Avic Hi-Tech(600862) 华源证券·2025-04-21 11:09Investment Rating - The report assigns an "Accumulate" rating for the company, indicating a positive outlook for its future performance [6][10]. Core Views - The company is recognized as a leading player in high-performance composite materials in the aviation sector, benefiting from the synergy between military and civilian markets, which is expected to accelerate its performance release [6][10]. - The company has shown steady growth in operating performance, with significant improvements in financial metrics over the past four years [8][32]. - The demand for high-end carbon fiber composites is anticipated to rise rapidly, driven by military aircraft, civil aviation, aerospace engines, and low-altitude economy sectors [9][56]. Summary by Sections 1. Company Overview - The company is a subsidiary of AVIC and is the only entity in China specializing in the research and engineering of composite materials for aviation, holding a strong competitive position in the industry [7][19]. - The company has a clear business structure with five subsidiaries focusing on different aspects of aviation new materials and advanced manufacturing technology [24][25]. 2. Financial Performance - From 2020 to 2024, the company's revenue and net profit have shown a compound annual growth rate (CAGR) of 14.88% and 27.89%, respectively [8][32]. - In 2024, the company achieved a revenue of 5.072 billion yuan, a year-on-year increase of 6.12%, and a net profit of 1.153 billion yuan, up 11.73% year-on-year [8][32]. 3. Market Demand - The application of composite materials in military aircraft enhances performance by reducing weight and improving stealth capabilities, with the J-20 fighter jet using 27% composite materials [9][56]. - In the civil aviation sector, the C919 aircraft has a composite material application ratio of approximately 12%, with expectations for increased domestic production and demand [9][18]. 4. Profit Forecast and Valuation - The company is projected to achieve net profits of 1.371 billion yuan, 1.606 billion yuan, and 1.837 billion yuan for the years 2025 to 2027, with corresponding growth rates of 18.93%, 17.18%, and 14.35% [12][29]. - The current price-to-earnings (P/E) ratios for 2025, 2026, and 2027 are estimated at 23.71, 20.23, and 17.69, respectively, indicating a favorable valuation compared to peers [12][29].