Zheng Quan Zhi Xing·2025-08-23 22:58Core Viewpoint - Luoyang Molybdenum Industry (603993) reported a mixed performance in its 2025 interim financial results, with a decline in total revenue but a significant increase in net profit, indicating improved profitability despite revenue challenges [1]. Financial Performance - Total revenue for the first half of 2025 was 94.773 billion yuan, a decrease of 7.83% year-on-year [1]. - Net profit attributable to shareholders reached 8.671 billion yuan, reflecting a substantial increase of 60.07% year-on-year [1]. - In Q2 2025, total revenue was 48.767 billion yuan, down 13.99% year-on-year, while net profit was 4.725 billion yuan, up 41.24% year-on-year [1]. - Gross margin improved to 21.15%, an increase of 15.1% year-on-year, and net margin rose to 10.39%, up 68.69% year-on-year [1]. Cost Management - Selling, general, and administrative expenses totaled 2.166 billion yuan, accounting for 2.29% of revenue, down 20.81% year-on-year [1]. - The company reported a significant reduction in interest-bearing debt, which decreased by 45.84% to 28.68 billion yuan [1]. Shareholder Metrics - Earnings per share (EPS) increased to 0.41 yuan, a rise of 64.0% year-on-year [1]. - The book value per share was reported at 3.39 yuan, up 19.9% year-on-year [1]. - Operating cash flow per share was 0.56 yuan, reflecting an increase of 11.92% year-on-year [1]. Investment Insights - The company's return on invested capital (ROIC) for the previous year was 14.69%, indicating strong capital returns [3]. - The average ROIC over the past decade was 6.07%, suggesting a generally weak investment return history [3]. - The company maintains a healthy cash position, with cash assets being robust [3]. Market Position - The largest fund holding Luoyang Molybdenum is the Southern CSI Shenwan Nonferrous Metals ETF, with a scale of 4.695 billion yuan and a recent net value increase of 1.27% [5].