Zhejiang Huace Film and TV (300133) 天风证券·2025-02-23 06:09Investment Rating - The investment rating for the company is "Buy" with a 6-month outlook maintained [7]. Core Insights - The company is optimistic about the growth potential of its computing power business, with a budget of up to 1 billion yuan allocated for development [1][3]. - The core business remains stable, with a solid reserve of TV series and an increased participation in headliner films [2]. - A special dividend plan has been announced, distributing 0.2 yuan per 10 shares to shareholders, reflecting the company's strong financial position [4]. Summary by Sections Core Business - In Q3 2024, the company launched several successful projects, including the TV series "前途无量" which topped viewership ratings, and the short drama "21 和 31" which garnered over 200 million views [2]. - The film "出走的决心" achieved a box office of 120 million yuan, while the film "唐探 1900" generated approximately 2.354 billion yuan in total box office revenue, contributing an estimated 2.29 to 3.1 million yuan in revenue to the company [2]. Strategic Transformation - The company has entered the computing power market, completing its first project with Zhejiang Computing Power Technology Co., and expects to receive service fees starting from December 2024 [3]. - The current computing power capacity is approximately 2000 Pflops, with a potential cost equivalent to 7000-10000 P [3]. Financial Data and Valuation - The company reported a net profit of approximately 166 million yuan for the first three quarters of 2024 [4]. - Revenue projections show a recovery with expected growth rates of 6% in 2024, 14.5% in 2025, and 9.5% in 2026 [6][12]. - The company's earnings per share (EPS) is projected to be 0.21 yuan in 2024, increasing to 0.28 yuan by 2026 [6][12].