Investment Rating - The aviation industry is rated as "Overweight" [5] Core Views - The industry is expected to maintain a low supply growth rate, which could improve the supply-demand relationship and enhance airline profitability if demand recovers [1][4] - Despite weak ticket prices recently, the high passenger load factor indicates potential for revenue management improvements [1][4] - The report recommends continuous monitoring of peak season ticket prices and passenger load factors, with a positive outlook for major airlines [1][4] Summary by Sections Passenger Load Factor Performance - In June, the three major airlines maintained a high passenger load factor of 84.1%, up 1.8 percentage points year-on-year [2] - Spring Airlines experienced a slight decline in load factor to 92.1%, while Juneyao Airlines showed improvement with a load factor of 86.7% [3] Revenue and Profitability Outlook - The three major airlines forecasted a narrowing of net losses for Q2 2025, with Air China, China Eastern, and China Southern expected to report net losses of 0.94 billion, 4.05 billion, and 8.00 billion respectively, reflecting a year-on-year reduction of 78.0% [4] - The improvement in profitability is attributed to better revenue levels, with domestic ticket prices showing a smaller decline compared to previous quarters [4] Stock Recommendations - The report highlights several stocks with a "Buy" rating, including Air China (753 HK), China Eastern Airlines (670 HK), China Southern Airlines (1055 HK), and Spring Airlines (601021 CH) [8][21] - Target prices for these stocks are set at 6.90 HKD for Air China, 3.20 HKD for China Eastern, and 5.00 HKD for China Southern, among others [8][21]

Core Viewpoint - 吉祥航空 has faced multiple service quality issues, leading to public scrutiny and a decline in customer trust, which may impact its future performance and market position [2][12][16]. Group 1: Recent Incidents - On July 9, a flight from Guangzhou to Shanghai was delayed due to mechanical failure, prompting a cancellation for safety checks [4][5]. - Earlier in February,吉祥航空 was criticized for serving expired nuts to passengers, which led to significant public backlash and complaints about the handling of the situation [8][10][12]. - The airline has received over 4,700 complaints on the Black Cat Complaint platform, indicating ongoing service quality concerns [15]. Group 2: Financial Performance - In Q1, 吉祥航空 reported a revenue of 5.722 billion yuan, a slight increase of 0.05% year-on-year, but the net profit decreased by 7.87% to 345 million yuan [16]. Group 3: Background of the Company - 吉祥航空 is part of the均瑶集团, which was founded in the 1990s by Wang Junyao and has since expanded into various sectors including aviation, finance, and education [2][19]. - The company has four publicly listed subsidiaries and employs nearly 20,000 people, ranking 198th among China's top 500 service enterprises [19][20]. Group 4: Wealth of the Controlling Family - The wealth of the Wang Junjin family, the controlling entity of 吉祥航空, has decreased significantly from a peak of 35.24 billion yuan in 2022 to 20.95 billion yuan, a loss of 14.29 billion yuan [3][22].

Core Viewpoint - The recent mechanical failure of a flight from Guangzhou to Shanghai has raised concerns about the service quality of Juneyao Airlines, which has faced multiple service-related controversies in the past [2][4][14]. Group 1: Recent Incident - On July 9, Juneyao Airlines flight HO1860 from Guangzhou to Shanghai failed to take off due to an engine issue, leading to the cancellation of the flight and subsequent arrangements for affected passengers [4][18]. - The airline issued an apology and provided accommodations and compensation for the impacted travelers [4][18]. Group 2: Previous Controversies - In February, Juneyao Airlines was criticized for serving expired nuts to passengers on a flight from Urumqi to Shanghai, which led to significant public backlash [6][9]. - Passengers reported being required to sign a confidentiality agreement to receive compensation, which sparked further controversy regarding the airline's handling of the situation [9][13]. Group 3: Company Background - Juneyao Airlines is part of Juneyao Group, founded in the 1990s by Wang Junyao, and has grown into a modern service enterprise with multiple sectors including aviation, finance, and education [3][20]. - The group has four publicly listed companies and employs nearly 20,000 people, ranking 198th among China's top 500 service enterprises [20][21]. Group 4: Financial Performance - In the first quarter, Juneyao Airlines reported revenue of 57.22 billion yuan, a slight increase of 0.05% year-on-year, but the net profit decreased by 7.87% to 3.45 billion yuan [18][17]. Group 5: Wealth of Founders - Wang Junyao's family wealth was reported at 20.95 billion yuan, down from a peak of 35.24 billion yuan in 2022, indicating a significant decrease of 14.29 billion yuan [23].

