Investment Rating - The report assigns an "Outperform" rating to the company [4][8]. Core Viewpoints - The company is a pioneer and leader in the enterprise-level AI sector, providing platform-centric AI solutions that address efficiency, cost, and value issues faced by enterprises during their digital transformation [4][8]. - The company's "Sage AI Platform" has maintained a leading market position in China for five consecutive years, according to IDC, and supports extensive model training and real-time inference [4][6]. - The company achieved revenue of 4.204 billion yuan in 2023, a year-on-year increase of 36.4%, with a gross profit of 1.980 billion yuan and a gross margin of 47.1% [4][10]. - The company has a clear profitability goal, with an adjusted net loss of 415 million yuan in 2023, narrowing the loss by 88.88 million yuan compared to 2022 [4][10]. Summary by Sections Company Overview - Founded in September 2014, the company focuses on enterprise-level AI solutions and has developed a robust AI platform that supports over 10,000 models [4][6]. Financial Performance - In 2023, the company reported a revenue of 4.204 billion yuan, with a gross profit margin of 47.1% [4][10]. - The revenue from the Sage AI Platform reached 2.506 billion yuan, growing 68% year-on-year, while the SHIFT intelligent solutions and AIGS services generated revenues of 1.283 billion yuan and 416 million yuan, respectively [10][11]. Future Projections - The company anticipates continued growth, with projected revenues of 5.277 billion yuan in 2024, 6.326 billion yuan in 2025, and 7.381 billion yuan in 2026, reflecting year-on-year growth rates of 25.51%, 19.89%, and 16.68% respectively [11][12]. - The report estimates a reasonable valuation range for the company at 73.31 to 85.53 HKD based on a price-to-sales ratio of 6-7 times for 2024 [8][10].

