Aviation Optical Electronics: La reunión de presentación de resultados se llevará a cabo el 1 de abril, con la participación de varias instituciones como Beijing Dingsa Investment, Caitong Securities y otras.

Star of Securities News, on April 2, 2026, AVIC Optoelectronics (002179) released an announcement stating that the company held a performance briefing meeting on April 1, 2026. Beijing Dingsa Investment, Caitong Securities, Taiping Pension Insurance, Tianzhi Fund, Xi’an Jiangyue Private Fund, Xi’an Pubu Asset, Cinda Securities, Xingye Securities, Xingzheng Global Fund, Galaxy Fund, Yuanxin Yongfeng Fund, Great Wall Wealth Insurance, Caixin Fund, Great Wall Fund, Yangtze Securities, China Merchants Securities, China International Capital, China Galaxy Securities, CNOOC Fund, AVIC Securities, Sino-Provinces Life Insurance, China Construction Investment Securities, Citic Securities, Chengdu Wanxiang Huacheng Investment, Bank of China International Securities, BOC Fund, Zhongyuan Securities, Investors, Chengtong Securities, Chuangjin Hexin Fund, Dacheng Fund, First Shanghai Securities, Northeast Securities, Oriental Fortune Securities, Beijing Jiu Rui and Private Fund, Oriental Securities, Dongxing Fund, Goldman Sachs (China) Securities, Gengji (Shanghai) Investment, Industrial and Commercial Bank of China Credit Suisse Fund, Guanfu (Beijing) Asset, Everbright Securities, Guangdong Bangzheng Asset, Guangdong Guandatai Ze Private Fund, Guangdong Mengjian Private Fund, Beijing Jinggu Private Fund, Guangdong Zhengyuan Private Fund, Guizhou Railway Development Fund, Guohai Securities, National Manufacturing Transformation and Upgrading Fund, Jin Guo Fund, Jinguo Securities, Lian’an Fund, Lian’an Minsheng Securities, Invesco Ruibo Fund, Guoxin Securities, Beijing Shennong Investment, Yuancheng Securities, Hainan Jiayue Private Securities Fund, Hangzhou Shenwo Investment, Hongta Securities, Hongyun Private Fund, Huaan Fund, Huabao Securities, Huachuang Securities, Hufu Securities, Huatai Securities, Beijing Shengxi Investment, HSBC Qianhai Securities, Huihua Fund, Jasim Fund, Whale Domain Asset, Invesco Great Wall Fund, Genshan (Shanghai) Asset, Kaiyuan Securities, Kunlun Health Insurance, Luoyang Venture Capital, Nanjing Kimberley Asset, Beijing Zeming Investment, Nanjing Shengquan Hengyuan Investment, Ningbo Liansheng Investment, Qingli Investment, Rui Shengyuan (Shanghai) Private Fund, Shanxi Securities, Shanghai Baixi Private Fund, Shanghai Biao Pu Investment, Shanghai Oriental Securities Assets, Shanghai Fengyang Assets, Shanghai International Trust, Beijing Zhongjun Investment, Shanghai Hesheng Investment, Shanghai Hetao Asset, Shanghai He’ou Investment, Shanghai Jiashe Private Fund, Shanghai Jien Investment, Shanghai Liuhe Zhiqian Private Fund, Shanghai Mingyu Asset, Shanghai Qiuyang Yuliang Investment, Shanghai Ruisheng Private Fund, Shanghai Senjin Investment, Bosera Fund, Shanghai Shunling Asset, Shanghai Siyi Investment, Shanghai Xiaoyong Private Fund, Shanghai Yashang Equity Investment, Shanghai Yichang Asset, Shanghai Yimu Asset, Shanghai Yingshi Investment, Shanghai Zipu Asset, Shanghai Chongyang Investment, Shenwan Hongyuan Securities, Caida Securities, Shenzhen Huili Assets, Shenzhen Maoyuan Wealth, Shenzhen Qianhai Baide Na Capital, Shenzhen Qianjin Hao Private Securities Fund, Shenzhen Shenggao Private Securities Fund, Shenzhen Maisheng Assets, Shenzhen Shangcheng Assets, Shenzhen Zexinyi De Investment, Shenzhen Zhongtian Huifu Fund, Suzhou Zhengyuan Xinyiyi Asset participated.

