YTL(SZ:000960) Minsheng Securities·2025-08-27 12:11Investment Rating - The report maintains a "Recommended" rating for the company, indicating a positive outlook for its stock performance relative to the benchmark index [6]. Core Views - The company has significantly exceeded expectations in its non-recurring performance, with a net profit of approximately 1.062 billion yuan for the first half of 2025, representing a year-on-year growth of 32.76% [1]. - The company is a global leader in the tin and indium industries, benefiting from favorable resource endowments and expected increases in tin prices due to supply-demand imbalances [4]. Summary by Sections Financial Performance - In the first half of 2025, the company achieved a revenue of 21.093 billion yuan, a year-on-year increase of 12.35%, and a net profit attributable to shareholders of 1.062 billion yuan, up 32.76% year-on-year [1]. - For Q2 2025, the company reported a revenue of 11.365 billion yuan, a year-on-year increase of 9.53% and a quarter-on-quarter increase of 16.82% [1]. Production and Resource Management - The company maintained stable production levels, with a total output of non-ferrous metals reaching 181,300 tons in the first half of 2025, including 48,100 tons of tin and 69,800 tons of zinc [2]. - The company plans to enhance resource exploration and utilization, particularly in the Kafang mining area, to improve its resource security and sustainable development [2]. Market Conditions - Tin prices remained stable in Q2 2025, with the average closing price for tin futures at 263,300 yuan per ton, reflecting a slight increase [3]. - The report highlights a potential strengthening of tin prices due to slow recovery in Myanmar's production and increasing demand from the consumer electronics sector [4]. Profit Forecast - The company is projected to achieve net profits of 2.317 billion yuan, 2.645 billion yuan, and 2.754 billion yuan for the years 2025, 2026, and 2027, respectively, with corresponding price-to-earnings ratios of 14X, 12X, and 12X [5].