Zijin Mining(601899) 中国银河·2024-07-11 06:30Investment Rating - The investment rating for Zijin Mining (601899) is "Recommended" (maintained) [2]. Core Views - The company is expected to achieve a net profit attributable to shareholders of 145.5-154.5 billion yuan for the first half of 2024, representing a year-on-year increase of 41%-50% and a quarter-on-quarter growth of 35%-43% [2]. - The significant profit growth is driven by an increase in both volume and price of mineral products, with copper production up 5.3% to 518,000 tons, gold production up 9.6% to 35.4 tons, and silver production up 1.3% to 210.3 tons in the first half of 2024 [2]. - The average price of electrolytic copper increased by 10% year-on-year to 74,640 yuan/ton, gold by 20% to 521 yuan/gram, and silver by 28% to 6,790 yuan/kilogram in the first half of 2024 [2]. - The company has made significant breakthroughs in exploration and resource addition, with a total of 5.777 million tons of new copper metal resources added, accounting for approximately 14.2% of China's copper reserves as of the end of 2022 [2]. - The company’s self-exploration capabilities are strong, with over 50% of copper and gold resources and over 90% of zinc (lead) resources obtained through self-exploration, resulting in significantly lower exploration costs compared to global peers [2]. - The projected compound annual growth rate (CAGR) for copper, gold, zinc (lead), silver, lithium, and molybdenum production from 2023 to 2028 is 9%, 9%, 4%, 10%, 147%, and 30%, respectively [2]. Financial Summary - For 2024, the expected revenue is 343.26 billion yuan, with a revenue growth rate of 16.99% [6]. - The net profit attributable to shareholders is projected to be 318.33 billion yuan for 2024, with a profit growth rate of 50.73% [6]. - The diluted EPS for 2024 is expected to be 1.20 yuan, with a corresponding PE ratio of 15.35 [6]. - The gross profit margin is projected to be 18.44% in 2024 [6]. - The total assets are expected to reach 3,805.45 billion yuan by 2024, with a debt-to-equity ratio of 52.49% [7].