Valuation Update With 7 Day Price Move • May 21
Investor sentiment deteriorates as stock falls 20% After last week's 20% share price decline to CN¥48.27, the stock trades at a forward P/E ratio of 27x. Average forward P/E is 53x in the Aerospace & Defense industry in China. Total returns to shareholders of 5.3% over the past year. Declared Dividend • May 18
Dividend of CN¥0.90 announced Shareholders will receive a dividend of CN¥0.90. Ex-date: 22nd May 2026 Payment date: 22nd May 2026 Dividend yield will be 1.5%, which is higher than the industry average of 0.9%. Sustainability & Growth Dividend is covered by earnings (81% earnings payout ratio) but the company has no free cash flows available, indicating it may be using cash reserves or debt to pay the dividend. The dividend has increased by an average of 27% per year over the past 2 years and payments have been stable during that time. EPS is expected to grow by 118% over the next 3 years, which should provide support to the dividend and adequate earnings cover. New Risk • May 01
New major risk - Earnings quality The company has a high level of non-cash earnings. Accrual ratio: 28% This is considered a major risk. Non-cash earnings can arise from many different things. However, if a company consistently has a high level of non-cash earnings, it may be a sign that they are recognizing revenue from customers before the full value of the sales are received as cash or they are not depreciating the value of their assets appropriately. These are practices that inflate earnings, while not providing a similar increase to cash flows. Companies in some select industries naturally have a high level of non-cash earnings and it is not a major concern. However, in the worst case scenario it can be an early sign of performance manipulation by management. Currently, the following risks have been identified for the company: Major Risk High level of non-cash earnings (28% accrual ratio). Minor Risk Paying a dividend despite having no free cash flows. Major Estimate Revision • Apr 07
Consensus EPS estimates increase by 17% The consensus outlook for earnings per share (EPS) in fiscal year 2026 has improved. 2026 revenue forecast increased from CN¥1.84b to CN¥1.91b. EPS estimate increased from CN¥1.44 to CN¥1.68 per share. Net income forecast to grow 42% next year vs 79% growth forecast for Aerospace & Defense industry in China. Consensus price target of CN¥70.20 unchanged from last update. Share price was steady at CN¥66.00 over the past week. Announcement • Mar 31
Jiangxi Guoke Defence Group Co.,Ltd., Annual General Meeting, Apr 21, 2026 Jiangxi Guoke Defence Group Co.,Ltd., Annual General Meeting, Apr 21, 2026, at 14:00 China Standard Time. Location: The Company's Meeting Room, Nanchang, Jiangxi China Announcement • Mar 30
Jiangxi Guoke Defence Group Co.,Ltd. to Report Q1, 2026 Results on Apr 29, 2026 Jiangxi Guoke Defence Group Co.,Ltd. announced that they will report Q1, 2026 results on Apr 29, 2026 Reported Earnings • Mar 05
Full year 2025 earnings released: EPS: CN¥1.19 (vs CN¥0.95 in FY 2024) Full year 2025 results: EPS: CN¥1.19 (up from CN¥0.95 in FY 2024). Revenue: CN¥1.41b (up 17% from FY 2024). Net income: CN¥247.5m (up 25% from FY 2024). Profit margin: 18% (in line with FY 2024). Revenue is forecast to grow 26% p.a. on average during the next 2 years, compared to a 23% growth forecast for the Aerospace & Defense industry in China. Valuation Update With 7 Day Price Move • Jan 13
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to CN¥73.46, the stock trades at a forward P/E ratio of 51x. Average forward P/E is 67x in the Aerospace & Defense industry in China. Total returns to shareholders of 81% over the past year. New Risk • Jan 09
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Chinese stocks, typically moving 8.4% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Dividend is not well covered by cash flows (109% cash payout ratio). Share price has been volatile over the past 3 months (8.4% average weekly change). Announcement • Dec 26
Jiangxi Guoke Defence Group Co.,Ltd. to Report Fiscal Year 2025 Results on Mar 31, 2026 Jiangxi Guoke Defence Group Co.,Ltd. announced that they will report fiscal year 2025 results on Mar 31, 2026 New Risk • Dec 01
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Chinese stocks, typically moving 7.4% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Dividend is not well covered by cash flows (109% cash payout ratio). Share price has been volatile over the past 3 months (7.4% average weekly change). Reported Earnings • Oct 28
Third quarter 2025 earnings released: EPS: CN¥0.31 (vs CN¥0.32 in 3Q 2024) Third quarter 2025 results: EPS: CN¥0.31 (down from CN¥0.32 in 3Q 2024). Revenue: CN¥357.9m (up 27% from 3Q 2024). Net income: CN¥65.8m (down 5.4% from 3Q 2024). Profit margin: 18% (down from 25% in 3Q 2024). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 26% p.a. on average during the next 3 years, compared to a 25% growth forecast for the Aerospace & Defense industry in China. Announcement • Sep 30
