Core Viewpoint - The company, Leike Defense, announced that its wholly-owned subsidiary, Xi'an Hengda Microwave Technology Development Co., Ltd., plans to invest 300 million yuan in the construction of an intelligent manufacturing center for microwave equipment, which aligns with national and local government policies as well as the company's strategic development plan [1] Investment Details - The project will cover an area of 37.6 acres and have a total construction area of approximately 58,000 square meters [1] - The total investment represents 8.72% of the company's audited net assets as of the end of 2024 [1] - The investment does not constitute a major asset reorganization and does not require approval from the shareholders' meeting [1]

[Important Notice, Table of Contents, and Definitions](index=2&type=section&id=Section%20I%20Important%20Notice%2C%20Table%20of%20Contents%2C%20and%20Definitions) This section provides essential preliminary information, including the board's guarantee of report accuracy, the full table of contents, and definitions of key terms used throughout the report [Important Notice](index=2&type=section&id=Important%20Notice) The Board of Directors, Supervisory Board, and senior management guarantee the accuracy and completeness of the semi-annual report, stating no cash dividends, bonus shares, or capital reserve conversions, and detailing operational risks - The Board of Directors, Supervisory Board, and senior management guarantee the truthfulness, accuracy, and completeness of the semi-annual report[4](index=4&type=chunk) - The company plans not to distribute cash dividends, bonus shares, or convert capital reserves into share capital[5](index=5&type=chunk) - Operational risks are detailed in "Section III Management Discussion and Analysis, X. Risks Faced by the Company and Countermeasures"[4](index=4&type=chunk) [Table of Contents](index=3&type=section&id=Table%20of%20Contents) This section lists the complete report structure, covering nine main chapters from important notices to financial reports and other submitted data [Definitions](index=5&type=section&id=Definitions) This section provides definitions for common terms used in the report, including the company name, major subsidiaries, stock exchange, and reporting period Major Definitions | Term | Definition | | :--- | :--- | | Company, Listed Company, Raco Defense | Beijing Raco Defense Technology Co., Ltd. | | Raco Tech | Beijing Raco Tech Electronic Information Technology Co., Ltd., a wholly-owned subsidiary | | Qiwei Technology | Xi'an Qiwei Technology Co., Ltd., a wholly-owned subsidiary | | Aikete | Chengdu Aikete Technology Development Co., Ltd., a wholly-owned subsidiary | | Hengda Microwave | Xi'an Hengda Microwave Technology Development Co., Ltd., a wholly-owned subsidiary | | Raco Aerospace | Beijing Raco Aerospace Information Technology Co., Ltd., a wholly-owned subsidiary | | Yaoyun Technology | Yaoyun Technology (Xi'an) Co., Ltd., a controlled subsidiary | | Reporting Period | January 1, 2025 to June 30, 2025 | [Company Profile and Key Financial Indicators](index=6&type=section&id=Section%20II%20Company%20Profile%20and%20Key%20Financial%20Indicators) This section outlines the company's fundamental information, contact details, and a summary of its key accounting data and financial performance for the reporting period [Company Profile](index=6&type=section&id=I.%20Company%20Profile) This section introduces the company's basic information, including stock abbreviation, code, listing exchange, Chinese name, and legal representative Company Basic Information | Indicator | Content | | :--- | :--- | | Stock Abbreviation | Raco Defense | | Stock Code | 002413 | | Stock Exchange | Shenzhen Stock Exchange | | Company's Chinese Name | Beijing Raco Defense Technology Co., Ltd. | | Legal Representative | Gao Lining | [Contact Persons and Information](index=6&type=section&id=II.%20Contact%20Persons%20and%20Information) This section provides contact details for the company's Board Secretary and Securities Affairs Representative, including name, address, phone, fax, and email Contact Information | Position | Name | Address | Phone | Fax | Email | | :--- | :--- | :--- | :--- | :--- | :--- | | Board Secretary | Gao Lining | 6th Floor, Building 5, No. 2 Jiayuan, West 3rd Ring North Road, Haidian District, Beijing | 010-68916588 | 010-68916700-6759 | 002413@racodf.com | | Securities Affairs Representative | Lu Jianfeng | 6th Floor, Building 5, No. 2 Jiayuan, West 3rd Ring North Road, Haidian District, Beijing | 010-68916588 | 010-68916700-6759 | 002413@racodf.com | [Other Information](index=6&type=section&id=III.%20Other%20Information) The company's contact information, information disclosure, and document storage locations remained unchanged during the reporting period, with details available in the 2024 annual report - The company's registered address, office address, website, and email remained unchanged during the reporting period[15](index=15&type=chunk) - Information disclosure and document storage locations remained unchanged during the reporting period[16](index=16&type=chunk) [Key Accounting Data and Financial Indicators](index=7&type=section&id=IV.%20Key%20Accounting%20Data%20and%20Financial%20Indicators) The company's semi-annual operating revenue increased by 9.77% year-on-year, net profit attributable to shareholders reduced losses by 37.27%, but net cash flow from operating activities significantly decreased by 695.76% Key Accounting Data and Financial Indicators (Year-on-Year) | Indicator | Current Reporting Period (RMB) | Prior Year Period (RMB) | Year-on-Year Change | | :--- | :--- | :--- | | Operating Revenue | 541,751,584.05 | 493,520,769.13 | 9.77% | | Net Profit Attributable to Shareholders of Listed Company | -41,672,066.31 | -66,425,856.21 | 37.27% | | Net Profit Attributable to Shareholders of Listed Company (Excluding Non-Recurring Items) | -54,617,325.22 | -72,826,234.35 | 25.00% | | Net Cash Flow from Operating Activities | -115,948,186.69 | 19,462,124.51 | -695.76% | | Basic Earnings Per Share (RMB/share) | -0.03 | -0.05 | 40.00% | | Diluted Earnings Per Share (RMB/share) | -0.03 | -0.05 | 40.00% | | Weighted Average Return on Net Assets | -1.22% | -1.79% | 0.57% | Key Accounting Data and Financial Indicators (Period-End) | Indicator | Current Period End (RMB) | Prior Year End (RMB) | Change from Prior Year End | | :--- | :--- | :--- | | Total Assets | 4,821,490,586.06 | 4,943,580,696.69 | -2.47% | | Net Assets Attributable to Shareholders of Listed Company | 3,399,588,830.26 | 3,441,247,020.77 | -1.21% | [Differences in Accounting Data under Domestic and International Accounting Standards](index=7&type=section&id=V.%20Differences%20in%20Accounting%20Data%20under%20Domestic%20and%20International%20Accounting%20Standards) The company reported no differences in net profit and net assets between financial statements prepared under international or overseas accounting standards and Chinese accounting standards - The company reported no differences in net profit and net assets between financial statements prepared under International Accounting Standards and Chinese Accounting Standards during the reporting period[19](index=19&type=chunk) - The company reported no differences in net profit and net assets between financial statements prepared under overseas accounting standards and Chinese Accounting Standards during the reporting period[20](index=20&type=chunk) [Non-Recurring Gains and Losses and Amounts](index=7&type=section&id=VI.%20Non-Recurring%20Gains%20and%20Losses%20and%20Amounts) The company's total non-recurring gains and losses for the reporting period amounted to **RMB 12,945,258.91**, primarily from fair value changes in financial assets and government subsidies Non-Recurring Gains and Losses and Amounts | Item | Amount (RMB) | | :--- | :--- | | Gains or losses from disposal of non-current assets | -1,112,097.81 | | Government grants recognized in current profit or loss | 4,104,311.71 | | Gains or losses from changes in fair value of financial assets and liabilities, and disposal of financial assets and liabilities (excluding effective hedging activities related to normal business operations) | 9,311,161.17 | | Other non-operating income and expenses apart from the above | 45,338.93 | | Other non-recurring gains and losses as defined | 1,542,816.62 | | Less: Income tax impact | 716,246.47 | | Minority interest impact (after tax) | 230,025.24 | | Total | 12,945,258.91 | - The company has no other specific situations where items meet the definition of non-recurring gains and losses, nor does it classify non-recurring items as recurring gains and losses[23](index=23&type=chunk) [Management Discussion and Analysis](index=9&type=section&id=Section%20III%20Management%20Discussion%20and%20Analysis) This section analyzes the company's principal businesses, core competencies, financial performance, investment activities, and the risks and countermeasures implemented during the reporting period [Principal Businesses Engaged by the Company During the Reporting Period](index=9&type=section&id=I.