Core Viewpoint - The company reported strong financial performance in the first half of 2025, with significant growth in revenue and net profit, driven by optimized order structure and increased average prices per vessel [1][3]. Financial Performance - In the first half of 2025, the company achieved revenue of 40.325 billion yuan, a year-over-year increase of 11.96% [1]. - The net profit attributable to shareholders was 2.946 billion yuan, up 108.59% year-over-year [1]. - The gross profit margin was 12.21%, an increase of 2.01 percentage points year-over-year [1]. - The net profit margin was 8.32%, up 3.41 percentage points year-over-year [1]. Business Segmentation - The shipbuilding and offshore engineering segment generated revenue of 38.669 billion yuan, a year-over-year increase of 12.26%, accounting for 95.89% of total revenue [1]. - The electromechanical equipment segment reported revenue of 625 million yuan, down 30.91% year-over-year, representing 1.55% of total revenue [1]. Order and Market Position - In the first half of 2025, the company secured new orders totaling 12.7246 million DWT, capturing a global market share of 10.54%, an increase of 3.95 percentage points compared to the full year of 2024 [4]. - As of June 2025, the company had a backlog of 333 vessels, totaling 26.4911 million DWT, valued at 233.487 billion yuan [4]. - The company completed the delivery of 48 vessels, totaling 3.5522 million DWT, achieving 56% of its annual plan [4]. Strategic Goals - The company set a revenue target of 80.5 billion yuan for 2025, representing a year-over-year increase of 2.44% [5]. - The operational plan focuses on market expansion, product development, operational management, and technological innovation to achieve its goals [5]. Mergers and Acquisitions - The merger between China Shipbuilding and China Heavy Industry is set to be the largest restructuring in A-share market history, with total assets exceeding 400 billion yuan and annual revenue surpassing 130 billion yuan post-merger [6]. Profit Forecast - The company is expected to achieve revenues of 87.197 billion yuan, 97.590 billion yuan, and 110.160 billion yuan for the years 2025 to 2027, with corresponding net profits of 7.005 billion yuan, 8.909 billion yuan, and 11.291 billion yuan [7][8].

Core Viewpoint - The global new ship market is entering an adjustment period, with a significant decline in new ship orders due to geopolitical risks, high shipbuilding prices, and a normalization of previously high order volumes [1][2]. Group 1: New Ship Market Trends - In May, global new ship orders totaled 71 vessels and 1.66 million CGT, representing a 55% year-on-year decline and a 64% month-on-month decline [1]. - Chinese shipyards secured 42 vessels and 0.64 million CGT, maintaining a 39% global market share [1]. - From January to April, China's shipbuilding completion was 15.32 million deadweight tons, down 8.4% year-on-year, while new ship orders were 30.69 million deadweight tons, down 11.1% year-on-year [1]. Group 2: Factors Influencing the Market - The decline in new ship orders is seen as a normal phenomenon following a high demand period, with geopolitical risks affecting international shipowners' willingness to place orders [2]. - Despite a significant drop in steel prices since 2021, new ship prices have surged by approximately 50% from 2020 to 2024 due to strong order volumes, although they have started to decrease this year [2]. Group 3: Green Ship Development - The green ship market is gaining momentum, with the global fleet's green ratio currently below 10%, but expected to exceed 20% by 2030 [1]. - China’s new orders for green-powered vessels have increased from 31.5% in 2021 to an anticipated 78.5% in 2024 in the international market [3]. - The International Maritime Organization (IMO) has approved a framework combining mandatory emission limits and greenhouse gas pricing, which is expected to impact new ship orders and investments [4][5].