[Headline announcement Nuggets]

Yuexiu Transport Infrastructure (01052): Annual profit of 765 million yuan, up 68.9% year-on-year, and key projects are progressing steadily

According to the Zhitong Finance App, Yuexiu Transport Infrastructure (01052) announced its 2023 results, with revenue of RMB 3,967 billion, up 20.6% year on year; profit attributable to shareholders was RMB 765 million, up 68.9% year on year; it will pay a final dividend of HK$0.15 per share on June 28.

Comment: Benefiting from the economically developed Pearl River Delta region, the average daily toll traffic and average daily toll revenue for most of the company's highways and bridge projects resumed year-on-year growth in 2023. The main operating indicators fully recovered, and net profit increased dramatically throughout the year. The dividend payout was strong. The company's total dividend for the full year of 2023 was HK$0.30 per share, and the annual dividend payout ratio was 59.8%. Highlights: 1) The new merger and acquisition project Lanwei Expressway brought new momentum to the company's development. In November 2022, the company successfully acquired Henan Lanwei Expressway from the incubation platform. After the transaction was completed, the charging mileage for the Group's holding project increased by 12.3% from 495.2 kilometers to about 556 kilometers. In 2023, Henan Lanwei Expressway brought the Group about 309 million yuan in revenue, accounting for 8.0% of total toll revenue. 2) The Guangzhou North Second Ring Expressway renovation and expansion project is progressing steadily. Its toll mileage is 42.5 kilometers. According to current estimates, the total investment amount for the renovation and expansion project is about 17 billion yuan, and it is expected to be completed and opened to traffic in 2028. In 2023, toll revenue for the Guangzhou North Second Ring Expressway was 1.14 billion yuan, an increase of 12.6% year-on-year. Through the renovation and expansion, it will increase the traffic capacity of Guangzhou's North Second Ring Road, extend the period of charging operations, and reap dividends for the company's development in the Greater Bay Area.

[Key Announcements Nuggets]

Zijin Mining (02899): Received approval and project approval from GIC Private Limited to increase its holdings in Julong Copper Mine Phase II

The Zhitong Finance App learned that according to the latest data from the Hong Kong Stock Exchange, GIC Private Limited increased its holdings of Zijin Mining (02,899) by 3.668 million shares on February 29, at a price of HK$126,983 per share, for a total amount of about HK$46,674 million. The company's subsidiary Julong Copper Phase II renovation and expansion project is expected to be completed and put into operation by the end of 2025. After delivery, the total annual ore volume of the first and second phase will be mined more than 100 million tons, and the annual mineral copper production will reach 300,000 tons to 350,000 tons. In 2023, Zijin Mining expects to achieve net profit attributable to shareholders of listed companies of about 21.1 billion yuan and net profit after deducting non-net profit of about 21.3 billion yuan. Compared with the same period last year, both have achieved growth.

Comment: GIC Private Limited's increase in Zijin Mining is a recognition of the company's confidence in future development prospects and intrinsic value. The completion and commissioning of Dragon Phase II, the continued expansion of production at the Kamoa-Kakura copper mine in the Democratic Republic of the Congo (DRC), and the development of large-scale underground copper mines at the Chukalu-Peji copper-gold mine and Boer copper mine in Serbia will continue to increase the company's copper sector production from the current high base. Subsequently, the Julong Copper Mine will further plan and implement the third phase of the project. It is expected to eventually achieve an annual ore volume of about 200 million tons, making it the largest single copper mine in the world. The company's net profit for the third and fourth quarter of 2023 was reversed, and the pre-profit of the four major products exceeded 20 billion dollars. The company's operating performance continues to grow, related to mergers and acquisitions. Zijin Mining continues to carry out mergers and acquisitions of resources such as gold, copper, and lithium, increasing production capacity. Recently, the company plans to participate in Solaris by 690 million yuan to increase its 15% share subscription, and the company became its second largest shareholder. Solaris's 100% owned Warintza porphyry copper project in Ecuador is its flagship asset. This means a further increase in the company's reserves. In 2023, the company acquired the Rosebel Gold Mine in Suriname and became the company's major producer in that year. A restart cooperation plan to acquire the Pogra gold mine in Papua New Guinea was implemented, and production resumed at the end of 2023. International gold prices have risen sharply in recent days, which is expected to continue to catalyze the company's stock price.

[List of important Hong Kong stock announcements]