Ultrapower(300002) 天风证券·2024-11-12 06:25Investment Rating - The report maintains a "Buy" rating for the company, with a 6-month target price of 14.52 CNY [4] Core Views - The company's Q3 2024 revenue reached 1.46 billion CNY, a 5% YoY increase, while net profit attributable to the parent company surged 191% YoY to 460 million CNY [1] - The company plans to launch two new "SLG + simulation" games overseas by the end of 2024, which are expected to drive growth starting in 2025 [1] - The software and IT services business grew 30% YoY in H1 2024, with Q4 expected to be the peak season for revenue recognition [2] Financial Performance - Q3 2024 gross margin declined 2.13 ppts YoY to 61.2%, while sales expenses decreased 48% YoY [1] - Operating cash flow in Q3 2024 increased 188% YoY and 79% QoQ [1] - The company's 2024-2026 forecasted net profit was revised upward to 1.37/1.46/1.73 billion CNY, representing YoY growth of 54%/7%/18% [2] Game Business - Core game "Age of Origins" ranked 7th, 9th, and 7th in China's overseas mobile game revenue chart from July to September 2024 [1] - In the US iOS market, "Age of Origins" maintained a median ranking of 19th in Q3 2024, slightly down from 16th in Q2 2024 [1] Valuation Metrics - The company's 2024-2026 forecasted P/E ratios are 21x, 20x, and 16x, respectively [2] - The 2024-2026 forecasted P/B ratios are 4.10x, 3.47x, and 2.93x, respectively [3] Industry Outlook - The company operates in the media/gaming industry, with a focus on overseas SLG (strategy) games [4] - The report highlights the importance of monitoring the company's new game launch and marketing strategies in the coming quarters [2]