证券代码：603885 证券简称：吉祥航空 公告编号：临 2025-051 上海吉祥航空股份有限公司 2025 年 6 月主要运营数据公告 本公司董事会及全体董事保证本公告内容不存在任何虚假记载、误导性陈 述或者重大遗漏，并对其内容的真实性、准确性和完整性承担法律责任。 2025 年 6 月，九元航空新增以下定期航线： 新增广州—临沂—大阪往返航线（每周 3 班） 新增广州—合肥—大阪往返航线（每周 4 班） 新增宁波—满洲里往返航线（每周 3 班） 新增无锡—海拉尔往返航线（每周 3 班） 上海吉祥航空股份有限公司（以下简称"吉祥航空"或"公司"）及所属子 公司九元航空有限公司（以下简称"九元航空"）2025 年 6 月份合并主要运营 数据： （一）运营情况 2025 年 6 月，公司客运运力投入（按可用座位公里计）同比上升 1.92%，其 中国内、国际和地区航线客运运力投入同比变动分别为-8.93%、46.92%和-33.98%； 旅客周转量（按收入客公里计）同比上升 4.00%，其中国内、国际和地区航线旅客 周转量同比变动分别为-7.25%、54.99%和-25.35%；客座率为 86.71%，同比上升 ...

Investment Rating - The investment rating for the transportation industry is "Positive" (maintained) [4] Core Views - The report highlights the need for the express delivery industry to shift towards high-quality development, as the State Post Bureau opposes "involution" competition and aims to improve service quality [4] - The express delivery sector is currently experiencing a decline in per-package revenue, with major companies like Zhongtong, Yuantong, Yunda, and Shentong showing year-on-year decreases in revenue per package [4] - Jitu's Southeast Asian market has seen significant growth, with a total package volume of 7.392 billion pieces in Q2 2025, a year-on-year increase of 23.5% [5] - The airline industry is expected to benefit from macroeconomic recovery, with long-term supply-demand trends indicating potential for growth [12] - The shipping sector is anticipated to improve due to OPEC+ production increases and the Federal Reserve's interest rate cuts, with specific recommendations for companies like China Merchants Energy and COSCO Shipping [12] Summary by Sections Express Delivery - The express delivery market is facing intense competition, with major players experiencing a decline in revenue per package [4] - The report suggests that regulatory changes could help improve the situation by reducing low-cost competition and enhancing the performance of leading companies [4][12] Airline Industry - The airline sector is characterized by long-term low supply growth, but demand is expected to benefit from macroeconomic recovery [12] - Key companies to watch include China National Aviation Holding, Southern Airlines, and HNA Group [12] Shipping and Ports - The report indicates a positive outlook for oil transportation due to OPEC+ production increases and potential interest rate cuts [12] - Recommendations include focusing on companies like China Merchants Energy and COSCO Shipping for their growth potential in the shipping market [12] Road and Rail - The report notes that the Daqin Railway experienced a year-on-year decrease in freight volume in June 2025, while overall logistics operations remain stable [11][12] - Companies like Zhongyuan Expressway and Sichuan Chengyu are highlighted for their growth potential due to infrastructure developments [12]

Investment Rating - The report maintains a positive outlook on the shipping sector, recommending companies such as China Shipbuilding, Sumec, and Yangtze River Shipbuilding [1][2]. Core Insights - The shipping assets are resonating with the commodity market, with signs of stabilization in ship prices. The report highlights the potential for left-side layout opportunities as the Chinese shipbuilding industry begins to outperform its Japanese and Korean counterparts [1][2]. - The report emphasizes the resilience of domestic demand in the express delivery sector, suggesting that leading companies may optimize their market share through pricing strategies [1][2]. - The aviation sector is expected to see a recovery in demand as supply chain constraints ease, with recommendations for airlines such as China Eastern Airlines and Spring Airlines [1][2]. Summary by Sections 1. Market Performance - The transportation index increased by 0.76%, underperforming the CSI 300 index by 0.05 percentage points. The raw material supply chain services saw the largest increase at 4.22%, while the railway transportation sector experienced a decline of 0.50% [3][10]. - The Baltic Dry Index (BDI) rose by 15.81% to 1,663 points, indicating strong performance across various vessel types [3][10]. 2. Shipping Sector Insights - VLCC rates increased by 10% to $26,813 per day, with Middle East routes rising by 16%. The report anticipates continued rate recovery due to increased cargo availability [1][2]. - The report notes that the Capesize vessel rates are rebounding, driven by strong demand for iron ore and coal, despite seasonal expectations [1][2]. 3. Express Delivery Sector - The express delivery industry is maintaining high growth rates, with recommendations for companies like SF Express and JD Logistics. The report suggests that the upcoming policies may optimize logistics costs, benefiting leading firms [1][2]. 4. Aviation Sector - The aviation market is entering a peak season, with limited supply growth and natural increases in passenger volume expected to support airline revenues. Recommendations include major airlines such as China Southern Airlines and Cathay Pacific [1][2]. 5. High Dividend Stocks - The report lists high dividend stocks in the transportation sector, including Bohai Ferry with a TTM dividend yield of 8.11% and Daqin Railway with a yield of 3.97% [21].

