PWRD(002624) 长江证券·2025-01-22 09:03Investment Rating - The investment rating for the company is "Buy" and is maintained [6]. Core Views - The company is expected to achieve revenue of 5.5-5.6 billion (a year-on-year decline of 28.1%-29.4%) and a net loss attributable to shareholders of 1.1-1.3 billion, with a non-recurring net loss of 1.12-1.32 billion, indicating a shift to loss compared to the previous year [2][4]. - For Q4 2024, the company is projected to generate revenue of 1.43-1.53 billion (a year-on-year decline of 4.3%-10.5%) and a net loss attributable to shareholders of 0.71-0.91 billion, with a non-recurring net loss of 0.67-0.87 billion, showing an expanded loss compared to the previous year [2][4]. - The gaming and film and television businesses are both experiencing losses due to project optimization and asset impairment [2][4]. - The launch of "Zhu Xian World" has performed well, and attention is focused on the subsequent performance of "Zhu Xian World" and the progress of new games like "Yihuan," with a potential positive trend expected in 2025 [2][4]. Summary by Sections Revenue and Profit Forecast - The company is forecasted to achieve total revenue of 55.5-56 billion in 2024, with a significant year-on-year decline of 28.1%-29.4% [2][4]. - The projected net loss for 2024 is between 1.1-1.3 billion, with a non-recurring net loss of 1.12-1.32 billion, indicating a shift from profit to loss compared to the previous year [2][4]. Q4 2024 Performance - For Q4 2024, the expected revenue is 1.43-1.53 billion, reflecting a year-on-year decline of 4.3%-10.5% [2][4]. - The net loss attributable to shareholders for Q4 is projected to be 0.71-0.91 billion, with a non-recurring net loss of 0.67-0.87 billion, showing an increase in loss compared to the previous year [2][4]. Business Performance - The gaming business is expected to incur a net loss of approximately 650-750 million in 2024, with a non-recurring net loss of about 610-710 million [8]. - The film and television business is projected to have a net loss of around 300-400 million in 2024, with a non-recurring net loss of about 400-500 million [8]. - The losses in both sectors are attributed to project adjustments and asset impairments, including the shutdown of several projects and lower-than-expected performance of ongoing games [8]. Future Outlook - The performance of "Zhu Xian World" is promising, with first-month revenue exceeding 400 million, indicating potential for long-term operation [8]. - The company anticipates that the revenue contributions from "Zhu Xian World" will gradually be released in 2025 due to the timing of its launch and the associated revenue and expense mismatch [8]. - The first test of "Yihuan" in November 2024 showed promising results, warranting continued attention on the progress of key new games [8].