|By ACN Newswire||
|August 19, 2014 06:54 AM EDT||
- Revenue Records Solid and Continuous Growth
- Global Mobile MAU Hits New Record High
Hong Kong, Aug 19, 2014 - (ACN Newswire) - Kingsoft Corporation Limited ("Kingsoft" or the "Company;" SEHK stock code: 03888), a well-known Chinese software and Internet services company, announced its unaudited quarterly and interim results for the three and six months ended 30 June 2014 respectively.
For the second quarter of 2014, revenue increased 11% quarter-over-quarter and 51% year-over-year to RMB750.5 million. Revenue from the online game, Cheetah Mobile and office software and other businesses represented 41%, 47% and 12%, respectively, of the Company's total revenue. Gross profit increased 11% quarter-over-quarter and 47% year-over-year to RMB634.2 million. Operating profit before share-based compensation costs increased 20% quarter-over-quarter and 1% year-over-year to RMB180.1 million.
For the first half of 2014, revenue increased 50% year-over-year to RMB1,426.1 million. Revenue from the online game, Cheetah Mobile and office software and other businesses represented 42%, 45% and 13%, respectively, of the Company's total revenue. Gross profit surged 46% to RMB1,203.2 million. Operating profit before share-based compensation costs decreased 5% year-over-year to RMB331.7 million.
For the first half of 2014, the Company has made proactive investments in its mobile internet business to support its long term business growth and strategy in mobile development and market expansion. As a result, the Company has achieved significant progress in the mobile internet business as its global Mobile MAU skyrocketed 242% year-over-year to a new record of 344 million in June 2014. R&D costs, net of government grants, increased 67% year-over-year to RMB419.1 million, primarily attributable to the expansion of the Company's mobile application development teams. As a result, the Company has launched and will continue to introduce new products throughout the year. The company has also been continuously committed to improving the product quality and enhancing the user experience across all of its business lines. Selling and distribution expenses increased 132% year-over-year to RMB323.6 million for the first half of 2014, primarily driven by higher marketing expenses as Cheetah Mobile continued to extend its mobile internet penetration in the global market. As a result, Mobile MAU from Cheetah Mobile soared 255% year-over-year to 284.3 million in June 2014.
Mr. Jun LEI, Chairman of Kingsoft, commented, "During the first half of 2014, we have achieved significant progress in our mobile internet business. We have continued to gain traffic share and competitive advantage with the rapid growth of our mission critical apps. In the coming quarters, we will continue to reinforce our core competence, expand our mobile user base, strengthen our position in mobile security, mobile office and mobile game, and speed up our global penetration."
Dr. Hong Jiang ZHANG, Chief Executive Officer of Kingsoft, added, "The second quarter of 2014 marked another quarter of consistent and strong top-line growth with revenue posted a growth of 11% quarter-over-quarter and 51% year-over-year to RMB750.5 million. I am pleased with the results, particularly the progress of mobile monetization. All of our business lines have set new records in terms of both revenue and operational results. The decrease in operating profit primarily reflected our proactive investments in mobile applications development and market expansion, and is in line with our strategy. As the mobile Internet is growing tremendously, we firmly believe that it is the right time to make investment in mobile development and market expansion in order to support our long-term business growth. The rapid increase of our overall mobile user base has shown that our strategy is effective."
Online Game Business
For the second quarter of 2014, the revenue from the online game business increased 4% quarter-over-quarter and 14% year-over-year to RMB307.5 million. For the first half of 2014, the revenue from the online game business increased 12% year-over-year to RMB602.4 million, outperforming the growth rate of the MMO gaming market in China. The continuous increases were primarily due to the sustained strong performance of JX Online III driven by the continuous optimization and innovation of the game through expansion packs on quarterly basis, and the Company's constant efforts in improving game experiences.
In the second quarter of 2014, the revenue and operating metrics of Cheetah Mobile achieved impressive growth. Supported by the significant progress in mobile monetization, and robust growth in traffic from Duba.com personal start page, the revenue from Cheetah Mobile increased 21% quarter-over-quarter and 146% year-over-year to RMB353.6 million for the second quarter of 2014. For the first half of 2014, the revenue from Cheetah Mobile soared 140% year-over-year to RMB646.4 million, and approximately 18% of its revenue was from mobile services, compared with approximately 3% in the first half of 2013.
Mobile MAU from Cheetah Mobile increased 28% quarter-over-quarter and increased 255% year-over-year to 284.3 million in June 2014. Clean Master, a flagship mobile application launched in September 2012, has rapidly gained an extremely large user base to be a "super app". The MAU of Duba.com Personal Start Page increased 25% quarter-over-quarter and 70% year-over-year to 67.6 million in June 2014. Other new products launched during the first half of 2014 were CM Security and CM Browser, which have also quickly ramped up user traffic.
