Cloud Music (09899) rose more than 6%. As of press release, it had risen 6.37% to HK$90.2, with a turnover of HK$3,913,000.
The Zhitong Finance App learned that Cloud Music (09899) rose more than 6%. As of press release, it had risen 6.37% to HK$90.2, with a turnover of HK$3,913,000.
According to the news, Cloud Music recently announced its 2023 results. According to financial reports, the company's net revenue in 2023 was 7.87 billion yuan and net profit of 734 million yuan. Thanks to increased membership subscription revenue, continuous optimization of operating efficiency and cost control, Cloud Music's profit reached a record high for the full year of 2023, turning an annual loss into profit for the first time. The gross margin rose from 14.4% in 2022 to 26.7% in 2023.
CMB International expects its online music revenue to grow 17% per year in 2024 as Cloud Music becomes more focused on its core music business. The bank also anticipates that Cloud Music's gross margin will rise further in the 2024-2026 fiscal year, and predicts that its adjusted net profit will grow at a compound annual growth rate of 28% during this period. It believes that its current valuation, which is equivalent to 18 times the projected price-earnings ratio for the 2024 fiscal year, is attractive.