%20Principal%20Businesses%20Engaged%20by%20the%20Company%20During%20the%20Reporting%20Period) In the first half of 2025, the company focused on military and civilian markets, pursuing digitalization and intelligentization for cost reduction and efficiency, and enhancing millimeter-wave technology capacity - The company focused on target market demands, actively stabilizing the military industry market while expanding into civilian markets, with continuous narrowing of losses[25](index=25&type=chunk) - During the reporting period, the company continued its digital and intelligent transformation, further reducing costs and increasing efficiency, while strengthening internal operational management for stable development[25](index=25&type=chunk) Key Operating Results for H1 2025 | Indicator | Amount (RMB) | Year-on-Year Change | | :--- | :--- | :--- | | Operating Revenue | 541,751,584.05 | 9.77% | | Net Profit Attributable to Parent Company Owners | -41,672,066.31 | Loss Reduction of 37.27% | [Radar System Business Group](index=9&type=section&id=1.%20Radar%20System%20Business%20Group) The Radar System Business Group transitioned from component supply to system solutions, expanding into civil aviation, transportation, automotive, and disaster management, achieving **RMB 181.40 million** in revenue - Business transformation: Gradually shifting from primarily radar key component supply to radar-centric systems and solutions[25](index=25&type=chunk) - Product expansion: Launched an integrated bird detection, deterrence, and management system for airport bird safety, expanding applications in civil aviation, transportation, automotive, and disaster sectors[25](index=25&type=chunk) - Core support: Promoted the application of domestic products like Shan Hai Smart Computing Modules and Yan Men Servers; radar signal simulation equipment won a national project bid; C919 aircraft airborne radar antenna passed CAAC review and secured overseas orders[26](index=26&type=chunk) Radar System Business Group Operating Revenue | Business Group | Operating Revenue (RMB) | | :--- | :--- | | Radar System Business Group | 181,398,946.55 | [Satellite Application Business Group](index=10&type=section&id=2.%20Satellite%20Application%20Business%20Group) The Satellite Application Business Group achieved breakthroughs in real-time on-board intelligent processing and remote sensing applications, securing over **RMB 30 million** in matrix product bids, with revenue of **RMB 113.35 million** - Technological breakthroughs: Achieved significant progress in on-board real-time intelligent processing technology, lightweight on-orbit intelligent computing platforms, and lightweight processing algorithms[28](index=28&type=chunk) - Market expansion: Successfully delivered over ten sets of satellite ground processing equipment, won major projects in remote sensing satellite data reception; large-scale matrix products secured cumulative contract value exceeding **RMB 30 million**[28](index=28&type=chunk)[29](index=29&type=chunk) Satellite Application Business Group Operating Revenue | Business Group | Operating Revenue (RMB) | | :--- | :--- | | Satellite Application Business Group | 113,349,288.32 | [Intelligent Control Business Group](index=10&type=section&id=3.%20Intelligent%20Control%20Business%20Group) The Intelligent Control Business Group focused on high-end, autonomous, and modular technologies, ensuring key task delivery and achieving significant progress in UAV and intelligent vehicle equipment, with revenue of **RMB 161.59 million** - Technology direction: Focused on high-end, autonomous, and modular technologies to provide critical support for intelligent equipment development[31](index=31&type=chunk) - UAV support: Successfully completed full system support for a certain type of UAV, with core products achieving large-scale application and multiple products entering mass production after type certification[31](index=31&type=chunk) - Intelligent vehicle equipment: Independently developed multiple high-performance vehicle domain controllers, achieving breakthroughs in general processing power and AI real-time inference capabilities, securing small batch orders[31](index=31&type=chunk) Intelligent Control Business Group Operating Revenue | Business Group | Operating Revenue (RMB) | | :--- | :--- | | Intelligent Control Business Group | 161,587,875.67 | [Secure Storage Business Group](index=11&type=section&id=4.%20Secure%20Storage%20Business%20Group) The Secure Storage Business Group achieved full-chain breakthroughs in solid-state modules, standardized storage, and storage chips, with civilian eMMC successfully adapting to domestic Yangtze Memory X4 particles, generating **RMB 70.72 million** in revenue - Technological innovation: Civilian eMMC completed critical technological iteration and upgrade, storage media successfully adapted from domestic Yangtze Memory X1 particles to X4 particles, significantly reducing costs[35](index=35&type=chunk) - Product expansion: Wide-temperature 128GB large-capacity eMMC completed design and development and entered mass production; BGA SSD product line launched industrial-grade products[35](index=35&type=chunk) - Strategic transformation: Recorder business achieved a strategic transformation from single hardware manufacturing to a comprehensive "hardware + platform + service" technology empowerment model[35](index=35&type=chunk) Secure Storage Business Group Operating Revenue | Business Group | Operating Revenue (RMB) | | :--- | :--- | | Secure Storage Business Group | 70,715,543.18 | [Intelligent Connected Vehicle Business Group](index=11&type=section&id=5.%20Intelligent%20Connected%20Vehicle%20Business%20Group) The Intelligent Connected Vehicle Business Group focused on simulation testing, collaborating with industry leaders on millimeter-wave radar testing and developing wireless sensing testers, achieving **RMB 7.00 million** in revenue - Core technology: Focused on millimeter-wave radar testing and satellite navigation terminal testing core technologies, supporting vehicle intelligent driving system verification and V2X vehicle-road-cloud integration verification[38](index=38&type=chunk) - Industry collaboration and standards: Collaborated with industry leaders like Huawei and BYD; assisted in formulating the industry standard "Traffic Information Collection - Millimeter-Wave Radar Traffic State Detector"[38](index=38&type=chunk) - Integrated sensing and communication: Independently developed a wireless sensing tester, obtained technical authorization from China Mobile, and participated in compiling the "5G-A Integrated Sensing and Communication Evaluation Method White Paper," solidifying market position[39](index=39&type=chunk) Intelligent Connected Vehicle Business Group Operating Revenue | Business Group | Operating Revenue (RMB) | | :--- | :--- | | Intelligent Connected Vehicle Business Group | 6,998,418.22 | [Analysis of Core Competencies](index=12&type=section&id=II.%20Analysis%20of%20Core%20Competencies) The company's core competencies include independent intellectual property, a talented workforce, leading technology, innovation, chip R&D, resource integration, comprehensive industry qualifications, and industry-university-research collaboration - Independent intellectual property: Possesses fully independent intellectual property rights covering radar systems, intelligent control, satellite applications, secure storage, and intelligent connected vehicles, with **618 authorized patents and software copyrights** at the end of the reporting period[41](index=41&type=chunk) - Talent team: Adheres to a "highly educated, specialized, young, and sustainable" talent development strategy, attracting outstanding talents including State Council special allowance experts and Beijing Science and Technology Award outstanding young professionals[43](index=43&type=chunk) - Technological advantages: Mastered multiple core technologies such as multi-source remote sensing information processing algorithms, independent high-performance processing chips, and new-generation radar systems, with many technological achievements reaching domestic and even international advanced levels, and awarded the National Science and Technology Progress Second Prize[44](index=44&type=chunk) - Innovation capability: Subsidiaries Raco Tech, Qiwei Technology, Aikete, Hengda Microwave, and Leizhi Digital System Technology (Xi'an) Co., Ltd. are all national-level "Little Giant" enterprises specializing in niche sectors[45](index=45&type=chunk) - Chip R&D: Possesses a professional chip R&D team, having completed on-board optical remote sensing image processing chips, on-board integrated SAR imaging processing chips, and SSD secure storage control chips, enhancing the core competitiveness of complete machine products[46](index=46&type=chunk) - Industry qualifications: Holds complete defense industry access qualifications, software enterprise certification, high-tech enterprise certification, and CMMI Level 3 software development certification[48](index=48&type=chunk)[49](index=49&type=chunk) - Industry-university-research integration: Deeply collaborates with universities such as Beijing Institute of Technology and Xidian University to accelerate the industrialization of scientific research achievements[50](index=50&type=chunk) [Analysis of Principal Business](index=14&type=section&id=III.