Core Viewpoint - The company is focusing on a "film production + IP operation" light asset business model to accelerate its return to healthy development [1] Group 1: Business Strategy - The company is concentrating high-quality resources to deepen its film business and produce high-quality films while enhancing the monetization channels of valuable IPs [1] - The company is actively optimizing its asset structure to strengthen and enhance the core competitiveness of its main business [1] Group 2: Project Development - The company has a rich project reserve and is set to strengthen its content advantages by 2025 [1] - The film "Mermaid 2," directed by Stephen Chow, is in the post-production stage, while "Catching Spies," directed by Feng Xiaogang and starring Lei Jiayin and Hu Ge, has completed filming [1] - Multiple film projects, including "Little Soldier Zhang Ga," "Special Gift," "In the Net," "Parallel Mission," and "Young Rocket," are either in production or in the process of being prepared for filming [1] - The company is steadily advancing several TV dramas, web series, and online films in which it has invested [1]

Core Viewpoint - The company is focusing on a "film production + IP operation" light asset business model to accelerate its return to healthy development [1] Group 1: Business Strategy - The company is concentrating high-quality resources to enhance its core competitiveness in the main business [1] - The company aims to deepen its film business by continuously producing high-quality films and improving the monetization channels of valuable IPs [1] Group 2: Project Development - The company has a rich project reserve for 2025, with several films in various stages of production [1] - Notable projects include "Mermaid 2" directed by Stephen Chow, which is in post-production, and "Catching Spies" directed by Feng Xiaogang, which has completed filming [1] - Other films such as "Little Soldier Zhang Ga," "Special Gift," "In the Net," "Parallel Mission," and "Young Rocket" are either in production or in preparation [1] Group 3: Television and Online Films - The company is steadily advancing multiple TV dramas, web series, and online films in which it has invested [1]

Financial Performance - The company has accumulated losses of 8.246 billion yuan from 2018 to 2024 [10] - The company is actively optimizing its asset structure to enhance core competitiveness [18] Strategic Initiatives - The company is focusing on a "film production + IP operation" light asset business model to accelerate recovery [13] - The company is continuously developing and reserving high-quality film projects, with several films scheduled for release in 2025 [11] Upcoming Projects - "The Sunflower" directed by Feng Xiaogang and starring Zhao Liying was released on April 4, 2025 [11] - "East Extreme Island," directed by Guan Hu, is scheduled for summer 2025 [11] - "The Breakup List," directed by Tian Yusheng, has completed post-production [11] - "Mermaid 2," directed by Stephen Chow, is in post-production [11] Production Pipeline - Multiple films are in various stages of production, including "Little Soldier Zhang Ga," "Special Gift," and "Unexpected Farewell" [11] - The company has established a short drama brand "Huayi Brothers Fire Drama" and has released several short dramas in early 2025 [12] Market Challenges - The company faces intense competition in the film industry, impacting its market share [18] - The company is taking measures to mitigate risks associated with high-investment projects like "East Extreme Island" [19]