Shanghai Fengyuzhu Culture Technology Co., Ltd. (Fengyuzhu) issued an announcement:
In 2023, the company's profit to mother was 280 million yuan to 390 million yuan (up 323.96% to 490.52% year on year). In a single quarter, 2023Q4's profit was 0.71 to 181 million yuan (up 32% to 237% year on year), and 2023Q4 withheld non-profit of 1 to 0.61 billion yuan (up 37% to 285% year on year); first, the company implemented a national cultural digitization strategy to actively promote project execution, completed projects and a significant increase in revenue; Second, vigorously expand the new digital cultural tourism business in the city In the updated strategic process, new immersive cultural tourism consumption scenarios were created; third, project settlement and repayment work were vigorously promoted (calculated credit impairment losses were reduced compared to the previous year).
Key points of investment
In 2023, the company's main business was repaired with an impressive order amount of 2.65 billion yuan, and the main business continued to improve. Looking at the fourth quarter of 2023, the main business continued to improve. In 2023, the company strengthened project settlement and reduced credit impairment losses. In other words, the company's main business development continued to improve; the total amount of new orders signed by the company in 2023 was about 2,651 billion yuan, an increase of 1,066 billion yuan over the previous year (67% year-on-year increase). In mid-2023, the company added 760 million yuan (active order balance of 4.6.36 billion yuan). 100 million yuan). In other words, the company received 1.9 billion yuan in new orders in the second half of 2023, highlighting the resilience of the main business development and improvement on the demand side. At the same time, the growth in new orders is expected to escort the steady growth of the company's performance.
The addition of the main business in 2024 is expected to continue exploring the main business side. The acquisition and new orders in 2023 lay a solid foundation for the addition of the main business in 2024; the new end, as a leading enterprise in the field of digital technology application in China, 2G and 2B are also exploring 2C (there was already an “exhibition theater” business exploration before the pandemic). The company will combine AI and mixed reality technology to explore the integrated application and development of AIGC and VR/AR/MR, digital virtual people, and metaverse virtual spaces to accelerate the application and development of “AIGC+VR/AR/MR” in the city Implement applications in scenarios such as images, traditional culture, and tourist attractions, create AIGC benchmark application cases, and explore diversified applications of “AIGC+VR/AR/MR” in industries such as exhibition, cultural, creative entertainment, and commercial consumption.
The fusion of fiction and reality drives immersive industrial companies to implement cultural digitalization in immersive experience spaces
On the industry side, “The Disappearing Pharaoh” in October 2023 is expected to further increase the popularity rate of VR large space entertainment and MR/VR/AR hardware in cultural tourism exhibitions. Combining AI with MR software and hardware, the iteration of new technology and new media is expected to bring about new immersive industrial development and help advance cultural digitalization strategies. On December 15, 2023, seven departments including the Ministry of Industry and Information Technology jointly issued the “Guiding Opinions on Accelerating the High-Quality Development of the Audiovisual Electronics Industry” to support the creation of immersive cultural tourism experience projects and spaces in urban renewal. Fengyuzhu is also expected to benefit from top-down policy dividends and new needs from the bottom up. The company has the ability to create an immersive digital cultural space, such as the creation of a new space for immersive experiences in historical exhibition halls, to create new cultural tourism consumption scenarios (such as the digital construction of Baisha Mural Scenic Area in Yulong County, Lijiang, Yunnan), and adopted “EPC” “+O” interventional The operating model extends to content operation services; from urbanization to urban renewal to digital application superposition metaverse, to VRMRAI applications, each wave of business model upgrades highlights the company's resilience to continuous growth.
Profit forecasting
Each round of economic development momentum and new demand from new intergenerational users is expected to bring new supply, recreate new immersive cultural tourism experiences through digital methods such as MR, VR, and AI, and also bring new business opportunities to enterprises; through XR content, 3D interactive content, AI content creation, and popular IP linkage, combined with the cultural tourism project's own tone, it brings new experiences to the G\ B\ C side, which in turn brings new commercial volume. It is predicted that the company's revenue for 2023-2025 will be 22, 2.6, 30 billion yuan, respectively, and profits of 3.5 billion yuan, 456 million yuan (up 430% from the previous year) , 30%, 26%). The current stock price corresponds to PE of 20.6, 15.8, and 12.5 times, respectively. The main business is expected to achieve another success in 2024. The offline scene experience will be affected in 2020 due to external factors, and the economic demand for new offline cultural tourism experiences is expected to continue to pick up in 2024. The company combines technology and cultural creativity to create immersive experience scenarios, reshape new cultural digitization scenarios, and bring new experiential value that empowers entities. Based on the company's long-term steady development, strengthening accounts receivable management and continuing to add new orders in hand to maintain the “buy investment rating” .
Risk warning
Market competition increases risk; risk of impairment of accounts receivable and credit assets; risk of project cost control and management risk of project implementation; risk of innovative business development falling short of expectations; risk of falling short of expectations in the application of new technology; and risk of macroeconomic fluctuations.