%20Analysis%20of%20Principal%20Business) The company's H1 2025 operating revenue increased by 9.77%, with computer, communication, and other electronic equipment manufacturing accounting for 98.58%; radar system revenue decreased by 13.73%, while satellite application and intelligent control revenues grew by 28.78% and 41.98% respectively Year-on-Year Changes in Key Financial Data | Indicator | Current Reporting Period (RMB) | Prior Year Period (RMB) | Year-on-Year Change | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 541,751,584.05 | 493,520,769.13 | 9.77% | - | | Operating Cost | 344,396,228.76 | 328,441,125.66 | 4.86% | - | | Selling Expenses | 30,451,487.37 | 27,028,568.44 | 12.66% | - | | Administrative Expenses | 89,454,516.53 | 96,863,483.75 | -7.65% | - | | R&D Investment | 78,803,847.31 | 97,674,936.70 | -19.32% | - | | Net Cash Flow from Operating Activities | -115,948,186.69 | 19,462,124.51 | -695.76% | Primarily due to increased revenue and increased procurement for inventory in the current period | | Net Cash Flow from Investing Activities | -117,006,336.21 | -45,249,452.30 | -158.58% | Primarily due to unredeemed wealth management products purchased in the current period | | Net Cash Flow from Financing Activities | -34,552,340.77 | -194,936,127.92 | 82.28% | Primarily due to repayment of large bank loans in the same period last year | Operating Revenue Composition (by Product) | Product | Current Reporting Period Amount (RMB) | Proportion of Operating Revenue | Prior Year Period Amount (RMB) | Proportion of Operating Revenue | Year-on-Year Change | | :--- | :--- | :--- | :--- | :--- | :--- | | Radar Systems | 181,398,946.55 | 33.48% | 210,262,721.56 | 42.60% | -13.73% | | Satellite Applications | 113,349,288.32 | 20.92% | 88,015,384.04 | 17.83% | 28.78% | | Intelligent Control | 161,587,875.67 | 29.83% | 113,807,829.47 | 23.06% | 41.98% | | Secure Storage | 70,715,543.18 | 13.05% | 64,076,713.89 | 12.98% | 10.36% | | Intelligent Connected Vehicles | 6,998,418.22 | 1.29% | 8,748,152.06 | 1.77% | -20.00% | Gross Profit Margin for Products Accounting for Over 10% of Operating Revenue | Product | Operating Revenue (RMB) | Operating Cost (RMB) | Gross Profit Margin | Year-on-Year Change in Operating Revenue | Year-on-Year Change in Operating Cost | Year-on-Year Change in Gross Profit Margin | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Radar Systems | 181,398,946.55 | 139,118,106.22 | 23.31% | -13.73% | -15.12% | 1.26% | | Satellite Applications | 113,349,288.32 | 73,997,472.45 | 34.72% | 28.78% | 22.64% | 3.27% | | Intelligent Control | 161,587,875.67 | 87,852,873.64 | 45.63% | 41.98% | 58.63% | -5.71% | | Secure Storage | 70,715,543.18 | 30,758,350.11 | 56.50% | 10.36% | -15.29% | 13.17% | [Analysis of Non-Principal Business](index=15&type=section&id=IV.%20Analysis%20of%20Non-Principal%20Business) Non-principal businesses significantly impacted total profit, with credit impairment losses accounting for **52.92%**, primarily due to bad debt provisions for accounts receivable and other receivables Impact of Non-Principal Businesses on Total Profit | Item | Amount (RMB) | Proportion of Total Profit | Explanation of Formation | Sustainability | | :--- | :--- | :--- | :--- | :--- | | Investment Income | -5,591,998.08 | 20.29% | Primarily gains and losses from long-term equity investments accounted for using the equity method and transactional financial assets held | Yes | | Gains and Losses from Changes in Fair Value | 6,088,887.00 | 22.09% | Primarily gains and losses from changes in fair value of transactional financial assets (securities investments) | Yes | | Asset Impairment | -9,455,996.49 | 34.31% | Primarily inventory write-downs | No | | Other Income | 5,647,128.33 | 20.49% | Primarily government grants | Yes | | Credit Impairment Losses | -14,584,768.88 | 52.92% | Primarily provisions for bad debts on accounts receivable and other receivables in the current period | Yes | [Analysis of Assets and Liabilities](index=16&type=section&id=V.%20Analysis%20of%20Assets%20and%20Liabilities) At the end of the reporting period, both total assets and net assets attributable to shareholders decreased, with cash and cash equivalents down by **5.29%**, while accounts receivable and inventory proportions increased Significant Changes in Asset Composition | Item | Current Period End Amount (RMB) | Proportion of Total Assets | Prior Year End Amount (RMB) | Proportion of Total Assets | Change in Proportion | | :--- | :--- | :--- | :--- | :--- | :--- | | Cash and Cash Equivalents | 329,852,550.01 | 6.84% | 599,785,715.47 | 12.13% | -5.29% | | Accounts Receivable | 1,152,308,357.61 | 23.90% | 1,034,561,938.11 | 20.93% | 2.97% | | Inventory | 946,675,969.13 | 19.63% | 831,624,947.23 | 16.82% | 2.81% | | Total Assets | 4,821,490,586.06 | - | 4,943,580,696.69 | - | -2.47% | | Net Assets Attributable to Shareholders of Listed Company | 3,399,588,830.26 | - | 3,441,247,020.77 | - | -1.21% | Assets and Liabilities Measured at Fair Value | Item | Beginning Balance (RMB) | Fair Value Change Gains/Losses for Current Period (RMB) | Amount Purchased in Current Period (RMB) | Amount Sold in Current Period (RMB) | Ending Balance (RMB) | | :--- | :--- | :--- | :--- | :--- | :--- | | Transactional Financial Assets | 75,274,348.72 | 6,088,887.00 | 418,051,333.00 | 328,256,756.00 | 170,914,406.25 | | Other Equity Instrument Investments | 286,837,131.06 | - | - | 162,041.93 | 286,675,089.13 | | Subtotal Financial Assets | 372,111,479.78 | 6,088,887.00 | 418,051,333.00 | 328,418,797.93 | 467,589,495.38 | - Details of restricted asset rights at the end of the reporting period are provided in the financial report notes[63](index=63&type=chunk) [Analysis of Investment Status](index=17&type=section&id=VI.%20Analysis%20of%20Investment%20Status) The company had no significant equity or non-equity investments during the reporting period; securities investments primarily involved Huafeng Shares, with a fair value change gain of **RMB 6.09 million** Securities Investment Status | Security Abbreviation | Accounting Measurement Model | Beginning Book Value (RMB) | Fair Value Change Gains/Losses for Current Period (RMB) | Amount Purchased in Current Period (RMB) | Amount Sold in Current Period (RMB) | Ending Book Value (RMB) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Huafeng Shares | Fair Value Measurement | 38,506,536.00 | 6,088,887.00 | 24,551,333.00 | 23,756,756.00 | 45,390,000.00 | - The company had no derivative investments during the reporting period[66](index=66&type=chunk) - The company had no use of raised funds during the reporting period[67](index=67&type=chunk) [Significant Asset and Equity Disposals](index=18&type=section&id=VII.%20Significant%20Asset%20and%20Equity%20Disposals) The company did not engage in any significant asset or equity disposals during the reporting period - The company did not dispose of significant assets during the reporting period[68](index=68&type=chunk) - The company did not dispose of significant equity during the reporting period[69](index=69&type=chunk) [Analysis of Major Holding and Participating Companies](index=18&type=section&id=VIII.