Investment Rating - The investment rating for the company is "Buy" with a target price set based on expected relative returns exceeding 20% over the next six months [4][15]. Core Views - The company has demonstrated excellent performance in its mid-year report for 2025, with significant improvements in operating cash flow and revenue growth. The revenue for H1 2025 reached 6.9 billion yuan, a year-on-year increase of 39%, while Q2 2025 revenue was 4.2 billion yuan, up 49% year-on-year [1][2]. - The growth in revenue is primarily attributed to the oil and gas engineering and technology services segment, which saw an increase of 88.14% year-on-year, and natural gas-related businesses, which grew by 112.69% year-on-year [1]. - The company secured new orders worth 9.881 billion yuan in H1 2025, a 37.65% increase year-on-year, with a backlog of 12.386 billion yuan, up 34.76% year-on-year, providing a solid foundation for future revenue [1]. Financial Performance - In H1 2025, the net profit attributable to the parent company was 1.24 billion yuan, a 14% increase year-on-year, while the non-recurring net profit was 1.23 billion yuan, up 33.9% year-on-year [2]. - The gross margin and net profit margin for H1 2025 were 32.19% and 18.0%, respectively, showing a decrease of 3.4 percentage points and 4.0 percentage points year-on-year, mainly due to a decline in investment income [2]. - The company has maintained a strong focus on cash flow management, with operating cash flow net amounting to 3.144 billion yuan in H1 2025, an increase of 2.083 billion yuan year-on-year [1]. Strategic Developments - The company has shown confidence in its operational development through share buybacks and insider purchases, with plans to repurchase 150 to 250 million yuan worth of shares for employee stock ownership plans, having already repurchased 106 million yuan by the end of July [3]. - The company has also prioritized shareholder returns, proposing a cash dividend of 1.5 yuan per 10 shares, amounting to an estimated 153 million yuan [3]. - The company continues to focus on its globalization strategy, with significant contracts signed in both domestic and international markets, including a 5 billion yuan contract for a domestic gas storage project and a 9.2 billion USD contract for a digital transformation project in the Middle East [2][3].