/PRCWT/Shanghai, December 06, 2023 - Monster Charging recently announced its unaudited financial results for the third quarter ended September 30, 2023.
Monster charging business continued healthy development, with the gradual recovery of offline traffic and residents' consumption power, in the third quarter of 2023, mobile charging business GMV increased by 18% year-on-year.
According to the financial report, since the second quarter of this year, the recognition of the revenue of the monster charging channel business has been adjusted from the full amount to the net, so the operating income on the financial report is not completely comparable with the same period last year. In the third quarter of 2023, the operating income of Monster charging was 613.5 million yuan, and the operating income declined due to the adjustment of the income caliber, but the actual business scale was greatly improved.
At the same time, the profit side of monster charging still achieved year-on-year turnaround, rising from the previous quarter, with a net profit of 50 million yuan, compared with a net loss of 95.8 million yuan in the same period in 2022; Adjusted net income (non-GAAP) was $55.2 million, compared to a net loss of $88.6 million for the same period in 2022.
On the basis of positive operating profit in the second quarter, Monster Charging further improved the quality of operations, optimized operating expenses, and achieved an operating profit of 34 million yuan in the quarter, an increase of 151%.
Based on the large-scale layout and refined development over the years, Monster Charging has maintained a strong momentum in service coverage and operating efficiency, and scale effects and network effects have been continuously released. This quarter, the scale of the monster charging business has been steady progress, as of September 30, 2023, there are 1.189 million POI in the country, an increase of 7.2%, while there are 8.7 million online shared charging treasure, and a total of 379 million registered users.
At the end of the third quarter, Monster Charging had cash and cash equivalents, restricted funds and short-term investments of 3.3 billion yuan. The abundant cash flow not only solves the problems of the company's daily operation, but also brings the possibility of diversified capital layout to promote the healthy and sustainable development of the company's various businesses.
CAI Guangyuan, CEO of Monster Charging, said: "In the third quarter, our shared charging services GMV and POI reached a record high, and while scaling up, profitability also recovered in the peak season. We have always focused on improving operational efficiency under the premise of healthy growth, and we will continue to use these two strategies as the direction of continued growth in the future."
Xu Peifeng, president of Monster Charging, said: "We continue to adhere to the 'direct model + channel model' dual model drive, while consolidating and improving market share, maintain the diversification of the business structure to adapt to the flexible regional market environment. For the direct business, we will focus more attention on high-quality KA and high-yield stores, continuously optimize the structure of direct stores, give full play to the advantages of direct business in technology, operation, service, capital and marketing, and provide business empowerment for partners. For the channel model, while we will convert some direct points to channel mode operation, we will rely on the channel model to drive point growth, expand the vast sinking market faster and more efficiently, and then complement the advantages of the direct mode in the first and second tier cities, and jointly improve the coverage of the shared charging service network."
Xin Yi, CFO of Monster Charging, said: "With the continuous optimization of the business model, the company's overall financial model has also further improved. The promotion of a new generation of software and hardware products, while the cost of hardware continues to decrease, the competitiveness of the industry is also constantly strengthening. The company's healthy cash flow and strong capital reserves also make us better positioned to explore and invest in new businesses."
