Group 1 - The stock price of Dongfang Electric (01072) increased by over 5%, reaching HKD 17.96 with a trading volume of HKD 296 million [1] - Dongfang Electric's board meeting today will review and approve the unaudited interim results for the six months ending June 30, 2025 [1] - UBS initiated coverage on Dongfang Electric with a "Buy" rating and a target price of HKD 23.6, forecasting an annual earnings growth rate of 27% from 2024 to 2028, compared to 11% from 2020 to 2024 [1] Group 2 - UBS expects the company to shift from one-time hardware sales to a service model, which is anticipated to significantly enhance profitability and valuation [1] - The company is focusing on maintenance services as a strategic priority, with the gross margin of service contracts being four times that of equipment sales [1] - The group is projected to achieve a compound annual growth rate of 25% in maintenance service gross margin from 2025 to 2028, contributing 14 percentage points to annual earnings growth [1]