Wondershare(300624)2025-05-19 01:23Investment Rating - The investment rating for the company is "Buy" with an expectation of more than 10% return relative to the CSI 300 index over the next six months [2][13]. Core Views - The company reported a revenue of 1.44 billion yuan for 2024, a decrease of 2.78% year-on-year, and a net profit attributable to shareholders of -163.46 million yuan, marking a shift to negative profitability [1][10]. - The company's gross margin was 93.22%, down 1.55 percentage points year-on-year, while the net margin was -10.93%, indicating a significant decline [1][10]. - The company is facing short-term pressure on performance due to intensified market competition, rising traffic costs, and goodwill impairment [1][9]. Financial Performance Summary - In Q4 2024, the company achieved revenue of 387 million yuan, a year-on-year increase of 0.43%, but the net profit attributable to shareholders was -158 million yuan [1][10]. - The annual revenue breakdown shows that the video creative business generated 961 million yuan, a slight increase of 0.06% year-on-year, while other segments like practical tools and document creativity saw declines [7][9]. - The company’s operating expenses increased significantly, with sales expenses rising to 849 million yuan (up 17.42% year-on-year) and R&D expenses reaching 442 million yuan (up 9.90% year-on-year) [7][10]. Future Outlook - The company is committed to deepening its AI strategy, with expectations for AI-native application revenue to reach approximately 67 million yuan in 2024, doubling year-on-year [9]. - Forecasts for net profit attributable to shareholders are projected to be 56.04 million yuan in 2025, 95.95 million yuan in 2026, and 153.46 million yuan in 2027, indicating a recovery trajectory [10].