Kuaishou, the main rival of TikTok's Chinese version Douyin, officially filed its IPO prospectus with the Hong Kong Stock Exchange on November 5.
According to the prospectus, from 2017 to 2019, Kuaishou's revenue rose from RMB 8.3 billion to RMB 39.1 billion. It generated revenue of RMB 25.3 billion for the six months ended June 30, 2020, up nearly 48 percent from RMB 17.1 billion in the same period last year.
In the six months ended 30 June this year, Kuaishou had an average of 302 million daily active users and 776 million monthly active users, with daily active users using the Kuaishou app for more than 85 minutes and visiting the Kuaishou app more than 10 times a day.
During the same period, content creators accounted for about 26% of the average monthly active users on Kuaishou, and the average number of short video uploads on Kuaishou exceeded 1.1 billion per month. 20 million people have earned revenue on Kuaishou in the first half of this year.
The company's e-commerce business has also grown rapidly since its launch in 2018. The total gross transaction value (GMV) for the first half of this year, which ended on June 30, reached RMB 109.6 billion, with an average monthly repurchase rate of 60%.
However, Kuaishou recorded an operating loss of nearly RMB7.566 billion in the first half of 2020, mainly due to a surge in sales and marketing expenses, as well as a significant increase in research and development spending.
The prospectus warns that there remains significant uncertainty regarding the further development of Covid-19 and that it is not possible to reasonably estimate the extent of the impact of the outbreak on the company's business, financial results and prospects in 2020.