Zijin Mining(601899)2024-10-21 08:10Investment Rating - The report maintains a "Recommended" rating for the company [5] Core Views - The company reported a revenue of 230.40 billion yuan for the first three quarters of 2024, a year-on-year increase of 2.39%, and a net profit attributable to shareholders of 24.36 billion yuan, a year-on-year increase of 50.68% [2] - In Q3 2024, the company achieved a revenue of 79.98 billion yuan, a year-on-year increase of 7.11% and a quarter-on-quarter increase of 5.74%, with a net profit of 9.27 billion yuan, a year-on-year increase of 58.17% and a quarter-on-quarter increase of 5.09% [2] - The company is expanding its resources and has ongoing projects that are expected to enhance production capacity in the future [4] Summary by Relevant Sections Performance Overview - The company’s copper production in Q3 2024 increased by 5.8% quarter-on-quarter to 271,000 tons, gold production increased by 1.4% to 18.9 tons, and zinc production increased by 7.9% to 110,000 tons [3] - The average selling prices for copper concentrate, electrolytic copper, and zinc decreased by 9.5%, 15.9%, and 1.5% respectively in Q3 2024 [3] - The unit sales costs for copper concentrate and electrolytic copper increased by 2.6% and 2.9% respectively, while the cost for zinc decreased by 13.5% [3] Project Development - The company plans to invest 1 billion USD to acquire 100% equity in the Akyem gold mine in Ghana, which has significant production potential [4] - The construction of the Juno copper mine in Tibet is underway with an estimated investment of approximately 8.39 billion yuan, expected to be operational by June 2026 [4] - The company is also working on lithium projects, although progress has been delayed due to regulatory issues [4] Financial Forecast - The company is projected to achieve revenues of 313.04 billion yuan in 2024, with a net profit of 33.62 billion yuan, reflecting a profit growth rate of 59.20% [11] - The expected earnings per share (EPS) for 2024 is 1.27 yuan, with a price-to-earnings (PE) ratio of 14 [11]