Investment Rating - The investment rating for the company is Neutral [2][7]. Core Insights - The company reported a revenue of 1.6 billion RMB in the first half of 2024, a year-on-year decrease of 29%, primarily due to a decline in payment transaction scale [1]. - Payment transaction volume remained stable year-on-year, but the transaction scale was impacted by a decrease in average transaction amount [1]. - The company is focusing on enhancing its one-stop merchant services based on payment solutions and leveraging AI technology for service improvement and overseas expansion [1]. Financial Performance Summary - In the first half of 2024, the company's revenue was 1.578 billion RMB, down 23% from the previous half [4]. - The adjusted net profit for the same period was 159 million RMB, reflecting a 29% year-on-year decline [4]. - The gross payment volume (GPV) for the first half of 2024 was 1.166 trillion RMB, a decrease of 18% year-on-year [4]. - The company expects a recovery in payment scale in the second half of 2024, with projected GPV and revenue of 2.4 trillion RMB and 28 billion RMB, respectively [1][5]. Valuation - The target price has been adjusted to 13 HKD from 14 HKD, based on a 14x P/E ratio for comparable payment and SaaS companies in 2025 [1]. - The potential upside from the current share price is estimated at 21.5% [1][7]. Business Segment Performance - Merchant solutions revenue increased by 21% year-on-year, with active merchant numbers rising by 5.8% [1]. - The gross margin for merchant solutions improved by 3 percentage points to 91% [1]. - The company is focusing on profitable merchants in its in-store e-commerce segment, which has led to a reduction in losses [1]. Financial Forecast - Revenue is expected to decline by 15.8% in 2024, followed by a recovery of 14.3% in 2025 [2]. - The net profit forecast for 2024 is 126 million RMB, with significant growth anticipated in subsequent years [2][5]. - The company aims to maintain a high gross margin for merchant solutions, driven by merchant expansion and increased average payments [1].
移卡：支付下半年或恢复环比增长，海外布局加速