Homeland Interactive (03798.HK) announced that the expected revenue of the group for the six months ended June 30, 2024 is approximately RMB 0.8357 billion, representing a decrease of approximately 12.4% compared to the six months ended June 30, 2023; and the expected net profit of the group for the six months ended June 30, 2024 is approximately RMB 33.7 million, a decrease of over 90.0% compared to the six months ended June 30, 2023.
The board of directors believes that the aforementioned decrease is attributable to: (i) significant growth in the group's active users in the first half of 2023, resulting in higher revenue for the six months ended June 30, 2023; (ii) increased channel costs and interconnect costs for the group in the first half of 2024, leading to a significant increase in sales costs; and (iii) in the first half of 2024, in response to increasingly intense industry competition, the group increased its market promotion efforts to maintain market share.
