Summary of Beisen Holding Limited Conference Call Company Overview - Company: Beisen Holding Limited (Ticker: 9669.HK) - Industry: Greater China IT Services and Software - Current Stock Price: HK$8.24 (as of October 15, 2025) - Market Capitalization: Rmb5,445 million - Price Target: HK$10.30, indicating a 25% upside potential from the current price [5][66] Key Points and Arguments Financial Performance and Projections - Break-even Guidance: Beisen is expected to reach break-even by 1HF26, with a full-year revenue growth guidance of 15-20% YoY [1][8] - Revenue Growth: Projected total revenue growth of 17.5% YoY, driven by 21% growth in SaaS and 5% in professional services. Organic revenue growth is estimated at 8-10% YoY, excluding the M&A of Cool College [8][11] - Profitability Improvement: Expected gross profit margin (GPM) to improve to 68% (up from 65% in 1HF25) and adjusted net profit margin (NPM) to 3% (up from -7.8% in 1HF25) [8][11] - Annual Recurring Revenue (ARR): Estimated to grow 22% YoY, with AI ARR projected to account for 4-5% of total ARR [8][11] Market Position and Valuation - Valuation Metrics: Beisen is trading at 3.6x F26e EV/S, significantly lower than peers averaging 7.9x, indicating it is undervalued [1][5] - Stock Rating: Morgan Stanley maintains an Overweight (OW) rating on Beisen, reflecting confidence in its growth potential [5][66] AI Product Demand - Strong Demand for AI Products: Management reports high demand for Beisen's AI products, particularly AI Interviewer, with a notable increase in contracts. The AI product line is expected to synergize well with traditional software offerings, enhancing upselling opportunities [8][11] Additional Important Insights Risks and Challenges - Downside Risks: Potential risks include a slowdown in China's macroeconomic growth, execution risks in targeting large enterprises, and intensified domestic competition [14] - Upside Risks: Faster revenue growth from mid-large enterprises and improved operational expense control could enhance profitability [14] Financial Metrics Overview - Revenue Projections: - FY25: Rmb 1,113 million - FY26e: Rmb 1,280 million - FY27e: Rmb 1,437 million [5][11] - EBITDA Projections: - FY25: Rmb 35 million - FY26e: Rmb 75 million - FY27e: Rmb 135 million [5][11] Conclusion - Beisen Holding Limited is positioned for significant growth with a strong focus on AI products and improving profitability metrics. The current valuation presents a compelling investment opportunity, despite potential macroeconomic and competitive challenges.
北森控股 - 2026 年上半年预览：有望实现盈亏平衡且增长强劲