神州泰岳20250909

Summary of Shenzhou Taiyue Conference Call Company Overview - Shenzhou Taiyue focuses on self-developed SLG (Simulation and Strategy Games) for over 10 years, maintaining a market share within the top ten, with SLG game revenue accounting for over 80% of total income and contributing even higher profits [2][3]. Industry Insights - The SLG market is the largest category in overseas markets, with a market size of approximately 100 billion RMB, experiencing a year-on-year growth of 20% in the first half of 2025 [3]. - The SLG sector has seen significant development and user expansion, with a current download share of only 1.6%, indicating substantial room for growth compared to other casual games [4]. - The competitive landscape in the SLG sector is relatively fragmented, allowing for the development of multiple successful companies, unlike more concentrated categories such as MOBA [4]. Future Development Expectations - Shenzhou Taiyue is expected to enter a major cycle from 2025 to 2027, transitioning from product launches to revenue and profit growth. The revenue model for SLG games shows a ramp-up period of 1 to 3 years post-launch, followed by a profit release period from the 3rd to the 10th year [5][6]. - The company anticipates that new products launched in the fourth quarter of 2025 will drive revenue and profit growth over the next 3 to 5 years [6]. New Product Pipeline - Shenzhou Taiyue has five new products in the pipeline, including two major titles (code-named DL and LAV) expected to launch at the end of September and October respectively. Additionally, there are three more titles: city-building with apocalypse themes, ice and snow with apocalypse themes, and a gangster-themed game [7]. - The ice and snow apocalypse-themed game is being developed by the Sunrise City team and is expected to be released next year. The quantity and quality of these new products are seen as a solid foundation for the company's future growth [7]. Valuation and Investment Recommendations - The current valuation of Shenzhou Taiyue is considered reasonable, with a positive outlook on its long-term growth potential. Given the ongoing performance of the A-share gaming sector, it is recommended to actively monitor Shenzhou Taiyue and anticipate performance growth driven by new product launches [8].