Investment Rating - The investment rating for the company is maintained as "Buy" with a target price of RMB 11.24 [6][8]. Core Views - The company reported a revenue of RMB 2.272 billion for H1 2025, a year-on-year decrease of 5.02%, while the net profit attributable to shareholders was RMB 247 million, an increase of 44.53% year-on-year [1]. - The company continues to focus on its "one main two wings" strategy and has announced a dividend payout ratio of no less than 35% and at least RMB 400 million for each year from 2024 to 2026 [1][5]. - The company is actively seeking new growth avenues through equity investments in new economy sectors, with a total investment exceeding RMB 1.7 billion in 25 quality projects [4]. Financial Performance - In H1 2025, the company achieved cement and clinker revenue of RMB 1.97 billion, down 4.2% year-on-year, with a total sales volume of 8.907 million tons, also down 4.1% year-on-year [2]. - The gross profit per ton for cement increased by RMB 15 to RMB 67, benefiting from lower coal prices and cost management [2]. - The company reported a net cash inflow from operating activities of RMB 480 million, an increase of RMB 90 million year-on-year, and held cash and cash equivalents of RMB 2.17 billion at the end of H1 2025 [3]. Future Outlook - The company expects to see a rebound in cement prices in H2 2025 due to increased production management and capacity governance in the industry [2]. - The long-term profit forecast for the company is set at RMB 740 million, RMB 790 million, and RMB 850 million for the years 2025, 2026, and 2027 respectively [5][10]. - The company aims to maintain a clear development path and has adjusted its target price based on a P/B ratio of 1.2x for 2025 [5].