Investment Rating - The report maintains a "Buy" rating for the company with a target price of RMB 13.68 [7][5]. Core Views - The company achieved a total revenue of RMB 7.186 billion in the first three quarters of 2025, a year-on-year decrease of 1.42%, and a net profit attributable to shareholders of RMB 617 million, down 7.31% year-on-year. However, in Q3 2025, the company reported a revenue of RMB 2.317 billion, an increase of 1.36% year-on-year, and a net profit of RMB 204 million, a decrease of 1.91% year-on-year. The company focuses on its core business and continues to make technological breakthroughs while expanding into new markets, indicating potential for future growth [1][5]. Summary by Sections Financial Performance - For the first three quarters, the company's gross margin was 21.31%, down 1.55 percentage points year-on-year, and the net margin was 9.66%, down 0.70 percentage points year-on-year. In Q3, the gross margin improved to 22.69%, up 0.97 percentage points year-on-year, while the net margin was 9.44%, down 0.85 percentage points year-on-year. The company effectively controlled its expenses, with sales, management, R&D, and financial expense ratios at 2.19%, 4.89%, 3.25%, and -2.28%, respectively, showing a reduction compared to the previous year [2][5]. Business Development - The company has made continuous technological advancements and expanded into new markets. It signed several key projects in the domestic market, including a LNG station expansion and a natural gas pipeline compressor project. Additionally, the company has actively pursued overseas markets, achieving overseas revenue of RMB 497 million in the first half of 2025, accounting for 10.21% of total revenue [3][4]. Strategic Initiatives - The company has established a robust technological framework in the chemical, new energy, and metallurgy sectors. By the end of September 2025, it completed 52 research projects. In alignment with carbon neutrality policies, the company is accelerating the development of large multi-axis compressors and high-pressure single-axis compressors, particularly for offshore applications [4][5]. Profit Forecast and Valuation - The company’s net profit forecasts for 2025-2027 have been adjusted downwards by 3.01%, 4.57%, and 4.80%, respectively, to RMB 1.093 billion, RMB 1.216 billion, and RMB 1.390 billion, with corresponding EPS of RMB 0.63, RMB 0.71, and RMB 0.81. The report employs a segmented valuation method, assigning PE multiples of 18x for equipment and 31x for gas business, leading to a target price of RMB 13.68 [5][12].