Industry Overview - The term "anti-involution" has become a high-frequency keyword in the photovoltaic industry, reflecting strong market expectations for policy enforcement [1] - The photovoltaic industry chain has seen varying degrees of price increases, with polysilicon futures prices rising over 60% recently, and spot prices rebounding from a low of 30,000 yuan/ton [1] - As of July 25, the CSI Photovoltaic Index has increased by over 17% since its low in June, indicating a potential industry bottoming out [2] Policy and Market Dynamics - The urgency to address price wars in the photovoltaic industry has intensified, with government meetings emphasizing the need to combat involution and promote capacity exit [3] - Recent regulations require sales prices to not fall below cost, leading to significant increases in silicon material prices [4] - Multiple broker reports suggest that the photovoltaic sector is at a bottom in terms of prices and profitability, with expectations for a rebound driven by supply-side policy reforms [6] Company Spotlight: Duliang Energy - Duliang Energy has established a strong competitive edge in the clean energy sector, focusing on energy-saving and clean energy technologies [7] - The company has developed a complete photovoltaic industry chain, including polysilicon core equipment and solar cell components, and is actively involved in hydrogen energy technology [7] - Duliang Energy's recent contract for a 450 million yuan green hydrogen system has garnered significant attention, showcasing its competitive advantage in the hydrogen sector [8] Growth Potential - Duliang Energy's strategic foresight in hydrogen energy has positioned it well for future growth, with a focus on high-performance alkaline electrolyzers [8] - The company has secured several international project orders, indicating strong market recognition and trust in its hydrogen technology [8] - The photovoltaic sector is expected to see a valuation recovery, with Duliang Energy benefiting from both operational stability and favorable policies [10][11] Financial Outlook - Duliang Energy anticipates a 2.96% increase in silicon wafer shipments and a 210.48% increase in component shipments in 2024, despite facing negative gross margins [13] - The company's gross margin is projected to improve to 4.52% in Q1 2025, reflecting a 13.8% quarter-on-quarter increase as the industry stabilizes [13] - The demand for electrolytic water hydrogen production equipment is expected to exceed 2.37 GW in 2024, providing long-term growth opportunities for Duliang Energy [13]