Investment Rating - The investment rating for the company is maintained as "Buy" with a target price of HKD 3.40 [2][8]. Core Views - The company reported a revenue of HKD 2.1 billion for 1H25, a year-on-year decrease of 17%, primarily due to a 45% drop in the selling price of coking coal, although a 17.3% increase in raw coal production partially offset this decline [5][6]. - The net profit attributable to the parent company for 1H25 was HKD 404 million, down 51.7% year-on-year, aligning with the performance warning issued earlier [5][6]. - The company declared a dividend of HKD 0.06 per share for 1H25, down from HKD 0.09 in 1H24, with a payout ratio of 76% for 1H25 compared to 53% in 1H24 [5][6]. - The company expects production levels to stabilize in 2H25, with a focus on improving washing technology to counteract quality declines [6][7]. - The company has successfully reduced production costs by 27.6% year-on-year to HKD 328 per ton in 1H25, contributing to maintaining a low-cost advantage [7][8]. Financial Projections - Revenue projections for the company are as follows: HKD 5,057 million for 2024, HKD 4,358 million for 2025E, and HKD 4,607 million for 2026E [5][8]. - The net profit attributable to the parent company is projected to be HKD 1,494 million for 2024, HKD 1,047 million for 2025E, and HKD 1,191 million for 2026E [5][8]. - The company maintains a stable dividend expectation with a projected payout ratio of 80% from 2025 to 2035 [8]. Valuation Metrics - The company’s current market capitalization is HKD 14,102 million, with a closing price of HKD 2.77 as of August 28 [2][5]. - The price-to-earnings (PE) ratio is projected to be 9.20 for 2024 and 13.13 for 2025E, while the price-to-book (PB) ratio is expected to be 0.83 for 2024 and 0.80 for 2025E [5][8]. - The expected dividend yield is 11.01% for 2024, decreasing to 6.09% for 2025E [5][8].
首钢资源（00639）：优质资产+高效运营，红利价值凸显