Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company reported a revenue growth of over 156% in 2024, reaching 2.24 billion RMB, primarily driven by the sales of building block toys [6] - The gross profit increased by 184% to 1.18 billion RMB, with the gross margin improving from 47.3% to 52.6% due to the growth in building block toy sales and economies of scale [6] - The company is focusing on expanding its overseas market and developing new IPs, with overseas revenue increasing by over 5 times [6] - The report highlights a balanced IP structure with significant growth in various IPs, reducing reliance on a single IP [6] - The adjusted net profit for 2025-2026 has been revised upwards to 10.8 billion RMB and 16.5 billion RMB, respectively, with a projected net profit of 20.9 billion RMB in 2027 [6] Financial Summary - Total revenue for 2023 was 876.69 million RMB, with projections of 2,240.93 million RMB for 2024, 3,922.35 million RMB for 2025, 5,732.48 million RMB for 2026, and 7,022.76 million RMB for 2027 [1][7] - The company reported a net loss of 401.05 million RMB in 2024, but the Non-GAAP net profit is expected to reach 584.59 million RMB in the same year [1][7] - The earnings per share (EPS) is projected to improve from -1.61 RMB in 2024 to 8.12 RMB in 2027 [1][7] - The price-to-earnings (P/E) ratio is expected to decrease from -64.91 in 2024 to 12.86 in 2027 [1][7]

Investment Rating - The report maintains a "Buy" rating for the company [1] Core Insights - The company reported a revenue growth of 156% in 2024, reaching 2.24 billion RMB, driven primarily by the sales of building block toys [6] - The gross profit increased by 184% to 1.18 billion RMB, with the gross margin improving from 47.3% to 52.6% [6] - The company is expanding its overseas market presence, with overseas revenue growing by 517% to 640 million RMB, now accounting for 3% of total revenue [6] - The introduction of new IPs is expected to enhance revenue growth potential, with significant new IP announcements made in March [6] Financial Summary - Total revenue projections for 2025-2027 have been revised upwards, with adjusted net profits expected to reach 1.08 billion RMB in 2025 and 2.09 billion RMB in 2027 [6] - The company’s earnings per share (EPS) is projected to improve from -1.61 RMB in 2024 to 8.12 RMB in 2027 [7] - The price-to-earnings (P/E) ratio is expected to decrease from 64.91 in 2024 to 12.86 in 2027, indicating improved valuation over time [7]

Investment Rating - The report maintains a "Buy" rating for the company [1][10] Core Insights - The company's profitability has significantly improved, with adjusted net profit increasing by 702.1% year-on-year [4] - The company reported a revenue of 2.24 billion RMB for 2024, representing a year-on-year growth of 155.6% [3][4] - The company is expanding its product offerings across all age groups and is focusing on penetrating lower-tier markets [5] - The company has established a strong presence in overseas markets, with overseas sales revenue growing by 518.1% [7] Financial Performance - In 2024, the company's gross margin was 52.6%, an increase of 5.3 percentage points year-on-year [4] - The adjusted net profit margin reached 26.1%, up by 17.8 percentage points year-on-year [4] - The company expects revenues of 3.89 billion RMB in 2025, with a projected adjusted net profit of 972 million RMB [9] Product and Market Strategy - The company has launched 682 SKUs covering various age groups, with a focus on popular IPs such as Ultraman and Transformers [5] - The revenue from building block toys decreased by 62.9% year-on-year, indicating a shift in consumer preference towards role-playing toys [5] - The company has introduced a 9.9 RMB Transformers SKU to expand its price range and target lower-tier markets [5] Sales Channels - Online sales accounted for 6.95% of total revenue, while offline sales made up 93.04%, showing a strong reliance on traditional retail channels [6][7] - The company has seen a significant increase in revenue from distribution sales, which reached 20.63 billion RMB, up by 181.5% year-on-year [7] Future Projections - The company is projected to achieve a revenue of 5.17 billion RMB by 2026, with an adjusted net profit of 1.29 billion RMB [9][10] - The expected return on equity (ROE) is forecasted to be 101% in 2025, indicating strong profitability potential [10]

