Tianqi Lithium (09696) opened more than 8% higher. As of the time of writing, the stock was up 8.33%, trading at HK$63.1 with a turnover of HK$22.6655 million.
On the evening of April 20, Tianqi Lithium issued a positive profit alert. The company expects to report a net profit attributable to shareholders of RMB 1.7 billion to RMB 2.0 billion for the first quarter, representing a year-on-year increase of 1,530.31% to 1,818.01%. It also anticipates a non-GAAP net profit of RMB 1.6 billion to RMB 1.96 billion, up 3,501.54% to 4,311.88% compared to the same period last year. Basic earnings per share are projected to be between RMB 1.01 and RMB 1.19, a significant rise from RMB 0.06 in the prior-year period.
Regarding the substantial increase in expected first-quarter revenue, Tianqi Lithium attributed the growth to multiple favorable factors, including the development of the new energy industry and stronger downstream demand. The average selling price of the company's primary lithium products saw a notable increase compared to the same period last year.
Additionally, the company's significant associate, SQM, is expected to report a sharp year-on-year rise in its first-quarter performance. Consequently, Tianqi Lithium recognized a substantially higher investment income from this associate during the reporting period compared to the first quarter of the previous year.
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