Aauto Quicker announced the third quarter report card: the domestic business was profitable for two consecutive quarters, and the monthly active users exceeded 620 million.

On November 22nd, Aauto Quicker Science and Technology released its results for the third quarter of 2022, and its total revenue increased by 12.9% year-on-year to 23.1 billion yuan, which was higher than the consensus forecast of 22.56 billion yuan by Bloomberg. Thanks to the steady growth of revenue, the optimization of gross profit margin and the continuous improvement of users’ acquisition efficiency, Aauto Quicker’s domestic business achieved single-quarter profit for two consecutive quarters. In the third quarter, the domestic operating profit exceeded 375 million yuan, a nearly three-fold increase from the previous quarter.

Through refined operation management strategy and abundant content supply, the user scale of Aauto Quicker applications continued to grow in the third quarter. DAU increased by 13.4% year-on-year to 363 million, and MAU increased by 9.3% year-on-year to 626 million, both of which exceeded historical highs. With the strengthening of social interaction and trust atmosphere on the platform, the number of users who care about each other reached 23.5 billion pairs, a substantial increase of 63.1% year-on-year.

Cheng Yixiao, founder and CEO of Aauto Quicker Technology, said, "Looking ahead, we will further promote the integration of users, content and commercialization ecology, and create more value for users, content creators, advertisers and businesses. Relying on the strong carrying capacity of short video+live broadcast, we will continue to innovate, create new scenes, new opportunities and new models, promote the integration of digital and real, and strive to create long-term value for shareholders while bringing social and economic benefits. "

The average DAU in the third quarter reached 363 million, a record high.

For content-based platforms, summer vacation is usually a critical period for customer acquisition and growth. In the third quarter, Aauto Quicker seized the peak season of users’ growth, and continuously enriched users’ consumption content and experience through refined operation management and efficient customer acquisition means and continuous iterative optimization of algorithm model.

The data shows that the average DAU (daily active users) and MAU (monthly active users) in Aauto Quicker both broke through historical highs: the domestic average DAU increased by 13.4% year-on-year to 363 million, and the MAU increased by 9.3% year-on-year to 626 million. The number of monthly users increased by 39 million in a single quarter, which also set the biggest quarterly net increase this year. With the continuous strengthening of social interaction and trust atmosphere on the platform, the number of users who care about each other reached 23.5 billion pairs, a substantial increase of 63.1% year-on-year.

In terms of content ecology, Aauto Quicker continues to expand diversified short video and live content supply. In this summer’s summer file, 22 of Aauto Quicker’s top-quality short plays have achieved a broadcast volume of over 100 million, and such explosive high-quality short plays as Family Realistic Works "Parenting Battle", "Jingweier" sitcom "Hutonger" and doctor’s professional short play "Benevolence" have emerged, achieving new breakthroughs in theme expansion and marketing play. In terms of homemade variety shows, "Let’s go! The launch of word-of-mouth programs such as "Mom" and "Sounds like Summer Flowers" has created a new operation mode of "long video+short video+live broadcast", bringing users a brand-new content consumption and interactive experience. In the sports content section, in September, the village BA of "Country Basketball Champions Cup" jointly created by Aauto Quicker and NBA started in full swing, with a total audience of 120 million, further promoting the popularization and deepening of basketball in rural China.

In overseas markets, in the third quarter, the usage time of single DAU users remained at a high level of over 60 minutes. On the basis of investment control and ROI-driven growth, overseas users maintained efficient and healthy growth. Aauto Quicker said that Kwai’s differentiated content strategy has achieved initial results in the creation of users’ minds. "We hope to further enrich the content ecology by establishing a wider category of content, and establish a positive circulation mechanism for content production, consumption and creators’ realization."

Domestic business achieved profit for two consecutive quarters, with Q3 revenue of 23.1 billion yuan.

While achieving high-quality growth, Aauto Quicker has further consolidated its liquidity.

After achieving the single-season profit target of domestic business ahead of schedule in the second quarter of this year, the operating profit of domestic business Q3 exceeded 375 million yuan, an increase of nearly three times from the previous month. In the third quarter, Aauto Quicker continued to deepen the construction of business ecology, and its revenue performance was steady. The total revenue increased by 12.9% year-on-year to 23.1 billion yuan, which was higher than the consensus forecast of 22.56 billion yuan by Bloomberg. Among them, online marketing services (advertising), live broadcast and other services (including e-commerce) accounted for 50.1%, 38.7% and 11.2% respectively.