Investment Rating - The investment rating for the company is "Buy" (maintained) [2][7][18] Core Views - The company is expected to experience rapid revenue growth in 2024, with a projected revenue of 2.24 billion HKD, representing a year-on-year increase of 155.6%. The adjusted net profit is forecasted to be 585 million HKD, reflecting a significant increase of 702.1% year-on-year [7] - The company is capitalizing on the high demand in the trendy toy industry, leveraging a diverse product portfolio and an expanding IP matrix to strengthen its market position and increase market share [7][8] - The company is expected to continue its high growth trajectory in revenue and profit due to the expansion of its domestic offline channels and overseas business [7] Revenue Breakdown - In 2024, the company's revenue from character building toys is projected to be 2.20 billion HKD, a growth of 186.2%. Revenue from building blocks is expected to be 40 million HKD, a decline of 62.9% [8] - The revenue from key IPs in 2024 includes 1.10 billion HKD from Ultraman, 450 million HKD from Transformers, 310 million HKD from Heroes Infinite, and 170 million HKD from Kamen Rider, with Ultraman's revenue share decreasing to 48.9% [8] - The company's offline sales revenue is expected to reach 2.08 billion HKD, a growth of 171.1%, while overseas revenue is projected to be 60 million HKD, a significant increase of 518.2% [8] Profitability - The company's gross margin for 2024 is projected to be 52.6%, an increase of 5.3 percentage points, driven by the rapid growth in sales of character building toys [9] - The company's expense ratios for sales, management, R&D, and finance are expected to be 12.6%, 20.8%, 8.6%, and 7.6% respectively, with management expenses increasing significantly due to stock incentive costs [9]

Investment Rating - The investment rating for the company is "Buy" (maintained) [1][6] Core Views - The company is experiencing rapid revenue growth, with a projected revenue of 2.24 billion HKD for 2024, representing a year-on-year increase of 155.6%. The adjusted profit is expected to be 585 million HKD, showing a significant increase of 702.1% year-on-year [6] - The company is diversifying its product offerings and IP matrix, reducing reliance on core IPs while expanding its market share through effective channel strategies [7][6] - The company is expected to continue its high growth trajectory in revenue and profit due to its expansion in domestic offline channels and overseas markets [6] Revenue Breakdown - In 2024, the company's revenue from character building toys reached 2.20 billion HKD, a growth of 186.2%, while revenue from building blocks decreased by 62.9% [7] - The revenue from the company's key IPs in 2024 includes 1.10 billion HKD from Ultraman, 450 million HKD from Transformers, 310 million HKD from Heroes Infinite, and 170 million HKD from Kamen Rider, with Ultraman's revenue share decreasing to 48.9% [7] - The company's offline sales revenue was 2.08 billion HKD, up 171.1%, with overseas revenue reaching 60 million HKD, a significant increase of 518.2% [7] Profitability - The company's gross margin for 2024 is 52.6%, an increase of 5.3 percentage points, driven by the rapid growth in character building toy sales [8] - The company's expense ratios for sales, management, R&D, and financial expenses were 12.6%, 20.8%, 8.6%, and 7.6% respectively, with management expenses increasing significantly due to stock incentive costs [8] Financial Summary and Valuation Metrics - The projected financial metrics for the company from 2023 to 2027 include: - Revenue: 877 million HKD (2023), 2.24 billion HKD (2024), 3.98 billion HKD (2025), 5.64 billion HKD (2026), 7.15 billion HKD (2027) - Net Profit: -206 million HKD (2023), -401 million HKD (2024), 1.03 billion HKD (2025), 1.52 billion HKD (2026), 1.99 billion HKD (2027) - EPS: -0.8 HKD (2023), -1.6 HKD (2024), 4.1 HKD (2025), 6.1 HKD (2026), 8.0 HKD (2027) [10]