On 8 May 2014, Cheetah Mobile was successfully listed on the New York Stock Exchange, and this initiative helped Kingsoft to strengthen and accelerate its mobile and global expansion strategies. In June 2014, approximately 67% of mobile MAU of Cheetah Mobile was from overseas markets, mostly the United States, Asia (excluding China) and Europe, compared to approximately 53% in December 2013. This significant increase shows the mobile mission critical applications, particularly Clean Master, have become very popular globally, and the Company's efforts in mobile and global expansion were a great success during the first half of 2014.
Office Software and Others
For the second quarter of 2014, the revenue from the office software and other business increased 2% quarter-over-quarter and 9% year-over-year to RMB89.4 million. For the first half of 2014, the revenue increased 21% year-over-year to RMB177.2 million. Revenue from WPS for the first half of 2014 grew 30% year-over-year to RMB132.4 million. The online marketing revenue from WPS is becoming a growth catalyst supported by the increasing user traffic of WPS Personal Edition and Docer.com.
The MAU of WPS Personal Edition recorded 73 million in June 2014 compared to 56 million in June 2013. The global mobile MAU of WPS Office continued to grow robustly, exceeding 50 million in June 2014 compared to 21 million in June 2013. In addition to user base expansion, the Company was committed in improving the quality of the products in WPS and compatibility with other enterprise application systems to enhance the products' competitiveness and penetration of enterprise markets. During the second quarter of 2014, WPS Mobile Office for Android 6.0 was launched and new features, including a simplified user interface, phone reading mode redesign, and document synchronization were introduced to enhance the mobile user experience with the products.
The Company's growth in the enterprise data storage services has been accelerated, driven by the rapid increase of users' data from Xiaomi, WPS and Kuaipan. The daily upload of data into storage services is approximately 250T at the end of June 2014. The Company will focus on optimizing the underlying storage framework and providing its users with stable, secure and cost-efficient storage services. Also, the one-stop game cloud service platform has grown robustly, and the Company provided game cloud services to approximately 50 third party game developers since the services are launched. In the second quarter, the Company improved the platform layout based on the feedbacks from third party developers. These progresses have laid a solid ground for Kingsoft to become a leading player in China cloud storage and computing market.
"We had an impressive and encouraging first half of 2014. With the continuous proactive investment in mobile businesses, strengthened mobile monetization of Cheetah Mobile, continuous optimization of JX Online III, four mobile games to be launched, strong sales and fast growing users base of WPS as well as advantageous partnerships with Xiaomi, Tencent, Sogou and Xunlei, we are well positioned to achieve our goal in 2014." concluded Dr. ZHANG.
About Kingsoft Corporation Limited
Kingsoft is a leading Chinese software and Internet service company with its shares listed on the Stock Exchange of Hong Kong Limited. Since the commercial launch of its first office applications software, WPS 1.0, in 1989 followed by more than 20 years of innovative endeavors, Kingsoft has become well recognized as a leading brand in China. Kingsoft has also rejuvenated itself by successfully transforming from "the King of Packaged Software" to an internet technologies and services provider.
Kingsoft provides a range of products and services across devices and platforms, and its main business encompasses online game, internet software, mobile applications, office software, and cloud storage and computing services. The Company utilizes the internet as an effective channel to market and distribute its products and services, and has built an extensive sales and distribution network.
Enhancing the quality of the digital lifestyle has been the mission of Kingsoft. Kingsoft will continue developing new products, expanding our products and services across the internet especially the mobile internet and expanding its market share in China, while vigorously penetrating overseas markets.
For more information, please visit www.kingsoft.com
Source: Kingsoft Corporation Limited
Kingsoft Corporation Limited Ms. Francie Lu Tel:(86) 10 62927777 ext.5581 Email: [email protected] Strategic Financial Relations (China) Limited Ms. Nan Dong Tel: (852) 2527 1628 Email: [email protected]
Copyright 2014 ACN Newswire. All rights reserved.
SYS-CON Events announced today that Cloudian, Inc., the leading provider of hybrid cloud storage solutions, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. Cloudian, Inc., is a Foster City, California - based software company specializing in cloud storage software. The main product is Cloudian, an Amazon S3-compliant cloud object storage platform, the bedrock of cloud computing systems, that enables cloud service providers and enterprises to build reliable, affordable and scalable cloud storage solu...
Apr. 27, 2015 01:00 AM EDT Reads: 2,756
SYS-CON Events announced today that Gridstore™, the leader in hyper-converged infrastructure purpose-built to optimize Microsoft workloads, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. Gridstore™ is the leader in hyper-converged infrastructure purpose-built for Microsoft workloads and designed to accelerate applications in virtualized environments. Gridstore’s hyper-converged infrastructure is the industry’s first all flash version of HyperConverged Appliances that include both compute and storag...
