Group 1: Industry Focus and Growth Areas - The company identifies key growth areas in the aerospace and integrated equipment sector, metallurgy and mining, and strategic emerging industries such as robotics and high-performance data transmission cables [2][3] - The demand for special cables in the metallurgy and mining sector is increasing due to heightened safety requirements [2][3] Group 2: Competitive Advantages - The company maintains a stable customer base, with over 80% of clients being large state-owned enterprises or listed companies, ensuring sustained profitability [3] - The company has 74 years of technical expertise in the special cable sector, particularly in aerospace and integrated equipment, which contributes to its competitive edge [3] Group 3: Acquisition Plans - The company has signed a letter of intent for the acquisition of Xingxin Aerospace, with the completion timeline dependent on due diligence and necessary approvals [3] - Mergers and acquisitions are part of the company's ongoing strategy to enhance its position as a leading enterprise in high-end cable integration and intelligent composite transmission [3] Group 4: Product Applications and Orders - The company's products are primarily used in aerospace, metallurgy, rail transportation, petrochemicals, and renewable energy sectors, with significant growth expected in metallurgy and rail transportation in 2024 [4] - The company has a substantial backlog of orders, significantly increased compared to the same period last year, primarily from large state-owned enterprises [5] Group 5: Cost Reduction and Efficiency Measures - The company is implementing measures to reduce costs and improve efficiency, including advancing digitalization and smart manufacturing, and optimizing raw material procurement [5] - Production cycles for different products range from 7 to 15 days, subject to adjustments based on customer orders and internal scheduling [5]

Group 1: Company Performance and Growth - The company has maintained annual growth since its listing, driven by a strong cultural heritage and a flexible operational model that combines state-owned enterprise systems with private mechanisms [2][3] - Approximately 80% of the company's clients are large state-owned enterprises or listed companies, providing a stable customer base for sustained profitability [2] - The company has 74 years of technical expertise in specialized cable fields, particularly in aerospace and integrated equipment, which supports its competitive advantage [3] Group 2: Revenue and Market Segments - In 2024, revenue growth was notable in the metallurgy and mining sectors, with strong performance in aerospace and integrated equipment, as well as engineering equipment [4] - The first quarter of 2025 showed significant profit growth due to increased business in aerospace and specialized engineering machinery compared to the same period last year [5] Group 3: Product Customization and Pricing - Customized products generally have higher profit margins than standard products, especially those that replace imports or are exclusive supplies [6] - The profit margins for military products remain stable, with established products gradually stabilizing in price while new products with higher added value are expected to maintain good pricing levels [7][8] Group 4: Future Prospects and Orders - The company has sufficient orders on hand, with a significant year-on-year increase, and has initiated four investment projects to expand capacity to meet growing business demands [8] - The theoretical production cycle for different products ranges from 7 to 15 days, but actual delivery times depend on various factors including customer orders and internal scheduling [8]

Investment Rating - The report maintains a "Buy" rating for the company [4] Core Views - In 2024, the company achieved a revenue of 6.75 billion, a year-on-year increase of 13.2%, and a net profit attributable to shareholders of 940 million, up 2.9% year-on-year [1] - The fourth quarter of 2024 saw a revenue of 1.77 billion, with year-on-year and quarter-on-quarter increases of 2.9% and 2.7% respectively, while net profit was 200 million, down 37% year-on-year and 32% quarter-on-quarter [1] - The company is expanding its robot components business, establishing a wholly-owned subsidiary for research and sales in this field, and is also developing magnesium alloy die-casting technology for automotive lightweighting and robotics [2][3] Financial Summary - Revenue for 2023 was 5.957 billion, with a projected increase to 6.746 billion in 2024, and further growth expected to 8.107 billion in 2025 [3] - The net profit for 2023 was 926 million, expected to rise to 972 million in 2024, and projected at 1.207 billion in 2025 [3] - The latest diluted EPS for 2024 is 0.95, with projections of 1.21 for 2025 and 1.47 for 2026 [3] - The company’s P/E ratio is projected to decrease from 18.3 in 2024 to 14.4 in 2025, and further to 11.9 in 2026 [3]