ROYALFLUSH INFO(300033) 华泰证券·2025-02-27 16:05Investment Rating - The report maintains a "Buy" rating for the company [7][5]. Core Insights - The company achieved a revenue of 4.187 billion RMB in 2024, representing a year-over-year increase of 17.47%, and a net profit of 1.823 billion RMB, up 30.00% year-over-year [1][2]. - The fourth quarter of 2024 saw a significant revenue increase of 55.39% year-over-year and 95.93% quarter-over-quarter, driven by a recovery in market conditions [1][2]. - The company is benefiting from the rise in market activity, with a leading average monthly active user count of 32.46 million in 2024 [2]. Summary by Sections Financial Performance - In 2024, the company reported a revenue of 4.187 billion RMB and a net profit of 1.823 billion RMB, with a significant increase in Q4 revenue to 1.852 billion RMB [1][2]. - The revenue growth is attributed to a recovery in the A-share market, which saw a transaction volume of 257 trillion RMB in 2024, up 21.3% year-over-year [2]. Business Segments - The advertising and internet business generated 2.025 billion RMB in revenue, a 49.00% increase year-over-year, driven by the market recovery and AI applications [2]. - The value-added telecommunications business revenue was 1.616 billion RMB, up 5.70% year-over-year, while software sales and maintenance revenue decreased by 18.61% to 356 million RMB [2]. AI and Product Development - The company has integrated its platforms with DeepSeek, enhancing its AI capabilities and product competitiveness [3][4]. - The HithinkGPT model continues to evolve, with applications across various business scenarios, leading to the development of over 5,000 intelligent agents [4]. Profitability and Valuation - The company’s EPS is projected to be 5.41 RMB in 2025, with a target price set at 425.23 RMB based on a PE ratio of 78.6 [5][8]. - The report indicates a significant upward revision in EPS estimates for 2025 and 2026, reflecting a 73.4% and 99.4% increase, respectively [5].