Guosheng Securities: Donghua Technology's Q2 performance accelerates significantly, maintains "buy" rating.

Guosheng Securities research report pointed out that Donghua Technology's Q2 performance accelerated significantly, with a non-GAAP performance growth rate of 36%, showing impressive performance. The company's new signed orders in 2025 Q2 reached 5.9 billion yuan for the quarter, a year-on-year increase of 42%, of which the new signed orders for design/engineering general contracting were 180 million yuan and 5.72 billion yuan respectively, with a year-on-year increase of 165% and 40% respectively. High gross profit and significant growth in short-cycle design orders are expected to contribute to performance in the second half of the year. As design technology services serve as a pre-construction link, there is potential for significant growth in subsequent engineering general contracting orders. With the increasing domestic energy demand along with rising uncertainties in overseas energy supply, the importance of improving domestic energy self-sufficiency continues to be highlighted, and the acceleration of investment in coal chemical industry in Xinjiang is becoming clear. The company's ample order backlog is expected to benefit from the accelerated investment in coal chemical industry in Xinjiang. It is estimated that the net profit attributable to the parent company for the years 2025-2027 will be 480 million yuan, 550 million yuan, and 640 million yuan, respectively, with a year-on-year increase of 16%, 16%, and 16%. The EPS will be 0.67 yuan, 0.78 yuan, and 0.91 yuan per share, respectively. At the current price, the corresponding P/E ratios are 15, 13, and 11 times, maintaining a "buy" rating.