Investment Rating - The report maintains a "Buy" rating for the company with a target price of HKD 51.84 [6][7] Core Views - The company reported a narrowing loss in Q2 2024, with revenues of USD 208 million and a net loss of USD 32 million for H1 2024. Q2 revenues were USD 148 million with a net loss of USD 5 million, attributed to the successful resumption of operations at the Jiamar mine and increased copper and gold prices [3][4] - The report adjusts the copper price assumptions for 2024 upwards based on year-to-date trends, while lowering the assumptions for 2025-2026 due to potential negative impacts from a U.S. recession [3][8] - The company is expected to achieve its production targets for copper and gold in 2024, with anticipated production of 43,200 to 44,500 tons of copper and 1,320 to 1,410 kg of gold [3][4] Summary by Sections Financial Performance - For H1 2024, the company reported revenues of USD 208 million and a net loss of USD 32 million. Q2 revenues were USD 148 million, with a net loss of USD 5 million, indicating a significant improvement from previous quarters [3][4] - The average prices for copper and gold in Q2 2024 increased by 16% and 13% respectively, contributing to the reduction in losses [4][11] Production and Operations - The Jiamar mine's second-phase processing plant resumed operations on May 30, 2024, with a processing capacity of 34,000 tons per day, which is 68% of the original capacity. The first-phase plant has ceased operations [3][4] - The company achieved copper production of 2,092 tons in Q1 and 8,363 tons in Q2 2024, with gold production of 110 kg in Q1 and 260 kg in Q2 [3][4] Valuation and Estimates - The report employs a segmented valuation method, estimating that the company's copper and gold business profits will account for 47% and 53% of total profits respectively in 2024. The target price reflects a reduced valuation discount of 20% [3][9] - The expected net profits for 2024-2026 are revised to USD 135 million, USD 314 million, and USD 471 million respectively [3][5]
中国黄金国际：甲玛矿顺利复产，Q2亏损收窄