NANSHAN ALUMINIUM(SH:600219) Minsheng Securities·2025-03-26 02:41Investment Rating - The report maintains a "Recommended" rating for the company, with a current price of 3.92 CNY [7]. Core Views - The company reported a net profit attributable to shareholders of 4.83 billion CNY for 2024, representing a year-on-year increase of 39.03%. The non-recurring net profit was 4.91 billion CNY, up 80.77% year-on-year [1]. - The company expects significant growth from its Indonesian operations, with plans to invest 60.6 billion CNY in a 250,000-ton electrolytic aluminum project and 63.3 billion CNY for a 2 million-ton alumina capacity [4]. - The automotive sheet market is anticipated to grow rapidly, with the company being a leader in this segment, currently having a production capacity of 200,000 tons and plans for an additional 200,000 tons [4]. Summary by Sections Financial Performance - In Q4 2024, the company's net profit was 1.34 billion CNY, a slight increase of 0.59% year-on-year and 2.96% quarter-on-quarter. The non-recurring net profit for the same period was 1.50 billion CNY, up 134.50% year-on-year and 19.70% quarter-on-quarter [1][3]. - The company plans to distribute a cash dividend of 0.9 CNY per 10 shares, leading to a total dividend payout of 1.976 billion CNY for 2024, with a payout ratio of 40.92% [3]. Production and Pricing - The company achieved full production capacity of 680,000 tons of electrolytic aluminum domestically, with an expected production of 678,200 tons in 2024. The Indonesian alumina production is projected to reach 500,000 tons in Q4 2024 [2]. - The market prices for aluminum and alumina increased significantly in Q4 2024, with aluminum prices rising by 973 CNY/ton and alumina prices by 1,397 CNY/ton [2]. Future Projections - The company forecasts net profits of 4.96 billion CNY, 5.15 billion CNY, and 5.35 billion CNY for 2025, 2026, and 2027, respectively, with a consistent PE ratio of 9x during these years [4][6].