HYPEBEAST LTD (0150.HK) Delivers Record Q1 Revenue, Up 58% YOY with Momentum Intact, Continues on Expansion Plans
HONG KONG, Aug 23, 2021 - (ACN Newswire) - The board of directors of Hypebeast Limited (0150.HK) has announced the Group's unaudited key financial results for the three months ended 30 June 2021 ("FY2022 Q1").
FY2022 Q1 ended on a high note as the business achieved record results for first quarter revenue, gross profit and gross profit margin as various regions exit lockdown from the COVID-19 pandemic. Revenues for FY2022 Q1 increased 57.9% year-on-year to approximately HK$200.8 million, due to increases in Media contract values, continued expansion in client industry categories and strong regional revenue growth from the Group's Media segment. Revenues for FY2022 Q1 increased by 12.6% compared to the three months ended 30 June 2019 ("FY2020 Q1"), reflecting significant growth versus the pre-COVID-19 baseline. Such growth versus pre-COVID-19 pandemic business levels are expected to continue and accelerate throughout FY2022.
The Group experienced specific strength in the rebound of the Media business, with a significant increase in signed contract value of approximately 111.9% in FY2022 Q1 versus prior year or 74.7% versus pre-COVID-19 pandemic level in the FY2020 Q1, primarily driven by increased production capabilities and expansion across brand client categories. The COVID-19 pandemic accelerated digital transformation strategies for global brands resulting in a greater shift in marketing & advertising budgets from traditional marketing channels to digital online channels. The Group expects to benefit from this trend to continue for the foreseeable future.
"We are delighted to deliver yet another record-breaking quarter as we continue our strong rebound from COVID-19, and we have our eyes set on even higher targets for the rest of this year and next year," said Kevin Ma, Founder and CEO of Hypebeast Ltd. "Alongside an overall surge in business activity in both our Media, and E-commerce and Retail businesses, we look forward to bringing exciting projects to life over the next 12 months - such as the much-anticipated opening of the flagship store in New York City in early 2022. We are working hard to expand our platform and our presence and look to sustain the momentum in the next quarters and beyond."
Overall performance:
-- Our media business in the US and China continued its strong rebound, accelerating away from the effects of the COVID-19 pandemic with year-on-year increases of 139.6% and 48.2% respectively for FY2022 Q1;
-- Gross profit for FY2022 Q1 surged 131.1% year-on-year or 34.2% compared to FY2020 Q1, amounting to approximately HK$117.1 million, while gross profit margin improved to approximately 58.3%, representing a year-on-year increase of 18.5 percentage points.
Media Segment:
-- The Media segment recorded a year-on-year increase in revenue of 117.1% to HK$145.4 million in FY2022 Q1, surpassing the pre-COVID-19 pandemic levels of HK$112.9 million recorded in FY2020 Q1;
-- Due to increases in revenue and more cost-efficient campaign production, overall gross profit margin for the Media segment increased by 20.7 percentage points versus prior year, or 10.4 percentage points versus FY2020 Q1, to 62.5% for FY2022 Q1.
E-commerce and Retail Segment:
-- Gross profit from the E-commerce and Retail segment increased by 16.2% to approximately HK$26.3 million for FY2022 Q1, despite a decline in revenue of approximately 8.0% to HK$55.4 million for FY2022 Q1 as inventory intake levels rebound from management effected COVID-19 pandemic purchase reductions;
-- The Group improved its profitability with higher margin gains. Gross profit margin reached 47.4% for FY2022 Q1, up 9.8 percentage points as compared to three months ended 30 June 2020 ("FY2021 Q1"), largely driven by higher sell through rate and higher proportion of products being sold at full price. Both these indicators reflect a healthier portfolio of inventories on hand compared to pre-COVID-19 pandemic related adjustments to intake as implemented by management.
Operating Expenses:
-- Selling and marketing expenses increased by approximately 25.9% from approximately HK$27.0 million for FY2021 Q1 to approximately HK$34.0 million for FY2022 Q1, largely driven by (i) increase in headcounts upon strong recovery and growth of the media and e-commerce and retail segments; and (ii) increase in variable commission paid as a result of the significant increase in signed contract value as discussed above. As a percentage of revenues, selling and marketing expenses decreased from approximately 21.3% for FY2021 Q1 to approximately 16.9% for FY2022 Q1.
