Catch up with Top Numerical Control - domestic leader in CNC machine tool

研报英文原文证据摘录

Catch up with Top Numerical Control - domestic leader in CNC machine tool

Global Research

29 June 2026ab

First Read

EquitiesChina Industrials

Catch up with Top Numerical Control - domestic China

leader in CNC machine tool Industrial

Phyllis Wang

Analyst

phyllis.wang@ubs.com

A leader in CNC machine tool focusing on aviation/aerospace +86-21-3866 8964

We visited Shanghai Top Numerical Control (7688.HK, not rated) last week, a domestic Robin Xu

leader in five-axis CNC machine tool, with 10% domestic market share in 2025 for Analyst

aviation/aerospace application five-axis CNC machine tool (largest domestically). Its S1460511010012

proprietary mirror milling technologies support C919 and rocket programs, with bin.xu@ubs.com

aviation/aerospace contributing 88.7% of 2025 revenue. Key takeaways: (1) 2026 +86-21-3866 8872

revenue guidance at RMB900m, breakeven at ~RMB 600m; (2) Rocket order mix to rise Kunlun Li

from 30% to 40% of backlog; (3) C919 equipment tenders and commercial rocket Analyst

orders are primary growth drivers. S1460520080002

kunlun.li@ubs.com

Core business and company guidance +86-21-3866 8894

The company's core product offerings include four equipments: friction stir welding, Yuhua Li

mirror milling, plate conversion milling, and automatic drilling & riveting. The four major Analyst

machine tools of the company are essential for manufacturing rocket propellant tanks, yuhua.li@ubs.com

+852-2971 6491

aircraft skins, structural frames, and assembly. According to the company, domestic five-

axis CNC market in 2025 stood at RMB 12.9bn, of which aviation/aerospace segment

accounts for RMB 4.3bn (34%). For 2026, management guides RMB 900m revenue

with positive net margin (BEP at RMB 600m revenue) and RMB 1bn backlog by 2026YE

(RMB 600m by 2025YE).