Keep公告，预计截至2025年6月30日止六个月录得本公司拥有人应占亏损约人民币3600万元，相较于截 至2024年6月30日止六个月录得本公司拥有人应占亏损人民币1.63亿元收窄约78.0%；及录得经调整利润 净额(非国际财务报告准则计量)约人民币1000万元，相较于截至2024年6月30日止六个月录得经调整亏 损净额(非国际财务报告准则计量)人民币1.61亿元。 ...

Core Insights - Keep is adjusting its offline business strategy by moving away from the "Keepland" gym model and focusing on self-operated retail stores and event ecosystems to better align with market demands and its strengths [1][8][12] Group 1: Offline Business Strategy - The "Keepland" gym model is nearing its end, with Keep shifting focus to offline retail and event scenarios [1] - Keep's first self-operated retail store opened in Shanghai, strategically located near high-end sports brands, aiming to attract affluent consumers and sports enthusiasts [1][2] - The new store emphasizes product experience, with a layout that prioritizes retail and experiential areas [2][5] Group 2: Product Offering and Experience - The store covers a wide range of sports equipment and apparel, catering to home fitness and outdoor training needs [2] - A dedicated experience area allows customers to test products like smart sports watches and fitness machines, showcasing the advantages of offline shopping [5] Group 3: Transition from Keepland - Keepland's closure is attributed to high rental costs, rising customer acquisition costs, and challenges in user retention, leading to a loss of competitive edge [8][9] - The average monthly revenue for Keepland stores was around 150,000 yuan, significantly lower than competitors [9] Group 4: Shift to Events and AI Integration - Keep is pivoting towards organizing offline events as a new growth engine, moving resources from consumer products to event organization [10][11] - The company has launched numerous paid virtual sports events, with a focus on offline events in 2023, integrating technology to enhance user experience [10][11] - Keep's "All in AI" initiative aims to leverage AI for personalized training and product recommendations, enhancing user engagement and operational efficiency [11][12] Group 5: Future Outlook - The offline self-operated stores are positioned as product showcases and user experience hubs, while event business drives user activation and brand expansion [12] - Keep is redefining its offline role, aiming to connect users and validate technology, with future success dependent on user and market response [12]

Core Insights - The collaboration between Keep and the global IP "Harry Potter" has launched a unique online running event and series of challenges, creating a sports experience with both ceremonial and collectible value for fans [1][2]. Group 1: Event Overview - The collaboration features two main events: the "Harry Potter and the Sorcerer's Stone | Harry Potter Themed Online Run" focused on medals, and the "Return to Hogwarts | Harry Potter Themed Limited-Time Challenge" centered around badges [2]. - Since its launch on July 4, the event has attracted over 30,000 subscribers, with a significant increase in participants after the official launch on July 11 [2]. Group 2: Unique Offerings - Keep has introduced two creatively designed "magical" medals: the "Fun Version" with a rotating mirror mechanism depicting a classic scene of Harry meeting his parents, and the "Classic Version" replicating the moment Harry receives his Hogwarts acceptance letter [4]. - The running distance for the online run is set at 1.991 kilometers, honoring Harry Potter's first year at Hogwarts [4]. Group 3: User Engagement and Experience - Participants can unlock five magnetic badges by completing a 50-kilocalorie exercise task, which can serve as both fridge magnets and personal accessories [4]. - Users can also join the "Harry Potter Series Keep Magic Challenge," selecting their preferred Hogwarts house and participating in exercise challenges for rewards [4]. Group 4: Cultural and Emotional Value - Keep's medal culture redefines sports aesthetics by transforming invisible efforts into tangible rewards, enhancing the emotional connection between users and their sports experiences [5]. - The collaboration with popular IPs like "Harry Potter" stimulates diverse groups to engage in sports, expressing their love for the culture through physical achievements [5]. Group 5: Company Performance - According to Keep's 2024 ESG report, the company hosted 807 online sports events and 3 offline medal exhibitions in 2024, attracting over 6.86 million participants [5].