%20Analysis%20of%20Major%20Holding%20and%20Participating%20Companies) This section lists financial data for major subsidiaries and associates significantly impacting net profit, with Xi'an Qiwei Technology Co., Ltd. reporting the highest net profit of **RMB 47.94 million** Major Subsidiaries and Associates with Over 10% Impact on Company's Net Profit | Company Name | Principal Business | Registered Capital (RMB) | Total Assets (RMB) | Net Assets (RMB) | Operating Revenue (RMB) | Operating Profit (RMB) | Net Profit (RMB) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Beijing Raco Tech Electronic Information Technology Co., Ltd. | Radar systems, aerospace remote sensing, satellite navigation, digital systems, simulation, etc. | 377,900,000.00 | 2,136,499,594.51 | 933,594,209.07 | 148,993,947.93 | -77,368,093.00 | -87,457,209.64 | | Beijing Raco Aerospace Information Technology Co., Ltd. | R&D and innovation in new radar systems, satellite navigation, integrated circuits, etc. | 75,000,000.00 | 188,263,292.83 | 78,675,680.51 | 23,147,002.82 | 7,896,801.35 | 8,085,375.75 | | Xi'an Qiwei Technology Co., Ltd. | R&D, production, sales, and service of military embedded computers and solid-state storage devices. | 276,000,000.00 | 1,119,710,902.93 | 760,516,539.29 | 238,506,710.07 | 47,796,866.35 | 47,939,873.49 | | Chengdu Aikete Technology Development Co., Ltd. | R&D, design, production, and service of microwave radio frequency technology, equipment, and systems. | 50,000,000.00 | 514,567,552.12 | 394,898,139.16 | 75,760,146.82 | 11,707,068.78 | 10,451,018.84 | | Xi'an Hengda Microwave Technology Development Co., Ltd. | Design, development, and production of microwave antennas, active and passive microwave components, and microwave systems. | 62,800,000.00 | 452,492,276.26 | 393,861,536.65 | 76,417,421.96 | 5,327,734.92 | 5,895,965.45 | | Yaoyun Technology (Xi'an) Co., Ltd. | Independent storage control chips, solid-state drives, general storage equipment, reinforced storage equipment, dedicated recording equipment, dedicated data system solutions, etc. | 81,966,100.00 | 337,001,340.44 | 248,642,057.93 | 70,575,756.77 | 21,841,235.51 | 22,118,168.48 | - The company did not acquire or dispose of any subsidiaries during the reporting period[71](index=71&type=chunk) [Structured Entities Controlled by the Company](index=19&type=section&id=IX.%20Structured%20Entities%20Controlled%20by%20the%20Company) The company did not control any structured entities during the reporting period - The company did not control any structured entities during the reporting period[72](index=72&type=chunk) [Risks Faced by the Company and Countermeasures](index=19&type=section&id=X.%20Risks%20Faced%20by%20the%20Company%20and%20Countermeasures) The company faces multiple risks including industry policy, competition, operational management, business integration, personnel turnover, and international environment, addressed through R&D, supply chain, and internal management - Industry policy and competition risks: Changes in military industry policies, pricing rules, and tax policies may lead to product price declines and lower gross profit margins; project-based physical bidding models may increase R&D expenses. Countermeasures: Continuous investment in core technology R&D, enhancing product market competitiveness, strengthening supply chain management, and reducing costs[72](index=72&type=chunk) - Operational management risks: Mergers and acquisitions pose challenges to strategic planning, organizational structure, and operating models. Countermeasures: Timely adjustment of management structure and improvement of internal management systems and processes[74](index=74&type=chunk) - Business integration risks: Differences in corporate culture, organizational models, and management systems after mergers and acquisitions may affect synergy. Countermeasures: Strive to achieve maximum integration in corporate culture, team management, technology R&D, sales channels, and customer resources[75](index=75&type=chunk) - Personnel turnover risks: Technology-intensive enterprises face fierce talent competition and the risk of losing core technical personnel. Countermeasures: Develop a scientific performance evaluation system, improve multi-faceted incentive mechanisms, and enhance employees' sense of achievement and belonging[76](index=76&type=chunk) - International environment risks: International situations may affect the supply chain, potentially leading to increased prices for raw materials and chips. Countermeasures: Collaborate with excellent domestic suppliers, strengthen domestic substitution, and enhance self-reliance and control capabilities[77](index=77&type=chunk) [Implementation of Market Value Management System and Valuation Enhancement Plan](index=20&type=section&id=XI.%20Implementation%20of%20Market%20Value%20Management%20System%20and%20Valuation%20Enhancement%20Plan) The company has not disclosed any market value management system or valuation enhancement plan - The company has not established a market value management system[78](index=78&type=chunk) - The company has not disclosed a valuation enhancement plan[78](index=78&type=chunk) [Implementation of "Quality and Return Dual Enhancement" Action Plan](index=20&type=section&id=XII.%20Implementation%20of%20%22Quality%20and%20Return%20Dual%20Enhancement%22%20Action%20Plan) The company has not disclosed any announcement regarding the "Quality and Return Dual Enhancement" action plan - The company has not disclosed any announcement regarding the "Quality and Return Dual Enhancement" action plan[78](index=78&type=chunk) [Corporate Governance, Environment, and Society](index=21&type=section&id=Section%20IV%20Corporate%20Governance%2C%20Environment%2C%20and%20Society) This section covers changes in governance, profit distribution, employee incentives, environmental disclosures, and the company's commitment to social responsibility [Changes in Directors, Supervisors, and Senior Management](index=21&type=section&id=I.%20Changes%20in%20Directors%2C%20Supervisors%2C%20and%20Senior%20Management) There were no changes in the company's directors, supervisors, and senior management during the reporting period, with details available in the 2024 annual report - There were no changes in the company's directors, supervisors, and senior management during the reporting period[80](index=80&type=chunk) [Profit Distribution and Capital Reserve Conversion to Share Capital in Current Reporting Period](index=21&type=section&id=II.%20Profit%20Distribution%20and%20Capital%20Reserve%20Conversion%20to%20Share%20Capital%20in%20Current%20Reporting%20Period) The company plans not to distribute cash dividends, bonus shares, or convert capital reserves into share capital for the semi-annual period - The company plans not to distribute cash dividends, bonus shares, or convert capital reserves into share capital for the semi-annual period[81](index=81&type=chunk) [Implementation of Equity Incentive Plans, Employee Stock Ownership Plans, or Other Employee Incentive Measures](index=21&type=section&id=III.%20Implementation%20of%20Equity%20Incentive%20Plans%2C%20Employee%20Stock%20Ownership%20Plans%2C%20or%20Other%20Employee%20Incentive%20Measures) The company had no equity incentive plans, employee stock ownership plans, or other employee incentive measures in place during the reporting period - The company had no equity incentive plans, employee stock ownership plans, or other employee incentive measures in place during the reporting period[82](index=82&type=chunk) [Environmental Information Disclosure](index=21&type=section&id=IV.%20Environmental%20Information%20Disclosure) The listed company and its major subsidiaries are not included in the list of enterprises required to disclose environmental information by law - The listed company and its major subsidiaries are not included in the list of enterprises required to disclose environmental information by law[83](index=83&type=chunk) [Social Responsibility](index=21&type=section&id=V.%20Social%20Responsibility) The company actively fulfilled its social responsibilities during the reporting period by ensuring shareholder and creditor rights, protecting employee welfare, and maintaining integrity with suppliers, customers, and consumers - Shareholder and creditor rights protection: Strictly fulfilled information disclosure obligations and engaged in online communication with investors through various channels such as online performance briefings, investor calls, and the SZSE "Interactive Easy" platform[83](index=83&type=chunk) - Employee rights protection: Strictly complied with the "Labor Law" and "Labor Contract Law," paid social insurance contributions, provided supplementary medical insurance and personal accident insurance, and cared for employees through paid annual leave, regular health check-ups, and birthday benefits[83](index=83&type=chunk) - Supplier, customer, and consumer rights protection: Adhered to honesty, trustworthiness, and standardized operations, established win-win relationships with suppliers and customers, and fully respected and protected their legitimate rights and interests[84](index=84&type=chunk) [Significant Matters](index=22&type=section&id=Section%20V%20Significant%20Matters) This section details the fulfillment of commitments, absence of irregular financial activities, and status of litigation, penalties, related party transactions, and significant contracts [Fulfillment of Commitments](index=22&type=section&id=I.