(Yicai Global) March 28 -- Meitu Inc., the developer of China's most popular selfie mobile app, posted revenue of CNY4.5 billion (USD721.6 million) for last year, an annual increase of 186 percent, with a more than sevenfold increase in profits from online advertising and value-added services.
The Xiamen-based firm posted a net loss for the year of CNY46 million, a substantial improvement on the CNY540 million lost the year before, and the company notably posted a net profit for the first time in the fourth quarter, it said in its first annual report since its Hong Kong listing in December 2016.
Smartphone business remains Meitu's key source of income, accounting for 82.6% of the total last year. The firm continues to exert efforts on improving the profitability of online business sectors, including ads and live-streaming tools.
Meitu aims to transform its MeituPic app from a mere image processing software to a community platform, similar to Facebook Inc.'s Instagram. The firm is committed to becoming a comprehensive platform serving female users, said CFO Yan Jingliang at a press conference to mark the release of the report, adding that it aims to increase the revenue contribution of its internet business to 25% within two years.
The company will continue to maintain its high gross margin smartphone business to provide capital support for the development of internet businesses as well as research and development in artificial intelligence.