Core Viewpoint - The company's H1 2025 performance showed a decline in revenue but an increase in net profit, indicating mixed operational results amid challenging market conditions [1] Financial Performance - In H1 2025, the company achieved total revenue of 4.87 billion, a year-on-year decrease of 2.7% [1] - The net profit attributable to shareholders was 410 million, reflecting a year-on-year increase of 9.8% [1] - In Q2 2025, the company reported total revenue of 2.31 billion, down 8.0% year-on-year [1] Operational Analysis - The underperformance in revenue is attributed to declining prices in steel and chemical products, leading to weakened capital expenditure demand and increased competition [1] - The China Chemical Product Price Index fell by 9.7% year-on-year in H1 2025 [1] - The Shanghai rebar price also experienced a decline during the same period [1] - The gas business continues to grow, with stable profitability; H1 2025 revenue from energy infrastructure operations reached 2.21 billion, up 18% year-on-year [1] Profit Forecast and Valuation - The company forecasts net profit attributable to shareholders for 2025, 2026, and 2027 to be 910 million, 940 million, and 990 million respectively, representing year-on-year growth of 13.1%, 3.5%, and 6.0% [1] - The current price-to-earnings (PE) ratios are projected to be 17, 17, and 16 times for the years 2025, 2026, and 2027 [1] - The company maintains a "buy" rating based on these projections [1]