Core Viewpoint - The report highlights the financial performance and operational challenges faced by Liaoning Cheng Da Co., Ltd. during the first half of 2025, with a focus on its four main business segments: pharmaceutical and medical, financial investment, domestic and international trade, and energy development. Financial Performance - The company reported a total revenue of 5.35 billion yuan, a decrease of 0.83% compared to the same period last year [5][6] - Total profit reached 816.12 million yuan, marking a significant increase of 65.64% year-on-year [5][6] - Net profit attributable to shareholders was 717.57 million yuan, up 56.18% from the previous year [5][6] - The company's net assets increased by 2.56% to 30.05 billion yuan, while total assets rose by 2.44% to 49.00 billion yuan [5][6] Business Segments Overview Pharmaceutical and Medical - The pharmaceutical segment, primarily through Cheng Da Biological, faced intense competition in the human vaccine market, leading to a revenue decline of 19.74% to 707 million yuan [6][7] - Cheng Da Biological maintains a leading position in the rabies vaccine market, with ongoing development of various vaccine products [6][10] Financial Investment - The financial investment segment saw significant growth, with investment income from Guangfa Securities increasing by 53.19% to 1.08 billion yuan [6][7] - The insurance sector also performed well, with China United Insurance's investment income rising by 143.94% [6][7] Domestic and International Trade - The trade segment achieved a revenue of 4.63 billion yuan, a growth of 3.20%, driven by strong performance in textile and apparel exports [6][7] - The company focused on risk management and operational stability amid fluctuating commodity prices [6][7] Energy Development - The energy segment reported a revenue of 133,000 yuan, with a net loss of 329 million yuan due to extended production halts and regulatory challenges [6][7] - The company is working on obtaining necessary permits for mining operations to resume production [6][7] Market Conditions - The overall economic environment is characterized by slow growth and increased uncertainty, with domestic demand remaining insufficient [6][7] - The pharmaceutical industry is under pressure due to increased competition and declining vaccination rates among the population [6][7] - The financial services sector is expected to continue benefiting from China's economic development and reforms [6][7]

Report Summary 1. Investment Rating The provided content does not mention the industry investment rating. 2. Core Viewpoints - In 2025, the core contradiction throughout the upstream, midstream, and downstream industries is the "structural gap during the new - old kinetic energy conversion period." In the first half of the year, the industry was affected by external uncertainties, with intensified internal differentiation, and overall prosperity relied on policy support. In the second half of the year, with the "two new" policies further boosting domestic demand and upgrading the industrial structure, the industry is expected to achieve a systematic leap from "quantity" to "quality" expansion [2][7]. 3. Summary by Directory Market Overview - **Upstream Materials**: In H1 2025, raw material prices were under pressure due to weak demand and Sino - US trade conflicts, showing significant differentiation. In H2, the structural differentiation will continue. Enterprises should focus on capacity elimination, tariff negotiations, and climate risks [8]. - **Midstream Manufacturing**: In H1 2025, it presented a differentiated pattern of "traditional under pressure, high - tech doing well." In H2, policies will support both demand and supply - side reforms, and traditional manufacturing is expected to break through cost dilemmas through intelligent and digital transformation [8]. - **Downstream Consumption**: In H1 2025, it showed a "weak recovery" pattern. In H2, the consumption market will continue to be structurally differentiated, and the recovery highly depends on policy implementation efficiency and business model innovation [9][10]. Upstream: Raw Material Price Fluctuations - **H1 2025 Situation**: Raw material prices were under pressure. Metal mining showed a divergence between black and non - ferrous metals; chemical raw materials had multi - directional fluctuations; energy sources like crude oil and coal were more differentiated; most agricultural products were at near - five - year lows [8][15]. - **H2 2025 Outlook**: The price differentiation will continue. Traditional raw materials' rebound depends on supply - side reforms and policy support, while emerging demand - driven products are more resilient. Enterprises should focus on capacity elimination, tariff reviews, and extreme weather [15][16]. Midstream: Short - term Stabilization, Continued New - Old Kinetic Energy Conversion - **Overall Situation**: In H1 2025, the manufacturing industry was affected by external factors, with traditional manufacturing under pressure and high - tech manufacturing supported by policies. After the tariff war, there was short - term stabilization, and both external and internal demands recovered to some extent [43][53]. - **Traditional Manufacturing**: In H1 2025, profits declined due to over - capacity and weak demand. In H2, policies will expand to more traditional manufacturing sectors, promoting transformation and efficiency improvement [59][75]. - **High - tech Manufacturing**: In H1 2025, it recovered significantly compared to the beginning of the year, benefiting from strong policy support. In H2, it is expected to continue to improve [69][75]. Downstream: Intensified Retail Differentiation, Weak Real Estate Recovery - **Retail Industry**: In H1 2025, online e - commerce grew due to the "trade - in" policy, while traditional physical retail was under pressure. In H2, the differentiation will continue, with emerging formats having growth potential and traditional retail relying on policy and innovation [82][93]. - **Leasing Industry**: In H1 2025, it was in a downturn. In H2, the "price - for - volume" trend will continue, and the de - stocking of commercial land will continue [92][93]. - **Real Estate Industry**: In H1 2025, it achieved "weak stabilization" under policy support. In H2, it is expected to continue to recover slowly with further policy optimization and improved supply - demand balance [99][115].