KUAISHOU(HK:01024) Tianfeng Securities·2025-04-14 08:42Investment Rating - The investment rating for the company is "Buy" with a target price of 68 HKD, maintaining the rating [8][16]. Core Insights - The company's revenue for Q4 2024 reached 35.4 billion RMB, a year-on-year increase of 8.7%, with adjusted net profit at 4.7 billion RMB, up 7.8% [1]. - The average Daily Active Users (DAU) and Monthly Active Users (MAU) for the app were 401 million and 736 million, respectively, reflecting a year-on-year growth of 4.8% and 5.0% [2]. - The AI model "Keling" was launched in version 1.6, significantly enhancing video quality and generating over 100 million RMB in revenue since its monetization [3]. - Online marketing service revenue reached 20.6 billion RMB, growing 13.3% year-on-year, driven by strong external marketing services [4]. - Other service revenue, including e-commerce, grew 14.1% to 4.9 billion RMB, with e-commerce GMV increasing 14.4% to 462.1 billion RMB [5]. - Live streaming revenue was 9.8 billion RMB, with a narrowing year-on-year decline, and the number of signed agencies and streamers increased significantly [6]. - Overseas revenue grew 52.9%, with online marketing services up 83.5%, indicating a focus on commercializing in key regions [7]. Summary by Sections Financial Performance - Q4 2024 revenue was 354 billion RMB, with a net profit of 47 billion RMB, and gross profit of 191 billion RMB, showing solid growth across core business areas [1]. User Engagement - DAU and MAU reached 401 million and 736 million, with daily usage time per DAU at 125.6 minutes, indicating improved user engagement [2]. AI Development - The Keling AI model's advancements and the launch of an independent app are expected to contribute significantly to revenue growth [3]. Marketing Services - Online marketing services revenue was 206 billion RMB, with strong growth driven by external marketing efforts [4]. E-commerce and Other Services - Other services revenue grew to 49 billion RMB, with e-commerce GMV reaching 462.1 billion RMB, supported by increased active buyers [5]. Live Streaming - Live streaming revenue was 98 billion RMB, with a notable increase in signed agencies and streamers [6]. International Expansion - Overseas revenue growth of 52.9% highlights the company's strategy to focus on key markets for commercialization [7].