Core Viewpoint - The company, China National Aviation Holding Company (国货航), is experiencing rapid growth in performance and capacity expansion, driven by the recovery of the air cargo industry and increased demand from cross-border e-commerce [1][3]. Financial Performance - For the first half of 2025, the company expects a net profit of between 1.187 billion and 1.267 billion yuan, representing a year-on-year increase of 78.13% to 90.14% [1][3]. - In 2024, the company achieved a revenue of 20.584 billion yuan, a year-on-year growth of 37.97%, and a net profit of 1.953 billion yuan, up 69.34% [2][3]. - The company’s revenue from air cargo and integrated logistics solutions saw significant recovery in 2024, with year-on-year increases of 48.16% and 16.43%, respectively [2][3]. Operational Expansion - The company has expanded its fleet and optimized its route structure, which are key factors in its performance growth [1][3]. - As of the reporting period, the company operates a fleet of 22 cargo aircraft, including newly introduced B777 and modified A330 aircraft, enhancing its capacity for international air transport [4]. Research and Development - The company has significantly increased its R&D expenditure, with a 400.87% rise to 14.2622 million yuan in 2024 and a staggering 5219.63% increase in the first quarter of 2025 [4][5]. - Various technology innovation projects have been initiated, including upgrades to the company’s portal website and the development of pricing management systems, supporting its digital transformation [5].

Group 1: Business Overview - China International Cargo Airlines focuses on three main business segments: air cargo, air cargo stations, and integrated logistics solutions [2][3] - As of the end of 2024, the company achieved revenue of CNY 3.98 billion and a gross profit of CNY 590 million from its integrated logistics solutions [3][4] Group 2: Operational Capacity - The company operates a fleet of 22 freighters, including 4 retired aircraft, with B777 and B747 as the main models covering long-haul markets, and A330 as a supplementary model for medium-range markets [4][5] - In 2024, the average daily utilization of freighters was 13.0 hours, with a cargo load factor of 72.5% [3][4] Group 3: Network and Infrastructure - China International Cargo Airlines has established 6 major cargo stations in Beijing, Tianjin, Hangzhou, Chengdu, and Chongqing [4][5] - The company has a logistics service network covering over 40 cities in China, with 4 operational centers in Beijing, Guangzhou, Shanghai, and Chengdu [5][6] Group 4: Competitive Advantages - The company benefits from a strong brand presence as a subsidiary of the Aviation Industry Corporation of China, enhancing its market position [4][5] - A diversified shareholder structure supports long-term development and stability [5][6] - The company has established a high-quality international cargo station network through partnerships with over 30 trucking service providers, covering more than 1,500 global ground routes [5][6] Group 5: Strategic Initiatives - China International Cargo Airlines is committed to enhancing cash management and optimizing the use of funds to improve return on net assets [6][7] - The company has developed a market value management plan to ensure sustainable growth and reasonable returns for investors [6][7]