Core Viewpoint - The company reported a slight decline in revenue for the first half of 2025, but showed improvement in net profit and maintained strong financial health [1] Financial Performance - Revenue for H1 2025 was 1.898 billion, a year-on-year decrease of 2.65% [1] - Net profit attributable to shareholders was 0.525 billion, with a year-on-year increase of 9.88% [1] - The company's return on equity (ROE) was 4.75%, up by 0.51 percentage points year-on-year [1] - Gross profit margin improved to 39.22%, an increase of 3.76 percentage points year-on-year [1] - Net profit margin increased to 27.92%, up by 2.77 percentage points [1] - The company's asset-liability ratio decreased to 29.01%, down by 3.56 percentage points year-on-year [1] - Interest-bearing debt ratio was 19.07%, a decrease of 1.73 percentage points year-on-year [1] - The company had cash reserves of 6.75 billion, indicating no debt risk [1] Technological and Management Advancements - The company has developed multiple patented technologies in the thermal supply sector, holding 77 authorized patents, including 18 invention patents [2] - The company is forming proprietary technologies in areas such as thermal network balance and low-grade thermal energy utilization, leading in the domestic market [2] - A digital strategy focusing on operational efficiency and intelligent management has been implemented, enhancing the company's competitive advantage in the clean energy service sector [2] Market Conditions - The market coal prices have been declining, with the Qinhuangdao 5500 kcal thermal coal price at 690 yuan/ton, down by 149 yuan/ton year-on-year [3] - The decrease in coal prices is expected to provide performance elasticity for the company's heating segment [3] Subsidiary Performance - The subsidiary, Zhaoxun Media, faced ongoing performance pressure, with H1 2025 revenue at 0.293 billion, a decline of 8.81% [3] - The net profit for Zhaoxun Media was 0.021 billion, down by 47.75%, primarily due to losses from outdoor naked-eye 3D screens [3]