Gibbet Shares Bucked The Market For Three Months And Soared 85%, "Game Grass" Valuation Ceiling May Break Through

Recently, a game called "Moore Manor" has been out of circle.

As of June 7, "Moore Manor" and "Moore Manor mobile Tour" topics have been read more than 1 billion microblogs, and more than 600000 discussions have been made.

Game fire out of the circle, behind the game manufacturer - known as the "game Mao" known as the gibbet (603444. SH), share prices also soared.

According to the data, in the week when Moore Manor was launched (that is, last week, May 31 - June 4), the stock price of gibbet rose by 24.89%.

But that's not the whole story of the recent rise in gibbet's share price, which rose 61.02% from March to May this year.

So, is it Moore's manor that drives the price of gibbet soaring?

First quarter performance growth against the market

Since March, the share price of gibbet has risen 85.08%. This data in the same period of A-share game companies (by CITIC game industry classification) ranked first.

In contrast, gibbet's performance stands out among the rest of the game companies in the A-share market during the same period, and their share prices have either been limited or all the way down.

Why is gibbet's share price performance so different from a number of game companies?

One important reason is that the first quarter of 2021 by Gbit has greatly exceeded market expectations.

In 2020, due to the "housing economy" bonus brought by the new crown pneumonia epidemic, the performance of A-share game board is brilliant.

According to statistics, the A-share game board achieved revenue of 81.668 billion yuan last year, with a year-on-year growth of 3.84%; The net profit was 10.530 billion yuan, with a year-on-year increase of 18.55%.

Gibbet is no exception. In the first quarter of 2020, the revenue of Gbit is about 2.742 billion yuan, with a year-on-year growth of 26.35%; The net profit was 1.046 billion yuan, with a year-on-year increase of 29.32%.

In the first quarter of 2021, due to the "housing economy" dividend subsided, the high base in the same period last year has generally become a heavy pressure on the growth of game companies' performance.

According to statistics, in the first quarter of this year, the overall revenue of A-share game sector reached 21.406 billion yuan, with a year-on-year growth of - 0.54%; The net profit was 3.403 billion yuan, with a year-on-year increase of - 27.01%.

Under the general loss of the industry, gibbet delivered a higher than expected high growth financial report: in the first quarter, it realized 1.117 billion yuan of revenue, with a year-on-year growth of 51.09%; The net profit was 365 million yuan, with a year-on-year increase of 13.36%.

Gibbet's main game in the first quarter is Yinian Xiaoyao, which was launched on February 1.

Similar to many new online games, "Yinian Xiaoyao" has a large amount of purchase expenses.

According to the monitoring of APP growing, a mobile advertising analysis agency, thunder games bought 5602 pieces of materials in a single quarter, up 366% month on month.

This also led to the first quarter sales expense rate of Gigabit to 23.6%, up 16.6% year-on-year and 7.8% month on month.

However, the profit performance of gibbet in the first quarter has not been dragged down by the growth of sales expense rate in that quarter.

In this regard, Zhang Jun (pseudonym), an analyst working in domestic head game manufacturers, told reporters that "the cost is not high, and the effect of buying volume is good".

"And the first quarter of the market does not really have a lot of power to the game." Zhang added.

CITIC Securities also pointed out that although the early buying volume of Yinian Xiaoyao was relatively high, the overall purchase volume ROI was well controlled, achieving strong revenue and performance contribution.

In addition, the basic platter of Gigabit games, MMORPG games (massively multiplayer online role-playing games) series, also performed well in the first quarter.

In the first quarter of this year, "ask" mobile game ranked 22nd on the IOS game bestseller list on average, with the highest ranking of 11.

Yinian Xiaoyao becomes the second performance pillar

"Yinian Xiaoyao", with the growth of gibbet's revenue, can be called the biggest black horse in the game market in the first quarter of this year.

The game is a kind of ink painting style of placement type Xiuxian game, the R & D Party (Xingyun studio) and the publisher (thunder game) are owned by gibbet.

According to the "2021 China Mobile Internet" dark horse "inventory report released by market research organization questmobile, the number of active users of" Yinian Xiaoyao "reached 974000 on Sunday at the end of the first quarter, ranking the first in the growth of APP game users.

So, why can Yinian Xiaoyao play so well?

"Yinian Xiaoyao" happens to hit some older users who prefer the theme of Xiuxian, "Zhang Jun told reporters. In addition to the good buying effect, the content of the game is also very attractive," and xiuxian.com is also very popular now, and the game is more leisure and relaxed. "

At present, Liu Dong (pseudonym), a game analyst who works in a private placement, once again raised the topic of "buying volume" to reporters.

"It's not that Xiuxian is popular, but thunder game (the publisher) plays around this category." Liu Dong told reporters that thunder game has broken through the market with its "unique buying strategy".

He pointed out that in the past, "legend" and "miracle" games used to buy material, often boastful equipment effect, dazzling combat effects, but this set of play is not as good as before.

