Investment Rating - The investment rating for the company is "Buy" (maintained) [3][5][14] Core Insights - The company's revenue for 2024 is projected to be 237.07 billion yuan, representing a year-on-year growth of 5.2%, while the net profit attributable to shareholders is expected to reach 12.4 billion yuan, a significant increase of 85.4% [5][7] - The alumina business is the main contributor to profitability, with a gross profit of 19.5 billion yuan in 2024, accounting for 52% of total profits, driven by both volume and price increases [5][7] - The company is focusing on optimizing its industrial layout and has reduced impairment losses significantly, indicating proactive management strategies [5][7] Financial Performance Summary - Revenue and Profit Forecasts: - 2023A: Revenue of 225.07 billion yuan, net profit of 6.717 billion yuan - 2024A: Revenue of 237.07 billion yuan, net profit of 12.4 billion yuan - 2025E: Revenue of 229.16 billion yuan, net profit of 16.53 billion yuan - 2026E: Revenue of 246.14 billion yuan, net profit of 23.45 billion yuan - 2027E: Revenue of 260.66 billion yuan, net profit of 26.31 billion yuan [3][5][12] - Earnings Per Share (EPS) projections: - 2023A: 0.39 yuan - 2024A: 0.72 yuan - 2025E: 0.96 yuan - 2026E: 1.37 yuan - 2027E: 1.53 yuan [3][5][12] Market Position and Strategy - The company has enhanced its resource security, achieving a bauxite self-sufficiency rate of 66% and increasing its bauxite resource reserves by 73.55 million tons in 2024 [5][7] - The company is committed to shareholder returns, proposing a cash dividend of 0.217 yuan per share for 2024, with a total dividend payout of 3.72 billion yuan, reflecting a 30% payout ratio [5][7] - The supply-demand gap for electrolytic aluminum is expected to widen, with domestic production nearing capacity limits, leading to a projected price range of 23,000 to 25,000 yuan per ton [5][7]

Financial Projections - China Aluminum expects Q1 2025 total profit to be between RMB 6.2 billion and RMB 6.7 billion, an increase of 30% to 40% year-on-year [3]. - The net profit attributable to shareholders is projected to be between RMB 3.4 billion and RMB 3.6 billion, representing a year-on-year increase of 53% to 63% [3]. - In Q1 2024, the total profit was RMB 4.8 billion, and the net profit attributable to shareholders was RMB 2.2 billion [7][8]. Profit Increase Drivers - The company attributes the profit increase to precise market price analysis and comprehensive cost reduction and efficiency enhancement measures [10]. - The company aims to strengthen its competitive advantages through a series of initiatives, including cost reduction and efficiency enhancement 3.0 [11]. Supply Chain Management - China Aluminum is implementing an integrated response strategy to ensure the safety and stability of its supply chain amid market fluctuations [11]. - The company emphasizes the importance of its platform industries in enhancing integrated supply chain responsiveness and collaboration [11]. Industrial and Technological Development - China Aluminum is focusing on optimizing its industrial layout and expanding into small metal industries such as gallium, lithium, and magnesium [11]. - The company is advancing technological innovation, particularly in low-grade ore utilization and high-end product development [11]. Governance and Management - Management reforms are being pursued to enhance governance structure and operational efficiency [11].

