盈利能力改善，竞争压力仍存

Investment Rating - The report maintains a "Hold" rating for Douyu (DOYU.US) with a target price adjusted to $6.3 [2][5][12]. Core Insights - Douyu's live streaming revenue is expected to continue declining in 2024 due to the current regulatory environment and industry competition, with a projected decrease of 21% in live streaming revenue and a 10% decline in total revenue [2][3]. - The company's Q4 2023 revenue was RMB 1.3 billion, a year-on-year decrease of 23%, with live streaming revenue at RMB 1.02 billion, down 36% [2][3]. - Douyu's advertising and other revenues increased by 226% year-on-year to RMB 280 million, driven by innovative services such as game membership [2][3]. Financial Summary - For FY23, Douyu reported an adjusted net profit of RMB 150 million, with an adjusted net profit margin of 2.8% [2][3]. - The company experienced a decline in mobile MAU by 9.9% to 51.7 million and a 34% drop in quarterly paying users to 3.7 million [2][3]. - The gross margin decreased by 1.4 percentage points to 9.7% [2][3]. Share Buyback and Cash Position - Douyu announced a $20 million share buyback plan, which is modest compared to its cash reserves of approximately $960 million [2][3]. - The company executed a 10-for-1 share consolidation, which may help in cash value release in the future [2][3].