Kings(603505)2024-11-04 07:23Investment Rating - The investment rating for the company is "Buy" and is maintained [5]. Core Views - The company reported a revenue of 1.83 billion yuan for the first three quarters of 2024, representing a year-on-year increase of 58.5%, with a net profit attributable to shareholders of 250 million yuan, up 1.7% year-on-year [2]. - In Q3, the company achieved a revenue of 710 million yuan, a year-on-year increase of 19.4% and a quarter-on-quarter increase of 6.0%. However, the net profit for Q3 was 80 million yuan, down 30.9% year-on-year and 22.7% quarter-on-quarter [2][3]. - The Q3 production of fluorite from the company's single mine was approximately 97,000 tons, a decrease of 37.4% year-on-year and 23.8% quarter-on-quarter, while sales were about 91,000 tons, down 33.3% year-on-year and 13.9% quarter-on-quarter [2][3]. Summary by Sections Financial Performance - The company’s Q3 gross margin was 22.6%, down 14.5% year-on-year and 7.8% quarter-on-quarter, while the net margin was 12.7%, down 10.6% year-on-year and 4.2% quarter-on-quarter [3]. - The company expects an increase in sales volume and a potential rise in fluorite prices in Q4, with a production plan of 120,000 tons of fluorite and 50,000 tons of anhydrous hydrofluoric acid [3][4]. Project Updates - The company has obtained a mining license for its project in Mongolia and is progressing with construction while conducting mining operations [4]. - The company anticipates a net profit attributable to shareholders of 390 million yuan, 660 million yuan, and 850 million yuan for the years 2024, 2025, and 2026, respectively [4].