Investment Rating - The report assigns a "Buy" rating for China Aluminum (601600) [4] Core Views - China Aluminum is a large state-owned enterprise with a fully integrated aluminum industry chain, including bauxite mining, alumina, and electrolytic aluminum production [2][12] - The company reported revenues of 225.07 billion yuan and a net profit of 6.72 billion yuan in 2023, with a year-on-year revenue decline of 22.65% and a profit increase of 60.23% [3][17] - The report highlights the ongoing supply-demand mismatch in the aluminum market, indicating potential upward pressure on aluminum prices [3][30] Summary by Sections 1. Company Overview - China Aluminum is the only international aluminum company with a complete industry chain, covering three main sectors: bauxite, alumina, and electrolytic aluminum, along with sub-industries such as high-purity aluminum and aluminum alloys [2][12] - The company has a strong focus on cost reduction and efficiency improvement, which has positively impacted profit margins [24] 2. Industry Supply and Demand - The domestic reliance on imported bauxite is increasing, with 2023 imports reaching 99.32 million tons, highlighting the need for stable raw material supply [3][30] - The electrolytic aluminum production capacity is capped at 45 million tons, with limited new capacity expected, creating a supply constraint [36] 3. Key Projects and Integration Advantages - The company has significant bauxite reserves and is expanding its overseas operations, particularly in Guinea, which enhances its integrated advantages [3][42] - Upcoming projects, including a 2 million-ton alumina project in Guangxi and a 500,000-ton electrolytic aluminum project in Qinghai, are expected to boost production and profitability [3][45] 4. Profit Forecast and Valuation - The report forecasts net profits of 8.04 billion yuan, 9.67 billion yuan, and 11.18 billion yuan for 2024, 2025, and 2026, respectively, with corresponding P/E ratios of 15.79, 13.13, and 11.36 [3][48]

Investment Rating - The report maintains a "Buy" rating for both A-shares and H-shares of the company [4]. Core Views - The company reported a Q4 net profit attributable to shareholders of 1.4 billion RMB, a decrease of 30% quarter-on-quarter and a significant drop of 213% year-on-year. Revenue for Q4 was 36.7 billion RMB, down 42% year-on-year and 33% quarter-on-quarter. The operating cash flow was 6.6 billion RMB, a decrease of 21% year-on-year and 34% quarter-on-quarter [2]. - The report highlights that the decline in Q4 performance was primarily due to asset impairment losses of 611 million RMB and an increase in management expenses by 526 million RMB [2]. - The aluminum segment showed a slight increase in aluminum prices, while production decreased slightly due to a reduction policy in Yunnan. The estimated profit for the aluminum segment remained relatively stable [2]. - The alumina segment saw a slight decrease in production but an increase in average prices, leading to stable profitability [2]. - The earnings forecast for the company estimates EPS of 0.46, 0.49, and 0.55 RMB per share for the years 2024 to 2026, respectively. Based on comparable company valuations and the company's leading position, a PE ratio of 20 times for 2024 is applied, resulting in a fair value of 9.25 RMB per share for A-shares and 6.46 HKD per share for H-shares [2][4]. Financial Summary - For 2023, the company reported total revenue of 225.1 billion RMB, a decrease of 22.7% compared to 2022. The net profit attributable to shareholders was 6.7 billion RMB, an increase of 60.2% year-on-year [3]. - The projected revenue for 2024 is 361.3 billion RMB, reflecting a growth rate of 60.5% [3]. - The company's asset-liability ratio as of Q4 2023 was 53.3%, a decrease of 5.37 percentage points from the end of 2022 [2].

