Key Copper Companies Issued Good Earnings Reports for Third Quarter on Higher Copper Prices

SHANGHAI, Nov 4 (SMM) - Since the beginning of this year, the copper prices have continued to rise, reaching the highest level since May 2006 in May. The high copper prices have made relevant companies profitable.

Zijin Mining

Zijin Mining Group Co., Ltd. recently officially disclosed its 2021 third quarter performance report. In the first three quarters of 2021, total operating income at Zijin Mining stood at 168.976 billion yuan, a year-on-year increase of 29.55%. Net profit at the parent company stood at 11.302 billion yuan, a year-on-year increase of 147.19%. In the third quarter, the company achieved revenue of 59.112 billion yuan, an increase of 25% year-on-year and a decrease of 5.21% from the previous quarter. Net profit attributable to the parent company was 4.653 billion yuan, an increase of 116.34% year-on-year and 12.44% month-on-month.

The report shows that in the first three quarters of 2021, Zijin Mining’s comprehensive gross profit margin was 59.23% (47.27% in the same period last year), an increase of 11.96 percentage points year-on-year; the comprehensive gross profit margin for the first three quarters of 2021 was 14.78%, a year-on-year increase of 3.30 percentage points. Zijin Mining stated that the company fully grasped market opportunities and actively produced. The output and sales volume of major mineral products increased year-on-year, the price of mineral copper and zinc rose, and the cost of mineral copper decreased. The profitability of some joint ventures and associates increased year-on-year.

Tongling Nonferrous Metals

In the first three quarters, operating income income at Tongling Nonferrous Metals stood at 100.722 billion yuan, a year-on-year increase of 40.36%. Net profit in the first three quarters stood at 2.45 billion yuan, a year-on-year increase of 233.58%. In the third quarter of 2021, operating income income stood at 32.568 billion yuan, a year-on-year increase of 19.23%. Net profit stood at 1.129 billion yuan, a year-on-year increase of 214.65%. According to statistics, Tongling Nonferrous's net profit in the first three quarters has exceeded the total of the previous three years.

Tongling Nonferrous Metals stated that during the reporting period, the prices of main products such as cathode copper, sulphuric acid, and iron pellets rose sharply year-on-year. Copper foil processing fees continued to rise, and the profitability increased significantly year-on-year.

Yunnan Copper

Yunnan Copper released its report for the third quarter of 2021. From January to September, the company realised operating income of 93 billion yuan, a year-on-year increase of 41.32%. Net profit attributable to shareholders of listed companies of 521 million yuan, a year-on-year increase of 16.95%. The basic earnings per share was 0.31 yuan. Operating income in the third quarter was 33.677 billion yuan, a year-on-year increase of 32.09%. Net profit attributable to shareholders of listed companies was 269 million yuan, a year-on-year increase of 65.08%. 

Yunnan Copper said the growth in the operating income in the first three quarters was mainly due to the increase in production and sales of its products and the increase in product prices.  The company will continue to devote itself to good business management.

Jintian Copper

Jintian Copper announced that the third quarter revenue was 21.146 billion yuan, a year-on-year increase of 63.3%. The first three quarters revenue was 58.58 billion yuan, a year-on-year increase of 85.68%. The third quarter net profit was 169 million yuan, a year-on-year increase of 49.85%. Net profit in the first three quarters was 542 million yuan, a year-on-year increase of 50.47%. During the reporting period, the company's projects were put into production in an orderly manner. The production and sales increased, and copper prices rose at the same time.

Jiangxi Copper Corporation

Jiangxi Copper released its third-quarter results announcement, stating that in the third quarter, the company achieved operating income of approximately 110.462 billion yuan, a year-on-year increase of 37.57%. From the first quarter to the third quarter of 2021, the revenue totalled 337.257 billion yuan, a year-on-year increase of 48.39%. In the third quarter, net profit attributable to shareholders of listed companies was approximately 1.464 billion yuan, an increase of 85.94% year-on-year. From the first quarter to the third quarter of 2021, net profit attributable to shareholders of listed companies was 4.507 billion yuan, a year-on-year increase of 194.08%.

Jiangxi Copper said that the increase in operating income in the third quarter was mainly due to changes in the prices of main products.