Group 1 - The nominal growth rate of fixed asset investment in China fell to 1.6% in the first seven months, but the actual growth, after excluding price factors, is approximately 4% to 5%, indicating a systematic optimization of the investment structure as the economy transitions from high-speed growth to high-quality development [1] - Investment in the manufacturing sector increased by 6.2% year-on-year, with notable growth in traditional manufacturing upgrades and high-end industries, such as aerospace and computer equipment manufacturing, which saw year-on-year growth rates of 33.9% and 16% respectively [1] - Investment in major sectors is growing rapidly, with equipment and tool purchases increasing by 15.2% year-on-year, accounting for 16.2% of total investment and contributing 2.2 percentage points to overall investment growth [1] Group 2 - Investment in renewable energy sources, including solar, wind, nuclear, and hydropower, increased by 21.9% year-on-year, supporting the green transformation of the economy and reducing reliance on traditional fossil fuels [2] - There is significant potential for investment in infrastructure and industrial upgrades, driven by the urbanization of nearly 300 million agricultural migrants, which creates demand for education, healthcare, and housing [2] - Policy measures are being implemented to stimulate effective investment, including the promotion of a unified national market and the activation of private capital through tools like REITs and industrial funds, which will enhance the investment environment [2]

Group 1 - The core viewpoint is that China's fixed asset investment grew by 1.6% year-on-year in the first seven months of the year, reflecting a decline compared to the first half of the year, but the pressure on investment growth is considered to be temporary [1][2] - The actual growth of fixed asset investment, excluding price factors, is around 4%-5%, indicating that the nominal growth rate decline is influenced by short-term factors such as extreme weather and a complex external environment [1] - Manufacturing investment showed a significant increase, with a year-on-year growth of 6.2% in the first seven months, outpacing the overall investment growth rate [1] Group 2 - Investment in key sectors, particularly in energy and green transition, has seen rapid growth, with solar, wind, nuclear, and hydropower investments collectively increasing by 21.9% year-on-year [2] - The overall investment scale in China continues to expand, and the investment structure is optimizing, with significant potential for future investment due to the gap in per capita capital stock compared to developed countries [2]

Investment Rating - The report maintains an "Outperform" rating for the public utility and environmental sectors [1][10]. Core Views - The completion of the preliminary design for China's first 1 million kilowatt fourth-generation commercial fast reactor marks significant progress in the country's nuclear energy strategy [2][16]. - The public utility sector saw a 7.64% increase in the total market value of fund holdings, reaching 63.28 billion yuan in Q2 2025, with a focus on hydropower companies [3][17]. - The report emphasizes the importance of coal and electricity prices moving downward, which is expected to maintain reasonable profitability for thermal power companies [4][25]. Summary by Sections Market Review - The Shanghai Composite Index rose by 1.69%, while the public utility index fell by 0.27% and the environmental index increased by 1.66% [1][15]. - Within the power sector, thermal power decreased by 0.29%, hydropower by 1.31%, while new energy generation rose by 1.24% [1][28]. Important Events - The preliminary design of the CFR1000 fast reactor has been completed, which is crucial for energy security and sustainable development in China [2][16]. - In August 2025, the electricity trading price in Jiangsu was 393.8 yuan per megawatt-hour, with a total transaction volume of 12.353 billion kilowatt-hours [2][16]. Investment Strategy - Recommendations include major thermal power companies like Huadian International and Shanghai Electric, as well as leading new energy firms such as Longyuan Power and Three Gorges Energy [4][25]. - The report suggests focusing on high-dividend hydropower stocks like Yangtze Power for their defensive attributes [4][25]. Fund Holdings - In Q2 2025, the total market value of fund holdings in the public utility sector was 63.28 billion yuan, with a notable increase in hydropower and gas sectors, while thermal power saw a decrease [3][19]. - The environmental sector's fund holdings totaled 7.352 billion yuan, showing a slight decline from the previous quarter [21][22]. Key Company Recommendations - The report recommends several companies across different sectors, including: - Huadian International and Shanghai Electric in thermal power [4][25]. - Longyuan Power and Three Gorges Energy in new energy [4][25]. - Yangtze Power in hydropower [4][25]. - Guangxi Energy and Funiu Co. in offshore wind energy [4][25]. - Light Environmental and Zhongshan Public Utility in the environmental sector [26].

