Guosheng Securities: Maintains "Buy" rating on Huaibei Mining, orderly progress in non-coal business.

Guosheng Securities Research Report points out that Huabei Mining's net profit attributable to the parent in the first half of 2025 was 1.032 billion yuan, a decrease of 64.85% year-on-year; the net profit attributable to the parent in Q2 of 25 was 340 million yuan, a decrease of 74.72% year-on-year. In terms of production and sales, the company's coal production and sales were 8.91/6.48 million tons in H1 of 2025, a year-on-year decrease of -13.7%/-19.4%; the company's coal production and sales were 4.6/3.5 million tons in Q2 of 25, a year-on-year decrease of -9.6%/-12.5%, a quarter-on-quarter increase of +6.8%/+17.9%. Currently, the filling of the Zhuzhuang coal mine has been completed, and it has been accepted by the Anhui Provincial Energy Bureau. As of June 30, 2025, the total assets of the Zhuzhuang coal mine were 350 million yuan, mainly internal debts of 282 million yuan, and land of 51 million yuan. The closure of the mine will not have a significant impact on the company's performance. In the coal-electricity industry, they accelerate the construction of the Taohutu mine, ensuring the completion of the main shaft tower and equipment installation before the end of 2025; accelerate the construction of the important supporting power source project of 2660MW ultra-supercritical coal-fired generator units in Anhui Province during the "14th Five-Year Plan" period, striving to achieve "double deployment of the two machines" by the end of the year. In addition, the company's non-coal business is continuing to advance. The "buy" rating is maintained.