Songcheng Performance(SZ:300144) Xin Lang Cai Jing·2025-11-01 04:38Core Viewpoint - The company reported a decline in revenue and profit for the first three quarters of 2025, attributed to pressure on the tourism market and increased marketing costs [2][3]. Financial Performance - For the first three quarters of 2025, the company achieved revenue of 1.833 billion yuan, a year-over-year decrease of 8.98%, and a net profit attributable to shareholders of 754 million yuan, down 25.22% year-over-year [2]. - In Q3 alone, the company reported revenue of 753 million yuan, a decline of 9.94% year-over-year, and a net profit of 354 million yuan, down 22.60% year-over-year [2]. - The gross profit margin for the first three quarters was 68.36%, a decrease of 3.52 percentage points year-over-year, while the net profit margin fell by 8.40 percentage points to 43.26% [2]. Marketing and Cost Structure - The company increased its marketing expenditures through various strategies, including celebrity interactions and influencer collaborations, leading to a significant rise in advertising and service costs [2]. - The sales expense ratio increased by 2.77 percentage points to 7.64% for the first three quarters, while the Q3 sales/management expense ratios were 8.10% and 5.18%, respectively [2]. Strategic Initiatives - The company is exploring innovative models for celebrity interactions to enhance the attractiveness of tourist attractions, aiming to deepen visitor experiences and broaden audience reach [3]. - The company maintains a dual focus on light and heavy asset projects, with ongoing new project developments expected to improve margins over time [3]. Profit Forecast and Investment Recommendation - The company is projected to have net profits attributable to shareholders of 905 million yuan, 978 million yuan, and 1.084 billion yuan for 2025-2027, with adjusted earnings per share of 0.34, 0.37, and 0.41 yuan, respectively [3]. - The price-to-earnings ratios corresponding to the closing price on October 30 are expected to be 23, 21, and 19 times for the respective years [3].