ZWSOFT(SH:688083) Guohai Securities·2024-08-19 14:00Investment Rating - The investment rating for the company is "Buy" (maintained) [1][7]. Core Views - The company's performance is improving quarter by quarter, driven by ZW3D, overseas expansion, and channel development [1]. - In H1 2024, the company achieved revenue of 308 million yuan, a year-on-year increase of 11.79%, and a net profit attributable to shareholders of 6 million yuan, marking a turnaround from loss to profit [1][2]. - The overseas market has shown a year-on-year growth rate of 30%, with significant contributions from key accounts [2]. Summary by Relevant Sections Financial Performance - In Q2 2024, the company reported revenue of 188 million yuan, up 17.54% year-on-year, and a net profit of 32 million yuan, an increase of 92.82% year-on-year [1][2]. - The company's revenue from domestic commercial, domestic education, and overseas markets in H1 2024 was 187 million, 33 million, and 88 million yuan, respectively, with year-on-year growth rates of 19.53%, -35.46%, and 29.91% [2]. Product Development - The revenue growth for 3D products exceeded 30%, with the company focusing on accelerating ecosystem development and performance enhancements [2]. - In H1 2024, the company generated revenue of 192 million, 89 million, and 3 million yuan from 2D CAD, 3D CAD, and CAE products, respectively, with year-on-year growth rates of 8.33%, 30.15%, and 21.04% [2]. Cost Structure and Channel Development - The company's sales, management, and R&D expense ratios were 56.82%, 19.14%, and 64.86%, respectively, with management expenses rising due to strategic upgrades and increased personnel costs [4]. - The company is enhancing its channel distribution network, with revenue from direct sales and distribution reaching 167 million and 141 million yuan, respectively, showing year-on-year growth of 9.68% and 14.86% [4]. Earnings Forecast - The company is expected to achieve revenues of 1,023 million, 1,277 million, and 1,597 million yuan for 2024, 2025, and 2026, respectively, with year-on-year growth rates of 24%, 25%, and 25% [5][7]. - The net profit attributable to shareholders is projected to be 100 million, 162 million, and 243 million yuan for the same years, with year-on-year growth rates of 63%, 62%, and 49% [5][7].