The specific content is as follows:

I. Company’s 2025 work review

2025 was a year where challenges and opportunities intertwined; the external environment was complex and ever-changing, and the industry’s cyclical fluctuations became more prominent. At the same time, demand in the defense sector showed a phased slowdown. Meanwhile, prices of precious metals and bulk materials such as gold, copper, and silver continued to rise, bringing considerable pressure to the company’s earnings. Faced with a complex and severe situation, the company adhered to the overall work tone of “seeking growth, enhancing capabilities, and creating first-class performance,” focusing on its primary responsibilities and core business, continuously strengthening core capabilities, deeply planning the company’s operations and development, cultivating new growth momentum, pushing into the era of new quality productivity with greater force. For the whole year, the company cumulatively achieved operating revenue of 21.39B yuan, an increase of 3.39% year-on-year, and realized total profit of 2.69B yuan, delivering hard-won results.

In terms of the company’s business, the company has always adhered to strategic leadership and focused on connecting the main business. While deeply cultivating the defense sector and continuously consolidating its position as the preferred supplier, it also actively and deeply expanded the layout in the civilian high-end manufacturing sector, forming a business pattern of diversified drivers and coordinated development, laying a solid foundation for high-quality development. Specifically: in the defense sector, the company continues to consolidate its preferred supplier position, leveraging EWIS core technology to empower new-domain and new-quality equipment such as air and space. It breaks through traditional integration support barriers, achieving a comprehensive improvement from connectors to integrated interconnects. It adheres to the “solution + speed + cost” strategy, proactively laying out emerging areas such as unmanned systems, deep-water, and star rockets, and its overall competitive strength has been steadily improving.

In the new energy vehicle sector, the company, around the core customers of “international first-class and domestic mainstream,” continues to deepen its efforts in three major areas: on-board power, charging and swapping, and intelligent network interconnection, building a product matrix covering full scenarios across the three areas to meet the diversified connection needs of new energy vehicles. It successfully entered the sequence of leading providers of on-board interconnection products in China’s new energy vehicle connector market. For the whole year, it cumulatively secured project awards of over 400 items and won the “Excellent Supplier” titles from multiple top automakers, with the scale of its business achieving rapid growth year-on-year.

In the communications network sector, the company has built a full-scenario product matrix covering wireless base stations, transmission, and access. Relying on independently developed technologies such as fiber-optic transmission and electro-optical conversion, combined with precision-manufactured power connectors, low-frequency signal interfaces, and high-speed backplane connectors, the company can provide customers with end-to-end comprehensive solutions across optical, electrical, and high-speed domains.

In the data center and computing power sector, the company relies on independently developed capabilities to form an overall solution covering “power + fiber + high-speed + liquid cooling” products. At present, the company’s data center business has been deeply integrated into the supply chains of high-efficiency computing infrastructure of leading customers both domestically and internationally, and has built distinct first-mover advantages in core tracks such as liquid cooling heat dissipation. It has formed a complete product matrix including power-related products, optical transmission devices and components, high-speed connectors and components, liquid cooling heat dissipation systems, and so on. The business broadly covers upstream chip, hard drive, and power equipment manufacturers; midstream server manufacturers and IT equipment vendors; and downstream terminal users such as internet companies, operators, government-enterprise and financial institutions. The company has established deep cooperation with leading internet enterprises, operators, and equipment vendors in the industry. High-speed cable assemblies and integrated wiring cold-plate components, among other products, have achieved large-scale applications with globally leading customers. In data center and scenarios in industrial and high-end manufacturing—such as supercomputing, energy storage, and wind power—the company continues to expand. During the reporting period, the scale of the data center business achieved rapid growth year-on-year.

