资环〔2025〕58 号）136 亿元，其中，部分用于"煤改气"配套管网、LNG 点供站、储气设施。 施方案的通知》（吉政发〔2024〕7 号），要求 2025 年增加省内自产天然气生产供应，积极引进 域外气源，多渠道补充气源增量，新增天然气优先保障居民生活和清洁取暖需求。积极稳妥推进 以气代煤，推动生物质、天然气等燃料替代煤燃料。 氢储融合发展。全面落实"绿氢+产业"战略部署，着力发展超长时氢储能技术，拓展氢（氨）储 能应用领域，推进电氢协同发展，探索可再生能源制氢、制氨、制甲醇、制绿色航煤等更长周期 氢能技术的试点示范，满足多时间尺度应用需求。促进电氢储各产业之间的协同创新与深度融合， 结合新型电力系统建设需求，加强与化工生产基地合作，推动多种储能技术的联合应用，开展复 合型储能试点示范项目，促进能源的高效转化与存储。 公司清洁能源业务，公司业务发展将紧扣国家和吉林省政策导向，坚持"保民生、促减煤" 主线，重点推进以下三类项目：加快"煤改气"配套管网、LNG 点供站和储气设施建设。依托清 洁取暖专项资金，全面实施居民及工商业"以气代煤"替代。融合新型电力系统需求，开展绿氢 制储、电氢储协同示范，拓展天然气 ...

Financial Performance - The total operating revenue for the first half of 2025 was CNY 889,562,105.55, an increase from CNY 851,310,393.35 in the same period of 2024, reflecting a growth of approximately 4.5% [4] - The total operating costs rose to CNY 854,042,747.91 from CNY 807,609,281.18, indicating an increase of about 5.7% [4] - The net profit for the first half of 2025 was CNY 25,309,202.01, down from CNY 33,409,091.02 in the previous year, representing a decline of approximately 24.2% [4] Assets and Liabilities - Total assets at the end of the reporting period were CNY 1,923,975,305.64, a decrease from CNY 1,957,448,719.76 at the beginning of the period [2][3] - Current assets totaled CNY 505,164,172.16, down from CNY 519,008,826.63, showing a reduction of about 2.7% [2] - Total liabilities decreased to CNY 964,112,629.89 from CNY 1,023,791,469.87, a decline of approximately 5.8% [2] Cash Flow - The net cash flow from operating activities was CNY 38,078,904.35, down from CNY 62,337,775.10 in the first half of 2024, indicating a decrease of about 39% [5] - Cash flow from investing activities showed a net outflow of CNY 24,787,217.62, compared to a net outflow of CNY 26,217,996.20 in the previous year [6] - Cash flow from financing activities resulted in a net outflow of CNY 29,908,209.81, down from CNY 67,853,665.79 in the same period of 2024 [6] Equity - Total equity increased to CNY 959,862,675.75 from CNY 933,657,249.89, reflecting a growth of approximately 2.8% [2][3] - The company's retained earnings showed a slight improvement, with an unallocated profit of CNY -142,591,173.39 compared to CNY -167,298,554.14 in the previous year [2][3]

Core Viewpoint - Hong Kong and China Gas Company Limited (00003.HK) has shown resilience in its stock performance, reaching a near one-year high, while also demonstrating significant net inflow of capital, indicating investor confidence in the company's future prospects [1] Company Overview - Established in 1862, Hong Kong and China Gas Company is the oldest public utility in Hong Kong and one of the largest energy suppliers in the region, with world-class management and operations [1] - The company has evolved from supplying gas for street lighting to providing safe and reliable energy solutions across various sectors in Hong Kong [1] Market Expansion - The company entered the mainland market in 1994 and currently operates over 970 projects across 29 provincial regions in China, including renewable energy solutions such as solar photovoltaic systems, urban pipeline gas, and water supply [1] - Recent initiatives focus on clean energy solutions, including hydrogen energy, marine green methanol, and sustainable aviation fuel, aligning with the company's vision for carbon neutrality [1]

