Phoenix Media(SH:601928) Haitong Securities·2024-09-06 07:10Investment Rating - The report assigns an "Outperform" rating to the company [2][9]. Core Insights - The company is the second-largest publisher of primary and secondary school textbooks in China and ranks among the top in the general publishing sector. It is actively enhancing its cultural industry ecosystem while solidifying its traditional business advantages [6][7]. - In 2023, the company achieved a revenue of 13.645 billion yuan, a year-on-year increase of 0.36%, and a net profit of 2.952 billion yuan, reflecting a significant year-on-year growth of 41.80% due to tax policy adjustments [6][8]. - The company is focusing on digital transformation and the development of smart education, with significant revenue growth in its online platforms and digital content services [7][9]. Financial Performance - The company reported a revenue of 13.645 billion yuan in 2023, with projections for 2024-2026 showing steady growth, reaching 15.716 billion yuan by 2026 [8][12]. - The net profit for 2023 was 2.952 billion yuan, with forecasts indicating a decline in 2024 to 1.854 billion yuan, followed by a recovery in subsequent years [12][13]. - The company maintained a stable dividend policy, distributing 1.5 yuan per share in 2023, resulting in a dividend yield of 4.40% based on the closing price [6][12]. Business Development - The company is enhancing its digital capabilities through platforms like Phoenix Book Garden and Phoenix Easy Learning, which are expected to drive new revenue streams and improve operational efficiency [6][7]. - The strategic partnership with China Mobile aims to bolster the company's smart education initiatives and expand its market presence in the digital landscape [7][9]. - The company has a strong foothold in the textbook market, with a total of 18 sets of standardized textbooks, maintaining a second-place market share nationally [6][9].