Core Viewpoint - China Aluminum (601600.SH) plans to transfer its 6.68% stake in China Copper Resources Co., Ltd. to China Copper for a transaction price of 328 million yuan, which will make China Copper a wholly-owned subsidiary of China Aluminum [1] Group 1: Company Transactions - The stake transfer is an associated transaction as China Copper is a subsidiary of China Aluminum's controlling shareholder [1] - China Aluminum's investment in China Copper Resources dates back to 2015, primarily to acquire bauxite resources, but the focus has shifted to copper, zinc, and lead exploration, providing limited support for bauxite resource acquisition [1] - China Copper Resources has limited bauxite resources and poor profitability, with a debt-to-asset ratio exceeding 70%, resulting in no dividend income for China Aluminum over the years [1] Group 2: Financial Performance - In 2023, China Aluminum reported revenue of 225.07 billion yuan, a decrease of 22.65% year-on-year, while net profit attributable to shareholders was 6.717 billion yuan, an increase of 60.23% [2] - The company’s long-term equity investment in China Copper Resources has decreased from 234 million yuan at the beginning of 2019 to 204 million yuan by the end of 2023, a reduction of 12.83% over five years [1][2] - The increase in net profit is attributed to a focus on core business and a reduction in low-margin trading activities, with production stability and structural optimization contributing to improved efficiency [2] Group 3: Production and Market Dynamics - In 2023, China Aluminum produced 30.42 million tons of bauxite, 16.67 million tons of metallurgical-grade alumina, and 6.79 million tons of primary aluminum, with coal production reaching a historical high of 13.05 million tons, up 21.51% year-on-year [2] - The trading business, with a low gross margin of 1.41%, generated the highest revenue at 185.48 billion yuan, while energy products, with a gross margin of 39.10%, had the lowest revenue at 9.256 billion yuan [2] - The third quarter of 2023 was the most profitable for China Aluminum, with a non-recurring net profit of 2.046 billion yuan, accounting for 30.93% of the annual total [2] Group 4: Aluminum Price Trends - In the third quarter of 2023, aluminum prices rose from around 18,500 yuan/ton to approximately 19,850 yuan/ton, significantly boosting electrolytic aluminum profits [3] - The increase in aluminum prices is attributed to improved supply-demand dynamics, with social inventory decreasing and expectations of production cuts due to power constraints in certain regions [3][4] - Analysts predict that aluminum prices will maintain a strong oscillation, with the mainstream price range for 2024 expected to be between 18,400 and 22,000 yuan/ton, influenced by demand and supply changes [4]

智通财经APP获悉，美银证券发布研究报告称，维持中国铝业(02600)“买入”评级，基于对铝价仍持正面 看法，以及其为行业领导者。基于去年业绩及公司最新指引，上调公司今明两年每股盈利预测2%至 7%，目标价由5港元上调至5.7港元。 报告中称，公司去年税后净利润同比升60%至67亿元人民币，为盈喜预告范围中位数，意味去年第四季 税后净利润按季跌30%至13.6亿元人民币。该行指，公司去年资产减值亏损7.55亿元人民币，低于2022 年的49亿元人民币，基于公司减少过时资产减值，信贷减值则由2022年的4.14亿元人民币，改善至去年 的回拨1.46亿元人民币。 该行预测，中国铝价为每吨1.9万元人民币，中铝今年每吨铝毛利料为3000元人民币，受益于供应增长 受限，以及煤炭与阳极炭块成本下降。该行料中国铝需求今年增长2%，受电网投资，以及电动车增长 良好及轻型化趋势支持，抵销房地产需求与光伏需求增长放缓影响。 ...

