Japanese: CMOC Group Limited(03993) Daiwa: CMOC Group Limited (03993) surpassed expectations for last year's recurring net profit; rated "Buy"

Daiwa Research has released a report stating that CMOC Group Limited (03993) has achieved profit growth, with an expected 47.8% to 53.7% increase in net profit in 2025, reaching 20 billion to 20.8 billion RMB (same below), and an expected 55.5% to 61.6% increase in recurring net profit, reaching 20.4 billion to 21.2 billion RMB, exceeding market expectations. The bank has now given it a "buy" rating. The bank estimates that, for the fourth quarter alone, CMOC Group Limited's net profit will range from 5.72 billion to 6.52 billion RMB, a year-on-year increase of 9% to 24%, and a quarter-on-quarter increase of 2% to 16%. The forecast for recurring net profit is 5.86 billion to 6.66 billion RMB, an increase of 28% to 46% year-on-year, and a quarter-on-quarter increase of 1% to 15%. Management attributes the strong performance to increases in output and prices, as well as effective cost control. In the fourth quarter of 2025, CMOC Group Limited's copper production was 198,000 tons, a year-on-year increase of 13.6%; cobalt production was 30,000 tons, a slight increase of 0.4%; actual production of all products last year exceeded the company's original guidance. The company also forecasts copper production targets for the full year of 2026 to be 760,000 to 820,000 tons, a year-on-year increase of 3% to 11%; cobalt production target is 100,000 to 120,000 tons, with a year-on-year change range of a decrease of 15% to an increase of 2%.