[UOB Kay Hian Exclusive] Listed Companies Webinar - Newborn Town (9911.HK)

Did you miss the opportunity to invest in AppLovin (APP) in the US market, which skyrocketed more than 700% in 2024? This year, Hong Kong's "King of Social Media" Newborn Town (9911.HK), is replicating an astonishing growth trajectory — with a 58% surge in stock price in the 1Q2025 and now at the high since June 2021, over 1 billion global users, and a robust cash reserve of 2 billion RMB fueling its aggressive expansion! This webinar will delve deep into how Newborn Town (9911.HK) is conquering the world through the "Emotional Economy" and reveal how it is leveraging a "Middle Eastern Strategy + AI Partnerships" to sidestep trade wars and seize the next trillion-dollar market!

Price Chart (as of April 25, 2025) source from Bloomberg
Why You Should Keep an Eye on Newborn Town (9911.HK) ？
An Underestimated "Middle Eastern AI Social Goldmine" Newborn Town (9911.HK) reported an impressive 53.9% yoy revenue growth for 2024, with an adjusted EBITDA yoy growth of 42.8%. Looking forward, the Bloomberg consensus is forecasting an RMB$0.665 EPS, implying a forward price-to-earnings (PE) ratio of 10.3x, 48% discount to the global industry average of 19.9x (as of April 25, 2025). With 2.05 billion RMB in cash reserves, the Group plans to ramp up investment in the Middle East while exploring acquisition opportunities in Europe and Japan to accelerate its global footprint. Additionally, this year, the Group aims to increase its stock buyback to 200 million HKD, reflecting strong confidence from management and solid stock price support. Capitalizing on the AI Boom: Partnering with Industry Giants The Group is making significant investments in AI technology, including a strategic partnership with AppLovin to deploy the AI advertising engine AXON 2.0, expected to drive around 182.5% growth in its premium gaming segment and accelerate global expansion. Furthermore, the firm is integrating its proprietary SoloAware AI engine with DeepSeek to enhance social recommendations, content generation and operational decision-making, leading to a marked reduction in R&D costs! Leader of the "Emotional Economy": A Social Empire with 1 Billion Users By tapping into the emerging concept of "emotional value" and implementing localized strategies, the Group has established four core social platforms (MICO, YoHo, TopTop, SUGO) that connect over 1 billion users worldwide through a sense of "social happiness." Avoiding Trade Wars: Boundless Opportunities in the Middle East Since 2017, the Group has focused on the North African and Middle Eastern markets, which now contribute over 50% of its total revenue. By centering its services on online offerings and virtual goods, the Group has successfully sidestepped the pitfalls of trade wars. The "Lipstick Effect" further strengthens the Group's position, as consumers tend to cut back on large purchases while opting for smaller items that uplift their spirits during economic downturns.


Market Capitalization	Approximately HKD 10.49 billion (as of April 25, 2025)