In the industrial and medical sector, the company focuses on building a business development pattern of “2 major + 2 strong + 2 new.” Around leading customers, it focuses on connectors and components, providing customers with high-quality, low-cost products and services. Relying on deep technical accumulation, in segmented fields such as photovoltaic energy storage, oilfield equipment, marine engineering, industrial equipment, engineering and special machinery, medical equipment, and power equipment, the company provides interconnection solutions across full scenarios and tailored to customers’ needs for customers across industries. In terms of market value management, the company actively implements the relevant requirements of the CSRC, the Shenzhen Stock Exchange, and the State-owned Assets Supervision and Administration Commission on market value management, formulates a market value management system and corresponding implementation rules, and has formed a relatively complete market value management framework. From shareholder returns, the 2024 dividend payout ratio reached 50.52%, the highest level since the company’s listing. This year, the company again proposed a cash dividend plan of 1.15B yuan; together with the 150 million yuan share buyback already implemented, the company’s 2025 cash dividend payout ratio is expected to reach 60.28%, keeping the dividend yield among the top in the industry. From investor communication, last year the company seized opportunities from periodic performance briefing meetings and off-cycle investor exchange meetings, taking multiple measures to conduct on-site exchanges, securities firm strategy meetings, and various other activities, carrying out extensive communication with investors, and receiving high recognition from the capital market and the broad investor base.

2026 is the opening year of “the 15th Five-Year Plan,” and also a key year for the company’s new journey of building a world-class enterprise. The company will firmly center on “steady growth,” closely follow the three major lines of “enhancing capabilities, strengthening management, and improving quality and efficiency,” focus on high-quality development, and strive to achieve a good start for “the 15th Five-Year Plan.” Q: Investors’ response:

Answer: II. Investor questions

Q: (I) What considerations does the company have in formulating its development strategy for the next five years?

Answer: Overall, the company will continue to focus on the interconnect core business, focusing on the research and development of mid-to-high-end optical, electrical, and fluid connection technologies and products, to provide interconnection solutions for aviation and defense and for high-end manufacturing.

In specific business areas, in the defense sector it enhances its comprehensive defense capabilities, based on “two highs and one low that is sustainable,” and positively constructs specialized professional capabilities for low-cost interconnect solutions covering multiple scenarios. The business scale achieves stable growth. In the civilian high-end manufacturing sector, it further deepens segmented tracks, focusing on resource allocation and capability building, and carries out business around core leading customers and large-volume products.

Q: (II) What are the main reasons for the decline in the company’s R&D expenses in 2025?

Answer: The main reason for the decline in R&D expenses is that the performance target for unlocking equity incentives was not met, and the company reversed expenses for amortization in the earlier period. Among the incentive personnel, the majority are R&D personnel, so R&D expenses were increased for reversal. After excluding the impact of equity incentive amortization, R&D expenses increased year-on-year.

The company adheres to market-driven development and R&D-driven development. The proportion of R&D investment to sales revenue is basically over 10% every year. The company’s R&D investment mainly targets three areas: market demand and customer projects; basic research and pre-research; and major business expansion and new business incubation projects. Going forward, the company will also continue to pay attention to the efficiency of R&D investment and improve the contribution of R&D expenses to the company’s operating results.

Q: (III) How does the company achieve continuously optimized cost control?

Answer: First, adhere to technological innovation and further achieve cost control in aspects such as product design and material selection. Second, continue to break down operations into smaller units, strengthen performance evaluations tied to operating responsibility, and increase the intensity of digital and intelligent transformation, in order to make more precise accounting and identify key points for cost improvements, thereby enhancing cost competitiveness. Third, deeply implement strategic cost management, establish business profit models and a target price economic efficiency management platform, and firmly advance the “cost leadership” strategy.

Q: (IV) What is the reason for the company’s overall gross margin decline in 2025?

Answer: During the reporting period, the overall defense business was affected by cyclical fluctuations in the industry; weak demand combined with the requirements of “two highs and one low that is sustainable” led to a significant year-on-year decline in defense sector revenue. At the same time, prices of precious metals and bulk materials such as gold, copper, and silver continued to rise, impacting the company’s profitability.

Q: (V) What plans does the company have for global expansion?

