Meitu narrows net loss by 94pc in first half as advertising and smartphone sales help
Chinese selfie-enhancing app provider Meitu posts a 94 per cent decline in its net loss, boosted by smartphone sales and its advertising business
Meitu, a Chinese photo-enhancing app provider and smartphone maker, posted a 94 per cent decline in net loss in the first half of 2017 on Thursday, helped by strong smartphone sales and online advertising revenue.
Net loss stood at 131.7 million yuan (US$20 million), or 0.03 yuan per share, in the first six months of this year, compared to 2.1 billion yuan in the same period last year.
That topped the consensus estimate of a net loss of 75 million yuan, a Bloomberg poll showed.
“Many high-end advertisers told me they have been waiting for an advertising platform like Meitu for very long, because there is no other internet platform that has so many female users,” said Gary Ngan, the chief financial officer at Meitu.
The company attributed its smaller net loss to strong revenue growth from online advertising, in-app paid items and smartphone sales.
Meitu’s interim revenue soared 272 per cent to 2.1 billion yuan from 585 million yuan a year earlier.