2021.09.01
■ CNBM reported net profit of Rmb8,087m in 1H21, up 25.0%.
■ High coal prices led to 15.7% lower cement blended gross profit per tonne.
■ But because of a surge in ASP, CNBM’s cement gross margin is expected to remain flat yoy in 2021.
■ Reiterate ADD with a TP of HK$14.74 (1.04x 2021F P/Bv). The stock is our top pick in the sector.
