FAST NEWS: Zhihu Named for U.S. Delisting Risk on Eve of Hong Kong Debut

The latest: U.S.-listed online Q&A platform Zhihu Inc. (ZH.US; 2390.HK) on Thursday was placed on a growing list of Chinese companies that could be forcibly delisted for failing to comply with U.S. law, along with 16 other Chinese companies including U.S.- and Hong Kong-listed Li Auto Inc. (LI.US; 2015.HK). The U.S. Securities and Exchange Commission (SEC) took the action on the eve of the trading debut for a second listing of Zhihu shares in Hong Kong. Looking up: Zhihu is making the second primary listing in Hong Kong alongside its…

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FAST NEWS: Newborn Town’s Social Business Revenue Up 65% in First Quarter

The latest: Social networking platform operator Newborn Town Inc. (9911.HK) said late Tuesday its social networking business revenue is expected to reach approximately 625 million yuan ($98 million) to 650 million yuan in the first quarter of 2022, representing an increase of approximately 65% from the corresponding period of 2021. Looking up: The group’s revenue rose mainly due to gains in developed markets such as Europe, the U.S., Japan and South Korea. During the latest three-month period, cumulative downloads for its social apps reached 386 million, representing an increase of approximately 12%…

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FAST NEWS: Gaming Stocks Jump After China Ends Licensing Freeze

The latest: After an eight-month halt in new video game approvals, China’s National Press and Publication Administration announced Monday that 45 local games have been approved for new licenses, including 39 mobile games. Looking up: The resumption of game approvals has been eagerly awaited by Chinese video game publishers, which expect that more games will be approved for release in the second half of the year. The new releases will help companies to replace their older titles that are losing popularity. Take Note: Games from companies such as Baidu (BIDU.US;…

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FAST NEWS: CMGE Makes Strong Overseas Gains, But Rising Costs Hit Profits

The latest: Game operator CMGE Technology Group Ltd. (0302.HK) reported last Thursday its revenue last year rose 3.6% to 4 billion yuan ($628 million). But its profit fell 13.9% to 594 million yuan, while its adjusted profit fell by an even larger 21.9% to 630 million yuan. Looking Up: Revenue from the company’s international operations grew strongly to 458 million yuan last year from just 6 million yuan in 2020, as it diversifies beyond its home China market. After the rapid rise, revenue from outside China accounted for 11.6% of…

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FAST NEWS: Weibo Added to U.S. List for Potential Forced Delisting

The latest: Weibo Corp. (WB.US; 9898.HK) was added to a U.S. government list of New York-traded Chinese companies that could face possible delisting for failing to comply with a U.S. law passed in late 2020. The company, considered China’s version of Twitter, joined five others published on an initial list two weeks ago. Looking Up: Weibo’s inclusion on the list didn’t come as a major surprise, as all of the nearly 300 Chinese companies now traded in New York face a similar delisting risk if they fail to comply with…

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FAST NEWS: Fosun Tourism’s Loss Grows as Travel Starts to Recover

The latest: Travel company Fosun Tourism Group (1992.HK), owner of the Club Med resort chain, posted a net loss of 2.71 billion yuan ($433 million) last year, 5.4% more than its 2.57 billion yuan loss in 2020, according to its 2021 results released after market close on Monday. Looking up: The company’s revenue rose 31% for the year to 9.26 billion yuan, mainly benefiting from an increase in property units delivered, resulting in a more than threefold jump in turnover from tourism-related property sales and construction services to 2.14 billion…

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FAST NEWS: DouYu Surges After Reporting Return to Revenue Growth

The latest: Game-centric livestreaming platform DouYu Holdings Ltd. (DOYU.US) reported its revenue rose 2.6% year-on-year to 2.3 billion yuan ($362 million) in the fourth quarter of 2021. Its net loss for the quarter narrowed to 193 million yuan from 229 million yuan a year earlier. Looking Up: The latest report contained DouYu’s first year-on-year revenue gain since 2020. The company’s mobile monthly average users (MAUs) also grew by 7.2% to 62.4 million from 58.2 million a year earlier, an improvement from the 3.9% gain in the third quarter. Take Note:…

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FAST NEWS: Newborn Town Forecasts Big Adjusted Profit Jump, But Investors Unimpressed

The latest: Social networking platform operator Newborn Town Inc. (9911.HK) said on Tuesday morning it expects to report an adjusted net profit of about 300 million yuan ($48.2 million) to 320 million yuan in 2021, nearly double from 2020. Looking up: The company’s revenue also doubled to between 2.3 billion yuan and 2.4 billion yuan last year, benefiting from an increase in its social business subscribers and user value, as well as revenue growth in developed markets. Take Note: Including a one-off share-based compensation expense of 590 million yuan related…

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FAST NEWS: Inke’s Earnings Double on Diversification Strategy

The latest: Inke Ltd. (3700.HK), which operates a social and livestreaming platform, released a positive profit alert on Wednesday evening, estimating its net profit after tax last year was about 400 million yuan ($63.3 million), up 96.9% from 2020. Looking up: The company estimated its revenue last year was between 9 billion yuan and 9.2 billion yuan, up 81.8% to 85.9% from 2020. It said the strong growth was driven by its strategy of developing a matrix of social products to match user needs and expanding its business boundaries through…

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FAST NEWS: Qingci’s Adjusted Profit Doubles on Its Two Strong Games

The latest: Mobile game developer Qingci Games Inc. (6633.HK) said in a profit forecast on Thursday evening that its adjusted net profit for last year jumped between 150% to 165.1% from 2020 to between 415 million yuan ($65.2 million) and 440 million yuan. Looking up: The increase was primarily attributable to its game “The Marvelous Snail,” which continued to record strong growth in 2021 after its launch in June 2020; and the success of “Lantern and Dungeon,” launched in March 2021. Take Note: The company recorded a 745 million yuan loss…

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