The company is an integrated provider of aviation technology solutions integrating aviation airborne equipment development, maintenance, measurement and control equipment development, information technology and other business. customers are the military, commercial aviation, general aviation and aviation manufacturing enterprises, and the proportion of military and civilian products in 2019 is about 7:3. Including the chairman and other company directors, executives and many core technical personnel graduated from the major domestic aerospace colleges and universities, and accumulated rich experience in R & D, production and management in the aviation field. The company shows the characteristics of an outstanding enterprise in enterprise management and corporate culture construction, with outstanding management ability, and is expected to make great progress in the future.
The market of airborne equipment is vast, and the company has a lot of room for development. The average annual market space of military airborne equipment is more than 35 billion yuan, and that of civil aircraft airborne equipment is about 82.5 billion yuan. Among them, the average annual market capacity of military helicopter aviation seats in China is about 205-410 million yuan, which is several times higher than that of other military aircraft types, and the average annual market capacity of civil aviation seats is about 770 million yuan. The global civil aviation maintenance market totaled US $75.6 billion in 2017, of which the Chinese market totaled US $7.5 billion, accounting for about 10 per cent of the global share.
The forecast shows that the maintenance expenditure of China's civil aviation market will grow at an average annual rate of 10.1% in the next 10 years, and the scale of the maintenance market will increase by more than 160%. China will become the region with the largest increase in maintenance expenditure in the world. The company's maintenance business is expected to achieve steady growth with the expansion of the overall output value of the industry.
The development of measurement and control and information technology is gradually becoming large-scale, which develops together with the development and maintenance of airborne equipment and promotes each other.
The company's composite armor bulletproof technology is mainly used in helicopter seats, and has been applied to the helicopter fuselage. In the future, this technology may be applied to the safety protection of other aircraft fuselages and even key parts, opening up new growth points.
Profit forecast and investment advice. Benefiting from the rapid increase in industry demand, the company's early investment is about to enter the harvest period. it is predicted that the company's return net profit from 2020 to 2022 will be 0.99,1.31 and 171 million yuan respectively, corresponding to PE on August 20, which is twice that of 44-33-25 respectively, giving the rating of "prudent overweight" for the first time.
Risk tips: military orders fluctuate; gross profit margin declines; new business expansion falls short of expectations.
Special note: the proportion of self-owned positions in the company is more than 1%.