NNCI(600301) Minsheng Securities·2024-11-01 08:02Investment Rating - The report maintains a "Recommended" rating for the company [4]. Core Views - The company has shown significant growth in revenue and net profit for the first three quarters of 2024, with revenue reaching 3.415 billion yuan, up 56.21% year-on-year, and net profit of 540 million yuan, up 100.91% year-on-year [2]. - The increase in production volume, particularly in tin and antimony, has contributed to the company's performance, with tin ingot production increasing by 62.76% year-on-year [2]. - The rise in prices for tin, antimony, zinc, lead, and copper has also driven the company's performance, with significant year-on-year price increases noted [2]. - The company is well-positioned in the market with rich mineral resources and has potential for further resource expansion [2]. Summary by Sections Financial Performance - For Q3 2024, the company achieved revenue of 1.161 billion yuan, a year-on-year increase of 49.70%, but a quarter-on-quarter decrease of 10.00% [2]. - The net profit for Q3 2024 was 192 million yuan, up 88.46% year-on-year, but down 14.25% quarter-on-quarter [2]. - The company’s production volumes for various metals have shown significant increases, with tin ingot production at approximately 7,731.25 tons for the first three quarters of 2024, a 62.76% increase year-on-year [2]. Price Trends - The prices for the company's main products in Q3 2024 were as follows: tin at 260,000 yuan/ton, antimony at 159,700 yuan/ton, zinc at 23,600 yuan/ton, lead at 18,000 yuan/ton, and copper at 75,200 yuan/ton, with year-on-year changes of +3.67, +8.07, +0.27, +0.18, and +0.65 thousand yuan/ton respectively [2]. Resource and Mining Rights - The company has significant mining rights, including the copper pit and peak mines, with substantial reserves of tin, antimony, lead, and zinc [2]. - The company is undergoing changes in mining rights, which have temporarily impacted profits due to costs associated with the transition [2]. Future Outlook - The company is expected to achieve net profits of 777 million yuan, 937 million yuan, and 1.128 billion yuan for the years 2024, 2025, and 2026 respectively, with corresponding PE ratios of 15, 12, and 10 times based on the closing price on October 31, 2024 [2][5].