Group 1 - Company Wantuo Expressway has won the bid for the S98 Quanqiao to Lukou Expressway project in Anhui, with an estimated investment of 5.05 billion yuan and a construction period of 1095 days [1] - The project will be operated under a BOT model with a concession period of 356 months, and is expected to start construction by the end of 2025 and be completed by the end of 2028 [1] Group 2 - Shanghai Rural Commercial Bank has received approval for the appointment of its vice president, Zhang Lingling, by the National Financial Regulatory Administration [2] - The bank focuses on corporate banking, personal banking, and financial market services [2] Group 3 - Saintno Biopharmaceutical has received a drug registration certificate for Acetate Ganirelix Injection, aimed at women undergoing controlled ovarian stimulation [3] - The company specializes in the research, production, and sales of peptide raw materials and formulations [3] Group 4 - Chengdu Bank has received regulatory approval for its chief economist's appointment [4] - The bank's main business includes corporate finance, microfinance, personal finance, and financial market services [4] Group 5 - Funeng Technology has received a notification from GAC Group for the development of battery pack components, with supply expected to start within the year [5] - The company specializes in comprehensive energy solutions, focusing on the research, production, and sales of power batteries and systems [5] Group 6 - Binjiang Group has successfully acquired land use rights for a residential plot in Hangzhou, covering an area of 36,500 square meters with a total price of 1.53 billion yuan [6] Group 7 - Anfu Technology reported a net profit of 107 million yuan for the first half of 2025, a year-on-year increase of 14.38% [8] - The company specializes in the research, production, and sales of batteries [8] Group 8 - Microelectrophysiology expects a net profit increase of 76.34% to 105.73% for the first half of 2025, with projected revenue of 215 million to 230 million yuan [13] - The company focuses on innovative medical devices in the field of electrophysiology [13] Group 9 - China Nuclear Power plans to invest 500 million yuan to establish a wholly-owned subsidiary for energy project development in Shandong [10] - The company specializes in power generation, including nuclear and renewable energy [10] Group 10 - Pumen Technology has received IVDRCE certification for seven electrochemical luminescence reagents, expanding its certified product range to 27 [23] - The company specializes in in vitro diagnostics and clinical medical products [23] Group 11 - ST Jiatou has had part of its subsidiary's assets frozen due to financial difficulties, with the freeze lasting until March 30, 2028 [24] - The company focuses on natural gas utilization and related services [24] Group 12 - China Electric Power Construction has signed new contracts worth 686.699 billion yuan in the first half of 2025, a year-on-year increase of 5.83% [33] - The company specializes in engineering contracting and design, power investment, and real estate development [33] Group 13 - Health元 has achieved the primary research endpoint in a Phase III clinical trial for LZM012, a treatment for moderate to severe plaque psoriasis [36] - The company focuses on the research, production, and sales of pharmaceutical products [36] Group 14 - Dalian Shengya is planning to issue shares to specific investors, which may lead to a change in control [54] - The company operates in the tourism and scenic area management sector [54]

