MOGU(US:MOGU)2021-08-27 17:00Financial Data and Key Metrics Changes - The total GMV for Q1 FY2022 was RMB2,864 million, a decrease of 8.2% year-over-year [9] - GMV from live video broadcasting (LVB) increased by 14.7% year-over-year to RMB2,600 million, accounting for 90.8% of total GMV [9][10] - Total revenues decreased by 30.6% to RMB92 million from RMB132.5 million in the same quarter of FY2021 [10] - Net loss attributable to ordinary shareholders was RMB95.5 million compared to RMB88.9 million in the same period of FY2021 [12] - Adjusted EBITDA was negative RMB25.2 million compared to negative RMB17.4 million in the same period of FY2021 [12] Business Line Data and Key Metrics Changes - Commission revenues decreased by 23.7% to RMB65.1 million from RMB85.3 million in the same period of FY2021 [10] - Marketing Services revenue decreased by 64% to RMB8.6 million from RMB24 million in the same period of FY2021 [10] - Financing Solutions revenues decreased by 5.1% to RMB11.3 million from RMB12 million in the same period of FY2021 [11] Market Data and Key Metrics Changes - The competitive environment has intensified, with more players entering the market and increased competition on price [18] - The cost of user traffic is rising due to the slowing growth of Internet users [18] Company Strategy and Development Direction - The company has transformed into a pure-play LVB e-commerce model and aims to enhance supply chains and improve product quality [5][6] - The acquisition of Ruisha Technology is a strategic move to expand service capabilities and diversify revenue streams [7][8] - The company plans to focus on both B2C and B2B components in its revenue structure moving forward [20] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in long-term growth prospects despite a challenging market environment [13] - The company aims to optimize customer acquisition costs and improve overall operating efficiency [13] - Management believes that the antimonopoly regulations will create a more open market, benefiting all participants [23][24] Other Important Information - The company has authorized a new share repurchase program with an aggregate value of up to $10 million [8] Q&A Session Summary Question: Impact of Competitive Landscape on Operating Metrics - Management acknowledged intensified competition affecting user acquisition and retention, but emphasized their competitive advantages such as early market entry and loyal user base [18][19] Question: Role of Ruisha in Integration and Competitive Edge - Management highlighted that Ruisha's acquisition will diversify revenue streams and enhance service capabilities, leveraging shared technology and operational know-how [19][20] Question: Opportunities from Antimonopoly Regulations - Management expressed optimism about the Internet space and believes that regulations will benefit the market and the company [23][24] Question: Strategies to Improve LVB GMV Growth - Management outlined strategies including integrating more KOLs, expanding product categories, and attracting new users through partnerships [27]