Core Viewpoint - The company reported steady revenue growth driven by improved efficiency in its core waste disposal business, achieving a revenue of 1.701 billion yuan and a net profit of 382 million yuan in the first half of 2025, representing a year-on-year increase of 7% and 5% respectively [2] Revenue and Profit Performance - In the first half of 2025, the company's revenue reached 1.701 billion yuan, with a net profit attributable to the parent company of 382 million yuan, indicating stable performance [2] - The growth in profit is primarily attributed to the refined operations and efficiency improvements in the core business of municipal solid waste and kitchen waste disposal [2] - The municipal solid waste disposal business generated revenue of 1.252 billion yuan, a year-on-year increase of 3.5%, with a gross margin increase of 1.85 percentage points to 49.89% [2] - The kitchen waste disposal business achieved revenue of 211 million yuan, a year-on-year growth of 6.69%, with a gross margin increase of 3.41 percentage points to 36.07% [2] Operational Efficiency and Cash Flow - The company achieved operational efficiency improvements through internal measures, including price adjustments for waste disposal fees in various projects [2] - Operating cash flow remained strong, with a net amount of 624 million yuan, reflecting a year-on-year increase of 5%, providing solid support for ongoing dividends [2] Business Expansion and New Growth Points - The company is actively exploring collaborative business opportunities to enhance asset value, with 14 waste-to-energy projects already integrated with heating services [2] - A supply heat agreement was signed with the government of Yucheng City, ensuring stable incremental revenue from a green soybean product industrial park [3] - The company has extended its industrial chain with resource recycling projects in multiple locations, processing 380,000 tons of slag in the first half of the year [3] International Expansion and Domestic Projects - The company has made significant progress in international markets, signing a contract for a 600 tons/day waste-to-energy project in Vietnam [4] - The profitability of overseas projects is expected to be higher than domestic ones, with 15 overseas projects being tracked in Vietnam, Malaysia, and Thailand [4] - Domestically, the company continues to expand its business footprint, successfully winning bids for various waste treatment projects [4] Profit Forecast - The company is projected to achieve revenues of 3.331 billion yuan, 3.516 billion yuan, and 3.729 billion yuan for 2025-2027, with year-on-year growth rates of 4.99%, 5.55%, and 6.05% respectively [4] - Net profits attributable to the parent company are expected to be 687 million yuan, 721 million yuan, and 776 million yuan for the same period, with growth rates of 22.43%, 5.07%, and 7.54% respectively [4]