Core Insights - The low-altitude economy in Shaanxi is rapidly developing, with increasing applications in various sectors such as flight training, aerial rescue, and agricultural spraying [2][4][9] Group 1: Flight Training and General Aviation - Xi'an Xinyi General Aviation Co., Ltd. has expanded its flight training business, now operating 11 aircraft compared to just 2 at its inception in 2019, and has completed a total of 7,000 safe flight hours [2][8] - The company focuses on low-altitude flight training, which is defined as airspace within 1,000 meters above ground level, and aims to meet diverse flying application needs [2][4] Group 2: Drone and Aerial Services - The Xi'an Xianyang New Area has successfully completed a low-altitude delivery task using a cargo drone, marking significant progress in the low-altitude economy [3][4] - The region has attracted 106 companies in the drone industry, forming a complete industrial chain [3] Group 3: Emergency Medical Services - Shaanxi's first hospital to autonomously price helicopter medical transfers successfully completed a cross-province transfer, enhancing emergency medical response capabilities [6][7] - Qinhan General Aviation operates 18 helicopters, making it the largest general aviation operator in Northwest China, and has conducted significant emergency rescue operations [7] Group 4: Industrial Development and Policy Support - Shaanxi has a strong foundation for developing the low-altitude economy, with a plan to build a trillion-yuan aviation manufacturing and low-altitude industry innovation cluster by 2024 [8] - The establishment of the first civil drone test flight base in Shaanxi marks a key step in infrastructure development for the low-altitude economy [8] Group 5: Agricultural Applications - In 2024, the area of agricultural drone operations in Shaanxi is expected to reach 40 million acres, focusing on comprehensive pest control for wheat [9][10] - Various low-altitude aircraft are being utilized for police patrols, ecological protection, and emergency rescue operations [9]

Investment Rating - The report maintains an "Outperform" rating for Cirrus Aircraft (2507 HK) with a target price of HK$60.00, indicating expected relative performance above the market benchmark [2][15]. Core Insights - The company's performance significantly exceeded expectations, demonstrating robust profitability with a total revenue of USD 594 million in 1H2025, a year-on-year increase of 25.1%. Net profit reached USD 64.97 million, up 82.5% year-on-year, and the gross profit margin improved to 36.2% [3][12]. - Aircraft deliveries and service revenue are key growth drivers, with 350 aircraft delivered in 1H2025, a notable increase from 287 in the same period of 2024. The average selling price of SR2X aircraft rose to USD 1.14 million, reflecting a 9.6% year-on-year increase [4][13]. - The company has a strong order backlog of 1,056 aircraft as of June 30, 2025, indicating continued strong market demand and a deepened global presence across 36 countries [4][14]. Financial Summary - Revenue projections for 2025-2027 are USD 1.394 billion, USD 1.634 billion, and USD 1.904 billion, with corresponding net profits of USD 141 million, USD 176 million, and USD 206 million [5][15]. - The adjusted EBITDA margin for 1H2025 was 17.1%, up 3.7 percentage points year-on-year, highlighting improvements in cost control and operational efficiency [3][12].