Core Viewpoint - The software services sector is entering a new phase of differentiation, driven by AI, with opportunities becoming more concentrated but of higher quality [2]. Group 1: Industry Overview - By 2025, the A-share software services industry is expected to show a moderate but certain recovery, with an overall market value growth of approximately 18%, increasing from 3.32 trillion yuan at the beginning of the year to 3.9 trillion yuan by year-end [3]. - The market perception is shifting from "growth anxiety" to "capability reassessment," indicating a more mature evaluation of companies in the sector [3]. - The growth in market value across different segments is relatively balanced but still shows tiered differences, with the highest growth seen in Information Technology Consulting and Other Services at +19.6%, reflecting a renewed demand for IT consulting and industry solutions [3][4]. Group 2: Market Segmentation - The market performance of various segments in 2025 is as follows: - Internet Services and Infrastructure: 5,156.09 billion yuan (+16.16%) - System Software: 632.39 billion yuan (+16.12%) - Information Technology Consulting and Other Services: 11,274.12 billion yuan (+19.61%) - Application Software: 21,970.58 billion yuan (+17.00%) - Total: 39,033.18 billion yuan (+17.62%) [4]. - The software services market has evolved from a broad-based growth model to one focused on industry depth, organizational replacement capabilities, and long-term cash flow [4]. Group 3: Leading Companies - As of the end of 2025, there are 319 software service companies listed in A-shares, with a focus on those excelling in R&D innovation, profitability, growth potential, and market performance [5]. - The top ten companies identified include: 1. Kingsoft Office 2. Tonghuashun 3. Runze Technology 4. Huada Jiutian 5. 360 6. Dameng Data 7. Hengniu Shenzi 8. Hongsoft Technology 9. Baoxin Software 10. Hehe Information [7][8]. Group 4: R&D and Financial Health - The R&D innovation performance in the software services sector shows significant polarization, with 57 companies scoring above 400 points (17.9%) and a majority scoring between 200 and 400 points (65.5%) [9]. - Financial health scores indicate that many companies are under pressure, with 87.5% of firms scoring between 300 and 500 points, reflecting challenges such as narrowing profit margins and increased cash flow pressures [11]. Group 5: Growth Potential and Future Trends - Growth potential scores reveal a clear differentiation in the sector, with standout companies in two categories: those benefiting from AI infrastructure and emerging platforms, and those driven by AI and data intelligence technologies [12]. - The structural growth in the software services industry validates the logic of AI technology and domestic substitution, with a focus on three main lines for 2026: 1. Deepening AI applications in system software and entertainment software [15]. 2. Increasing domestic substitution in foundational software like operating systems and databases [15]. 3. Expanding global presence in gaming and industrial software [15].

在人类文明的长河中，总有一些时刻，一条看似寻常的决策注定在未来掀起壮阔的波澜；而这样的决 策，往往由一群相信未来的人所选定。 二十世纪末，就在开发建设不久的苏州工业园区这片被一些人视为"科技文化荒漠"的土地上，一群富有 远见的开拓者，以近乎直觉的勇气与超前的规划，郑重地埋下了一粒名叫"苏州国际科技 园"（SISPARK）的"种子"。 今天，当我们回望这粒"种子"在四分之一世纪的破茧成长的轨迹，可以发现，它已不再仅仅是关于一个 产业园区的故事，而是一部关于科技创新的微缩史诗，这粒"种子"所改变的，远不只是一片土地的风 貌，而是正在深刻改写苏州这座城市的产业基因。 站在科技园的高楼上凭栏远眺，苏州工业园区早期科技产业的决策人之一、曾任园区党工委副书记的杨 建中充满感慨。他反复提及科技园这粒"种子"开启了园区科技创新产业（300832）的先河。 "这粒'种子'意义非凡，它为探索苏州工业园区培育科技创新的体制、机制闯出了一条路子，有力带动 了全区科创产业的蓬勃兴起。"杨建中说，"从苏州国际科技园的实践中，园区总结出一套'专业招商队 伍+公共技术平台+科研院所支撑+创业人才+天使投资'五位一体的科技创新发展模式，通过成 ...

