DTCIC(601001) 华泰证券·2025-04-27 09:08Investment Rating - The report maintains a "Buy" rating for the company with a target price of RMB 18.22 [8][9]. Core Views - The company reported a slight decline in revenue and net profit for 2024, with total revenue at RMB 150.33 billion, down 2.01% year-on-year, and net profit at RMB 28.08 billion, down 14.93% year-on-year, which aligns with expectations [1]. - The first quarter of 2025 saw a significant drop in revenue and net profit, with revenue at RMB 24.24 billion, down 33.73% year-on-year, and net profit at RMB 5.12 billion, down 34.35% year-on-year, primarily due to falling coal prices [1]. - The company is focused on its core coal business and is expected to continue absorbing high-quality assets from the group, having initiated the acquisition of the Panjiayao coal mine, which has a planned annual capacity of 10 million tons [3]. - The company has implemented significant quality improvement and efficiency enhancement measures, resulting in a 0.5% decrease in operating costs and a 6.42 percentage point reduction in the debt-to-asset ratio to 28.89% in 2024 [4]. Summary by Sections Financial Performance - In 2024, coal business revenue was RMB 147.00 billion, down 1.46% year-on-year, with coal production at 34.67 million tons, down 0.06% year-on-year, and sales volume at 29.97 million tons, down 0.43% year-on-year [2]. - The average selling price of coal was RMB 491 per ton, down 1.48% year-on-year, reflecting stable pricing compared to the market average [2]. Profitability and Valuation - The report projects a downward adjustment in net profit forecasts for 2025 and 2026 to RMB 29.9 billion and RMB 34.5 billion, respectively, with an additional forecast for 2027 at RMB 36.9 billion [5]. - The company is characterized as a rare entity in the industry with both quality profitability and growth potential, supported by a rising dividend payout ratio, which reached 45% in 2024 [5].