Investment Rating - The report maintains a "Buy" rating for the company, expecting a relative return of over 20% within the next six months [6]. Core Insights - The company achieved total revenue of 8.12 billion yuan for the year, surpassing Bloomberg's consensus estimate of 7.73 billion yuan, with a year-over-year growth of 15.8% [1]. - Non-IFRS net profit attributable to shareholders was 1.14 billion yuan, slightly exceeding Bloomberg's estimate of 1.13 billion yuan, with a year-over-year increase of 1.0% [1]. - The company is focusing on enhancing its content ecosystem and expanding its IP (Intellectual Property) operations, which are expected to drive future growth [5]. Revenue Breakdown - Online business revenue reached 4.03 billion yuan, reflecting a year-over-year increase of 2.1% [2]. - Proprietary platform revenue was 3.53 billion yuan, up 3.4% year-over-year, attributed to improved core product operations and high-quality content production [2]. - Revenue from Tencent product channels was 250 million yuan, down 28.2% year-over-year, due to optimized content distribution mechanisms [2]. - Third-party platform revenue also reached 250 million yuan, showing a significant year-over-year increase of 32.0% [2]. - IP operations and other revenue totaled 4.09 billion yuan, with a year-over-year growth of 33.5% [2]. - Revenue from IP operations was 3.99 billion yuan, up 34.2% year-over-year, driven by the increase in popular series, films, and animations [2]. - Other revenue, primarily from physical book sales, was 100 million yuan, reflecting a year-over-year increase of 10.5% [2]. IP Creation and User Engagement - The company added approximately 330,000 new authors and 650,000 new novels in 2024, with a total word count exceeding 42 billion [3]. - The number of users casting over 1,000 monthly votes increased by 60% year-over-year, indicating enhanced user engagement [3]. - The platform's paying users grew steadily, with Monthly Active Users (MAU) reaching 9.1 million, a year-over-year increase of 4.6% [3]. IP Monetization and Partnerships - The GMV (Gross Merchandise Volume) from IP derivatives exceeded 500 million yuan in 2024, with card game GMV surpassing 200 million yuan [4]. - The company has established partnerships with over 150 brands across various categories, including toys and food [4]. - A comprehensive sales network has been developed, including over 10 online self-operated live streaming rooms and 8 offline stores in major cities [4]. Technological Advancements - The company is leveraging AI technology to enhance content creation and globalize its IP [5]. - The "Writer Assistant" tool, integrated with the DeepSeek-R1 model, has seen a 30% increase in daily active users and over 50% weekly usage rate of AI features [5]. - AI translation has expanded to over 3,200 works, accounting for 47% of total Chinese translations, with non-English revenue growing over 350% year-over-year [5]. - AI is being applied across various IP forms, including audiobooks and animations, to improve content recommendation and user interaction [5]. Financial Projections - The report forecasts Non-IFRS net profits of 1.23 billion yuan, 1.45 billion yuan, and 1.73 billion yuan for 2025E, 2026E, and 2027E respectively, reflecting a positive outlook for the company's profitability [5].
阅文集团（00772）：IP创作与可视化持续推进，加码布局AI技术