“Nezha 2” special effects company Force Digital broke through the Beijing Stock Exchange, but the winner behind it is Tencent?

(Photo source: Visual China)

Blue Whale News, February 7 (Reporter Shao Yuting)2025At the beginning of the year, the domestic animated film “Nezha: The Devil Boy Raises in the Sea” ignited the film market and was released8The box office suddenly reached57.76100 million yuan, becoming the new box office champion in the box office list of China’s film history. The film’s hit release once again set off market interest3DThe attention of digital technology is on the behind-the-scenes production list of this film. Jiangsu Force Digital Technology Co., Ltd.(hereinafter referred to as Force Digital) is also gearing up in the capital market.

The official website of the Beijing Stock Exchange shows that2024years12months31On the 20th, the listing application of Force Digital Beijing Stock Exchange was accepted, and the sponsor institution Zhongtai Securities was Zhongtai Securities.2months5On the 20th, Force Digital disclosed the first round of regulatory inquiry letters, in which the mystery of the company’s performance growth against the trend, historical internal control flaws and dependence on Tencent are triggering intensive inquiries from the regulatory authorities.

Tencent contributes more2.5Revenue of 100 million yuan, but performance growth is questioned by regulators

The prospectus shows that Force Digital was established in2010In 1998, located in Nanjing City, it is a company focusing on3DA high-tech enterprise that creates digital content and provides technical services. The company mainly provides customers with3DDigital content production services, covering high-quality works such as animated films, animated dramas, and large-scale games.3DDigital content production.

In recent years, Force Digital has cooperated with Tencent Group, Netease Group, Sony Group, Electronic Arts Corporation, Warner Games,MetaWe will reach cooperation with customers in the field of game production and animation production. Participated in the American DreamWorks “Master of Magic: The Legend of Xanadu” series, Star Technology’s “Covering the Sky” series, and Wan Wei Renhe’s “The Legend of Mortal Immortal Cultivation” series animations3DContent production; and Electronic ArtsFIFA22》《FIFA23》Series and2K Sports《NBA2K21》《NBA2K22》《NBA2K23》《NBA2K24》Series of games3DContent production. Force Digital also provided technical support in the hit animated movie “Nezha: The Devil Boy Raises in the Sea”.

2021to2023years and2024In the first half of 2010 (hereinafter referred to as the reporting period), Force Figures ‘revenue were4.12100 million yuan,5.03100 million yuan,5.27100 million yuan,2.45100 million yuan; net profit is approximately6827.43Ten thousand yuan,6799.81Ten thousand yuan,8388.25Ten thousand yuan,3821Ten thousand yuan; the gross profit margin of the main business is38.87%、31.58%、34.39%、36.61%。

The company’s business is mainly divided into games by field3DContent commissioned production, animation3DContent entrusted production, other industries3DThere are three major parts of content entrusted to production. Among them, games are the company’s core source of income, contributing more than half of revenue.

During the reporting period, the company’s revenue from games was2.26100 million yuan,2.69100 million yuan,2.75100 million yuan,1.38100 million yuan, accounting for:64.41%、53.78%、52.34%、56.42%; Revenue from animation is1.24100 million yuan,1.83100 million yuan,2.32100 million yuan,1.04100 million yuan, accounting for:31.22%、36.54%、44.22%、42.63%; Revenue from other industries is1731.46Ten thousand yuan,4850.55Ten thousand yuan,1809.44Ten thousand yuan,234.44Ten thousand yuan; the proportions are respectively4.37%、9.68%、3.44%、0.96%。

It is worth noting that Force Digital’s performance growth deviates from industry trends.2022years and2023In 2001, the global game market declined year-on-year5.09%, China’s game market shrank10.33%However, Force Digital’s game business revenue increased against the trend7.26%。This phenomenon became the core topic in this inquiry letter.