1. Report Industry Investment Rating No relevant content provided. 2. Core Viewpoints of the Report - Guanghe Convertible Bonds (127110.SZ) started online subscription on July 9, 2025, with a total issuance scale of 4.9 billion yuan. After deducting issuance fees, the net proceeds will be used for the construction of Units 5 and 6 of the Guangdong Lufeng Nuclear Power Plant [4]. - The current bond - floor valuation is 98.62 yuan, and the YTM is 1.66%. The conversion parity is 101.36 yuan, and the parity premium rate is - 1.34%. The convertible bond terms are standard, and the dilution rate of the total share capital is 2.58% [4]. - It is expected that the listing price of Guanghe Convertible Bonds on the first day will be between 126.83 and 140.94 yuan, and the subscription success rate is expected to be 0.0140%. It is recommended to actively subscribe [4]. - China General Nuclear Power Corporation (CGN) is a large - scale central clean - energy enterprise controlled by the SASAC. Since 2019, its revenue and net profit attributable to the parent company have shown stable growth. Its sales revenue mainly comes from power sales, and its sales net profit margin and gross profit margin remain stable and are significantly higher than the industry average [4]. 3. Summary by Relevant Catalogs 3.1 Convertible Bond Basic Information - **Issuance and Subscription Schedule**: The issuance and subscription of Guanghe Convertible Bonds are scheduled from July 7 to July 15, 2025, including steps such as publishing prospectuses, online roadshows, original shareholder priority subscription, and online subscription [10]. - **Basic Terms**: The convertible bond has a code of 127110.SZ, a total issuance scale of 4.9 billion yuan, a term of 6 years, and a subject/issue rating of AAA/AAA. The initial conversion price is 3.67 yuan per share, and the conversion period is from January 15, 2026, to July 8, 2031 [11]. - **Use of Raised Funds**: The raised funds of 490 million yuan will be used for the construction of Units 5 and 6 of the Guangdong Lufeng Nuclear Power Plant [12]. - **Bond and Stock Indicators**: The pure bond value is 98.62 yuan, the pure bond premium rate is 1.40%, the pure bond YTM is 1.66%, the conversion parity is 101.36 yuan, and the parity premium rate is - 1.34% [13]. 3.2 Investment Subscription Suggestions - **Expected Listing Price**: Based on comparable targets and empirical results, considering the good bond - floor protection, high rating, and large scale of Guanghe Convertible Bonds, it is expected that the conversion premium rate on the first - day of listing will be around 32%, and the corresponding listing price will be between 126.83 and 140.94 yuan [16][17]. - **Expected Subscription Success Rate**: It is expected that the original shareholder priority subscription ratio will be 77.34%, and the online subscription success rate will be 0.0140% [19]. 3.3 Analysis of the Underlying Stock's Fundamentals 3.3.1 Financial Data Analysis - **Revenue and Profit Growth**: Since 2019, CGN's revenue has shown a steady growth trend, with a compound growth rate of 7.35% from 2019 to 2024. In 2024, its revenue reached 86.804 billion yuan, a year - on - year increase of 5.16%. The net profit attributable to the parent company also showed stable growth, with a compound growth rate of 2.70% from 2019 to 2024. In 2024, it reached 10.814 billion yuan, a year - on - year increase of 0.83% [4][21]. - **Revenue Composition**: The company's revenue mainly comes from power sales, accounting for 70.16%, 75.73%, and 75.96% of the total revenue in the past three years, respectively, and the power sales revenue has shown an overall upward trend [4][22]. - **Profitability and Cost**: From 2019 to 2024, the company's sales net profit margin and gross profit margin remained stable and were significantly higher than the industry average. The sales expense ratio remained stable, while the financial expense ratio and management expense ratio gradually decreased [4][29]. 3.3.2 Company Highlights - **Scale and Market Position**: As of the end of June 2024, the total installed capacity of operating and under - construction nuclear power units managed by CGN was 43.814 million kilowatts, accounting for 43.48% of the national total, ranking first in China and second in the world. It has significant scale advantages and strong competitiveness [37]. - **Technical and Experience Advantages**: CGN has accumulated rich experience in nuclear power plant construction and operation management. It has a national engineering technology center, a national key laboratory, and five national energy R & D platforms, leading in the development and application of new nuclear energy technologies [37].

