YTL(SZ:000960) EBSCN·2024-11-05 04:10Investment Rating - The report maintains a "Buy" rating for the company, indicating a positive outlook for future performance [6]. Core Views - The company reported a revenue of 29.21 billion yuan for Q3 2024, a year-on-year decrease of 13.2%, while the net profit attributable to shareholders was 1.28 billion yuan, an increase of 17.2% year-on-year [1]. - The increase in net profit is attributed to a significant reduction in non-operating expenses in Q3 2024 compared to Q2 2024, where non-operating expenses were reduced from 250 million yuan to 10 million yuan [2]. - The average prices for copper, tin, and zinc showed slight fluctuations, with copper down 5.7% and tin down 1.1% in Q3 2024 [2]. - Production volumes for tin, copper, and zinc were affected by maintenance shutdowns, with tin production down 17% in Q3 2024 [2]. - Management expenses increased due to routine maintenance of tin smelting equipment, with sales, management, R&D, and financial expenses rising by 50%, 39%, 18%, and 10% respectively [3]. - The tin price is expected to remain high due to supply constraints, particularly following the suspension of mining in Myanmar, which accounted for approximately 18% of global tin production [3]. - The company has adjusted its profit forecasts for 2024-2026, expecting net profits of 1.75 billion, 2.22 billion, and 2.42 billion yuan respectively, reflecting a year-on-year growth of 24%, 27%, and 9% [3]. Financial Summary - For 2024, the company expects revenues to be 39.066 billion yuan, with a projected net profit of 1.747 billion yuan, reflecting a 24.02% increase [5]. - The company's P/E ratios for 2024, 2025, and 2026 are projected to be 15, 12, and 11 respectively, indicating a favorable valuation compared to historical performance [5]. - The report highlights that the company is a leader in the global tin industry, with potential for improved profitability as tin demand recovers [3].