Core Insights - Gansu Water Investment Group's subsidiary, Gansu Provincial Water Conservancy and Hydropower Engineering Bureau, has been approved by the Ministry of Housing and Urban-Rural Development to obtain the highest level of qualification in water conservancy and hydropower engineering construction, marking it as the first provincial state-owned enterprise in Northwest China to hold "one special and three first-class" qualifications, indicating its strong position in the national water conservancy construction sector [1][4]. Company Overview - Established in 1969, Gansu Provincial Water Conservancy and Hydropower Engineering Bureau has developed into a key player in water conservancy construction in Northwest China, having participated in over 172 major national water conservancy projects, including significant projects in Gansu, Shanxi, and Qinghai [4]. - The company holds AAA-level credit qualifications in the water conservancy construction market and has received various certifications, including first-class safety production standardization [4]. Achievements and Recognition - The company has been awarded multiple national and provincial quality engineering awards, including the National Water Conservancy Dayu Award, and has received recognition for its construction technology and quality management [4]. - It has established itself as a provincial-level enterprise technology center and has numerous patents and innovative achievements in construction technology [4]. Future Development Strategy - The company aims to leverage its newly acquired special qualification as a starting point to transform from a single construction entity into a comprehensive enterprise that integrates engineering construction, investment, operation, hydropower generation, and ecological technology [5]. - The strategic goal is to become a leading domestic enterprise and build an outstanding domestic brand while continuing to contribute to major national water conservancy projects [5].

Investment Rating - The report assigns an "Accumulate" rating for the company, marking its first coverage [7]. Core Insights - The company is positioned to benefit from the high investment intensity in Anhui Province's 14th Five-Year Plan, particularly in highway and municipal construction, with a projected average annual increase in highway operational mileage of 363 kilometers, a 21% increase from the previous plan [6]. - The company has shown resilience with a year-on-year increase of 2.68% in new orders to 75.086 billion yuan in the first half of 2025, despite industry headwinds [6]. - The company is expanding its geographical reach and operational capabilities, establishing 18 branches outside Anhui and focusing on key markets such as Beijing-Tianjin-Hebei, the Yangtze River Delta, and the Greater Bay Area [6]. - The company has a strong dividend profile, with a cash dividend of 463 million yuan in 2024, a payout ratio of 34.46%, and a dividend yield of 5.9% as of September 30 [6]. Financial Projections - The projected net profit attributable to the parent company for 2025-2027 is 1.338 billion, 1.439 billion, and 1.538 billion yuan, respectively, with corresponding P/E ratios of 5.99, 5.57, and 5.21 [7]. - Revenue forecasts for 2024-2027 are 96.502 billion, 92.332 billion, 94.614 billion, and 96.997 billion yuan, with growth rates of 5.76%, -4.32%, 2.47%, and 2.52% [8].

Core Viewpoint - Poly United (002037.SZ) has announced its qualifications and experience in the construction of hydraulic and hydropower engineering projects [1] Group 1 - The company possesses relevant qualifications for hydraulic and hydropower engineering construction [1] - The company has experience in providing related engineering services [1]