Group 1 - Shengde Xintai won a bid for a thermal power steel pipe project worth approximately 217 million yuan, accounting for 8.15% of its audited revenue for 2024 [1] - High-speed Electric's subsidiary won a project for the Shanghai-Nanjing-Hefei high-speed railway, with a bid amount of 71.76 million yuan [1] - Cangge Mining's subsidiary received a construction permit for a lithium-boron mining project, with a construction area of 106,900 square meters [2] Group 2 - China Electric Power Construction signed a mining transportation project contract in Guinea worth approximately 5.063 billion yuan, with a total duration of about 72 months [3] - Guobang Pharmaceutical's subsidiary completed the registration of an equity investment fund focusing on strategic emerging industries [4] - Deshi Co. obtained two invention patents related to oil and gas field development [5][26] Group 3 - Xue Tian Salt Industry expects a significant decrease in net profit for the first half of 2025, projecting a decline of 76.34% to 80.29% [6] - Rundu Co. received a drug registration certificate for moxifloxacin hydrochloride tablets, used for treating various bacterial infections [7] - China Nuclear Power reported a 15.65% increase in power generation in the first half of the year, with nuclear power generation up by 12.01% [8] Group 4 - Suqian Liansheng obtained two invention patents related to wastewater treatment methods [9] - Boshi Co. signed a 109 million yuan operation and maintenance service contract for solid product packaging [11] - *ST Sailong's subsidiary received a drug registration certificate for torasemide injection, used for various medical conditions [13] Group 5 - North Bay Port reported a 10.95% increase in cargo throughput for the first half of 2025, with container throughput also showing growth [14] - Kaiwei Te expects a revenue increase of 56.17% to 90.87% for the first half of 2025 [15] - Wankai New Materials plans to reduce production and conduct maintenance on 60,000 tons of PET capacity, affecting overall performance [16] Group 6 - Haiwang Bio's HW130 injection successfully completed Phase I clinical trials, showing good safety and tolerability [19] - Zhenai Meijia received a total of 22.8 million yuan in compensation for land acquisition, which will significantly impact its 2025 performance [20] - Changyuan Electric reported a 23.58% decrease in power generation in June, with a notable decline in thermal power generation [21] Group 7 - Shouxiangu's subsidiary completed the registration of two health food products [22] - Kailun Co. announced the resignation of its deputy general manager and board secretary [23] - Xibu Muye reported a 2.15% year-on-year increase in fresh milk production in June [24] Group 8 - Deshi Co. obtained two invention patents related to oil and gas field development [26] - Jingwei Huikai plans to acquire a 12.44% stake in Nuo Si Micro for 149 million yuan [27] - Electric Alloy completed the registration of its subsidiary in Mexico [29] Group 9 - Meinuohua expects a net profit increase of 142.84% to 174.52% for the first half of 2025 [30] - Guizhou Moutai repurchased approximately 3.38 million shares, accounting for 0.2692% of its total share capital [31][32] - Warner Pharmaceutical received approval for the listing application of a raw material drug for treating respiratory diseases [34] Group 10 - Yuan Dong Bio's independent director is under investigation for serious violations [35] - Dash Intelligent signed a contract for a smart project worth 11.88 million yuan [36] - Dayou Energy plans to transfer 586,500 tons of coal production capacity replacement indicators [37] Group 11 - Foton Motor reported a 150.96% increase in new energy vehicle sales in the first half of 2025 [39] - Renfu Pharmaceutical's shareholder plans to increase its stake by 1% to 2% [40] - Zongshen Power expects a net profit increase of 70% to 100% for the first half of 2025 [42] Group 12 - Yingboer plans to sell its wholly-owned subsidiary for 239 million yuan [44] - Changan Automobile reported a 1.59% increase in total vehicle sales in the first half of 2025 [46] - Fulian Precision signed a cooperation framework agreement with Sichuan Development Longmang [48] Group 13 - Nengte Technology plans to repurchase shares worth 300 million to 500 million yuan [50] - Longsoft Technology's controlling shareholder donated 3.43% of the company's shares [51] - Data Port's shareholders plan to reduce their holdings by up to 2% [52]

Investment Rating - The investment rating for the company is "Hold" [2][6] Core Insights - The company reported a 4.41% year-on-year increase in revenue for Q1 2025, reaching 20.028 billion yuan, while net profit attributable to shareholders decreased by 16.07% to 3.026 billion yuan [3][4] - The increase in controllable power generation was 14.06% year-on-year, which contributed to the revenue growth, although the revenue growth rate was lower than the power generation growth rate, likely due to market pricing factors [4] - The company's gross margin and net margin decreased by 2.7 percentage points and 4.27 percentage points year-on-year, respectively, to 36.58% and 23.67% [4] Financial Performance - For Q1 2025, the company completed five scheduled annual overhauls and one ten-year overhaul, with fewer overhaul days compared to the same period last year, leading to increased power generation from subsidiaries [5] - The company is managing 28 operational nuclear power units and 16 under construction, with expectations for the Huizhou 1 and 2 units to commence operations in 2025 and 2026, respectively [5] - The forecast for net profit attributable to shareholders for 2025-2027 is 10.961 billion, 11.626 billion, and 11.825 billion yuan, with corresponding P/E ratios of 16.5, 15.6, and 15.3 [6][7] Market Data - As of April 23, 2025, the closing price was 3.58 yuan, with a total market capitalization of 140.819 billion yuan [8] - The company has a debt-to-asset ratio of 59.68% and a net asset value per share of 2.43 yuan [8]