Mtalco(SH:601677) GOLDEN SUN SECURITIES·2024-08-20 11:09Investment Rating - The report maintains a "Buy" rating for the company [3]. Core Views - The company has shown significant performance improvement in Q2 2024, with a substantial increase in both revenue and net profit compared to previous quarters. The H1 2024 revenue reached 15.31 billion yuan, a year-on-year increase of 21.16%, and the net profit attributable to shareholders was 1.07 billion yuan, up 33.28% year-on-year [1]. - The company's profitability is expected to continue improving due to the growing demand for aluminum products driven by emerging industries such as renewable energy and low-altitude economy [1]. - The company is expanding its product range with a focus on high-value-added products, which are increasingly contributing to its revenue [1]. Financial Performance Summary - For H1 2024, the company achieved a revenue of 15.31 billion yuan, with a net profit of 1.07 billion yuan and a non-recurring net profit of 899 million yuan, reflecting year-on-year growth rates of 21.16%, 33.28%, and 40.33% respectively [1]. - The gross profit margin for sales was 12.41%, an increase of 0.63 percentage points year-on-year, while the net profit margin was 6.99%, up 0.64 percentage points year-on-year [1]. - The company’s aluminum plate and foil sales volume reached 707,500 tons in H1 2024, a year-on-year increase of 18.7% [1]. - The average net profit per ton of aluminum plate and foil was 1,512.2 yuan, up 12.3% year-on-year [1]. Future Outlook - The company is expected to achieve net profits of 2.226 billion yuan, 2.441 billion yuan, and 2.636 billion yuan for the years 2024, 2025, and 2026 respectively, with corresponding P/E ratios of 6.3, 5.8, and 5.3 [2][3]. - The report suggests that the company will benefit from the high demand in the aluminum industry and cost reduction efforts, leading to further improvements in profitability [1].