Financial Performance - Total revenue for 2023 reached RMB 4.204 billion, a year-on-year increase of 36.4%[7] - Gross profit amounted to RMB 1.980 billion, with a gross margin of 47.1%, reflecting a 33.2% increase compared to 2022[10] - Adjusted net loss for the year was RMB 415.5 million, a reduction of RMB 88.9 million or 17.6% from the previous year[10] - The revenue of the 4Paradigm Sage AI platform reached RMB 2.506 billion in 2023, representing a year-on-year growth of 68.0%, with its share of total group revenue increasing from 48.4% to 59.6%[12] - The SHIFT intelligent solutions business generated revenue of RMB 1.283 billion in 2023, a year-on-year increase of 7.4%, accounting for 30.5% of the total group revenue[16] - In 2023, the revenue from the AIGS service was RMB 416 million, representing a year-on-year growth of 4.7%, accounting for 9.9% of the total revenue of the group[20] - The company reported a significant increase in revenue, achieving a total of 1.5 billion RMB, representing a 25% year-over-year growth[70] - The company provided a positive outlook for the next quarter, projecting a revenue increase of 15% to 1.725 billion RMB[72] - The company reported bank loans and other borrowings of approximately RMB 108.7 million as of December 31, 2023[89] User Growth and Engagement - The total number of users increased to 445, with benchmark users rising to 139, representing a growth of 33.7% year-on-year[10] - The average revenue per benchmark user was RMB 18.38 million, with a net revenue growth rate (NDER) of 115% for benchmark users[10] - User data indicates a growth in active users, reaching 10 million, which is a 40% increase compared to the previous year[71] Research and Development - Research and development expenses exceeded RMB 1.7 billion, accounting for over 40% of total revenue[10] - The company invested over RMB 1.7 billion in R&D in 2023, with an R&D expense ratio exceeding 40%[26] - The company has achieved significant breakthroughs in several cutting-edge technology areas, with 25 papers accepted by top AI academic conferences and journals in 2023[26] - The AIGS platform has improved developer efficiency by over 30% through features like automatic code generation and code review[22] - The company launched the AIGS (AI-Generated Software) strategy in April 2023, aimed at reconstructing enterprise software using generative AI[25] Business Segments and Strategy - The company has established three main business segments: 4ParadigmSage AI platform, 4ParadigmSHIFT intelligent solutions, and 4ParadigmAIGS services[11] - The company continues to expand its influence in industries such as finance, energy, telecommunications, and transportation, while actively exploring strategic sectors like manufacturing, healthcare, and retail[10] - The AIoT business has shown significant growth, expanding into various markets such as transportation, industrial automation, healthcare, agriculture, and smart homes[15] - The company launched dozens of solution products during the reporting period, including smart supply chain solutions for retail and chronic disease management solutions for healthcare[17] Corporate Governance and Management - The company’s management team includes experienced professionals with backgrounds in artificial intelligence and finance, enhancing its strategic planning and operational management capabilities[65][66][67] - The board of directors emphasized the importance of corporate governance and compliance, with a focus on enhancing audit processes[72] - The company has adopted corporate governance principles and has complied with all applicable code provisions, except for C.2.1[143] - The board of supervisors consists of three members, including two shareholder representatives and one employee representative, with a term of three years[140] - The company has established three committees: the audit committee, the compensation committee, and the nomination committee, each with defined responsibilities and sufficient resources[156] Financial Position and Assets - Total assets as of December 31, 2023, were RMB 7.147 billion, with total liabilities of RMB 1.695 billion[8] - As of December 31, 2023, the total cash and cash equivalents amounted to approximately RMB 2,675.0 million, an increase from RMB 2,011.9 million in 2022[51] - The net current assets increased from RMB 3,367.1 million in 2022 to 4,013.4 million in 2023[53] - The current ratio as of December 31, 2023, was approximately 3.4, up from 3.2 in 2022[54] - The debt-to-equity ratio as of December 31, 2023, was approximately 2.0%, compared to -4.6% in 2022[55] Shareholder and Equity Information - The company’s shares were listed on the Hong Kong Stock Exchange on September 28, 2023[88] - The company has a significant ownership structure, with the chairman holding approximately 32.13% of the total equity in the company[110] - The company has not disclosed any plans for significant investments or capital assets as of the report date[63] - The company does not recommend the distribution of a final dividend for the year ending December 31, 2023[85] Risk Management and Compliance - The company is facing significant risks related to evolving AI technology, which could negatively impact its business and reputation[96] - The company acknowledges the potential impact of complex and changing privacy and data protection regulations on its operations[97] - The company has implemented comprehensive risk management policies across its operations and established an internal audit department to oversee compliance[168] Employee and Workforce Management - The total employee cost for the group for the year ended December 31, 2023, was approximately RMB 661.5 million, which includes salaries, bonuses, pension costs, and other employee benefits[131] - As of December 31, 2023, the company had a total of 1,801 employees, a decrease from 1,917 employees as of December 31, 2022[131] - The company has implemented a competitive compensation policy to optimize its incentive system in line with business development needs[131] Environmental, Social, and Governance (ESG) - The company plans to publish an independent environmental, social, and governance report alongside its annual report[94] - The group made charitable donations totaling RMB 250,000 during the reporting period[136] - The company is focused on maintaining strong relationships with stakeholders, including employees, customers, and suppliers, to ensure sustainable development[93]

Summary of Conference Call Company/Industry Involved - The conference call was limited to clients on the whitelist of Guotou Securities Co., Ltd. [1] Core Points and Arguments - The content of the meeting is not allowed to be disclosed in any form, and any violations will result in legal action and economic losses pursued by Guotou Securities Co., Ltd. [1] Other Important but Possibly Overlooked Content - The strict confidentiality measures indicate the sensitive nature of the information discussed during the call, highlighting the importance of compliance and legal considerations in the investment banking sector [1]