%20Fulfillment%20of%20Commitments%20by%20the%20Company%27s%20Actual%20Controller%2C%20Shareholders%2C%20Related%20Parties%2C%20Acquirers%2C%20and%20the%20Company%20During%20the%20Reporting%20Period%2C%20and%20Commitments%20Overdue%20and%20Unfulfilled%20as%20of%20the%20End%20of%20the%20Reporting%20Period) The company's actual controller, shareholders, and related parties fulfilled their commitments regarding horizontal competition, related party transactions, fund occupation, and earnings per share dilution during the reporting period, with no overdue unfulfilled items - Commitments made during asset restructuring: Liu Sheng, Qiao Hua, and others committed not to engage in businesses identical or similar to the company's main business, and to avoid related party transactions and fund occupation; these commitments are ongoing[86](index=86&type=chunk) - Commitments made during initial public offering or refinancing: The company's largest shareholder Liu Feng and his concerted parties, as well as the company's directors and senior management, committed to supporting the company's immediate return enhancement measures, linked to compensation and equity incentives; these commitments are ongoing[87](index=87&type=chunk)[88](index=88&type=chunk) - Other commitments made to the company's minority shareholders: Subject to meeting normal production and operating capital needs, and in the absence of major investment plans or significant cash expenditures, the company should distribute dividends in cash, with cumulative distributed profits over any three consecutive years not less than 30% of the average annual distributable profit; these commitments are ongoing[88](index=88&type=chunk) - All commitments were fulfilled on time, with no overdue unfulfilled situations[88](index=88&type=chunk) [Non-Operating Fund Occupation by Controlling Shareholder and Other Related Parties](index=24&type=section&id=II.%20Non-Operating%20Fund%20Occupation%20by%20Controlling%20Shareholder%20and%20Other%20Related%20Parties%20of%20the%20Listed%20Company) The company reported no non-operating fund occupation by controlling shareholders or other related parties during the reporting period - The company reported no non-operating fund occupation by controlling shareholders or other related parties during the reporting period[89](index=89&type=chunk) [Irregular External Guarantees](index=24&type=section&id=III.%20Irregular%20External%20Guarantees) The company had no irregular external guarantees during the reporting period - The company had no irregular external guarantees during the reporting period[90](index=90&type=chunk) [Appointment and Dismissal of Accounting Firms](index=24&type=section&id=IV.%20Appointment%20and%20Dismissal%20of%20Accounting%20Firms) The company's semi-annual financial report was unaudited - The company's semi-annual report was unaudited[91](index=91&type=chunk) [Board of Directors' and Supervisory Board's Explanations on "Non-Standard Audit Report" for the Current Period](index=25&type=section&id=V.%20Board%20of%20Directors%27%20and%20Supervisory%20Board%27s%20Explanations%20on%20%22Non-Standard%20Audit%20Report%22%20for%20the%20Current%20Period) The company had no non-standard audit report during the reporting period [Board of Directors' Explanations on "Non-Standard Audit Report" for the Prior Year](index=25&type=section&id=VI.%20Board%20of%20Directors%27%20Explanations%20on%20%22Non-Standard%20Audit%20Report%22%20for%20the%20Prior%20Year) The company had no non-standard audit report during the reporting period [Bankruptcy and Reorganization Matters](index=25&type=section&id=VII.%20Bankruptcy%20and%20Reorganization%20Matters) The company had no bankruptcy and reorganization matters during the reporting period - The company had no bankruptcy and reorganization matters during the reporting period[92](index=92&type=chunk) [Litigation Matters](index=25&type=section&id=VIII.%20Litigation%20Matters) The company had no significant litigation, arbitration, or other litigation matters during the reporting period - This reporting period, the company had no significant litigation or arbitration matters[93](index=93&type=chunk) [Penalties and Rectification](index=25&type=section&id=IX.%20Penalties%20and%20Rectification) The company had no penalties or rectification situations during the reporting period - The company had no penalties or rectification situations during the reporting period[93](index=93&type=chunk) [Integrity Status of the Company, its Controlling Shareholder, and Actual Controller](index=25&type=section&id=X.%20Integrity%20Status%20of%20the%20Company%2C%20its%20Controlling%20Shareholder%2C%20and%20Actual%20Controller) The company had no integrity issues requiring disclosure during the reporting period [Significant Related Party Transactions](index=25&type=section&id=XI.%20Significant%20Related%20Party%20Transactions) The company engaged in daily related party transactions, primarily involving procurement, sales, and office building leases, with **RMB 5.35 million** in procurement from Aoruis Intelligent Technology (Fuxin) Co., Ltd Related Party Transactions Related to Daily Operations | Related Party | Related Transaction Type | Related Transaction Content | Current Period Transaction Amount (RMB '0,000) | Proportion of Similar Transactions | | :--- | :--- | :--- | :--- | :--- | | Aoruis Intelligent Technology (Fuxin) Co., Ltd. | Procurement | Purchase of goods/acceptance of services | 534.55 | 92.36% | | Xi'an Yunwei Zhilian Technology Co., Ltd. | Procurement | Purchase of goods/acceptance of services | 44.25 | 7.64% | | Xi'an Yunwei Zhilian Technology Co., Ltd. | Sales | Sale of goods/provision of services | 39.18 | 97.83% | | Xi'an Hengxing Jianxiang Technology Co., Ltd. | Sales | Sale of goods/provision of services | 0.87 | 2.17% | | Suzhou Raco Tech Sensing Technology Co., Ltd. | Lease Out | Lease of office building | 43.80 | 53.67% | | Xi'an Yunwei Zhilian Technology Co., Ltd. | Lease Out | Lease of office building | 30.97 | 37.94% | | Aoruis Intelligent Technology (Fuxin) Co., Ltd. | Lease Out | Lease of office building | 6.84 | 8.38% | | Total | - | - | 700.46 | - | - The company had no related party transactions involving asset or equity acquisition/disposal during the reporting period[97](index=97&type=chunk) - The company had no related party transactions involving joint external investments during the reporting period[98](index=98&type=chunk) - The company had no related party creditor-debtor relationships during the reporting period[99](index=99&type=chunk) - The company and its related financial companies had no deposits, loans, credit lines, or other financial business with related parties[100](index=100&type=chunk) - The company's controlled financial companies had no deposits, loans, credit lines, or other financial business with related parties[101](index=101&type=chunk) - The company had no other significant related party transactions during the reporting period[102](index=102&type=chunk) [Significant Contracts and Their Fulfillment](index=28&type=section&id=XII.%20Significant%20Contracts%20and%20Their%20Fulfillment) The company had no entrustment or contracting situations but engaged in leasing. Significant guarantees for subsidiaries totaled **RMB 325 million**, representing **9.56%** of net assets - The company had no entrustment situations during the reporting period[103](index=103&type=chunk) - The company had no contracting situations during the reporting period[104](index=104&type=chunk) - The company had leasing situations, detailed in the financial report notes[105](index=105&type=chunk) Company's Guarantees for Subsidiaries | Name of Guaranteed Party | Guarantee Limit (RMB '0,000) | Actual Occurrence Date | Actual Guarantee Amount (RMB '0,000) | Guarantee Type | Guarantee Period | Fulfilled | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Beijing Raco Tech Electronic Information Technology Co., Ltd. | 8,000 | 2025/06/25 | 8,000 | Joint and Several Liability Guarantee | 2025/12/4 | No | | Beijing Raco Tech Electronic Information Technology Co., Ltd. | 8,000 | 2025/06/25 | 8,000 | Joint and Several Liability Guarantee | 2026/6/19 | No | | Leizhi Digital System Technology (Xi'an) Co., Ltd. | 2,000 | 2025/06/25 | 2,000 | Joint and Several Liability Guarantee | 2026/6/5 | No | | Raco Tech Electronics (Xi'an) Co., Ltd. | 2,000 | 2025/03/14 | 2,000 | Joint and Several Liability Guarantee | 2026/3/14 | No | | Raco Tech Electronics (Xi'an) Co., Ltd. | 1,500 | 2025/03/14 | 1,500 | Joint and Several Liability Guarantee | 2026/3/5 | No | | Raco Tech Electronics (Xi'an) Co., Ltd. | 1,000 | 2024/11/07 | 1,000 | Joint and Several Liability Guarantee | 2025/11/6 | No | | Beijing Raco Tech Electronic Information Technology Co., Ltd. | 4,000 | 2024/10/08 | 4,000 | Joint and Several Liability Guarantee | 2025/10/7 | No | | Xi'an Qiwei Technology Co., Ltd. | 15,000 | 2024/08/14 | 15,000 | Joint and Several