Financial Performance - The net profit of the parent company for 2023 is approximately CNY 3.74 billion, while the consolidated net profit attributable to shareholders is about CNY 6.72 billion[4]. - The company plans to allocate 10% of the parent company's net profit, amounting to CNY 374 million, to statutory reserves and distribute a cash dividend of CNY 1.6 per 10 shares, totaling approximately CNY 1.373 billion, which represents 20.44% of the consolidated net profit[4]. - The company's operating revenue for 2023 was CNY 225,070,880, a decrease of 22.65% compared to CNY 290,987,942 in 2022[18]. - Net profit attributable to shareholders for 2023 reached CNY 6,716,945, representing a 60.23% increase from CNY 4,192,068 in 2022[18]. - The net profit after deducting non-recurring gains and losses was CNY 6,614,183, up 111.27% from CNY 3,130,693 in 2022[18]. - The company's total assets at the end of 2023 were CNY 211,755,809, a slight decrease of 0.28% from CNY 212,347,896 at the end of 2022[18]. - The net assets attributable to shareholders increased by 11.13% to CNY 60,457,735 from CNY 54,401,529 in 2022[18]. - Basic earnings per share for 2023 were CNY 0.391, a 63.60% increase compared to CNY 0.239 in 2022[19]. - The weighted average return on net assets for 2023 was 12.02%, an increase of 5.12 percentage points from 6.90% in 2022[19]. Operational Highlights - The company's alumina production was 1,667,000 tons in 2023, down 5.50% from 1,764,000 tons in 2022, while fine alumina production increased by 16.32% to 499,000 tons[25]. - The total imported bauxite reached 14,165,000 tons in 2023, marking a 12.7% year-on-year increase, with Guinea accounting for 70.1% of imports, up 40.9%[28]. - The company's coal production reached 1,305,000 tons in 2023, reflecting a 21.51% increase from 1,074,000 tons in 2022[25]. - The company's electricity generation was 162 billion kWh in 2023, a decrease of 2.99% from 167 billion kWh in 2022[25]. - In 2023, the company produced 30.42 million tons of bauxite, 16.67 million tons of metallurgical-grade alumina, and 6.79 million tons of primary aluminum (including alloys), with a total coal output of 13.05 million tons, marking a year-on-year increase of 21.51%[34]. Market and Industry Trends - The global alumina production was approximately 13,909,000 tons in 2023, with China's production at about 8,227,000 tons, representing a 3.1% increase year-on-year[30]. - The average price of LME three-month aluminum in 2023 was USD 2,288 per ton, a decrease of 15.7% compared to 2022, while the average price of SHFE three-month aluminum was CNY 18,473 per ton, down 6.9% year-on-year[31]. - The overall aluminum market is expected to maintain a basic balance, with traditional construction aluminum demand declining while demand from transportation, electronics, and renewable energy sectors is increasing[117]. - The demand for alumina is expected to remain tight in 2024, primarily driven by the operating rates of electrolytic aluminum capacity, which is nearing its ceiling[116]. Corporate Governance and Compliance - The audit report issued by PwC Zhong Tian is a standard unqualified opinion, ensuring the accuracy and completeness of the financial statements[3]. - The board of directors has confirmed that more than half of the directors can guarantee the authenticity, accuracy, and completeness of the annual report[6]. - The company is focused on enhancing its compliance management system, which includes the development of a comprehensive compliance guidance document and the appointment of a chief compliance officer[42]. - The company has implemented a comprehensive internal control system and governance structure in compliance with relevant laws and regulations[135]. - The company is committed to a clear governance structure, ensuring the protection of shareholders' legal rights and interests[135]. Environmental and Social Responsibility - The company’s carbon emissions were reduced by 1.25 million tons in 2023, reflecting its commitment to green development[38]. - The company completed the reclamation of 7,990 acres of mined land in 2023, achieving a 100% reclamation rate[38]. - The company is committed to ecological protection and high-quality development, focusing on addressing environmental issues in the Yangtze and Yellow River basins[195]. - The company has established a social responsibility committee to advance specific ESG initiatives and tasks[154]. Research and Development - Research and development expenses for 2023 amounted to CNY 3.729 billion, a decrease of CNY 1.076 billion or 22.39% from CNY 4.805 billion last year[64]. - The company established four major technology innovation platforms and formed 21 innovation teams, resulting in 485 patent authorizations in 2023, a 36% increase year-on-year[39]. - The company is committed to strengthening its innovation system, enhancing R&D investment intensity, and improving the overall efficiency of its innovation framework[123]. Strategic Initiatives - The company plans to continue expanding its market presence and invest in new product development to drive future growth[18]. - The company aims to enhance its competitiveness by focusing on resource acquisition, green aluminum smelting, and the development of high-purity aluminum-based new materials[118]. - The company is actively pursuing opportunities for mergers and acquisitions to bolster its market position and expand its operational capabilities[168]. - The company plans to enhance its digital transformation strategy, allocating 200 million for technology upgrades[170]. Employee and Workforce Management - The company’s average employee income increased by 5% year-on-year, with labor productivity rising by 6.3%[41]. - The total number of employees in the company is 64,504, with 162 in the headquarters and 64,342 in major subsidiaries[197]. - A total of 255 employees participated in various training programs in 2023, with over 3,000 training instances completed across 31 projects[199]. - The company emphasizes a performance-based salary system linked to economic benefits, implementing quarterly assessments and differentiated incentives[198].