Core Insights - The article emphasizes the evolution of national health management towards a holistic approach, focusing on the balance of body, mind, and spirit, with home-based exercise and relaxation becoming essential components of health management [1][5][8]. Group 1: Health Management Trends - National health management is transitioning from physical health to a comprehensive balance of body, mind, and spirit, driven by high-pressure lifestyles [1][5]. - The combination of exercise and relaxation is identified as a powerful method for maintaining health, with a focus on creating a supportive home environment [9][11]. Group 2: Target Demographics - The population focused on health relaxation is segmented into four groups: "Energetic Lifestyle Enthusiasts," "Self-Discipline Managers," "Home Relaxation Seekers," and "Relaxation Wellness Advocates" [2][41]. - The "Energetic Lifestyle Enthusiasts" prioritize sleep quality and prefer home as their relaxation space, often engaging in activities like stretching and light exercise [3][44][47]. - The "Self-Discipline Managers" emphasize energy balance and often utilize their home environment for relaxation, particularly in the bedroom and kitchen [53][56]. - The "Home Relaxation Seekers" favor a laid-back lifestyle, using their home as a sanctuary for relaxation, with a focus on static activities like watching TV or using their phones [64][69]. - The "Relaxation Wellness Advocates" seek to alleviate stress through home-based wellness practices, often engaging in activities like stretching and cooking healthy meals [74][76]. Group 3: Home Environment as a Relaxation Hub - The home is identified as the primary relaxation space, with a blend of static and dynamic relaxation methods being utilized [12][35]. - Furniture comfort is crucial for relaxation effectiveness, with smart beds and sofas being the preferred products for enhancing relaxation experiences [37][38]. - The demand for home fitness and relaxation solutions is expected to grow, supported by national health strategies and technological advancements [15][16]. Group 4: Product Preferences - "Energetic Lifestyle Enthusiasts" prefer smart beds and mattresses designed for recovery, focusing on breathable materials and supportive features [50]. - "Self-Discipline Managers" seek products with health monitoring capabilities, emphasizing smart sofas and beds that support their lifestyle [60]. - "Home Relaxation Seekers" prioritize long-term comfort in their furniture choices, favoring sofas that provide support and ease of maintenance [72]. - "Relaxation Wellness Advocates" look for smart beds and mattresses that promote relaxation and muscle recovery, with features like silent operation and moisture-wicking materials [80].

Summary of Key Points Core Viewpoint - On May 19, 38 Hong Kong-listed companies conducted share buybacks, totaling 38.39 million shares and an aggregate amount of HKD 831 million [1][2]. Group 1: Buyback Details - Tencent Holdings repurchased 979,000 shares for HKD 500 million, with a highest price of HKD 516.50 and a lowest price of HKD 503.00, bringing its total buyback amount for the year to HKD 21.53 billion [1][2]. - AIA Group repurchased 2.34 million shares for HKD 154 million, with a highest price of HKD 66.40 and a lowest price of HKD 64.75, totaling HKD 8.93 billion in buybacks for the year [1][2]. - China COSCO Shipping repurchased 5.56 million shares for HKD 79.36 million, with a highest price of HKD 14.40 and a lowest price of HKD 14.12, accumulating HKD 3.83 billion in buybacks for the year [1][2]. Group 2: Buyback Rankings - The highest buyback amount on May 19 was from Tencent Holdings at HKD 500 million, followed by AIA Group at HKD 154 million [1][2]. - In terms of share quantity, the largest buyback was conducted by Jieli Trading at 9.18 million shares, followed by China COSCO Shipping at 5.56 million shares and NetEase Technology at 4.67 million shares [1][2]. Group 3: Additional Buyback Information - Country Garden Services conducted its first buyback of the year, while Tencent Holdings has made multiple buybacks totaling HKD 21.53 billion [2][3]. - A detailed table of buybacks on May 19 includes various companies, their respective buyback shares, amounts, highest and lowest prices, and cumulative buyback amounts for the year [2][3].

