Market Performance - The Hong Kong stock market showed mixed results with the Hang Seng Index up by 0.24%, the Hang Seng China Enterprises Index up by 0.31%, and the Hang Seng Tech Index down by 0.09% [1] Sector Highlights - The film sector saw significant gains, with Alibaba Pictures (01060.HK) rising by 8.45% and a total increase of 63.83% over the past four trading days. Citi noted that the potential of its IP products has not been fully realized, with "Chiikawa" and "Crayon Shin-chan" expected to contribute in FY2026 [1] - Solar energy stocks also performed well, with Fuyao Glass (03606.HK) up by 4.64% and Rainbow New Energy (00438.HK) up by 2.5%. Additionally, some nuclear power stocks saw notable increases, such as CGN Mining (01164.HK) up by 8.5% and CGN Power (01816.HK) up by 1.72% [1] - The automotive supply chain, including Tesla-related stocks and lithium battery companies, experienced upward movement. Nexperia (01316.HK) rose by 4.4%, Yongda Auto (03669.HK) by 2.37%, Brilliance China (01114.HK) by 3.13%, and Great Wall Motors (02333.HK) by 2.42%. According to the China Passenger Car Association, the retail market for narrow passenger cars is expected to reach approximately 1.85 million units this month, representing a year-on-year increase of 8.5% and a month-on-month increase of 5.4% [1] Active Stocks - The pharmaceutical outsourcing sector was active, with Tigermed (03347.HK) up by 8.35%, Zai Lab (06127.HK) up by 7.34%, and other related companies also showing gains. Institutions noted a fundamental turning point in the CXO sector, with continued growth expected in small molecule and large molecule CDMO orders [2] - Other sectors with notable gains included pork, agriculture, tobacco, and beer [3] Declining Stocks - The luxury goods, Hong Kong retail, dairy, department store, food, and airline sectors faced declines, with stocks like Eslon (01856.HK) down by 5.43% and China Wangwang (00151.HK) down by 2.11% [3] - SaaS stocks generally underperformed, with Huizhongda Network (09878.HK) down by 9.22% and other related companies also declining [3] - Apple-related stocks experienced pullbacks, including Q Technology (01478.HK) down by 3.06% and GoerTek (01415.HK) down by 2.88% [3] Other Notable Movements - Cement stocks and property management stocks showed poor performance, while education and semiconductor stocks also weakened [4] - Specific cement companies like China National Building Material (00691.HK) fell by 6.6% [5] - Heng Rui Pharmaceutical (01276.HK) saw a significant increase of 25.2% on its first day of trading [6] - FIH Mobile (02981.HK) rose by 22.62% after being included in the Hong Kong Stock Connect following a share consolidation [7]

Fundraising Events - Ascendx Cloud completed a strategic financing round of $110 million, aimed at optimizing product features and expanding global market presence[6] - Lighthouse Founders' Fund raised over $50 million, focusing on early-stage investments in AI and frontier technology[3] - Xiangfeng's second angel fund raised over 500 million RMB, targeting early-stage projects in hard technology and medical technology[5] Market Trends - A total of 21 financing events were disclosed on May 20, with 14 domestic and 7 foreign companies, raising approximately 3.215 billion RMB[3] - Sichuan Province aims to establish 500 private equity and venture capital management institutions by the end of 2030, with a target fund management scale of 400 billion RMB[10] - Zhongwu Industrial Operations secured 500 million RMB in Series A financing to enhance its agricultural supply chain efficiency[8]

Core Viewpoint - Changjie Tong has successfully transitioned into profitability, demonstrating the sustainability of its small and micro enterprise SaaS business model, while other companies are still discussing the end of the SaaS winter [1][2]. Financial Performance - In the reporting period, Changjie Tong achieved a net profit of 33.46 million yuan, a year-on-year increase of 111%. Operating cash flow improved significantly, with a net inflow of 91.3 million yuan compared to a net outflow of 42.05 million yuan in the previous year [2][5]. - The company’s total revenue for 2024 grew by 20% year-on-year, with cloud subscription revenue increasing by 34%. In contrast, competitor Kingdee's total revenue grew by 10.2% and cloud business by 13.4% [5]. Business Model Validation - The breakeven point is crucial as it validates the business model, particularly for small and micro enterprise SaaS. Changjie Tong has successfully broken the myth of profitability challenges in this sector [2][3]. - The company has leveraged high operational efficiency and continuous R&D investment to enhance customer conversion rates and improve delivery quality and efficiency [2]. Market Positioning - Changjie Tong's cloud service revenue accounted for 86% as early as 2021, and by 2024, the cloud subscription revenue share had significantly increased to nearly 70% [5]. - The company has a gross margin of 72%, compared to Kingdee's 65.1% [5]. Valuation Insights - Changjie Tong's current price-to-sales (PS) ratio is 2.3X, significantly lower than Kingdee's 6.8X and the average PS of 4.2X for the Hong Kong SaaS sector [6]. - The company holds substantial cash assets, with total assets of 1.695 billion yuan and cash assets of 1.259 billion yuan, indicating a low valuation when cash is deducted from market capitalization [7].

