ROYALFLUSH INFO(SZ:300033)2024-08-27 03:53Investment Rating - The report maintains a "Recommended" rating for the company [4]. Core Viewpoints - The company has established a significant technological advantage in key areas such as intelligent voice and natural language processing, supported by numerous patents and publications in renowned AI conferences [1]. - The introduction of the HithinkGPT model marks a milestone in the domestic financial sector, enhancing decision-making support for investors through advanced AI technologies [1]. - Despite a decline in revenue and net profit in the first half of 2024, the company continues to invest heavily in AI technology and expand its service offerings, particularly in the financial advisory and intelligent customer service sectors [2][3]. Financial Performance Summary - For the first half of 2024, the company reported revenue of 1.389 billion yuan, a year-on-year decrease of 5.51%, and a net profit of 363 million yuan, down 20.99% [2]. - The gross profit margin stood at 84.85%, with a decline in revenue from the value-added telecommunications segment largely attributed to reduced demand due to lower stock market activity [2][3]. - The company’s contract liabilities increased to 1.202 billion yuan, reflecting a year-on-year growth of 9.7%, indicating positive future expectations [3]. Revenue and Profit Forecast - The company is projected to achieve revenues of 3.658 billion yuan, 4.124 billion yuan, and 4.619 billion yuan for 2024, 2025, and 2026, respectively, with growth rates of 2.63%, 12.74%, and 12.00% [7]. - Expected net profits for the same period are 1.302 billion yuan, 1.393 billion yuan, and 1.560 billion yuan, with corresponding growth rates of -7.17%, +7.02%, and +11.98% [7][8]. - The earnings per share (EPS) are forecasted to be 2.42 yuan, 2.59 yuan, and 2.90 yuan for 2024, 2025, and 2026, respectively [8].