XTC(600549) 国元证券·2024-08-29 08:03Investment Rating - The report maintains a rating of "Add" for the company [4]. Core Views - The company achieved a revenue of 17.162 billion yuan in the first half of 2024, a year-on-year decrease of 8.37%, while the net profit attributable to shareholders increased by 28.47% to 1.017 billion yuan [1]. - The tungsten and molybdenum segment showed strong performance, with revenue of 8.781 billion yuan, up 10.98% year-on-year, and total profit of 1.427 billion yuan, up 29.50% [1]. - The average price of domestic black tungsten concentrate (65% WO3) was 134,400 yuan per ton, a 13.04% increase compared to the same period in 2023 [1]. - The company’s three major mines reported significant revenue growth, with total revenue of 806 million yuan, an increase of 11.83% year-on-year, and net profit of 310 million yuan, up 36.32% [1]. Summary by Sections Performance Overview - The company’s tungsten and molybdenum business maintained rapid growth, contributing over 75% to the total profit [1]. - The company’s overall profitability improved, with a gross margin of 19.02%, up 2.13 percentage points year-on-year, and a net margin of 9.34%, up 2.65 percentage points [8]. Business Segments - The tungsten refining products segment saw a significant increase in profits due to enhanced export share and increased overseas ore procurement [2]. - The photovoltaic tungsten wire products experienced rapid expansion, with sales of fine tungsten wire reaching 74.3 billion meters, including 62.8 billion meters for photovoltaic applications, achieving a penetration rate of over 40% [2]. - The energy materials segment reported a revenue of 6.3 billion yuan, a year-on-year decrease of 22.43%, but the company maintained its leading position in the lithium cobalt oxide market with a sales volume of 18,400 tons, up 29.98% [3]. Project Development - Key projects in the tungsten and molybdenum segment are progressing, including the construction of a recovery project for feldspar and quartz at the Ninghua Xingluokeng tungsten mine, expected to gradually commence production in the second half of 2024 [9]. - The company is expanding its production capacity in the rare earth segment and has initiated several projects in the energy materials sector, including a lithium-ion battery materials project with an annual capacity of 15,000 tons [9]. Financial Forecast - The company is expected to achieve net profits of 1.967 billion yuan, 2.448 billion yuan, and 3.046 billion yuan for the years 2024, 2025, and 2026, respectively, with corresponding P/E ratios of 11.91, 9.57, and 7.69 [10].