KEEP(03650) - 2023 - 中期财报

Financial Performance - Keep Inc. reported a revenue of $XX million for the first half of 2023, representing a YY% increase compared to the same period last year[6]. - Total revenue for the first half of 2023 was RMB 984.7 million, a decrease of 2.7% compared to RMB 1,011.7 million in the same period of 2022[14]. - Revenue for the six months ended June 30, 2023, was RMB 984,656 thousand, a decrease of 2.5% from RMB 1,011,707 thousand in the same period of 2022[95]. - Membership subscription and online paid content revenue increased by 10.0% to RMB 448.9 million in H1 2023, driven by growth in virtual sports events[23]. - The company reported a net profit margin of FF% for the first half of 2023, an improvement from GG% in the previous year[6]. - The company reported a profit of RMB 1.2 billion for the six months ended June 30, 2023, compared to RMB 261.6 million for the same period in 2022[35]. - The company reported a total comprehensive income of RMB 760,249 thousand for the period, compared to a loss of RMB 129,866 thousand in the same period last year[96]. - The company’s accumulated losses decreased to RMB 6,225,267 thousand from RMB 7,420,391 thousand as of December 31, 2022[99]. - The company reported a net loss of RMB 585 thousand from the sale of property and equipment for the six months ended June 30, 2023, compared to no loss in the same period of 2022[121]. User Engagement and Growth - The user base grew to ZZ million active users, marking a growth of AA% year-over-year[6]. - Average monthly active users (MAUs) decreased to 29.5 million from 37.7 million year-on-year, while average monthly subscribers fell to 3.0 million from 3.7 million[15]. - Membership penetration rate improved to 10.2% in the first half of 2023, compared to 9.7% in the same period of 2022[13]. - Membership penetration increased from 9.7% in H1 2022 to 10.2% in H1 2023, indicating improved user engagement[17]. - The number of on-demand courses offered to paid members increased from 1,391 to 2,464, reflecting a significant expansion in content offerings[16]. - The company launched new series of courses in collaboration with renowned fitness influencers, enhancing user engagement and satisfaction[16]. Cost Management and Profitability - The company is focused on optimizing operations and improving cost management to enhance profitability amid a recovering post-pandemic environment[14]. - Operating costs decreased to RMB 1,256,934 thousand as of June 30, 2023, from RMB 1,349,688 thousand in the same period of 2022, indicating a reduction of 6.9%[120]. - Employee benefits expenses decreased to RMB 335,236 thousand in the first half of 2023 from RMB 366,692 thousand in the same period of 2022, a decline of 8.6%[120]. - Sales and marketing expenses decreased by 15.4% from RMB 304.0 million to RMB 257.1 million, attributed to reduced promotional and advertising expenses[30]. - The company is implementing new marketing strategies aimed at increasing brand awareness and user acquisition[6]. Investment and Future Plans - Keep Inc. is investing in new product development, focusing on fitness technology and personalized training solutions[6]. - The company plans to expand its market presence in Southeast Asia, targeting a growth rate of DD% in that region[6]. - The company plans to invest RMB 19.2 million (10% of net proceeds) in research and development for smart fitness equipment, enhancing existing products and creating innovative offerings for diverse fitness needs[49]. - An investment of RMB 23.0 million (12% of net proceeds) is planned to expand the fitness content library and enhance user engagement through innovative methods such as virtual coaching[50]. - The company aims to cultivate more fitness experts and collaborate with professionals to introduce specialized content, with an investment of RMB 11.5 million (6% of net proceeds)[52]. - The acquisition of valuable exclusive fitness intellectual property and third-party content is planned, with an investment of RMB 5.8 million (3% of net proceeds)[53]. Financial Position and Assets - Cash and cash equivalents amounted to RMB 1.5 billion as of June 30, 2023, down from RMB 1.7 billion as of December 31, 2022[39]. - Total assets decreased to RMB 2,393,527 thousand from RMB 2,633,541 thousand as of December 31, 2022[98]. - The company’s total liabilities decreased to RMB 1,256,934 thousand as of June 30, 2023, from RMB 1,349,688 thousand as of June 30, 2022, indicating a decrease of 6.9%[120]. - The company’s bank borrowings increased to RMB 50,708 thousand in the current period, compared to RMB 17,008 thousand in the previous period, indicating a significant rise in financing activities[102]. - The company has not adopted any new accounting standards that would have a significant impact on its financial performance for the current or future reporting periods[105]. Shareholder Information - As of June 30, 2023, Mr. Wang holds a total of 109,031,837 shares, representing approximately 20.74% of the company's equity[61]. - GGV shareholders collectively own 75,814,900 shares, accounting for approximately 14.42% of the company's equity[61]. - The company has not been listed on the stock exchange as of June 30, 2023, affecting the applicability of certain securities regulations[60]. - The company has disclosed all major shareholders and their respective equity interests as required by the Securities and Futures Ordinance[68]. Stock Options and Incentive Plans - The total number of unissued rewards and unexercised options under the pre-IPO share incentive plan is 22,753,075 shares[70]. - The company does not plan to grant any new rewards under the pre-IPO share incentive plan after listing[70]. - The purpose of the pre-IPO share incentive plan is to attract and retain top talent by providing additional rewards and opportunities for participants[81]. - The plan aims to align the interests of participants with those of the company and its shareholders[81]. - The maximum number of shares that participants can enjoy under the pre-IPO share incentive plan is unlimited[74]. Risks and Contingencies - The company does not face significant foreign exchange risks as most transactions are settled in RMB, and there are no major financial assets or liabilities denominated in currencies other than the functional currency[45]. - There were no significant contingent liabilities or guarantees as of June 30, 2023[44]. - The company has no significant commitments as of June 30, 2023[172].