- EDU2021-01-06
EDU: EDU Remains Focused On Executing Its Own OMO Strategy; Positive On FY2Q21 Performance
EDU will report FY2Q21 results on January 22nd before the market opens with an 8am EST conference call. We are positive on EDU’s FY2Q21 performance. While competition in the online education market is heating up, EDU is finding its own way to remain competitive by expanding its regional OMO (online merger offline) reach, instead of burning cash to buy temporary enrollments. We believe EDU’s OMO is likely to enable the company to accomplish better enrollment coverage without pressuring the margin…… - NTES2020-11-18
NTES / 9999.HK: Aggressive Promotion of New Games And Online Education Driving Topline Growth In 3Q20
NTES will report 3Q20 results on November 19th before the markets open with a 7am EST conference call. Normally, 3Q is a strong quarter for PC games, however, 3Q20 is a shorter quarter as the college entrance exam was pushed to July from June. Additionally, after being quarantined at home in 1Q20 and making up schoolwork in 2Q20, families and students finally have a chance to do outdoor activities. However, NTES launched a few new games in 3Q20, which included Fantasy Westward Journey 3D, Dawn o…… - YY2020-11-13
YY: Better Monetization From BIGO While YY Live Recovered; Expect Better 3Q20 Results
YY will report 3Q20 results on November 16th after the markets close followed by a 9pm EST conference call. Based on our data and model, we believe YY’s 3Q20 revenue is likely to be higher than the high end of YY’s guidance range of RMB5,850B - RMB6,000B and consensus at RMB5,942M. Bigo Live and Likee are doing well overseas even though people are staying home less as lockdown restrictions were lifted. YY Live in China also recovered well, as YY platform has become a place where entertainm…… - BIDU2020-11-12
BIDU: Managed Page And Smart Mini Driving Better Traffic And Time Spend; Expect Better 3Q20 Results
BIDU will report 3Q20 results on November 16th after the markets close followed by an 8:15pm EST conference call. Based on our data and calculations, we believe BIDU’s 3Q20 net revenue is likely to be higher than consensus at RMB27,458M and our model at RMB27,238M. We believe BIDU is benefiting from the recovery in the ad sector, in addition to high adoption of its Managed Page and Smart Mini, which led to growth of BIDU mobile traffic and time spend in 3Q20. Furthermore, IQ’s subscribing busine…… - VIPS2020-11-09
VIPS: Improving Demand for Apparel Drive Better 3Q20 Performance
VIPS will report 3Q20 results on November 13th before the markets open with a 7:30am EST conference call. We are positive into Vipshop’s 3Q20 earnings. While fashion category did not enjoy high growth during China’s e-commerce hike in 2Q20, it significantly improved in 3Q20. VIPS has been increasing its efforts to promote KuaiQiang (快抢) as one of its growing channels. Based on our data and calculations, we believe VIPS’s 3Q20 revenue is likely to be at least in line but highly likely to be bette…… - VIPS2020-10-09
T.H. Data Flash – Vipshop – August & 3Q20E: Growth In Apparel And Fashion Picking Up In July And August; Positive For 3Q20 Performance
We are positive into Vipshop’s potential performance in 3Q20E. While fashion category did not enjoy high growth during China’s e-commerce hike in 2Q20, the growth picked up in both July and August 2020 with 18.5% Y/Y and 15.2% Y/Y growth, respectively, which significantly improved from 2.3% Y/Y decline in 2Q20. The newer channels, Fengqiang (疯抢) and KuaiQiang (快抢), are growing channels, and VIPS has been increasing its efforts in these channels. …… - JD2020-10-08
T.H. Data Flash - JD.com, Inc. – August & 3Q20E: New Initiatives and Better Performance In 3Q20; Expect A Strong 4Q20 On Blockbuster Sales
We are positive on JD’s 3Q20 performance. Post the hike in 2Q20, China e-commerce vendors including JD in 3Q20 experienced a lower growth season than its normal seasonality with most categories showing slower growth, except categories like apparel, shoes & bags and accessories. JD did a big promotional event in September together with Kuaishuo (a short video vendor like TikTok) with huge subsidizations, which was an additional positive compared with last year. …… - EDU2020-10-05