Online marketing service revenue reached 11.6 billion yuan, up 6.2% year-on-year, which is the highest single-season revenue since this year. In the third quarter, the number of monthly active advertisers in Aauto Quicker increased by more than 65% year-on-year through multi-channel introduction of advertisers and policy support. In terms of brand advertising, relying on customized investment projects, we will explore a brand marketing model that fits advertisers’ individual needs and Aauto Quicker’s content ecology, dig deep into the marketing value of talent, and match the traffic advantage behind talent with the brand’s demand for traffic more efficiently. At the same time, Aauto Quicker continues to strengthen the construction of advertising infrastructure, subdivide and focus on vertical industries, open up internal and external circulation, improve the core competitiveness of products, further tap users’ commercial interests, and accelerate the establishment of a positive cycle of user content ecology and commercial ecology.

E-commerce business achieved the performance of exceeding the industry growth level in Q3, and continued to gain market share. In the third quarter, Aauto Quicker e-commerce GMV increased by 26.6% year-on-year to 222.5 billion yuan.

Relying on the advantages of flow and efficiency, as well as the continuous improvement of investment policies, Aauto Quicker continues to attract more businesses to settle in, and the number of newly opened businesses has increased by nearly 80% year-on-year. At the same time, more efficient traffic distribution and more accurate matching strategy of people and goods further improved the conversion efficiency, and the number of new mobile merchants in Q3 increased by high digits year-on-year.

By expanding more industries to bring good goods and brands, and improving infrastructure construction such as logistics, Aauto Quicker will further enhance the user’s buying experience. In addition to the live broadcast scene, the penetration rate and conversion rate of e-commerce in Aauto Quicker continued to increase by expanding short videos and planting grass. The monthly active buyers of e-commerce exceeded 100 million, and the repurchase rate of users increased by about 1.1 percentage points year-on-year. From the analysis point of view, from the transaction between live broadcast rooms to more shopping contacts, short video planting grass can stimulate the mind and play a role in satisfying the "uncertain demand" of shopping; Strengthening store management can meet the "definite demand" of users and give businesses a longer-term management matrix.

In the overseas business segment, Q3′ s total revenue was 189 million, up about 83% from the previous month and more than 8 times year-on-year. In terms of liquidity, overseas commercialization departments continue to optimize their product and service capabilities, and online marketing service revenue has grown rapidly; By improving the ecological construction, deepening the cooperation with guilds, the live broadcast department can improve the content quality and enrich the supply at the same time, and combine the operation activities in different regions to promote the continuous growth of live broadcast revenue. In the financial report, Aauto Quicker pointed out that we should strive to improve the operational efficiency of overseas business and gradually establish the profitability of overseas business through the simultaneous way of increasing revenue and reducing expenditure.

In the third quarter, the overall adjusted net loss of Aauto Quicker was 670 million, a decrease of 640 million compared with the previous quarter, and the adjusted net loss rate narrowed to 2.9%, an improvement of nearly 20 percentage points year-on-year. Sales and marketing expenses decreased from 11 billion yuan in the same period last year to 9.1 billion yuan, accounting for 53.8% of revenue to 39.5%. After listing, the ratio was lower than 40% for the first time. While the ratio of sales expenses to revenue decreased, the overall traffic of Aauto Quicker still maintained rapid growth.

Deepening live broadcast+ecological scene to build inclusive digital community

As a digital community with inclusive background, high interaction and strong participation, Aauto Quicker is becoming the entrance of digital life for ordinary people. The content community built by short video and live broadcast connects all walks of life to meet the diverse needs of users such as learning, entertainment, shopping, local life and employment, and is deeply integrated with all walks of life.

In the third quarter, Aauto Quicker continued to deepen the extension of the ecological scene of live broadcast+,and provided users with richer live broadcast content through products such as quick employment, ideal home and quick marriage, so as to meet the service needs of users in more scenarios.

Take the quick employment business as an example. In the "Golden September and Silver 10" recruitment season, Aauto Quicker successively launched special recruitment sessions for service industry and manufacturing industry, which promoted blue-collar employment in the form of "live broadcast with posts", attracted nearly 70 high-quality enterprises to participate, and helped service industry and manufacturing enterprises solve the recruitment problems. In the field of real estate, Aauto Quicker Ideals has gradually formed a new real estate brokerage model of "real estate anchor promoting new house transactions", and has opened up a full-link process from real estate live broadcast to customer acquisition, user clue collection to taking a look at the transaction of real estate and commission sharing, and tapped and supported a group of high-quality creators in the real estate field through the "Wheat Plan".

According to the data disclosed by Aauto Quicker at the Photosynthesis Conference, in June 2022, the number of ten thousand powder creators on the platform exceeded 2 million. Among the creators who released their works in Aauto Quicker in 2016, the proportion of ten thousand powder creators and one hundred thousand powder creators who are still actively publishing their works today exceeds 70% and 80%, respectively, and the active proportion of millions of powder creators reaches 94%. From "continuous creation" to "continuous management", Aauto Quicker has become a platform for more and more creators to realize their value, which has also injected a steady stream of vitality into the prosperity of community ecology in Aauto Quicker.