Hongda Blasting (002683) Company In-depth Report: Deep Cultivation of Mining Service Civil Explosion Business Actively Deploys High-end Military Industry

Hongda Blasting (002683) Company In-depth Report: Deep Cultivation of Mining Service Civil Explosion Business Actively Deploys High-end Military Industry

Investment points “conventional private” help the company to develop rapidly and lay out three major business segments.

The company was established in 1988. In the early days, it was a wholly owned enterprise owned by the Guangdong Coal Industry Research Institute. Later, in order to break the shackles of the mechanism and system, the company implemented a shareholding system reform, established a state-owned relative holding company, a backbone operator, and a strict corporate governance standard.system.
The company was listed in 2012. It is the first open-pit mine mining and stripping service listed company in China. It is also one of the integrated mining and explosive service providers in China with advanced blasting 南京夜生活网 technology, strong mining and stripping capabilities, and complete mining service projects.

At present, the mining service, civil explosion and military industries are the company’s three main business sectors.

“Mining and civilian explosion integration” service model, integrating Guangdong’s civil explosion equipment manufacturing enterprises.

The company has been cultivating in the field of mining engineering services for many years, and has created a “mine and civilian integration” service model with blasting technology as its core. In the field of open-pit mining, it has developed into an overall overall blasting solution with strong design capabilities, advanced blasting technology, and complete service content.One of the mining and explosion integration service providers.
At the same time, under the first-mover advantage of the civil explosive industry chain where mining services and civil explosives are integrated, the company has completed the merger and integration of 7 civil explosive equipment manufacturing enterprises in Guangdong Province (a total of 8 in the province), and also began toIntegration of civil explosive equipment sales enterprises.

With the expected recovery of the mining industry and the assessment of the infrastructure industry, it is expected that the company’s mining service and civilian explosion revenue will increase steadily.

Actively responding to the “military-military integration” policy, the military industry business has developed from traditional “small military” business products to “large military” high-end weapon systems.

At the 12th Zhuhai Air Show in 2018, the company merged more than 20 products based on the overall missile-based design platform, missile-powered platform, intelligent ammunition platform, and individual combat platform.

Among them, the company invested 1.3 billion and has successfully completed the HD-1 missile weapon system project for the first preliminary overspeed cruise flight test. The innovative research methods have reduced research and development costs and time by nearly three times.Earlier similar products in the international military trade market had competitive competitiveness and could become a new revenue growth point for the company in the future.

Risk warning: domestic mineral product prices fluctuate, the recovery of the mining industry is less than expected; HD-1 project progress is less than expected, and arms export license approval is blocked.

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