Industry Overview - The short drama industry has gained significant attention, with the market for animated dramas (漫剧) expected to exceed 20 billion yuan by 2025, driven by a compound annual growth rate of 83% in supply volume during the first half of 2025 [4] - The number of companies in the animated drama sector is projected to expand exponentially, potentially surpassing hundreds of thousands [4] - AI technology is enhancing production efficiency, reducing the production cycle of dynamic animations from 90 days to 10-13 days, achieving a nearly 90% reduction in time [4] Company Initiatives - On October 25, the Reading Group announced an upgrade to its "Creative Partner Program," focusing on the animated drama sector with four major initiatives: 1. Opening access to 100,000 premium IPs, including popular works like "National Forensic Doctor" [5] 2. Establishing a 100 million yuan special fund to support writers and quality teams in cross-domain development [5] 3. Launching AIGC tools like "Animated Drama Assistant" to improve adaptation efficiency [5] 4. Building a comprehensive support system across the production, distribution, and IP industry chain [5] - As of October 2025, 30 animated drama works from the Reading Group have surpassed 10 million views, with several exceeding 100 million views [5] Product Performance - The derivative product business of the Reading Group showed strong performance, with GMV reaching 480 million yuan in the first half of 2025, nearing the total for the entire year of 2024 [6] - The company continues to explore new product categories, launching plush products related to popular IPs [6][7] - The strategic focus of the derivative product business is on GMV growth, with a significant increase in product output in the first half of 2025 compared to the same period in 2024 [7]