Light Media invests in original music platform echo's annual report performance is expected to increase by 18% to 35%

Enlight Media announced on the 27th that it will launch a new campaign against Coveredge(Cayman)Inc. (hereinafter referred to as "Qiwei Company") invested US$30 million and obtained a 20% equity interest. Qiwei's main product is echo, a sound entertainment social media platform for young users (post-90s and post-00s).

This investment was completed through the following methods: Hong Kong Pictures International Co., Ltd.(hereinafter referred to as "Hong Kong Pictures"), the subsidiary company of Beijing Light Media Co., Ltd., signed a "Share Subscription Agreement" with Qiwei Company. Hong Kong Pictures invested US$30,000,000 in Qiwei Company to subscribe for 6,934,166 Series C-2 preferred shares, accounting for 20% of Qiwei Company's total outstanding share capital. This means that echo's valuation has reached US$150 million.

Echo was launched in September 2014. In September 2015, one year after its establishment, registered users exceeded 10 million. As of the beginning of 2016, there were 13 million users.

Echo provides the latest sound entertainment media content and bullet screen social platforms for people born in the 1990s and 2000s in first-and second-tier cities. It aims to become a mainstream sound entertainment portal in China and create a domestic new generation original music base. According to echo, it currently has 15 million highly sticky user groups, of which more than 90% are born in the 1990s and 2000s. At the same time, it has established a UGC (user-generated content) ecosystem and has a large number of original music.

Light's relevant layout for young users has been launched as early as 2014. At that time, Light invested 25 million yuan in Xuanji Technology, and in the first three quarters of 2015, it invested heavily in multiple animation companies.

Enlight Media said that since payments in China's content industry will be mainly driven by the new generation of young users, investing in Qiwei will help the company expand its brand influence in the new generation, thereby grasping the multiple monetization of the company's own content. important channels.

Enlight Media said on the 26th that it expects its net profit in 2015 to increase by 18%-35% over the same period last year, and its profit for the same period last year was 329.325 million yuan.

In 2015, the company released 15 films including "Zhong Kui Conquering the Devil","Left Ear","Lost in Hong Kong","Ghost Blows the Lantern", and "Villain Angel". The cumulative box office of films invested in, distributed or co-distributed was approximately 5.576 billion yuan, and film revenue and gross profit increased compared with the same period last year.

Light also stated that the company made business adjustments in 2015 and reduced the production of TV programs. Column production and advertising revenue and gross profit decreased compared with the same period last year. In 2015, the distribution revenue of TV series such as "The Four Famous Young Arrests","My Baby","Young Detective Di Renjie" and the online series "Tomb Robber Notes" was confirmed. The revenue from TV series increased compared with the same period last year. However, due to the carry-over of expired TV series inventory items, the gross profit of TV series decreased compared with the same period last year. The company's confirmed animation game revenue and gross profit in 2015 increased compared with the same period last year.

The announcement shows that the company expects non-recurring profits and losses to be 35 million yuan in 2015, mainly financial income and government project subsidies and rewards.

[Original Announcement]

Enlight Media: 2015 Annual Results Forecast

Enlight Media: Announcement on Foreign Investment

Editor: vian