Is Tencent Past the Worst as Government Sends Easing Signals?

After reporting disappointing quarterly results, gaming giant could get help as government signals plans to relax recent regulatory wave Key Takeaways: Tencent reported its first quarter profit fell 22.9%, but the market believes the worst is past after Beijing’s recent end to its freeze on new game approvals The company believes a recent wave of government regulation could soon ease, but time will be needed for that to translate to higher revenues By Fai Pui A recent article headlined “No one cares about the economy except Hu Xijin” went viral…

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FAST NEWS: So-Young Feels Pain from Pandemic Disruptions

The latest: Cosmetic surgery app operator So-Young International Inc. (SY.US) said its revenue fell 16.5% year-on-year in the first quarter to 300 million yuan ($45 million), while its net loss widened to 66.8 million yuan from 45 million yuan over the same period, according to its latest results published on Monday. Looking Up: The number of paying medical service providers on So-Young’s platform rose 11.7% to 5,254 in the first quarter from 4,702 a year earlier. Take Note: Most of the company’s other indicators were down for the quarter, including a nearly 50% decline in…

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FAST NEWS: Junshi Biosciences Oral Covid Drug Wraps Up Trials, to Seek Sales Approval

The latest: Drug developer Shanghai Junshi Biosciences Co. Ltd. (1877.HK; 688180.SH) announced late Monday that VV116, an oral drug developed by its JunTop Biosciences unit for the early treatment of Covid-19, has reached the main endpoint of clinical studies. Looking up: The company said it will communicate with China’s National Medical Products Administration (NMPA) on submitting a new drug application in the near future. If approved, sales of the drug could provide a major new revenue source. Take Note: The NMPA has approved the import of the oral Covid drug Paxlovid from Pfizer (PFE.US), which has been conditionally included on the National Reimbursement…

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Vipshop Takes Defensive Posture as Headwinds Mount

Discount e-commerce veteran has launched a $1 billion share buyback and slashed its marketing spending as it forecast its revenue would decline up to 25% in the second quarter Key Takeaways: Vipshop’s revenue fell 11% in the first quarter, and it forecast the decline would accelerate to as much as 25% in the current quarter Company last month authorized a new $1 billion share repurchase program after buying back $500 million of shares over the previous year By Doug Young Prepare for some turbulence. That’s the message coming from discount…

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