[CITIC Construction Investment: The profit recovery of the military industry sector is accelerating Waiting for the issuance of large-scale orders during the "15th Five-Year Plan"] On September 13, CITIC Construction Investment's research report pointed out that with the full disclosure of the 2026 semi-annual reports of listed companies in the military industry sector, the trend of accelerated recovery of sector profits is clear: the 26H1 sector achieved operating income of 4,159.95 billion (+7.93%), net profit attributable to the parent company was 25.326 billion yuan (+20.98%); gross profit margin rebounded by 0.92 percentage points to 18.85%, net profit margin rebounded by 0.66 percentage points to 6.09%, and operating net cash flow turned from negative to positive. The accelerated recovery of segment profits in 26H1 showed significant structural characteristics: growth was mainly contributed by shipping, ground military equipment and military trade-related directions, while profits from traditional core tracks such as aerospace still declined year-on-year. The "comprehensive recovery" of the overall segment profits has yet to be further verified after the implementation of large-scale orders during the "15th Five-Year Plan". The agency judged that China's military industry has evolved from relying on domestic single demand to a new three-wheel drive pattern of "domestic demand foundation, foreign trade expansion, and civilian feedback", with growth momentum becoming more diverse and sustainable.