Group 1 - Some Hong Kong Stock Connect targets experienced a decline, with Fubo Group falling by 25.75%, becoming a market focus [1] - TCL Electronics and Canggang Railway dropped by 8.40% and 6.16% respectively [1] - Other companies such as Jingji Financial International, COSCO Shipping Holdings, and Quan Feng Holdings saw declines exceeding 3% [1] Group 2 - Companies like Genting Hong Kong-B, Bilibili-W, Li Auto-W, Zhongsheng Holdings, Meizhong Jiahe, and Xpeng Motors all experienced declines of over 2% [1]

Investment Rating - The report assigns a "Buy" rating for the company, indicating an expectation of outperforming the market by over 20% [2][62]. Core Insights - The company, Fubo Group, is a leading global provider of digital asset and transaction services, focusing on copyright protection through proprietary technologies such as digital fingerprinting and watermarking. The company is actively expanding its capabilities in the AIGC (Artificial Intelligence Generated Content) sector, which is expected to drive future growth [6][15]. - Revenue projections for 2024-2026 are estimated at HKD 25.0 billion, HKD 31.4 billion, and HKD 39.6 billion, respectively, with corresponding year-on-year growth rates of 25.0%, 25.5%, and 26.0%. The company is expected to turn profitable in 2024, with net profits of HKD 0.7 billion, HKD 1.2 billion, and HKD 2.1 billion for the following years [6][56]. Summary by Sections Company Overview - Fubo Group is recognized as a global leader in digital content asset protection and transaction services, leveraging its patented technologies to safeguard digital content rights. In the first half of 2024, the company reported revenue of HKD 11.81 billion, a year-on-year increase of 17.1%, and an adjusted net profit of HKD 0.64 billion, up 10.7% [15][20]. Growth Drivers - The company is experiencing growth driven by both domestic and international markets. In the U.S. market, revenue grew by 30.2% year-on-year, accounting for 48.4% of total revenue, while domestic revenue increased by 8%, representing 51.2% of total revenue [7][32]. - The company has established strong relationships with 335 top global clients, including major Hollywood studios and digital rights platforms, ensuring a solid customer base [7][32]. Financial Projections - The financial outlook for Fubo Group indicates a robust growth trajectory, with expected revenues of HKD 2.5 billion in 2024, HKD 3.1 billion in 2025, and HKD 4.0 billion in 2026. The company anticipates a gross margin improvement to 45.0% by 2026 [9][60]. - The report highlights a significant increase in subscription service revenue, projected to reach HKD 1.04 billion in 2024, with a year-on-year growth rate of 20.1% [56][60]. AIGC Sector Expansion - Fubo Group is positioning itself to capitalize on the AIGC sector, which is expected to reshape content generation and distribution. The company aims to provide solutions that mitigate copyright disputes and enhance revenue opportunities for content creators [51][55]. - The report emphasizes the importance of clear copyright ownership and revenue-sharing mechanisms to support the sustainable growth of AIGC [55][56].

Investment Rating - The report maintains a "Buy" rating for the company [1] Core Insights - The company reported a significant revenue growth of approximately 29% year-on-year for Q3 2024, with domestic revenue increasing by about 27% in RMB terms and overseas revenue growth around 30% [2] - The company has been actively involved in the evolving landscape of copyright protection and AI, with recent lawsuits in the AI sector potentially increasing the demand for its services as a third-party provider [2] - The company is exploring opportunities in digital content rights and asset protection in line with the trends of Web3.0 and AI, aiming to enhance operational efficiency and reduce customer acquisition costs through platform upgrades [3] - The company executed a share buyback of 875,000 shares for a total of HKD 1.9763 million, reflecting management's confidence in the company's future [3] Financial Projections - The company's net profit forecasts for 2024-2026 have been revised upwards to HKD 737.9 million, HKD 1.2538 billion, and HKD 2.3078 billion respectively, indicating strong growth potential [4] - The current stock price corresponds to price-to-sales (P/S) ratios of 3.5, 2.7, and 2.1 for 2024-2026, suggesting a favorable valuation outlook [4]