Jiangxi Guoke Defence Group Co.,Ltd. to Report Q3, 2025 Results on Oct 28, 2025 Jiangxi Guoke Defence Group Co.,Ltd. announced that they will report Q3, 2025 results on Oct 28, 2025 Valuation Update With 7 Day Price Move • Sep 05
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to CN¥47.58, the stock trades at a forward P/E ratio of 36x. Average forward P/E is 49x in the Aerospace & Defense industry in China. Total returns to shareholders of 59% over the past year. Reported Earnings • Aug 27
Second quarter 2025 earnings released: EPS: CN¥0.24 (vs CN¥0.22 in 2Q 2024) Second quarter 2025 results: EPS: CN¥0.24 (up from CN¥0.22 in 2Q 2024). Revenue: CN¥292.9m (down 1.9% from 2Q 2024). Net income: CN¥48.4m (up 3.7% from 2Q 2024). Profit margin: 17% (in line with 2Q 2024). Revenue is forecast to grow 26% p.a. on average during the next 3 years, compared to a 25% growth forecast for the Aerospace & Defense industry in China. New Risk • Jun 30
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Chinese stocks, typically moving 9.8% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. This is currently the only risk that has been identified for the company. Announcement • Jun 30
Jiangxi Guoke Defence Group Co.,Ltd. to Report First Half, 2025 Results on Aug 26, 2025 Jiangxi Guoke Defence Group Co.,Ltd. announced that they will report first half, 2025 results on Aug 26, 2025 Valuation Update With 7 Day Price Move • Jun 30
Investor sentiment improves as stock rises 21% After last week's 21% share price gain to CN¥60.19, the stock trades at a forward P/E ratio of 48x. Average forward P/E is 46x in the Aerospace & Defense industry in China. Total returns to shareholders of 77% over the past year. Valuation Update With 7 Day Price Move • May 28
Investor sentiment deteriorates as stock falls 19% After last week's 19% share price decline to CN¥44.79, the stock trades at a forward P/E ratio of 29x. Average forward P/E is 42x in the Aerospace & Defense industry in China. Total returns to shareholders of 10.0% over the past year. Declared Dividend • May 24
Dividend of CN¥0.90 announced Shareholders will receive a dividend of CN¥0.90. Ex-date: 29th May 2025 Payment date: 29th May 2025 Dividend yield will be 1.6%, which is higher than the industry average of 0.9%. Sustainability & Growth Dividend is covered by both earnings (81% earnings payout ratio) and cash flows (61% cash payout ratio). The company is yet to establish a track record of dividend growth or stability as it hasn't paid a regular dividend for at least 2 years. EPS is expected to grow by 88% over the next 3 years, which should provide support to the dividend and adequate earnings cover. New Risk • May 11
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Chinese stocks, typically moving 8.6% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. This is currently the only risk that has been identified for the company. Valuation Update With 7 Day Price Move • May 08
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to CN¥60.54, the stock trades at a forward P/E ratio of 40x. Average forward P/E is 43x in the Aerospace & Defense industry in China. Total returns to shareholders of 37% over the past year. Reported Earnings • May 03
First quarter 2025 earnings released: EPS: CN¥0.16 (vs CN¥0.19 in 1Q 2024) First quarter 2025 results: EPS: CN¥0.16 (down from CN¥0.19 in 1Q 2024). Revenue: CN¥124.5m (down 32% from 1Q 2024). Net income: CN¥28.7m (down 13% from 1Q 2024). Profit margin: 23% (up from 18% in 1Q 2024). The increase in margin was driven by lower expenses. Revenue is forecast to grow 24% p.a. on average during the next 3 years, compared to a 20% growth forecast for the Aerospace & Defense industry in China. Valuation Update With 7 Day Price Move • Apr 14
Investor sentiment improves as stock rises 28% After last week's 28% share price gain to CN¥56.00, the stock trades at a forward P/E ratio of 38x. Average forward P/E is 38x in the Aerospace & Defense industry in China. Total returns to shareholders of 31% over the past year. Simply Wall St's valuation model estimates the intrinsic value at CN¥33.13 per share. Announcement • Mar 28
Jiangxi Guoke Defence Group Co.,Ltd. to Report Q1, 2025 Results on Apr 29, 2025 Jiangxi Guoke Defence Group Co.,Ltd. announced that they will report Q1, 2025 results on Apr 29, 2025 Announcement • Mar 26
Jiangxi Guoke Defence Group Co.,Ltd., Annual General Meeting, Apr 16, 2025 Jiangxi Guoke Defence Group Co.,Ltd., Annual General Meeting, Apr 16, 2025, at 14:00 China Standard Time. Location: 2F, No. 999, Jianye Avenue, Nanchang Economic and Technological Development Zone, Nanchang, Jiangxi China Reported Earnings • Mar 02
