TANGEL(300148) Huaxin Securities·2025-05-30 00:23Investment Rating - The report assigns a "Buy" investment rating for the company, marking its first coverage [6]. Core Insights - The company's main business is showing continuous improvement, with projected net profits of 0.33 billion and 0.24 billion for 2024 and Q1 2025 respectively, indicating a recovery from previous performance challenges [5]. - The company is exploring AI+education new business models in 2025, focusing on deepening its publishing and gaming sectors while collaborating with tech firms to enhance AI educational products [5]. - Revenue forecasts for 2025-2027 are estimated at 5.15 billion, 5.77 billion, and 6.50 billion respectively, with net profits expected to reach 0.74 billion, 1.03 billion, and 1.37 billion [6][9]. Summary by Sections Business Performance - In 2024, the company's publishing revenue reached 3.93 billion, a year-on-year increase of 12.37%, with youth book sales contributing 3.4 billion [5]. - The company launched a self-developed educational series that achieved over 10 million in sales in its first year, becoming a new profit growth point [5]. AI+Education Strategy - The company aims to build a digital education ecosystem by enhancing its publishing and gaming businesses and collaborating with companies like iFLYTEK to optimize AI educational products [5]. - The launch of the "Biaoji Sauce" app in October 2024 has shown stable growth in daily active users, indicating a successful entry into the youth culture market [5]. Financial Projections - The company anticipates a significant increase in net profit growth rates, with projections of 124.2% for 2025 and 40.7% for 2026 [12]. - Key financial metrics include an expected EPS of 0.09, 0.12, and 0.16 for 2025, 2026, and 2027 respectively, with corresponding P/E ratios decreasing from 54.9 to 29.4 over the same period [6][12].