Investment Rating - The investment rating for the company is "Buy," indicating an expected return exceeding 10% relative to the CSI 300 index over the next six months [36]. Core Viewpoints - The company is positioned as one of the few domestic enterprises engaged in the research and production of solid rocket motor propulsion modules and ammunition equipment, with a long-term technological accumulation and advantages in these fields [18][19]. - The company is expected to benefit from the recovery and expansion of the military trade market, driven by frequent geopolitical events and the emergence of new forms of warfare, leading to a clear second growth curve logic [18]. - The company is actively increasing its R&D investment and extending its operations into the downstream aerospace engine assembly field, which will enhance its core competitiveness and expand potential market space [18]. - The implementation of stock incentives, share buybacks, and cash dividends is expected to effectively align the interests of shareholders, the company, and the core team, promoting long-term development and boosting investor confidence [18]. Financial Data Summary - As of May 9, 2025, the company has a total share capital of 175.70 million shares and a total market value of 10,206.50 million [2]. - The company reported a net cash flow from operating activities of -1.05 million, a significant decrease of 5.47 million year-on-year, primarily due to delays in military equipment funding settlements [7]. - The company’s contract liabilities increased by 29.36% to 2.35 million, indicating a robust order backlog, while inventory levels remained high at 2.33 million, down 4.05% [8]. - Revenue from military products in 2024 reached 1.167 billion, a growth of 17.34%, while revenue from civilian products decreased by 20.79% to 29 million [9][11]. - The company expects revenues of 1.459 billion, 1.723 billion, and 1.985 billion for 2025, 2026, and 2027, respectively, with net profits projected at 235 million, 273 million, and 306 million [19][21].