快手-W：核心商业收入高速增长，利润超预期

Investment Rating - The report maintains a "Buy" rating for the company, with a target price of HKD 87.50 per share, based on a valuation of 19x PE for the 2024 profit [4][30]. Core Insights - The company reported a revenue of RMB 29.4 billion for Q1 2024, exceeding consensus expectations by 1%. The net profit reached RMB 4.1 billion, a significant increase from a loss of RMB 880 million in the same period last year [2][12]. - Core commercial revenue, which includes advertising and e-commerce commissions, grew by 31% year-on-year in Q1 2024. Advertising revenue was RMB 16.65 billion, up 27% year-on-year, while e-commerce GMV increased by 28% year-on-year [2][12][13]. - The company announced a share buyback plan of up to HKD 16 billion over the next three years, indicating a commitment to shareholder returns [2][30]. Summary by Sections Financial Performance - Q1 2024 revenue reached RMB 29.4 billion, with a year-on-year growth of 17% and a quarter-on-quarter decline of 10%. The net profit was RMB 4.1 billion, compared to a loss of RMB 880 million in the same quarter last year [2][12]. - Non-GAAP net profit for Q1 2024 was RMB 4.39 billion, representing a year-on-year increase of 10,348% [2][12]. - The gross margin improved to 54.82%, up 8.4 percentage points year-on-year [22][30]. User Metrics - Daily Active Users (DAU) reached 394 million, a year-on-year increase of 5%, while Monthly Active Users (MAU) stood at 697 million, up 7% year-on-year [9][33]. - The average time spent per DAU was 130 minutes, reflecting a 2% year-on-year increase [9][33]. Revenue Breakdown - Advertising revenue accounted for RMB 16.65 billion, with a year-on-year growth of 27%. E-commerce commissions contributed significantly, with GMV growing by 28% year-on-year [2][12][28]. - Other revenue sources, including live streaming, saw a decline, with live streaming revenue at RMB 8.6 billion, down 8% year-on-year [2][12][13]. Future Projections - The company expects Q2 2024 total revenue to grow by 10% year-on-year, with advertising revenue projected to increase by 23% and e-commerce commissions by 25% [2][30]. - Revenue forecasts for 2024 and 2025 are set at RMB 1266 billion and RMB 1437 billion, respectively, with expected growth rates of 12% and 14% [2][30].