Luoyang Molybdenum 2025 Annual Report Review: Dual-currency Copper and Gold, Cross-cycle + High Elasticity Engine Accelerates | Tianfeng Metals Liu Yichang Team

MaticHoleFiller · 2026-04-11T19:55:33+00:00

The company reported revenue of 206.84 billion yuan and net profit of 20.339 billion yuan in 2025, representing a significant year-over-year increase. Copper production rose; it has also positioned itself in the gold segment to expand new profit growth drivers, while overall costs declined. It maintains a “Buy” rating and expects future earnings to improve, but risks such as geopolitical developments should be monitored.

MaticHoleFiller

2026-04-11 19:55:33

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(Source: Town Talk Metals and New Materials)

Company Review

Performance: Main products see both volume and price increases, leading to high profit growth

In 2025, the company achieved revenue of 206.68B yuan, a decrease of 2.98% year-over-year, mainly due to contraction in the trading segment revenue, down 4.39% YoY, while mining revenue grew steadily, up 19.08% YoY; net profit attributable to shareholders was 20.34B yuan, up 50.30% YoY, primarily benefiting from the simultaneous volume and price increases of main products in 2025 and effective control of operating costs.

Volume: Copper production increases, new gold sector layout.

Copper production: In 2025, copper output was 741.1k tons, up 13.99% YoY; cobalt output was 117.5k tons, up 2.96% YoY; molybdenum output was 13.9k tons, down 9.68% YoY; tungsten output was 7.1k tons, down 14.17% YoY; niobium output was 10.3k tons, up 3.23% YoY; phosphate fertilizer (HA+LA) production was 1.2135 million tons, up 2.80% YoY. The growth in copper production mainly benefited from the increased processing capacity and recovery rate improvement plans at TFM and KFM copper-cobalt mines.

Gold Sector Layout: In 2025, the company focused on gold resources as a key expansion direction, officially launching the gold business segment. In June, the company completed the acquisition of 100% equity of Ecuador’s Oden Mining, a world-class gold asset. Currently, the Oden Mining gold project is in the preparatory stage, with plans to start production by 2029; in December, the company acquired 100% rights to four operating gold mines in Brazil (Aurizona Gold Mine, RDM Gold Mine, and Bahia comprehensive mining area). The annualized gold production from these Brazilian mines is expected to be 6-8 tons in 2026, gradually making the gold segment a new growth driver for the company.

Cost: Operating costs decline at a faster rate than revenue

In 2025, the company’s operating costs were 157 million yuan, down 11.56% YoY, a larger decrease than the revenue decline of 2.98% YoY.

Expenses: Financial expenses decrease, management expenses increase

In 2025, financial expenses were 513 million yuan, down 82.19% YoY, mainly due to a YoY decrease in interest expenses and exchange losses; management expenses were 741.1k yuan, up 31.91% YoY.

Investment Recommendations: Copper and cobalt as stable foundations, gold as a protective moat

Steady growth in the copper segment: After expansion, TFM and KFM copper-cobalt mines are expected to reach 1 million tons in the long term, coupled with an upward shift in copper price expectations.
The cobalt segment remains profitable due to high cobalt prices.
Gold assets build a protective moat: The acquisition of 100% rights to four operating gold mines under Equinox Gold Corp. was completed in January 2026. In 2026, gold assets are expected to contribute profits.

We are optimistic about medium- and long-term prices for gold and copper, combined with company growth, which could continue to boost profits. Estimated net attributable profits for 2026/27/28 are 28.3/31.9/33.3 billion yuan (compared to 25.3/28.9 billion yuan in 2026/27 pre-valuation), corresponding to P/E ratios of 13/12/11x, maintaining a “Buy” rating.

Risk Tips: Geopolitical and political risks, exchange rate risks, market risks, liquidity risks, credit risks.

Tianfeng Metals Team Members

Note: The excerpted report is from Tianfeng Securities (Rights Protection) Research Institute’s publicly released research report. For detailed report content and related risk warnings, please see the full report.

Securities Research Report: “Luoyang Molybdenum 2025 Annual Report Review: Copper-Gold Dual Engine, Cross-Cycle + High Elasticity Accelerating”

Release Date: April 5, 2026

Reporting Agency: Tianfeng Securities Co., Ltd. (Licensed by the China Securities Regulatory Commission for securities investment consulting)

Author of this report:

Analyst: Liu Yiting Email: liuyiting@tfzq.com

SAC Practice Certificate Number: S1110523050001

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