Investment Rating - The investment rating for the company is "Buy" with a target price of RMB 11.75 [8][9]. Core Insights - The company's revenue for 2024 is reported at RMB 670 million, a year-on-year increase of 12.26%, but the net profit attributable to the parent company decreased by 43.64% to RMB 75.63 million [1][2]. - The gross margin has declined, primarily due to increased costs associated with new high-speed rail and outdoor screen placements, although revenue from outdoor 3D screens has seen significant growth [2][4]. - The company continues to expand its high-speed rail media network, with 529 signed railway passenger stations and 495 operational stations by the end of 2024 [3]. Revenue and Profit Forecast - The revenue forecast for 2025-2027 has been adjusted to RMB 662.56 million, RMB 773.07 million, and RMB 834.23 million respectively, reflecting a decrease in growth expectations [5][13]. - The net profit forecast for the same period is adjusted to RMB 100.80 million, RMB 131.52 million, and RMB 166.67 million, indicating a significant reduction in expected profitability [5][13]. Financial Metrics - The company’s comprehensive gross margin for 2024 is reported at 33.68%, down 8.27 percentage points year-on-year, with a further decline to 30.11% in Q1 2025 [2][5]. - The adjusted PE ratio for 2025 is set at 47X, with a target price reflecting a 27X PE ratio for the same year [5][17]. Business Segment Performance - The high-speed rail media business generated RMB 564 million in revenue for 2024, a 4.25% increase, while the outdoor 3D screen media revenue surged by 88.85% to RMB 107 million [2][4]. - The outdoor screen business, despite being in a loss position, has shown improvement in gross margin, narrowing from -32% in 2023 to -1.04% in 2024 [4][5]. Market Position and Strategy - The company is focusing on optimizing its screen structure, reducing the number of less efficient screens, which has led to a decrease in the total number of operational digital media screens [3][4]. - The integration of AI technology in digital content production is expected to enhance operational efficiency and content quality [4].
兆讯传媒（301102）：业绩短期仍承压，毛利率继续下行