Core Viewpoint - The company issued a statement regarding the cancellation of flight HO1860 from Guangzhou to Shanghai due to a mechanical failure during the engine start phase, prioritizing passenger safety and providing necessary support to affected travelers [1][2]. Group 1 - The flight HO1860 was unable to take off on time due to a mechanical fault during the engine start phase, leading to a return to the terminal for troubleshooting [1][2]. - The company decided to cancel the flight for further inspection to ensure absolute safety [1]. - Affected passengers were provided with accommodation, compensation, and free rebooking to subsequent flights, with the company expressing apologies for the inconvenience caused [1].

Group 1 - The core issue reported involves the cancellation of flight HO1860 from Guangzhou to Shanghai due to a mechanical failure during the engine start phase, leading to a return to the terminal for troubleshooting [1] - The company has taken measures to ensure passenger safety by canceling the flight for further inspection and has arranged accommodations and compensation for affected passengers [1] - The company expressed apologies for the inconvenience caused to passengers and thanked them for their understanding and cooperation [1]

Core Viewpoint - The article discusses the incident involving Juneyao Airlines' flight HO1860, which was delayed due to a mechanical failure during the engine start phase, leading to the cancellation of the flight for safety checks [2] Summary by Sections Incident Description - On July 9, Juneyao Airlines' flight HO1860 from Guangzhou to Shanghai Pudong failed to take off on time due to a mechanical issue during the engine start phase [2] - The flight crew followed procedures and returned to the terminal for troubleshooting [2] Company Response - The company decided to cancel the flight to conduct further inspections for safety reasons [2] - Juneyao Airlines has arranged accommodations and compensation for affected passengers and offered free rescheduling to subsequent flights [2] - The company expressed apologies for the inconvenience caused to passengers and thanked them for their understanding and cooperation [2]

Group 1 - Morning Light Biological expects a net profit of 202.0 million to 232.0 million yuan for the first half of 2025, representing a year-on-year increase of 102.33% to 132.38% [1] - Northern Rare Earth anticipates a net profit of 900.0 million to 960.0 million yuan for the first half of 2025, with a significant year-on-year growth of 1882.54% to 2014.71% [1] - Youfa Group forecasts a net profit of 277.0 million to 307.0 million yuan for the first half of 2025, reflecting a year-on-year increase of 151.69% to 178.93% [1] Group 2 - Torch Electronics projects a net profit of approximately 247.0 million to 280.0 million yuan for the first half of 2025, indicating a year-on-year growth of 50.36% to 70.45% [3] - Zhiwei Intelligent expects a net profit of 91.98 million to 112.43 million yuan for the first half of 2025, with a year-on-year increase of 62.85% to 99.06% [4] - Youhao Group anticipates a net profit of 12.0 million yuan for the first half of 2025, representing a year-on-year growth of 51% [5] Group 3 - Nami Technology expects a net profit of 61.0 million to 73.0 million yuan for the first half of 2025, with a year-on-year increase of 35% to 62% [7] - Xinda Co. forecasts a net profit of 130.0 million to 150.0 million yuan for the first half of 2025, reflecting a substantial year-on-year growth of 2443.43% to 2834.73% [8] Group 4 - Shaanxi Coal Industry reported a coal production of 14.36 million tons in June, a year-on-year decrease of 5.07% [9] - Huanxu Electronics announced a consolidated revenue of 4.587 billion yuan in June, a year-on-year decline of 1.23% [10] Group 5 - Huadian International successfully issued 2.0 billion yuan in medium-term notes with a maturity of 3+N years and a coupon rate of 1.89% [20] - Zhongmin Energy reported a total power generation of 1.405 billion kilowatt-hours in the first half of 2025, a year-on-year decrease of 0.89% [20] Group 6 - Huaxia Biotech passed the FDA inspection with zero deficiencies, covering six major systems [21] - Ruikeda's application for convertible bond issuance has been accepted by the Shanghai Stock Exchange [22] Group 7 - Dafu Technology plans to invest no more than 100 million yuan in Anhui Yunta [42] - Tongda Co. won a bid for a project valued at 180.3 million yuan from the Southern Power Grid [46]