Hong Kong, August 22, 2024 / PRNewswire / -- Meifu Times (02556.HK) released its interim performance report for the six months ended June 30, 2024, achieving a total revenue of 0.74 billion Chinese yuan in the first half of the year, a year-on-year increase of 26.7%, and maintaining continuous growth for the past five years.

Meifu Times' business is divided into two main sectors: SaaS business and precision marketing. Among them, Meifu Times' SaaS business revenue was 0.4 billion Chinese yuan, accounting for 54% and a year-on-year increase of 30.4%. The gross margin of the SaaS sector business reached 88.3%, an increase of 1.2 percentage points.

The other sector, precision marketing services, accounted for 46% and achieved a revenue of 0.34 billion Chinese yuan in the first half of the year, a year-on-year increase of 22.6%. The gross revenue of precision marketing services reached 3.374 billion yuan, a year-on-year increase of 11%.

The overall performance in the first half of the year was good, but what is particularly outstanding is that the company achieved profitability in the first half of the year through refined operation and ecological cooperation. The adjusted net profit was 47.68 million yuan, compared to an adjusted net loss of 24.16 million yuan in the same period last year.

The accounting net loss in the report is 0.82 billion yuan, which cannot represent the true operational situation of the company and is caused by the fair value change of preferred shares before the IPO. Due to the IPO valuation being much higher than the entry price of the preferred shareholders, the preferred shareholders have achieved substantial profits, but this loss needs to be recorded as a loss for the listed company in accounting, but in fact, this loss has no relation to the company's operation, but instead proves that the company's value is recognized by the market, which shows the unique vision of the investors who invested in the company before. In comparison, the adjusted net profit of 47.68 million yuan can better reflect the true operational status of the company.

According to Frost & Sullivan's data report, based on the 2023 revenue, the company is the largest marketing and sales SaaS solution provider in China, and My Futushi has been the market leader in the marketing and sales SaaS solution market in China for two consecutive years. The company has obtained a series of recognitions in the industry in the first half of the year. For example, it has been ranked first on the AI SaaS rankings for 5 consecutive years, the top enterprise on the Smart Marketing rankings for 4 consecutive years, and has been among the top 100 software and information technology service companies in Shanghai for 6 consecutive years.

In terms of product technology capabilities, 1) My Futushi currently has 240 standardized modules that can be flexibly combined for sales, which enhances its ability to meet customers' personalized needs and facilitate customers' additional purchases. This is also an important factor that enables it to promote revenue growth while maintaining a high gross margin; 2) My Futushi's technical layout covers several aspects of AI applications such as market insight, content generation, precision delivery, intelligent strategy, navigation assistant, and intelligent customer service, improving customer acquisition and operational efficiency; 3) My Futushi will continue to adhere to its AI strategy and achieve the AI transformation of its full-chain SaaS products, while increasing investment in PaaS open platform construction.

In terms of customer base, 1) the number of paid users for SaaS business is 22,247, and the average monthly revenue per user for SaaS business has increased by 16.5% year-on-year; 2) My Futushi focuses on the dual development curve of small and medium-sized enterprise customers (SMB) and large customers (KA), with balanced profit contributions from both types of customers, always maintaining a leading position in the small and medium-sized enterprise market, and the big customer strategy has been preliminarily verified successfully; 3) In the second half of the year, the company will deepen its big customer strategy, and with the rich product matrix, it is expected to continue to bring about an increase in revenue from big customers.

During the mid-term earnings conference, Chairman Zhao Xulong expressed that in the future, the company will further expand the overseas market, increase overseas business lines, and strengthen the standardization capability of products. This will enable the company to quickly meet customer customization requirements, improve delivery speed, reduce delivery costs, and continue to consolidate its position in the marketing and sales of SaaS solutions.

Media Contact: Dan Xue, xuedan@zhenzhuo.com