Company Overview - Epoch AI, an AI Agent company, has completed an angel round of over 10 million RMB and is currently undergoing a new round of financing [1] - The company was founded in the second half of 2023 by Liang Jun, former partner and executive vice president of Fourth Paradigm, with a focus on leveraging large models to help enterprises make more complex intelligent decisions [1] - The founding team includes product lead Kang Zhixi, technical lead Zhan Zhenjiang, and solutions lead Xie Bo, all of whom have extensive experience in AI and enterprise solutions from companies like Microsoft, Baidu, and Momenta [1] Product and Technology - Epoch AI aims to develop intelligent agents (Agents) that can solve complex decision-making problems, leveraging the generalization capabilities of large models/Transformer architectures [2] - The company's product architecture includes an Agent PaaS platform that bridges the gap between foundational large models and enterprise-level applications, enhancing recall rates and accuracy in specific tasks [3] - The Agent PaaS platform supports large-scale production and deployment of AI Agents, with a focus on industry generalization capabilities, allowing Agents to scale across different industries and scenarios [3] Industry Focus and Applications - Epoch AI initially targets the financial and advertising/marketing industries, developing high-difficulty, high-value Agent applications for large enterprises (KA) [4] - In the live-streaming marketing scenario, the company has developed an Agent product called "Qianji Smart Investment," which can simulate a four-year experienced optimization specialist, significantly improving efficiency in live-streaming planning, target setting, data analysis, and strategy adjustment [4][5] - The company's first-generation product prototypes have completed proof of concept (POC) in banking and advertising industries, with commercial orders already secured [5] Future Plans - Epoch AI plans to continue refining its intelligent agent platform, focusing on developing Killer App products for enterprise clients while expanding its services to more industries [5]

公司分析 2024 年 04 月 14 日 第 四范式(06682.HK) 证券研究报告 客户基础扎实，有望升级为 AI2.0 时代 应用软件(HS) 投资评级 买入-A 企业软件服务龙头 首次评级 6 个月目标价 82.48港元 聚焦企业服务赛道，中国机器学习领域市场份额第一。第四范 股价 (2024-04-12) 51.90港元 式成立于2014 年，其创始人戴文渊率先提出了迁移学习通用框架 理念，设计了中国最早的人工智能系统之一。公司以机器学习、 交易数据 迁移学习等人工智能技术为起点，聚焦于企业服务赛道，成长为 总市值(百万元) 24,178.07 细分领域的绝对行业龙头。先知 AI 平台自 2018 年起已连续五年 流通市值(百万元) 7,029.36 稳居中国机器学习平台市场份额第一，且在机器学习操作平台 总股本(百万股) 465.86 （MLOps）厂商评估排名中也取得了中国区第一的成绩。 流通股本(百万股) 135.44 重平台而非单点解决方案，客户基础扎实。公司已经形成了一 12 个月价格区间 37.25/75.5元 套涵盖算力基础设施、操作系统、开发工具及应用的完整产品矩 阵，并差异化推出 ...

【TechWeb】3月29日消息，今天，第四范式发布了先知AIOS 5.0，一款全新的行业大模型平台。 大语言模型的原理是根据历史单词去不断预测下一个单词，换一句常见的话：Predict the Next “Word”。当前对于行业大模型的普遍认知就是沿用这种逻辑，用大语言模型去 fine-tune 行业数据，预测下一个字。但各行各业的场景往往面对的不是简单的文字格式，行业需要的往往也不是预测下一个字，而是Predict the Next“X”，这里的“X”可能包含水文数据、健康报告、设备监测数值、设计推演等。先知AIOS 5.0 进一步升级预测。 先知AIOS至今已经发展近10年，通过1.0到5.0的进化，降低AI门槛，实现对更多场景的规模化覆盖。 2015年，先知AIOS 1.0版本首次发布，通过高维、实时、自学习框架提升模型精度。 2017年，先知AIOS 2.0版本利用自动建模工具HyperCycle，大幅降低模型开发门槛。 2020年发布的先知AIOS 3.0版本规范AI数据治理和上线投产，完成建模到落地应用“最后一公里”。 2022年，先知AIOS 4.0版本引入北极星指标，最大化发挥AI应用价值 ...

Core Viewpoint - Huatai Securities maintains an "Overweight" rating for Fourth Paradigm (06682), projecting revenue growth driven by the company's XianZhi AI platform and application development, with expected revenues of 5 billion, 6 billion, and 7.18 billion yuan from 2024 to 2026, and a target price of 80.53 HKD [1] Group 1: Financial Performance - In 2023, the company reported revenues of 4.2 billion yuan, a year-on-year increase of 36.4%, with the XianZhi AI platform generating 2.5 billion yuan, up 68% due to rising AI market demand and the enhancement of products through large model and generative AI capabilities [2] - The SHIFT intelligent solutions business generated 1.28 billion yuan, reflecting a 7.4% year-on-year growth, while the Shishuo AIGS service business earned 420 million yuan, growing by 4.7% [2] Group 2: Customer Expansion and Model Development - The company continued to expand its large customer base in 2023, reaching a total of 445 users, a 9% year-on-year increase, with benchmark users numbering 139, up 34% year-on-year, and an average revenue per benchmark customer of 18.38 million yuan, a 3% year-on-year increase [3] - The net revenue growth rate (NDER) for benchmark users was 115%, indicating strong performance [3] - The company's large model business has been successfully implemented across various sectors including finance, manufacturing, healthcare, retail, real estate, education, and energy, enhancing generative AI-related services for numerous enterprises and partners [3] - The Shishuo large model has been registered under the national "Interim Measures for the Management of Generative Artificial Intelligence Services" and is among the first seven large model partners in Beijing, showcasing the company's competitive edge in the enterprise software sector [3]

