Core Viewpoint - Kesheng Technology Co., Ltd. has officially submitted its main board listing application to the Hong Kong Stock Exchange, marking a significant step for the company in the renewable energy sector, specifically in molten salt tower solar thermal power generation [1]. Company Overview - Founded in 2010, Kesheng Technology specializes in providing comprehensive solutions for molten salt tower solar thermal power generation [1]. - The company was established by Jin Jianxiang, who has a background in industrial control and previously co-founded a successful DCS (Distributed Control System) company [4][6]. Technology and Operations - The molten salt tower solar thermal power generation process involves a tall receiver tower with molten salt at the top, surrounded by movable heliostats that concentrate sunlight to heat the salt to temperatures between 500°C and 600°C [3]. - Kesheng Technology employs a light asset operation strategy, focusing on high-value core technology and equipment supply while outsourcing production to qualified suppliers [7]. Market Position and Performance - Kesheng Technology is the only company globally with experience in projects exceeding 1GW in molten salt tower solar thermal power generation [7]. - The company holds a leading market share in China's tower solar thermal project market, with a 57.9% share in installed capacity and a 55.0% share in project numbers from 2021 to 2024 [7]. - Revenue projections show significant growth, with expected revenues of 208.5 million yuan, 858 million yuan, and 2.189 billion yuan for 2022, 2023, and 2024 respectively, alongside a turnaround to profitability in 2023 [7]. Industry Insights - The solar thermal power generation sector is expected to grow, with China planning to add 4,750MW to 4,800MW of installed capacity by 2024, indicating a broad development space for the industry [8]. - Solar thermal power generation serves as both a peak-shaving power source and energy storage solution, positioning it as a stabilizing force within the renewable energy landscape [8].

Group 1: Company Overview and Business Segments - The company was established in 1955 and listed on the Shenzhen Stock Exchange in 2022, previously known as Xizi Elevator Group since 2002 [3][4] - Main business areas include waste heat boilers, clean energy equipment, solutions, and spare parts and services [3][4] - Key products in waste heat boilers include gas turbine waste heat boilers, dry quenching waste heat boilers, and cement kiln waste heat boilers, serving high-energy-consuming industries like power, steel, and cement [3][4] Group 2: Nuclear Power Development - The company has over 20 years of experience in the nuclear power sector and holds Class 2 and 3 manufacturing licenses [5] - In 2025, the company is focusing on nuclear power as a strategic priority, with plans to upgrade its manufacturing base for nuclear-specific clean workshops by September 2025 [5] - A joint venture, Hangzhou Xizi Nuclear Technology Co., Ltd., was established in August 2025 to enhance nuclear business opportunities [5] Group 3: Future Market Directions - The company aims to expand in the renewable energy market, leveraging molten salt storage technology for applications in solar thermal power and flexible coal-fired power generation [6] - The nuclear market is a key focus, with plans to enhance manufacturing capabilities for nuclear products [6] - The overseas market strategy includes increasing international market share, particularly in Southeast Asia and South America [7][9] Group 4: Order and Financial Performance - In the first half of 2025, the company secured new orders totaling CNY 2.784 billion, with waste heat boilers accounting for CNY 703 million and clean energy equipment for CNY 281 million [8] - As of June 30, 2025, the total orders on hand reached CNY 6.119 billion, reflecting a focus on order quality and structure optimization [8] Group 5: International Expansion - The company is increasing its presence in overseas markets, particularly in regions aligned with the Belt and Road Initiative [9] - The recognition of domestic brands in international markets is growing, contributing to the company's competitive edge abroad [9] Group 6: Product Delivery and Project Involvement - Delivery cycles for boiler products typically range from 6 to 12 months for domestic projects, with longer timelines for international projects [10] - The company participates in key stages of solar thermal power projects, focusing on heat absorption, heat exchange, and heat storage systems [11][12]

Group 1: Traditional Energy Business - The company achieved revenue of 2.228 billion in the waste heat boiler business in 2024, establishing itself as the largest and most comprehensive research, development, design, and manufacturing base for waste heat boilers in China [1] - In response to slowing domestic market growth, the company has partnered with international firms such as N/E, GE, FW, and ALSTOM to expand its overseas market presence, with products exported to over 100 countries and regions [1] - The company has successfully completed several overseas projects, including the first 9H level gas turbine waste heat boiler in Asia, built in Pakistan, thereby continuously broadening its international business scope [1] Group 2: New Energy Business - The company is diversifying into solar thermal, energy storage, and flexible transformation of thermal power, leveraging its experience in traditional energy and molten salt energy storage [2] - The Chinese solar thermal power market is projected to reach 29 GW by 2030, 88 GW by 2040, and 118 GW by 2050, highlighting the potential for solar thermal power as a safe and clean energy source with dual functions of peak shaving and energy storage [2] - The company has developed a large-capacity molten salt heat absorber and steam generation system, recognized by the National Energy Administration as a significant technological equipment project in 2021 [2] Group 3: Nuclear Power - The approval of nuclear power projects has accelerated, with 10 to 11 nuclear power units approved annually over the past three years, indicating a growing market demand [3] - The company has over 20 years of experience in the nuclear power sector and has obtained manufacturing licenses for civil nuclear equipment, actively participating in the supply of various nuclear power station equipment [3] - Profit forecasts estimate the company's net profit attributable to shareholders to be 423 million, 506 million, and 608 million for 2025-2027, corresponding to PE ratios of 26x, 22x, and 18x, respectively [3]

Group 1: Industry Overview - China Energy Construction (601868) has won bids for two significant solar thermal power projects in Qinghai, which are among the first 350MW demonstration projects in the country, with the Golmud project being the largest in the world and the Delingha project setting new national records for capacity and storage [1] - The projects are expected to generate nearly 1 billion kWh of green electricity annually and save 296,000 tons of standard coal while reducing carbon dioxide emissions by approximately 1.53 million tons, significantly promoting the commercialization and scaling of solar thermal power [1] - The on-grid electricity price for these projects is set at 0.55 yuan per kWh, indicating market competitiveness and potential for further cost optimization as scale effects are realized [1] Group 2: Company Insights - Xizi Clean Energy (002534) has established itself as a leader in the solar thermal power industry due to its early investments and technological advancements, participating in 17 demonstration projects since 2010 [2] - The company has transitioned from a product manufacturer to a provider of comprehensive energy solutions, leveraging its technological expertise in clean energy and storage equipment [3] - Xizi Clean Energy's proprietary technologies, such as molten salt heat exchangers and steam generation systems, have received national recognition and are applicable in various energy sectors, showcasing their adaptability [3][4] Group 3: Project Highlights - Xizi Clean Energy has played a crucial role in the Delingha project, providing essential equipment that has set industry benchmarks, with the 50MW project achieving a cumulative generation of 439 million kWh since its grid connection in 2022 [4] - The company is also involved in the Xinjiang Huadian Tianshan project, supplying steam generators that support grid peak regulation and green electricity consumption [4] - In the Yumen project, the largest molten salt linear Fresnel solar thermal power station under construction globally, Xizi Clean Energy is providing key components that enable the integration of solar thermal, photovoltaic, and wind energy [5] Group 4: Policy and Market Trends - The solar thermal power sector is experiencing rapid growth driven by policy support, with a target of adding 3GW of new capacity annually during the 14th Five-Year Plan [6] - The industry is witnessing significant cost reductions due to technological innovations and increased domestic production, with over 90% of equipment now sourced locally [7] - Xizi Clean Energy is expected to benefit from its technological advantages and market position, with projections indicating a substantial increase in net profit and a rise in the share of molten salt storage orders [7]