KINGNET(002517) 甬兴证券·2025-04-30 07:57Investment Rating - The report maintains a "Buy" rating for the company, indicating a positive outlook on its performance and growth potential [3]. Core Insights - The company focuses on its core gaming business, driving steady growth through three main segments: R&D, publishing, and investment in IP [1]. - In 2024, the company achieved a revenue of 5.118 billion yuan, representing a year-on-year growth of 19.16%, and a net profit attributable to the parent company of 1.628 billion yuan, up 11.41% [1]. - For the first quarter of 2025, the company reported a revenue of 1.353 billion yuan, a 3.46% increase year-on-year, and a net profit of 518 million yuan, which is a 21.57% growth [1]. - The overseas market continues to expand, with overseas revenue reaching 375 million yuan in 2024, a significant increase of 221.48% [1]. - The company has successfully launched several games that ranked high on various platforms, such as "OVERLORD" and "Angel's War" in South Korea and Singapore [1][2]. Financial Projections - The company is projected to achieve net profits of 2.156 billion yuan, 2.537 billion yuan, and 3.033 billion yuan for the years 2025, 2026, and 2027, with respective growth rates of 32.4%, 17.7%, and 19.5% [3][5]. - Revenue is expected to grow from 6.127 billion yuan in 2025 to 8.257 billion yuan in 2027, with annual growth rates of 19.7% and 14.9% [5][11]. Business Strategy - The company emphasizes a systematic R&D framework and has made significant technological investments to enhance game quality and meet player demands [2]. - It is actively pursuing a global publishing strategy, establishing deep partnerships with various overseas channels [2]. - The investment strategy focuses on early-stage investments and strategic partnerships to enhance value through post-investment support [2].