Investment Rating - The report maintains a "Buy" rating for the company, indicating a strong performance expectation relative to the market [2]. Core Insights - The company reported a significant increase in contract liabilities, suggesting a strong performance in the fourth quarter, which is typically the peak season for the company [7]. - The company has faced challenges due to external factors, including the cancellation of a trade show in the U.S., but this has been seen as a strategic move to optimize profit margins [7]. - The introduction of overseas warehouse operations in Indonesia and Brazil is expected to create new growth opportunities for the company [7]. Financial Performance Summary - For the first three quarters of 2025, the company achieved a total revenue of 401 million yuan, a year-on-year decrease of 5.67%, and a net profit attributable to shareholders of 34.63 million yuan, down 49.17% year-on-year [7]. - The company’s total revenue is projected to reach 855 million yuan in 2025, with a year-on-year growth rate of 13.7% [6]. - The net profit for 2025 is estimated at 144 million yuan, reflecting a decrease of 7.2% compared to the previous year [6]. Revenue and Profit Forecast - The company’s revenue is expected to grow significantly in the coming years, with projections of 1.239 billion yuan in 2026 and 1.462 billion yuan in 2027 [9]. - The gross profit margin is anticipated to be 53.4% in 2025, with a slight decline to 47.4% in 2026 [6]. - The return on equity (ROE) is projected to be 21.4% in 2025, increasing to 25.7% in 2026 [6]. Market Comparison - The current stock price corresponds to a price-to-earnings (PE) ratio of 29 for 2025, 20 for 2026, and 18 for 2027 [7]. - The target market capitalization for the company is set at 5.5 billion yuan, indicating a potential upside of 34% from the current market value [7].

Group 1 - Focus Technology's subsidiary, MIC International Station, has signed a strategic cooperation agreement with Ximac International Exhibition Co., Ltd. to create a new exhibition service model that integrates online and offline services, aimed at accelerating the international expansion of Chinese manufacturing [1][2] - The partnership will leverage MIC International Station's strong supplier resources and intelligent matching capabilities to provide precise and efficient supply chain sourcing services, while Ximac will offer brand exposure and market promotion support through its global exhibition resources [1][2] - The collaboration is seen as a strategic synergy that addresses the digitalization and integration trends in the global exhibition industry, with plans to jointly host industry exhibitions, training seminars, and business matching events to enhance international exposure and transaction opportunities for Chinese foreign trade enterprises [2][3] Group 2 - MIC International Station has over 52 million enterprise users and more than 99 million product data entries, with an annual visit volume exceeding 3.04 billion as of June 30, 2025 [2] - Ximac has a history of over 70 years in exhibition organization, managing over 100 overseas exhibition projects annually across various industries, and participating in nearly 300 renowned international exhibitions [2] - The cooperation aims to enhance the digitalization of exhibition services and trade matching efficiency, contributing to the high-quality international expansion of Chinese foreign trade enterprises [3]

Core Viewpoint - Miao Exhibition plans to issue shares overseas (H-shares) and list on the Hong Kong Stock Exchange to enhance its international strategy and optimize overseas business layout [2] Group 1: Company Strategy and Development - The company aims to accelerate its internationalization strategy, enhance overseas financing capabilities, and improve brand image through the H-share listing [2] - Miao Exhibition's chairman highlighted the core pain points for domestic companies in international exhibitions, including language barriers, inefficient customer management, and lack of overseas experience [2] Group 2: Technological Innovation - The self-developed "AI Hui Exhibition" system has achieved breakthroughs in six areas, including intelligent matching and translation, leveraging a database of 30 million global buyers [3] - The company collaborates with Li Weike Technology to develop AI glasses that integrate behavior sensing, multi-modal interaction, and data management capabilities, breaking down language and information processing barriers [3] Group 3: Financial Performance - In the first half of 2025, Miao Exhibition reported a revenue of 241 million yuan, a year-on-year decrease of 7.43%, and a net profit of 15.54 million yuan, down 61.84% [3] - In the second quarter, the company achieved a revenue of 224 million yuan, a year-on-year increase of 21.5%, and a net profit of 5.23 million yuan, up 45.7% [3] Group 4: Business Focus - The company focuses on planning, organizing, promoting, and operating overseas exhibitions, aiming to support domestic enterprises in going global [4]