Apr. 27, 2015 12:45 AM EDT Reads: 4,665
Temasys has announced senior management additions to its team. Joining are David Holloway as Vice President of Commercial and Nadine Yap as Vice President of Product. Over the past 12 months Temasys has doubled in size as it adds new customers and expands the development of its Skylink platform. Skylink leads the charge to move WebRTC, traditionally seen as a desktop, browser based technology, to become a ubiquitous web communications technology on web and mobile, as well as Internet of Things compatible devices.
Apr. 27, 2015 12:45 AM EDT Reads: 2,334
SYS-CON Events announced today that IDenticard will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. IDenticard™ is the security division of Brady Corp (NYSE: BRC), a $1.5 billion manufacturer of identification products. We have small-company values with the strength and stability of a major corporation. IDenticard offers local sales, support and service to our customers across the United States and Canada. Our partner network encompasses some 300 of the world's leading systems integrators and security s...
Apr. 27, 2015 12:00 AM EDT Reads: 5,277
“With easy-to-use SDKs for Atmel’s platforms, IoT developers can now reap the benefits of realtime communication, and bypass the security pitfalls and configuration complexities that put IoT deployments at risk,” said Todd Greene, founder & CEO of PubNub. PubNub will team with Atmel at CES 2015 to launch full SDK support for Atmel’s MCU, MPU, and Wireless SoC platforms. Atmel developers now have access to PubNub’s secure Publish/Subscribe messaging with guaranteed ¼ second latencies across PubNub’s 14 global points-of-presence. PubNub delivers secure communication through firewalls, proxy ser...
Apr. 27, 2015 12:00 AM EDT Reads: 3,883
SYS-CON Events announced today that On the Avenue Marketing Group, a sales and marketing firm that utilizes events to market and sell products to consumers, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. On the Avenue Marketing Group (OTA) is a sales and marketing firm that utilizes events to market and sell products to consumers. On behalf of our clients, we attend thousands of fairs, festivals, expos, concerts, conferences, and sporting events annually, helping them reach millions of individuals ...
Apr. 26, 2015 07:30 PM EDT Reads: 3,507
Containers and microservices have become topics of intense interest throughout the cloud developer and enterprise IT communities. Accordingly, attendees at the upcoming 16th Cloud Expo at the Javits Center in New York June 9-11 will find fresh new content in a new track called PaaS | Containers & Microservices Containers are not being considered for the first time by the cloud community, but a current era of re-consideration has pushed them to the top of the cloud agenda. With the launch of Docker's initial release in March of 2013, interest was revved up several notches. Then late last...
Apr. 26, 2015 07:00 PM EDT Reads: 2,892
“In the past year we've seen a lot of stabilization of WebRTC. You can now use it in production with a far greater degree of certainty. A lot of the real developments in the past year have been in things like the data channel, which will enable a whole new type of application," explained Peter Dunkley, Technical Director at Acision, in this SYS-CON.tv interview at @ThingsExpo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
Apr. 26, 2015 05:00 PM EDT Reads: 4,492
Health care systems across the globe are under enormous strain, as facilities reach capacity and costs continue to rise. M2M and the Internet of Things have the potential to transform the industry through connected health solutions that can make care more efficient while reducing costs. In fact, Vodafone's annual M2M Barometer Report forecasts M2M applications rising to 57 percent in health care and life sciences by 2016. Lively is one of Vodafone's health care partners, whose solutions enable older adults to live independent lives while staying connected to loved ones. M2M will continue to gr...
Apr. 26, 2015 03:00 PM EDT Reads: 1,535
SYS-CON Media announced today that @WebRTCSummit Blog, the largest WebRTC resource in the world, has been launched. @WebRTCSummit Blog offers top articles, news stories, and blog posts from the world's well-known experts and guarantees better exposure for its authors than any other publication. @WebRTCSummit Blog can be bookmarked ▸ Here @WebRTCSummit conference site can be bookmarked ▸ Here
Apr. 26, 2015 03:00 PM EDT Reads: 2,515
SYS-CON Events announced today that Ciqada will exhibit at SYS-CON's @ThingsExpo, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. Ciqada™ makes it easy to connect your products to the Internet. By integrating key components - hardware, servers, dashboards, and mobile apps - into an easy-to-use, configurable system, your products can quickly and securely join the internet of things. With remote monitoring, control, and alert messaging capability, you will meet your customers' needs of tomorrow - today! Ciqada. Let your products take flight. For more inform...
