Half Year Results to 30 June 2014 Media Release
Hong Kong, Aug 29, 2014 AEST (ABN Newswire) - Leading Chinese mobile commerce company 99 Wuxian Limited (
ASX:NNW) (NNWXF:OTCMKTS) ("99 Wuxian" or the "Company") is pleased to announce its results for the half year ending 30 June 2014.
Commentary
Given the significant momentum in the Chinese mobile commerce market, the Company has produced pleasing results across all key performance indicators (KPI) of its operating performance since listing in October 2013.
This was again demonstrated during the June 2014 quarter, through growth in all KPI's compared to the corresponding quarter last year. Registered users on the 99 Wuxian platform grew to more than 31 million, which continues to be driven by a combination of new business partners joining the platform and current business partners' promotional activities. Gross Transaction Value for the June 2014 quarter was triple the amount in the corresponding quarter last year.
Financial Result
---------------------------------------------------- 6 Months ended 30 June 2014 RMB----------------------------------------------------Revenue from ordinary operations 63,166,607 (AU$10,995,823)*----------------------------------------------------Profit from ordinary operations 5,993,077after income tax expense (AU$1,043,254)*----------------------------------------------------Total comprehensive income 5,993,077attributable to members of the (AU$1,043,254)*Company----------------------------------------------------
* RMB converted to AUD at 28 August 2014 using RMB 5.7446 = AUD 1.00
Strategy and Outlook
The proceeds of the recent capital raising have positioned the Company strongly to drive registered user growth through marketing campaigns, increase its investment in data mining research and upgrade IT systems to match long-term business growth.
The Company is committed to expanding its service offering to the 50 plus banks and financial institutions who have joined the platform (including nine (previously eight) of the top 10 Chinese banks), servicing the more than 155 leading Chinese merchants on its platform; developing and launching new services for its B2B partnership base throughout its ICS (Incentive Cloud Service) platform and data mining/behavioural analytics.
The peak period for the Chinese retail market is the second half of the calendar year, which includes "Singles Day" or Guanggun Jie (the biggest online shopping day in China) and the Christmas period. 99 Wuxian expects that, consistent with trading in the second half of 2013, revenue for the second half of 2014 will be higher than the first half of 2014.
Given 99 Wuxian's current growth strategy, 99 Wuxian does not intend to provide any forecasts for the full year ended 31 December 2014 at this point in time.
99 Wuxian will continue to update the market on a quarterly basis providing data on its key performance indicators (registered users, gross transaction value, number of transactions, platform revenue and average transaction value).
To view the Half Year Financial Statement, please visit:
http://media.abnnewswire.net/media/en/docs/ASX-NNW-814813.pdf
About 99 Wuxian Ltd
99 Wuxian Ltd (ASX:NNW) aggregates over 300 million high quality consumers and 155 leading merchants through a marketplace embedded within the mobile apps of China's leading banks, telecommunications and insurance companies. 99 Wuxian enables increased customer satisfaction, loyalty and retention for its business partners by offering consumers the lifestyle convenience of purchasing virtual and physical goods on a mobile device.
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