Investment Rating - The report assigns an "Accumulate" rating for the company with a target price of HKD 4.62, based on a 10x PE valuation for 2026 [5]. Core Insights - The company, Honghua Smart Energy, is a leading urban gas company under China Gas Holdings, focusing on providing integrated clean energy solutions and expanding into renewable energy systems [1][12]. - The company has shown significant revenue growth, with a CAGR of 13.5% from HKD 12.85 billion in 2020 to HKD 21.31 billion in 2024, and a core profit increase of 34.5% to HKD 1.601 billion in 2024 [2][23]. - The urban gas industry is experiencing a slowdown in gas sales growth, but the gross margin is expected to improve due to a decrease in international gas prices [3][59]. - The renewable energy segment has rapidly expanded, with net profits from this sector reaching HKD 4.79 billion in 2024, a fivefold increase from the previous year [4][19]. Summary by Sections Company Overview - Honghua Smart Energy is committed to providing one-stop clean energy solutions, operating urban pipeline gas and expanding into renewable energy systems, including digital energy management and carbon management services [1][12]. Revenue and Profitability - The company’s revenue has grown significantly, with a projected core profit of HKD 1.606 billion in 2024, marking a 34.5% increase [2][23]. - The main revenue source is pipeline natural gas sales, accounting for 80% of total revenue in 2024, while renewable energy revenue has increased from 5.3% in 2023 to 8.7% in 2024 [25][27]. Industry Trends - The urban gas industry is seeing a general slowdown in gas sales growth, with the company’s sales volume expected to reach 17.201 billion cubic meters in 2024, a 4.5% increase [3][71]. - The gross margin for the urban gas industry is improving, with the company’s procurement costs decreasing due to lower international gas prices [59][60]. Renewable Energy Development - The company has invested in over 1,000 renewable energy projects across 24 provinces, with a cumulative installed capacity of 2.3 GW in distributed solar power by the end of 2024 [4][19]. - The renewable energy business has turned profitable, achieving a net profit of HKD 0.78 billion in 2023 and projected to reach HKD 4.79 billion in 2024 [4][19]. Financial Forecast and Valuation - The forecasted net profits for the company are HKD 1.625 billion, HKD 1.680 billion, and HKD 1.734 billion for 2025, 2026, and 2027 respectively, with an EPS of HKD 0.45, HKD 0.46, and HKD 0.48 [5][19].

Core Viewpoint - The company reported a decline in revenue for 2024, with a total revenue of 28.35 billion yuan, down 8.3% year-on-year, while net profit attributable to shareholders increased by 1.2% to 1.46 billion yuan. For Q1 2025, revenue rose by 9.5% to 7.51 billion yuan, but net profit fell by 15.5% to 230 million yuan [1][5]. Revenue and Profit Analysis - The company plans a cash dividend of 0.16 yuan per share for 2024, with a cash dividend ratio of approximately 31.6% [2]. - The sales volume growth for gas in 2024 slowed down, primarily due to a decrease in growth outside the Greater Bay Area. However, the Greater Bay Area maintained strong growth, with sales volumes of 5.74 billion cubic meters and 1.64 billion cubic meters for 2024 and Q1 2025, respectively, representing year-on-year increases of 6.6% and 25.1% [3]. Regional Performance - In the Greater Bay Area, city gas sales volumes were 1.37 billion cubic meters and 400 million cubic meters for 2024 and Q1 2025, with year-on-year growth of 9.5% and 10.9%, respectively. Other regions saw gas sales volumes of 2.14 billion cubic meters and 590 million cubic meters, with year-on-year growth of 3.1% and 4.3% [3]. Cost and Margin Analysis - The average selling price of pipeline gas decreased by 1.8% year-on-year, while the average procurement cost fell by 6.1%, leading to a 3.9 percentage point increase in gross margin for the city gas business, contributing to overall performance growth [4]. - The photovoltaic film business and gas engineering faced significant revenue and gross margin declines, with the photovoltaic film sales volume at 655 million square meters, down 2.5%, and revenue down 35% year-on-year, impacting total revenue by 6.6% [4]. Profit Forecast and Valuation - The company is expected to achieve net profits of 1.46 billion yuan, 1.61 billion yuan, and 1.86 billion yuan for 2025 to 2027, with corresponding EPS of 0.51, 0.56, and 0.65 yuan. The current price corresponds to PE valuations of 13x, 11x, and 10x, maintaining a "buy" rating [5].