Core Viewpoint - China Aluminum Corporation (the company) has approved a proposal for its subsidiary, Chalco Ningxia Energy Group, to establish a joint venture with two other companies, aiming to enhance its investment portfolio and operational capacity in the energy sector [1][2]. Group 1: Joint Venture Details - The joint venture will be established with a registered capital of RMB 4,766,771,080, with Chalco Ningxia contributing RMB 113,925.83 million for a 23.90% stake [1][2]. - The other parties involved are Zhongtong Tibet Mining Co., which will hold 56.1% of the joint venture, and Tibet Development Investment Group, holding 20.0% [2]. Group 2: Capital Contribution and Payment Schedule - The initial capital contribution of RMB 289,009,365.33 will be made within 20 working days after the joint venture's account is opened, with each party contributing according to their shareholding [2][3]. - Over the next two years, an additional RMB 1,658,930,074.67 will be contributed based on the joint venture's investment needs [2][3]. - The remaining capital of RMB 2,818,831,640.00 must be fully paid within five years, with specific amounts allocated to each party [2][3]. Group 3: Default and Penalty Clauses - If any party fails to meet their capital contribution obligations, they will incur a penalty of 0.03% of the unpaid amount per day, with a maximum penalty period of 90 days [2][3]. - The agreement allows for adjustments in shareholding proportions if a party defaults, and the non-defaulting party has the right to demand compensation for any losses incurred [3][4]. Group 4: Profit Distribution and Responsibilities - After covering losses and allocating 10% of the after-tax profits to statutory reserves, profits will be distributed according to the shareholding ratios [3][4]. - All parties are jointly liable for any costs incurred during the establishment of the joint venture, with specific provisions for handling expenses and liabilities [3][4].

此乃要件 請即處理 閣下如對本通函任何方面或應採取的行動有任何疑問，應諮詢 閣下的股票經紀或其他註冊證券商、 銀行經理、律師、專業會計師或其他專業顧問。 閣下如已將名下的中國鋁業股份有限公司的股份全部售出，應立即將本通函送交買主或經手買賣的銀 行、股票經紀或其他代理商，以便轉交買主。 香港交易及結算所有限公司及香港聯合交易所有限公司對本通函的內容概不負責，對其準確性或完整 性亦不發表任何聲明，並明確表示，概不對因本通函全部或任何部份內容而產生或因倚賴該等內容而 引致的任何損失承擔任何責任。 須予披露的交易及關連交易 獨立董事委員會及獨立股東的獨立財務顧問 本補充通函應與日期為2025年3月7日的臨時股東會通函及通告一併閱讀。 載有（其中包括）有關包頭鋁業擬吸收合併內蒙古華雲的須予披露的交易及關連交易事項的董事會函件 載於本補充通函第1頁至第17頁。 載有獨立董事委員會就有關包頭鋁業擬吸收合併內蒙古華雲的須予披露的交易及關連交易事項向獨立 股東作出的推薦建議的獨立董事委員會函件載於本補充通函第18頁至第19頁。 載有建泉融資就有關包頭鋁業擬吸收合併內蒙古華雲的須予披露的交易及關連交易事項向獨立董事委 員會及獨立 ...

致：香港交易及結算所有限公司 公司名稱: 中國鋁業股份有限公司 呈交日期: 2025年4月3日 I. 法定/註冊股本變動 | 1. 股份分類 | 普通股 | 股份類別 | A | | | 於香港聯交所上市 (註1) | | 否 | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | 證券代號 (如上市) | 601600 | 說明 | | | | | | | | | | | 法定/註冊股份數目 | | | 面值 | | | 法定/註冊股本 | | | 上月底結存 | | | 13,211,666,110 | RMB | | 1 | RMB | | 13,211,666,110 | | 增加 / 減少 (-) | | | | 0 | | | RMB | | 0 | | 本月底結存 | | | 13,211,666,110 | RMB | | 1 | RMB | | 13,211,666,110 | 股份發行人及根據《上市規則》第十九B章上市的香港預託證券發行人的證券變動月報表 截至月份: 2025年3月31日 狀態: 新提交 | 2 ...

