Core Viewpoint - The company Shenzhou Taiyue has launched the "Taiyue Lighthouse" AI model application capability system, which aims to transform AI from a technical concept into business effectiveness through a comprehensive support framework [2]. Group 1: AI Model Application - Shenzhou Taiyue has developed the "Taiyue Lighthouse" system, which includes various AI applications such as the digital employee avavox (AI Voice Agent), the "Yueqing" intelligent IT operation model, and the "Taiyue Taidou" security model [2]. - The "Taiyue Lighthouse" serves as an intelligent hub connecting general AI models with industry applications, featuring a structure of "1 AI dual-core engine, 1 vertical intelligent body matrix, and N industry empowerment solutions" [2]. - The primary application customers for the "Taiyue Lighthouse" are telecommunications operators [2].

Group 1 - The company reported a revenue of 2.685 billion yuan for the first half of 2025, a year-on-year decrease of 12.05% [1] - The net profit attributable to the parent company was 509 million yuan, down 19.26% year-on-year [1] - The game business revenue for H1 2025 was 2.027 billion yuan, with overseas revenue accounting for over 90%, reflecting a 16.4% year-on-year decline [1] Group 2 - The company has new games such as "Stellar Sanctuary" and "Next Agers" that have received domestic licenses, indicating a potential acceleration in the release schedule [1] - The company is developing a product matrix of "2+2+N" to maintain a balance between new and existing games [1] - The AI and ICT technology integration has led to the launch of the "Taiyue Lighthouse" AI model application system, which includes various models for different business functions [2] Group 3 - The subscription-based model for the avavox product is being monitored for customer uptake and overall payment situation [2] - The company expects a recovery and growth in the gaming business in the long term, supported by the steady operation of existing games [2] - Projected net profits for 2025-2027 are estimated at 1.177 billion, 1.604 billion, and 1.918 billion yuan, with corresponding PE ratios of 23x, 17x, and 14x [2]

Core Insights - The company reported a revenue of 2.685 billion yuan and a net profit of 509 million yuan for the first half of 2025, with a quarterly revenue of 1.361 billion yuan in Q2, reflecting a 2.85% increase quarter-on-quarter, and a net profit of 271 million yuan in Q2, showing a 13.45% increase quarter-on-quarter [1] Group 1: Game Business Performance - The global SLG (strategy game) market is expanding, and the company is set to launch two new games, "Stellar Sanctuary" and "Next Agers," in the second half of the year after successful commercialization testing [2] - The gaming segment generated 2.028 billion yuan in revenue in the first half of 2025, accounting for 75.53% of total revenue, with mainstay games "Age of Origins" and "War and Order" generating 1.5 billion yuan and 465 million yuan, respectively [3] Group 2: AI Technology Integration - The company is embracing AI technology, launching the "Taiyue Lighthouse" AI model application system to integrate AI capabilities across various business lines, enhancing commercial applications [4] - The upgraded avavox intelligent voice robot has been introduced, covering diverse industry scenarios and addressing different market needs, including plans for an overseas version [5] Group 3: Innovation and Growth Expectations - The company is launching new products in various innovative sectors, including an eye-care online course screen series and advanced monitoring devices for power systems, aimed at enhancing operational safety and efficiency [6] - The combination of improved Q2 performance, upcoming game launches, and AI product upgrades are seen as key growth drivers for the company [7]

Core Viewpoint - The company, Shenzhou Taiyue, is positioned as a "bridge builder" in the intersection of AI technology evolution and industry intelligence acceleration, aiming to transform general AI capabilities into measurable and actionable industry value [3][8]. Company Overview - Shenzhou Taiyue is a private high-tech listed company with a strategy of "innovation-driven, global layout" and a mission to "create industry excellence, support customer enhancement, and promote industrial development" [6]. - The company has two main business segments: mobile gaming and software and information technology services [6]. - In 2024, the company achieved a revenue of 6.452 billion yuan and a net profit attributable to shareholders of 1.428 billion yuan, marking a historical high [6]. - From 2020 to 2024, the company's revenue compound annual growth rate (CAGR) was 15.74%, while the net profit CAGR was 42% [6]. - The overseas business revenue increased from 2.326 billion yuan in 2020 to 4.906 billion yuan in 2024, with the revenue share rising from 64.68% to 76.04% [6]. AI Integration in Business - The company fully embraces AI, building an AI technology ecosystem to promote deep integration of AI with various business lines, accelerating commercialization and results transformation [7]. - In the gaming sector, the company utilizes AI tools, being one of the first in China to embed AIGC tools in the artistic process, significantly enhancing production efficiency [7]. - For the software sector, the company focuses on upgrading existing products and services using AI while exploring new business opportunities [7]. AI Solutions and Applications - The "Taiyue Lighthouse" AI model application capability system was launched, along with the "Yueqing" intelligent IT operation model and the "Taiyue Taidou" security model [8]. - The Taiyue Lighthouse serves as an intelligent hub connecting general models with industry applications, providing comprehensive support for AI model capability construction and scenario implementation [8]. - The company aims to create a positive cycle of "technology supply - scenario validation - ecological co-construction" to make AI a productivity tool for enterprises [8]. AI Case Study - The company introduced the avavox voice robot, which allows for rapid setup of voice interaction systems, integrating advanced language understanding and generation capabilities from various general models [9]. - Avavox includes over 200 industry templates, addressing various sectors such as e-commerce, government notifications, and healthcare follow-ups, ensuring professional and compliant output [9]. Industry Impact and Competitive Advantage - AI is expected to significantly enhance industry efficiency and help companies reduce costs [11]. - In the gaming sector, AI accelerates product development and fosters innovation in art and gameplay [11]. - The company aims to leverage over 20 years of experience in software and IT services to deeply couple general models with industry applications, transforming technological advantages into core drivers of high-quality development across various sectors [11]. Ethical Governance - The company adheres to strict governance mechanisms regarding AI ethics and data security, complying with relevant guidelines and regulations [12].