Rapid business growth in Asia-Pacific
First-half revenue climbed to $2.29 billion
HONG KONG, September 1, 2023 /PRNewswire/ — JS Global Lifestyle Company Limited (stock code: 1691.HK) (“JS Global” or the “Group”), a world leader in small household appliances with three major brands: Shark, Ninja and Joyoung, today announced its half-year results for the six months ended June 30, 2023 (the period”).
Revenue from the Group’s continuing operations (including the Joyoung segment and SharkNinja APAC) and discontinued operations (non-APAC SharkNinja operations) amounted to $2,294 million, up 2.8% over one year. Gross profit achieved $975 million with a gross profit margin of 42.5%, up 3.9 percentage points year on year. Adjusted net profit amounts to $210 million, up 1.4% over one year. JS Global proposes to distribute an interim dividend of HKD0.0392 per share (approximately the equivalent of $0.005 per share) for the Period.
On July 31, 2023, SharkNinja Group (excluding SharkNinja APAC Operations) was listed on the New York Stock Exchange, marking the completion of the Group’s organizational restructuring. The Group’s continuing operations include the Joyoung segment and the SharkNinja APAC segment following the spin-off. Despite significant challenges, fierce competition and a weakening yuan Chinathe Group’s continuing activities recorded revenue of $574 million and the adjusted net profit of $52 million.
Segment Joyoung
In China In a rapidly changing and highly competitive environment, Joyoung, adhering to the brand DNA of health and innovation and the “1+3” product strategy, has introduced innovative and trend-leading products, has improved the series of high-tech products, including variable frequency silence. blender, non-turning air fryer, non-coating rice cookers and other products, as well as a series of entry-level products – Romantic Life (漫生活). Joyoung recorded a turnover of $491 million for the period. At constant exchange rates, sales amounted to $529 million.
ODM[1] the company has accelerated its expansion into new categories, with constant efforts in R&D of innovative products for global customers. The ODM business provided to SharkNinja Group and SharkNinja APAC has not only improved the competitiveness and revenue of Joyoung’s branch, but also enhanced the synergy effect within the group. Meanwhile, Joyoung continued to modernize its supply chain during the period, establishing an efficient supply chain to control costs, optimize production and keep pace with changing consumer demands. In terms of sales channels, Joyoung expanded its direct channels, strengthened its retail guides, expanded its business to new channels, and integrated traditional and content e-commerce, thereby improving sales quality and customer experience. .
Segment SharkNinja APAC
SharkNinja APAC segment revenue was $48.6 million, up 73.0% year-on-year and representing approximately 9.0% of the Group’s total revenue (excluding sourcing). At constant exchange rates, SharkNinja APAC segment revenue would have increased by 84.6%.
Regarding the Japan market, SharkNinja APAC has deeply analyzed consumer experiences and data, leading to the expansion of its cordless vacuum cleaner category. In June 2023SharkNinja launched its new flagship performance line, the CleanSense iQ/IQ+ cordless vacuum cleaner, which increased its market share to 16.1%[2]. During the Period, the income of Japan the market increased by 32.5% year-on-year $37.2 million.
In April 2023the Group finalized the acquisition of several Mann & Noble entities in Australia, New Zealand, Singapore And Malaysia, an important step that allows direct entry into the cleaning, kitchen appliances and hair products sectors in these four countries. Additionally, the new Shark FlexStyle hair care product and Ninja Creami ice cream maker were launched in APAC. Ninja Creami has become the biggest product category for SharkNinja APAC in the Australia market immediately after launch, driving revenue growth in the Australia walk.
Future prospects
Joyoung will continue to focus on its core business of small household appliances, aiming to improve the success rate of product innovation through deeper consumer insight. This will be driven by technological innovation that will provide users with better, long-term, high-value services with superior product quality and stability.
The SharkNinja APAC segment will focus on the development and expansion of the Asia Pacific region (excluding mainland China). It will focus on the top 25 cities in the Asia Pacific segment, focusing on three dimensions, namely “growth of existing categories”, “launch of new categories” and “expansion into new markets”. This means continuing to drive growth in core categories by Japanas well as directly enter new countries or regions such as Australia, New Zealand, Singapore And Malaysia. It will also work with major retailers in these countries to launch products through localized sales teams.
The Group believes that demand for its products will remain strong in the near future as it continues to diversify its product portfolio and offer innovative products in different markets, thereby driving revenue growth and bringing positive returns to shareholders.
|
[1] ODM, means original design manufacturer |
|
[2] gfk sources |
– END –
InInvestor Relations
ir@jsgl.com
SOURCE JS Global Lifestyle
