On August 20th, Guolonghui reported that Bank of America Securities released a research report stating that during yesterday's face-to-face communication with Kingdee International's management, it was noted that the company's growth is resilient and the profit margin has improved as expected. It is estimated that the contribution of subscription service revenue in the first half of this year has increased from 46% in the first half of last year to 52%. The growth of orders from large enterprise customers in the period has been fast, and it is hoped that it can promote revenue growth from the second half of this year to the first half of next year. Management reaffirmed the goal of turning losses by 2025. The bank currently predicts that the annual recurring revenue (ARR) of cloud subscription services in 2021 will increase by 25% year-on-year. However, considering the weak performance of the cloud services market in the first half of this year, the bank has lowered its forecast for Kingdee's income from 2024 to 2026 by a slight 1% to 2%, and the target price has dropped from HKD 11.4 to HKD 9.6. As for the gross margin prospects, based on Kingdee's ability to provide more standardized products for large enterprise customers and be more selective in conducting large ERP projects, it is expected that the gross margin will continue to improve in the next few years, and the bank reiterates its "buy" rating.