Core Viewpoint - The company, Bluko, has shown significant revenue growth in 2024, but signals of slowing growth in the second half of the year raise concerns about its future performance [3][4]. Revenue Performance - In 2024, Bluko's revenue is projected to be approximately 2.241 billion yuan, representing a year-on-year increase of 155.6% [3]. - Adjusted annual profit is expected to be around 585 million yuan, reflecting a year-on-year growth of 702.1% [3]. - Revenue growth is expected to slow down in the second half of 2024, with a projected year-on-year increase of 110.76% compared to 237.6% in the first half [4]. IP Contribution - The top three IPs contributing to revenue are Ultraman (1.096 billion yuan, 48.9%), Transformers (454 million yuan, 20.26%), and Heroes Unlimited (310 million yuan, 13.8%) [5]. - Revenue from key IPs like Ultraman and Heroes Unlimited is expected to decline in the second half of 2024, with Ultraman's revenue projected at 496 million yuan, a 17.3% decrease from the first half [5]. Market Context - The overall consumer market in China is experiencing low growth, with retail sales increasing by only 3.7% in the first half of 2024 [6]. - Bluko's products, primarily building toys, are less influenced by subsidy-driven consumption and rely more on product performance [6]. Growth Strategy - Bluko is expanding its IP portfolio significantly, increasing from about 27 IPs at the end of 2023 to approximately 50 by the end of 2024 [7]. - The company is focusing on enhancing its cost-effectiveness, with average product prices dropping from 89 yuan in 2021 to 19 yuan in the first half of 2024 [8]. International Expansion - Bluko's overseas business is in its early stages, with revenue from international markets reaching 64 million yuan in 2024, accounting for only 2.9% of total revenue [9]. - The company is establishing subsidiaries in countries like the UK, Indonesia, and Singapore, and is participating in international events to boost its presence [9].

Core Insights - The company, known as "China's Lego," reported a revenue surge of 155.6% to 2.241 billion yuan in 2024, but also faced a significant loss of 401 million yuan, highlighting a paradox of high growth alongside substantial financial challenges [1][4][6] Revenue Growth and Strategy - The revenue growth was primarily driven by the "IP matrix + offline channel" strategy, with sales from building role-play toys reaching 2.201 billion yuan, significantly boosted by the Ultraman IP [2][3] - Offline sales accounted for 92.1% of total revenue, emphasizing the importance of physical retail channels, with 433 distributors covering over 140,000 outlets [2][3] - The company expanded its IP portfolio from 27 to 50, including major franchises like DC and Harry Potter, while also developing proprietary products to fill market gaps [3][8] Financial Performance and Losses - Despite revenue growth, the company has experienced four consecutive years of losses, with the loss attributable to high sales and administrative expenses totaling 748 million yuan, which is 33.4% of revenue [4][5] - The loss was exacerbated by a 542 million yuan accounting loss from preferred shares, raising concerns about the sustainability of its profitability model [5][6] Market Position and Challenges - The company holds a 30.3% market share in the domestic building role-play toy segment, indicating a strong competitive position [2] - The broader toy industry in China faces low average net profit margins, with the company’s losses reflecting the industry's transformation challenges [7] - The company aims to enhance its global presence, particularly in low-tier cities and international markets, while facing competition from established brands like Mattel and Hasbro [7][8] Future Outlook - The company plans to strengthen its R&D capabilities and expand its IP ecosystem through both self-developed and licensed IPs, targeting a wider consumer demographic [8] - Market forecasts suggest adjusted net profits could reach 1 billion yuan, 1.5 billion yuan, and 1.99 billion yuan in 2025, 2026, and 2027 respectively, indicating potential for future growth [8][9]

