Investment Rating - The report assigns a "Buy" rating for the company, indicating a positive outlook for its stock performance in the near term [6]. Core Insights - The company is recognized as a leading developer of classic IP games, with a new product cycle expected to begin after the second half of 2025, which is anticipated to drive revenue and profit growth [1]. - The company has recently announced a share buyback plan, intending to repurchase HK$300 million worth of shares over the next 12 months, with 1 million shares already repurchased as of May 29 [1]. - A strategic investment in Century Huatong is expected to significantly boost profits by 2025, as the company has acquired 8 million shares, representing 1.1% of Century Huatong's total shares [2]. - The company has established a joint venture with Century Huatong to manage the distribution of certain "Legend" IP games, leveraging Century Huatong's successful titles like "Whiteout Survival" and "Kingshot" [2]. - The company's classic IP games, including "Legend," "Miracle," and "Hot Blood Legend," provide a solid foundation, with new games expected to gradually gain traction starting in 2026 [3]. Financial Projections - The company is projected to achieve revenues of HK$58.4 billion, HK$74.3 billion, and HK$90.2 billion for the years 2025, 2026, and 2027, respectively, with corresponding net profits of HK$8.15 billion, HK$7.07 billion, and HK$8.92 billion [4]. - The current price-to-earnings (P/E) ratios are estimated to be 10, 11, and 9 for the years 2025, 2026, and 2027, respectively, indicating a favorable valuation [4]. - The financial summary indicates a revenue growth of 4.71% in 2025, followed by 27.11% in 2026 and 21.40% in 2027, with net profit margins improving over the forecast period [12].
中旭未来（09890）：点评报告：低估值经典IP游戏发行龙头，新产品线开启