DCITS(SZ:000555) GUOTAI HAITONG SECURITIES·2025-09-03 12:26Investment Rating - The investment rating for the company is "Accumulate" with a target price of 18.05 CNY [7]. Core Insights - The company reported stable revenue growth in the first half of the year, with a significant reduction in losses in Q2. The core financial software business achieved counter-cyclical growth, and two major AI application strategic products have been successfully implemented in real-world scenarios [2][13]. Financial Summary - Total revenue for 2023 is projected at 12,056 million CNY, with a slight increase of 0.5% year-on-year. However, a significant decline of 17.0% is expected in 2024, followed by a recovery with a 10.1% increase in 2025 [4]. - The net profit attributable to the parent company is forecasted to be 207 million CNY in 2023, with a drastic loss of 524 million CNY in 2024, and a return to profit with 79 million CNY in 2025 [4]. - Earnings per share (EPS) is expected to be 0.21 CNY in 2023, dropping to -0.54 CNY in 2024, and recovering to 0.08 CNY in 2025 [4]. Business Performance - In the first half of 2025, the company achieved revenue of 44.23 billion CNY, a year-on-year increase of 7.98%. However, the net profit attributable to the parent company was -0.96 billion CNY, reflecting a year-on-year increase in losses of 25.93% [13]. - The financial software business generated revenue of 16.39 billion CNY in the first half of 2025, marking a 3.21% increase year-on-year, with a signed contract amount of 18.46 billion CNY, up 2.60% year-on-year [13]. AI Application Development - The company has made significant advancements in AI applications, with two strategic products, FinancialMaster and CodeMaster, being fully upgraded and deployed in various banking projects, enhancing coding efficiency and quality [13].