KINGNET(002517) 太平洋·2025-01-12 10:10Investment Rating - The report maintains a "Buy" rating for the company, citing its strong shareholder return focus and long-term investment value [1][8] Core Views - The company's share buyback and cancellation plan enhances long-term investment value by increasing EPS [3] - Stable dividend policy with semi-annual cash dividends since 2023 demonstrates commitment to shareholder returns [3] - Management's continuous share purchases signal confidence in future development [3] - Rich game pipeline with multiple new releases expected to drive future growth [4] - Breakthroughs in self-developed AI models and expansion into AI emotional companionship sector [5] Financial Performance - Revenue forecast for 2024-2026: 5.385B, 6.314B, 7.200B yuan with growth rates of 25.37%, 17.25%, 14.03% respectively [8] - Net profit forecast for 2024-2026: 1.735B, 2.064B, 2.322B yuan with growth rates of 18.72%, 18.95%, 12.51% respectively [8] - Diluted EPS projected to increase from 0.81 yuan in 2024 to 1.08 yuan in 2026 [8] - PE ratio expected to decline from 16 in 2024 to 12 in 2026 [8] Game Pipeline - Over ten games in pipeline, including "Tomb Raider: Departure" with 806k official channel reservations [4] - "Douluo Continent: Legend of Punishment" scheduled for testing in Jan 2025 with 280k TapTap reservations [4] - "Dragon Nest World" 3D MMORPG mobile game to launch in Feb 2025 [4] - 13 games obtained licenses in H2 2024, including "Primitive Awakening" and "Eternal Dragon" [4] AI Development - Self-developed Xingyi AI model achieves breakthroughs in animation and scene production [5] - Zhimeng AI model obtained generative AI service filing in Dec 2024, featuring dialogue and role-playing functions [5] - Strategic investment in 3D AI virtual companion application "EVE" targeting male users with emotional companionship features [5] Shareholder Returns - Completed share buyback of 16.07M shares (0.75% of total shares) for 200M yuan [3] - Semi-annual cash dividend of 0.1 yuan per share in 2024, totaling 213M yuan [3] - Management committed to using after-tax dividends for continuous share purchases over next five years [3]