Investment Rating - The investment rating for Huayou Cobalt (603799) is "Buy" (maintained) [1] Core Views - The company's performance in H1 2025 aligns with expectations, with revenue of 37.2 billion yuan, up 23.8% year-on-year, and a net profit of 2.71 billion yuan, up 62.3% year-on-year [7] - Nickel profits remain stable, with significant contributions from the nickel wet process projects, while cobalt prices are expected to rise, enhancing profit elasticity [7] - The company anticipates a net profit of 6 billion yuan in 2025, representing a 44% increase year-on-year, with a target price of 53 yuan based on a 15x PE ratio [7] Financial Performance Summary - Revenue for 2023 is projected at 66.304 billion yuan, with a year-on-year growth of 5.19% [1] - The net profit for 2023 is expected to be 3.351 billion yuan, reflecting a year-on-year decrease of 14.25% [1] - The latest diluted EPS is forecasted at 1.97 yuan per share for 2023, with a P/E ratio of 22.47 [1] Revenue and Profit Forecast - The company forecasts total revenue of 73.845 billion yuan for 2025, a year-on-year increase of 21.17% [1] - The projected net profit for 2025 is 6 billion yuan, with a year-on-year growth of 44.44% [1] - EPS is expected to reach 3.53 yuan in 2025, with a P/E ratio of 12.55 [1] Market Data - The closing price is 44.25 yuan, with a market capitalization of approximately 75.293 billion yuan [5] - The company has a price-to-book ratio of 2.00 and a debt-to-asset ratio of 64.69% [6] Production and Sales Insights - Nickel product shipments reached 139,000 tons in H1 2025, a year-on-year increase of 84% [7] - Cobalt product shipments are expected to be around 21,000 tons in 2025, with a projected average price increase contributing to profit growth [7] - The company aims for a significant increase in the sales of ternary cathode materials, targeting over 90% growth in 2025 [7]