The Zhitong Finance App learned that Dongwu Securities released a research report stating that the current position of Yingyuzhou (03700) is still highly cost-effective and maintains a “buy” rating. Kunlun World Wide recently continued to increase its holdings in Yinguniverse, and its shareholding ratio rose to 11.15%. Skyreels, an AI skit platform owned by Kunlun World Wide, will launch in the US on December 10 to further expand the global AI entertainment market. Yinguniverse's fundamentals are steady, and new business growth can be expected. 24H1 achieved revenue of 3.5 billion yuan, an increase of 13% over the previous year, and outstanding performance in the short drama field. The company has plenty of cash on its account and plans to invest in cryptocurrency to optimize asset allocation and promote the development of the WEB3.0 business.

The main views of Dongwu Securities are as follows:

The company recently received an increase in Kunlun Wanwei's holdings.

According to the latest information from the Stock Exchange, on November 13 and October 29, Kunlun Group Limited increased its holdings of Yingyu 5 and 2.509 million shares, each at a price of HK$1.37 and HK$1.02, for a total amount of about HK$6.8485 and HK$2.5617 million. After the increase in holdings, the latest shareholding ratio rose to 11.15%. Skyreels, an AI skit platform owned by Kunlun World Wide, will be officially launched in the US on December 10, marking the further expansion of Kunlun World Wide's global AI entertainment market. At the same time, it will also bring a new smart skit experience to North American audiences.

I was optimistic about the company's performance at the beginning of November, and now I repeat my opinion:

The company's fundamentals are steady, and new business growth is worth looking forward to. 24H1 achieved revenue of 3.5 billion, up 13% year over year. The live streaming business contributes to stable cash flow. The skit sector continues to steadily export high-quality hits, and 24H1's related entertainment content business revenue increased 36% year over year to 0.6 billion yuan. As of August 2024, Yinguniverse has produced more than 600 short dramas, including more than 70 popular dramas, reaching over 0.4 billion users and tens of billions of plays. Overseas business progresses steadily, continuously deepens the application of cutting-edge technologies such as AI in business scenarios, expands product coverage and penetration rate, and continues to build a vertical product matrix to enhance user experience.

There is plenty of cash on the account, and investing in cryptocurrencies is expected to further optimize asset allocation.

As of 2024/6/30, the company's cash account was about 2 billion yuan, providing sufficient financial support for overseas business expansion and innovative business development. Earlier, the company announced plans to make potential cryptocurrency purchases, with a total amount of no more than 0.1 billion US dollars, which is expected to better promote the development of the company's WEB3.0 business.