沪指4月2日上涨0.05%，申万所属行业中，今日上涨的有18个，涨幅居前的行业为纺织服饰、美容护 理，涨幅分别为1.45%、1.01%。跌幅居前的行业为国防军工、有色金属，跌幅分别为1.17%、0.87%。 有色金属行业位居今日跌幅榜第二。 资金面上看，两市主力资金全天净流出80.51亿元，今日有9个行业主力资金净流入，非银金融行业主力 资金净流入规模居首，该行业今日上涨0.58%，全天净流入资金17.87亿元，其次是通信行业，日涨幅为 0.97%，净流入资金为9.63亿元。 主力资金净流出的行业有22个，医药生物行业主力资金净流出规模居首，全天净流出资金27.59亿元， 其次是电子行业，净流出资金为20.00亿元，净流出资金较多的还有国防军工、公用事业、基础化工等 行业。 有色金属行业今日下跌0.87%，全天主力资金净流出8.57亿元，该行业所属的个股共138只，今日上涨的 有48只，涨停的有1只；下跌的有84只。以资金流向数据进行统计，该行业资金净流入的个股有50只， 其中，净流入资金超3000万元的有8只，净流入资金居首的是天和磁材，今日净流入资金2.07亿元，紧 随其后的是宜安科技、永茂泰，净流入资金 ...

Group 1 - The company achieved a revenue of 30.9 billion yuan in 2024, a year-on-year decrease of 21.9%, but net profit increased by 622% to 0.7 billion yuan, driven by revenue structure optimization and cost reductions from AI-enabled efficiency improvements [4][5] - The payment business showed marginal improvement with a revenue decline of 22.9% to 26.9 billion yuan, attributed to a 19% drop in total GPV and a slight decrease in payment rates [5][6] - The company’s overseas payment business expanded significantly, with transaction volume exceeding 1.1 billion yuan, a nearly fivefold increase year-on-year [5] Group 2 - The company reported a revenue of 31.48 billion yuan in 2024, a decrease of 17.2%, with a net profit of 2.34 billion yuan, down 68.98% [11][12] - The domestic acquiring business processed a total of 1.47 trillion yuan, maintaining stable monthly transaction volumes, while overseas market revenue reached 9.01 billion yuan, with a 63.61% increase in high-end market revenue [13][14] - The company’s AI digital employee product has been commercialized, with applications in digital marketing and e-commerce [15] Group 3 - China Aluminum reported a revenue of 237.07 billion yuan in 2024, an increase of 5.2%, and a net profit of 12.4 billion yuan, up 85.4% [16][17] - The increase in profits was primarily due to rising aluminum and alumina prices, with alumina revenue reaching 74 billion yuan, a 38.3% increase [18] - The company plans to distribute a cash dividend of 0.135 yuan per share, with a total dividend amount of 3.72 billion yuan, reflecting a payout ratio of 30.2% [20] Group 4 - Three Squirrels reported a revenue of 10.622 billion yuan in 2024, a year-on-year increase of 49.3%, with a net profit of 408 million yuan, up 85.51% [22][23] - The company’s online revenue reached 7.407 billion yuan, with significant growth in various channels, particularly Douyin [23][24] - The company is planning to issue H shares to enhance its brand and global supply chain capabilities [25][26] Group 5 - Kailai Ying reported total revenue of 5.805 billion yuan in 2024, a decrease of 25.82%, with a net profit of 949 million yuan, down 58.17% [27][28] - The small molecule business showed stable growth, with revenue of 4.571 billion yuan, reflecting an 8.85% increase when excluding large orders [28][29] - The emerging business segment achieved revenue of 1.226 billion yuan, a growth of 2.25% [29] Group 6 - Zhejiang Shuju reported a revenue of 3.097 billion yuan in 2024, a slight increase of 0.61%, with a net profit of 512 million yuan, down 22.84% [30][31] - The online gaming business generated 1.34 billion yuan in revenue, with a gross margin of 91.04% [33] - The company plans to distribute a cash dividend of 1.60 yuan per 10 shares, totaling 203 million yuan [32] Group 7 - Zhongke Xingtou focuses on the space-earth big data industry, with a projected revenue of 40.78 billion yuan in 2025, increasing to 63.98 billion yuan by 2027 [38][41] - The company has established a comprehensive digital earth solution, integrating data collection, processing, and application [39][40] - The company aims to expand its business into low-altitude economy and commercial aerospace sectors [40] Group 8 - Yinghe Technology reported a revenue of 8.524 billion yuan in 2024, a decrease of 12.58%, with a net profit of 503 million yuan, down 9.14% [43][44] - The lithium battery equipment segment faced challenges, while the electronic cigarette segment showed strong performance with a revenue of 3.191 billion yuan [44][45] - The company expects growth in the lithium battery equipment market due to domestic production recovery and expansion into overseas markets [45][46] Group 9 - Meiya Optoelectronics achieved a revenue of 2.311 billion yuan in 2024, a decrease of 4.7%, with a net profit of 649 million yuan, down 12.8% [48] - The color sorting machine business grew by 9.9%, while the medical equipment segment faced a decline of 33.4% [49] - The company anticipates a recovery in the medical equipment sector due to ongoing economic development and demographic trends [49]

