External broker reports(aggregated public sources), CMB International

CMB International

Incorporated in Hong Kong, supported by the mainland and targeting in global market, CMB International Capital Corporation Limited (“CMBI”) is an integrated financial institution providing comprehensive and professional services. As a wholly-owned subsidiary of China Merchants Bank ("CMB"), by leveraging on the Group’s synergy and coordination in domestic and overseas markets, as well as CMB’s strong resources and outstanding social reputation, CMBI and its subsidiaries have been actively implementing diversified business strategies and set up an overall layout of main business segments including Corporate Finance, Asset Management, Wealth Management, Global Markets and Structured Finance, etc. Adhering to the philosophy of “being clients oriented and increasing our own values by the way of creating value for clients”, CMBI endeavors to provide quality and integrated financial services to institutional, corporate and individual customers both domestic and overseas including Hong Kong IPO sponsorship and underwriting, share placement and rights issue for listed companies, financial advisors, bonds issuance services, asset management, direct investment, wealth management, equity sales and trading, etc.

External broker reports(aggregated public sources)

Equity Bottom-Up

<ul><li>NetEase announced 2Q23 financial results on 24 Aug: total revenue grew by 3.7% YoY to RMB24.0bn, below our/consensus estimate by 3.4/3.1%, mainly due to softer-than-expected PC game performance.</li><li>But operating income was up 23% YoY to RMB6.1bn, ahead of our/consensus estimate by 7.8/6.5%, supported by the strong GPM improvement (+4.0pct YoY and beat consensus by 2.7pct).</li><li>We raise FY23-25E operating income forecast by 6-8% to reflect the more positive GPM outlook, mainly due to the favourable revenue mix shift to self-developed games and optimized channel costs. </li></ul><p><em>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.</em></p>

NetEase announced 2Q23 financial results on 24 Aug: total revenue grew by 3.7% YoY to RMB24.0bn, below our/consensus estimate by 3.4/3.1%, mainly due to softer-than-expected PC game performance.But operating income was up 23% YoY to RMB6.1bn, ahead of our/consensus estimate by 7.8/6.5%, supported by the strong GPM improvement (+4.0pct YoY and beat consensus by 2.7pct).We raise FY23-25E operating income forecast by 6-8% to reflect the more positive GPM outlook, mainly due to the favourable revenue mix shift to self-developed games and optimized channel costs. Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

NetEase (NTES US) – Upbeat on games revenue growth and margin expansion in 2H23E

NetEase Inc

NetEase (NTES US) – Upbeat on games revenue growth and margin expansion in 2H23E