Western Securities·2025-08-28 09:03Investment Rating - The report maintains a "Buy" rating for Zijin Mining [5] Core Views - Zijin Mining's revenue for H1 2025 reached 167.71 billion yuan, a year-on-year increase of 11.5%, with net profit attributable to shareholders at 23.29 billion yuan, up 54.4% year-on-year [1] - In Q2 2025, the company achieved revenue of 88.78 billion yuan, reflecting a year-on-year growth of 17.4% and a quarter-on-quarter increase of 12.5% [1] - The net profit for Q2 was 13.13 billion yuan, which is a 48.8% increase year-on-year and a 29.1% increase quarter-on-quarter [1] Summary by Sections Financial Performance - H1 2025 saw Zijin Mining produce 567,000 tons of copper and 41.2 tons of gold, representing year-on-year growth of 9% and 16% respectively [2] - Q2 gold production significantly increased to 22.1 tons, a quarter-on-quarter rise of approximately 16% [2] Strategic Developments - The company is actively acquiring quality mines and accelerating the progress of ongoing projects, which is a key driver for production growth [2] - In 2025, Zijin Mining completed the acquisition of the Akim gold mine in Ghana and signed an agreement for the Raygorodok gold mine in Kazakhstan, enhancing its strategic presence in West Africa and Central Asia [2] Market Outlook - The average spot price of copper in Q2 2025 was $9,524 per ton, a 2.0% increase quarter-on-quarter, while the average gold price was $3,282 per ounce, up 14.4% [3] - Expectations of interest rate cuts in September are anticipated to drive copper and gold prices upward [3] Earnings Forecast - EPS for 2025-2027 is projected to be 1.76, 1.89, and 2.08 yuan respectively, with corresponding PE ratios of 13, 12, and 11 [3][4]