Liability Guarantee | 2025/5/19 | Yes | | Beijing Raco Tech Electronic Information Technology Co., Ltd. | 8,000 | 2024/07/11 | 8,000 | Joint and Several Liability Guarantee | 2025/6/19 | Yes | | Beijing Raco Tech Electronic Information Technology Co., Ltd. | 5,000 | 2024/07/11 | 5,000 | Joint and Several Liability Guarantee | 2025/7/10 | No | | Raco Tech Electronics (Xi'an) Co., Ltd. | 1,000 | 2024/07/11 | 1,000 | Joint and Several Liability Guarantee | 2025/8/10 | No | | Xi'an Qiwei Technology Co., Ltd. | 4,000 | 2024/06/14 | 4,000 | Joint and Several Liability Guarantee | 2025/6/13 | Yes | | Leizhi Digital System Technology (Xi'an) Co., Ltd. | 2,000 | 2024/06/14 | 2,000 | Joint and Several Liability Guarantee | 2025/6/13 | Yes | | Beijing Raco Tech Electronic Information Technology Co., Ltd. | 3,000 | 2024/03/12 | 3,000 | Joint and Several Liability Guarantee | 2025/3/11 | Yes | | Xi'an Qiwei Technology Co., Ltd. | 4,000 | 2023/02/10 | 4,000 | Joint and Several Liability Guarantee | 2025/1/3 | Yes | Company's Total Guarantees | Indicator | Amount (RMB '0,000) | | :--- | :--- | | Total approved guarantee limit for subsidiaries in current period | 120,000 | | Total actual guarantees for subsidiaries in current period | 68,500 | | Total approved guarantee limit for subsidiaries at period-end | 120,000 | | Total actual guarantee balance for subsidiaries at period-end | 32,500 | | Proportion of total actual guarantees to company's net assets | 9.56% | Wealth Management Products | Specific Type | Amount of Wealth Management Products (RMB '0,000) | Unmatured Balance (RMB '0,000) | | :--- | :--- | :--- | | Bank Wealth Management Products | 12,920 | 4,920 | | Brokerage Wealth Management Products | 1,500 | 1,500 | | Total | 14,420 | 6,420 | - The company had no other significant contracts during the reporting period[112](index=112&type=chunk) [Explanation of Other Significant Matters](index=31&type=section&id=XIII.%20Explanation%20of%20Other%20Significant%20Matters) The company had no other significant matters requiring explanation during the reporting period - The company had no other significant matters requiring explanation during the reporting period[113](index=113&type=chunk) [Significant Matters of Company Subsidiaries](index=31&type=section&id=XIV.%20Significant%20Matters%20of%20Company%20Subsidiaries) The company had no significant matters concerning its subsidiaries during the reporting period - The company had no significant matters concerning its subsidiaries during the reporting period[114](index=114&type=chunk) [Share Changes and Shareholder Information](index=32&type=section&id=Section%20VI%20Share%20Changes%20and%20Shareholder%20Information) This section provides an overview of changes in share capital, shareholder numbers, and the holdings of directors, supervisors, and senior management, along with controlling shareholder status [Share Change Status](index=32&type=section&id=I.%20Share%20Change%20Status) During the reporting period, restricted shares decreased by **54,577,726 shares**, while unrestricted shares increased by the same amount, with total share capital remaining unchanged due to the release of lock-up shares for some executives Share Change Status | Share Type | Quantity Before Change (Shares) | Proportion Before Change | Increase/Decrease in Current Change (Shares) | Quantity After Change (Shares) | Proportion After Change | | :--- | :--- | :--- | :--- | :--- | :--- | | I. Restricted Shares | 78,487,954 | 5.96% | -54,577,726 | 23,910,228 | 1.82% | | II. Unrestricted Shares | 1,238,501,674 | 94.04% | 54,577,726 | 1,293,079,400 | 98.18% | | III. Total Shares | 1,316,989,628 | 100.00% | 0 | 1,316,989,628 | 100.00% | Restricted Share Change Status | Shareholder Name | Beginning Restricted Shares (Shares) | Shares Released from Restriction in Current Period (Shares) | Ending Restricted Shares (Shares) | Reason for Restriction | Release Date | | :--- | :--- | :--- | :--- | :--- | :--- | | Liu Feng | 17,091,305.00 | 0.00 | 17,091,305.00 | Executive Lock-up Shares | Unlocked according to executive lock-up share regulations | | Gao Lining | 6,682,124.00 | 0.00 | 6,682,124.00 | Executive Lock-up Shares | Unlocked according to executive lock-up share regulations | | Liu Sheng | 24,747,692.00 | 24,747,692.00 | 0.00 | Executive Lock-up Shares | Unlocked on May 8, 2025 | | Wu Handong | 22,960,666.00 | 22,960,666.00 | 0.00 | Executive Lock-up Shares | Unlocked on May 8, 2025 | | Han Zhouan | 6,812,368.00 | 6,812,368.00 | 0.00 | Executive Lock-up Shares | Unlocked on May 8, 2025 | | Total | 78,487,954.00 | 54,595,726.00 | 23,910,228.00 | - | - | [Securities Issuance and Listing Status](index=33&type=section&id=II.%20Securities%20Issuance%20and%20Listing%20Status) The company had no securities issuance or listing activities during the reporting period [Number of Shareholders and Shareholding Status](index=33&type=section&id=III.%20Number%20of%20Shareholders%20and%20Shareholding%20Status) At the end of the reporting period, the total number of common shareholders was **151,060**. Among the top ten shareholders, Liu Sheng held the highest proportion at **1.88%**, followed by Liu Feng at **1.73%** - Total number of common shareholders at the end of the reporting period: **151,060**[121](index=121&type=chunk) Shareholding Status of Shareholders Holding 5% or More or Top 10 Shareholders | Shareholder Name | Shareholder Nature | Shareholding Proportion | Number of Shares Held at Period-End (Shares) | Number of Restricted Shares Held (Shares) | Number of Unrestricted Shares Held (Shares) | | :--- | :--- | :--- | :--- | :--- | :--- | | Liu Sheng | Domestic Natural Person | 1.88% | 24,747,692.00 | 0.00 | 24,747,692.00 | | Liu Feng | Domestic Natural Person | 1.73% | 22,788,407.00 | 17,091,305.00 | 5,697,102.00 | | Shanghai Tongyi Investment Management Co., Ltd. - Tongyi Fangyuan No. 9 Private Securities Investment Fund | Other | 1.32% | 17,373,011.00 | 0.00 | 17,373,011.00 | | Beijing Institute of Technology Asset Management Co., Ltd. | State-owned Legal Person | 1.28% | 16,923,081.00 | 0.00 | 16,923,081.00 | | Beijing Cuiwei Group Co., Ltd. | State-owned Legal Person | 1.26% | 16,539,596.00 | 0.00 | 16,539,596.00 | | Wu Handong | Domestic Natural Person | 1.03% | 13,570,276.00 | 0.00 | 13,570,276.00 | | Han Zhouan | Domestic Natural Person | 0.69% | 9,083,158.00 | 0.00 | 9,083,158.00 | | Gao Lining | Domestic Natural Person | 0.68% | 8,909,499.00 | 6,682,124.00 | 2,227,375.00 | | Zeng Tao | Domestic Natural Person | 0.55% | 7,287,215.00 | 0.00 | 7,287,215.00 | | Gao Qi | Domestic Natural Person | 0.53% | 6,998,300.00 | 0.00 | 6,998,300.00 | - Gao Lining, Liu Feng, Liu Sheng, Beijing Raco Investment Management Center (Limited Partnership), and Beijing Kelei Investment Management Center (Limited Partnership) signed a "Concerted Action Agreement" on December 20, 2022, acting as concerted parties[122](index=122&type=chunk) Shareholding Status of Top 10 Unrestricted Shareholders | Shareholder Name | Number of Unrestricted Shares Held at Period-End (Shares) | Share Type | | :--- | :--- | :--- | | Liu Sheng | 24,747,692.00 | RMB Common Stock | | Shanghai Tongyi Investment Management Co., Ltd. - Tongyi Fangyuan No. 9 Private Securities Investment Fund | 17,373,011.00 | RMB Common Stock | | Beijing Institute of Technology Asset Management Co., Ltd. | 16,923,081.00 | RMB Common Stock | | Beijing Cuiwei Group Co., Ltd. | 16,539,596.00 | RMB Common Stock | | Wu Handong | 13,570,276.00 | RMB Common Stock | | Han Zhouan | 9,083,158.00 | RMB Common Stock | | Zeng Tao | 7,287,215.00 | RMB Common Stock | | Gao Qi | 6,998,300.00 | RMB Common Stock | | Beijing Raco Investment Management Center (Limited Partnership) | 6,236,580.00 | RMB Common Stock | | Beijing Kelei Investment Management Center (Limited Partnership) | 6,229,760.00 | RMB Common Stock | [Changes in Shareholdings of Directors, Supervisors, and Senior Management](index=35&type=section&id=IV.%20Changes%20in%20Shareholdings%20of%20Directors%2C%20Supervisors%2C%20and%20Senior%20Management) There were no changes in the shareholdings of the company's directors, supervisors, and senior management during the reporting period, with details available in the 2024 annual report - There were no changes in the shareholdings of the company's directors, supervisors, and senior management during the reporting period[124](index=124&type=chunk) [Changes in Controlling Shareholder or Actual Controller](index=35&type=section&id=V.%20Changes%20in%20Controlling%20Shareholder%20or%20Actual%20Controller) The company's controlling shareholder and actual controller remained unchanged during the reporting period - The company's controlling shareholder remained unchanged during the reporting period[125](index=125&type=chunk) - The company's actual controller remained unchanged during the reporting period[125](index=125&type=chunk) [Preferred Share Status](index=36&type=section&id=VI.