Zijin Mining Group (2899) Q2 2025 earnings summary

Executive summary

• Operating income for H1 2025 reached RMB167.71 billion, up 11.5% year-over-year, with net profit at RMB28.6 billion, a 55% increase year-over-year, and net profit attributable to owners at RMB23.29 billion, up 54.41%.

• Gross profit margin for mine-produced products rose to 60.23%, up 2.93 percentage points year-over-year, driven by higher metal prices and cost optimization.

• Major acquisitions included controlling stakes in Zangge Mining, Zijin Golden Ridge, and Akyem Gold Mine, and the spin-off of the overseas gold segment for a Hong Kong listing.

• The company completed a RMB1 billion share repurchase and distributed over RMB10 billion in cash dividends for 2024, with an interim dividend of RMB2.2 per 10 shares for H1 2025, totaling RMB5.85 billion.

• Major economic indicators and production volumes of key minerals reached record highs.

Financial highlights

• Operating income: RMB167.71 billion (+11.5% YoY); net profit: RMB28.6 billion (+55% YoY); net profit attributable to owners: RMB23.29 billion (+54.41% YoY).

• Net cash flows from operating activities: RMB28.83 billion (+41% YoY).

• Total assets: RMB439.74 billion (+10.88% from year start); net assets attributable to owners: RMB142.07 billion (+1.64%).

• Basic EPS: RMB0.877; diluted EPS: RMB0.860.

• Overall gross profit margin: 23.75% (+4.6pp YoY); mine-produced products gross margin: 60.23% (+2.93pp YoY).

Outlook and guidance

• Despite a downward revision in copper production guidance due to flooding at the Kamoa-Kakula mine, the company expects no material impact on annual copper output.

• The spin-off and listing of the overseas gold segment is expected to enhance valuation and support the 2028 gold output target of 100-110 tonnes.

• The company continues to focus on global resource allocation, technological innovation, ESG performance, and sustainable development.