EDU: Stronger Recovery In U-Can And Higher ASP As A Result Of High Volume Of Course Sessions Are Likely To Lead To Positive FY1Q21 Performance
EDU will report FY1Q21 results on October 13th before the market opens with an 8am EST conference call. We are positive on EDU’s FY1Q21 performance. COVID-19 has changed how education is conducted; co-existence of offline, online and semi-online are likely to be the future. For EDU’s business, overseas and 1-1 are impacted, but its K-12, specifically U-Can, has bounced back nicely. While the number of K-12 courses and attendees grew 0.9% Y/Y and declined 7.1% Y/Y, respectively, the U-Can segment…… - ATHM2020-08-21
ATHM: Coping With Tough Market To Deliver Good Results In 2Q20; Market Is Still Under Pressure Despite Recovery From The Low In February
ATHM will report 2Q20 earnings on August 25th before the markets open with an 8am EST conference call. We are positive on ATHM’s 2Q20 earnings. Based on our data and calculations, we believe ATHM’s 2Q20 revenue is likely to be better than consensus at RMB2,279M. China’s auto market showed Y/Y growth in 2Q20. Due to the outbreak of COVID-19 in China, monthly car production and wholesale sales went down sharply in February 2020 but have recovered since March 2020. …… - VIPS2020-08-18
VIPS: Pandemic Pushing Non-Essential Goods From Offline To Online; Post Pandemic Cautiousness Sustaining Such Move; Expect VIPS To Deliver Better 2Q20 Results
VIPS will report 2Q20 results on August 19th before the markets open with a conference call at 7:30am EST. Based on our data and calculations, we believe VIPS’s 2Q20 revenue is likely to be better than consensus at RMB23,789M (4.6% Y/Y growth) and high end of its guidance (RMB22.7B – RMB23.8B). For 3Q20, we expect VIPS to continue to benefit from high demand of e-commerce as offline traffic is significantly reduced even after the pandemic due to cautiousness, which not only drives users to shop …… - BIDU2020-08-06
BIDU: Ad Environment Is Still Challenging For The Near-Term; 2020 Is An Investment Year For BIDU
BIDU will report 2Q20results on August 13th after the markets close followed by a 9:15pm EST conference call. We are cautious on China’sadvertising market in the near term. We believe the ad environment in2020 may be challenging for the company. In 2Q20, some of the traditionale-commerce advertising shifted away from traditional platforms to livestreaming to market their products. In 3Q20, the seasonal popular sectors oftravel, education and business services did not pick up normal growth. These…… - NTES2020-08-03
NTES: The Growth Momentum of Games Continues In 2Q20; Growth Likely To Be Maintained On Strong Game Pipeline
NTES will report 2Q20 results on August 13th before the markets open with a call at 7:30am EST. We are positive on NTES’s fundamentals as the company continues to focus on game developments. On a short terms basis, since the game business was very strong in 1Q20 with 14.1% Y/Y growth, higher than prior quarters, we believe 2Q20 is likely to be lower than 1Q as most of the students studied at home so they have less leisure time. However, the company released the list of its 2020 game pipeline on …… - EDU2020-07-16
EDU: Continuing To Do Well In K-12 While Overseas Testing and Consulting Are Experiencing Longer Than Expected Impacts From COVID-19
EDU will report FY4Q20 results on July 28th before the markets open with an 8am EST conference call. Long term wise, COVID-19 has led to market consolidation by the major players like EDU; the underlying off-school tutoring market is at its very beginning stage of development. We believe the underlying market is approximately $100B in 2020 and the top 47 players only accounted for $8B in revenue in 2019; EDU and TAL accounted for about 6% of the total market. Short term wise, the company reset t…… - JD2020-07-09
T. H. Data Flash - JD.com, Inc. – May & 2Q20E: Satisfying Pent-Up Demand In 2Q20 With Merchant Discounts, Platform Subsidizations And Live Streaming
