Core Viewpoint - The major shareholder of Leshan Electric, Tianjin Bohai, has significantly reduced its stake, selling 9.0135 million shares, totaling 20.5707 million shares this year, cashing out approximately 288 million yuan, despite the company's stock price soaring over 120% this year, reaching a ten-year high [1][2][5]. Group 1: Shareholder Actions - Tianjin Bohai has reduced its holdings from 13.74% to 10.18%, becoming the fourth largest shareholder after the recent sell-off [2][4]. - The cumulative cash-out from the share reductions amounts to approximately 288 million yuan, with the latest reduction occurring on June 23 [2][3]. Group 2: Stock Performance - Leshan Electric's stock price has increased over 120% this year, significantly outperforming the electricity sector's average increase of 3.55% [1][2]. - The stock reached a ten-year high, with a price-to-earnings ratio (TTM) of 296, far exceeding the industry average of 27 [1][6]. Group 3: Business Performance and Challenges - Despite the stock price surge, Leshan Electric's core business is under pressure, with a projected net profit decline of 7.11% in 2024 and a loss of 1.2038 million yuan in Q1 [1][5]. - The company's traditional power business has seen a significant drop in gross margin, from 25.27% in 2020 to 12.87% in 2024, while new energy initiatives like storage have not yet provided substantial revenue [5][6]. Group 4: Strategic Initiatives - Leshan Electric is focusing on a strategic shift towards energy storage, with plans to integrate virtual power plants, photovoltaics, and storage into a comprehensive energy platform [2][5]. - The company has initiated a 100MW/200MWh electrochemical energy storage project in Longquanyuan, which is expected to generate significant annual revenue once operational [5][6].