PWRD(SZ:002624) ZHESHANG SECURITIES·2025-06-15 06:06Investment Rating - The report maintains a "Buy" rating for the company [6][10]. Core Insights - The report highlights the potential profit increment from the upcoming game "Yihuan," developed by the company's Huanta studio, which is expected to outperform the previous title "Hanta" in terms of revenue [1][3]. - The company has undergone significant organizational restructuring to enhance efficiency and market responsiveness, transitioning to a more product-centric studio system [2][31]. - The financial forecast predicts revenues of 67 billion, 108 billion, and 99 billion yuan for 2025-2027, with corresponding net profits of 6.3 billion, 17.1 billion, and 18.2 billion yuan [3][10]. Summary by Sections Investment Rating - The company is rated as "Buy" with a target price based on projected earnings growth [6][10]. Game Development and Competitive Advantage - "Yihuan" is positioned as a supernatural urban open-world RPG, utilizing Unreal Engine 5, which supports advanced graphics technologies [1][20]. - The game is expected to leverage the studio's prior experience and the current market trend towards open-world games, providing a first-mover advantage [1][27]. Organizational Changes - The company has streamlined its organizational structure, reducing employee count from 5,754 to 3,905, and divested non-core assets to improve operational efficiency [2][31][33]. Financial Projections - Revenue projections for 2025-2027 are set at 67 billion, 108 billion, and 99 billion yuan, with net profits of 6.3 billion, 17.1 billion, and 18.2 billion yuan respectively [3][10]. - The current price-to-earnings ratios are projected at 47, 17, and 16 for the years 2025, 2026, and 2027 [3][10].