Zijin Mining(SH:601899) EBSCN·2025-04-13 09:45Investment Rating - The report maintains an "Accumulate" rating for the company [6]. Core Views - The company achieved a record high net profit attributable to shareholders in Q1 2025, with revenue of 78.93 billion yuan, a year-on-year increase of 5.6%, and a net profit of 10.17 billion yuan, up 62.4% year-on-year [1][2]. - The increase in profits is attributed to rising prices and production of copper and gold, with Q1 2025 average spot prices for gold and copper at 2,881 USD/oz (up 38% year-on-year) and 9,420 USD/ton (up 10% year-on-year), respectively [2]. - The company plans to increase copper and gold production by 7.5% and 16.4% year-on-year in 2025, targeting 1.15 million tons of copper and 85 tons of gold [2]. Financial Performance - In Q1 2025, the company reported a net profit margin of 12.88%, with a year-on-year growth of 62% [13]. - The sales cost for gold was 251 yuan/g, up 12.6% year-on-year, while the sales cost for copper was 24,107 yuan/ton, up 7.6% year-on-year [2]. - The company’s projected net profits for 2025, 2026, and 2027 are 42.61 billion yuan, 50.76 billion yuan, and 58.44 billion yuan, respectively, reflecting year-on-year growth rates of 32.95%, 19.13%, and 15.11% [4][5]. Market Outlook - The report expresses optimism for continued price increases in copper and gold in 2025, driven by stable supply-demand dynamics and potential economic stimulus measures [3][4]. - The anticipated ongoing purchases of gold by central banks to hedge against risks associated with the US dollar and geopolitical uncertainties are expected to support gold prices [3].