G-bits(603444) 国联证券·2024-11-06 10:26Investment Rating - The investment rating for the company is "Buy" (maintained) [2][4]. Core Views - The company's revenue for 2024-2026 is projected to be CNY 37.50 billion, CNY 43.13 billion, and CNY 47.44 billion, representing year-on-year changes of -10.39%, +15.00%, and +10.00% respectively. The net profit attributable to shareholders is expected to be CNY 8.48 billion, CNY 11.40 billion, and CNY 12.88 billion, with year-on-year growth rates of -24.65%, +34.42%, and +13.00% respectively. The EPS is projected to be CNY 11.77, CNY 15.82, and CNY 17.87 [2][6]. Financial Data and Valuation - The company reported a revenue of CNY 8.59 billion in Q3 2024, a decrease of 10% year-on-year. The net profit attributable to shareholders was CNY 1.40 billion, down 24% year-on-year. The company plans to distribute a cash dividend of CNY 20 per 10 shares, totaling CNY 4.66 billion for the first three quarters of 2024, which accounts for 70.94% of the net profit [6][7]. - The company's financial forecasts for 2024E, 2025E, and 2026E include revenues of CNY 37.50 billion, CNY 43.13 billion, and CNY 47.44 billion, with corresponding net profits of CNY 8.48 billion, CNY 11.40 billion, and CNY 12.88 billion. The projected EPS for these years is CNY 11.77, CNY 15.82, and CNY 17.87 [7][9]. Game Development and Market Position - The company is focusing on the progress of new game launches, with several self-developed and agency-distributed titles in the pipeline. Notable titles include "Wanjian Changsheng" and "Zhangjian Chuanqi," which have recently entered paid testing. The company is also accelerating its overseas market expansion, with overseas revenue growing by 99.6% year-on-year in the first three quarters of 2024 [6][7].