Investment Rating - The report maintains a "Buy" rating for the company [2]. Core Views - The company reported a significant decrease in impairment losses, leading to a stronger performance in 2023, with revenue of 225.07 billion RMB, a year-on-year decrease of 22.65%, and a net profit attributable to shareholders of 6.72 billion RMB, an increase of 60.23% [2]. - The company expects revenue growth in the coming years, with projected revenues of 233.74 billion RMB, 245.75 billion RMB, and 250.40 billion RMB for 2024, 2025, and 2026 respectively [6]. - The company is focusing on enhancing shareholder returns, proposing a cash dividend of 0.8 RMB per share, which represents a 122% increase in total payout compared to the previous year [2]. Summary by Sections Financial Performance - In 2023, the company achieved a revenue of 225.07 billion RMB, with a net profit of 6.72 billion RMB, reflecting a 60.23% increase year-on-year [2]. - The company’s aluminum production saw a 24.67% increase in external sales volume, reaching 6.52 million tons in 2023 [2]. - The average price of alumina increased by 1.79% in the second half of 2023, contributing to a revenue of 31.99 billion RMB from the alumina segment [2]. Cost and Profitability - The manufacturing cost of alumina was 2,203 RMB per ton, up 5.05% year-on-year, while the cost of primary aluminum decreased by 9.14% to 16,000 RMB per ton, significantly improving profitability [2]. - The company’s tax profit from the alumina segment increased by 77.3 million RMB due to reduced impairment losses [2]. Future Projects - Key projects are set to commence production soon, including a 420,000-ton light alloy materials project in Inner Mongolia and a 2 million-ton alumina project in Guangxi, expected to enhance production capacity and profitability [2]. Shareholder Returns - The proposed cash dividend of 0.8 RMB per share represents 20.44% of the net profit for 2023, with a 5.7 percentage point increase in the dividend payout ratio compared to 2022 [2].

Financial Performance - For the fiscal year ending December 31, 2023, the group achieved a revenue of RMB 225.071 billion, a decrease of 22.65% year-on-year[7]. - The profit attributable to the owners of the parent company for the year was RMB 6.717 billion, with earnings per share of RMB 0.391[7]. - Operating revenue for 2023 was RMB 225,070,880 thousand, a decrease of 22.65% compared to RMB 290,987,942 thousand in 2022[13]. - Gross profit for 2023 was RMB 27,570,294 thousand, down from RMB 31,283,858 thousand in 2022[8]. - Net profit attributable to the owners of the parent company increased by 60.23% to RMB 6,716,945 thousand in 2023 from RMB 4,192,068 thousand in 2022[13]. - The company reported a pre-tax profit of RMB 15,090,528 thousand, an increase of 14.24% from RMB 13,208,968 thousand in 2022[9]. - The company’s net cash flow from operating activities was RMB 27,040,981 thousand, a decrease of 2.76% compared to RMB 27,806,188 thousand in 2022[13]. - Basic earnings per share for 2023 were RMB 0.391, representing a 63.60% increase from RMB 0.239 in 2022[13]. - The weighted average return on net assets increased by 5.12 percentage points to 12.02% in 2023 from 6.90% in 2022[13]. - The total equity attributable to the parent company as of December 31, 2023, was RMB 60,457,735 thousand, compared to RMB 54,401,529 thousand in 2022, indicating an increase of about 11%[15]. Corporate Strategy and Development - The company maintains a leading position in the global aluminum industry, with first-place production capacity in alumina, electrolytic aluminum, and high-purity aluminum[2]. - The company has a clear and pragmatic development strategy aimed at becoming a globally competitive world-class aluminum company[3]. - The group operates a complete industrial chain, providing a clear overall competitive advantage[3]. - The company is involved in various sectors including bauxite mining, alumina production, and international trade, enhancing its market presence[2]. - The company is focusing on expanding its market presence and enhancing its product offerings, although specific new products or technologies were not detailed in the provided content[15]. - The company is committed to research and development, particularly in low-grade and complex metal ore processing technologies[25]. - The company aims to leverage its technological advancements to improve operational efficiency and product quality[23][25]. - The company is focusing on high-value-added deep processing products and green low-carbon transformation in response to industry trends[123]. Leadership and Management - The company has a strong management team and skilled workforce, contributing to efficient operations and increased labor productivity[3]. - The company has appointed Dong Jianxiong as the new chairman and executive director, effective September 19, 2023, following the resignation of Liu Jianping on July 19, 2023[18]. - The company has experienced significant leadership changes, with several executives transitioning