On the evening of April 23rd, Qingmu Digital Technology Co., Ltd. (referred to as “Qingmu Digital”) released its financial report for the first quarter of 2023 and 2024. In 2023, the company achieved operating revenue of 967 million yuan ($133.46 million), a year-on-year increase of 14.27%. The net profit attributable to the parent company was 52.083 million yuan ($7.19 million), a year-on-year decrease of 20.95%. The non-GAAP net profit was 41.1141 million yuan ($5.67 million), a year-on-year decrease of 24.02%.
In the first quarter of 2024, the company achieved operating revenue of 226 million yuan ($31.19 million), a year-on-year increase of 6.35%. The net profit attributable to the parent company was 24.1694 million yuan ($3.34 million), a year-on-year increase of 147.47%. The non-GAAP net profit was 20.0653 million yuan ($2.77 million), a year-on-year increase of 204.83%.
Regarding the decline in net profit in 2023, Qingmu Digital stated that it was mainly due to a decline in some distribution business. At the same time, the company continued to increase its investment in live-streaming e-commerce, brand incubation business marketing, and research and development, which resulted in a decline in net profit compared to the previous year.
According to the financial report, Qingmu Digital’s main business during the reporting period is to provide comprehensive e-commerce services for globally renowned brands, including e-commerce operation services, brand incubation, brand digital marketing, technical solutions, and consumer operation services. The company’s cooperative brands cover major categories such as fashion, health, and beauty personal care.
According to information from Qingmu Digital’s official website, its service clients include skincare brands under L’Oréal, the Spanish skincare brand Isdin, and the French medical aesthetic skincare brand Filorga, among other beauty brands.
In terms of products, e-commerce agency operation is its main source of revenue, with a total revenue of 487 million yuan ($67.21 million) in 2023, a year-on-year increase of 22.88%, accounting for 50.29% of total revenue. E-commerce channel retail revenue was 195 million yuan ($26.91 million), a year-on-year increase of 22.90%, accounting for 20.17% of total revenue. Distribution channel revenue was 165 million yuan ($22.77 million), a year-on-year decrease of 16.23%, accounting for 17.04% of total revenue.
Looking ahead, Qingmu Digital stated that it will vigorously expand its high-quality cooperative clients on platforms such as Douyin (TikTok) and continue to improve the company’s operational service capabilities in the field of live-streaming e-commerce, aiming to continuously enhance service levels and profitability.