Core Viewpoint - The intelligent fitness industry in China is rapidly growing, driven by increasing health awareness and the demand for personalized and efficient fitness solutions. The market size is projected to reach 52.3 billion yuan in 2024, reflecting a year-on-year increase of 50.29% [1][13]. Industry Overview - Intelligent fitness, also known as smart fitness or AI fitness, combines the latest technology with traditional exercise to provide personalized fitness guidance through virtual coaches and smart devices [3][8]. - The user base for fitness activities in China has expanded significantly, with the number of fitness participants growing from 249 million in 2017 to an estimated 407 million by 2024, increasing the penetration rate from 17.8% to 28.8% [11][13]. Market Dynamics - The intelligent fitness market is characterized by a diverse range of hardware and software suppliers, including components like chips, sensors, and smart devices, as well as software solutions for data management and user interaction [8][20]. - The industry is supported by government policies aimed at promoting health and fitness, including initiatives to enhance smart sports equipment and facilities [5][20]. Competitive Landscape - The market is dominated by several key players, including Beijing Calorie Information Technology Co., Ltd., Le Dong Tian Xia (Beijing) Sports Technology Co., Ltd., and Qingdao Inpace Health Technology Co., Ltd., among others [15][17]. - Companies are leveraging technology innovation and brand development to capture market share, while new entrants are continuously emerging, altering the competitive dynamics [15][21]. Future Trends - The government is expected to continue increasing support for the intelligent fitness sector, with more policies to encourage healthy lifestyles and the integration of new technologies like 5G into fitness solutions [20][21]. - Cross-industry collaborations are anticipated to emerge, particularly with healthcare and rehabilitation sectors, creating new opportunities for growth and innovation within the intelligent fitness industry [21][22].

Group 1 - The article reports on share buybacks conducted by various companies on May 12, 2025, with AIA Group (01299) having the largest buyback amount of 1.25 billion, purchasing 2 million shares [1][2] - Other notable buybacks include China COSCO Shipping Holdings (01919) with 4.21 million shares bought back for 53.77 million, and Times Electric (03898) with 1.43 million shares for 47.22 million [2][3] - The total number of shares repurchased by AIA Group in the year reached 5.93 billion, accounting for 5.276% of its total share capital [2] Group 2 - China Hongqiao Group (01378) repurchased 1.13 million shares for 15.96 million, representing only 0.380% of its total share capital [2] - Swire Properties (00019) bought back 181,000 shares for 12.67 million, with a total annual repurchase of 5.56 million shares, which is 6.652% of its total [2] - The buyback activity reflects a trend among companies to utilize excess cash for share repurchases, potentially signaling confidence in their financial health [1][2]