%20Preferred%20Share%20Status) The company had no preferred shares during the reporting period - The company had no preferred shares during the reporting period[126](index=126&type=chunk) [Bond-Related Information](index=37&type=section&id=Section%20VII%20Bond-Related%20Information) This section details the company's bond-related activities, specifically focusing on the status of its convertible corporate bonds and the absence of other debt instruments [Corporate Bonds](index=37&type=section&id=I.%20Corporate%20Bonds) The company had no corporate bonds during the reporting period - The company had no corporate bonds during the reporting period[128](index=128&type=chunk) [Company Bonds](index=37&type=section&id=II.%20Company%20Bonds) The company had no company bonds during the reporting period - The company had no company bonds during the reporting period[129](index=129&type=chunk) [Non-Financial Enterprise Debt Financing Instruments](index=37&type=section&id=III.%20Non-Financial%20Enterprise%20Debt%20Financing%20Instruments) The company had no non-financial enterprise debt financing instruments during the reporting period - The company had no non-financial enterprise debt financing instruments during the reporting period[130](index=130&type=chunk) [Convertible Corporate Bonds](index=37&type=section&id=IV.%20Convertible%20Corporate%20Bonds) The company issued "Raco Convertible" and "Raco Convertible 02" bonds, both convertible until 2026, with "Raco Convertible 02" having **RMB 15 million** yet to be converted - The company issued "Raco Convertible" (Code: 124007), with a conversion period from March 15, 2021, to March 12, 2026, and an initial conversion price of **RMB 5.50/share**[131](index=131&type=chunk) - The company issued "Raco Convertible 02" (Code: 124012), with a conversion period from November 26, 2020, to May 25, 2026, and an initial conversion price of **RMB 6.43/share**[131](index=131&type=chunk) Cumulative Conversion Status | Convertible Corporate Bond Name | Total Issued (Units) | Total Issued Amount (RMB) | Cumulative Converted Amount (RMB) | Cumulative Converted Shares (Shares) | Unconverted Amount (RMB) | Proportion of Unconverted Amount to Total Issued Amount | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Raco Convertible | 2,837,499 | 283,749,900.00 | 283,749,900.00 | 51,684,857 | 0.00 | 0.00% | | Raco Convertible 02 | 3,970,000 | 397,000,000.00 | 382,000,000.00 | 59,590,368 | 15,000,000.00 | 3.78% | - The conversion price of "Raco Convertible 02" has been adjusted multiple times due to the company's non-public issuance of shares, restricted stock incentive plan grants, and repurchases and cancellations, with the latest conversion price being **RMB 6.38/share**[135](index=135&type=chunk)[136](index=136&type=chunk)[137](index=137&type=chunk) [Consolidated Statement Scope Loss Exceeding 10% of Net Assets at Prior Year-End](index=40&type=section&id=V.%20Consolidated%20Statement%20Scope%20Loss%20Exceeding%2010%25%20of%20Net%20Assets%20at%20Prior%20Year-End) The company's consolidated statement scope loss did not exceed 10% of net assets at the prior year-end during the reporting period [Key Accounting Data and Financial Indicators for the Company's Last Two Years as of the End of the Reporting Period](index=40&type=section&id=VI.%20Key%20Accounting%20Data%20and%20Financial%20Indicators%20for%20the%20Company%27s%20Last%20Two%20Years%20as%20of%20the%20End%20of%20the%20Reporting%20Period) This section serves as an introduction to the financial report, highlighting key accounting data and financial indicators for the past two years, with detailed figures presented in subsequent financial statements [Financial Report](index=41&type=section&id=Section%20VIII%20Financial%20Report) This section presents the unaudited financial statements, including balance sheets, income statements, and cash flow statements, along with detailed notes on accounting policies, taxes, and financial instrument risks [Audit Report](index=41&type=section&id=I.%20Audit%20Report) The company's semi-annual financial report was unaudited - The company's semi-annual financial report was unaudited[141](index=141&type=chunk) [Financial Statements](index=41&type=section&id=II.%20Financial%20Statements) This section presents the company's H1 2025 consolidated and parent company balance sheets, income statements, cash flow statements, and statements of changes in owner's equity, showing total assets of **RMB 4.82 billion** and net profit of **RMB -41.67 million** Consolidated Balance Sheet (Summary) | Item | Period-End Balance (RMB) | Beginning Balance (RMB) | | :--- | :--- | :--- | | Total Current Assets | 2,882,684,279.07 | 2,959,695,950.66 | | Total Non-Current Assets | 1,938,806,306.99 | 1,983,884,746.03 | | Total Assets | 4,821,490,586.06 | 4,943,580,696.69 | | Total Current Liabilities | 1,222,795,009.24 | 1,321,996,858.64 | | Total Non-Current Liabilities | 160,282,223.75 | 146,629,908.59 | | Total Liabilities | 1,383,077,232.99 | 1,468,626,767.23 | | Total Equity Attributable to Parent Company Owners | 3,399,588,830.26 | 3,441,247,020.77 | | Total Equity | 3,438,413,353.07 | 3,474,953,929.46 | | Total Liabilities and Equity | 4,821,490,586.06 | 4,943,580,696.69 | Consolidated Income Statement (Summary) | Item | H1 2025 (RMB) | H1 2024 (RMB) | | :--- | :--- | :--- | | Total Operating Revenue | 541,751,584.05 | 493,520,769.13 | | Total Operating Costs | 550,346,873.92 | 552,672,382.69 | | Operating Profit | -27,331,270.55 | -65,682,039.85 | | Total Profit | -27,558,796.87 | -65,554,375.68 | | Net Profit | -36,554,452.19 | -63,295,194.43 | | Net Profit Attributable to Parent Company Shareholders | -41,672,066.31 | -66,425,856.21 | | Basic Earnings Per Share (RMB/share) | -0.03 | -0.05 | | Diluted Earnings Per Share (RMB/share) | -0.03 | -0.05 | Consolidated Cash Flow Statement (Summary) | Item | H1 2025 (RMB) | H1 2024 (RMB) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | -115,948,186.69 | 19,462,124.51 | | Net Cash Flow from Investing Activities | -117,006,336.21 | -45,249,452.30 | | Net Cash Flow from Financing Activities | -34,552,340.77 | -194,936,127.92 | | Net Increase in Cash and Cash Equivalents | -267,556,738.89 | -220,893,785.83 | | Cash and Cash Equivalents at Period-End | 329,113,872.35 | 377,752,493.78 | [Company Basic Information](index=58&type=section&id=III.%20Company%20Basic%20Information) This section details the company's history, share capital changes, registered capital of **RMB 1,316.99 million**, business scope, main products, and organizational structure, including 8 second-tier and 11 third-tier subsidiaries - Company history: Beijing Raco Defense Technology Co., Ltd. (formerly Jiangsu Raco Defense Technology Co., Ltd./Jiangsu Changfa Refrigeration Co., Ltd.) was established on December 11, 2002[176](index=176&type=chunk) - Share capital changes: After multiple share issuances, mergers and acquisitions, equity incentives, and repurchases and cancellations, the company's registered capital was finally changed to **RMB 1,316,989,628**[177](index=177&type=chunk)[178](index=178&type=chunk)[179](index=179&type=chunk)[180](index=180&type=chunk)[181](index=181&type=chunk)[182](index=182&type=chunk)[183](index=183&type=chunk)[184](index=184&type=chunk)[185](index=185&type=chunk)[186](index=186&type=chunk)[187](index=187&type=chunk)[188](index=188&type=chunk)[189](index=189&type=chunk)[190](index=190&type=chunk)[191](index=191&type=chunk) - Business scope: Includes technical services, manufacturing of radar and supporting equipment, industrial control computers and systems, electronic measuring instruments, computer software and hardware, and peripheral equipment[195](index=195&type=chunk) - Main products: Radar systems, satellite applications, intelligent control, secure storage, intelligent connected vehicles, and other products[196](index=196&type=chunk) - Organizational structure: As of June 30, 2025, the company has **8 second-tier subsidiaries, 11 third-tier subsidiaries, and 1 fourth-tier subsidiary**[196](index=196&type=chunk) [Basis of Financial Statement Preparation](index=62&type=section&id=IV.%20Basis%20of%20Financial%20Statement%20Preparation) The company's financial statements are prepared in accordance with "Enterprise Accounting Standards" and related regulations, presented on a going concern basis, with no significant doubts about its ability to continue as a going concern - Financial statements are prepared in accordance with the "Enterprise Accounting Standards" issued by the Ministry of Finance, their application guidelines, interpretations, and other relevant regulations[198](index=198&type=chunk) - The company evaluated its ability to continue as a going concern for the 12 months from the end of the reporting period and found no significant doubts or circumstances, thus the financial statements are presented on a going concern basis[199](index=199&type=chunk) [Significant Accounting Policies and Accounting Estimates](index=62&type=section&id=V.