|
| Thursday, 2 September 2021, 09:08 HKT/SGT | |
| |
|
|
|
HONG KONG, Sept 2, 2021 - (ACN Newswire) - Institutions from China and abroad, including Citi, CLSA, Daiwa, China Securities, Zhongtai International and Guosheng Securities, have maintained "Buy" rating for Yeahka (09923.HK), underscoring their confidence with the prospects of the company's technology-enable business services. Yeahka, which has payment as its other major business, has achieved rapid growth in the first half of 2021, according to its interim results announced on Aug 26.
Citi views Yeahka's strategy stable fee rate and revenue sharing trend to boost merchants base "as largely in line with overall industry outlook", and believes "that continued investment to acquire traffic and investment in business (such as in-store ecommerce services) will make more meaningful contribution in the longer term leveraging Yeahka's solid execution".
A CLSA report expects Yeahka's GPV continues to increase, while the technology-enabled business achieving fast growth. "The company also started to provide in-store e-commerce services in Dec 2020, business that is upgraded from marketing services, to provide closer connection between merchants and consumers, and to create direct sales growth for merchants. Revenue was Rmb44.9m in 1H21, with the number of paid consumers more than 1.42m and GMV exceeded Rmb71.0m," the report noted. It expects the new business to "serve as a new engine for growth".
Guosheng Securities expects Yeahka's annual revenues from precision marketing, merchants SaaS product, and in-store ecommerce service to reach 2.8 billion, 4.2 billion and 7.2 billion RMB in the next three years, while net profit attributable to parent company reaching 476 million, 517 million and 1.039 billion RMB. This estimation, based on Yeahka's closing price of 27 HKD on Aug 25, gives the company PE ratio from 2021-2023 at 39, 36, and 18 times.
Guosheng sees the company benefit from acquisition of Chuangzinzhong, and efforts in online advertising service, as both agent and producer. With access to media platforms including TikTok, Toutiao, and Kuaishou, the services will promise more users to Yeahka's marketing service.
Guosheng also sees Juhuisaosao, Yuehuiquan and Haoshengyi, of Fushi, as gateways for Yeakha to introduce its other products. That will help boost the company's merchant SaaS users, as well as bringing high rise to ARPU.
"We stay confident with the long-term prospect of the company's payment and technology-enabled business services," Zhongtai International holds a similar view, noting Yeahka's businesses are closely inter-connected.
Yeahka would first boost its merchant base through payment services. As more transactions happen, Yeahka would then get deeper understanding of merchants' activities, and, through this process, accumulate a massive data of user trend. Based on data analyses, it would then offer different VAS to make monetization possible, and further expanding its business to achieve continued growth, Zhongtai further elaborates.
Topic: Press release summary
Sectors: Cards & Payments, Cloud & Enterprise
https://www.acnnewswire.com
From the Asia Corporate News Network
Copyright © 2024 ACN Newswire. All rights reserved. A division of Asia Corporate News Network.
|
|
|
|
|
|
|
| |
Latest Press Releases
Toyota Submits Progress Report on Recurrence Prevention Measures
Monday, November 25, 2024 2:43:00 PM
|
|
|
TOPVISION Launches Prospectus for the Transfer of Listing from the LEAP Market to ACE Market 
Nov 25, 2024 14:00 HKT/SGT
|
|
|
S&P Acknowledges Fosun's Return to the USD Bond Market
Nov 25, 2024 13:40 HKT/SGT
|
|
|
MHI Thermal Systems Receives Order from Aisan Industry for Aquifer Thermal Energy Storage System for Its New Anjo Plant
Monday, November 25, 2024 1:18:00 PM
|
|
|
New Progress in the Merger of Guotai Junan and Haitong Securities
Nov 25, 2024 13:00 HKT/SGT
|
|
|
KOSPET Launches M3 Ultra and T3 Ultra Rugged Smartwatches in Malaysia, Redefining Durability and Innovation
Nov 25, 2024 12:00 HKT/SGT
|
|
|
Oracle Red Bull Racing Driver Max Verstappen Wins Fourth Consecutive F1 Drivers' World Championship
Monday, November 25, 2024 10:55:00 AM
|
|
|
SGX-Listed Mooreast Appoints Norwegian Eirik Ellingsen as CEO to Drive Growth in Global Floating Offshore Wind Market
Nov 25, 2024 10:00 HKT/SGT
|
|
|
GMG Reaches Market Commercialisation Milestone on Energy Savings Coating THERMAL-XR(R)
Nov 24, 2024 23:54 HKT/SGT
|
|
|
CleverTap Recognized as a 'Strong Performer' in the Cross-Channel Marketing Hubs, Q4 2024 Report
Nov 23, 2024 20:42 HKT/SGT
|
|
|
|
|
More Press release >> |
|
|
|
