Minsheng Securities: Northern Navigation's performance exceeds expectations, maintains "recommended" rating.

Minsheng Securities research report pointed out that Beifang Navigation achieved a net profit attributable to the mother of 116 million yuan in the first half of 2025, compared to -74 million yuan in the first half of 2024; performance exceeded expectations. At the end of the "14th Five-Year Plan" period, the company's main product deliveries increased year-on-year, revenue increased significantly year-on-year, and profits turned losses into gains. The company is a core supplier of navigation control and ammunition informationization in the industry, with a good position in the industrial chain and a grasp of the trend of equipment intelligence and unmanned development. It actively deepens research and development in special communication/data link, connectors, intelligent ammunition, and other areas, and will form a new growth logic in the future. At the same time, the company continues to increase efforts to reduce costs and increase efficiency, and promotes the enhancement of operational resilience. Taking into account the company's leading position in the industry and its expansion in the field of intelligence/informationization such as data links, the bank maintains a "recommendation" rating.