Core Viewpoint - The "Guzi Economy" is rapidly growing, with Yuanlong Yatu leveraging its IP operation and supply chain integration capabilities to carve a unique path in the IP cultural and creative business [1][15]. Industry Overview - The "Guzi" economy, referring to derivative products from anime, games, and other media, has become a significant market for Generation Z, with a growing consumer base [3]. - The market for the broader pan-anime and related products in China is projected to reach 597.7 billion yuan in 2024, with the "Guzi economy" segment expected to grow by 40.6% to 168.9 billion yuan compared to 2023 [5]. Company Development - Yuanlong Yatu has evolved through key milestones since its establishment in 1998, becoming a leader in the gift industry and entering the licensed product sector through significant events like the 2008 Beijing Olympics [5]. - The company has developed a comprehensive capability across the entire industry chain, including IP resources, creative design, product development, supply chain, media communication, and channel operation [5]. Product Innovation - Recent product launches include the "Autumn Blessing" refrigerator magnet as part of the "Four Seasons Tiananmen" series, which symbolizes national prosperity and cultural pride [6]. - Yuanlong Yatu emphasizes the integration of traditional Chinese culture with modern creativity in its product offerings, such as the "Face-Changing Panda Blind Box" inspired by Sichuan's intangible cultural heritage [8]. Strategic Initiatives - The company is expanding into the consumer market by establishing a wholly-owned subsidiary, Yuanlong Yuanchuang Culture (Beijing) Co., Ltd., and launching a retail sub-brand [11]. - Yuanlong Yatu plans to build its own IP matrix and has a dedicated creative design team to enhance its product development capabilities [13]. Future Outlook - The company aims for sustainable growth by synergizing IP resources, creative design, and supply chain management, with a focus on new media marketing and Web3 technologies [14]. - With the rise of Generation Z as a consumer force and increasing recognition of national cultural identity, Yuanlong Yatu is positioned to explore new opportunities in the IP cultural and creative sector [15].

Core Viewpoint - The company reported steady growth in its main business for the first half of 2025, with a revenue of 1.391 billion yuan, representing a year-on-year increase of 15.37% [1] Group 1: Financial Performance - The marketing business revenue continued to grow, achieving 1.1 billion yuan from gift and promotional services, a significant increase of 63.89% year-on-year [1] - The gross profit reached 114 million yuan, up by 22.57% compared to the previous year [1] - The company made provisions for inventory depreciation and bad debts totaling 15.751 million yuan due to an employee embezzlement incident, which did not affect daily operations [1] Group 2: Strategic Initiatives - The company is implementing a "Big IP + Technology" strategy to drive business innovation and strengthen its B-end foundation while expanding its C-end IP cultural and creative business [1][2] - The company has developed a diverse IP matrix across various fields, including sports events, animation, video games, and cultural tourism, creating a multi-layered IP ecosystem [2] - Collaborations with major partners, such as the Shanghai Film Group, have led to the development of popular products based on national IPs, which have seen strong sales [2] Group 3: C-end Retail Expansion - The company is accelerating its C-end retail channel expansion by launching a new retail sub-brand, "Yuanlong Yuanchuang," and opening its first retail space in Beijing [4] - The new retail model integrates IP experience, product retail, and cultural dissemination, aiming to provide immersive cultural consumption experiences [4] - The company is diversifying its offline channels with various retail formats, including self-operated cultural and creative life museums and pop-up stores, while also expanding online presence across major e-commerce platforms [5] Group 4: Future Outlook - The licensed merchandise business achieved revenue of 24.469 million yuan, a year-on-year increase of 74.50%, driven by events like the Harbin Winter Games [6] - The company plans to continue investing in C-end retail IP cultural and creative product design, channel development, and upcoming major events, which is expected to enhance its core competitiveness and open new growth opportunities [6]

Group 1 - The movie "Jurassic World: Rebirth" has performed well both in terms of reputation and box office, accumulating over 4.5 billion in box office revenue within 12 days of its release in China, leading the summer box office [1] - Yuanlong Yatu has accelerated the construction of an IP cultural and creative ecosystem, showcasing its determination through the development of Jurassic World-themed merchandise [1] - Since fully entering the IP cultural and creative sector in 2023, Yuanlong Yatu has formed a multi-dimensional product matrix combining "national trend + international IP + licensing," speeding up the commercialization process [1] Group 2 - During this summer, Universal Pictures released new works from two classic IPs, "How to Train Your Dragon" and "Jurassic World," and Yuanlong Yatu has developed a series of merchandise in advance [2] - The "Soft and Cute Dragon" plush series from Jurassic World has gained popularity, with products like the Toothless plush and Sleepy Dragon plush receiving positive reviews [2] - The company has increased its efforts in C-end national trend IP cooperation, product development, and sales channel construction, launching various themed IP products in collaboration with local cultural tourism [2] Group 3 - The movie IP derivatives are just the tip of the iceberg for Yuanlong Yatu's "Big IP + Technology" strategy, as the company continues to enhance its IP matrix combining "national trend" and "international" [3] - The company is deepening cooperation with local cultural tourism departments and museums, negotiating and signing with top domestic and international IPs to expand the variety and quantity of quality IPs [3] - Yuanlong Yatu aims to accelerate IP product development and launch more hit products, solidifying its B-end marketing business while creating a second growth curve in the C-end [3]