CFC(600977) 天风证券·2025-02-28 10:26Investment Rating - The investment rating for the company is "Buy" with a target price expected to yield over 20% relative return within six months [6][17]. Core Insights - The company has approved the use of up to 4 billion yuan of temporarily idle funds for cash management, which is expected to enhance the efficiency of capital utilization and support project reserves that may contribute to performance flexibility [1][4]. - The company has a rich pipeline of film projects, with 34 films released in the first three quarters of 2024, generating a total box office of 19.501 billion yuan, accounting for 73% of the total domestic box office during the same period [2][3]. - The company is expected to benefit from the recovery of the film market, with projected revenues for 2024-2026 being adjusted to 4.374 billion yuan, 5.686 billion yuan, and 6.539 billion yuan, respectively, reflecting a year-on-year change of -18%, +30%, and +15% [4][5]. Summary by Sections Financial Performance - In 2022, the company reported a revenue of 2.919 billion yuan, which increased to 5.334 billion yuan in 2023, but is expected to decrease to 4.374 billion yuan in 2024, followed by a recovery to 5.686 billion yuan in 2025 and 6.539 billion yuan in 2026 [5][11]. - The net profit attributable to the parent company is projected to be 336.88 million yuan in 2024, 625.86 million yuan in 2025, and 771.79 million yuan in 2026, with growth rates of 28.10%, 85.78%, and 23.32% respectively [5][11]. Business Segments - The company has five main business segments: creation, distribution, exhibition, technology, and services, with significant contributions from each segment to the overall performance [2]. - The distribution segment has been particularly strong, with 425 domestic films released in the first three quarters of 2024, generating a box office of 22.183 billion yuan, representing 91.37% of the total domestic film box office [2]. Market Position - The company holds a market share of 29.85% in the cinema sector, with 128 operating cinemas and 965 screens as of September 2024, achieving a box office of 9.113 billion yuan and 217 million admissions [2][3].