%20Significant%20Accounting%20Policies%20and%20Accounting%20Estimates) This section details the company's significant accounting policies and estimates for its various business segments, covering financial instruments, inventory, fixed assets, revenue recognition, and government grants, ensuring the accuracy and completeness of financial reporting - The financial statements prepared by the company comply with the requirements of enterprise accounting standards, accurately and completely reflecting the financial position, operating results, and cash flows[201](index=201&type=chunk) - The company uses a 12-month operating cycle as the standard for classifying assets and liabilities as current or non-current[203](index=203&type=chunk) - Financial assets are classified as measured at amortized cost, at fair value through other comprehensive income, or at fair value through profit or loss[221](index=221&type=chunk) - Inventory includes raw materials, work-in-progress, finished goods, semi-finished goods, consigned goods, and entrusted processing materials, valued using the weighted average method and measured at the lower of cost and net realizable value, with provisions for inventory write-downs[250](index=250&type=chunk)[251](index=251&type=chunk)[252](index=252&type=chunk) - Fixed assets are depreciated using the straight-line method, with clear stipulations for depreciation periods, estimated net salvage rates, and depreciation rates for various types of fixed assets[268](index=268&type=chunk) - Revenue recognition: Revenue is recognized when the performance obligation in the contract is satisfied, i.e., when the customer obtains control of the related goods or services. Revenue from goods sales is recognized at a point in time, while revenue from technical research and development services is recognized over time based on the progress of performance[288](index=288&type=chunk)[294](index=294&type=chunk) - Government grants are classified as asset-related or income-related, recognized as deferred income or included in current profit or loss, respectively[298](index=298&type=chunk)[299](index=299&type=chunk) - There were no significant changes in accounting policies or accounting estimates during the reporting period[43](index=43&type=chunk) [Taxes](index=88&type=section&id=VI.%20Taxes) The company's main taxes include VAT, urban maintenance and construction tax, and corporate income tax, with the company and several subsidiaries enjoying a 15% high-tech enterprise income tax rate Major Tax Categories and Rates | Tax Category | Tax Basis | Tax Rate | | :--- | :--- | :--- | | Value-Added Tax (VAT) | Sales Revenue | 13%, 6% | | Urban Maintenance and Construction Tax | Payable Turnover Tax | 5%, 7% | | Corporate Income Tax | Taxable Income | See table below | | Education Surcharge | Payable Turnover Tax | 3% | | Local Education Surcharge | Payable Turnover Tax | 2% | Taxable Entities with Different Corporate Income Tax Rates | Taxable Entity Name | Income Tax Rate | | :--- | :--- | | Parent Company | 25% | | Beijing Raco Tech Electronic Information Technology Co., Ltd. | 15% | | Xi'an Qiwei Technology C

雷科防务公告，2025年上半年营业收入5.42亿元，同比增长9.77%。净亏损4167.21万元，上年同期净亏 损6642.59万元，同比收窄37.27%。公司计划不派发现金红利，不送红股，不以公积金转增股本。 ...

Core Viewpoint - The company plans to invest 300 million yuan in the construction of an intelligent manufacturing center for microwave equipment, indicating a strategic move towards enhancing its manufacturing capabilities and technological advancement [1] Investment Details - The project will cover an area of approximately 37.6 acres with a total construction area of about 58,000 square meters [1] - Key components of the project include smart manufacturing workshops, machining workshops, antenna and vehicle system integration workshops, testing and inspection buildings, and supporting facilities [1] - The project is scheduled to commence in September 2025, with funding sourced from the company's own funds and self-raised capital [1] Financial Impact - This investment represents 8.72% of the company's audited net assets as of the end of 2024 [1] - The investment does not constitute a related party transaction or a significant asset restructuring [1]

13日，A股全线走高，沪指8连阳续创阶段新高，创业板指大涨近4%；全A成交额突破2万亿元，为2月 27日以来，时隔114个交易日首次。全市场超2700只个股上涨，百股涨停再现。港股亦大幅拉升，恒生 指数涨超2%，恒生科技指数涨超3%。 创新药概念拉升 具体来看，沪指盘中强势拉升，一度逼近3700点，创2021年12月以来新高；深证成指、创业板指均创近 一年新高。截至收盘，沪指涨0.48%报3683.46点，深证成指涨1.76%报11551.37点，创业板指涨3.62%报 2496.5点，沪深北三市合计成交21756亿元，较此前一日增加约2700亿元。 市场整体活跃，券商板块拉升，长城证券、国盛金控涨停；创新药概念活跃，首药控股20%涨停，昭衍 新药、美迪西涨超9%，药明康德涨逾7%；人形机器人概念热度不减，杰克股份、内蒙一机、中大力德 等续创新高；AI产业链股飙升，市值超8000亿元的工业富联尾盘涨停，光库科技、新易盛、中际旭创 均创出历史新高。值得注意的是，宁德时代反弹涨约4%。 港股方面，腾讯音乐盘中大涨近18%，股价突破100港元大关，创历史新高；鸿腾精密盘中涨超17%， 阿里巴巴、哔哩哔哩等涨超6%， ...

Market Overview - The military electronics sector increased by 0.86% on August 13, with Kesi Technology leading the gains [1] - The Shanghai Composite Index closed at 3683.46, up 0.48%, while the Shenzhen Component Index closed at 11551.36, up 1.76% [1] Stock Performance - Kesi Technology (688788) closed at 80.61, up 9.79% with a trading volume of 116,600 shares [1] - Aerospace Changfeng (600855) closed at 18.42, up 9.64% with a trading volume of 819,500 shares [1] - Other notable performers include: - ST Aowei (002231) at 3.80, up 4.97% [1] - Leike Defense (002413) at 6.24, up 4.00% [1] - Hezhong Sijuan (002383) at 11.10, up 3.74% [1] Capital Flow - The military electronics sector experienced a net outflow of 509 million yuan from institutional investors and 170 million yuan from retail investors, while individual investors saw a net inflow of 679 million yuan [2][3] - The capital flow for key stocks includes: - Hezhong Sijuan (002383) with a net inflow of 1.22 billion yuan from institutional investors [3] - Leike Defense (002413) with a net inflow of 1.15 billion yuan [3] - Aerospace Changfeng (600855) with a net inflow of 97.51 million yuan [3]

Group 1 - Great Wall Military Industry has experienced a significant stock surge, achieving 7 consecutive trading limits within 10 days [1] - Other companies such as China North Industries Group, Inner Mongolia First Machinery Group, Mengtian Electronics, Guorui Technology, Beifang Changlong, Aerospace Changfeng, Guoji Precision Engineering, and Raytheon Defense have also seen their stocks rise over 5% [1]

格隆汇8月13日｜A股军工股再度活跃大涨，其中，长城军工10天7板，中兵红箭、内蒙一机、盟生电 子、国瑞科技、北方长龙、航天长峰、国机精工、雷科防务等多股涨超5%。 ...

Market Overview - The Asia-Pacific stock markets opened higher, with the Shanghai Composite Index and Nikkei Index reaching new highs [1] - The Shanghai Composite Index surpassed 3674.4 points, marking its highest level since December 17, 2021, with a peak of 3677 points around 10:00 AM [1] - The trading volume in the Shanghai and Shenzhen markets exceeded 610 billion yuan within the first half hour, indicating a significant increase compared to the previous day [1] Sector Performance - Military stocks showed strong activity, with several companies, including Changcheng Military Industry and Zhongbing Hongjian, seeing gains of over 5% [1] - Computing hardware stocks continued to perform well, with companies like New Yisheng and Industrial Fulian reaching historical highs, and Guangku Technology hitting a 20% limit up [1] Investment Sentiment - Analysts suggest that the current market uptrend is supported by increased liquidity and a shift in investment logic towards individual stock performance rather than sector performance [2][3] - The sentiment among retail investors and foreign capital inflow is driving the current bull market, with insurance funds providing long-term support [2] Investment Strategy - Analysts recommend focusing on individual stock alpha logic, as the market may transition to a structural market with lower intensity and speed [3] - There is an emphasis on sectors with high growth potential, such as AI, computing power, and innovative pharmaceuticals, which are expected to see valuation recovery [3] - A "barbell strategy" is suggested, balancing investments between technology growth and high dividend stocks while monitoring policy signals and foreign capital movements [5]

Group 1 - The military industry is experiencing significant stock price movements, with companies like Fenghuo Electronics and China Electronics Xinlong achieving consecutive trading limit increases [1] - Zhenlei Technology has seen a stock price increase of over 15%, indicating strong market interest [1] - Other companies such as JX Feihong, Hailanxin, Leike Defense, Jiayuan Technology, and Kesi Technology are also witnessing upward trends in their stock prices [1]