Full year 2024 earnings released: EPS: CN¥1.14 (vs CN¥0.92 in FY 2023) Full year 2024 results: EPS: CN¥1.14 (up from CN¥0.92 in FY 2023). Revenue: CN¥1.20b (up 16% from FY 2023). Net income: CN¥198.7m (up 41% from FY 2023). Profit margin: 17% (up from 14% in FY 2023). The increase in margin was driven by higher revenue. Revenue is forecast to grow 25% p.a. on average during the next 2 years, compared to a 26% growth forecast for the Aerospace & Defense industry in China. Announcement • Dec 27
Jiangxi Guoke Defence Group Co.,Ltd. to Report Fiscal Year 2024 Results on Mar 26, 2025 Jiangxi Guoke Defence Group Co.,Ltd. announced that they will report fiscal year 2024 results on Mar 26, 2025 Reported Earnings • Oct 26
Third quarter 2024 earnings released: EPS: CN¥0.39 (vs CN¥0.29 in 3Q 2023) Third quarter 2024 results: EPS: CN¥0.39 (up from CN¥0.29 in 3Q 2023). Revenue: CN¥282.1m (up 1.4% from 3Q 2023). Net income: CN¥69.6m (up 41% from 3Q 2023). Profit margin: 25% (up from 18% in 3Q 2023). The increase in margin was primarily driven by lower expenses. Revenue is forecast to grow 24% p.a. on average during the next 3 years, compared to a 22% growth forecast for the Aerospace & Defense industry in China. Valuation Update With 7 Day Price Move • Oct 18
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to CN¥50.06, the stock trades at a forward P/E ratio of 45x. Average forward P/E is 37x in the Aerospace & Defense industry in China. Total returns to shareholders of 34% over the past year. Simply Wall St's valuation model estimates the intrinsic value at CN¥25.59 per share. Announcement • Sep 30
Jiangxi Guoke Defence Group Co.,Ltd. to Report Q3, 2024 Results on Oct 26, 2024 Jiangxi Guoke Defence Group Co.,Ltd. announced that they will report Q3, 2024 results on Oct 26, 2024 Valuation Update With 7 Day Price Move • Sep 30
Investor sentiment improves as stock rises 27% After last week's 27% share price gain to CN¥45.29, the stock trades at a forward P/E ratio of 41x. Average forward P/E is 35x in the Aerospace & Defense industry in China. Total returns to shareholders of 18% over the past year. Simply Wall St's valuation model estimates the intrinsic value at CN¥25.66 per share. Reported Earnings • Aug 27
Second quarter 2024 earnings released: EPS: CN¥0.27 (vs CN¥0.25 in 2Q 2023) Second quarter 2024 results: EPS: CN¥0.27 (up from CN¥0.25 in 2Q 2023). Revenue: CN¥298.5m (up 18% from 2Q 2023). Net income: CN¥46.7m (up 38% from 2Q 2023). Profit margin: 16% (up from 13% in 2Q 2023). The increase in margin was driven by higher revenue. Revenue is forecast to grow 22% p.a. on average during the next 3 years, compared to a 19% growth forecast for the Aerospace & Defense industry in China. Announcement • Jun 28
Jiangxi Guoke Defence Group Co.,Ltd. to Report First Half, 2024 Results on Aug 27, 2024 Jiangxi Guoke Defence Group Co.,Ltd. announced that they will report first half, 2024 results on Aug 27, 2024 Valuation Update With 7 Day Price Move • Jun 05
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to CN¥57.24, the stock trades at a forward P/E ratio of 47x. Average forward P/E is 30x in the Aerospace & Defense industry in China. Reported Earnings • Apr 30
First quarter 2024 earnings released: EPS: CN¥0.23 (vs CN¥0.20 in 1Q 2023) First quarter 2024 results: EPS: CN¥0.23 (up from CN¥0.20 in 1Q 2023). Revenue: CN¥183.4m (down 8.2% from 1Q 2023). Net income: CN¥33.0m (up 52% from 1Q 2023). Profit margin: 18% (up from 11% in 1Q 2023). The increase in margin was driven by lower expenses. Revenue is forecast to grow 21% p.a. on average during the next 3 years, compared to a 20% growth forecast for the Aerospace & Defense industry in China. Reported Earnings • Mar 28
Full year 2023 earnings: EPS and revenues exceed analyst expectations Full year 2023 results: EPS: CN¥1.10 (up from CN¥1.00 in FY 2022). Revenue: CN¥1.04b (up 24% from FY 2022). Net income: CN¥140.7m (up 27% from FY 2022). Profit margin: 14% (in line with FY 2022). Revenue exceeded analyst estimates by 3.2%. Earnings per share (EPS) also surpassed analyst estimates by 4.8%. Revenue is forecast to grow 21% p.a. on average during the next 2 years, compared to a 23% growth forecast for the Aerospace & Defense industry in China. Valuation Update With 7 Day Price Move • Feb 05
Investor sentiment deteriorates as stock falls 20% After last week's 20% share price decline to CN¥35.70, the stock trades at a forward P/E ratio of 30x. Average forward P/E is 23x in the Aerospace & Defense industry in China. New Risk • Jan 22
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Chinese stocks, typically moving 6.1% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. This is currently the only risk that has been identified for the company. Reported Earnings • Oct 27
Third quarter 2023 earnings released: EPS: CN¥0.34 (vs CN¥0.34 in 3Q 2022) Third quarter 2023 results: EPS: CN¥0.34 (in line with 3Q 2022). Revenue: CN¥278.2m (flat on 3Q 2022). Net income: CN¥49.3m (flat on 3Q 2022). Profit margin: 18% (in line with 3Q 2022). 
