GOLDEN SUN SECURITIES·2024-05-01 06:05Investment Rating - The report maintains a "Buy" rating for the company [4][20]. Core Views - The company has demonstrated significant growth in Q1 2024, with revenue reaching 46.121 billion yuan, a year-on-year increase of 4.2%, and net profit attributable to shareholders soaring by 553.3% to 2.072 billion yuan [1]. - The successful ramp-up of the TFM mixed ore project has led to a substantial increase in copper and diamond production, with copper output up 122.9% year-on-year to approximately 147,000 tons [1]. - The company's operational model, combining mining and trading, enhances its resource attributes and positions it favorably in the global mineral resource market [1]. Summary by Sections Financial Performance - In Q1 2024, the company achieved a net profit of 2.072 billion yuan, a remarkable increase of 553.3% year-on-year, and a basic earnings per share of 0.10 yuan, up 566.7% [1]. - The company’s revenue for 2024 is projected to be 197.5 billion yuan, with net profit expected to reach 10.013 billion yuan, reflecting a P/E ratio of 19.4 [2][3]. Production Capacity - The TFM and KFM mines have both reached full production capacity, with TFM producing 450,000 tons of copper and 37,000 tons of diamonds annually [1]. - The company anticipates achieving a total copper production of approximately 560,000 tons and diamond production of about 71,000 tons for the year [1]. Market Dynamics - The report highlights a favorable supply-demand dynamic for copper, with supply growth slowing and demand remaining robust due to infrastructure and renewable energy projects in China [2]. - The anticipated upward movement in copper prices is expected to further solidify the company's profitability [2].