看准（BZ）：人工智能支持下的稳健执行；重申全年展望

2023A2024A2025E5,952.07,356.08,109.02,156.02,711.03,123.0 2026E8,934.03,612.0 Thomas Chong * | Equity Analyst852 3743 8016 | thomas.chong@jefferies.comZoey Zong * | Equity Analyst852 3743 8163 | zoey.zong@jefferies.com The Long View: KanzhunInvestment Thesis / Where We Differ•Kanzhun is a leading online recruitment service provider and well-knownfor its BOSS Zhipin platform featuring direct boss recruitment modeland direct chats, which improve efficiency and accuracy during therecruitment process.•Kanzhun leverages AI and data analysis technologies to provide a two-way recommendation function, which largely improves user experienceand stickiness.•Company launched several new products to expand user base andengagement, and it is ramping up full-coverage services of job seekers’whole careers, anticipated to generate more incremental revenue.Base Case,$20, +21%•Along with rising online penetration in therecruitment industry, we expect the job seekeruserbase and paid enterprise customersto grow, backed by direct boss recruitmentmodel and AI matching technology.•We expect increased penetration among blue-collar workers to drive further revenue growth.•We expect the company to explore full-coverageservices through a job seeker'scareer, which should further drive GMV andrevenue growth.•We expect user stickiness to improvewith superior user experience and productinnovation.•PT of USD20 based on our DCF valuation.Sustainability MattersTop Material Issue(s): 1) Data Security.As an online recruitment platform, the company is subject toa large and growing number of cyberattacks, which puts user information at risk.2) Customer Privacy.Ensuring the privacy of personally identifiable information and other data of users is an essentialresponsibility of companies. The use and storage of a wide range of user data, such as personal,demographic, content, and behavioral data, raise privacy concerns, leading to increased regulatoryscrutiny.Company Target(s): 1)Built ESG strategy on five pillars: Governance, Environment, Employees,Products and Services, and Community. Ensuring ESG factors are part of business operations anddecision-making.2)Continue to invest in people to ensure that employees have a healthier, happierand more productive workplace.Qs to Mgmt: 1)What are you investing in to protect your firm and your customer data?2)What stepshave you taken or plan to take to empower employees?Please see important disclosure information on pages 6 - 11 of this report.This report is intended for Jefferies clients only. Unauthorized distribution is prohibited. Upside Scenario,$24, +45%•Macro tailwinds lead to stronger-than-•Stronger-than-expected•PT of USD24 based on our DCF valuation. expected online recruitment demand.enterprise customers. Downside Scenario,$12, -27%•Weaker-than-expected online recruitmentdemand due to macro headwinds.•Weaker-than-expectedenterprise customers.•PT of USD12 based on our DCF valuation.Catalysts•Stronger-than-expectedenterprise customers•Stronger-than-expected online recruitmentdemand•Stronger-than-expectedinitiatives•Higher-than-expected penetration rate in blue-collar workers growthofpaid growthofpaidgrowthofpaidgrowthinnew2 (6)AI.These include (a) there are three areas which include AI To job seekers, recruiters andmanagement; (b) for AI to job seekers, the features are open to users. For example, interviewchatbot can help users such as students and those with less than 3 years of working experience.For AI to recruiters, no of enterprises provided with placement services increased by 30% QoQin 1Q. Agents help to understand hiring needs and drive matching accuracy with 25% increasein effectiveness. For AI to management, AI help in preparation of summary reports as well asrational talent assessment; (c) testing results show positive feedback with efficiency achievedfor recruiters. Higher success rate is seen for job seekers.Valuation and Risks.We maintain our Buy rating and PT. Key risks include (1) cybersecurityreview taking longer than expected, leading to softer user growth; (2) weaker-than-expectedrecruitment demand due to the severe impact of macro headwinds; (3) intense competition withaggressive sales and marketing spend; and (4) stringent government regulations.Please see important disclosure information on pages 6 - 11 of this report.This report is intended for Jefferies clients only. Unauthorized distribution is prohibited. Exhibit 1 - BZ US: Income Statement.Income Statement (BZ US)RMBmnTotal RevenueYoY % changeCost of revenueGross profitGross marginSales and marketing expenseGeneral and administrative expenseResearch and development expensesNon-GAAP operating profitYoY % changeNon-GAAP operating marginNon-GAAP net incomeYoY % changeNon-GAAP net marginSource: Company, Jefferies estimatesExhibit 2 - BZ US: Balance Sheet.Balance Sheet (BZ US )RMBmnCash and Cash EquivalentsShort term investmentsTime depositsAccounts receivablesAmounts due from related partiesPrepayments and other cu