Core Viewpoint - The company reported strong mid-year performance for 2025, with significant growth in revenue and net profit, driven by robust demand in the railway equipment and new industries sectors [1][2]. Financial Performance - In H1 2025, the company achieved operating revenue of 1197.58 billion yuan, a year-on-year increase of 32.99% [1] - The net profit attributable to shareholders reached 72.46 billion yuan, up 72.48% year-on-year [1] - The net profit excluding non-recurring items was 66.61 billion yuan, reflecting a 98.25% year-on-year growth [1] - For Q2 2025, the company reported revenue of 710.87 billion yuan, a 22.85% increase year-on-year, and a net profit of 41.93 billion yuan, up 31.22% year-on-year [2] Segment Performance - Railway equipment revenue was 597.06 billion yuan, a 42.21% increase year-on-year, with significant contributions from passenger and freight transport [2] - New industries revenue reached 407.33 billion yuan, growing by 35.59% year-on-year, driven by demand in wind power and energy storage [2] - The modern services segment generated revenue of 19.17 billion yuan, reflecting a 16.39% year-on-year increase [2] Profitability and Cost Management - The company's gross margin for H1 2025 was 21.81%, an increase of 0.40 percentage points year-on-year [3] - The railway equipment segment had a gross margin of 25.17%, up 2.46 percentage points year-on-year [3] - The sales net profit margin improved to 7.45%, a year-on-year increase of 1.32 percentage points [3] - The company effectively managed its expenses, with sales, management, financial, and R&D expense ratios showing improvements [3] Market Outlook - The railway sector is expected to continue benefiting from strong passenger and freight demand, with significant orders for high-speed trains and locomotives [4] - The new industries sector is projected to maintain growth momentum due to favorable market conditions in wind power and energy storage [4] - The company anticipates achieving net profits of 140.20 billion yuan, 140.99 billion yuan, and 155.88 billion yuan for 2025, 2026, and 2027, respectively [4]