Apr. 26, 2015 03:00 PM EDT Reads: 1,934
SYS-CON Events announced today that GENBAND, a leading developer of real time communications software solutions, has been named “Silver Sponsor” of SYS-CON's WebRTC Summit, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. The GENBAND team will be on hand to demonstrate their newest product, Kandy. Kandy is a communications Platform-as-a-Service (PaaS) that enables companies to seamlessly integrate more human communications into their Web and mobile applications - creating more engaging experiences for their customers and boosting collaboration and productiv...
Apr. 26, 2015 02:00 PM EDT Reads: 2,752
Dave will share his insights on how Internet of Things for Enterprises are transforming and making more productive and efficient operations and maintenance (O&M) procedures in the cleantech industry and beyond. Speaker Bio: Dave Landa is chief operating officer of Cybozu Corp (kintone US). Based in the San Francisco Bay Area, Dave has been on the forefront of the Cloud revolution driving strategic business development on the executive teams of multiple leading Software as a Services (SaaS) application providers dating back to 2004. Cybozu's kintone.com is a leading global BYOA (Build Your O...
Apr. 26, 2015 02:00 PM EDT Reads: 1,579
The best mobile applications are augmented by dedicated servers, the Internet and Cloud services. Mobile developers should focus on one thing: writing the next socially disruptive viral app. Thanks to the cloud, they can focus on the overall solution, not the underlying plumbing. From iOS to Android and Windows, developers can leverage cloud services to create a common cross-platform backend to persist user settings, app data, broadcast notifications, run jobs, etc. This session provides a high level technical overview of many cloud services available to mobile app developers, includi...
Apr. 26, 2015 02:00 PM EDT Reads: 1,429
SYS-CON Events announced today that BroadSoft, the leading global provider of Unified Communications and Collaboration (UCC) services to operators worldwide, has been named “Gold Sponsor” of SYS-CON's WebRTC Summit, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. BroadSoft is the leading provider of software and services that enable mobile, fixed-line and cable service providers to offer Unified Communications over their Internet Protocol networks. The Company’s core communications platform enables the delivery of a range of enterprise and consumer calling...
Apr. 26, 2015 01:30 PM EDT Reads: 2,562
While not quite mainstream yet, WebRTC is starting to gain ground with Carriers, Enterprises and Independent Software Vendors (ISV’s) alike. WebRTC makes it easy for developers to add audio and video communications into their applications by using Web browsers as their platform. But like any market, every customer engagement has unique requirements, as well as constraints. And of course, one size does not fit all. In her session at WebRTC Summit, Dr. Natasha Tamaskar, Vice President, Head of Cloud and Mobile Strategy at GENBAND, will explore what is needed to take a real time communications ...
Apr. 26, 2015 01:00 PM EDT Reads: 1,801
The 17th International Cloud Expo has announced that its Call for Papers is open. 17th International Cloud Expo, to be held November 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA, brings together Cloud Computing, APM, APIs, Microservices, Security, Big Data, Internet of Things, DevOps and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding business opportunity. Submit your speaking proposal today!
Apr. 26, 2015 12:00 PM EDT Reads: 2,329
WebRTC is an up-and-coming standard that enables real-time voice and video to be directly embedded into browsers making the browser a primary user interface for communications and collaboration. WebRTC runs in a number of browsers today and is currently supported in over a billion installed browsers globally, across a range of platform OS and devices. Today, organizations that choose to deploy WebRTC applications and use a host machine that supports audio through USB or Bluetooth can use Plantronics products to connect and transit or receive the audio associated with the WebRTC session.
Apr. 26, 2015 12:00 PM EDT Reads: 1,913
What exactly is a cognitive application? In her session at 16th Cloud Expo, Ashley Hathaway, Product Manager at IBM Watson, will look at the services being offered by the IBM Watson Developer Cloud and what that means for developers and Big Data. She'll explore how IBM Watson and its partnerships will continue to grow and help define what it means to be a cognitive service, as well as take a look at the offerings on Bluemix. She will also check out how Watson and the Alchemy API team up to offer disruptive APIs to developers.
Apr. 26, 2015 12:00 PM EDT Reads: 1,869
The IoT Bootcamp is coming to Cloud Expo | @ThingsExpo on June 9-10 at the Javits Center in New York. Instructor. Registration is now available at http://iotbootcamp.sys-con.com/ Instructor Janakiram MSV previously taught the famously successful Multi-Cloud Bootcamp at Cloud Expo | @ThingsExpo in November in Santa Clara. Now he is expanding the focus to Janakiram is the founder and CTO of Get Cloud Ready Consulting, a niche Cloud Migration and Cloud Operations firm that recently got acquired by Aditi Technologies. He is a Microsoft Regional Director for Hyderabad, India, and one of the f...
Apr. 26, 2015 12:00 PM EDT Reads: 1,678