Investment Rating - The report assigns a "Buy" rating for the company, marking its first coverage [2][10]. Core Insights - The company is experiencing short-term pressure on performance, with a revenue of 4.817 billion yuan for the first three quarters of 2025, a decrease of 2.56% year-on-year, and a net profit attributable to shareholders of 398 million yuan, down 27% [5][6]. - The elevator industry is expected to gradually stabilize, with a focus on the demand for upgrades in 2026 and 2027, despite facing challenges in 2024 and 2025 due to declining new construction projects [6][7]. - The company has seen a counter-cyclical growth in elevator orders, with a 6.4% increase in order volume in H1 2025, and a significant 45.58% growth in overseas orders [7][8]. - The company is actively pursuing innovation and diversification, establishing funds to support new project development and integrating advanced technologies [8]. Summary by Sections Company Overview - Latest closing price: 10.07 yuan - Total shares: 8.52 billion, circulating shares: 8.43 billion - Total market value: 8.6 billion yuan, circulating market value: 8.5 billion yuan - 52-week high/low: 14.60/9.78 yuan - Debt-to-asset ratio: 37.2% - Price-to-earnings ratio: 10.74 [4]. Financial Performance - For Q3 2025, the company reported revenue of 1.7 billion yuan, a decrease of 1.65% year-on-year, and a net profit of 175 million yuan, down 43.67% [5]. - The company forecasts revenues of 7.221 billion, 7.674 billion, and 8.157 billion yuan for 2025, 2026, and 2027, respectively, with corresponding net profits of 650 million, 706 million, and 773 million yuan [9][10]. Market Outlook - The elevator industry is projected to face a decline in production, with a 3.9% decrease in the first nine months of 2025 [6]. - The company is well-positioned to benefit from the increasing demand for elevator upgrades, with a significant number of aging elevators in use [6][7]. - The report highlights the company's successful development of specialized elevator models for long-term national bond projects, indicating strong future growth potential [7][8].