FAST NEWS: China Renaissance Swings Into Red Despite Steep Cost Cuts

The latest: Financial services firm China Renaissance Holdings Ltd. (1911.HK) on Tuesday reported its revenue dropped 42.4% to 604 million yuan ($87.5 million) in the first half of the year,  as it swung into the red with a net loss of 154 million yuan. Looking up: The company’s operating expenses decreased 44.4% to 586 million yuan in the period, outpacing its revenue decline, thanks to a roughly 50% cut in its compensation and benefits expenses to 380 million yuan and lower financing costs. Take Note: China Renaissance said the first half of the year was a tough…

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FAST NEWS: Zhihu Posts Strong Paid User Growth in Second Quarter, But Ad Revenue Sags

The latest: Online Q&A site Zhihu Inc. (ZH.US; 2390.HK) on Tuesday reported its revenue rose 31% in the second quarter to 836 million yuan ($121 million), while its net loss widened to 487 million yuan from 321 million yuan a year earlier. Looking Up: The company’s average monthly paying members grew 78.3% year-on-year to 8.5 million during the quarter, fueling a 75.1% jump in revenue from paid members to 271.2 million yuan. That shows the company is becoming more effective at monetizing its user base. Take Note: The company’s advertising…

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ATRenew Sees Better Times Ahead in Evolving Role as ‘Recycler for All Seasons’

Smartphone recycler’s revenue growth slowed sharply to 15% in second quarter, but it forecast the rate would double in the current quarter as Covid disruptions fade Key Takeaways: ATRenew forecast 30% year-on-year revenue growth in the current quarter, as its business starts to rebound from a sharp slowdown caused by China’s strict Covid control measures Company detailed promising early results for its move into luxury goods and photography equipment recycling, and unveiled its first move abroad with a Japanese tie-up By Doug Young Smartphone recycler ATRenew Inc. (RERE.US) is dipping…

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KE Holdings Deconstructed by Slumping Real Estate Market

The residential property broker’s revenue tumbled by more than 40% in the first half of the year, sending it into the red Key Takeaways: KE Holdings swung to the red in the first half of the year on the back of a slumping Chinese real estate market The company is trying to offset anemic property trading income with new businesses that are growing but still account for just a small share of revenue By Tina Yip The Chinese real estate market has moved into the doldrums, the result of government…

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FAST NEWS: Kintor Pharma Strapped for Cash as Loss Widens

The latest: Kintor Pharmaceutical Ltd. (9939.HK) announced on Wednesday it did not record any revenue in the first half of the year, as its net loss widened to 518 million yuan ($75 million) from 326 million yuan in the same period last year. Looking up: The company said it does not anticipate any significant deviations from its drug development and commercialization plans, even though the global pandemic has had an impact on its ongoing clinical trials. It said development plans for its Covid oral drug Pruxelutamide have taken into account the impact…

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TuSimple Moves Closer to China Exit Ramp as Questions Loom on U.S. Commercialization

The autonomous trucking company has reportedly received a non-binding deal to sell its Asia operations to Geely, China’s largest private carmaker Key Takeaways: China’s largest private auto group may acquire TuSimple’s Asia-Pacific business, allowing it to cut its China ties and alleviate U.S. national security concerns The company’s commercialization timeline has been thrown into doubt following an April accident that raised safety concerns By Trevor Mo Autonomous trucking startup TuSimple Holdings Inc. (TSP.US) may have finally found a suitor for its China-based unit, five months after reports emerged that it…

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FAST NEWS: Chaoju Eye Care’s Growth Slows on Covid Disruptions

The latest: Eye clinic operator Chaoju Eye Care Holdings Ltd. (2219.HK) on Monday reported its revenue grew 6.5% to 532.7 million yuan ($77.1 million) in the first half of the year, while its net profit rose 29.4% to 101.8 million yuan. Looking Up: The company posted nearly 10% revenue growth for its higher-end consumer ophthalmic services, outpacing its overall growth. As a result, consumer ophthalmic services accounted for 54.6% of its total revenue in the latest reporting period, up from 53.3% a year earlier.   Take Note: Despite the strong net…

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MingMed Biotech Joins Queue of Revenue-less Drug Startups Seeking IPO Cash

It has seven drugs under development but none on the market yet. But one thing MingMed Biotech has plenty of is losses Key Takeaways: With no drug revenues and growing R&D costs, MingMed Biotechnology plans to feed its cash-burning machine with a Hong Kong IPO Company has seven drugs in development, including six in the clinical stages By Ellie Si Despite nary a penny to their top line, a steady string of money-hemorrhaging Chinese innovative drug makers have lined up to list in Hong Kong since the city permitted the…

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FAST NEWS: Koolearn’s Loss Narrows as E-commerce Starts to Contribute

The latest: Koolearn Technology Holding Ltd. (1797.HK) announced on Friday its revenue dropped 36.7% to 899 million yuan ($130 million) in its fiscal year ended May 31, with its net loss narrowing 67.8% to 534 million yuan. Looking up: In the wake of a government crackdown, the company terminated its K-12 education-related business at the end of last year and focused on providing college test and overseas test preparation courses. Revenue from this business decreased by 5.7% year-over-year to 518 million yuan, a relatively modest decline compared to the much steeper fall…

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China, U.S. Stock Regulators Hope New Agreement Will Succeed Where Others Haven’t

New information-sharing deal will give U.S. accounting regulator access to audit records for New York-listed Chinese firms. But will it really get what it wants? Key Takeaways: Having reached a tentative deal that could remove the delisting threat for U.S.-traded Chinese stocks, China and the U.S. will conduct a trial period through the end of this year Different interpretations on reciprocity and cooperation could become stumbling blocks that ultimately derail the deal – following the failure of two previous agreements By Doug Young Will the third time be the charm?…

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