Zheng Quan Shi Bao Wang·2025-07-14 16:07Core Viewpoint - Luoyang Molybdenum Industry (603993) expects a significant increase in net profit for the first half of 2025, driven by rising copper and cobalt prices, alongside increased production and sales of copper products [2][3]. Financial Performance - The company anticipates a net profit attributable to shareholders between 8.2 billion to 9.1 billion yuan, representing a year-on-year increase of 27.83 billion to 36.83 billion yuan, or a growth of 51.37% to 67.98% [2]. - The expected net profit excluding non-recurring items is projected to be between 8.3 billion to 9.2 billion yuan, an increase of 26.75 billion to 35.75 billion yuan, translating to a growth of 47.55% to 63.55% year-on-year [2]. Production and Sales - For the first half of 2025, copper production is expected to reach 353,600 tons, a year-on-year increase of approximately 12.68%, while cobalt production is projected at 61,100 tons, up about 13.05% [2][3]. - The completion rate for copper production based on the mid-point of the 2025 production guidance is 56% [3]. Market Trends - Copper prices have shown an upward trend in the first half of the year, with global exchanges reporting price increases between 5% to 20% [2]. - Cobalt prices have also surged, with a reported increase of approximately 50% from January 2 to June 30 [2]. Strategic Acquisitions - The company completed the acquisition of Lumina Gold for 581 million Canadian dollars, gaining 100% ownership of the Cangrejos Project in Ecuador, which adds significant gold resources to its portfolio [4]. - The Cangrejos Project has an estimated resource of 1.376 billion tons with an average gold grade of 0.46 g/t, containing 638 tons of gold, and is expected to have a service life of 26 years [4]. Future Outlook - The Cangrejos Project is planned to commence production in 2028, with an expected annual gold output of 11.5 tons [4]. - The company aims to leverage its experience in South America to enhance operational synergies and utilize advanced mining technologies for the new gold project [4].