Core Viewpoint - The company is experiencing a significant decline in construction revenue while maintaining stable growth in operational business and a rapid increase in heating supply. The dividend per share (DPS) is steadily increasing, indicating potential for future dividend growth and company value reassessment [1][2][3]. Group 1: Financial Performance - In H1 2025, the company achieved revenue of HKD 14.304 billion, a year-on-year decline of 8%, and a net profit attributable to shareholders of HKD 2.207 billion, down 10% year-on-year due to a significant drop in construction revenue and foreign exchange losses [2]. - Operational service revenue increased by 5% to HKD 9.943 billion, with specific growth in environmental energy (6%), environmental water (13%), and green environmental services (1%) [2]. - Construction service revenue decreased by 49% to HKD 1.844 billion, accounting for 13% of total revenue, with notable declines in environmental energy (70%), environmental water (17%), and green construction services (74%) [2]. Group 2: Profitability and Efficiency - The increase in operational service revenue contributed to an overall gross margin improvement of 5.53 percentage points to 44.26%, and the net profit margin improved by 0.84 percentage points to 19.44% [2]. - The company's asset-liability ratio decreased by 0.97 percentage points to 63.30%, indicating improved financial stability [2]. - The volume of municipal solid waste processed increased by 2% to 28.57 million tons, and the steam supply volume grew by 39%, reflecting enhanced operational efficiency [2]. Group 3: Dividend and Cash Flow - The DPS for H1 2025 is HKD 0.15, up 7% from HKD 0.14 in the same period of 2024, with a payout ratio of 41.76% [3]. - The company is maintaining a trend of increasing total dividends despite declining performance, signaling optimism for future dividend potential [3]. - Capital expenditures are being reduced due to the significant drop in construction revenue, leading to an improvement in free cash flow [3].