Financial Performance - Total revenue for the year ended December 31, 2024, reached RMB 2,240,929 thousand, representing a 155.6% increase compared to RMB 876,686 thousand in 2023[3] - Gross profit for the same period was RMB 1,178,806 thousand, up 184.1% from RMB 414,922 thousand in the previous year[3] - The adjusted annual profit (non-IFRS measure) was RMB 584,588 thousand, a significant increase of 702.1% from RMB 72,882 thousand in 2023[3] - The annual loss for the year was RMB 398,044 thousand, which is a 91.8% increase compared to RMB 207,481 thousand in 2023[4] - Basic and diluted loss per share improved to RMB (1.38) from RMB (2.69), reflecting a 94.9% reduction in loss per share[4] - The adjusted net profit margin (non-IFRS measure) was 26.1%, up from 17.8% in 2023, indicating improved profitability[3] - The company reported a pre-tax loss of RMB (295,682) thousand, which is a 55.8% increase from RMB (189,839) thousand in 2023[4] - Other income increased significantly to RMB 17,141 thousand in 2024 from RMB 5,987 thousand in 2023, primarily driven by government grants and bank interest income[32] - The group reported a pre-tax loss of RMB 401,047 thousand for 2024, worsening from a loss of RMB 206,100 thousand in 2023, reflecting increased operational costs[41] - Basic and diluted loss per share increased to RMB 2.69 in 2024 from RMB 1.38 in 2023, indicating a decline in profitability[41] - The company recognized a significant increase in employee benefits expenses, totaling RMB 656,331 thousand in 2024, compared to RMB 151,991 thousand in 2023, largely due to stock-based compensation[33] - The company recorded a fair value loss on convertible redeemable preferred shares of RMB 542.0 million in 2024, up from RMB 274.1 million in 2023[103] - Income tax expenses rose by 480.2% from RMB 17.6 million in 2023 to RMB 102.4 million in 2024, driven by increased current and deferred tax expenses[104] Revenue Breakdown - Offline sales contributed RMB 2,084,861 thousand in 2024, compared to RMB 769,071 thousand in 2023, marking an increase of about 171.5%[28] - Distributor sales amounted to RMB 2,062,865 thousand in 2024, up from RMB 732,700 thousand in 2023, reflecting a growth of approximately 181.5%[28] - Online sales reached RMB 155,675 thousand in 2024, compared to RMB 106,249 thousand in 2023, indicating an increase of around 46.5%[28] - Revenue from the building block character toys was RMB 2,201.1 million, accounting for 98.2% of total revenue, while large particle toys generated RMB 39.4 million, making up 1.8%[66] - The percentage of revenue from building block role-playing toys increased from 87.7% in 2023 to 98.2% in 2024, indicating a strong focus on this product line[87] - The company's overseas sales revenue grew by 518.2% from RMB 10.4 million in 2023 to RMB 64.2 million in 2024, mainly due to increased overseas sales of building block role-playing toys[91] Expenses and Liabilities - Research and development expenses increased to RMB 192,467 thousand, compared to RMB 94,657 thousand in the previous year[4] - Total sales and distribution expenses rose to RMB 283,122 thousand, compared to RMB 189,280 thousand in the previous year[4] - Sales and distribution expenses rose by 49.6% from RMB 189.3 million in 2023 to RMB 283.1 million in 2024, with marketing and promotional expenses increasing by RMB 38.0 million[96] - Administrative expenses surged by 844.6% from RMB 49.2 million in 2023 to RMB 465.0 million in 2024, representing 20.8% of total revenue[98] - The company incurred total tax expenses of RMB 102,362 thousand in 2024, a significant increase from RMB 17,642 thousand in 2023, driven by deferred tax liabilities[39] - Trade payables rose to RMB 360,069 thousand in 2024 from RMB 198,871 thousand in 2023, indicating higher operational liabilities[44] - Trade payables and notes payable increased significantly to RMB 566.7 million in 2024 from RMB 259.7 million in 2023, representing a 118.5% increase[45] - The company’s total liabilities increased to RMB 839.02 million in 2024 from RMB 436.13 million in 2023, representing a 92.5% increase[45] Assets and Cash Flow - Non-current assets increased to RMB 390,551,000 from RMB 330,400,000, representing a growth of 18.2% year-over-year[9] - Current assets rose significantly to RMB 1,215,440,000, up from RMB 682,256,000, marking an increase of 78.1%[9] - Cash and cash equivalents rose to RMB 719.96 million in 2024, up from RMB 360.84 million in 2023, marking a 99.4% increase[54] - The total cash and cash equivalents, including pledged deposits, amounted to RMB 753.1 million as of the end of the reporting period, compared to RMB 368.9 million in 2023[56] Corporate Developments - The company was incorporated in the Cayman Islands and primarily engages in the design, development, and sale of toys[12] - The company listed on the Hong Kong Stock Exchange on January 10, 2025[13] - The company has established a specialized R&D team consisting of 472 employees, focusing on toys, consumer products, and pop culture[64] - The company has a patent portfolio of 514 domestic patents, 75 domestic invention patents, and 24 overseas patents[64] - The company has two self-developed IPs, "Transforming Bruc" and "Heroes Unlimited," and approximately 50 licensed IPs, increasing from about 27 IPs as of December 31, 2023[69] - The company plans to enhance product design and R&D capabilities with a net amount of HKD 447.70 million, representing 25% of the total funds raised, expected by June 30, 2028[123] - The company aims to enrich its IP matrix with an investment of HKD 358.00 million, representing 20% of the total funds raised[123] Market and Sales Strategy - The company plans to invest further in sales and marketing, particularly in content-driven marketing activities, to boost brand awareness in both domestic and international markets[82] - The company has established a multi-channel sales network, with offline sales revenue increasing significantly from RMB 769.1 million in 2023 to RMB 2,084.9 million in 2024[90] - The company participated in various toy exhibitions, showcasing new product innovations, including the Sesame Street series at the Singapore Comic Con[76] - The company maintains a comprehensive quality control system that adheres to domestic and global quality standards, including GB6675-2014, ASTM F963, and EN71[79] Shareholder Information - The company did not declare or pay any dividends for the years ending December 31, 2024, and December 31, 2023[57] - The board of directors did not recommend the payment of a final dividend for the year ending December 31, 2024[120] - The annual general meeting of shareholders is scheduled for June 6, 2025, with share transfer registration suspended from June 3 to June 6, 2025[125]