Investment Rating - The report maintains an "Outperform" rating for the company, with a target price of 81.85 RMB per share, reflecting a 5% decrease from previous estimates [4][7]. Core Insights - The company is a leader in domestic CAD software, steadily advancing its 3D product development and deepening its global presence by recruiting top talent [4][14]. - Revenue projections for 2025-2027 are estimated at 0.938 billion, 1.068 billion, and 1.235 billion RMB, respectively, with net profits expected to be 0.061 billion, 0.084 billion, and 0.100 billion RMB [4][14]. - The company achieved a revenue growth of 5% year-on-year in the first three quarters of 2025, with a notable improvement in Q3 net profit, which increased by 141% year-on-year [4][14]. Financial Summary - Total revenue for 2023A was 828 million RMB, with projections of 888 million RMB for 2024A, 938 million RMB for 2025E, 1.068 billion RMB for 2026E, and 1.235 billion RMB for 2027E, reflecting growth rates of 37.7%, 7.3%, 5.6%, 13.9%, and 15.6% respectively [3]. - Net profit attributable to the parent company for 2023A was 61 million RMB, with projections of 64 million RMB for 2024A, 61 million RMB for 2025E, 84 million RMB for 2026E, and 100 million RMB for 2027E, showing significant growth in 2023A at 922.8% [3]. - Earnings per share (EPS) are projected to be 0.36 RMB for 2025E, 0.50 RMB for 2026E, and 0.59 RMB for 2027E [3][4]. Business Segmentation Forecast - The company anticipates a revenue growth of 5% for self-developed software in 2025, with an increase to 13% in 2026 and 15% in 2027 [11][12]. - The entrusted development segment is expected to see a revenue growth of 10% in 2025, rebounding to 20% in 2026 and 2027 as market demand increases [11][12]. - Revenue from purchased products and other businesses is projected to maintain steady growth at 5% for 2025-2027 [11][12].

本报告导读： 国产CAD 软件龙头，三维产品研发稳步推进，全球布局逐渐深化。 投资要点： 公司作为国产 CAD软件龙头，不断引入高端人才，三维产品研发稳步推进，全球布局逐渐深化。我们 预计公司2025-2027 年收入分别为9.38/10.68/12.35 亿元，归母利润分别为0.61/0.84/1.00 亿元；SPS分别 为5.53/6.30/7.28 元，EPS 分别为0.36/0.50/0.59 元。参考可比公司，我们给予公司2026 年13 倍PS 估值， 对应81.85 元/股，首次覆盖给予"增持"评级。 2025 年前三季度收入稳定增长，单三季度利润同比改善。2025 年前三季度，公司取得收入5.38 亿元， 同比增长5%；归母净利润为-0.41亿元。单Q3，取得收入2.04 亿元，同比增长0.08%；归母净利润0.12 亿元，同比增长141%。自2024 年起，公司在控费提效领域开展了一系列尝试，单Q3，公司努力克服了 股权支付费用增加、理财收益下滑等因素给利润指标造成的负面影响，最终实现单季度净利润指标的同 比改善。 公司3D 产品开发步入新阶段，2024 年国产设计研发类工业软件3D领域市场 ...

Core Viewpoint - Software companies, particularly PTC, are integrating AI into their solutions, significantly enhancing their value proposition and market potential [1][2]. Company Overview - PTC is a software company that provides computer-aided design (CAD) and product lifecycle management (PLM) software, primarily serving manufacturing companies [3][4]. - The company has a market capitalization of approximately $21 billion and a current stock price of $175.56, with a consensus target price of $216, indicating a potential upside of about 23% [3][1]. Financial Performance - PTC's management projects free cash flow (FCF) of $1 billion by 2026, highlighting the cash-generative nature of its business model, which is shifting towards recurring revenue through software subscriptions [8]. - The FCF target suggests that the company is generating 4.8% of its market cap in FCF, with expectations of high single-digit growth in annual run rate (ARR) of software subscriptions, leading to mid-teens FCF growth [9]. Growth Potential - PTC's management anticipates that FCF will grow faster than ARR, with non-GAAP operating expenses expected to increase at roughly half the rate of ARR, indicating potential for expanding profit and FCF margins [11]. - Despite recent challenges in the manufacturing sector, historical trends suggest a cyclical recovery is likely, which could benefit PTC [12]. AI Integration - The integration of AI into PTC's products is expected to enhance the quality of actionable insights, providing a significant competitive advantage [6][7]. - PTC's partnership with Nvidia positions the company at the forefront of industrial AI applications, which are anticipated to have a larger impact than consumer applications [13].

Core Viewpoint - The company is actively seizing the historical opportunity presented by domestic substitution in the CAD market, focusing on enhancing its competitive edge through both internal growth and external acquisitions [1] Group 1: Company Strategy - The company has achieved self-controllable technology in 2D, BIM, and cloud-based solutions, ensuring compatibility with several mainstream domestic operating systems [1] - The company plans to maintain a strategy of "self-controllable products + adaptation to domestic operating systems" to strengthen its market position [1] Group 2: Market Outlook - The company is aware of the increasing penetration rate of domestic CAD solutions and the expected concentration of market resources over the next 3 to 5 years [1] - The company is considering accelerating its acquisition pace to acquire high-quality domestic and international CAD enterprises, aiming to integrate resources and enhance competitiveness in anticipation of intensified competition [1]

