KUAISHOU(01024)2024-11-20 12:00Financial Data and Key Metrics Changes - In Q3 2024, total revenue reached 31.1 billion RMB, growing by 11.4% year-over-year, driven by online marketing services and e-commerce business [12][13] - Adjusted net profit rose by 24.4% year-over-year to 3.9 billion RMB, indicating improved profitability [12][14] - Gross margin increased to 54.3%, up 2.6 percentage points year-over-year [12][14] Business Line Data and Key Metrics Changes - Revenue from online marketing services grew by 20% year-over-year to 17.6 billion RMB, representing 56.6% of total revenues [12][13] - E-commerce revenue reached 4.2 billion RMB, up 17.5% from the previous year, driven by increased GMV [12][13] - Live streaming revenue was 9.3 billion RMB, a decline of 3.9% year-over-year, but the decline is narrowing [12][13] Market Data and Key Metrics Changes - Average daily active users (DAUs) reached 408 million, a 5.4% increase year-over-year, while monthly active users (MAUs) reached 714 million, up 4.3% [2][3] - Average daily time spent per DAU was 132.2 minutes, with total user time spent increasing by 7.8% [2][3] - E-commerce GMV increased by 15.1% year-over-year to 334.2 billion RMB [6][7] Company Strategy and Development Direction - The company is focused on tech-driven, user-centric strategies to enhance user engagement and retention [2][3] - Continued investment in AI technology is a priority, with AI integrated into content creation and marketing strategies [12][20] - The company aims to expand its e-commerce capabilities by leveraging live streaming and short video content [6][9] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth potential of the short video industry, citing strong user engagement and revenue growth [11][20] - The company anticipates challenges in maintaining DAU growth due to increasing market penetration of short videos but remains optimistic about user retention strategies [21][22] - Future growth will focus on enhancing content quality and optimizing algorithms to improve user experience [22][23] Other Important Information - The company repurchased approximately HK$3.98 billion worth of shares, accounting for about 2.1% of total shares outstanding [14][15] - The overseas business saw total revenues of 1.33 billion RMB, growing by 104.1% year-over-year, with a significant reduction in operating losses [11][12] Q&A Session Summary Question: Development of the company's AI - Management discussed the advancements in AI models, particularly the Clean AI 1.5 model, which supports enhanced video capabilities and has seen significant user engagement [16][17] Question: DAU and user time spent trends - Management highlighted the strategies implemented to achieve over 400 million DAUs and emphasized the importance of content quality and algorithm efficiency in maintaining user engagement [21][22] Question: Sustainability of online marketing growth - Management noted that the growth in short play marketing spending has been significant, with expectations for continued growth driven by enhanced user experience and product optimization [23][24]