Investment Rating - The report maintains a rating of "Outperform" for the company, indicating a positive outlook compared to the market [7]. Core Insights - The company is expected to achieve a profit total of approximately RMB 200 million to 300 million in 2025, marking a turnaround from previous losses. The forecasted net profit attributable to shareholders is projected to be between RMB -1.3 billion and -1.8 billion [4]. - The airline industry is anticipated to experience steady growth in the passenger market in 2025, with the company's strategic initiatives showing positive results. These include enhancing long-haul capabilities, restoring international connections, and expanding into emerging markets [7]. - The company has reported significant improvements in operational metrics, with a 6.7% increase in overall Available Seat Kilometers (ASK) and a 10.7% increase in Revenue Passenger Kilometers (RPK) compared to 2024 [7]. Financial Data Summary - For 2025, total revenue is expected to reach RMB 136.75 billion, reflecting a year-on-year growth rate of 3.5%. The net profit attributable to shareholders is projected to be RMB -1.463 billion [6]. - The company’s gross margin is expected to improve to 6.9% in 2025, with a return on equity (ROE) forecasted at -11.4% [6]. - The total fleet size is projected to reach 826 aircraft by the end of 2025, representing a 14.2% increase compared to 2019 [7].