Group 1 - The overall performance of the AI sector in October showed a slight decline, with the AI sector index down by 2.28%, while the Shanghai Composite Index rose by 1.85% [1] - The trading volume for the AI sector in October reached 1,617.05 billion yuan, representing a year-on-year increase of 15.23% but a month-on-month decrease of 39.24% [1] - Significant differentiation was observed within the sector, with some core companies in AI applications, such as Kingsoft Office and Hehe Information, experiencing notable gains due to performance and policy catalysts [1] Group 2 - The "14th Five-Year Plan" emphasizes the importance of AI applications, aiming for widespread integration of AI across various sectors by 2027, with a target application penetration rate of over 70% for new intelligent terminals and agents [2] - Future industries such as quantum technology, biomanufacturing, hydrogen energy, nuclear fusion, brain-computer interfaces, embodied intelligence, and sixth-generation mobile communication are expected to become new economic growth points [2] Group 3 - The U.S. plans to impose export controls on key software to China, which may accelerate the domestic replacement of software in China, particularly in areas like EDA and CAD where there has been a historical reliance on imports [3] - The potential export controls could disrupt some companies in the short term, but the Chinese software industry is believed to have the capability to replace these imports, indicating a shift towards domestic software solutions [3]

Core Viewpoint - The software industry in China is experiencing a phase of adjustment and growth, driven by policy support and the need for domestic software to replace international counterparts, despite ongoing challenges in commercialization and competition [1][2][4]. Market Performance - The software index opened lower on October 16, with a decline of 0.54% to 7471.11, having started the year at 5396.93 and peaking at 8374.64 in the first half [1]. - Year-to-date, notable stock performances include Kaipu Cloud (688228.SH) up 369.9%, Ruisheng Intelligent (688215.SH) up 360.5%, and Pinming Technology up 347.2% [3]. Industry Growth and Projections - The Chinese software market is projected to reach a revenue of 137,276 billion yuan in 2024, with a year-on-year growth of 10.0%, and software product revenue expected to grow by 6.6% [2]. - By 2025, software business revenue is anticipated to be 96,409 billion yuan, reflecting a 12.6% increase year-on-year [3]. Sector-Specific Insights - The industrial software sector, particularly 3D CAD, is gaining traction, with domestic firms like Haocen Software (688657.SH) and Zhongwang Software (688083.SH) emerging as competitors to established international players [4]. - Domestic CAD software has achieved performance parity with international products in 2D CAD, but still needs to enhance R&D investment and standard-setting to compete effectively in 3D CAD [4][5]. Challenges in Commercialization - The software industry faces challenges such as a subscription payment model that is still evolving, and a lack of unified management concepts among Chinese enterprises, which hampers efficiency in product delivery [8][10]. - The difference in payment habits between domestic and international markets is significant, with a tendency for customization in China, leading to slower adoption of SaaS products [10]. Policy Support and Future Outlook - The Chinese government is actively supporting the development of foundational software, aiming for significant market share increases by 2027 [2]. - The integration of AI technologies is expected to enhance productivity and potentially improve software payment rates in the future [10].

Core Insights - Industrial software is a crucial pillar for the transformation of manufacturing towards high-end, intelligent, and green development, acting as an "invisible engine" for modern industrial systems [1] Group 1: Company Developments - Guangzhou ZWSoft Co., Ltd. has developed an integrated product matrix for 2D CAD and 3D CAD/CAE/CAM, leveraging over 30 years of validated proprietary geometric modeling kernel, which addresses the "bottleneck" issue in high-end industrial software in China [1] - ZWSoft's 3D CAD software supports various industries, including aerospace, automotive manufacturing, electronic design, and architectural planning, becoming a vital tool for the digital transformation of manufacturing [1] - ZWSoft plans to continue increasing R&D investment, focusing on key common issues in the industry to strengthen the foundation for industrial innovation, as stated by the company's Deputy General Manager and Board Secretary, Zi Yingkun [1] Group 2: Industry Trends - Suzhou Haochen Software Co., Ltd. has long focused on CAD software R&D and services, establishing mature solutions in architecture and machinery, which supports the industry's push for software legalization and import substitution [1] - Haochen Software's main products are compatible with several mainstream domestic operating systems, including Kylin and UOS, as well as domestic CPU chips like Loongson, Feiteng, Zhaoxin, and Haiguang, addressing domestic users' needs for data security and control [2]

Investment Rating - The industry investment rating is "Recommended," indicating an expected increase in the industry index by more than 5% over the next 3-6 months compared to the benchmark index [16]. Core Insights - The report emphasizes the concept of "Lighthouse Factories," which are leading the intelligent upgrade of the manufacturing industry by integrating advanced technologies such as artificial intelligence, IoT, and big data analytics [6]. - A total of 201 factories have been recognized as Lighthouse Factories globally, with 85 located in China, showcasing their exceptional manufacturing capabilities and performance in areas like production efficiency and supply chain resilience [6]. - Industrial software is identified as the digital foundation for Lighthouse Factories, playing a crucial role in enhancing production intelligence and efficiency across four core areas: R&D design, manufacturing, operational management, and maintenance services [6]. - The report suggests focusing on companies that are positioned to benefit from the growth of industrial software and intelligent manufacturing, including Zhongwang Software, Huada Jiutian, and Yonyou Network, among others [6]. Industry Overview - The computer industry consists of 337 listed companies with a total market capitalization of approximately 60,881.53 billion and a circulating market value of about 55,021.98 billion [3]. - The absolute performance of the industry over the past 12 months has been 52.1%, while the relative performance against the benchmark index has improved by 33.9% [4].