Haisco(SZ:002653) Mei Ri Jing Ji Xin Wen·2025-10-24 11:38Core Viewpoint - Tibet Zhihui Mining Co., Ltd. has submitted its application for listing on the Hong Kong Stock Exchange for the second time, focusing on the exploration, mining, and production of zinc, lead, and copper in Tibet. The company has shown signs of recovery in its financial performance for the first seven months of 2025 after a decline in 2024 [1][3]. Financial Performance - The company's revenue and net profit from 2022 to 2024 were 482 million, 546 million, and 301 million yuan respectively, with net profit dropping significantly from over 100 million to 55.85 million yuan in 2024 [3]. - The decline in performance was attributed to production line upgrades and weather-related delays, which reduced the annual selection volume to 321,800 tons, leading to a near halving of concentrate sales revenue [3]. - Following the completion of the processing plant upgrade in October 2024, the company has seen an increase in concentrate production due to improved ore grades, indicating a recovery in revenue for the first seven months of 2025 [3]. Market Outlook - The company anticipates a compound annual growth rate of 2.2% in domestic zinc concentrate demand from 2025 to 2028, driven by downstream industry development [4]. - The resource reserves at the company's Mongya Mine, which began production in 2007, are expected to be a key asset for its IPO, with the mine capable of supplying 400,000 tons of ore to the processing plant annually [3]. Customer Concentration Risk - The company faces significant customer concentration risk, with the top five customers accounting for approximately 93.9%, 90.1%, 88.1%, and 81.7% of total revenue from 2022 to 2025 [4][5]. - This heavy reliance on a few customers poses a risk to financial stability, as any reduction in orders from these concentrated clients could lead to substantial revenue losses [5].