Event
On August 11, 2021, the company released the interim performance report of 2021. In the first half of 2021, the company realized operating income of 803 million yuan, down 2.5% from the same period last year. Of this total, revenue from subscription solutions was 508 million yuan, up 6.8% from the same period last year. Revenue from merchant solutions was 289 million yuan, down 15.2% from the same period last year. Gross profit increased 1.2% to 487 million yuan, with a gross profit margin of 60.7%. The net loss was 199 million yuan in the first half of the year and 120 million yuan in the same period in 2020.
Brief comment
Kuaishou Technology channel GMV continued to decline, store SaaS business GMV growth doubled in the first half of 2021, the company achieved GMV481 billion yuan, an increase of 4% over the same period last year, of which GMV245 reached 100 million yuan in the second quarter, down 3.5% from the same period last year. In the first half of 2021, GMV from Kuaishou Technology channels continued to decline, accounting for 20% of the total. For the whole year, it is expected to further reduce to 10% Rue 15%. GMV from other channels maintained steady growth, an increase of 34% over the same period last year, and is expected to maintain a growth rate close to that of the first half of the year. Among them, GMV from store SaaS solutions doubled in the first half of the year from the same period last year to nearly 12 billion yuan, accounting for 25% of the total.
The structure of new and existing users continued to be optimized. The proportion of SaaS users in stores increased by 19054 in the first half of 2021, down 41% from the same period last year. Among them, 11093 were new payers in the second quarter, down 40% from the same period last year. 32% of the new payers in the first half were paid merchants for SaaS products in stores, compared with 10% in the same period last year.
At the end of June 2021, the number of inventory payment merchants was 87457, down 12% from the same period last year. The number of inventory payment merchants for SaaS products in stores nearly doubled compared with the same period last year, and continued to grow month-on-month, accounting for 18% of the total, compared with 8% in the same period last year. In the first half of 2021, the company's ACV increased by 8% to 12811 yuan compared with the same period last year, and ARPU increased by 9.3% to 2868 yuan in the second quarter.
In the first half of 2021, the company achieved revenue of 803 million yuan, down 2.5% from the same period last year, of which revenue in the second quarter was 386 million yuan, down 14.4% from the same period last year. In the first half of the year, the company's revenue from subscription Solutions (SaaS) reached 508 million yuan, an increase of 6.8% over the same period last year, of which revenue reached 251 million yuan in the second quarter, down 4.3% from the same period last year, mainly affected by the decrease in the number of SaaS stock-paying merchants. In the first half of the year, revenue from the company's merchant solutions (transaction fees, advertising revenue and extended services such as like guarantee, like distribution, and like customers) reached 289 million yuan, down 15.2% from the same period last year, mainly due to the decline in GMV using like payments. excluding transaction fees, the revenue from merchant solutions was 133 million yuan in the second quarter, down 28.7% from the same period last year.
The gross profit margin increased slightly and the expense rate increased significantly during the period.
In the first half of 2021, the company achieved a gross profit margin of 60.7%, compared with 58.4% in the same period last year, of which the gross profit margin of subscription solutions with relatively high revenue was 75.3%, which was basically the same as that of the same period last year (75%), and the gross profit margin of merchant solutions was 36.7%. It was 35.6% in the same period last year. During the first half of the year, the expense rate of the company rose significantly, with sales expense rate, management expense rate and R & D expense rate being 54.6%, 18.5% and 36.9% respectively, compared with 41.3%, 12.7% and 24.6% in the same period last year, mainly due to the expansion of the sales team and the growth of labor expenses, the establishment of regional operations centers, the intermediary costs of listing and privatization, and so on. Affected by the increase in expense rate over the period, the company's net loss expanded to 199 million yuan in the first half of the year.
Speed up the transformation to a new retail solution service provider and promote the customization strategy. In May 2021, Youzan officially launched a new retail business brand. Youzanxin Retail integrates products and solutions such as Youzan Retail, Youzan chain, Youzan Enterprise Micro Assistant, Youzan Shopping Assistant, Youzan CRM, etc., with global marketing, shopping guide distribution and member operation as the three major growth engines. Help merchants to bring global performance growth, effective customer growth and customer lifecycle value growth, and strengthen global marketing, private operations, transaction transformation, organizational iteration four major capabilities. In June 2021, at the MENLO 2021 meeting, Zanxin Retail officially released the K100 strategic cooperation plan, which provides omni-channel digital system solutions for large brands and retailers through the customization capability of Zanyun PaaS platform. Eleven large retail groups, including Aokang, Aikang Guobin, Beinmei, Dex, Urban Beauty, Hengan Group, Luzhou laojiao, NONGFU SPRING CO., LTD., Shuanghui, Samsonite, Wenfeng Group, etc., jointly launched K100 strategic cooperation with Youzanxin Retail on the site. Zanda's customization strategy is making steady progress.
Risk hint
The number of new users is less than expected, the user turnover rate is higher than expected, the SaaS business development of stores is not as expected, and the progress of science and technology transition is not as expected. Tencent and BABA open ecosystems that affect the development of Wechat ecological private domain e-commerce.