HYMD(SH:600971) Minsheng Securities·2024-04-25 10:00Investment Rating - The report maintains a "Recommended" rating for the company [21][22]. Core Insights - The company's coal sales volume decreased year-on-year in Q1 2024, leading to a reduction in gross profit by 0.97 hundred million yuan, a decline of 9.98% [1]. - The company is accelerating its power business expansion, with significant projects underway that are expected to enhance profitability [2]. - The company has substantial potential for coal production expansion, with ongoing projects and acquisition rights for additional capacity [13]. Financial Forecasts - For 2024, the company is projected to achieve a revenue of 7,537 million yuan, a decrease of 7.2% from the previous year, with a net profit of 1,932 million yuan, down 19.4% [3][5]. - The earnings per share (EPS) for 2024 is estimated at 1.61 yuan, with a price-to-earnings (PE) ratio of 8 [21][23]. - The company's gross profit margin is expected to be 45.32% in 2024, reflecting a slight decline from the previous year [16][23]. Operational Performance - In Q1 2024, the company reported a coal production of 2.5442 million tons, a year-on-year increase of 15.07%, while the sales volume of commercial coal was 1.9171 million tons, a decrease of 2.71% year-on-year [20]. - The average selling price of coal was 1,017.15 yuan per ton, down 5.18% year-on-year but up 12.24% quarter-on-quarter [20]. - The company's asset-liability ratio at the end of Q1 2024 was 38.80%, a decrease from the previous year [1].