Summary of the Conference Call on Hangya Technology Company Overview - **Company**: Hangya Technology - **Industry**: Aviation and Aerospace Key Points 1. **C919 Certification Progress**: The C919 large passenger aircraft has achieved a significant milestone in its international airworthiness certification process, receiving a core evaluation of "good performance and safety reliability" from the European Union Aviation Safety Agency (EASA), marking a decisive step towards entering the global mainstream aviation market [1] 2. **Demand for Wide-body Aircraft**: There is a strong demand for wide-body aircraft globally, with Airbus expected to reach a peak backlog of 1,124 wide-body aircraft orders by 2025, reflecting a recovery in the long-haul market. This surge in demand necessitates enhanced delivery capabilities from engine manufacturers like Rolls-Royce and GE, which will also create additional opportunities for domestic supply chains [1][1] 3. **New Engine Repair Facility**: Rolls-Royce has opened its first joint venture engine repair company in mainland China, Beijing Aviation Engine Services Limited (BAESL), which is set to begin operations and plans to undertake major repairs for several engine models starting in 2026, with an expected annual overhaul capacity of 250 engines by 2034 [1][1] 4. **Specialized Manufacturing Capability**: Hangya Technology is one of the few domestic companies capable of mass-producing compressor blades using precision forging technology, supplying to leading international engine manufacturers. Their products are utilized in Boeing's B737max, B777, B787, B777X, and Airbus's A320neo, A350 [1][1] 5. **Increased Demand from C919**: The domestic C919 aircraft is anticipated to further stimulate demand for domestic commercial engines, indicating that the company is entering a new phase of growth [1][1] Additional Important Information - **Risks**: The company faces several risks, including macroeconomic fluctuations, risks associated with new product development, potential declines in product sales prices, high customer concentration risks, safety production management risks, and fluctuations in receivables influenced by product acceptance schedules [1][1][1]

Core Viewpoint - The opening of the Beijing Aircraft Engine Maintenance Project marks a significant advancement in China's aviation maintenance capabilities, particularly in high-thrust engine repairs, enhancing the safety and self-repair capacity of the civil aviation industry in China [1][2]. Company Summary - Beijing Aircraft Engine Maintenance Co., Ltd. (BAESL) is a joint venture established by Air China and Rolls-Royce, with each holding a 50% stake. This partnership aims to provide reliable and efficient maintenance support for Air China's fleet and aligns with Rolls-Royce's strategic goal of increasing global maintenance capacity by 2030 [2][3]. - BAESL has received formal maintenance certification from the Civil Aviation Administration of China, allowing it to conduct in-depth engine repairs and ensuring high-quality service for its clients [2][3]. Industry Summary - The project is part of the broader development of the Capital Airport Economic Zone, which has established a modern aviation service industry system supported by various sectors, including healthcare, logistics, and business consumption. The zone hosts over 240 aviation service enterprises, making it the largest aviation service industry cluster in China [3][4]. - The establishment of BAESL is expected to enhance the regional aviation industry's competitiveness and contribute to the growth of high-end aviation services in China, promoting high-quality development of the airport economy [4][5].