May 27, Beijing time (after US stocks opened on May 26, US Eastern time), China online audio first share$LIZHI INC (LIZI.US) $Released its first quarter 2022 results. According to the financial report, LIZHI INC's income in the first quarter reached 520 million yuan, gross profit increased 34 per cent year-on-year, and gross profit margin rose 700bp to 32 per cent. Thanks to the continuous optimization of operational efficiency and the continuous improvement of profitability, LIZHI INC's first-quarter net profit soared 84% from the previous quarter to 16.4 million yuan.
LIZHI INC said that thanks to the increase in the number of fee-paying households and the increase in the average amount of fees paid by users of the audio entertainment business, the company's revenue in the first quarter reached 520 million yuan, an increase of 4 percent over the same period last year. But at the same time, part of the revenue is also offset by a decrease in the number of advertising projects and a corresponding reduction in advertising business revenue.
In terms of user data, with the increasing development of LIZHI INC audio community ecology, the average number of mobile audio entertainment users increased by 11% from 8.27 million in the first quarter of 2021 to 9.14 million in the first quarter of 2022. LIZHI INC also continues to optimize the product form of the global social product TIYA, introducing innovative features and strengthening social attributes to further enhance user participation and the global impact of the product. Thanks to this, the average number of monthly paid households of LIZHI INC Group increased to 482200 in the first quarter, and the overall average number of monthly active mobile users was 51.5 million.
LIZHI INC founder and CEO Lai Yilong said, "in this quarter, our strategy is still focused on optimizing operational efficiency and improving profitability, and enrich user experience and enhance product competitiveness through core technical capabilities." At the same time, Lai Yilong also mentioned, "We further optimize the iterative self-research technology, so that we can continue to innovate and enrich product forms and functions to meet the diversified needs of users."
In the first quarter, LIZHI INC's overall performance showed a trend of sustainable development. The group's profitability continued to improve, with revenue rising 4 per cent to 520 million yuan, gross profit up 34 per cent and gross profit rising 700bp to 32 per cent from 25 per cent in the same period last year. In addition, net profit rose 84 per cent to 16.4 million yuan from the previous year and turned a profit from the same period last year. This is also LIZHI INC's second consecutive quarter of profit. Lai Yilong has good expectations for the sustained growth of the group's overall business. "We will strive to explore more commercial opportunities for audio entertainment and social business, and focus on achieving sustainable growth," he said. "
The company's management also specifically mentioned, "looking to the future, we will continue to build a more competitive audio ecosystem, expand diversified business models, and strengthen the development of core technologies." We believe that these strategic initiatives will continue to enhance the company's core competitiveness and enable us to create greater value for our users and shareholders. "
LIZHI INC's management will hold a conference call on Friday, May 27th, Beijing time, when they will deeply interpret the performance and answer market concerns.