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不 負 責，對 其 準 確 性 或 完 整 性 亦 不 發 表 任 何 聲 明，並 明 確 表 示，概 不 對 因 本 公 告 全部或任何部份內容而產生或因倚賴該等內容而引致的任何損失承擔任何責 任。 Beijing Fourth Paradigm Technology Co., Ltd. 北京第四範式智能技術股份有限公司 （於 中 華 人 民 共 和 國 註 冊 成 立 的 股 份 有 限 公 司） （股 份 代 號：6682） 截至二零二三年十二月三十一日止年度 全年業績公告 董 事 會 謹 此 宣 佈，本 集 團 截 至 二 零 二 三 年 十 二 月 三 十 一 日 止 年 度 的 合 併 全 年 業 績，連 同 截 至 二 零 二 二 年 十 二 月 三 十 一 日 止 年 度 的 可 比 較 數 字。本 集 團 於 報 告 期 內 的 合 併 全 年 業 績 已 經 本 公 司 核 數 師 審 核 並 由 審 計 委 員 會 審 閱。 | 財務摘要 | | | | | | | --- | --- | --- | --- | --- | ...

智通财经APP获悉，中信建投发布第四范式(06682)首次覆盖报告，考虑到公司的AI平台化能力及成长性，下游优质客户占比高，技术积累深厚，参考海外可比公司估值，给予“买入”评级。预计公司2023-2025年营业收入分别为40.7、51.2和63.7亿元，同比增速分别为31.9%、26.0%、24.4%。对应2023-2025年PS分别为5.3x、4.2x、3.4x。 参考业务及生成式AI方面布局，中信建投认为第四范式海外直接对标Salesforce和Palantir。Salesforce主要专注于客户关系管理（CRM）领域，旗下的Tableau子公司专注B端企业级数据分析服务。Palantir为全球领先的AI软件平台和企业级数据分析提供者，2023年4月发布结合大模型的综合性AI平台AIP。从估值来看，Salesforce和Palantir 2023/2024E/2025E年PS分别为8.80、8.04、7.28以及24.78、20.60、17.10，对比之下第四范式同期预计的5.3x、4.2x、3.4x，显示公司估值严重被低估。 近年来，随着ChatGPT等大型人工智能模型的出现，人工智能大模型以惊人的速度 ...

