Investment Rating - The investment rating for the company is "Accumulate" [6] Core Views - The company reported a significant increase in net profit for the third quarter, with a year-on-year growth of 187% and a total net profit of 12 billion yuan [1] - The refrigerant industry remains buoyant, with the company benefiting from a production quota system that is expected to sustain long-term price increases [4] - The company is positioned as a leading player in the refrigerant market, holding a 39.33% share of the national production quota for HFCs [4] Revenue and Profitability - For the first three quarters of 2025, the company achieved a revenue of 20.4 billion yuan, a year-on-year increase of 14%, and a net profit of 3.25 billion yuan, up 160% [1] - The refrigerant segment generated 9.35 billion yuan in revenue, representing a 48% year-on-year increase, contributing 46% to total revenue [2] - The average price of refrigerants increased significantly, with R32 priced at 57,000 yuan/ton, up 62% year-on-year [2] Segment Performance - Other segments, such as fluorochemical raw materials and fluoropolymer materials, showed mixed results, with revenues of 990 million yuan and 1.4 billion yuan respectively, reflecting year-on-year growth of 10.5% and 5.5% [3] - The food packaging materials segment faced a decline in revenue, down 27% year-on-year, due to weak market demand [3] Future Outlook - The company is expected to see continued growth in net profit, with projections of 4.44 billion yuan, 5.43 billion yuan, and 6.59 billion yuan for 2025, 2026, and 2027 respectively [4] - The company maintains a strong market position and is well-positioned to benefit from the ongoing demand for refrigerants and the implementation of production quotas [4]

1. Report Industry Investment Rating No relevant content provided. 2. Core Views of the Report - The rebound of industrial silicon last week was mainly due to the Fed's expected interest rate cut, which released an expectation of loose liquidity, and the marginal increase in the profit growth rate of industrial enterprises in August. The polysilicon self - discipline meeting further boosted prices, triggering a catch - up rally in industrial silicon. The supply side maintained moderate growth, and the demand side showed different trends in various segments. Overall, the rebound of industrial enterprise profit growth in China and the Fed's interest rate cut boosted the market, and the polysilicon industry planned the next round of production cuts. Technically, the 8800 level on the futures chart has confirmed medium - term support, and the polysilicon futures price is expected to enter a volatile upward trend in the short term [2][5][9]. 3. Summary by Relevant Catalogs 3.1 Market Data | Contract | 9/12 | 9/5 | Change | Change Rate | Unit | | --- | --- | --- | --- | --- | --- | | Industrial silicon main contract | 8745.00 | 8820.00 | - 75.00 | - 0.85% | Yuan/ton | | Oxygen - containing 553 spot | 9200.00 | 9100.00 | 100.00 | 1.10% | Yuan/ton | | Non - oxygen - containing 553 spot | 9000.00 | 8950.00 | 50.00 | 0.56% | Yuan/ton | | 421 spot | 9500.00 | 9400.00 | 100.00 | 1.06% | Yuan/ton | | 3303 spot | 10300.00 | 10300.00 | 0.00 | 0.00% | Yuan/ton | | Organic silicon DMC spot | 10700.00 | 10650.00 | 50.00 | 0.47% | Yuan/ton | | Polysilicon dense material spot | 50.00 | 48.00 | 2.00 | 4.17% | Yuan/kg | | Industrial silicon social inventory | 53.9 | 53.7 | 0.2 | 0.37% | 10,000 tons | [3] 3.2 Market Analysis and Outlook - **Macro aspect**: In August, the profits of large - scale industrial enterprises in China increased by 5.2% year - on - year, and the cumulative profit growth from January to August was 6.2%. Different industries showed different growth rates [6]. - **Supply - demand aspect**: As of September 19, the weekly output of industrial silicon was 94,700 tons, a month - on - month decrease of 0.8% and a year - on - year decrease of 0.43%. The overall furnace - opening rate slightly increased to 39.1%. After the polysilicon self - discipline meeting, enterprises had production cut plans but the amplitude was limited. The silicon wafer segment started production cuts in October, with no short - term demand for large - scale restocking. The price of photovoltaic cells rose moderately, and the component segment showed narrow - range fluctuations [5][7][9]. - **Inventory aspect**: As of September 19, the national social inventory of industrial silicon rose to 543,000 tons. As of September 5, the warehouse receipt inventory on the Guangzhou Futures Exchange continued to rise to 49,874 lots, equivalent to 249,000 tons. The 5 - series warehouse receipts that met the new delivery standards were actively registered and stored [8]. 3.3 Industry News - **MENA region power market**: According to the IEA report, the power consumption in the Middle East and North Africa (MENA) region will continue to grow rapidly in the next decade. The proportion of fossil fuels in power generation will decline, while solar photovoltaic power generation will grow rapidly. The investment in the MENA power sector is expected to increase by 50% by 2035. Improving air - conditioning energy efficiency is crucial for controlling peak power demand [10]. - **Inner Mongolia policy**: On September 12, Inner Mongolia issued a notice to optimize the mechanism of mandatory and voluntary consumption of renewable energy power. It requires new "two - high" projects to have a certain proportion of green power consumption and increases the proportion of green power consumption for existing enterprises [11]. 3.4 Relevant Charts The report provides charts on industrial silicon production, export volume, domestic social inventory, warehouse receipt inventory on the futures exchange, weekly production in main producing areas, organic silicon DMC production, polysilicon production, and spot prices of industrial silicon and related products [14][15].

Core Viewpoint - The company, Zhejiang Juhua Co., Ltd., is forecasting a significant increase in net profit for the first half of 2025, driven by rising prices of its core product, fluorinated refrigerants, and stable growth in production and sales [1][2]. Group 1: Performance Forecast - The net profit attributable to shareholders is expected to be between 1.97 billion to 2.13 billion yuan, an increase of 1.136 billion to 1.296 billion yuan compared to the same period last year, representing a year-on-year growth of 136% to 155% [1]. - The net profit is projected to be between 1.95 billion to 2.11 billion yuan, with an increase of 1.156 billion to 1.316 billion yuan compared to the previous year, indicating a year-on-year growth of 146% to 166% [1][2]. - The previous year's net profit attributable to shareholders was 834.216 million yuan, with a net profit of 793.8249 million yuan after deducting non-recurring gains and losses [1]. Group 2: Reasons for Performance Increase - The primary reason for the significant growth in performance is the continuous recovery in the prices of core products, particularly fluorinated refrigerants, alongside stable growth in production and sales, leading to increased gross margins and profits [2]. - The implementation of production quotas for HFCs starting in 2024 has led to sufficient inventory digestion and strong downstream demand, contributing to the price recovery and improved industry dynamics [2]. - The company has actively adapted to seasonal production and market structure challenges, focusing on management, market expansion, and optimizing product structure to enhance production efficiency [2].