Momo Com Inc
TWSE:8454
Momo Com Inc
Momo Com Inc. has etched a distinctive narrative in the evolving landscape of digital connectivity, flourishing as a key player in China's mobile social networking space. Founded in 2011 by Tang Yan, the company initially carved its niche with a location-based social app that allowed users to connect based on both proximity and shared interests. This initial concept capitalized on the innate human desire for social interaction, blending technology with social discovery in a rapidly digitalizing world. Over the years, Momo has ingeniously diversified its platform, morphing from a straightforward social app to an integrated ecosystem that includes live video streaming, entertainment content, and interactive features. This transformation served as a strategic pivot to ensure user engagement and retention in a competitive market.
The monetization model of Momo Com Inc. is as diversified as its platform offerings. A substantial portion of its revenue stems from its live-streaming services, where users purchase virtual gifts for streamers, thus creating a vibrant revenue channel. These virtual transactions constitute a significant revenue stream, as viewers often purchase in-app currency to exchange for exclusive experiences. The company also generates income through membership subscriptions, advertising, and mobile gaming services. This multi-faceted approach not only insulates it from market volatility but also aligns with shifting user preferences by offering varied content and community experiences. As Momo continues its journey, it exemplifies a deft melding of social networking and entertainment, sustaining its growth by constantly innovating and expanding its digital horizon.
Momo Com Inc. has etched a distinctive narrative in the evolving landscape of digital connectivity, flourishing as a key player in China's mobile social networking space. Founded in 2011 by Tang Yan, the company initially carved its niche with a location-based social app that allowed users to connect based on both proximity and shared interests. This initial concept capitalized on the innate human desire for social interaction, blending technology with social discovery in a rapidly digitalizing world. Over the years, Momo has ingeniously diversified its platform, morphing from a straightforward social app to an integrated ecosystem that includes live video streaming, entertainment content, and interactive features. This transformation served as a strategic pivot to ensure user engagement and retention in a competitive market.
The monetization model of Momo Com Inc. is as diversified as its platform offerings. A substantial portion of its revenue stems from its live-streaming services, where users purchase virtual gifts for streamers, thus creating a vibrant revenue channel. These virtual transactions constitute a significant revenue stream, as viewers often purchase in-app currency to exchange for exclusive experiences. The company also generates income through membership subscriptions, advertising, and mobile gaming services. This multi-faceted approach not only insulates it from market volatility but also aligns with shifting user preferences by offering varied content and community experiences. As Momo continues its journey, it exemplifies a deft melding of social networking and entertainment, sustaining its growth by constantly innovating and expanding its digital horizon.
Revenue: Q2 revenue was TWD 26 billion, with first half revenue at TWD 52.4 billion, showing stable performance despite a tough market.
User Growth: Active purchasing customers grew by 5.1% year-over-year, reflecting strong customer engagement.
Profitability: Net profit attributable to owners was TWD 652 million for Q2 and TWD 1.51 billion for the first half, with EPS of TWD 2.58 and TWD 5.99 respectively.
Margins: Gross margin and take rate remained relatively stable despite intensified promotional pressure and competition.
3P & New Businesses: 3P (third-party) business and new growth drivers like mo shop+ and retail media are expanding, though their revenue remains small for now.
Logistics & AI: AI and big data have improved logistics efficiency by over 10% and cut average energy cost per parcel by 42%.
Sustainability: Green Life membership surpassed 700,000, contributing to carbon reduction and improved logistics efficiency.
Outlook: Management remains focused on disciplined operations, with a long-term aim to drive GMV growth and adapt to a competitive and uncertain macro environment.
