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

Yonyou Network Technology A / Equity Bottom-Up

<ul><li>Yonyou reported (28 Oct) mixed 3Q23 results: revenue was RMB2.3bn (+14 % YoY), in line with Bloomberg consensus estimates, and demonstrated an improvement from -5% YoY decline in 1H23, thanks to the gradual wear off of reorganizational impact.</li><li>3Q23 net loss attributable to ordinary shareholders was RMB185mn; although it narrowed from that of RMB284mn in 3Q22, it missed consensus of a loss of RMB138mn, which we attribute to the 4.3ppt miss on GPM, which came in at 50.9% (3Q22: 49.9%).</li><li>We upgrade the stock from SELL to HOLD given likely better outlook on revenue growth and margin improvement in 4Q23 with the wear off of reorganizational impact, but overall macro and enterprises’ budget pressure takes time to relieve, and we await more concrete evidence to become more positive. </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>

Yonyou reported (28 Oct) mixed 3Q23 results: revenue was RMB2.3bn (+14 % YoY), in line with Bloomberg consensus estimates, and demonstrated an improvement from -5% YoY decline in 1H23, thanks to the gradual wear off of reorganizational impact.3Q23 net loss attributable to ordinary shareholders was RMB185mn; although it narrowed from that of RMB284mn in 3Q22, it missed consensus of a loss of RMB138mn, which we attribute to the 4.3ppt miss on GPM, which came in at 50.9% (3Q22: 49.9%).We upgrade the stock from SELL to HOLD given likely better outlook on revenue growth and margin improvement in 4Q23 with the wear off of reorganizational impact, but overall macro and enterprises’ budget pressure takes time to relieve, and we await more concrete evidence to become more positive. 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.

Yonyou (600588 CH) – Inflection Point Appeared, but Structural Improvement Likely Takes Time