TMD(SZ:000762) Sou Hu Cai Jing·2025-08-21 22:30Core Viewpoint - Tibet Mining (000762) reported a significant decline in financial performance for the first half of 2025, with total revenue dropping by 65.91% year-on-year and a net loss of 15.305 million yuan, reflecting a 113.78% decrease compared to the previous year [1][2]. Financial Performance Summary - Total revenue for the first half of 2025 was 134 million yuan, down from 392 million yuan in 2024, marking a decrease of 65.91% [1][2]. - The net profit attributable to shareholders was -15.305 million yuan, compared to a profit of 111 million yuan in 2024, a decline of 113.78% [1][2]. - Gross margin fell to 25.51%, down 55.69% year-on-year, while net margin was -24.47%, a decrease of 159.05% [1][2]. - The total of selling, administrative, and financial expenses reached 61.565 million yuan, accounting for 46.04% of total revenue, an increase of 178.17% year-on-year [1][2]. - Earnings per share were -0.03 yuan, down 113.61% from 0.21 yuan in 2024 [1][2]. Operational Insights - The decline in revenue was attributed to decreased product sales and prices [2]. - The company’s cash flow from operating activities decreased by 83.06%, also due to lower sales and prices [2]. - The company’s return on invested capital (ROIC) was 2.23% last year, indicating weak capital returns historically [2]. Debt and Financial Health - The company’s interest-bearing debt ratio reached 20.47%, suggesting a need for attention to debt levels [3]. - Cash assets are reported to be healthy, providing some financial stability [2]. Project Development and Strategy - The Zabuye Phase II project has not yet commenced formal production due to various technical and operational challenges [4]. - The project utilizes a photovoltaic and thermal energy technology solution, indicating a focus on sustainable energy [5]. - The company benefits from supportive central government policies in Tibet, which include financing channels and tax incentives [11]. Market Position and Sales Strategy - The company primarily sells its products to downstream customers, with prices determined by a pricing committee based on market indices [7]. - The focus is on lithium and chromium mining, with an aim to enhance governance and performance under the management of Baowu Group [8]. Resource Utilization - The first phase of the Zabuye project produced lithium concentrate using solar evaporation methods, while the second phase aims for comprehensive resource utilization, producing battery-grade lithium carbonate and other products [9].