pingmei coal(601666) KAIYUAN SECURITIES·2024-08-21 08:03Investment Rating - The investment rating for the company is "Buy" (maintained) [2][4]. Core Views - The company's strategy of focusing on premium coal, combined with the resumption of coal mining operations, highlights its value through high dividends and shareholder buybacks [4]. - The company reported a revenue of 16.25 billion yuan for H1 2024, a year-on-year increase of 1.78%, but a net profit of 1.39 billion yuan, down 37.66% year-on-year, indicating pressure on performance due to falling coal prices [4]. - The company is expected to benefit from a rebound in coal prices due to seasonal demand and economic recovery, with a projected net profit of 3.08 billion yuan for 2024, a decrease of 23.1% year-on-year [4]. Financial Performance Summary - H1 2024 revenue: 162.5 billion yuan, up 1.78% YoY; net profit: 13.9 billion yuan, down 37.66% YoY; Q2 revenue: 80.1 billion yuan, down 2.84% QoQ; Q2 net profit: 6.52 billion yuan, down 11.93% QoQ [4]. - Original coal production in H1 2024 was 14.21 million tons, down 7.56% YoY; Q2 production was 7.58 million tons, up 14.4% QoQ [4]. - The average selling price of the company's coal products in H1 2024 was 1,087 yuan/ton, up 9.3% YoY [4]. Shareholder Actions and Asset Injection - The controlling shareholder plans to increase its stake by 300-600 million yuan, reflecting confidence in the company's long-term value [4]. - The company is set to receive coal and coke assets from its parent group to resolve industry competition issues, which may enhance growth potential [4]. - The company announced a cash dividend of 0.99 yuan per share for 2023, representing 60.59% of distributable net profit, with an expected dividend yield of 8.2% based on the current share price [4].