Financial Performance - For the six months ended June 30, 2023, the company reported revenue of RMB 1,468.1 million, representing a year-on-year increase of 38.7%[13]. - Gross profit for the same period was RMB 704.6 million, up 33.2% from RMB 528.9 million in the previous year[19]. - The adjusted net loss narrowed to RMB 175.5 million, a decrease of 13.9% compared to the same period last year, with an adjusted net loss margin of 12.0%[14]. - Total revenue for the first half of 2023 reached RMB 1,468.1 million, a year-on-year increase of 38.7% compared to RMB 1,058.2 million in the same period of 2022[31]. - Revenue from software licenses was RMB 342.1 million, up 49.3%, accounting for 23.3% of total revenue[31]. - Revenue from SageOne was RMB 413.9 million, an increase of 36.9%, representing 28.2% of total revenue[31]. - Revenue from application development and other services was RMB 712.1 million, a 35.2% increase[31]. - Operating loss decreased by 8.5% to RMB 253.0 million from RMB 276.3 million year-on-year[46]. - Net loss for the period was approximately RMB 477.7 million, a reduction of 18.2% from RMB 583.8 million in the same period last year[49]. Market Position and Strategy - The company's decision-making AI platform generated revenue of RMB 756.0 million, accounting for 51.5% of total revenue, with a year-on-year growth of 42.2%[15]. - The company maintained its leading position in the decision-making AI market, as reported by IDC, with an expanding market share in China[19]. - In March 2023, the company launched the enterprise-level generative AI product "Shisuo," which features multimodal interaction capabilities[20]. - The company aims to reshape enterprise software services with generative AI technology, targeting a market valued at trillions of RMB[20]. - The decision-making AI market in China reached RMB 53.2 billion in 2022, projected to grow to RMB 210.4 billion by 2027, with a CAGR of 31.7%[27]. - The company ranked first in IDC's evaluation of large model vendors, highlighting its service capabilities and platform strength[24]. - The company aims to enhance its core Prophet platform and integrate AIOT technologies for deeper industry applications[28]. - The company has established partnerships across various sectors, including finance, retail, and healthcare, to promote its AI solutions[23]. Expenses and Financial Management - Sales and marketing expenses were RMB 173.8 million, a slight increase of 1.2% year-on-year[39]. - General and administrative expenses increased by 22.4% to RMB 178.8 million compared to RMB 146.0 million in the same period last year[40]. - Research and development expenses rose by 18.6% to RMB 661.8 million from RMB 557.9 million year-on-year[41]. - Financial income increased by 24.5% to RMB 21.4 million compared to RMB 17.1 million in the previous year[47]. - Financial expenses decreased by 24.4% to RMB 248.5 million from RMB 328.5 million year-on-year[48]. - The company reported a foreign exchange loss of RMB 3,215 thousand during the first half of 2023, compared to a loss of RMB 2,160 thousand in the same period of 2022[119]. Cash and Liquidity - Cash and cash equivalents and time deposits totaled approximately RMB 2,353.8 million, an increase from RMB 2,011.9 million as of December 31, 2022[58]. - The company experienced a net cash outflow from operating activities of RMB 863,282 thousand for the six months ended June 30, 2023, compared to RMB 356,262 thousand for the same period in 2022, reflecting a worsening cash flow situation[125]. - The company raised RMB 194,666 thousand through shareholder contributions during the first half of 2023, while it spent RMB 259,022 thousand on share repurchases[125]. - The cash and cash equivalents at the end of June 30, 2023, amounted to RMB 1,562,856 thousand, an increase from RMB 1,420,922 thousand at the end of June 30, 2022[127]. - The company has short-term bank deposits of RMB 790,900 thousand as of June 30, 2023, which were not present in the previous year, indicating new liquidity management strategies[200]. Shareholder and Equity Information - The company did not declare any interim dividend for the six months ended June 30, 2023, consistent with the previous year[83]. - The total number of non-listed shares issued is 330,418,283, and the total number of issued H-shares is 133,642,250[95]. - Dr. Dai holds 106,164,523 non-listed shares directly and has indirect control over 74,068,383 non-listed shares through a controlled platform[95]. - Ms. Wu holds 180,232,906 non-listed shares, representing approximately 54.55% of the non-listed shares and 38.84% of the total equity[98]. - The company has not established any arrangements for directors to acquire shares or debt securities of the company or any other corporate entity during the six months ended June 30, 2023[97]. Compliance and Governance - The audit committee has reviewed the interim financial data for the six months ended June 30, 2023, and confirmed compliance with applicable accounting standards, laws, and regulations[84]. - The company has maintained sufficient public float as required under the listing rules as of the report date[87]. - The company has established an audit committee consisting of two independent non-executive directors and one non-executive director, ensuring appropriate professional qualifications[84]. - The company’s financial data is prepared in accordance with International Accounting Standard 34, ensuring compliance with relevant regulations[105]. - The company’s board of directors is responsible for preparing and presenting the interim financial data[105]. Investments and Future Plans - The company plans to seek strategic investment and acquisition opportunities, allocating 10% of the net proceeds (approximately HKD 83.6 million) for this purpose within five years from the listing date[91]. - The company has not made any significant investments or acquisitions since its listing date up to the report date[71]. - There are no plans for significant investments or capital assets as of the report date[72]. - The company completed its listing on the Hong Kong Stock Exchange on September 28, 2023, marking a significant milestone in its growth strategy[131].