Xizang Zhihui Mining (2546) H2 2025 earnings summary

Executive summary

• Revenue rose 104.4% YoY to RMB616.0m and profit for the year increased 168.3% to RMB150.0m, supported by longer operating time, higher feed grade and increased concentrate sales.

• Underground mining commenced in June 2025; the open-pit mine resumed normal operations, while the Phase 2 tailings pond project advanced.

• Listed on the Hong Kong Stock Exchange on 19 December 2025, raising HK$550.0m gross proceeds (about RMB498.7m).

Financial highlights

• Revenue RMB616.014m vs RMB301.434m in 2024; cost of sales rose 99.0% to RMB391.958m.

• Gross profit increased 114.4% to RMB224.056m; gross margin improved to 36.4% from 34.7%.

• Profit before tax was RMB168.102m vs RMB62.860m; profit attributable to owners was RMB150.041m vs RMB55.854m.

• Basic EPS was RMB0.41 vs RMB0.15; weighted-average shares increased to 370.197m from 362.095m.

• Other income declined 52.7% to RMB4.4m, mainly due to lower government grants; listing expenses rose to RMB4.2m from RMB0.4m.

Outlook and guidance

• Plans include continued investment in mining machinery, equipment and exploration to improve operating efficiency, safety and mineral reserves, and seeking acquisitions to diversify products.

• Favourable non-ferrous metal market conditions are expected to continue through 2026, supported by supply constraints from trade policies and geopolitical tensions.

• Phase 2 tailings pond construction is expected to complete in 2026, with operations targeted for 2027 after required inspections.