Cheetah Mobile Released Q3 Financial Report, Achieving Revenue of $196 Million
On Nov. 21, Cheetah Mobile, the Chinese mobile internet company, announced its financial results for the third quarter which ended on September 30, 2018.
During the third quarter, its total revenues grew by 15.6 percent year over year and 22.5 percent quarter over quarter to 1,352 million yuan ($196.9 million).
Among them, revenues from the mobile entertainment business increased by 37.5 percent year over year and 49.6 percent quarter over quarter to 97.9 million yuan ($72.5 million). Revenues from utility products and related services increased by 4.4 percent year over year and 10.5 percent quarter over quarter to 835.6 million yuan ($121.7 million).
Mr. Sheng Fu, Chairman and CEO of Cheetah Mobile, stated, “We successfully reinvigorated our growth engine through our mobile games, mobile utility, and artificial intelligence (AI) businesses. In the third quarter of 2018, both revenues and profits from our mobile games business hit record highs, driven mostly by the long tail success of Bricks n Balls, a game we started to operate earlier this year, and users’ increasing in-game purchases.”
In utility products, the two main products Clean Master and Security Master continued to achieve sound user growth. Cheetah Mobile has also explored other utility products, among which Bao Laidian (Cheetah incoming calls) is the feature that reached the most unexpected success. The app makes customized videos for incoming calls. According to data from Quest Mobile, in Sept. 2018, the app is one of top five apps with the fastest growth of daily active users.
For the mobile games business, the increase was largely attributable to the excellent performance of the new mobile game Bricks n Balls. Already existing games, including Dancing Line, Piano Tiles 2, and Rolling Sky have also achieved improved performances. The company continued to add in-game purchase features to its existing game portfolio and integrated its best-selling games into the WeChat mini game platform to expand its user base.
According to Mr. Fu Sheng, “In our AI business, our consumer product — Cheetah Translator — has been the top seller among its peers since its launch in July, while our enterprise product — Cheetah GreetBot – has now gone into commercial production.”
On July 19, the Cheetah Translator based on social scenarios was officially released, and became the online sales champion of the Chinese translator industry that month. On Sept. 17, Cheetah Mobile announced that Yang Chaoyue, contestant of the idol show Produce 101, became the spokesperson for this product.
SEE ALSO: Cheetah Mobile Launches the Most Affordable AI Translator at $40
Starting from the fourth quarter, the AI receptionist robot “Greetbot”, developed by Cheetah Mobile-invested AI company OrionStar, will be put into mass production. At present, Orion Voice OS technology has been applied to smart hardware products of many business partners including Himalayan, Xiaomi, Midea, Huawei and Smartisan, contributing to over 30 percent of market shares for smart speakers in China.
Featured photo credit to Cheetah Mobile