-- Administrative and operating expenses were approximately HK$45.5 million for FY2022 Q1, up by approximately 65.5% from approximately HK$27.5 million for FY2021 Q1 as the Group exercised prudent cost management and received government subsidies during FY2021 Q1. Administrative and operating expenses as a percentage of revenue slightly increased from approximately 21.6% for FY2021 Q1 to approximately 22.7% for FY2022 Q1.
For further details on the quarterly results performance, visit the Group's corporate website to view the full results announcement. https://hypebeast.ltd/investors
About Hypebeast Limited (Stock Code: 0150.HK)
Hypebeast Ltd. started from a sneaker website founded by Kevin Ma in 2005 to a publicly listed media company in 2016. With a total reach of over 44.6M users across all platforms, The media group boasts a global readership across Asia Pacific, North America, Europe and more, with the flagship platform available in five languages. The group has expanded its publishing brands to a wider scope in recent years, encompassing Hypebeast and its multiple content distribution platforms, HBX, our e-commerce and retail platform, and Hypemaker, our global agency.
Source: Hypebeast Limited Sectors: Daily Finance
Copyright ©2024 ACN Newswire. All rights reserved. A division of Asia Corporate News Network.
|
Latest Release
JCB enables JCB Contactless acceptance at Taichung MRT in Taiwan Apr 26, 2024 10:00 JST
| Mazda Production and Sales Results for March 2024 and for April 2023 through March 2024 Apr 25, 2024 18:21 JST
| MHI Begins Operation of SOEC Test Module the Next-Generation High-Efficiency Hydrogen Production Technology at Takasago Hydrogen Park Apr 25, 2024 17:45 JST
| GAC Honda to Begin Sales of All-new e:NP2, the Second Model of e:N Series Apr 25, 2024 16:50 JST
| Toyota Exhibiting at Beijing Motor Show 2024 Apr 25, 2024 16:25 JST
| Honda Reaches Basic Agreement with Asahi Kasei on Collaboration for Production of Battery Separators for Automotive Batteries in Canada Apr 25, 2024 11:10 JST
| UNIQLO Sponsors KAWS + Warhol Exhibition Tour, Starting in Pittsburgh Apr 25, 2024 09:00 JST
| Mitsubishi Power Begins Commercial Operation of Seventh M701JAC Gas Turbine in Thailand GTCC Project; Achieves 75,000 AOH To-Date Apr 24, 2024 17:19 JST
| MC and Denka Sign J/V Agreement in Fullerene Business Apr 24, 2024 17:02 JST
| Mitsubishi Motors Posts Record Sales in the Philippines in FY2023 Apr 24, 2024 13:56 JST
| NEC Develops High-speed Generative AI Large Language Models (LLM) with World-class Performance Apr 24, 2024 13:25 JST
| Fujitsu SX Survey reveals key success factors for sustainability Apr 23, 2024 10:25 JST
| Fujitsu and METRON collaborate to drive ESG success: slashing energy costs, boosting productivity with new manufacturing industry solutions Apr 22, 2024 16:09 JST
| NEC Strengthens Commitment to Space Industry with Investment in Seraphim Space Venture Fund II Apr 22, 2024 15:09 JST
| Soft Space Launches the First and Only JCB Payment Gateway in Malaysia Apr 22, 2024 15:00 JST
| TOYOTA GAZOO Racing takes a one-two in Croatian thriller Apr 22, 2024 10:47 JST
| First-ever Mazda CX-80 Crossover SUV Unveiled in Europe Apr 19, 2024 13:50 JST
| Fujitsu develops technology to convert corporate digital identity credentials, enabling participation of non-European companies in European data spaces Apr 19, 2024 10:17 JST
| Mitsubishi Heavy Industries and NGK to Jointly Develop Hydrogen Purification System from Ammonia Cracking Gas Apr 18, 2024 17:01 JST
| Toyota Launches All-New Land Cruiser "250" Series in Japan Apr 18, 2024 13:39 JST
|
More Latest Release >>
|