Core Viewpoint - In a challenging market environment characterized by falling coal prices and increased volatility, the company has demonstrated resilience and stability in its mid-term performance, contributing to the high-quality development of the coal industry [1][2]. Group 1: Financial Performance - For the first half of 2025, the company's total revenue reached 2.51 billion RMB, remaining stable year-on-year, outperforming industry peers [2]. - The gross margin was approximately 46.9%, and the net margin was around 22.2%, indicating significant profit resilience [1]. - Despite a decline in profits due to falling coal prices, the company reported a pre-tax profit of 860 million RMB, a decrease of 41.5%, which is notably better than the industry average [2]. Group 2: Dividend Policy - The company has maintained a generous dividend policy, announcing an interim dividend of 0.05 HKD per share for the first half of 2025, with a payout ratio of 68.8% [3]. - Cumulatively, the company has distributed 3.71 billion HKD in dividends from 2022 to 2024, with payout ratios increasing to 69.7% in 2024 [3]. - The latest trailing twelve months (TTM) dividend yield is approximately 11.3%, suggesting that investors could recover their entire investment cost through dividends in 8-9 years [3]. Group 3: Growth Strategy - The company is pursuing a dual growth strategy by integrating coal mining projects in Ningxia and South Africa, aiming to expand its operational capacity [4]. - The Ningxia Yong'an coal mine has begun trial operations, with initial products gaining positive market reception due to their quality [4]. - The South African MC Mining project, which the company has increased its stake in, is expected to become a significant growth driver, with plans for production and operation to commence by the end of this year [4]. Group 4: Market Positioning - The company has positioned itself as a high-dividend stock within the coal sector, appealing to investors seeking stable returns amidst market volatility [3][5]. - The combination of high-quality resources, effective cost management, and robust cash flow has allowed the company to maintain profitability during industry downturns [5]. - The strategic focus on both defensive and growth-oriented initiatives makes the company an attractive long-term investment option for those seeking a balance of stability and growth potential [5].