CNS(SH:601098) China Post Securities·2025-06-17 09:30Investment Rating - The investment rating for the company is "Buy" and is maintained [1] Core Insights - The company is optimizing its business structure and focusing on a "Culture + Technology" growth strategy, particularly in the AI education sector [4][6] - In 2024, the company reported a revenue of 13.349 billion yuan, a year-on-year decrease of 1.94%, and a net profit attributable to shareholders of 1.370 billion yuan, down 26.12% year-on-year [4][5] - The company plans to distribute a cash dividend of 0.45 yuan per share for 2024 and 0.1 yuan per share for the first half of 2025, reflecting a high dividend payout ratio of 72.09% [5] Financial Performance - The company’s gross margin improved by 3.00 percentage points to 44.35% in 2024, further increasing to 45.29% in Q1 2025 due to a reduction in low-margin sales and a decrease in paper prices [5] - The forecast for revenue is 13.685 billion yuan for 2025, with a slight increase in net profit to 1.720 billion yuan, reflecting a growth rate of 25.52% [10][11] - The earnings per share (EPS) is projected to be 0.96 yuan for 2025, with a corresponding price-to-earnings (P/E) ratio of 14.30 [10][11] Business Strategy - The company is focusing on AI education and plans to leverage its existing educational services and data advantages to create new business models in digital publishing and smart educational platforms [6] - The company is also enhancing its presence in children's education through animation, live streaming, and short video channels [6] Shareholder Returns - The company is committed to high dividend payouts, with a dividend yield of 4.02% based on the closing price on June 16 [5] - The company’s strategy includes continuous shareholder returns and maintaining stable profit levels despite some business contraction [7]