To The Moon

Kuaishou,$KUAISHOU-W(01024)$  who was completely suppressed by the latecomer TikTok and the video account, and also fell into the bottleneck of growth, 

how can he rise again and regain the glory of the founder of the short video track?

The answer seems to be ready. ByteDance copied TikTok and launched Tiktok overseas, creating greater success. 

Why can't Kuaishou?

In fact, Kuaishou went to sea at the same time as Tiktok. However, in the early days, the company adopted the mode of multi-product and extensive net casting, and the company was repeatedly defeated in overseas markets. It was not until the past two years of concentration of resources and attention that it slowly found the rhythm.

However, in the current short video market competition pattern and complex political and economic environment, 

can Kuaishou's Kwai copy Tiktok?

All in going to sea

The biggest attraction of Kuaishou in 2022 is the overseas market.

In March last year, Ma Hongbin, the "No. 3" Kuaishou and the next " successor", changed from the head of the commercialization business department to the leader of the internationalization business department, which is enough to reflect the company's importance to overseas business.

Kuaishou disclosed in its annual performance announcement that due to the optimization of products and algorithms, the average daily usage time of each daily active user in overseas markets has increased to more than 65 minutes.

In the fourth quarter, the growth of the company's user size, usage time, single-user advertising value and other indicators, out of the dark moment of Q3 in 2022, may also be related to the growth trend of overseas markets.

In Q4 of 2022, Kuaishou achieved overseas revenue of 285 million yuan, a year-on-year increase of 516.8%, and the annual revenue was 425 million yuan, a year-on-year increase of 732.1%, far exceeding that of domestic business and the company market.

Before that, Kuaishou went to sea and was repeatedly defeated. From the Kuaishou international version of Kwai in Russia and South Korea in 2016, SnackVideo in Southeast Asia and South Asia, to Zynn in the North American market in 2020, Kuaishou has repeatedly launched a variety of products, and fought hard for several years.

Now, we have finally made great efforts to make a miracle, and the overseas business has initially established a firm foothold. Of course, this also pays the price of huge losses. In the fourth quarter, the operating profit of the overseas sector was -4.99 billion yuan, and the annual operating loss was 1.9.95 billion yuan.

It is worth mentioning that the whole Kuaishou has significantly reduced sales and marketing expenses, from 44.2 billion yuan in 2021 to 37.1 billion yuan in 2022. The proportion of this expenses in operating income decreased from 54.5% to 39.4%, contributing to the operating profit of domestic business. Regular.

In this context, the company invested most of the existing expenses in overseas markets, All in. As a result, Kuaishou's current loss, the Q4 net profit in 2022 was 1.547 billion yuan, and the annual net loss was 13.689 billion yuan, almost all of which was caused by overseas markets.

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