Group 1 - Morgan Stanley reports that aluminum producers will benefit from higher profit margins by 2025 due to falling raw material prices and a tightening global aluminum market [1] - The firm has raised target prices for several companies, including China Hongqiao from HKD 15.4 to HKD 19.8 and China Aluminum from RMB 8.7 and HKD 5.5 to RMB 9.1 and HKD 7, while lowering Nanshan Aluminum's target price from RMB 5.2 to RMB 5 [1] - The transition from a shortage of alumina in 2024 to a surplus in 2025 is expected to drive this change, with increased supply from coastal China and Guinea [2] Group 2 - Factors driving aluminum demand include Germany's new spending plan boosting construction and transportation needs, resilient demand from China's energy transition and automotive sectors, and a projected 1% demand growth in the US by 2025 [3] - The commodity research team anticipates a 4 million ton surplus in the global alumina market by 2025, increasing to 11 million tons by 2026, with alumina prices expected to drop to $350/ton in Q2 and stabilize between $350-$400/ton thereafter [4] - Companies expected to benefit from these trends include Alcoa in the US, Norsk Hydro in Europe, China Hongqiao and China Aluminum in China, and S32 and Rio Tinto in Australia [5] Group 3 - The increase in US tariffs on imported aluminum and related products may have a limited impact on China but will raise production costs for US manufacturers, potentially altering global aluminum trade flows and increasing costs for downstream users in the US [6]

Summary of Key Points from the Conference Call Industry Overview - The conference call discusses the **Aluminum Industry** in China, specifically focusing on the **Implementation Plan for High-quality Development for the Aluminum Industry (2025-27)** issued by 10 government departments on March 28, 2025 [1][2]. Core Insights and Arguments - The plan mandates that by **2027**, the percentage of aluminum capacity exceeding the energy efficiency benchmark (13,000 kWh/t) should rise to **30%+**, while capacities below the base level (13,300 kWh/t) must either upgrade technology or be closed [1][2]. - The target for **renewable energy consumption** in the aluminum sector is set to exceed **30%**, an increase from the previous target of **25%+** by the end of 2025 [2]. - The plan aims to boost domestic bauxite resources by **3-5%** through enhanced exploration efforts [2]. - The recycling aluminum output target is set to exceed **15 million tons** by **2027**, up from **11.5 million tons** in the previous plan for 2025 [2]. Company-Specific Insights - **Hongqiao** and **Chalco** are identified as industry leaders expected to benefit from the new regulations due to their higher energy efficiency and renewable energy usage [1][3]. - The target price for **Chalco A-share** is set at **Rmb10.72** per share, based on a **2.60x** 2024E price-to-book (PB) ratio, reflecting anticipated higher aluminum margins due to decreasing coal and raw material prices [5]. - The target price for **Chalco H-share** is set at **HK$8.89** per share, based on a **1.96x** 2024E PB ratio [7]. - The target price for **Hongqiao** is set at **HK$21.0** per share, based on an **8.4x** 2025E price-to-earnings (PE) ratio [9]. Risks and Challenges - Key risks that could hinder stock performance include: - Lower-than-expected aluminum and alumina prices [6][8]. - Higher-than-expected operational costs [6][8]. - Potential impairment losses exceeding expectations [6][8]. - Possible loosening of supply cut policies by the Chinese government if aluminum prices rise significantly [6][8][10]. Additional Considerations - The plan emphasizes the **green development** of the aluminum industry, indicating a shift towards more sustainable practices [2]. - The comprehensive utilization rate of newly added red mud resources is targeted to reach **15%** [2]. - The expansion of aluminum applications in various sectors, including municipal facilities, automotive, photovoltaics, and furniture, is expected to drive increased consumption [2]. This summary encapsulates the critical aspects of the conference call, highlighting the strategic direction of the aluminum industry in China and the implications for key players like Hongqiao and Chalco.

