AVIC XAC(000768)2025-01-08 10:32Company Overview - AVIC Xi'an Aircraft Industry Group Co Ltd (AVIC XAC) was established on June 18, 1997, and listed on the Shenzhen Stock Exchange on June 26, 1997, becoming the first listed company in China's aviation manufacturing industry [3] - The company is primarily engaged in the development, batch production, maintenance, and service of large and medium-sized aircraft and aviation components, including key components for the C919, ARJ21, and AG600 aircraft [3] - AVIC XAC has long-term and stable partnerships with renowned domestic and international airlines such as Airbus, Boeing, and COMAC [3] Development Prospects - During the "15th Five-Year Plan" period, the company will focus on three main areas: military aviation, civil aviation, and aviation services [3] - In military aviation, the company will provide advanced, practical, durable, and manageable aviation equipment to meet the modernization needs of national defense [4] - In civil aviation, the company will leverage its core technologies in integrated manufacturing of fuselage and wing components, benefiting from the production ramp-up of domestic aircraft like the C909 and C919, as well as partnerships with COMAC, Boeing, and Airbus [4] - In aviation services, the company will innovate service models and build a comprehensive aviation maintenance service system to meet the growing demand for equipment maintenance [4] - The company will also develop new productive forces and expand into emerging industries, such as high-end composite materials, to support core industry R&D and derive technological achievements [5] C919 Program - AVIC XAC is the largest supplier of airframe structures for the C919, responsible for the most technically challenging and labor-intensive work packages, including the mid-fuselage, outer wing box, slats, flaps, and ailerons [6] - As the C919 enters batch production, the company expects to benefit from learning curves and economies of scale, leading to reduced unit costs and new profit growth [6] - In 2024, the company achieved continuous growth in C919 airframe structure deliveries for the fourth consecutive year, meeting COMAC's demand while improving project efficiency [7] - The company is also actively participating in the development of the C929, aiming to increase its task share and support the growth of China's large aircraft industry [7] Capacity and Future Plans - Current production capacity is sufficient to meet the needs of existing aircraft models, with plans to build additional capacity based on contract orders and delivery rates [7] - The company is committed to sustainable industrial development, focusing on cost control and efficiency improvements to support long-term growth [7]