Citigroup: China Aluminum (02600) maintained a “buy” rating with slightly better profit than expected in the first half of the year

The Zhitong Finance App learned that Citibank released a research report that it is estimated that the net profit of China Aluminum (02600) for the second quarter was between 5.7 billion yuan and 6.7 billion yuan, up 61% to 89% year on year, and 3% to 21% quarterly. I believe it was mainly driven by rising free aluminum and alumina prices, maintaining China Aluminum's “buy” rating, with a target price of HK$17.08.

According to the China Aluminum Yingxi announcement, net profit for the first half of the year will be between 11.2 billion yuan and 12.2 billion yuan, up 58% to 73% year-on-year, equivalent to 51% to 55% of the market's full-year forecast, and 55% to 60% of the bank's full-year forecast, slightly better than expectations. Recurring net profit forecasts for the first half of the year reached RMB 11 billion to RMB 12 billion, an increase of 58% to 73% over the previous year. The company attributed strong net profit growth to stable operations and cost control.