to new roles or leaving their positions in 2023[32][33][34][35]. - The company has a strong leadership team with extensive experience in the aluminum industry, which is expected to drive future growth and strategic initiatives[20]. - The management team includes professionals with backgrounds in engineering, finance, and asset management, contributing to a well-rounded strategic approach[21][22][24][25]. Environmental and Social Responsibility - The company is committed to enhancing its innovation system, aiming to strengthen core technology capabilities and increase R&D investment[88]. - The company has established a comprehensive social responsibility management system, integrating ESG management into its business operations[132]. - The company actively promotes poverty alleviation measures, focusing on education, healthcare, and employment for impoverished children[134]. - The company is committed to increasing the proportion of clean energy in its energy structure by developing renewable energy industries such as photovoltaic and wind power[135]. - The company aims to achieve "zero emissions" of production wastewater by adopting advanced water recycling systems[136]. - The company emphasizes responsible mining practices and environmental protection, ensuring minimal impact on the environment[136]. - The company has initiated a three-year action plan for ecological and environmental problem remediation, focusing on eliminating existing issues and preventing new ones[141]. Employee and Workforce Management - As of December 31, 2023, the company had a total of 64,504 employees, with 52,816 in production roles, 827 in sales, and 3,609 in technical positions[40]. - The gender composition of employees included 54,346 male employees and 10,158 female employees, with female employees making up 15.75% of the total workforce[42]. - The company emphasizes gender equality in employment, ensuring that the proportion of female employees does not fall below 15%[42]. - The company has established a comprehensive welfare system, including corporate annuities for 86 eligible enterprises and supplementary medical insurance for employees[138]. - The company organized training for 255 employees in 2023, with a total of over 3,000 training sessions completed across various departments[138]. - The company implemented a training model focusing on "party spirit cultivation + management knowledge + practical ability enhancement" to improve employee skills[138]. Financial Management and Shareholder Information - The company plans to propose a final dividend of RMB 0.08 per share for the 2023 fiscal year, pending shareholder approval[9]. - The company completed a cash dividend distribution of RMB 617.82 million for the fiscal year 2022, representing 14.74% of the net profit attributable to shareholders[155]. - For the fiscal year 2023, the company plans to distribute a cash dividend of RMB 0.08 per share, totaling approximately RMB 1.373 billion, which accounts for 20.44% of the net profit attributable to shareholders[156]. - As of December 31, 2023, the largest shareholder, Chinalco Group, directly held 29.82% of the company's shares, increasing its total stake to 32.29% when including subsidiaries[43]. - The total number of shareholders as of December 31, 2023, is 392,145[56]. Market and Industry Trends - The global aluminum prices experienced significant fluctuations in 2023, influenced by macroeconomic conditions and supply-demand dynamics[64]. - The company faced challenges in 2023 due to global economic growth expectations and restrictive monetary policies from major central banks[64]. - The demand for aluminum in traditional construction is declining, while demand in transportation, electronics, and photovoltaic sectors is increasing[123]. - The aluminum industry is expected to maintain a balanced supply and demand situation in 2024, with production growth slowing down[124]. - The company anticipates that the demand for aluminum will continue to grow in sectors such as new energy vehicles and solar photovoltaic applications[124]. Risk Management - The company faces significant risks in resource acquisition and supply security due to the declining quality and quantity of domestic bauxite resources, with increased competition and regulatory challenges impacting mining project progress[126]. - Safety and environmental risks are heightened due to the high-risk nature of the company's operations, with a need for improved automation and environmental management practices to address historical deficiencies[127]. - Market competition risks arise from price volatility in alumina and electrolytic aluminum products, prompting the company to enhance market research and customer development to maintain market share and pricing power[130]. - The company is addressing carbon emission risks associated with its energy structure, focusing on energy efficiency improvements and the development of a recycling system for aluminum to mitigate potential losses in the recycled aluminum market[131].