Financial Data and Key Metrics Changes - In 2023, the company's total revenue reached HKD 2 billion, with a gross margin of 42.5% [10] - For the first half of 2024, total revenue was HKD 1.18 billion, representing an 18% year-on-year growth, with subscription revenue at HKD 550 million and value-added revenue at HKD 164 million [10] - The net profit for the first half of 2024 was HKD 46.32 million, a 37% increase year-on-year [11] Business Line Data and Key Metrics Changes - The company has shifted its focus to content monetization since 2019, with this segment's revenue rapidly increasing to 60% of total revenue [4] - The company has maintained a customer retention rate of over 98% and achieved a compound annual growth rate of over 70% in revenue from 2021 to 2023 [10][21] Market Data and Key Metrics Changes - The Chinese capital market has shown a significant rebound, with the Hong Kong market outperforming the A-share market in terms of fundamental recovery and valuation changes [2] - The SaaS sector within the Hong Kong market has substantial potential for valuation recovery and expansion, particularly as valuations in the U.S. market have rebounded to 10-15 times price-to-sales ratios [2] Company Strategy and Development Direction - The company emphasizes a strategy of "foresight and implementation," focusing on AI applications and digital watermark technology since 2021 [5][23] - Future plans include strengthening AI-driven capabilities in copyright management and expanding market share in China through mergers and partnerships [5][30] Management's Comments on Operating Environment and Future Outlook - Management believes the current capital market environment presents both challenges and opportunities, with a strong fundamental performance that continues to attract investor interest [6] - The company is confident in its ability to maintain growth and will share further developments and strategies in future communications [6] Other Important Information - The company has established a Florida AI R&D center to enhance its capabilities in VIP content copyright management [5] - The company has formed strategic partnerships with major players like Ant Group to develop blockchain-based platforms for content rights management [5][12] Q&A Session Summary Question: What are the reasons for the rebound in the Chinese capital market and how is the Hong Kong market performing? - The Chinese capital market has rebounded significantly due to previous pressures on both the numerator and denominator, with the Hong Kong market showing better performance in fundamental recovery and valuation changes compared to the A-share market [2] Question: What is the business model and core competitiveness of the company? - The company is a leading provider of data asset protection and monetization services, focusing on helping content owners collect evidence of infringement and recover revenue from unauthorized use [3] Question: What are the company's future development directions? - The company will continue to enhance its capabilities in AI-driven information management and expand its market share in China through mergers and partnerships [5] Question: How does the company view the current capital market environment's impact on its operations? - The current capital market environment has some impact, but the company's fundamentals remain strong, and management is confident about future growth [6] Question: What are the company's key financial highlights? - The company has maintained a strong financial performance with a revenue model based on SaaS services, achieving significant growth and maintaining a high customer retention rate [21] Question: How does the company balance deepening existing customer relationships with expanding into new content areas? - The company focuses on large clients while gradually expanding into new categories, ensuring a balance between deepening existing relationships and exploring new opportunities [28]

Summary of Conference Call Notes Industry Overview - The capital market in China has shown a significant rebound, particularly in the Hong Kong stock market, due to previously suppressed factors on both the numerator and denominator sides [1] Key Insights - The degree of suppression in the capital market was notably high in the past, leading to a more substantial recovery now [1] - The fundamental recovery in the Hong Kong market is expected to be more pronounced compared to the A-share market, driven by changes in both fundamentals and material factors [1] Additional Important Points - The analysis indicates that the current market dynamics in Hong Kong may present more investment opportunities compared to A-shares, suggesting a potential shift in investor focus [1]

