Investment Rating - The report initiates coverage with an "Accumulate" rating for the company [10][12]. Core Views - The company is deeply rooted in the high-end titanium alloy sector, with a diverse layout aimed at new growth opportunities. Its main products include titanium and titanium alloy bars, billets, and components, primarily used in high-end equipment fields such as aviation, aerospace, naval vessels, and weaponry. The company achieved a revenue of 808 million yuan in 2024, reflecting a year-on-year increase of 0.91%, and a net profit attributable to shareholders of 152 million yuan, up 3.04% year-on-year [8][10]. - The performance of titanium alloys is exceptional, with widespread applications across various downstream sectors, maintaining high demand. High-end titanium alloys are characterized by low thermal conductivity, excellent high and low-temperature performance, and strong corrosion resistance, making them suitable for aviation and naval applications. The market for titanium alloys is expected to grow significantly due to increasing demand in aerospace and naval sectors [8][9][10]. Summary by Sections 1. High-End Titanium Alloy Sector - The company focuses on high-end titanium alloys, establishing itself as a leading enterprise in the industry. It has transitioned from its original business model to specialize in high-performance titanium and titanium alloy materials since 2006, with significant investments in production lines and technology [20][21]. - The company has developed a robust product portfolio, with titanium alloy bars accounting for over 80% of its revenue. In 2023, the revenue from titanium bars reached 682 million yuan, contributing significantly to the overall profitability [30][33]. 2. Titanium Alloy Performance and Market Demand - Titanium alloys are recognized for their superior properties and strategic importance, with applications expanding beyond aerospace to include chemical, petroleum, and power industries. In 2024, the chemical and aerospace sectors accounted for 49% and 21% of titanium product applications, respectively [41][42]. - The demand for titanium alloys in the aerospace sector is particularly strong, driven by the increasing use of titanium in military and civilian aircraft. The proportion of titanium used in military aircraft has significantly increased, with advanced models utilizing up to 41% of titanium in their structure [56][59]. 3. Competitive Advantages and Growth Potential - The company possesses three main advantages: leading technology in high-end titanium alloys, a strong supplier position in high-end equipment, and accelerated capacity release. It has established deep relationships with key clients in the aerospace sector and is expanding its presence in the civil aviation and naval markets [9][10][12]. - The company is expected to see a steady increase in net profit, with projections of 170 million yuan in 2025, 240 million yuan in 2026, and 330 million yuan in 2027, indicating a favorable growth trajectory compared to its peers [10][12].
金天钛业（688750）：材料强国之高端制造系列报告之七：高端钛合金新锐，航空深海合力铸就高成长