Answer: The company is firmly committed to an international expansion development strategy. Relying on its subsidiaries in Vietnam and Germany, it accelerates the transformation of international business from “exporting products” to “exporting capacity.” Its international delivery capability and service capability are continuously improving. In addition, the company has established a rapid response mechanism that meets customer needs. When facing customer needs, it upholds “efficiency first,” keeps communication channels and service guarantee systems畅通 and efficient, and sets up branches in key international regions and countries. Through a top-level plan of “global integrated layout, business integration into regions, and best overall cost-effectiveness,” the company continuously promotes its international layout and achieves efficient localized services worldwide.

Q: (VI) What are the reasons for the substantial increase in inventory in 2025? Which business fields are mainly included?

Answer: Although defense business revenue in 2025 declined year-on-year, orders increased year-on-year. Because there is a cycle between product delivery and revenue recognition, some order revenues will be reflected later, leading to a corresponding increase in inventory. Currently, the inventory structure mainly includes products related to the defense business and the new energy vehicle business.

Q: (VII) How does the company look ahead to its performance in 2026?

Answer: Based on the company’s disclosed 2026 financial budget report, it is expected to achieve operating revenue of 22.8 billion yuan and total profit of 3.0 billion yuan for the full year, representing year-on-year growth of 6.61% and 11.49%, respectively.

Q: (VIII) What is the status of the organizational structure adjustment for the company’s liquid cooling business unit?

Answer: Based on the continued explosive demand in the data center and I-computing power market, at the beginning of 2026 the company made adjustments to its liquid cooling business unit. The new liquid cooling business unit is responsible for the full-value-chain aspects such as R&D, procurement, production, market, etc. for civilian liquid cooling business, further reinforcing the first-mover advantages in liquid cooling heat dissipation products. The original defense liquid cooling business was separated and established into the environmental control products department.

Q: (IX) Does the company have any market value management or shareholding increase plan?

Answer: The company has already formulated a market value management system and corresponding implementation rules. If there is any plan to increase holdings in the future, it will strictly comply with the requirements of relevant laws and regulations to timely fulfill information disclosure obligations.

Q: (X) Is the company’s current production capacity plan sufficient, and can it support the “15th Five-Year Plan” revenue target?

Answer: In terms of industrial layout, in recent years projects such as the company’s South China industrial base, basic components industrial park, liquid cooling industrial base, civil aircraft and industrial interconnection industrial park, and high-end interconnection technology industrial community have been completed and put into operation one after another. The overall industrial space layout is basically in place. In terms of production capacity scheduling, the company’s equipment and capability building is being advanced steadily in accordance with the annual fixed asset investment plan, and is dynamically adjusted following market demand. Overall, the pressure to achieve the “15th Five-Year Plan” production capacity planning objectives is not high.

AVIC Optoelectronics (002179) main business: research and development of mid-to-high-end optical, electrical, and fluid interconnect connection technologies and products; specialized in providing interconnection solutions for aviation and defense and high-end manufacturing.

AVIC Optoelectronics’ 2025 annual report shows that for the year, the company’s main operating revenue was 21.39B yuan, up 3.39% year-on-year; net profit attributable to shareholders was 2.16B yuan, down 35.56% year-on-year; net profit excluding non-recurring items was 2.1B yuan, down 35.84% year-on-year. Among them, in the fourth quarter of 2025, the company’s single-quarter main operating revenue was 5.55B yuan, down 15.81% year-on-year; single-quarter net profit attributable to shareholders was 425 million yuan, down 49.51% year-on-year; single-quarter net profit excluding non-recurring items was 402 million yuan, down 51.31% year-on-year. The asset-liability ratio was 38.54%, investment income was 80.0426 million yuan, finance expenses were -37.0318 million yuan, and gross margin was 29.19%.

In the most recent 90 days, 4 institutions have provided ratings for this stock: 3 “buy” ratings and 1 “increase holdings” rating; within the past 90 days, the institutions’ target price average was 45.0.

The following are detailed earnings forecast information:

Margin financing and securities lending data show that over the past 3 months, net margin financing inflow for this stock was 538 million yuan, with margin financing balance increasing; net margin securities lending outflow was 451.5k yuan, with margin securities lending balance decreasing.

The above content has been compiled by Star of Securities based on publicly available information, generated by an AI algorithm (Cybersecurity Record No. 310104345710301240019), and does not constitute investment advice.