Financial Performance - Revenue for 2024 was RMB 2,065,694 thousand, a decrease of 3.4% from RMB 2,137,834 thousand in 2023[7] - Gross profit for 2024 was RMB 965,432 thousand, with a gross margin of 46.7%, up from 45.0% in 2023[7] - The company reported a net loss of RMB 534,710 thousand for 2024, compared to a profit of RMB 1,105,908 thousand in 2023[7] - In 2024, total revenue reached RMB 2.1 billion, a year-on-year decrease of 3.4% due to a decline in online sports event revenue and underperformance in smart home device sales[12] - Adjusted net loss was RMB 469.6 million in 2024, compared to RMB 295.4 million in 2023, primarily due to increased investments in strategic business and technology innovation[13] - Total current assets decreased to RMB 1,735,935 thousand in 2024 from RMB 2,291,429 thousand in 2023[8] - Total liabilities decreased to RMB 550,000 thousand in 2024 from RMB 575,592 thousand in 2023[8] - Operating costs for the year ended December 31, 2024, were RMB 1,100.3 million, a decrease of 6.5% from RMB 1,176.2 million in the previous year, benefiting from successful cost control[31] - Gross profit for the year ended December 31, 2024, was RMB 965.4 million, an increase of 0.4% from RMB 961.6 million in the previous year, with a gross margin of 46.7%, up 1.7 percentage points from 45.0%[34] User Engagement and Growth - Average monthly active users increased to 29,921 thousand in 2024, up from 29,756 thousand in 2023[10] - Monthly average revenue per active user decreased to RMB 5.8 in 2024 from RMB 6.0 in 2023[10] - The average monthly subscription members decreased to 3,162 thousand in 2024 from 3,193 thousand in 2023[10] - Average monthly active users and average monthly subscription members were 29.9 million and 3.2 million respectively in 2024, showing stability compared to 2023[14] - Member penetration rate in 2024 was 10.6%, relatively stable compared to 10.7% in 2023[14] - The outdoor user base grew significantly in 2024, with over 30% year-on-year growth in niche sports like cycling, swimming, and boxing[18] - Smart plan usage accounted for 90% of total plans in 2024, with over 65 million uses throughout the year[18] Product Development and Innovation - The company aims to enhance user experience and brand awareness through the launch of new wearable fitness devices and an upgraded Keep App 8.0[9] - The company is focusing on a data-driven ecosystem transition, leveraging AI technology to strengthen its competitive advantage[9] - The launch of Keep App 8.0 introduced over 40,000 recorded classes, catering to diverse user needs and enhancing the online fitness experience[15] - The company plans to leverage generative AI technology to enhance its fitness data infrastructure, aiming for long-term sustainable growth and a shift from content-driven to data-driven models[21] - AI-generated content now accounts for nearly 14% of the company's 6,000+ official courses, with new overseas AI fitness applications achieving 100% AI-generated personalized plans[20] - The company has successfully developed a series of innovative fitness products, enhancing its competitive edge and consumer trust, particularly in the equipment and apparel segments[24] Financial Position and Cash Flow - As of December 31, 2024, the company's total available cash was RMB 1.2 billion, down from RMB 1.8 billion as of December 31, 2023[45] - The company had cash and cash equivalents of RMB 764.3 million as of December 31, 2024, a decrease from RMB 1.6 billion as of December 31, 2023[45] - The company's debt-to-asset ratio as of December 31, 2024, was 0.29, an increase from 0.24 as of December 31, 2023[51] Corporate Governance and Compliance - The company emphasizes maintaining high corporate governance standards and has adopted the corporate governance code as per the listing rules[199] - The audit committee has reviewed the accounting policies and internal controls, along with the consolidated financial statements for the year ending December 31, 2024[192] - The company appointed Lo & Co. as the new auditor effective February 9, 2024, following the resignation of PwC due to scheduling conflicts[194] - The company has adhered to all applicable code provisions in Section 2 of the Corporate Governance Code for the year ending December 31, 2024[200] - The roles of Chairman and CEO are currently held by the same individual, Mr. Wang Ning, to ensure consistent internal leadership and effective strategic planning[200] Employee Relations and Development - The company has a total of 827 full-time employees as of December 31, 2024, with the majority based in China[82] - The company has implemented diverse learning and development programs for employees, including a tiered management training program[82] - There are no significant labor disputes reported during the fiscal year ending December 31, 2024, indicating good employee relations[83] Market and Competitive Landscape - The company is focusing on enhancing user engagement through data-driven insights and personalized content distribution, aiming to improve user retention and satisfaction[20] - The company has expanded its product offerings in sports equipment and apparel, achieving a 16.0% year-on-year growth in these categories in 2024[22] - The company's proprietary fitness products achieved a revenue growth of 0.8% year-on-year in 2024, with gross profit increasing by 15.3%, resulting in a gross margin rise to 31.7% from 27.7% in 2023[22] Shareholder Information - The board does not recommend the payment of a final dividend for the fiscal year ending December 31, 2024[69] - The company is registered in the Cayman Islands, and any future dividend payments will depend on the availability of dividends received from its subsidiaries[67] - As of December 31, 2024, no shareholders have waived or agreed to waive their rights to dividends[68] - The company has a structured ownership with various funds and trusts controlling significant equity stakes[107] Risks and Challenges - The company faces significant risks related to user retention and engagement, which could adversely affect business performance[75] - The company has a limited operating history under its evolving platform business model, which may not reflect future growth[75] - There are potential risks related to the contractual arrangements, including regulatory compliance and operational control issues[128]