[Table_ReportType] 公司点评报告 [Table_StockAndRank] 布鲁可(0325.HK) 证券研究报告 公司研究 | | | 上次评级 买入 [Table_A 姜文镪 uthor新消费] 行业首席分析师 执业编号：S1500524120004 邮 箱：jiangwenqiang@cindasc.com [Table_Title] 布鲁可：被低估的品牌力 2025 YYYY 年年MM3 月月14DD 日日 [Table_S 事件：我们预计 ummary] 2 月出货延续景气，渠道库存健康。 深度思考：1）布鲁可的品牌价值某种程度上是被低估的，货架占领力可侧 面印证；2）产品力本身优势显著，除涂色、质感、拼搭手感外，我们可以 观察到产品的一些小巧思（果酱、香蕉、肩甲等细节），拼搭作为一种沉浸 式体验，产品 know-how 本身就是一种壁垒；3）布鲁可有在用心运营粉丝， BFC 创作赛、每月玩家生日抽奖等私域活动持续沉淀粉丝；根据国家统计 局，2023 年我国 5-14 岁儿童数量约 1.8 亿人（其中预估男童约 9800 万人）， 公司 24 年出货粗略估计在 1 亿件左右，考虑端 ...

Investment Rating - The report maintains a "Buy" rating for several companies, including Century Internet, Huayi Group, and 361 Degrees, indicating a positive outlook for their future performance [19][25][31]. Core Insights - The report highlights significant growth in capital expenditure for Century Internet, projecting a 101-141% increase in 2025, driven by strong demand in the AIDC sector [15]. - The AI and cloud computing sectors are experiencing increased investment from both domestic and international giants, which is expected to accelerate AI application deployment [16]. - The report emphasizes the robust growth potential in the AIDC cloud computing market, with recommendations for various companies across different segments [17]. - Huayi Group is expected to see a revenue increase of 19.4% in 2024, with a focus on expanding production capacity and optimizing customer structure [19]. - 361 Degrees anticipates breaking the 10 billion yuan revenue mark in 2024, with a strong emphasis on exploring new retail formats [25]. - The report notes that the toy market, particularly in the building block segment, is rapidly growing, with a projected increase in market size from 773.1 billion yuan in 2023 to 993.7 billion yuan by 2028 [32]. - Shandong Pharmaceutical Glass is positioned to benefit from the increasing demand for borosilicate glass, with projected net profits growing significantly over the next few years [36][37]. Summary by Sections Technology Sector - The report discusses the trading congestion indicators for the technology sector, suggesting that high trading volumes may indicate a risk of price corrections [3]. - Relative valuation metrics show that technology growth stocks are not at historical extremes but are also not particularly cheap, with TMT and robotics sectors at high percentiles [4][5]. Communication Sector - Century Internet's capital expenditure is expected to reach 100-120 billion yuan in 2025, reflecting a strong growth trajectory in the AIDC market [15]. - The demand for AIDC services is anticipated to accelerate, supported by significant contracts from major clients [15]. Consumer Goods Sector - Huayi Group's new factory efficiency is expected to impact Q4 earnings positively, with optimistic projections for Adidas orders [19]. - 361 Degrees is actively exploring new retail formats and anticipates a revenue increase of 19.6% in 2024 [25]. Toy Industry - The report highlights the rapid growth of the building block toy market, with a significant market share held by companies like Bluko, which is leveraging a strong IP portfolio [31][32]. Pharmaceutical Glass Industry - Shandong Pharmaceutical Glass is expected to see substantial growth in net profits due to the increasing adoption of borosilicate glass in the pharmaceutical sector [36][37].