We are positive on JD’s 2Q20 performance. China’s e-commerce in 2Q20 is an especially positive quarter as a result of: 1) Deep-discounts from merchants as well as subsidizations from e-commerce platforms was an outlet for consumers’ pent-up demands; 2) Live streaming increased the reach out rate and conversion rate. For live streaming, JD not only formed a partnership with Kwai (one of the two major short video platforms in China), but also set up its own live streaming function as well as teame…… - JD2020-07-09
T. H. Data Flash - JD.com, Inc. – May & 2Q20E: Satisfying Pent-Up Demand In 2Q20 With Merchant Discounts, Platform Subsidizations And Live Streaming
We are positive on JD’s 2Q20 performance. China’s e-commerce in 2Q20 is an especially positive quarter as a result of: 1) Deep-discounts from merchants as well as subsidizations from e-commerce platforms was an outlet for consumers’ pent-up demands; 2) Live streaming increased the reach out rate and conversion rate. For live streaming, JD not only formed a partnership with Kwai (one of the two major short video platforms in China), but also set up its own live streaming function as well as teame…… - NTES2020-05-14
NTES: Game And Education Are Resilient Sectors During Economic Downturn; Better Popularity of Games Drive Better 1Q20 Performance; Maintain Buy
NTES will report 1Q20 results on May 19th after the markets close followed by a 10pm EST conference call. Based on our data and model, NTES’s 1Q20 revenue is likely to be higher than the Street at RMB15,592M. In recent months, NTES published several new hit games, including Xuanyuan Sword and Fantasy Westward Journey 3D, along with its flagship games, contributing to better topline growth. NTES’s games gained more popularity in 1Q20 because of the COVID-19 outbreak worldwide. …… - BIDU2020-05-12
BIDU: Traffic Was Up In 1Q20 During The Outbreak; Tight Control Of Cost And Expense Are Positive For Earnings; Ad Environment Is Still Challenging
BIDU will report 1Q20results on May 18th after the markets close followed by a 9:15pm EST conference call. Based on our data andcalculations, we believe BIDU’s 1Q20 net revenue is likely to be better thanconsensus at RMB 21.91B and within its guidance range of RMB 21.0B – RMB 22.9B.In 1Q20, mobile Baidu traffic jumped up as there were more inquiries forinformation related to COVID-19; however, it was hard to convert the trafficinto monetizable clicks. While the company continues to promote its B…… - BABA2020-05-11
BABA: Online Commerce Is Leading Economic Recovery Post COVID-19; BABA’s Platform Is Enabling More Business Activities Online
As we are entering into 2Q20, the business activities in China are recovering, and BABA is taking the lead. Our data showed that many verticals’ online sales gained strong Y/Y growth in April after weakness in February and March. Of the twelve level-one verticals, about ten achieved 50% Y/Y – 153% Y/Y growth in April; for example, computer GMV grew 57% Y/Y and liquor at 58% Y/Y (Figure 5). For FY4Q20, we expect mixed results for BABA due to the negative impact from COVID-19. …… - JD2020-05-08
JD: 1Q20 Benefiting From JD’s Self-Operated Logistics and 1P E-Commerce; 2Q20 Benefiting From The Recovery In Home Appliance Consumption
JD will report 1Q20 results on May 15th before the markets open with a 7:30am EST call. We are positive on JD’s 1Q20 performance as well as its 2Q20 outlook. During the outbreak in 1Q20, JD was in high demand as evidenced by the hike of the company’s search queries (Figure 5). The high demands were caused by the outbreak, and JD was able to fill them due to its ability to supply and deliver products to consumers with its self-operated logistics and 1P e-commerce. In contrast to the Y/Y declines …… - YY2020-04-21
T. H. Data Flash - JOYY Inc. – March and 1Q20E: Better BIGO Performance In 1Q20; Premium IP Driving Better 2Q20 For YY Live
We are positive on YY in 1Q20 due to BIGO’s better performance and positive on 2Q20 driven by YY Live’s domestic performance. In 1Q20, BIGO overseas monetization was much better than that in 4Q19 and we expect such trend to continue in 2Q20. For 2Q20, YY Live is broadcasting a well-known IP called “爱豆周五见” in China from March 27th to the end of May, which is positive for its performance in 2Q20. Based on our data and model, we believe YY’s 1Q20 revenue is likely to be higher than the high end of ……
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