G-bits(SH:603444) GOLDEN SUN SECURITIES·2024-10-25 12:15Investment Rating - The report maintains a "Buy" rating for the company [2][4]. Core Views - The company reported a revenue of 2.818 billion yuan for the first three quarters of 2024, a year-on-year decline of 14.77%, and a net profit of 658 million yuan, down 23.48% year-on-year [1]. - The overseas revenue continues to grow significantly, achieving 369 million yuan in the first three quarters of 2024, a year-on-year increase of 99.57% [2]. - The company has a rich pipeline of self-developed and agency products, with several new games expected to launch by the end of the year [2]. Financial Overview - For 2024, the company is projected to achieve revenues of 3.578 billion yuan, a year-on-year decrease of 14.5%, and a net profit of 875 million yuan, down 22.2% year-on-year [3]. - The earnings per share (EPS) for 2024 is estimated at 12.15 yuan, with a projected price-to-earnings (P/E) ratio of 18 [3]. - The company plans to distribute a cash dividend of 20.00 yuan per 10 shares, totaling 144 million yuan [1]. Game Performance - The mobile game "Wandao" saw a total revenue decline of 14.13% to 1.612 billion yuan in the first three quarters of 2024, while the PC version experienced a revenue increase of 7.71% to 881 million yuan [2]. - The company launched new games such as "Fengshen Fantasy World" in October 2024, which features new gameplay mechanics [2]. Future Outlook - The company expects to achieve revenues of 3.918 billion yuan and 4.349 billion yuan in 2025 and 2026, respectively, with growth rates of 9.5% and 11.0% [3]. - The net profit is projected to recover to 1.002 billion yuan in 2025 and 1.168 billion yuan in 2026, with corresponding growth rates of 14.4% and 16.6% [3].