Hainan Mining(SH:601969) Zheng Quan Zhi Xing·2025-08-27 22:29Core Viewpoint - Hainan Mining (601969) reported mixed financial results for the first half of 2025, with revenue growth but a significant decline in net profit compared to the previous year [1] Financial Performance - Total revenue for the first half of 2025 reached 2.415 billion yuan, a year-on-year increase of 10.46% [1] - Net profit attributable to shareholders was 281 million yuan, down 30.36% year-on-year [1] - In Q2 2025, total revenue was 1.226 billion yuan, up 13.85% year-on-year, while net profit was 120 million yuan, down 22.64% year-on-year [1] - Gross margin decreased to 24.17%, a decline of 26.00% year-on-year, and net margin fell to 11.35%, down 38.05% year-on-year [1] Key Financial Ratios - The company's total receivables accounted for 80.43% of the latest annual net profit, indicating a high level of receivables [1] - The total of selling, administrative, and financial expenses was 238 million yuan, representing 9.85% of revenue, a decrease of 7.96% year-on-year [1] - Earnings per share (EPS) decreased to 0.14 yuan, down 30.00% year-on-year, while operating cash flow per share increased to 0.35 yuan, up 42.47% year-on-year [1] Changes in Financial Items - Cash and cash equivalents increased by 58.22% due to an increase in acquisition loans [3] - Trade receivables rose by 0.85%, while interest-bearing liabilities surged by 62.04% [3] - Inventory increased by 69.75%, attributed to higher stock levels of spodumene and iron ore [3] Historical Performance and Outlook - The company's return on invested capital (ROIC) was 6.92%, indicating average capital returns [4] - Historical data shows a median ROIC of 2.87% over the past decade, with two years of losses since its IPO, suggesting a fragile business model [5] - Analysts expect the company's performance in 2025 to reach 764 million yuan, with an average EPS forecast of 0.38 yuan [5]