Core Viewpoint - The rise of DeepSeek signifies China's capability to break foreign technology monopolies in the AI sector, reshaping global perceptions of Chinese tech companies and accelerating capital inflow into Chinese assets, particularly in the tech sector [1] Group 1: Financial Performance - Weimob Group reported an adjusted total revenue of RMB 1.468 billion for the fiscal year 2024, with a one-time price discount of RMB 129 million from 2023 advertising services [1] - The adjusted gross profit for the period was RMB 906 million, and operating cash flow improved significantly from a loss of RMB 596 million in 2023 to a loss of RMB 332 million [1] - As of December 31, 2024, Weimob's cash and bank deposits amounted to approximately RMB 1.779 billion, indicating a healthy financial status [1] Group 2: Business Development - Despite macroeconomic pressures, Weimob's core business remains robust, with subscription solution revenue reaching approximately RMB 919 million, and average revenue per user increasing by 4.2% to RMB 14,598 [2] - The revenue from smart retail grew by 5.2% year-on-year to RMB 618 million, accounting for 67.2% of subscription solution revenue [2] - Weimob's marketing services generated approximately RMB 18.015 billion in gross advertising revenue, a year-on-year increase of 24.5% [2] Group 3: Strategic Initiatives - Weimob has successfully transitioned to a focus on large clients, achieving a 48% market share among China's top fashion retailers and a 50% share in commercial real estate [3] - The launch of the upgraded Smart Purchase solution led to a 70% increase in new client signings in commercial real estate [3] - Weimob is actively integrating AI technologies, having connected with multiple major AI platforms, which is expected to enhance its business operations [8][9] Group 4: Market Opportunities - The introduction of Tencent's "WeChat Store" and its new "Gift Giving" feature is anticipated to significantly increase merchant participation and demand for service providers [4][5] - Weimob has launched five integrated solutions for the WeChat Store, aiming to enhance operational efficiency for various business types [5] - The company is positioned to benefit from the growing number of service providers in the WeChat ecosystem, which has exceeded 3,000 [5] Group 5: AI Integration - Weimob is leveraging AI technology to enhance its service offerings, with the WAI product line showing significant improvements in operational efficiency [9][10] - The WIME product, aimed at small and micro e-commerce operators, has demonstrated substantial user growth and engagement [10] - The integration of DeepSeek's technology is expected to enhance Weimob's AI capabilities, making its products more competitive in the market [10] Group 6: Industry Outlook - The arrival of DeepSeek is likely to lead to a reevaluation of SaaS companies, as it may break the current stagnation in the industry [11] - Weimob's strategic positioning within the Tencent ecosystem and its focus on AI applications are expected to unlock new growth opportunities [11][12] - Despite currently low stock prices, Weimob's ongoing strategies may lead to a potential rebound in valuation as market conditions improve [12]

Core Insights - Weimob Group has reported significant progress in the commercialization of its AI products, particularly the WAI SaaS, with new customer usage increasing by 217.7% and a 75% renewal rate among small and medium-sized businesses using AI [1][11] - The integration of AI into SaaS is seen as a transformative opportunity for the industry, with Weimob's initiatives potentially leading to a "GPT moment" for SaaS in China [2][6] Group 1: AI Product Development and Market Impact - Weimob's AI product WIME has surpassed 70,000 users and 5,873 paying users within six months of its launch, indicating strong market acceptance [2][11] - The AI Agent technology is expected to revolutionize the SaaS landscape, with predictions that by 2028, 15% of daily decisions will be made by AI Agents, highlighting the potential for significant market growth [5][6] Group 2: Business Efficiency and Customer Engagement - Weimob's AI capabilities have led to a 74% increase in monthly active users for WAI, with core functionality usage rising by 248% and AI-generated content adoption increasing by 53.4% [9][11] - The WIME product has demonstrated substantial efficiency improvements, with an 80% increase in product material creation speed and a 50% faster store setup process [9][10] Group 3: Strategic Positioning and Future Outlook - Weimob is strategically positioned to leverage AI technology across various business dimensions, including AI+SaaS, AI+marketing, and customized AI solutions for enterprises [4][11] - The company aims to enhance its product capabilities focusing on operational efficiency, intelligent content generation, and precise business analysis, which is expected to accelerate its commercialization process [11][12]

