YTL(000960) 民生证券·2024-08-26 12:32Investment Rating - The report maintains a "Recommended" rating for the company [2]. Core Views - The company is a global leader in the tin and indium industry, with excellent resource endowments and a competitive advantage across the entire industry chain from mining to deep processing [22]. - The company is expected to benefit from the steady recovery in electronic demand, driven by emerging sectors such as photovoltaics and new energy vehicles, alongside supply-side uncertainties due to resource depletion [22]. - The report forecasts the company's net profits for 2024-2026 to be 1.984 billion, 2.325 billion, and 2.424 billion yuan, respectively, with corresponding PE ratios of 12X, 10X, and 9X [5]. Financial Performance Summary - In H1 2024, the company achieved operating revenue of 18.775 billion yuan, a year-on-year decrease of 17.77%, while net profit attributable to the parent company was 800 million yuan, an increase of 16.35% [5][8]. - The company reported a significant increase in non-recurring net profit, which reached 998 million yuan, up 67.95% year-on-year [5]. - In Q2 2024, the company achieved operating revenue of 10.376 billion yuan, a quarter-on-quarter increase of 23.53% [5][10]. - The company's gross profit margin improved to 11.93% in H1 2024, up 4.35 percentage points year-on-year [10][18]. Production and Pricing Summary - The company produced a total of 185,200 tons of non-ferrous metals in H1 2024, a year-on-year increase of 5.65% [8][10]. - The average price of tin futures in Q2 2024 was 264,000 yuan per ton, an increase of 4,680 yuan per ton from the previous quarter [18]. - The company’s tin ingot revenue in H1 2024 was 7.495 billion yuan, a year-on-year increase of 51.63% [8]. Cost Management and Efficiency - The company's asset-liability ratio decreased from 48.08% in Q1 2024 to 45.10% in Q2 2024, indicating continuous improvement in asset structure [10][14]. - The company achieved a reduction in period expense ratio to 3.68% in Q2 2024, down 1.61% from the previous quarter [10][14]. Market Dynamics - The supply of tin from Myanmar and Indonesia has been disrupted, leading to a tight supply situation that is expected to persist [24]. - The global smartphone market has shown a continuous recovery, with shipments increasing by 12% year-on-year in Q2 2024, which is expected to drive demand for electronic products [26].