SD-GOLD(SH:600547) Guohai Securities·2025-04-20 12:37Investment Rating - The report assigns a "Buy" rating for the company, marking its first coverage [2][10]. Core Insights - The company has experienced a significant increase in both gold production and prices, leading to strong financial performance. The report highlights the successful production breakthroughs at various mines and the ongoing expansion projects that are expected to enhance future profitability [4][5][9]. - The company is actively pursuing resource acquisitions and internal exploration to bolster its resource base, which is projected to translate into economic advantages [7][8]. Financial Performance Summary - For Q1 2025, the company anticipates a net profit attributable to shareholders between 950 million to 1.13 billion yuan, representing a year-on-year increase of 35.74% to 61.45% [4]. - In 2024, the company reported a revenue of 82.518 billion yuan, up 39.21% year-on-year, and a net profit of 2.952 billion yuan, up 26.80% year-on-year [4][11]. - The average gold price in 2024 was 559.11 yuan per gram, a 24.15% increase year-on-year, while the company's sales price for gold was 553.17 yuan per gram, up 22.69% year-on-year [5]. Production and Cost Analysis - In 2024, the company produced 46.17 tons of gold, a 10.51% increase year-on-year, with sales of 45.24 tons, up 14.18% year-on-year. The company also increased its external gold purchases significantly [5]. - The production cost for gold was reported at 292.91 yuan per gram, reflecting a 27.14% increase year-on-year [5][6]. Resource Expansion and Projects - The company completed several acquisitions, including a 70% stake in Baotou Changtai Mining, adding over 16 tons of gold resources, and the acquisition of exploration rights for the Xiling Gold Mine, which contains 592.186 tons of gold resources [7][8]. - Key projects such as the Jiaoji Mining Area integration and the New Town Gold Mine integration are underway, with significant investments planned to enhance production capacity [9]. Future Earnings Forecast - The company is projected to achieve revenues of 104.674 billion yuan, 118.117 billion yuan, and 127.484 billion yuan for 2025, 2026, and 2027, respectively. Net profits are expected to be 5.703 billion yuan, 7.756 billion yuan, and 8.613 billion yuan for the same years [11][12].