Financial Performance - Total revenue reached HKD 1,181 million, a 17.7% increase from HKD 1,003 million in the first half of 2023[6] - Subscription service revenue was HKD 545 million, up 16.8% from HKD 467 million in the first half of 2023, accounting for 46.2% of total revenue; value-added service revenue was HKD 635 million, an 18.5% increase from HKD 536 million, making up 53.8% of total revenue[6] - Revenue from the China business segment was HKD 605 million, an 8.0% increase from HKD 560 million in the first half of 2023; revenue from the US and other regions was HKD 576 million, a 30.1% increase from HKD 443 million[6] - Gross profit was HKD 504 million, a 28.3% increase from HKD 393 million in the first half of 2023, with a gross margin of 42.7%, up approximately 3.5 percentage points[6] - Net profit was HKD 46 million, a 36.5% increase from HKD 34 million in the first half of 2023[6] - Adjusted net profit was HKD 64 million, a 10.7% increase from HKD 58 million in the first half of 2023[6] - Adjusted EBITDA was HKD 196 million, an 8.3% increase from HKD 181 million in the first half of 2023[6] Strategic Focus - The company is focusing on high-quality development and sustainable growth, leveraging its strengths in copyright protection and monetization services to capitalize on opportunities in the AIGC sector[7] - The strategic layout emphasizes the importance of clear copyright ownership and benefit distribution mechanisms to support the sustainable development of AIGC[8] - The company aims to become a key builder of ecological balance between content copyright holders and AI technology companies, facilitating large-scale applications of technology through innovation and business upgrades[8] - The company is focusing on the AIGC era, enhancing its copyright services to benefit both content copyright holders and AI technology companies[9] - The company is actively participating in the construction of regional copyright ecosystems, playing a significant role in multiple digital infrastructure projects in mainland China and Hong Kong[11] Research and Development - The company has established a research and development center in Florida, which has been operational for three years, achieving key advancements in content rights confirmation and watermark technology[9] - The company is enhancing its watermark technology solutions and is fully prepared for commercial application, aiming to integrate this technology into existing streaming workflows[17] - Research and development expenses for the six months ended June 30, 2024, were approximately HKD 143 million, an increase of about HKD 48 million or 50% compared to the same period in 2023[28] Market Expansion - The company is expanding its service capabilities to include more copyright categories, with a continuous increase in customer numbers and content library penetration[13] - The company is actively expanding its digital content services in key business regions, particularly in the Greater Bay Area, to enhance its market presence[16] Financial Position - Total assets as of June 30, 2024, were approximately HKD 3,721 million, an increase from HKD 3,506 million as of December 31, 2023[32] - The company's cash and cash equivalents totaled approximately HKD 317 million, with current assets of about HKD 1,717 million and current liabilities of approximately HKD 944 million, resulting in a current ratio of 1.8[36] - The company's capital debt ratio as of June 30, 2024, was 21%, an increase from 18% as of December 31, 2023[40] - The company reported a total comprehensive income of HKD 7,055 for the period, compared to a loss of HKD 35,187 in the same period last year[88] Shareholder Information - The total number of shares available for issuance under the post-IPO stock option plan is 149,120,000 shares, accounting for 6.56% of the company's issued share capital as of the report date[60] - The group has three current share plans, including pre-IPO and post-IPO share option plans, and a share award plan[48] - The total number of share options and awards available for grant under the plans as of January 1 and June 30, 2024, was 154,975,020 shares[48] - The company has set operational milestones for stock options, with a market capitalization of at least USD 10 billion and achieving at least nine operational milestones to vest a total of 112,000,000 stock options[64] Governance and Compliance - The board of directors believes that the current governance structure, with the roles of chairman and CEO held by the same individual, ensures effective decision-making and strategic planning[43] - The audit committee, consisting of three independent non-executive directors, reviewed the unaudited interim results for the six months ended June 30, 2024[45] - The unaudited interim financial statements were approved and authorized for publication by the board on August 30, 2024[129] Employee and Salary Information - The group generated total salary costs of approximately HKD 125 million for the six months ended June 30, 2024, compared to HKD 120 million for the same period in 2023, reflecting a 4.17% increase[47] - The group employed a total of 566 employees as of June 30, 2024, down from 578 employees as of December 31, 2023[47] - The total salary costs for the group reflect ongoing reviews based on market terms and individual employee performance[47] Risk Management - The company is actively monitoring foreign exchange risks, particularly with USD and RMB, to mitigate the impact of currency fluctuations[39]

