Gelonghui, November 21 | Bank of America Securities published a report saying that after an online meeting with the management of Chinasoft International, they are more optimistic about the company's business prospects next year. It is expected that there will be a strong recovery due to the recovery of information technology outsourcing business and strong growth in new businesses, including Cloud Intelligence and Huawei Hongmeng, AI computing services, and enterprise resource planning solutions. In response to China Soft International's strong new business growth compared to expectations and better profit margin prospects, the bank raised Chinasoft International's profit forecast for 2024 to 2025 by 2% to 4%, and the target price from HK$6.8 to HK$8.1, maintaining a “buy” rating to reflect steady business growth. The new business is expected to become a catalyst. The management of Chinasoft International expects a high number of units to grow in the IT outsourcing business next year, mainly driven by demand from Huawei and state-owned enterprises. The bank expects that the gross margin of the outsourced business will be stable from the second half of this year, and that the increase in overall gross margin will be driven by the new business.