Core Viewpoint - China Hongqiao (01378) is a leading integrated player in the aluminum industry, benefiting from rising aluminum prices, with expected continuous profit elasticity release [1] Revenue Growth - Revenue growth is driven by the increase in prices and sales volume of electrolytic aluminum and alumina products [2] - In 2024, the company achieved revenues of 1024.3 billion yuan for electrolytic aluminum, 373.5 billion yuan for alumina, and 155.7 billion yuan for aluminum alloy processing, representing year-on-year growth of 8.2%, 40.6%, and 35.4% respectively [2] - Sales volumes for 2024 were 583.7 million tons for electrolytic aluminum, 1092.1 million tons for alumina, and 76.6 million tons for aluminum alloy processing, with year-on-year growth of 1.5%, 5.3%, and 32.1% respectively [2] - Average selling prices in 2024 were 17,549 yuan/ton for electrolytic aluminum, 3,403 yuan/ton for alumina, and 20,328 yuan/ton for aluminum alloy processing, reflecting increases of 6.6%, 33.6%, and 2.5% respectively [2] Profit Growth - Profit growth is attributed to the decrease in electrolytic aluminum production costs and the increase in alumina prices [3] - In 2024, the company achieved a gross profit of 270.1 billion yuan, an increase of 11.3% year-on-year [3] - The gross margins for electrolytic aluminum, alumina, and aluminum alloy processing were 24.6%, 35.4%, and 24.4% respectively, with year-on-year increases of 7.2%, 34.3%, and 10.2 percentage points [3] - The gross profit per ton for electrolytic aluminum, aluminum alloy processing, and alumina was 4,317 yuan, 1,212 yuan, and 4,959 yuan respectively, with year-on-year growth of 50.8%, 324.9%, and 76.0% [3] - The company maintained stable expense ratios, with sales, management, and financial expense ratios at 0.42%, 3.20%, and 1.15%, showing declines of 0.14, 0.50, and 1.20 percentage points year-on-year [3] Dividend Policy - The company has increased its dividend payout, with a total dividend of 1.61 Hong Kong dollars per share for 2024, including an interim dividend of 0.59 Hong Kong dollars per share [4] - The total cash dividend amounts to 14.07 billion yuan, representing 63% of the company's net profit attributable to shareholders for 2024, indicating an increase in the dividend payout ratio [4] - With the current stock price at 15.46 Hong Kong dollars, the dividend yield is as high as 10.4%, highlighting the value of high dividends [4] - Since 2025, the company has repurchased a total of 32.1975 million shares, accounting for 0.34% of the total share capital, reflecting management's confidence in the company's growth [4]
国联民生证券：中国宏桥(01378)分红率进一步提升 高股息价值凸显 维持“买入”评级