Hanrui Cobalt: Net Profit Up Over 40% YoY Last Year, 20,000 mt High-Grade Nickel Matte Project Delayed by 10 Months

Benefiting from the simultaneous increase in both volume and price of copper products, Hanrui Cobalt (300618.SZ) saw its net profit rise 45.85% YoY last year. Meanwhile, the company's previously expected "20,000 mt/year high-grade nickel matte oxygen-enriched continuous smelting project" (hereinafter referred to as the "20,000 mt high-grade nickel matte project") has been delayed by approximately 10 months to March 2026.

Last night, Hanrui Cobalt announced that in 2024, the company achieved a record high revenue of 5.95 billion yuan, up 24.25% YoY. The net profit attributable to shareholders of the publicly listed firm was 202 million yuan, an increase of 45.85% YoY. The net profit after deducting non-recurring gains and losses was 231 million yuan, up 20.15% YoY.

Regarding the performance growth in 2024, the company stated that it was mainly due to the expansion of copper and cobalt capacity and the increase in production and sales.

Specifically, the company's production of copper products and cobalt products last year was 53,325.22 mt (metal content) and 16,169.17 mt (metal content), respectively, up 6.94% and 94.78% YoY. The inventory of copper products was 1,433.67 mt (metal content), down 64.70% YoY.

Among the key projects under construction, the company previously expected the 20,000 mt high-grade nickel matte project to commence production in May 2025, but it has now been delayed, with the project progress at 7% by the end of last year.

The company stated that due to multiple administrative approvals required for the construction project in Indonesia, the progress of obtaining the necessary permits for the 20,000 mt high-grade nickel matte project has fallen short of expectations. Additionally, the complex geological conditions at the project site have led to increased preparatory work, resulting in slower-than-expected implementation progress. Therefore, the date for the project to reach its intended usable state has been adjusted to March 31, 2026. The project is currently under construction and has not yet generated any revenue.

In fact, the company's 20,000 mt high-grade nickel matte project was transformed from the original "26,000 mt/year ternary cathode precursor project." After the change, the project is planned to be funded with 1.035 billion yuan from the previously raised capital. The project location has been moved from Ganzhou, Jiangxi Province to Central Sulawesi, Indonesia.