CICC released a research report sayingworldseriesofpoker2023, maintaining the "Outperform Industry" rating of Cloud Music (09899), taking into account social entertainment revenue adjustments and effective cost control, the 2024 and 2025 Non-IFRS net profit forecast remains unchanged. Due to the upward shift of the industry valuation center, the target price has been raised by 10worldseriesofpoker2023.3% to HK$114.
The report stated that the company's revenue in the first quarter increased by 3.6% year-on-year to 2.030 billion yuan, basically in line with expectations; gross profit margin increased by 7.7 percentage points quarter-on-quarter to 38%, exceeding the bank's expectations, mainly due to a higher one-time adjustment in copyright fees. The company did not disclose more operating data and financial details for the first quarter. In the first quarter, the number of paid users increased season-on-quarter to a new high in the past two years, and the product returned to the core of music after the revision. Throughout the year, we actively promoted the progress of copyright cooperation, and the Korean music content library was further improved.