Thu, Mar. 19, 1:50 PM
- In addition to missing Q4 estimates, Sungy Mobile (GOMO -22.3%) has guided for Q1 revenue of RMB42M-RMB46M ($6.7M-$7.4M), well below a sole analyst estimate of $12.2M and down sharply from Q1 2014's $15.6M.
- CEO Yuqiang Deng tries to offer a positive take on the numbers: He notes MAUs for Sungy's GO mobile apps rose to 111M in Q4 (from 97M in Q3 and 94M in Q4 2013), and insists the revenue weakness is due to a "temporarily shift in focus from monetization to marketing and product development." Sungy's Android utility and launcher apps face plenty of competition.
- Mobile app product/service revenue fell to RMB36.4M ($5.9M) from RMB50.9M a year ago, mobile reading services revenue to RMB18.6M ($3M) from RMB26.3M, and mobile portal marketing service revenue to RMB13.6M ($2.2M) from RMB14.5M.
- Gross margin fell to 59.3% from Q3's 61.2% and Q4 2013's 75.1% - distribution fees, content acquisition costs, and amortization costs related to the GetJar acquisition are blamed. Contributing to the EPS miss: While revenue fell 26% Y/Y, GAAP operating expenses rose 133% Y/Y to RMB123.1M ($19.8M).
- Shares have plunged to new post-IPO lows.
- Q4 results, PR
Wed, Mar. 18, 4:12 PM
Tue, Mar. 17, 5:35 PM
Nov. 24, 2014, 7:06 PM
Nov. 24, 2014, 4:03 PM
Aug. 27, 2014, 4:34 PM
- Along with its Q2 results, Sungy Mobile (NASDAQ:GOMO) announces CFO Winston Li has resigned for "personal reasons." A search has begun for a replacement.
- Q3 guidance is for revenue of RMB90M-RMB95M ($14.7M-$15.5M), below an $18.3M consensus.
- Mobile app revenue +43.5% Y/Y to $8.5M; mobile reading services -28% to $2.9M; mobile portal marketing services +8% to $2.3M; everything else +205% to $2.4M.
- Gross margin fell 400 bps Y/Y to 65.9%, thanks partly to a mix shift away from mobile reading. Opex +96.6% to $9.9M (far above rev. growth of 25..2%).
- Cumulative GO app downloads rose by 35M Q/Q to 436M. Average GO monthly active users (MAUs) totaled 96M, up from 81M a year ago but down from 100M in Q1. Paid GO downloads were flat Q/Q and Y/Y at 500K.
- Sungy says it plans to spend more on marketing to grow "brand awareness and user engagement." The company insists it's making "tremendous strides in the analysis of user behavior, on-going customization and localization," and plans to continue diversifying its app portfolio.
- Q2 results, PR
Aug. 27, 2014, 4:22 PM
May 27, 2014, 5:01 PM
- While Sungy Mobile's (GOMO) Q1 revenue beat consensus by $300K, EPS missed by $0.04. Also, the company is guiding for Q2 revenue of RMB100M-RMB106M ($16M-$17M), below an $18M consensus.
- "Accumulated" GO app users rose to 401M at the end of Q1 from 364M at the end of Q4, but paid app downloads fell by 100K to 500K. Monthly active users rose by 6M to 100M.
- Gross margin was 67.2%, down from 75.1% in Q4 and up from 65.6% a year ago. Opex rose 107% Y/Y (exceeding rev. growth of 63%) to $8.7M.
- Q1 results, PR
May 27, 2014, 4:14 PM
May 7, 2014, 10:50 AM
- Has irrational exuberance given way to panic selling? Internet stocks are off again today, as the Street registers disappointment with earnings reports from AOL, Groupon, Zulily, SouFun, 500.com, and King.
- Yahoo (YHOO -6.2%) has fallen below $35 as the Street digests Alibaba's IPO filing. Twitter (TWTR -4.4%), crushed yesterday following its lockup expiration, briefly cracked $30 before rebounding a bit.
- Other decliners: QIHU -8.9%. BITA -7.2%. GOMO -7%. TRLA -5.2%. MELI -4.7%. ANGI -4.6%. Z -4%. YOKU -5.5%. CTRP -5.3%. WUBA -5.3%. JOBS -5.1%. GRUB -4%.
- Internet/social media ETFs: PNQI, SOCL, FDN
Mar. 25, 2014, 4:20 PM
- Sungy Mobile's (GOMO) Q4 revenue beat consensus by $500K, and its EPS by $0.11. The company expects Q1 revenue of RMB92M-RMB95M ($14.8M-$15.3M); the sole Q1 sell-side revenue estimate is at $14.9M.
- Q4 gross margin was 75.1%, up from 65.3% a year ago. While revenue rose 63.5%, opex rose 82.1% Y/Y to $8.7M.
- Mobile app product/services sales were Sungy's main growth driver, rising 230.7% Y/Y to $8.4M. Mobile reading services +15.9% to $4.3M, mobile portal ads -12% to $2.4M. A 407.6% Y/Y increase in ad sales for Sungy's GO apps fueled mobile app product growth.
- Total GO app users rose 76% Y/Y to 364M, but paid downloads only rose 18.2% to 600K. GO monthly active users rose 44.6% to 94M.
- Q4 results, PR
Mar. 25, 2014, 4:14 PM
Mar. 25, 2014, 12:10 AM
Mar. 24, 2014, 5:35 PM
Feb. 28, 2014, 2:16 PM
- Over the last 48 hours, Baidu, Dangdang, Youku, and 58.com have all posted Q4 beats and provided strong Q1 guidance. The numbers are giving a lift to a slew of Chinese Internet stocks.
- Notable gainers: SOHU +6.5%. PWRD +13.2%. VIPS +4.3%. YY +2.2%. RENN +3.8%. GOMO +5.5%.
- In Sohu's case, the rumor mill might also be helping out. A source tells Marbridge Consulting Sohu CEO Charles Zhang and Tencent (TCEHY +1.2%) CEO Pony Ma have talked about merging their companies' online video units. Both Sohu and Tencent trail market leaders Youku and Baidu in China's burgeoning online video market.
- Dangdang (DANG +8.6%) is adding to yesterday's big post-earnings gains after Oppenheimer hiked its PT to $15. The firm likes Dangdang's improved efficiency and partnerships with e-commerce rivals (inc. Alibaba's Tmall), and the fact mobile accounted for 13% of Q4 orders.
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