Kuaishou Technology Reports First Annual Profit Since Multi-Billion-Dollar IPO Three Years Ago

By Kosaku Narioka

Kuaishou Technology reported its first-ever annual net profit since its multi-billion dollar initial public offering three years ago, as its marketing and e-commerce businesses helped boost earnings for the final quarter of last year.

The Chinese short-video app operator said Wednesday that it booked a net profit of 3.61 billion yuan ($501.4 million) for the fourth quarter, compared with net loss of CNY1.55 billion a year earlier. That beat the estimated net profit of CNY2.14 billion in a poll of analysts by FactSet.

Net profit for 2023 was CNY6.40 billion, compared with a net loss of CNY13.69 billion in 2022.

Kuaishou, which competes with TikTok parent ByteDance, said fourth-quarter revenue rose 15% from a year earlier to CNY32.56 billion, helped by growth in its marketing and e-commerce businesses.

Shortly after its multi-billion-dollar initial public offering in early 2021, Kuaishou's stock fell sharply amid China's regulatory crackdown on the tech industry, and has trended lower in recent months.

Write to Kosaku Narioka at [e-mail]

(END) Dow Jones Newswires

03-20-24 0520ET