36Kr achieves revenue of 20.1 million USD in the half of 2020, Enterprise Value-added Service revenue accounting for more than half
BEIJING, Sept. 10, 2020 /PRNewswire/ -- 36Kr Holdings Inc. (NASDAQ: KRKR) released the second quarter financial report of the fiscal year 2020. The financial report shows that in the second quarter, the total income of 36Kr is 76.7 million RMB (about 10.9 million USD), and the total income of the first half of the year is RMB 142 million RMB (about 20.1 million USD).
The gross profit of 36Kr in the second quarter is 22.2 million RMB (about 3.1 million USD), with a gross profit margin of 29%, an increase of 20.6 percentage from the previous quarter. In the second quarter, 36Kr's operating cash flow turns positive for the first time, and cash reserves continue to increase.
36Kr's page views have achieved growth for 9 consecutive quarters. During the 12-month period ending June 30, 2020, the average monthly PV reached 499 million, demonstrating a strong year-over-year growth of 43.6%.
Notably, 36Kr's live streaming programs and newly produced short-form video content have gained robust traction during the quarter. 36Kr has increased resource investment in video content in the second quarter to enrich the pan-commercial content system. In addition to increasing the output of video content on the 36Kr's site, 36Kr is also operating official video accounts on platforms such as Douyin, Bilibili, Watermelon Video, WeChat, etc., to produce a variety of popular video content.
In the second quarter of fiscal 2020, 36Kr's enterprise value-added service revenue is 42.6 million RMB (about 6 million USD), accounting for 55.6%. With the recovery of the advertising market, 36Kr's online advertising service revenue gets 31.3 million RMB (about 4.4 million USD), accounting for 40.9%, with a substantial increase of 48.9% quarter to quarter. 36Kr's subscription service revenue is 2.7 million RMB(about 0.4 million USD), accounting for 3.5%.
During the COVID-19 epidemic, 36Kr has launched a number of online resource docking activities, including the "Warm Winter Plan", "8-minute Press Conference", CMO Summit in collaboration with Twitter and other activities. The "Warm Winter Plan" has established effective contacts with more than 1,800 companies and cooperated with governments such as Chongqing, Hangzhou, Xi'an and other governments to organize online business investment promotion. The "8-minute Press Conference" help companies increase brand and product exposure and gain more business opportunities.
Amid the changing environment brought by COVID-19, 36Kr has been helping governments digitize their working process and energize the regional economy. Through service solutions such as online marketing and virtual roadshows, local governments are able to introduce the local conditions and supportive policies with wider exposure for efficient investment and talent attraction. These innovative and efficient solutions have gained positive reception and are attracting new governmental collaborations. As of the second quarter, 36Kr has provided related services to about 30 different administrative departments from 7 provincial capital cities with repetitive service purchases.
Moreover, since the launch of 36Kr's Mini business administration program in the first quarter, 36Kr has consistently refined this program and successfully launched its first offline courses -- 36Kr Healthcare Innovative Class, which attracted numerous elite healthcare enterprises and practitioners in the industry. 36Kr has organized a variety of activities and events connecting related enterprises in the up- and down-streams, industrial parks and institutional investors to promote constructive communications and commercial partnerships.
36Kr's operations overseas continues to make progress with increased high-quality content production and remarkable traffic growth. In July, 36Kr Japan rolled out Connec2.jp, a subscription-based platform that provides comprehensive enterprise data analysis, in-depth research reports, and bespoke consulting services for both individuals and corporates in Japan. In collaboration with South China Morning Post, 36Kr Global will provide objective content reports and marketing solutions for Chinese companies that are expanding their business overseas.