Ge Long Hui·2025-12-09 00:50Core Viewpoint - China Metallurgical Group Corporation (China MCC) announced a significant asset sale, indicating a strategic shift to focus on its core business and optimize its asset structure [3][9]. Asset Sale Details - The company plans to sell a package of assets, including 100% equity of MCC Real Estate and other subsidiaries, for a total of 60.676 billion yuan [2][5][6]. - This transaction is classified as a related party transaction and does not constitute a major asset restructuring, requiring approval from the shareholders' meeting [7]. Business Focus and Strategy - The divestiture of MCC Real Estate, a key real estate platform, is particularly noteworthy as it aligns with the company's strategy to concentrate on its core competencies in engineering and construction [9][10]. - The company aims to enhance its core competitiveness and sustainable profitability by shedding non-core assets and reallocating resources [13]. Financial Performance - In Q3, China MCC reported a significant decline in net profit, down 67.52% year-on-year, with revenue decreasing by 14.25% [15]. - For the first three quarters, revenue was 335.094 billion yuan, a decrease of 18.79%, and net profit was 39.7 billion yuan, down 41.88% [16]. Market Outlook - Analysts suggest that the asset restructuring will clarify China MCC's valuation logic and may lead to a more stable performance in the mining resources sector, especially if copper prices rise [21]. - The company is expected to focus on metallurgical engineering, high-end infrastructure, and emerging industries for future growth [15].