HK Stock Market Move | XD INC (02400) rose more than 7% during trading hours, with the performance of its new game exceeding expectations in its 24th year. Algorithm optimization has improved advertising ROI.

XD INC (02400) rose more than 7% during trading, and as of the deadline for this article, it was up 5.45% to 31.9 Hong Kong dollars, with a trading volume of 192 million Hong Kong dollars. CMSC pointed out that the performance of XD INC's two new games "Let's Go Muffin" and "Heartbeat Town", scheduled to be launched in 2024, exceeded expectations, fully demonstrating the company's self-developed game capabilities have reached a new level. With the TapTap platform and game dual-drive model gradually running smoothly, combined with significant room for improvement in platform monetization, it can further drive advertising revenues to grow. Open Source Securities also mentioned that according to the "2024 TapTap Mobile Game Industry White Paper", in-house advertising on TapTap is on the rise, with TapTap's 2024 advertising exposure increasing by 43% year-on-year, currently occupying a 10% market share in the game industry advertising market. The firm pointed out that during the 2023-2024 period, the consumption rate of advertisers through oCPA bidding (intelligent optimization tools) continued to increase, and more developers are willing to transmit post-game link data to TapTap, efficiently acquiring high-quality paying users through model learning and improving the return on investment of advertising. With the joint drive of traffic growth and advertising efficiency improvement, platform advertising revenue is expected to continue to grow.