Gigabit (603444): Performance in line with expectations Optimistic about the company’s strategic layout

Gigabit (603444): Performance in line with expectations Optimistic about the company’s strategic layout

Performance summary: The company achieved operating income in the first three quarters of 201915.

600 million, an increase of 34 every year.

1%, net profit attributable to mother 6.

700 million, an increase of 32 every year.

2%, net profit after returning to mother 6.

3 ‰, an increase of 38 per year.

9%, net cash flow from operating activities is 8.

80,000 yuan, an increase of 44 in ten years.


In the third quarter of 2019, single-quarter operating income4.

800 million, an increase of 26 every year.

7%, the net profit attributable to mothers was 20,000 yuan, an increase of 19% year-on-year, and the net profit attributable to mothers after deduction was 1.

9 ‰, an increase of 24 per year.


  Games such as “Ask Mobile Games” contributed revenue, driving continued growth in performance.

The report summary, “Ask Mobile Games”, “Greedy Cave 2”, “Crossing the Star Arc” and other works continue to contribute to income, which is the main cause of performance changes.

Gross profit margin increased by 0.

19pp to 91.

7%, the period expense rate increased by 2.

71pp to 31.

7%, of which sales costs increase by 111% each year, mainly due to the increase in new game promotion costs; management costs increased by 34.

3%, which was caused by the increase in the salary of management personnel and the increase in depreciation costs of the Guangshen office building.

Net operating cash flow inflow 8.

800 million (+44 compared to the same period last year).

4%), the net inflow of investment cash flow was 10,000 yuan (+115 compared with the same period last year).

6%), net replacement of financing cash flow.

40,000 yuan, mainly related to the substantial increase in the amount of dividend payments.

  ”High-quality”, “fine”, and “differentiation” are the company’s consistent strategic choices.

  Elaboration: The company has outstanding research and development capabilities, and its previous game works have gained better market reputation, such as “Unbelievable Maze” (TapTap score 8).

5), “The Cave of Greed” (TapTap score 8.

2), “Over the Star Arc” (TapTap score of 7.

7), “Puppet House Fantasy Night” (TapTap score 9).

5) Wait.

  Refinement: The company has a long-term operational capability, combines player feedback with game polishing, and focuses on user experience to ensure high stickiness for players.

Three years after its launch, “Ask Mobile Games” still maintains a high level of contribution. The average ranking of App Store games in the first three quarters ranked 28th, and the highest reached 5th.

  Differentiation: 杭州桑拿网 The company deeply cultivates the Rouguelike category. This category takes into account both tastes and challenges, has more lasting vitality, has higher user loyalty, and has certain competition barriers.

In addition, the company also actively cut into the second dimension, with women subdivided into equal categories.
  The company is unique in R & D, operation and track selection, which is its core focus.
  Product plans are plentiful, waiting to be launched one after another.

The company’s follow-up product plans are rich.

Short-term attention to “Lost Castle” (TapTap score of 9 will be released on October 24)

7 points, and received App Store reservation recommendations, with more than 1.16 million reservations; medium and long-term attention to the M68 project landing.

  Earnings forecasts and investment advice.

The company’s EPS for 2019-2021 is expected to be 11.

97 yuan, 13.

88 yuan, 15.

73 yuan, maintaining the “overweight” level.

  Risk reminders: the risk of changes in industry policies, the risk of intensified market competition, the risk of delaying the launch of Xinyou, the risk of core talent loss