Communication Author: EqualOcean News, Jingming Yuan Editor: Jiahao Yang, Yuzhe Zhang May 11, 2021 07:59 AM (GMT+8)

On May 10, Weibo released its latest financial report for 1Q 2021, along with solid revenue improvement, escalating marketing expenses and positive future expectations.

micro-blog

  • Revenue achieved USD 459 million, beating the market expectation of USD 432 million. 

  • Adjusted earnings per share reached 57 cents, higher than the market forecast of 48 cents.

  • Revenue of microblog advertising and marketing leaped by 42% to USD 390 million due to strong growth on the basis of the economic downturn last year.

  • Revenue of value-added services was USD 68.9 million, with a growth of 44% due to the revenue contribution of interactive entertainment company that was acquired and consolidated in November 2020.

  • Operating profit was USD 108.6 million, up 87% over the same period last year. 

  • Operating profit margin ended up at 24%, with a year-on-year growth of 33%.

  • Non-US GAAP operating profit soared 86%, reaching USD 137.5 million.

  • Non-US GAAP operating profit margin improved by 30% to 30%.

  • The number of monthly active users in March 2021 was 530 million, a decrease of 4% over 1Q 2020 and an increase of 2% over 4Q 2020, about 94% of which are mobile users.

  • The number and activity of users maintained a steady growth due to the improvement of microblog's access to customers through channels, as well as the continuous reinforcement of microblog's advantages in hot spots and social networking.

  • Cost and expense of microblogs in the first quarter totaled USD 350.3 million, jumping 32% year-on-year due to the climb of marketing expenses and personnel-related costs. 

  • Non-operating loss in the first quarter was USD 44.7 million, including a net loss of $58.2 million on investment sales and changes in fair value, which is not included in non operating profit and loss calculated in accordance with non-US GAAP, as well as net interest and other income of $13.5 million. 

  • Net revenue and the pre-tax earnings are expected to grow by 25% to 30% year-on-year in 2Q 2021 over the last year, which reflects the current preliminary judgment of microblogging that might be adjusted in the future.

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