Core Insights - Xinjiang's coal, solar, and wind energy reserves rank among the highest in the country, enabling the "Xinjiang Power Transmission" initiative, which complements electricity usage patterns between Xinjiang and the eastern-central regions [1][2] - The scale of "Xinjiang Power Transmission" has expanded significantly since the 18th National Congress, establishing a robust power grid structure that supports both internal supply and external transmission [1][3] Group 1: Power Transmission Infrastructure - The ±1100 kV ultra-high voltage transmission line from Xinjiang to Anhui spans over 3000 kilometers, ensuring stable and safe operation through advanced drone inspections [2][3] - Xinjiang has developed five major power transmission corridors, including routes to Gansu, Henan, Anhui, and Chongqing, facilitating efficient energy distribution [3][4] - By the end of 2024, Xinjiang plans to have 32 750 kV substations and 98 transmission lines, totaling 12,300 kilometers, making it the province with the most extensive 750 kV network in China [3][5] Group 2: Renewable Energy Integration - The integration of wind and solar energy into the grid is challenging due to their variability, but Xinjiang has developed a new generation of power forecasting systems that utilize AI for accurate predictions [4][5] - A comprehensive automatic control system has been established to optimize the collaboration of various energy sources, ensuring maximum utilization of renewable energy [5][6] - Currently, one-third of the electricity transmitted from Xinjiang is green energy, with over 270 billion kilowatt-hours of green electricity delivered, equivalent to planting 11.18 billion trees [5][6] Group 3: Future Developments - Xinjiang plans to initiate 41 new and ongoing ultra-high voltage projects by 2025, marking a 50% increase from 2024, indicating a significant expansion in infrastructure development [6]

Core Insights - Xinjiang's abundant coal, solar, and wind energy resources position it as a key player in China's energy landscape, facilitating the "Xinjiang Power Transmission" initiative that supports energy structure transformation nationwide [1][17] - The development of a robust power grid in Xinjiang, featuring a network of 32 substations and 98 transmission lines, enhances the efficiency of energy delivery across vast distances [17][25] - Advanced technologies, including drone inspections and AI-driven power forecasting systems, significantly improve the reliability and efficiency of power transmission from Xinjiang to eastern regions [3][21][23] Group 1: Energy Resources and Infrastructure - Xinjiang ranks among the top regions in China for coal, solar, and wind energy reserves, creating a unique advantage for energy exports [1] - The "Xinjiang Power Transmission" initiative has established a comprehensive grid structure, including "internal supply" and "external transmission" networks, facilitating energy delivery to eastern provinces [1][15] - By the end of 2024, Xinjiang will have constructed 32 750 kV substations and 98 transmission lines, making it the province with the most extensive 750 kV grid in China [17][25] Group 2: Technological Advancements - The use of drones for power line inspections enhances efficiency and safety, allowing for comprehensive monitoring of transmission lines without environmental constraints [3] - The development of a new generation of power forecasting systems enables accurate predictions of renewable energy generation, achieving over 96% accuracy [21] - An automated control system integrates various energy sources, optimizing the use of wind, solar, hydro, and thermal power to ensure grid stability [23] Group 3: Environmental Impact and Future Plans - Xinjiang's power exports include a significant proportion of green energy, with one-third of the electricity transmitted being renewable, equating to over 270 billion kWh of green power [25] - The cumulative power transmission from Xinjiang has surpassed 950 billion kWh, sufficient to meet the daily electricity needs of 1.4 billion people for 280 days [25] - Plans for 2025 include the construction of 41 new ultra-high voltage projects, marking a 50% increase from 2024, indicating a commitment to expanding energy infrastructure [25]

Investment Rating - The report maintains a "Buy" rating for the company [4] Core Views - The company achieved a revenue of 321 million yuan in H1 2025, representing a year-on-year increase of 43.15%, and a net profit attributable to shareholders of 46 million yuan, up 32.48% year-on-year [1] - The growth in revenue and profit is primarily driven by the rapid increase in demand for distributed power forecasting, particularly in the renewable energy sector [1][2] - The company has successfully controlled costs, leading to a net profit growth that outpaces revenue growth [1] Revenue and Profit Analysis - In H1 2025, the company's revenue from renewable energy power forecasting products increased by 55.14% year-on-year, driven by management requirements related to distributed power forecasting [2] - The number of new power station users reached 1,116, a 26% increase compared to the end of 2024, with a total of 5,461 power stations served by the company as of H1 2025 [2] Business Innovation - The company is advancing its innovative business segments, including power trading and virtual power plants, expanding its user base across several provinces [3] - The subsidiary has achieved significant growth in operating revenue from renewable energy assets, which reached 32.63 million yuan, a year-on-year increase of 665.96% [3] Financial Forecast - The company is projected to achieve net profits of 120 million yuan, 154 million yuan, and 196 million yuan for the years 2025, 2026, and 2027, respectively [3]