Summary of Aluminum Corp. of China (Chalco) Earnings Review Company Overview - **Company**: Aluminum Corp. of China (Chalco) - **Stock Ticker**: 2600.HK - **Market Cap**: HK$87.8 billion / $11.3 billion - **Enterprise Value**: HK$168.4 billion / $21.7 billion - **Industry**: Basic Materials Key Financial Highlights - **2024 Net Profit**: Rmb12.4 billion, representing an 85% year-over-year increase - **Earnings Per Share (EPS)**: Rmb0.723, up 84% year-over-year - **Recurring Net Profit**: Estimated at Rmb13.1 billion, up 99% year-over-year - **Dividend**: Proposed final dividend of Rmb0.135 per share, total annual dividend of Rmb0.217, implying a 30% payout ratio for 2024, compared to 21% for 2023 [1][30] Revenue and Cost Analysis - **Total Revenue for 2024**: Rmb237.1 billion, a 5% increase from Rmb225.3 billion in 2023 - **Cost of Goods Sold (COGS)**: Rmb201.5 billion, up 2% year-over-year - **Gross Profit**: Rmb35.5 billion, a 29% increase year-over-year - **Sales Volume**: Aluminum sales volume was 7.60 million tons, up 12% year-over-year, while alumina sales volume was 6.35 million tons, down 3% year-over-year [19][30] Segment Performance - **Aluminum Segment**: Gross profit declined by 15% year-over-year, primarily due to higher COGS - **Alumina Segment**: Gross profit increased by 236% year-over-year, attributed to lower-than-expected costs - **Energy and Trading Segment**: Gross profit decreased by 63% year-over-year due to lower revenue and higher COGS [19][20] Future Outlook and Estimates - **2025E Net Profit**: Expected to remain elevated at Rmb11.4 billion, with a stable aluminum output of 7.6 million tons and an increase in alumina output to 22 million tons [2][33] - **Alumina Price Forecast**: Expected to remain depressed at Rmb3,431 per ton for 2025 and Rmb3,464 per ton for 2026 [2][33] - **Aluminum Industry Spread**: Anticipated to sustain at Rmb4,830 per ton in 2025 and Rmb4,700 per ton in 2026 [2][33] Valuation and Investment Thesis - **Price Target**: HK$6.30 for 12 months, with a current price of HK$5.12, indicating a 23% upside potential - **Valuation Ratios**: Trading at a P/E of 6.2 for 2024, with a projected P/E of 7.2 for 2025 [1][36] - **Investment Rating**: Maintain Buy rating for Chalco-H and Neutral for Chalco-A due to fair valuation [34][35] Risks and Considerations - **Downside Risks**: Include lower aluminum and alumina pricing, potential removal of capacity caps in primary aluminum, slower-than-expected green demand, and higher supply from recycled aluminum [28][37] - **Upside Risks**: Include higher pricing driven by improved supply-demand balance and enhanced demand for green technologies [29][38] Cash Flow and Balance Sheet - **Operating Cash Flow**: Increased by 21% year-over-year to Rmb32.6 billion - **Free Cash Flow**: Grew by 59% year-over-year to Rmb25.2 billion - **Net Gearing**: Decreased to 64% from 100% at the end of 2023 [23][30] This summary encapsulates the key financial metrics, segment performance, future outlook, valuation, and associated risks for Aluminum Corp. of China, providing a comprehensive overview for potential investors.