TIANSHAN ALUMINUM(002532) 华创证券·2024-10-27 17:07Investment Rating - The report maintains a "Recommend" rating for Tianshan Aluminum (002532) with a target price of 9.7 RMB, compared to the current price of 8.46 RMB [1] Core Views - Tianshan Aluminum's Q3 2024 performance met expectations, driven by rising alumina prices [1] - The company achieved revenue of 20.796 billion RMB in the first three quarters of 2024, a year-on-year decrease of 6.93%, but net profit attributable to shareholders increased by 88.36% to 3.084 billion RMB [1] - In Q3 2024, the company's revenue was 7.011 billion RMB, a year-on-year decrease of 7.12%, but net profit attributable to shareholders increased by 63.48% to 1.01 billion RMB [1] - The company focuses on shareholder returns, implementing both share repurchases and dividend distributions [1] Financial Performance - In Q3 2024, domestic aluminum ingot prices averaged 19,600 RMB/ton, up 3.8% year-on-year, while Guangxi alumina prices averaged 3,917 RMB/ton, up 37% year-on-year [1] - The company's operating income for the first three quarters of 2024 was 20.796 billion RMB, with a net profit attributable to shareholders of 3.084 billion RMB, a year-on-year increase of 88.36% [1] - The company's period expenses remained stable, with total expenses of 1 billion RMB in the first three quarters, a year-on-year decrease of 1.9% [1] Shareholder Returns - The company completed a share repurchase in July 2024, repurchasing 15.1553 million shares, accounting for 0.33% of the total shares [1] - The company proposed an interim dividend plan in October 2024, distributing 2 RMB per 10 shares, with a total cash dividend of 920 million RMB, accounting for 29.92% of the net profit attributable to shareholders for the first three quarters of 2024 [1] Industry and Market Performance - The aluminum industry is expected to benefit from tight alumina supply, which may improve in the future [1] - The company's market performance over the past 12 months shows a significant increase, with a 24% rise compared to the broader market [4]