2024-03-07 10:00Financial Performance - For Q4 2023, total net revenue reached RMB 6.3 billion (approximately $894.3 million), a 3% increase year-over-year[7] - Advertising revenue for Q4 2023 was RMB 1.9 billion (approximately $271.7 million), up 28% year-over-year, while for the full year 2023, it reached RMB 6.4 billion (approximately $903.1 million), a 27% increase[7] - Value-added services revenue for Q4 2023 was RMB 2.9 billion (approximately $402.4 million), a 22% increase year-over-year, and for the full year 2023, it totaled RMB 9.9 billion (approximately $1.4 billion), a 14% increase[7] - Gross profit for Q4 2023 was RMB 1.7 billion (approximately $233.8 million), a 33% increase year-over-year, with a gross margin of 26.1%, up from 20.3% in the same period last year[8] - The net loss for Q4 2023 was RMB 1.3 billion (approximately $182.6 million), narrowing by 13% year-over-year, while the full year net loss was RMB 4.8 billion (approximately $677.7 million), a 36% reduction[8] - Adjusted net loss for Q4 2023 was RMB 555.8 million (approximately $78.3 million), a 58% year-over-year reduction, and for the full year, it was RMB 3.4 billion (approximately $480.9 million), down 49%[8] - Net revenue for the fiscal year was RMB 22.5 billion (USD 3.2 billion), a 3% increase compared to 2022[14] - Net loss narrowed to RMB 4.8 billion (USD 677.7 million), a 36% improvement compared to the previous year[17] - Adjusted net loss was RMB 3.4 billion (USD 480.9 million), a 49% reduction year-over-year[17] - Operating loss was RMB 5.1 billion (USD 713.3 million), a 39% decrease from 2022[17] User Engagement - Daily active users (DAUs) reached 100.1 million in Q4 2023, an 8% increase compared to the same period in 2022[8] - The number of content creators earning revenue on the platform exceeded 3 million in 2023, a 30% increase from 2022[9] Cash Flow and Expenses - The company achieved positive operating cash flow for the full year 2023, with Q4 operating cash flow at RMB 640.4 million (approximately $90.2 million)[8] - Total operating expenses were RMB 3 billion (USD 417.6 million), a decrease of 17% year-over-year, with sales and marketing expenses down 11%[12] - R&D expenses were RMB 4.5 billion (USD 629.2 million), a decrease of 6% year-over-year, due to a reduction in R&D personnel[17] - Net cash provided by operating activities was RMB 266.6 million (USD 37.6 million), compared to RMB 3.9 billion used in 2022[18] Future Outlook - The company plans to continue driving community growth and commercialization in 2024, aiming to create value for users, creators, and shareholders[10] - The company will hold an earnings conference call on March 7, 2024, at 7:00 AM EST[19] Market and Investment - The total unredeemed principal amount of convertible preferred bonds was USD 861.8 million (RMB 6.1 billion) as of December 31, 2023[18] - The fair value change loss on investments in listed companies for the three months ended September 30, 2023, was RMB 137,358 thousand, an increase from RMB 59,688 thousand in the same period of 2022[33] Non-GAAP Measures - The company uses non-GAAP financial measures to assess its operating performance, excluding certain expenses[21] Currency and Exchange Rate - The exchange rate used for conversions is RMB 7.0999 to USD 1.00 as of December 29, 2023[23] Risks and Uncertainties - Forward-looking statements are subject to risks and uncertainties that may cause actual results to differ significantly[24]