On May 24th, Gizcoupon reported that Huami Technology released its financial report for the first quarter of 2023, ending on March 31st, Beijing time. The report reveals that Huami Technology experienced a decline in revenue of 600 million yuan (approximately 93.9 million US dollars), marking a year-on-year decrease of 14.8%. Huami’s net loss attributed to the company amounted to 136.7 million yuan (approximately 19.35 million US dollars), compared to a net loss of 88.7 million yuan (approximately 12.55 million US dollars) in the same period last year. Adjusted net loss, not following the generally accepted accounting principles in the United States, stood at 112.7 million yuan (approximately 15.95 million US dollars), compared to a net loss of 75.7 million yuan (approximately 10.96 million US dollars) in the same period last year.
First-quarter performance of Huami Technology:
Device shipments amounted to 3.5 million units, a decrease of 5.4% compared to the 3.7 million units in the same period last year.
Revenue reached 600 million yuan (approximately 93.9 million US dollars), indicating a decline of 14.8% year-on-year.
The gross margin was 15.9%, lower than the 20.1% recorded in the same period last year.
Total operating expenses were approximately 35.92 million US dollars, down 17.5% year-on-year. Adjusted total operating expenses were around 32.52 million US dollars, the lowest level since 2022.
Operating loss amounted to 21.36 million US dollars, compared to an operating loss of 21.99 million US dollars in the same period last year. Adjusted operating loss was approximately 17.96 million US dollars.
Net loss attributed to Huami was 19.34 million US dollars, while in the same period last year, it was 12.55 million US dollars. Adjusted net loss, not following the generally accepted accounting principles in the United States, stood at 15.95 million US dollars, compared to a net loss of 10.71 million US dollars in the same period last year.
As of March 31st, 2023, Beijing time, Huami held cash, cash equivalents, and restricted cash amounting to 1.0015 billion yuan (approximately 145.8 million US dollars). As of March 31st, 2022, Beijing time, this figure was 1.0529 billion yuan (approximately 149 million US dollars).
Performance outlook:
Huami expects net revenue for the second quarter of 2023 to range between 92 million US dollars and 120 million US dollars, compared to 157 million US dollars in the second quarter of 2022.
