The company has been deeply engaged in UAV anti drug service for 18 years and maintained high profit growth for many consecutive years: the company is a leading UAV anti drug service provider in China and the first enterprise in China to engage in UAV anti drug product R & D and service industrialization. The main business can be divided into two aspects: UAV flight service and data processing, UAV system and intelligent defense equipment. Flight service and data processing business mainly include data acquisition and data processing, which can be combined freely according to customer needs, and the company provides corresponding customized services; In terms of UAV system and intelligent defense equipment, many high-performance and adaptive UAV models have been finalized after years of deep cultivation. At present, the company has obtained complete military industrial qualification. The main customers of UAV service business are drug control government departments at all levels, and the main customers of UAV product business are state-owned enterprises of Aerospace Department. From 2016 to 2021, the company’s revenue and profit CAGR exceeded 20%. In 2021, the company achieved a revenue of 230 million yuan (+ 28%) and a net profit attributable to the parent company of 722879 million yuan (+ 35%), with excellent growth ability.
The UAV industry has developed rapidly, and the growth of industrial and military UAVs is prominent: UAVs were mainly used in the military field in the early stage. Then, with the maturity of the industrial chain and the rapid development of flight control and navigation technology, UAVs have the conditions of miniaturization, intelligence and low cost, and the application of UAVs has been expanded rapidly. According to the application field, UAVs can be divided into military UAVs and civil UAVs (consumer + industrial). In terms of civil UAVs, from 2015 to 2020, China’s civil UAV market was still dominated by consumer UAVs, but the proportion decreased year by year, and the proportion of industrial UAV market increased year by year, reaching 46% in 2020. According to the Research Report of the prospective industry research institute, from 2015 to 2020, the market scale of China’s industrial UAV increased from 3 billion yuan to 27.3 billion yuan, with a CAGR of 55.53%. If measured by the industry growth rate of 25%, the market scale of China’s industrial UAV in 2026 will reach about 104.1 billion yuan. In terms of military UAV, in recent years, with the development of military UAV R & D technology and the advantages of product cost performance, it has gradually become one of the most important exporters in the global military UAV market together with the United States and Israel. According to the data of the prospective research institute, the production and sales of military UAVs in China are expected to reach about 25% of the global UAV market in 2024.
Through the promotion of secondary database mining + fund-raising projects, the existing business refinement + multi field business expansion will be realized: 1) UAV anti drug service field: Based on the existing anti drug aerial survey system, a more efficient UAV anti drug aerial survey system and procedures and standards will be established nationwide, and an up-down linkage intelligent data platform suitable for anti drug departments at all levels will be built through feature engineering, data mining and other methods. 2) Other service fields of UAV: take UAV big data as the port, expand the existing technology to other fields, and strive to form new business growth points. 3) In terms of UAV products: focus on fund-raising projects, strengthen R & D to expand product types and production capacity, and speed up the pilot test and finalization of non lethal explosion-proof firearms. 4) In terms of intelligent defense equipment: increase the development of defense products and form an information support product system centered on UAVs that can be used in the field of defense; Accelerate the achievement transformation of law enforcement equipment and fill the application gap in the fields of maintaining stability and dealing with emergencies. 5) Military industry: formulate military strategic layout and medium and long-term technical layout by discussing the relationship between military UAV development and operation, new technology and traditional equipment, UAV and network communication.
UAV anti drug service “specialized and new” Little Giant: Industrial UAV enterprises mainly focus on the in-depth excavation of a certain application field. Their applications are relatively scattered, and there are no enterprises across multiple fields. China’s industrial UAV enterprises mainly include Guandian defense, Guanglian Aviation Industry Co.Ltd(300900) , Chengdu Jouav Automation Tech Co.Ltd(688070) , Aerospace Ch Uav Co.Ltd(002389) , etc. In terms of business, Guandian defense is in a leading position in the UAV anti drug service industry Guanglian Aviation Industry Co.Ltd(300900) is a well-known supplier of supporting products for China’s private aerospace industry Chengdu Jouav Automation Tech Co.Ltd(688070) is one of the few enterprises in China that can systematically apply the professional design system of aircraft Aerospace Ch Uav Co.Ltd(002389) mainly engaged in UAV business and new material film business. The application service is based on rainbow UAV platform and has completed demonstration applications in many national economic fields. In terms of finance, 1) scale: Aerospace Ch Uav Co.Ltd(002389) revenue scale is outstanding, with revenue of 2.914 billion yuan in 2021; 2) Growth: in 2021, only the revenue and profit growth of Guandian defense was positive among the four business companies, but in 2022q1, the net profit attributable to the parent company of the other three companies increased significantly year-on-year, Guanglian Aviation Industry Co.Ltd(300900) , Chengdu Jouav Automation Tech Co.Ltd(688070) , Aerospace Ch Uav Co.Ltd(002389) performance growth was 102069%, 80.74% and 82.34% respectively; 3) Cost: from 2019 to 2021, except that the overall cost rate of Guandian defense has little change, the other three companies have an obvious upward trend, but the cost rate of the three companies has decreased in 2022q1.
Risk warning: the risk of UAV flight service being replaced, the risk of data use compliance, and the risk of market competition
