Unleashing Growth: Tianmu Lake’s Strategic Market Linkage Boosts Sales and Brings the Animal Kingdom to Life

Tianmu Lake achieved total operating income of 405 million yuan in the first three quarters of 2024, a year-on-year decrease of 14.77%; the net profit attributable to shareholders of listed companies was 85 million yuan, a year-on-year decrease of 28.84%.

The core of the performance decline in the third quarter was weather disturbances, and the focus was on the construction of the Animal Kingdom project. During the summer (July-August), persistent high temperatures and frequent extreme weather in Jiangsu, Zhejiang and Shanghai affected the company’s business operations. On August 15, Liyang City held the groundbreaking ceremony for the Tianmu Lake Animal Kingdom cultural tourism complex project. The Tianmu Lake Animal Kingdom cultural tourism complex project plans to invest 3.55 billion yuan, covering an area of about 120 hectares, and is located in the Tianmu Lake Tourist Resort. With the theme of “Animals + Amusement”, the project introduces advanced amusement equipment and various cultural and creative performances and reality shows, aiming to create a comprehensive tourist destination integrating viewing, entertainment, interaction and leisure. The project has been included in the list of key cultural and tourism industry projects in Jiangsu Province, the list of key service industry projects in Jiangsu Province, and the major industrial construction project library of Changzhou City.

Driven by event planning and product innovation, market linkage improves sales conversion rate. The company is guided by market and user needs and continues to carry out activity planning and product line research and development innovation. Focusing on the spring market, summer market and holiday market, etc., with the help of elements such as “panda”, “digging bamboo shoots”, “stream tracing” and “star”, we plan related activities and themes to create popular news hot spots and note content. In addition, the company’s three major centers are linked with Jingjiu to promote the sharing of customer sources. Focus on giving full play to the hub role of one-stop service center, deeply explore the potential of composite products and diversified markets, achieve mutual synergy of product flows, and improve destination sales conversion rate.

The company is expected to achieve revenue of 562 million yuan/723 million yuan/848 million yuan from 2024 to 2026, and net profit attributable to the parent company of 115 million yuan/153 million yuan/183 million yuan, corresponding to PE27.3/20.5/17.1 times, maintaining ” Overweight” rating.

Author: Caitong Securities Liu Yang