innovation-driven growth in various sectors of the economy relies on data elements, which can exist independently as production materials and also act as a "connector" to optimize resource allocation efficiency [1] - High-quality data flows can eliminate information silos across the industrial chain, enhancing deep collaboration within the industry [1] Group 2: Meso Perspective - The cultivation of emerging industries heavily depends on data to explore market demands, optimize business processes, and provide personalized services, particularly in strategic emerging industries like artificial intelligence [1][2] - Data sovereignty is becoming a new battleground for industrial discourse power, as the development and utilization of data resources are crucial for future industries [1][2] Group 3: Micro Perspective - The non-competitive nature and positive externalities of data elements break the traditional marginal returns of factors, alleviating efficiency losses and market failures caused by information asymmetry [2] - There is a lack of high-quality data resources, with issues in data collection integrity and accuracy due to the absence of intelligent data collection modules and unified standards [2] Group 4: Policy and Infrastructure - The "East Data West Computing" project has been implemented for three years, establishing national computing power hub nodes and data center clusters to rationally allocate data resources [3] - To further unleash the potential of data elements, it is essential to advance the "East Data West Computing" project, optimize mechanisms, and promote the integration of existing data centers [3] - Accelerating the digital transformation of traditional industries and enhancing data collection capabilities are critical for establishing a foundation for high-quality data collection [3]

Market Performance - The TMT sector has shown the highest growth, with the telecommunications sector leading the industry[2] - Non-fund heavy positions have outperformed, indicating a strong institutional profit effect[4] - The market rotation speed remains high across styles and industries, suggesting active trading conditions[4] Investment Themes - The "East Data West Computing" and "Carbon Neutrality" themes are currently leading in market interest[2] - Small-cap and high-valuation stocks are favored, with the ChiNext Growth Index showing significant gains[4] - The ChiNext Growth Index has reported a weekly return of 6.58%, outperforming other indices[22] Sector Analysis - The telecommunications sector achieved a return of 3.82%, exceeding the overall A-share market by 2.21%[17] - The information technology and hardware sector followed closely with a return of 3.45%[17] - The materials sector also performed well, with a return of 2.69%[17] Risk Considerations - The report emphasizes that past performance does not guarantee future results, highlighting the potential for market volatility[26]

Market Overview - The A-share market experienced slight fluctuations with the Shanghai Composite Index down by 0.06% to 3382.11, the Shenzhen Component down by 0.18% to 10185.34, and the ChiNext Index down by 0.48% to 2038.87 [2][3] - The total market turnover reached 763.1 billion CNY, with 2223 stocks rising, 275 unchanged, and 2914 declining [3] Sector Performance - The sectors of non-ferrous metals, telecommunications, and petrochemicals saw significant gains, while the new consumption sector, including pet economy, ice and snow tourism, and medical beauty, performed poorly [4] - The Hainan Free Trade Port concept surged, with stocks like Hainan Ruize, Hainan Expressway, and Luoniushan hitting the daily limit [12][18] Key Concepts and Stocks - The storage chip concept stocks rose sharply, with major players like Daway Co. and Haoshanghao hitting the daily limit, and Guokewi increasing by over 12% [8][9] - The "East Data West Computing" initiative and related sectors such as IDC, cloud computing, and AI computing saw collective gains, with stocks like Zhongcheng Technology and Nanling Technology nearing their daily limit [10][11] Hainan Free Trade Port Developments - The State Council approved the Hainan provincial government to approve land use matters, supporting the construction of the Hainan Free Trade Port, which is expected to create strategic opportunities [18] - The Hainan Free Trade Port is approaching a critical milestone with the 2025 deadline for "closure" as outlined in the overall plan [18] Football Concept Decline - The previously hot "Sichuan Super" concept stocks cooled down, with Jinling Sports experiencing a significant drop of 12.9% [19][22] - The football concept index fell by 2.82%, indicating a broader decline in related stocks [23]

Group 1: Market Analysis - The Shanghai Composite Index is currently facing a resistance level at 3418 points and a support level at 3174 points, with the index closing at 3376 points on June 4, 2025, just 42 points away from the resistance level [5][6] - If the index effectively breaks above the 3418 points resistance, it may signal a shift from a long-term sideways trading range to an upward trend, with the 3418 points level becoming a strong support [5][6] - The index has attempted to break the 3418 points resistance five times since October 8, 2024, but has not succeeded, indicating significant market indecision [6] Group 2: Consumer Trends - During the Dragon Boat Festival, domestic tourism saw 119 million trips, a year-on-year increase of 5.7%, while tourism revenue reached 42.73 billion yuan, growing by 5.9% [9][10] - The average spending per person for domestic travel was 359.08 yuan, a slight decrease of 2.11% compared to the same period last year [9] - Short-distance and surrounding travel dominated, with nearly 50% of travelers opting for nearby destinations, and family trips being a significant trend due to the coinciding Children's Day [10][11] Group 3: Economic Indicators - The People's Bank of China announced a 1 trillion yuan reverse repurchase operation, indicating ongoing liquidity support in the market [16] - The tax authority reported that the private economy's vitality has been improving, with a 3.6% year-on-year increase in sales revenue for the private sector in the first four months of 2025, outpacing the overall growth of national enterprises [17][18] - The European Central Bank lowered interest rates by 25 basis points, reflecting a continued accommodative monetary policy stance in response to economic conditions [21]