Investment Rating - The investment rating for the company is "Buy" and is maintained [8]. Core Insights - In the first three quarters of 2025, the company achieved operating revenue of 9.74 billion yuan, a year-on-year increase of 11.5%, and a net profit attributable to shareholders of 1.6 billion yuan, up 15.9%. The integration of Yuefeng and heating renovation contributed to the growth in both revenue and profit [2][6]. - The completion of the acquisition has increased the company's waste incineration capacity (including equity interests) to 97,590 tons per day, ranking among the top three in the domestic industry. The company plans to continue resource integration to achieve multi-dimensional synergy, with significant potential for cost reduction and efficiency improvement [2][6]. Summary by Sections Revenue Performance - The revenue for the first three quarters increased by 1.006 billion yuan year-on-year, primarily due to the consolidation of Yuefeng Environmental, which added approximately 1.486 billion yuan in revenue. Excluding this impact, revenue would have decreased by 480 million yuan [13]. - In Q3 alone, the company reported revenue of 3.97 billion yuan, a year-on-year increase of 36.7% [6]. Profit Performance - The net profit attributable to shareholders for the first three quarters increased by approximately 220 million yuan, representing a growth of 15.85%. Excluding one-time gains from the previous year, the net profit would have increased by 350 million yuan [13]. - The net profit contribution from Yuefeng Environmental for the period from June to September was approximately 470 million yuan [13]. Cost Management and Financial Efficiency - The company has significant room for cost reduction and efficiency improvement through resource integration. Financial costs have been reduced, with total loans from Yuefeng Environmental decreasing by about 1.5 billion yuan [13]. - The company's credit rating was upgraded from AA+ to AAA, which is expected to further reduce financial costs [13]. Cash Flow and Capital Expenditure - The company has improved cash flow with over 1.53 billion yuan in receivables collected in the first three quarters, expecting to recover no less than 2 billion yuan in receivables for the entire year [13]. - Capital expenditures for the first three quarters were approximately 1.321 billion yuan, with a downward trend expected in future capital spending [13]. Profit Forecast - The company forecasts net profits attributable to shareholders for 2025, 2026, and 2027 to be 1.9 billion yuan, 2.21 billion yuan, and 2.49 billion yuan, respectively, with corresponding P/E ratios of 12.2x, 10.5x, and 9.3x [13].

证券研究报告 | 季报点评 gszqdatemark 2025 10 29 年 月 日 瀚蓝环境（600323.SH） 业绩快速增长，粤丰并购&降本增效共促高质量发展 公司前三季度业绩快速增长。公司 2025 前三季度实现营收 97.4 亿元， yoy+11.5%，实现归母净利润 16.0 亿元，yoy+15.9%。2025Q3 单季度 实现营收 39.7 亿元，yoy+36.7%，实现归母净利润 6.4 亿元，yoy+28.1%。 公司前三季度营收同比增加 10.1 亿元，主要系：（1）粤丰环保并表增加 收入约 14.9 亿元；（2）主要是垃圾焚烧业务增加收入约 1.1 亿元、排水业 务增加收入约 0.6 亿元。公司前三季度归母净利润同比增加约 2.2 亿元， 剔除去年同期一次性收益影响，则归母净利润同比增加 3.5 亿元，主要系： （1）粤丰环保 6-9 月实现净利润 4.70 亿元，贡献归母净利润约 2.4 亿 元；（（2）公司持续落实降本增效举措取得良好成效；（（3）确认子公司江西 瀚蓝能源有限公司赔偿收入 0.5 亿元。 -20% -8% 4% 16% 28% 40% 2024-10 2025-02 ...

Financial Performance - For the first half of 2025, the company's operating revenue was approximately 5.76 billion, a slight decrease from 5.82 billion in the same period last year, reflecting a year-on-year decline of about 1.02% [1] - The total profit for the same period was approximately 1.30 billion, representing an increase of about 18.36% compared to 1.09 billion in the previous year [1] - The net profit attributable to shareholders was approximately 966.86 million, up from 887.13 million, indicating a year-on-year growth of about 8.95% [1] - The net cash flow from operating activities was approximately 1.22 billion, showing a significant increase of 29.77% compared to 941 million in the previous year [25] Revenue Composition - The revenue composition for the first half of 2025 included approximately 18.65 billion from energy supply, 4.89 billion from solid waste management, 5.27 billion from sanitation services, 11.16 billion from water supply, and 2.95 billion from drainage services [16] Profitability Metrics - The weighted average return on equity for the first half of 2025 was 7.01%, a slight decrease of 0.06 percentage points year-on-year [24] - The return on invested capital for the same period was 2.96%, down by 0.81 percentage points compared to the previous year [24] Cash Flow Analysis - The net cash flow from financing activities was approximately 71.12 billion, an increase of 64.43 billion year-on-year [25] - The net cash flow from investment activities was -86.38 billion, worsening from -11.72 billion in the previous year [25] Asset and Liability Changes - As of the end of the first half of 2025, intangible assets increased by 119.91% compared to the end of the previous year, while cash and cash equivalents decreased by 5.81% [39] - Long-term borrowings increased by 162.28%, indicating a significant rise in the company's leverage [42] Shareholder Composition - The top ten shareholders included new entrants such as the ICBC Credit Suisse Dividend Flexible Allocation Mixed Securities Investment Fund, replacing the Hong Kong Central Clearing Limited from the previous quarter [51]

