Core viewpoints

Jiecheng shares have a large number of exclusive film and television copyright database, in the industry's absolute leading position.

In recent years, with the strengthening of copyright protection, as well as integrated video platforms, short and medium video platforms, operators, hardware manufacturers and other downstream customers to increase the procurement and fine operation of long videos, the corresponding copyright prices continue to rise. However, there is still a huge market gap with areas with perfect copyright protection, such as North America.

Starting from this year, the film market will pick up significantly, with a significant increase in the number of films released and the box office, which will help the company to increase procurement and increase revenue and profits. The 1.8 billion contract signed with Tencent last year will bring a lot of cash flow to the company and support the rapid growth of subsequent procurement and revenue.

With the rapid development of AIGC technology, the company cooperates with Huawei Pangu to develop AIGC applications in the video field, or extends the company's business to the field of short video production and authorization. By combining with its own video library, it will bring about great changes in downstream customers, business model, revenue and profits, or become a new growth point in the future.

With the rapid development of AIGC and VR/AR technology, the demand of digital human and virtual scene is expanding rapidly. Shiyou Technology, a subsidiary, is a leading industry leader in related technology. with the launch of Apple Inc's MR products, the company's revenue and profit is expected to accelerate growth.

Risk hints: the risk of policy changes related to the film and television industry; the risk that the film market picks up less than expected; the risk of huge changes in the downstream market; and the risk that the development of AIGC and VR/AR technology is not as expected.