The emerging short video-sharing app Qutoutiao ushered a high-speed growth

This is an article from WeChat official accounts Slightly Great (ID:hyzibenlun), written by Lin Yuxiang, translated by Chris Yuan.

Influenced by the macroeconomic environment and its own development cycle, the advertising revenue of Chinese established Internet companies in 2019 is obviously experiencing a collective avalanche. For example, in the first quarter of 2019, the advertising revenues of BAT (Baidu, Alibaba, Tencent) all fell short of market expectations. In contrast, the rise of emerging companies such as ByteDance, Kuaishou, Pinduoduo, and Qutoutiao has further eroded the former's share in the advertising market and user time. Among them, the financial report of listed companies reflects this change intuitively.

Qutoutiao's second-quarter financial report in 2019 showed that, in the context of a weak macro advertising environment, the company still experienced rapid growth in many aspects. Among them, the net revenue of the quarter reached 1.386 billion yuan, an increase of 187.9% year on year, which was in line with the market expectation. Meanwhile, the net loss was 561 million yuan, and the net loss rate was 40.5% -- the net loss rate decreased significantly year on year.

In addition, in terms of user data, it is also remarkable: in the quarter, the number of comprehensive average daily active users of Qutoutiao reached 38.7 million, a year-on-year increase of 207.6%; the number of quarterly comprehensive average monthly active users was 119 million, a year-on-year increase of 250.2%; the average daily use time of daily active users reached 60 minutes, a year-on-year increase of 27.5%.