Core Insights - The company reported record-high performance for the first three quarters of 2025, achieving revenue of 10.755 billion yuan, a year-on-year increase of 26.29%, and a net profit attributable to shareholders of 220 million yuan, up 62.46% [1] - The third quarter also showed strong results, with revenue of 3.680 billion yuan, a 23.70% increase year-on-year, and a net profit of 93 million yuan, reflecting an impressive growth of 89.62% [1] Financial Performance - For the first three quarters, the company achieved a net profit of 220 million yuan, with a non-GAAP net profit of 157 million yuan, marking increases of 62.46% and 40.20% respectively [1] - In the third quarter alone, the company reported a non-GAAP net profit of 61 million yuan, which is a 26.90% increase year-on-year [1] Business Strategy - The company is leveraging its global branches and the "He Wa" industry interconnection platform to enhance domestic and international business collaboration, focusing on providing comprehensive solutions for major clients [1] - The company is targeting key industries such as AI, new energy, high-end manufacturing, and healthcare to meet the talent demands of large state-owned enterprises and leading private companies [2] Talent Solutions - The company has successfully recommended over 11,000 mid-to-high-end management and technical personnel to clients in the first three quarters, and has deployed 445,537 flexible workers [2] - As of the reporting period, the company had over 50,900 outsourced employees in its flexible workforce business, including independent consultants and part-time experts [2] Technological Advancements - The company is exploring AI applications in recruitment, having developed the CRE-T1 model for semantic and arithmetic reasoning, enhancing talent supply-demand matching [3] - The "Mira" digital avatar has been introduced, featuring capabilities for planning, research, and voice interaction, facilitating seamless internal data integration [3] Platform Development - The "He Wa" platform has seen significant growth, with operational positions reaching 46,700 and active candidates increasing to 135,000 in the third quarter [3] - The platform has registered over 18,200 partners and 181,000 delivery consultants, with a 57.41% year-on-year increase in high-end positions and a 108.71% increase in delivered positions [3] Global Expansion - The company is expanding its network in emerging markets, establishing new offices in Japan and the Middle East to support Chinese enterprises' global strategies [4] - The company aims to address challenges faced by Chinese companies abroad, such as talent acquisition and cultural adaptation, by providing customized talent solutions [4] Strategic Direction - The company plans to focus on professional services, technological innovation, and global expansion, increasing investment in AI technology to enhance recruitment applications [4] - The implementation of the "Artificial Intelligence +" initiative presents strategic opportunities for the human resources service industry, which the company intends to capitalize on [4]

Investment Rating - The report maintains an "Accumulate" investment rating for the company [4] Core Views - The company has shown a remarkable performance in flexible employment and is accelerating its online business expansion [3] - The domestic recruitment demand is experiencing a structural recovery, with a significant quarter-on-quarter performance increase in Q4 2024 [4] - The company's total revenue for 2024 reached 11.788 billion yuan, a year-on-year increase of 20.55%, with a net profit attributable to shareholders of 205 million yuan, up 2.42% year-on-year [4] - The flexible employment business revenue grew to 11.137 billion yuan in 2024, a year-on-year increase of 22.42%, accounting for 94.48% of total revenue [4] - The company expects earnings per share of 1.39 yuan and 1.63 yuan for 2025 and 2026, respectively, with corresponding price-to-earnings ratios of 23.72 and 20.24 [4] Summary by Sections Financial Performance - In Q4 2024, the company achieved total revenue of 3.272 billion yuan, a year-on-year increase of 25.44% and a quarter-on-quarter increase of 9.98% [4] - For Q1 2025, total revenue was 3.303 billion yuan, a year-on-year increase of 25.13%, with a net profit of 58 million yuan, up 42.15% year-on-year [4] Business Segments - The flexible employment business continues to grow steadily, while the technology services segment is expanding rapidly [4] - The revenue from the technology services business increased by 44.18% year-on-year, reaching 63 million yuan [4] Profitability - The overall gross margin for 2024 was 6.36%, a decrease of 0.95 percentage points year-on-year, with the flexible employment business gross margin declining to 5.47% [4] - The gross margin for the technology services business was 23.72%, down 5.17 percentage points year-on-year [4] Earnings Forecast - The company forecasts total revenue of 14.081 billion yuan for 2025, with a net profit of 282 million yuan [5]