Core Insights - The "14th Five-Year Plan" period is a critical window for the construction of a new power system and energy transition in China, with a high investment cycle in the distribution network already underway [1] - Haocreat Ruitong, recently listed on the Growth Enterprise Market, is actively engaging in mid-term dividend plans and strategic direction aligned with the "14th Five-Year Plan" investment in distribution networks [1][2] Investment Outlook - The investment scale in the distribution network during the "14th Five-Year Plan" is expected to continue the high prosperity seen in the "13th Five-Year Plan," with an estimated investment of 680-720 billion yuan, over 60% of which will be directed towards green and digital initiatives [2][3] - The company has established a solid brand position in the smart distribution equipment sector, with its core products passing rigorous qualifications from major power grids [3] Strategic Development - Haocreat Ruitong is focusing on three core products: smart ring main units, smart pole-mounted switches, and box-type substations, enhancing its market share through product structure upgrades [3] - The company aims to expand its market presence beyond the two major power grids, leveraging its production capacity to tap into high-quality external clients [4] Global Expansion - The company is preparing for global market opportunities, having conducted in-depth research in key regions like the Middle East and Europe, with products meeting local market requirements [4] Financial Performance - The company announced a mid-term dividend of 5 yuan per 10 shares, totaling 55 million yuan, reflecting confidence in its stable growth [6][7] - For the first three quarters of 2025, Haocreat Ruitong reported revenues of 693 million yuan, a year-on-year increase of 2.93%, and a net profit of 92.3 million yuan, up 1.16% [7] - The company has achieved a compound annual growth rate of 24.47% in revenue and 27.22% in net profit from 2022 to 2024, establishing a solid foundation for seizing opportunities during the "14th Five-Year Plan" [7] Investment Projects - The proceeds from the company's IPO are being directed towards key projects, including the production of smart ring main units and smart pole-mounted switches, which will enhance production capacity and core technology development [5]

Core Viewpoint - The company, Haocreat Ruitong, is leveraging strategic opportunities in the "14th Five-Year Plan" period for distribution network investment while advancing core technology research and production capacity, aiming to expand into emerging markets and overseas business [1][4]. Financial Performance - The company plans to distribute cash dividends of RMB 5 per 10 shares, totaling RMB 55 million, with the record date on January 8, 2026, and the ex-dividend date on January 9, 2026 [2]. - For the first three quarters of 2025, Haocreat Ruitong reported revenue of RMB 693 million, a year-on-year increase of 2.93%, and a net profit attributable to shareholders of RMB 92.3 million, up 1.16% [2]. - Historical performance shows strong growth, with revenues of RMB 560 million, RMB 672 million, and RMB 867 million from 2022 to 2024, reflecting a compound annual growth rate (CAGR) of 24.47%, and net profits of RMB 68.8 million, RMB 87.4 million, and RMB 111 million, with a CAGR of 27.22% [2]. Market Position and Competitive Advantage - Haocreat Ruitong has established a strong competitive advantage in the smart distribution equipment sector, focusing on three core products that have passed rigorous qualifications from State Grid and Southern Power Grid [3]. - The company ranks among the top in the number of bids won for smart ring main units, smart pole switches, and box-type substations in the State Grid's distribution material procurement from 2022 to 2024 [3]. - The State Grid's fixed asset investment is projected to exceed RMB 650 billion in 2025, with the "14th Five-Year Plan" for distribution network investment exceeding RMB 1.2 trillion, providing significant market opportunities for the company [3]. Strategic Development and Market Expansion - The company is focusing on the "Two Networks" market, with network business revenue accounting for 88.92%, 92.69%, and 87.16% from 2022 to 2024 [5]. - Plans for future expansion include targeting high-quality customers outside the "Two Networks" and exploring overseas markets, with completed research in the Middle East and Europe [5]. - The company aims to align its market value with intrinsic value through stable short-term market capitalization and long-term performance growth, supported by technology research, production capacity expansion, and market development [5]. Industry Outlook - The smart distribution equipment industry is entering a golden development period with the commencement of the "15th Five-Year Plan" for distribution network investment [6]. - Haocreat Ruitong is expected to benefit from the industry's high prosperity due to its solid technical strength, stable customer base, clear development strategy, and ongoing capacity expansion [6].