Mark A. DeWeaver, PhD, CFA

Equity Bottom-Up

Jiangxi Copper Co Ltd H / Equity Bottom-Up

<p>First-half results for <a href="https://www.smartkarma.com/entities/15794" target="_blank" data-smartkarma-citation="entities:15794:1">Jiangxi Copper Co Ltd H (358 HK)</a> came out on Wednesday (August 30). Year-on-year increases of 8.7% and 8.0% in revenue and cost of sales, respectively, pushed the company’s gross margin up from 2.70% to 3.25%, resulting in a 31.0% jump in gross profit. Net profit under IFRS was up 30.4% to CNY 962.4 mn. (The interim report is available <a href="http://www.hkexnews.hk/listedco/listconews/SEHK/2017/0830/LTN20170830003.pdf" target="_blank">here</a>.)</p><p>As has been the case since 2014, the company’s bad debt problems had a significant impact on the bottom line. Impairment on trade…</p>

First-half results for Jiangxi Copper Co Ltd H (358 HK) came out on Wednesday (August 30). Year-on-year increases of 8.7% and 8.0% in revenue and cost of sales, respectively, pushed the company’s gross margin up from 2.70% to 3.25%, resulting in a 31.0% jump in gross profit. Net profit under IFRS was up 30.4% to CNY 962.4 mn. (The interim report is available here.)As has been the case since 2014, the company’s bad debt problems had a significant impact on the bottom line. Impairment on trade…

Jiangxi Copper Profit Jumps as Revenue Underwhelms