XD INC(HK:02400) Ge Long Hui·2025-12-22 08:48Core Insights - The Chinese gaming market in 2025 is characterized by "internal stability and external growth," with overseas markets becoming the core growth engine and AI technology permeating all aspects of the industry chain [1][5] - The recognition of Xindong Company with the "Annual Investment Value Award" reflects the capital market's acknowledgment of its performance breakthroughs and the valuation tilt towards companies with high-quality development capabilities [3][13] Industry Trends - 2025 is a pivotal year for the transformation of the Chinese gaming industry, driven by three main lines: policy guidance, global layout, and technological advancement [5] - The normalization of game license issuance has stabilized market expectations, with 1,625 game licenses issued from January to November, a year-on-year increase of 26.8% [5] - The domestic gaming market's actual sales revenue reached 256 billion yuan in the first three quarters, while overseas sales of self-developed games amounted to 14.5 billion USD, a year-on-year increase of 5.3% [6] Company Performance - Xindong Company achieved a revenue of 3.082 billion yuan in the first half of 2025, a year-on-year increase of 38.8%, and a net profit of 755 million yuan, a staggering increase of 268% [10] - The gross profit margin rose to 73.1%, marking a new high since the company went public [10] - The company's self-developed games and the TapTap platform are the dual engines driving its growth, with significant contributions from titles like "Ragnarok M: Origin" and "Heart Town" [11][12] Strategic Initiatives - Xindong's global strategy includes the successful launch of "Ragnarok M: Origin" in Southeast Asia, which exceeded market expectations in its first month [7] - The TapTap platform has evolved into an ecological hub, enhancing user engagement and attracting quality games through its open policy [12] - The introduction of the TapTap PC version aligns with cross-platform integration trends, broadening the user base and reinforcing the company's competitive edge [7][12] Future Outlook - The company plans to launch new titles, including "Ragnarok RO: Guardians of Eternal Love 2," which is expected to break into the competitive MMO market [11] - The integration of AI technology into the TapTap platform is anticipated to improve efficiency and user experience, further solidifying the platform's ecosystem [12]