SANQI HUYU(SZ:002555) Zhongyuan Securities·2025-08-26 09:41Investment Rating - The report maintains a "Buy" rating for the company, expecting a relative increase of over 15% compared to the CSI 300 index in the next six months [10][13]. Core Insights - The company achieved a revenue of 8.486 billion yuan in H1 2025, a year-on-year decrease of 8.08%, while the net profit attributable to shareholders was 1.4 billion yuan, an increase of 10.72% year-on-year [6]. - In Q2 2025, the company reported a revenue of 4.243 billion yuan, a decrease of 5.33% year-on-year, but a significant increase in net profit of 31.24% year-on-year [6]. - The decline in revenue is attributed to the lifecycle stage of the games, with new games entering the market while older games are in a stable phase [9]. - The company has reduced its marketing expenses significantly, leading to an increase in profit despite the decline in revenue [9]. - The product pipeline is robust, with several new games expected to contribute to future revenue growth [9]. - The company has consistently returned value to shareholders through multiple dividends, totaling 924 million yuan in H1 2025, which is 65.98% of the net profit for the same period [9]. Financial Data Summary - As of June 30, 2025, the company reported a net asset value per share of 5.88 yuan and a diluted return on equity of 10.77% [2]. - The company’s gross profit margin stands at 76.71%, with a debt-to-asset ratio of 36.19% [2]. - The forecasted earnings per share (EPS) for 2025-2027 are 1.30 yuan, 1.45 yuan, and 1.52 yuan, respectively, with corresponding price-to-earnings (PE) ratios of 13.57, 12.19, and 11.62 [10].