China Resources cement (1313.HK) fell 8.02% to HK $3.21, with a total market capitalization of HK $22.4 billion. China Resources cement Holdings released its third-quarter results on the evening of the 21st. From January to September in 2022, the company realized turnover of about HK $24.196 billion, down 21.5% from the same period last year; the profit attributable to the owners of the company was HK $1.8375 billion, down 65.4% from the same period last year. In addition, the comprehensive gross profit margin for the period was 15.8%, a decrease of 14.5 percentage points from 30.3% in the same period last year. This is mainly due to the increase in production costs of cement products, the decline in the company's product sales and the reclassification of transportation costs from sales and distribution expenses of HK $836 million to the cost of sales.
CICC reported that it maintained the "outperform industry" rating of China Resources cement, but lowered the 2022max 23e home net profit forecast of 41.8 per cent to HK $27.1 / 3.6 billion due to adjustments to sales volume and ton profit assumptions, and the target price was reduced by 28 per cent to HK $4.62. implying 32.4% upside.
CICC reported that it maintained the "outperform industry" rating of China Resources cement, but lowered the 2022max 23e home net profit forecast of 41.8 per cent to HK $27.1 / 3.6 billion due to adjustments to sales volume and ton profit assumptions, and the target price was reduced by 28 per cent to HK $4.62. implying 32.4% upside.
