Investment Rating - The report maintains an "Outperform" rating for China Hongqiao [6][5][16] Core Views - The company's mid-year performance for 2025 shows a significant increase in net profit by 35% year-on-year, driven by higher sales prices and increased sales volume of aluminum alloy and alumina products [6][5] - The acquisition of the remaining 25% stake in Yunnan Hongtai is expected to enhance the company's equity capacity by 484,000 tons, which could substantially increase net profit [6][5] - A new share buyback plan of at least HKD 3 billion reflects the company's confidence in its future performance [6][5] Financial Data and Profit Forecast - Revenue for 2023 is projected at RMB 133.624 billion, with a growth rate of 1%, and is expected to reach RMB 160.760 billion by 2025, reflecting a 2.9% increase [5][7] - Net profit attributable to shareholders is forecasted to grow from RMB 11.461 billion in 2023 to RMB 24.533 billion in 2025, representing a 9.7% increase [5][7] - Earnings per share are expected to rise from RMB 1.21 in 2023 to RMB 2.55 in 2025 [5][7] - The company's return on equity is projected to remain strong, with rates of 20.8% in 2025 [5][7]
中国宏桥（01378）：权益产能提升有望增利，新一轮回购彰显信心