Investment Rating - The report maintains a "BUY" rating for Dmall Inc, with a target price raised to HK$16.00 from the previous HK$8.50, indicating a potential upside of 22.5% from the current price of HK$13.06 [1][3]. Core Insights - Dmall achieved full-year breakeven in FY24, with total revenue increasing by 17% YoY to RMB1.86 billion and an adjusted net profit of RMB29.8 million, a significant turnaround from an adjusted net loss of RMB277 million in FY23 [1][2]. - The company is focusing on AI retail to drive long-term growth, having launched several AI agent products that are expected to contribute to revenue in the long term [1][6]. - For FY25E, management anticipates total revenue growth of 15-20% YoY, with further margin expansion expected [1]. Financial Performance - FY24 revenue was RMB1.86 billion, up 17.3% YoY, with adjusted net profit of RMB29.8 million compared to a loss of RMB233 million in FY23 [2][10]. - Revenue from the retail core service cloud solution grew by 39% YoY to RMB1.81 billion, with AIoT solutions revenue increasing by 65% YoY to RMB1.02 billion [6][10]. - Gross profit margin improved from 35.0% in FY23 to 40.1% in FY24, and adjusted net margin rose from -14.7% to 1.6% [6][10]. Revenue Forecasts - Revenue forecasts for FY25E and FY26E have been revised downwards due to a slower customer acquisition pace, with FY25E revenue now expected at RMB2.19 billion, a decrease of 14.6% from previous estimates [7][10]. - The adjusted net profit for FY25E is projected to be RMB134 million, reflecting a growth of 351% YoY [2][10]. Valuation Metrics - The target price of HK$16.00 is based on a valuation multiple of 6.0x FY25E EV/sales, which aligns with the average EV/sales of global SaaS peers [3][8]. - The report highlights a significant improvement in operating profit, projecting RMB121 million for FY25E, compared to a loss in previous years [7][10].

Financial Data and Key Metrics Changes - Total revenue for Q4 2024 was $29.5 million, lower than the prior year period primarily due to the divestiture of Board.org [37] - Annual recurring revenue (ARR) was $107 million in Q4 2024, down from $109 million in 2023 on a pro forma basis [38] - Adjusted EBITDA for 2024 was $9.8 million, a year-over-year improvement of more than $17 million and 1,400 basis points [12][46] - GAAP net loss for Q4 2024 was $13.4 million, significantly lower than the prior year period due to a large non-cash goodwill impairment charge recorded in Q4 2023 [42] Business Line Data and Key Metrics Changes - Subscription revenue remained flat on a sequential basis, indicating stability in core business operations [37] - Net revenue retention was 98% in Q4 2024, down from 99% in the prior year, reflecting a focus on improving this metric through product innovation [38] Market Data and Key Metrics Changes - The company has a diverse base of over 4,000 customers across various industries, indicating a broad market presence [32] - The share of new logo ARR on multiyear contracts in the corporate sector is almost double compared to a year ago, demonstrating increased market confidence [27] Company Strategy and Development Direction - The company is focused on three pillars: expanding adjusted EBITDA margin, managing debt, and building a foundation for long-term sustainable growth [11] - The launch of the Policy Note platform is expected to drive customer engagement and retention, with a focus on product-led sales and growth [23][24] - The company plans to simplify its product portfolio and reduce organizational complexity to enhance operational efficiency [14] Management's Comments on Operating Environment and Future Outlook - Management acknowledged that the typical end-of-year ARR uptick did not materialize at the end of 2024, prompting key management changes to improve execution [21] - The company anticipates a return to ARR growth in the second half of 2025, which should support GAAP revenue growth in 2026 and beyond [22] - Management is monitoring market volatility, particularly in the private sector, and does not expect significant negative impacts from changes in federal government spending [29][30] Other Important Information - Cash flow from operations improved significantly by more than $30 million in 2024, indicating progress towards positive operating cash flow [48] - The company reduced its senior debt by more than 60% over the past year, demonstrating a commitment to improving its capital structure [16][47] Q&A Session Summary Question: Adoption and feedback on the new Policy Note platform - Management is not disclosing specific customer adoption numbers but reports high engagement levels and positive feedback on AI features [60][64] Question: Target leverage ratio post-asset sale - The company aims to bring leverage down to a more conventional range of two to three times relative to EBITDA over the next few years [68] Question: Balance sheet profile after divestments - The anticipated reduction in senior debt will lower cash interest expense to around $2 million per quarter, contributing to long-term financial health [72] Question: Pro forma expectations for upcoming guidance - The Q1 guidance reflects GAAP revenue, with approximately $3 million of revenue from divested businesses not included in subsequent quarters [76]