"Big wings are useless now. Players need to see something different now." Liu Dong points out that although the essence of "krypton gold" that ultimately leads to buying volume remains unchanged, the viewing experience and conversion efficiency of different buying materials are definitely different. "The buying materials of Yinian Xiaoyao will make you feel that you are really cultivating immortals. For example, the advertisement of the spokesperson will give you a feeling of" secondary 2 ", There is a feeling of reading Xiuxian novels in middle school, so that everyone would like to play. The transformation effect of this kind of material is certainly better than others. "

It is worth mentioning that on the eve of the launch of Yinian Xiaoyao, gibbet also linked with tomato fiction, and put the official novel of the same name on the platform of the latter.

For gibbet, the value of "free time" is obviously more than just a single quarter of revenue. The popularity of this game means that gibbet has made a success in the placement Game track. In addition to the basic set of "ask" mobile game, gibbet has opened up a second growth curve.

In terms of IOS game bestsellers, "Yinian Xiaoyao" ranked 10th on average in the first quarter of this year, with the highest ranking being No. 5. On May 21, with the opening of a new version of "Yinian Xiaoyao", the game also broke into the top 10 of IOS bestsellers again.

A number of institutions have recently pointed out that "Yinian Xiaoyao" is expected to contribute profits to gibbet for a long time and become the company's second performance pillar after "ask".

According to the prediction of Huachuang securities, "Yinian Xiaoyao" has recovered the investment cost of the purchase volume since it was launched. It is optimistic that it will continue to make contribution. In the next few quarters, with the decline of sales expenses (most of the purchase investment is concentrated in the initial stage of online), it will further release profits.

"It is expected that the following consumable content in the game will be sufficient. Considering the long-term design elements of SLG, we believe that Yinian Xiaoyao has great medium and long-term operation potential." Huachuang Securities said.

Moore Manor raises the valuation ceiling?

Although "ask" and "free and easy" once again made it to the top of the list in late May, Moore Manor, which launched on June 1, looks more like the "driving force" behind the 25% rise in gibbet's share price last week.

Interestingly, as early as January this year, "Moore's Manor" showed great stock price influence - after thunder game announced its postponement in January, its share price fell by more than 20% in three trading days.

For many post-95s and post-00s, Moore's manor is not a strange name - the web version of the game was launched as early as 2008, with 50 million registered by the end of 2009.

Today, the mobile version of "Moore Manor" is still developed by Taomi network, the producer at that time, while the publisher is replaced by thunderbolt game owned by gibbet.

Judging from the online data, this 3D community mobile game is undoubtedly the No.1 in the game industry in June. After only eight hours of service opening, the download volume of Moore Manor exceeded 6 million, and the number of online users exceeded 1 million.

According to Qimai, as of June 7, "Moore Manor" has been ranked first in the app store free list for seven consecutive days, surpassing national games such as "glory of the king.".

In an interview, many game industry insiders told the 21st century economic reporter that the product power of Moore Manor is very excellent.

"Moore Manor doesn't buy much, but IP has a strong appeal." Zhang Jun told reporters.

Huachuang securities also said that "Moore Manor" covered a large number of children's users in those years. Now that the fans have entered adulthood, their consumption ability and willingness will be significantly improved.

Liu Dong pointed out to reporters that in addition to the strong appeal of IP, "Moore Manor" another big advantage is "social" do well.

"The success of Moore's manor is similar to the previous popular animal Forest Club, in that the social playing method makes people relax," Liu Dong told reporters. "The content of games like farming is not too fancy, but the social attributes are in place《 "Moore Manor" screen style and game content, more suitable for ordinary people to feel social happiness

Liu Dong said that the social attribute of Moore Manor is not only reflected in the game itself, but also in the game marketing: the operator has created a large number of "grounded" content in short video social platforms such as tremolo. The fission and dissemination of these contents helped Moore Manor out of the circle quickly.

For gibbet, Moore's manor, which has a social attribute of "cramming", has also broadened the company's game category, just like "a free mind".

Huachuang Securities pointed out that "Moore Manor" mobile game is expected to lead gibbet into the large dau leisure game track, and the advantage of this track is "more in the accumulation of potential users than in the performance of running water".

It is worth mentioning that in the view of individual institutions, "Moore Manor" has a greater significance for gibbet - Southwest Securities believes that "Moore Manor" will become another "ask" by gibbet, with a group of very loyal fans and an exaggerated duration.

With two major games of "ask" and "Moore Manor", gibbet "may be the first game developer in a shares to switch from" project driven profit "logic to" operating private traffic ".

"If we regard some classic games as a social intersection, then the logic of" item attribute "of the game will be transformed into the logic of" private domain traffic ". 20-25 times of gibbet, is a game project company; More than 30 times more than Gigabit is a traffic operation company with a strong social attribute based on the game project. " Southwest Securities said.

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