Core Viewpoint - Jiangnan Waterworks (601199.SH) has confirmed that its current business focus is primarily in the water sector, with no plans to expand into the energy sector [1] Business Operations - The main operations of the company include the production and sale of tap water, drainage services, and related water treatment activities [1] - The company also engages in engineering services and drainage operations, which encompass wastewater treatment, drainage network operation and maintenance, drainage network engineering, and entrusted operation services for wastewater treatment plants [1] Future Business Development - As of now, there are no business developments or plans for diversification into the energy sector [1]

Core Viewpoint - Despite maintaining positive net profit growth over the past two years, the company Huanlan Environment (600323.SH) has faced continuous revenue decline since 2023, with revenue drops of 5.22% in 2024 and 4.24% in Q1 2024, failing to meet its revenue targets for the year [1][2] Revenue Performance - In 2024, Huanlan Environment achieved revenue of 11.886 billion yuan, a year-on-year decline of 5.22%, while net profit attributable to shareholders was 1.664 billion yuan, an increase of 16.39% [2] - In Q1 2024, the company reported revenue of 2.601 billion yuan, down 4.24% year-on-year, with a corresponding net profit of 420 million yuan, up 10.26% [2] - The revenue decline in Q1 was primarily due to a decrease in PPP project income and a drop in sanitation business revenue [2] Business Segment Analysis - The solid waste treatment segment, which constitutes over half of the company's revenue, has seen a continuous decline, with Q1 2024 revenue of 1.31 billion yuan, down 8.52% year-on-year [4] - The engineering and equipment business within the solid waste segment has significantly underperformed, with a revenue drop of 29.76% in Q1 2024 [4] - The energy business, as the second core segment, generated revenue of 840 million yuan in Q1 2024, a decrease of 1.62% [5] Accounts Receivable and Debt Situation - As of the end of Q1 2024, the company's accounts receivable stood at approximately 4.21 billion yuan, significantly exceeding its revenue for the same period, with a receivable turnover period of 146.4 days [6] - The company has a short-term debt of about 5.9 billion yuan, while cash on hand is only 1.982 billion yuan, indicating a short-term funding gap of nearly 4 billion yuan [7] - Huanlan Environment's total liabilities reached 24.11 billion yuan, with a debt-to-asset ratio of 59.43% [7] Strategic Moves - The company has recently completed the privatization of Guangdong Feng Environmental Power Co., Ltd., involving a merger loan of 6.1 billion yuan [1][7] - Huanlan Environment's growth strategy has heavily relied on acquisitions, which has contributed to its high debt levels [7]

Core Viewpoint - Jiangnan Water's 2024 annual report shows significant growth in revenue and net profit, highlighting the company's focus on smart water management and urban water quality improvement [1][2] Financial Performance - The company's operating revenue reached 1.53 billion yuan, a year-on-year increase of 12.4% - The net profit attributable to shareholders was 402 million yuan, up 24.3% year-on-year - The net profit excluding non-recurring items was 404 million yuan, reflecting a 35.4% year-on-year increase [1] Business Operations - Jiangnan Water's main business includes the production and sale of tap water, drainage, and related water treatment services, along with engineering and drainage operations [1] - The company is actively involved in the construction of "zero-carbon water plants," focusing on carbon management, energy efficiency, clean energy utilization, and smart operations [1] Industry Trends - The development of smart water management is increasingly recognized as a key indicator of urban management intelligence, driven by policies promoting digital infrastructure and environmental protection [1] - The company is implementing a "Smart Water 2.0" plan, integrating IoT, big data, and AI to enhance operational capabilities and decision-making [2] Infrastructure Improvement - The company has successfully won bids for integrated operation and management projects for rainwater and sewage systems, addressing issues related to aging water supply networks [2] - Upgrading old pipelines is expected to reduce leakage, improve water quality stability, and lower energy consumption in urban water supply [2]

Core Viewpoint - Huanlan Environment demonstrates strategic resilience and growth in the solid waste industry amidst increasing competition, achieving stable revenue and profit growth through mergers, operational efficiency, and resource upgrading [1][3][9] Financial Performance - In 2024, Huanlan Environment reported total revenue of 11.886 billion yuan, remaining stable compared to the previous year, while net profit attributable to shareholders increased by 16.39% to 1.664 billion yuan [1] - The company plans to distribute a cash dividend of 8.0 yuan per 10 shares for 2024, a 66.67% increase year-on-year, representing 39.20% of the net profit [1][2] Business Growth and Strategy - Huanlan Environment maintains a robust growth trajectory in its core business, with solid waste management revenue reaching 6.008 billion yuan and net profit of 1.025 billion yuan, reflecting a 9.64% and 21.63% increase in operational and waste-to-energy segments, respectively [3][4] - The company is focusing on a dual-wing strategy of solid waste treatment and water-energy synergy, enhancing operational efficiency and risk management through mergers and acquisitions [3][6] Mergers and Acquisitions - Huanlan Environment is known for its extensive experience in mergers and acquisitions, planning to privatize Guangdong Feng Environmental Protection through its subsidiary Huanlan Hong Kong, which is expected to enhance operational efficiency and reduce costs [6][7] - The merger is projected to increase Huanlan's waste processing capacity from 45,050 tons/day to 97,590 tons/day, positioning it among the top three in the domestic industry and the leading A-share listed company in solid waste management [7][8] Operational Efficiency - The company achieved a capacity utilization rate of approximately 119%, with significant growth in external heating supply by 33.53%, indicating strong operational capabilities [4][8] - Huanlan Environment's water supply business maintains a low sales-loss rate of 6.84%, showcasing its competitive edge in the industry [4] Future Outlook - With the completion of the merger and continued focus on technological and management innovations, Huanlan Environment is expected to enhance its scale and operational advantages, driving sustainable development in the environmental protection sector [9]