Core Viewpoint - The article discusses the significant changes in the domestic CRM landscape in China, particularly focusing on the strategic partnership between SalesEase and Tencent, which aims to drive growth in the SaaS sector through industry-specific and ecosystem-driven approaches [1][7]. Group 1: Strategic Partnership - SalesEase and Tencent announced an upgraded strategic partnership, with Tencent's VP Li Qiang becoming the chairman of SalesEase, while SalesEase's founder Shi Yanze remains CEO [1]. - The partnership aims to penetrate key industries such as manufacturing, high-tech, state-owned enterprises, and automotive, enhancing SalesEase's domestic and international market presence [1][7]. - SalesEase has been a leading player in the CRM sector since its establishment in 2011, serving over 5,000 medium to large enterprises and being the only Chinese CRM vendor included in Gartner's Magic Quadrant for Sales Automation [1][7]. Group 2: Development Paths in CRM - The article outlines two distinct paths for CRM companies: a low-cost, high-burn model and a long-term customer value-focused approach [2][4]. - The low-cost model involves aggressive pricing strategies to gain market share, often leading to unsustainable business practices and reliance on continuous funding [4][5]. - In contrast, the long-term approach emphasizes understanding customer needs, refining products and services, and fostering partnerships for mutual benefit, which can lead to greater trust and respect in the market over time [5][6]. Group 3: Ecosystem Competition - The CRM industry is entering a phase of ecosystem competition, where companies must adapt to survive, with SalesEase positioned as a leader due to its focus on customer value [6][7]. - The partnership with Tencent allows SalesEase to leverage Tencent's strengths in cloud computing and AI, enhancing its capabilities in the enterprise SaaS market [7][8]. - The article suggests that the future market landscape will see more collaborations between top players and ecosystem platforms, moving beyond mere efficiency tools to becoming central to industry ecosystems [9][10]. Group 4: Implications for Stakeholders - For clients undergoing digital transformation, the evolving CRM landscape necessitates careful selection of partners, favoring specialized players [9]. - Investors in the B2B sector are increasingly recognizing the unsustainability of low-cost models, leading to a consensus on the risks associated with such strategies [9]. - For SaaS entrepreneurs, the new CRM landscape reinforces the importance of long-term strategies, indicating that sustainable growth is achievable through a focus on ecosystem collaboration rather than rapid scaling [10].

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其 準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任何部分內容 而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 GOLDSTREAM INVESTMENT LIMITED 金涌投資有限公司 （於開曼群島註冊成立之有限公司） （股份代號：1328） 自願公告 收購上市證券 收購邁富時股份 於二零二五年二月十九日，本公司全資附屬公司Redwood通過於聯交所進行市場上交 易以代價總額約15,860,000港元（不包括交易成本）收購合共264,400股邁富時股份，即 約每股邁富時股份59.99港元。 收購事項後，本集團持有合共264,400股邁富時股份，佔於本公告日期邁富時已發行 股份總數約0.11%。 收購邁富時股份 本公告乃由本公司按自願基準作出。 有關本公司的資料 本公司及其附屬公司主要從事(i)提供投資管理業務；及(ii)策略直投業務，且與弘毅投資 關係緊密。 Redwood為一家於開曼群島註冊成立的有限公司，其主營業務為策略直投。於本公告日 期，Redwood為本公司直接全資附屬公司。 有關邁富時的資料 邁富 ...