Financial Performance - Revenue for FY25E is projected at Rmb27.245 billion, down 7% from FY24A[2] - Net profit for FY25E is expected to be Rmb104 million, a significant decline of 93% compared to FY24A[2] - Gross profit margin (GPM) is forecasted to decrease to 21.0% in FY25E from 24.9% in FY24A[2] Membership and Revenue Streams - Membership revenue for 4Q25E is estimated at Rmb4.198 billion, reflecting a 2% increase year-over-year[4] - Content distribution revenue is expected to rise by 82% year-over-year to Rmb740 million in 4Q25E, driven by successful content releases[5] - Advertising revenue is projected to grow sequentially in 4Q due to premium content offerings and seasonal events[5] Market Position and Trends - iQiyi's average viewership market share in the top 10 drama category is 30% in 4Q, down from 39% in 3Q25[4] - New policies from NRTA are anticipated to enhance content supply and distribution, potentially boosting membership and advertising revenues[6] Valuation and Recommendations - The target price is maintained at US$2.00, with a NEUTRAL rating reflecting the current market conditions[2][7] - The company’s adjusted operating profit for FY26E is projected at Rmb985 million, with a P/E ratio of 15[9]