Core Viewpoint - The fitness industry is experiencing increased attention due to government initiatives promoting health, yet Keep, a leading fitness platform, reported a significant increase in losses, raising questions about its profitability despite growing user engagement [1][2]. Group 1: Industry Trends - The National Health Commission announced a "Weight Management Year" initiative aimed at promoting healthy lifestyles over the next three years, aligning with previous plans to create a supportive environment for weight management starting in 2024 [1]. - The growing interest in fitness and health policies may lead to a surge in users for platforms like Keep, similar to the user growth seen during the pandemic [2]. Group 2: Company Performance - Keep's financial report for 2024 revealed a net loss that expanded by 59% compared to the previous year, despite an increase in user engagement and fitness participation [1]. - The company has significantly increased its R&D spending, particularly in AI, which is seen as a long-term investment to enhance its competitive edge [1][7]. Group 3: Competitive Landscape - Keep faces competition from social media platforms that offer free fitness content, raising concerns about user retention and engagement [3][4]. - However, Keep's structured and systematic training programs differentiate it from the fragmented content available on social media, positioning it as a provider of comprehensive fitness solutions rather than just content consumption [4][5]. Group 4: AI Integration Strategy - Keep is investing heavily in AI to enhance user experience and content production efficiency, aiming to transform from a content-centric model to a service-oriented model [8][9]. - The introduction of AI-driven features is expected to significantly increase the average revenue per user (ARPU) by providing personalized training plans and real-time feedback [8][9]. Group 5: Financial Outlook - Despite the increased losses in the second half of 2024, Keep's stock price remained stable, indicating investor confidence in its strategic direction towards AI [11]. - The company maintains a healthy cash flow and continues to see growth in membership subscription revenue, suggesting resilience in its core business [11].

Investment Rating - The investment rating for the company is "Outperform the Market" [6] Core Viewpoints - The company's revenue for 2024 is expected to decline slightly by 3.4% to 2.066 billion HKD, primarily due to a decrease in online sports event revenue compared to the high base in 2023. However, the gross margin continues to improve, increasing by 1.8 percentage points to 46.7%, driven by the growth in proprietary brand business and online paid services [1][4] - The company is focusing on its proprietary brand business, which has shown steady growth, particularly in the equipment and apparel categories, which grew by 16%. The launch of the smart watch Pilot1 has also contributed positively, with over 12,000 units sold in four months [2][4] - The company is expanding its outdoor scene successfully, with a 30% year-on-year increase in users participating in niche sports such as cycling and ball games. The average monthly active users (MAU) reached 29.92 million, with a stable paid user penetration rate of 10.6% [3][4] Summary by Sections Revenue and Profitability - Total revenue for 2024 is projected at 2.066 billion HKD, down 3.4% from 2023. The adjusted net loss is expected to widen to 470 million HKD, a 59% increase year-on-year. Sales expenses rose by 33.1% to 758 million HKD, largely due to increased marketing costs related to the sports year and app upgrades [1][5] - The proprietary brand sports products generated revenue of 954 million HKD, up 0.8%, with a gross margin of 31.7%, benefiting from a higher proportion of high-margin categories [2][5] Future Outlook - The company anticipates a return to breakeven by 2025, with adjusted net profits projected at 0.00 million HKD in 2025, 65 million HKD in 2026, and 131 million HKD in 2027. The target price has been raised to 6.2-6.6 HKD, reflecting an upward revision in profit forecasts [4][22] - The ongoing AI initiatives are expected to enhance user engagement and subscription rates, with significant benefits anticipated in 2026-2027 [4][22]