Yonyou(SH:600588) Guoxin Securities·2025-04-17 07:17Investment Rating - The investment rating for the company is "Outperform the Market" [6][31] Core Views - The company's core product BIP3 has seen an increase in revenue contribution, and AI products are expected to drive a recovery in performance [1][4] - The company faced significant pressure on its annual performance, with a revenue decline of 6.57% year-on-year in 2024, resulting in a net loss of 2.061 billion yuan, a decrease of 113.13% [1][9] - The fourth quarter of 2024 showed a revenue of 3.415 billion yuan, down 16.48% year-on-year, with a net loss of 606 million yuan, reflecting a drastic decline of 1058.37% [1][9] Summary by Sections Financial Performance - In 2024, the company achieved a total revenue of 9.153 billion yuan, down 6.57% year-on-year, and a net profit attributable to shareholders of -2.061 billion yuan, down 113.13% [1][5] - The company’s revenue in Q4 2024 was 3.415 billion yuan, a year-on-year decrease of 16.48%, with a net profit of -606 million yuan, reflecting a significant decline [1][9] - The company’s gross margin for 2024 was 47.54%, a decrease of 3.19 percentage points from the previous year, with a net margin of -22.61%, down 13.08 percentage points [16] Business Segments - The cloud service business generated revenue of 6.85 billion yuan in 2024, with the core product BIP3 contributing 3.14 billion yuan, an increase of 2.4 percentage points year-on-year [2] - The company has seen a 7.9% year-on-year growth in cloud service revenue from medium-sized enterprises, with a renewal rate for YonSuite reaching 95% [2] - The company has established subsidiaries in Vietnam, Japan, and Germany, with overseas business revenue growing over 50% year-on-year [3] Future Outlook - The company is expected to gradually recover its performance, with projected net profits of -554 million yuan, 256 million yuan, and 1.051 billion yuan for 2025, 2026, and 2027 respectively [4][31] - Revenue growth is anticipated to stabilize with expected increases of 8.86%, 9.43%, and 11.61% for the years 2025 to 2027 [32] - The gross margin is projected to improve to 52.67%, 56.32%, and 58.53% over the same period [24][32]