社会责任暨环境、社会与管治报告 股份代号：2600（香港联合交易所）、 601600（上海证券交易所） 2023 目录 | 董事长致辞 | 04 | 关于本报告 | 06 | 附录 | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | 总经理致辞 | 05 | 董事会声明 | 10 | 港交所索引 | 91 | GRI 索引 | 95 | 意见反馈表 | 96 | | 公司简介 | 14 | | --- | --- | | 核心理念 | 16 | | 荣誉奖项 | 17 | | 体系架构 | | --- | | 相关方沟通 | | 重大性判定 | | SDGs 响应 | 责任管治 护航稳健运营 | 完善公司治理 | 28 | | --- | --- | | 落实合规运营 | 31 | | 筑牢风险管理 | 33 | | 规范商业道德 | 35 | | 确保信息安全 | 38 | 01 02 03 04 05 走进中国铝业 ESG 管理 低碳环保 共筑绿色生活 42 49 应对气候变化 优化资源使用 保障生产安全 ...

关于中国铝业股份有限公司 2023 年度涉及中铝财务有限责任公司关联交易的存、贷款等金融业务 情况的专项报告 普华永道 涉及中铝财务有限责任公司关联交易的存、贷款等金融业务情况的专项报告 普华永道中天特审字(2024)第0601号 (第一页,共二页) 中国铝业股份有限公司董事会: 我们审计了中国铝业股份有限公司(以下简称"中国铝业")2023年12月31 日的合并及公司资产负债表、2023年度合并及公司利润表、合并及公司股东权 益变动表、合并及公司现金流量表和财务报表附注,并于 2024年3月27日出具 了报告号为普华永道中天审字(2024)第 10025 号的无保留意见审计报告。财务报 表的编制和公允列报是中国铝业管理层的责任,我们的责任是在按照中国注册会 计师审计准则执行审计工作的基础上对财务报表整体发表审计意见。 在对上述财务报表执行审计的基础上,我们对后附的中国铝业 2023 年度涉 及中铝财务有限责任公司关联交易的存、贷款等金融业务情况汇总表(以下简称 "关联金融业务情况汇总表")执行了有限保证的鉴证业务。 按照上海证券交易所颁布的《上海证券交易所上市公司自律监管指引第 5号- 交易与关联交易(20 ...

中国铝业股份有限公司 独立董事2023年度述职报告 (陈远秀) 本人作为中国铝业股份有限公司(以下简称"公司"或"中国铝业")的独立 董事,根据《中华人民共和国公司法》《上市公司独立董事管理办法》《上市公司 治理准则》《上海证券交易所股票上市规则》《上海证券交易所上市公司自律监管 指引第1号一规范运作》等相关法律、法规、规范性文件及《中国铝业股份有限公 司章程》(以下简称"《公司章程》")《中国铝业股份有限公司独立董事工作细 则》等制度的要求,本着对全体股东负责的态度,诚信、勤勉、独立地履行职责, 审慎、客观地发表意见,有效维护了公司及全体股东,尤其是中小股东的合法权益。 现就本人在2023年度的履职情况报告如下: 一、个人基本情况 (一)工作履历、专业背景及兼职情况 陈远秀,53岁,太平绅士,现为远博顾间有限公司(一家主要从事提供业务顾 问服务的公司)董事总经理,于2020年10月获香港特区政府委任为太平绅士,以 表彰本人于公共服务方面的出色表现及对小区的贡献,并于2022年3月获颁 《ACCA倡导者奖项(中国区)》,以表扬本人对会计专业的不懈支持。本人于 2008年至2009年担任特许公认会计师公会(「A ...