Investment Rating - The report maintains a "Buy" rating for the company, citing its technological barriers in the copyright protection sector [1][2] Core Views - The company achieved H1 2024 revenue of HKD 1,181 million, a 17.7% YoY increase, with gross profit rising 28.3% to HKD 504 million and gross margin improving by 3.5 percentage points to 42.7% [1] - Subscription business revenue grew 16.8% to HKD 545 million, while value-added services revenue increased 18.5% to HKD 635 million [1] - Overseas revenue reached HKD 576 million, with the US market contributing HKD 572 million, a 30.0% YoY growth, while mainland China revenue grew 8.0% to HKD 605 million [1] - The company is expanding its AIGC service capabilities through collaborations with leading universities and technology companies, developing watermarking solutions, and enhancing content recognition and rights confirmation technologies [1] Business Development - Domestic business expansion includes partnerships with China Media Group for copyright protection and trading platforms, collaboration with Ant Group for copyright ecosystem development, and cooperation with China Film Press for film asset aggregation [1] - International cultural expansion efforts include partnerships with Mango TV for overseas platform coverage, collaborations with provincial TV stations for content distribution, and the creation of an AIGC cloud platform with China Mobile [1] - Customer base grew to 227 content clients and 139 platform clients, with managed assets reaching 3.43 million on social media platforms and 2.57 million hours on video platforms [1] Financial Performance - 2024-2026 revenue forecasts are adjusted to HKD 2,500 million, HKD 2,991 million, and HKD 3,417 million respectively, with net profit projections of HKD 74 million, HKD 115 million, and HKD 153 million [1][7] - The company's P/S ratio is expected to decline from 2.4 in 2022 to 1.0 in 2026 [2] - Total assets are projected to grow from HKD 3,506 million in 2023 to HKD 4,159 million in 2026, with shareholder equity increasing from HKD 2,140 million to HKD 2,542 million over the same period [7] Market Data - The company has a total market capitalization of HKD 3.477 billion with 2.272 billion shares outstanding [4] - The stock price has shown significant volatility, with a 52-week range of HKD 1.12 to HKD 2.68 [4] - Recent performance shows a 23.4% 1-month return and a -28.5% 1-year return [5]

Investment Rating - The report maintains a "Buy" rating for the company [3]. Core Insights - The company reported a revenue of HKD 1.181 billion for H1 2024, representing a year-on-year increase of 17.74%. The gross margin improved by 3.53 percentage points to 42.70% [1]. - Adjusted net profit for H1 2024 was HKD 64 million, up 10.67% year-on-year, with an adjusted net profit margin of 5.44% [1]. - The adjusted EBITDA for H1 2024 reached HKD 196 million, reflecting an 8.26% increase year-on-year, with an adjusted EBITDA margin of 16.63% [1]. Subscription Business - Subscription revenue for H1 2024 was HKD 545 million, a year-on-year increase of 16.8%, accounting for 46.2% of total revenue [1]. - The company expanded its subscription service capabilities across various copyright categories, leading to a steady increase in customer numbers and content library penetration [1]. Value-Added Business - Value-added business revenue reached HKD 635 million in H1 2024, up 18.5% year-on-year, making up 53.8% of total revenue [1]. - The company enhanced monetization capabilities through diverse revenue-sharing models and deepened partnerships with major social media platforms [1]. Market Performance - Revenue from the Chinese market was HKD 605 million, growing approximately 8.0% year-on-year, representing about 51.2% of total revenue [1]. - In the U.S. market, revenue was HKD 572 million, a year-on-year increase of 30.0%, accounting for approximately 48.4% of total revenue [1]. Financial Forecast - The company has adjusted its revenue forecasts for 2024-2026 to HKD 25.10 billion, HKD 33.80 billion, and HKD 44.00 billion, respectively, with corresponding price-to-sales ratios of 1.4, 1.0, and 0.8 [1][2].

