• MOGU Inc (NYSE:MOGU) reported a fourth-quarter FY21 revenue decline of 23.6% year-on-year to $13.9 million, missing the analyst consensus of $24.65 million.
• Revenue from Commission declined 1.7% Y/Y to $10 million, and Marketing services reduced 34.5% Y/Y to $1.8 million. The declines were due to the business restructuring towards a Live Video Broadcast (LVB)-focused model.
• Other revenues decreased 60.2% Y/Y to $2.1 million due to lower online direct sales.
• LVB business rose 42% Y/Y to $342.7 million, and the Gross Merchandise Value (GMV) rose 6.5% Y/Y to $393.2 million.
• Gross margin expanded 756 basis points to 58.3%, while the operating loss margin contracted 395 basis points to (121.4%).
• Adjusted net loss declined 79.3% Y/Y to $2.5 million, translating to EPS loss of $(0.01), or EPADS loss of $(0.25).
• Adjusted EBITDA loss margin contracted 4,810 basis points to 22.1%.
• MOGU held $122.6 million in cash and equivalents and used $7.6 million in operating cash flow.
• MOGU Chairman and CEO Chen Qi remain confident in the growth of its overall user retention rate and ARPU, as MOGU live continues to be a key growth driver and the main revenue contributor.
• Price action: MOGU shares traded higher by 5.88% at $1.62 in the premarket session on the last check Friday.