In this regard, the regulation requires the company to combine downstream version number policies, customer project reserves and industry competition landscape to analyze the sustainability of its growth logic, and compare the downward performance trends of Silk Road Vision and Fantuo Digital Innovation in the same industry companies to explain the differences. Reasonable. At the same time, Force Digital Contract Debt2022year by year50%The decline in this indicator is seen by regulators as a signal that the company’s bargaining power has weakened, requiring it to check whether it is compliant at the time of revenue recognition.

The prospectus shows that during the reporting period, the proportions of sales to the top five customers of Force Digital in operating income were 37.71%、38.55%、40.53%、57.94%Among them, Tencent Group has been its largest customer for three consecutive years, with sales of7340.34Ten thousand yuan,6650.20Ten thousand yuan,7645.45Ten thousand yuan,4476.88Ten thousand yuan, accounting for revenue17.82%、13.22%、14.50%、18.26%。

It is worth noting that Tencent Group is also an important shareholder of Force Digital. as of2024years12At the end of the month, Tencent’s Linzhi Lichuang Information Technology Co., Ltd. held Force Digital12.13%shares.

In the inquiry letter, the supervisor stated that due to the company’s criticism of Tencent Group3DThe gross profit margin of the sales of entrusted content production is lower than the overall gross profit margin of this type of business. The company is required to disclose in detail the cooperation pricing basis, credit policies and differences with third-party customers, and explain whether there is any possibility of profit transfer or performance adjustment.

Original animated films fail,Cunjin8Accumulated unrecovered losses of tens of millions

theIPOThis is not the first time that Force numbers have hit capital markets,2021In 2009, Force Digital GEMIPOTerminated due to voluntary withdrawal. Behind the collapse is the company’s“The failure of the transformation from OEM to originality.

2018In 2009, Force Digital invested2.32The original animated film “Mom Miya” created by 100 million yuan was released, and the final box office was only3491Ten thousand yuan, directly resulting in a loss in net profit for the year2.86100 million yuan, and provision for inventory price decline is made2.07100 million yuan. At that time, the supervisor pointed out in the inquiry that the company’s accumulated undistributed profits were still negative, and it was necessary to explain the profit expectations and the feasibility of the dividend policy.

After learning from the pain, Force Digital chose to shrink its strategy, cut off all original projects except “The Big Monster in the Forbidden City” and refocused it3DContent trusteeship business.2021to2023In 2001, the company’s entrusted business income accounted for stable97%Above, the net interest rate reaches15.91%, significantly higher than the level of the industry.

Although this strategy of survival with a broken arm has temporarily stabilized the performance, doubts about the company have not yet completely dissipated, and it has become suspended on the Beijing Stock Exchange.IPOThe sword of Damocles in the process. Due to the large amount of accumulated unrecovered losses in history, it is not yet possible to fully recover the accumulated losses. as of2024At the end of the first half of 2019, the undistributed profit of Force Digital consolidation was-7657.8Ten thousand yuan, there are accumulated unrecovered losses.

theIPOThe regulatory requirements require the company to explain the profitability conditions and estimated time point for the accumulated undistributed profits of the consolidated scale, and the impact of the accumulated unrecovered losses on the company’s future profitability and dividend policy. Explain the basis and timing accuracy of the accrual for impairment of large assets in the previous period, and whether there is any situation where performance is adjusted through the accrual of depreciation reserves.

According to the prospectus, Zhao Rui, founder of Force Digital, is the chairman and general manager.IPOPreviously, Zhao Rui directly owned the company12.14%and indirectly controls the company through Nanjing Ruiying and Tianjin Zongli18.12%Shares, directly and indirectly controlling the company in aggregate30.26%Share voting rights. After this issuance, Zhao Rui directly and indirectly controlled the company22.69%voting rights.

theIPO, Force Digital plans to use raised funds4.88100 million yuan for the Force Digital Technology Innovation Industry Base Project, Digital Content Innovation Technology Platform Construction Project,3DReal-time digital animation application platform construction project.