Financial Performance - Total revenue reached HKD 1,180,634, an increase of 17.7% compared to HKD 1,002,756 in the first half of 2023[3] - Subscription service revenue was HKD 545,000, up 16.8% from HKD 467,000 in the first half of 2023, accounting for 46.2% of total revenue; value-added service revenue was HKD 635,000, an 18.5% increase from HKD 536,000[3] - Gross profit was HKD 504,117, representing a growth of 28.3% from HKD 392,773 in the first half of 2023, with a gross margin of 42.7%, up approximately 3.5 percentage points[3] - Net profit for the period was HKD 46,322, a 36.5% increase from HKD 33,928 in the first half of 2023[3] - Adjusted net profit was HKD 64,261, up 10.7% from HKD 58,067 in the first half of 2023[3] - Adjusted EBITDA was HKD 196,306, an increase of 8.3% from HKD 181,333 in the first half of 2023[3] Revenue Breakdown - Total revenue for the reporting period reached HKD 1,181 million, representing a year-on-year growth of approximately 17.1%[10] - Subscription service revenue amounted to HKD 545 million, with a year-on-year increase of about 16.8%, accounting for approximately 46.2% of total revenue[12] - Value-added service revenue was HKD 635 million, reflecting a year-on-year growth of around 18.5%, making up about 53.8% of total revenue[13] - Revenue from the U.S. market was HKD 572 million, showing a year-on-year growth of approximately 30.0%, and accounting for about 48.4% of total revenue[15] - Revenue from the China market reached HKD 605 million, with a year-on-year increase of about 8.0%, representing approximately 51.2% of total revenue[15] Assets and Liabilities - Total assets as of June 30, 2024, were HKD 3,721,191, compared to HKD 3,506,108 as of December 31, 2023[2] - Total liabilities increased to HKD 1,539,280 from HKD 1,366,296 as of December 31, 2023[2] - Cash and cash equivalents as of June 30, 2024, totaled approximately HKD 317 million, with current assets of about HKD 1,717 million and current liabilities of approximately HKD 944 million, resulting in a current ratio of 1.8[36] Strategic Focus - The company is focusing on high-quality development and sustainable growth, particularly in the area of copyright protection and monetization services[5] - The strategic opportunity lies in expanding services in the AIGC field, enhancing capabilities to manage copyright and content monetization[6] - The company is actively participating in the construction of regional copyright ecosystems, particularly in mainland China and Hong Kong[9] - The company aims to enhance its global industry position by seizing significant opportunities for industrial transformation and continuing technological innovation[9] Research and Development - Research and development expenses for the six months ended June 30, 2024, were approximately HKD 143 million, an increase of about HKD 48 million or 50% from HKD 95 million for the same period in 2023[27] - The company has strengthened its collaboration with the University of Florida, particularly in the field of artificial intelligence, enhancing its technical capabilities[17] - The company is enhancing content identification and rights confirmation technology, significantly reducing the time required for rights confirmation through improved AI algorithms[17] Corporate Governance - The company has adhered to all applicable principles of the Corporate Governance Code, except for the provision C.2.1, which states that the roles of Chairman and CEO should be separate[74] - The board consists of two executive directors, two non-executive directors, and three independent non-executive directors, ensuring a balanced distribution of power[74] - The Audit Committee, consisting of three independent non-executive directors, has reviewed the unaudited interim results for the six months ended June 30, 2024, and confirmed compliance with relevant accounting standards[77] Earnings Per Share - Basic earnings per share increased to HKD 0.0184 from HKD 0.0132, reflecting a rise of 39.4% year-over-year[38] - The basic earnings per share attributable to the owners of the company for the period was calculated based on 2,252,048,052 shares, compared to 2,210,092,429 shares in 2023[55] Dividend Policy - The company did not recommend the payment of an interim dividend for the six months ended June 30, 2024[30] - The group did not recommend any dividend for the period ended June 30, 2024, consistent with the previous year[55] Financial Position - The company has no significant contingent liabilities or guarantees as of June 30, 2024, indicating a stable financial position[68] - The company continues to monitor foreign exchange risks, particularly with USD and RMB, to mitigate the impact of currency fluctuations[69]

从今天开始一直到今天然后今天我们是有一部分的线上的商务公司的小范围交流这场的话我们非常荣幸的请到了复博集团的投资者关系的负责人Catherine来和我们交流一下公司近期的一些情况然后复博呢也是我们长期跟踪的一个做版权保护和变现包括这两年 在ITC领域也做了很多的一个布局所以我们也是借我们这个策划会的机会的话和各位投资人分享一下公司最新的一些业务的进展和未来的一些规划和展望我下面就先把时间交给KatherineKatherine下面要不就你开始分享因为这场交流有这个PPT的展示如果大家可以的话也可以通过APP端进入我们可以看一些PPT的内容 好,谢谢周老师,也谢谢我们的金融财经的团队,因为这一次很可惜我们团队没有办法来到上海跟大家线下进行见面,所以咱们线上见面也有线上见面的好处,我们这一次公司整体也做了我们的一个叙事上的材料升级, 也通过这次机会希望可以跟线上的投资者们一起来去分享一下公司现在近期的我们新的业务的进展,然后以及包括我们其实从整个的一个战略的角度上对于公司接下来的一些这个业务推进上的想法。 因为线上我看到有我们的一些老的投资者但也有些新的投资者我这一次可能通过前面的大概15分钟左右的时间先跟大家讲 ...