Kingsoft Announces 2019 First Quarter Results
2019年5月14日 - 06:17PM
JCN Newswire
Kingsoft Corporation Limited ("Kingsoft" or the "Company"; HKEx
stock code: 03888), a leading Chinese software and Internet service
company, has announced its unaudited quarterly results for the
three months ended 31 March 2019 ("period under review").
During the period under review, the revenue of Kingsoft increased
37% year-over-year to RMB1,726.5 million. Revenue from the online
games, cloud services, and office software and services and others
represented 34%, 49% and 17%, respectively, of total revenue. Gross
profit was RMB657.9 million.
Mr. Jun LEI, Chairman of Kingsoft, commented, "We saw a steady
development momentum across all of our businesses in the first
quarter of 2019. We continued to expand the influence of our JX IP,
and are expecting to launch JX Online III mobile game in the second
quarter. Kingsoft Cloud expanded its cooperation and service
coverage in a continuous and steady way. Meanwhile, we launched WPS
Office 2019 for Linux Professional and WPS Office for Mac in March
and April respectively, and we are constantly looking for new and
creative ways to improve customer experience in smart offices."
Mr. Tao ZOU, Chief Executive Officer of Kingsoft, added, "In the
first quarter, our total revenue increased by 37% year-on-year to
RMB1,726.5 million, which shows a positive start to 2019. Kingsoft
Cloud recorded a year-on-year growth of 100% and office software
and services and other businesses grew 35% year-on-year in the
first quarter."
BUSINESS REVIEW
Online Games
Revenue from the online games business for the first quarter of
2019 reached to RMB599.7million. Kingsoft's mobile games business
achieved a stable performance during the first quarter. Gross
billings of JX Online I mobile game and Eudemons Online grew
steadily quarter-over-quarter, showing their potential for
long-term development. We are going to launch JX Online III mobile
game in the second quarter. The number of bookings has already
reached 12 million and we believe that the release of JX Online III
mobile game will drive the growth of online games business.
Regarding Kingsoft's flagship PC game JX Online III, we have set up
a professional league club in March this year, indicating its
continuous improvement and growing popularity as an e-sports. As a
long-term product, we are focusing on the continuous improvement of
quality and user experience to achieve long-term stability of JX
Online III. Meanwhile, the Company's IP derivative business is
growing steadily. The theatrical play JX Online III: Live Fantasy
will be on a tour across country this spring and summer, constantly
expanding the influence of Kingsoft's classic IP.
Cloud Services
Driven by both the internet market and the enterprise cloud market,
revenue from the cloud services for the first quarter of 2019
achieved robust growth, increasing 100% year-on-year and 16%
quarter-on-quarter to RMB839.3million.
Kingsoft Cloud maintained its leading position in the video sector,
with breakthroughs in enterprise cloud markets such as government,
finance, game, and healthcare, leading to the rapid growth of the
business. In the video sector, leveraging its strong capabilities
and deep understanding of the video industry, Kingsoft Cloud set
out a development strategy incorporating AI and edging cloud
computing technology to provide its customers with a better
experience. Regarding the financial cloud, Kingsoft Cloud continued
to provide diversified services across more business scenarios to
large banks, namely China Construction Bank and China Merchants
Bank. Going forward, Kingsoft Cloud will continue to promote the
all-cloud services, explore integration and innovation with cloud
computing, artificial intelligence and different scenarios,
accelerate digital transformation of enterprises customers, and
strive to meet its customers' needs for optimizing cost and better
video experiences.
Office Software and Services and Others
Revenue from the office software and services and others for the
first quarter of 2019 increased 35% year-on-year to
RMB287.6million. The solid year-on-year growth was mainly due to
the business upgrade for the enterprise market and the rapid growth
from value added services.
WPS Office 2019 for Linux Professional was officially launched in
March 2019, and it is expected to help the Company's expansion in
government enterprises. In April 2019, the WPS Office for Mac was
officially released in Apple's App Store, topping the most
downloaded free app list on its debut day. During the period, WPS
Office continued to push forward its "Cloud+AI" strategy. After
teaming up with Alibaba's DingTalk, WPS provided a customized Web
Office for Baidu Wangpan, to further expand its cloud office
ecosystem. Meanwhile, WPS Office continued to enhance its overall
brand recognition and product appeal. In March 2019, WPS Office
teamed up with the Palace Museum and China's Forbidden City
Association to hold the first Digital Creative Design Competition
for Chinese symbols. WPS Office will continue exploring the
integration of technology innovation and traditional Chinese
culture to build an efficient and creative office experience for
users from home and abroad.
Mr. Jun LEI concluded, "The first quarter demonstrated another good
performance across all business divisions. Today, we are confident
in our strategy, the strength of our business model and our
development going forward. Looking ahead, we intend to bring our
new flagship mobile games to our users in the coming quarters and
continue the strong growth and development of our cloud services
and office software and services businesses. We expect the
performance will further improve in the year upon the debut of our
new JX Online III mobile game. We will continue to drive long-term
growth and are committed to deliver increased value to our
shareholders."
About Kingsoft Corporation Limited
Kingsoft is a leading software and Internet services company based
in China listed on the stock exchange of Hong Kong. It has three
subsidiaries including Seasun, Kingsoft Cloud and Kingsoft Office.
Following the implementation of its "mobile internet
transformation" strategy, Kingsoft has completed the comprehensive
transformation of its overall business and management models and
formed a strategic platform with interactive entertainment and
office software as the pillars and cloud computing as the new
growth driver and source. The Company has over 6,000 staff around
the world. It enjoys a large market share in various countries and
regions both home and abroad. For more information, please visit
http://www.kingsoft.com.
Kingsoft Investor Relations:
Francie Lu Tel: (86) 10 6292 7777 Email: ir@kingsoft.com
For further queries, please contact Hill+Knowlton Strategies
Asia:
Sophie Du Tel: (852) 2894 6264 Email: kingsoft@hkstrategies.com
Source: Kingsoft Corporation Limited
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