(Yicai Global) Nov. 23 -- Shares of Kuaishou Technology jumped after China's second-biggest short video platform said that its third-quarter losses had shrunk 62 percent.

Kuaishou's stock [HKG: 1024] rose 4.8 percent to HKD52.65 (USD6.73) as of lunch time today, after earlier gaining as much as 6.4 percent.

Net loss was CNY2.7 billion (USD377.8 million) in the three months ended Sept. 30, versus CNY7.1 billion in the same period a year ago, the Beijing-based firm's latest earnings report showed yesterday. Revenue soared 13 percent to CNY23.1 billion (USD3.2 billion).

"Our unique trust-based ecosystem with ever deepening bond with users, growing monetization capabilities across verticals and our operation improvement measures worked together to drive solid growth, improve profitability and set new highs of operating metrics in the third quarter of 2022," said Cheng Yixiao, co-founder and chief executive officer of TikTok rival Kuaishou. 

Revenue from online marketing services, which accounted for 50 percent of the total revenue, grew 6.2 percent to CNY11.6 billion in the period because of higher advertising income, mainly from e-commerce merchants. Revenue from the live streaming business was CNY8.9 billion, up nearly 16 percent thanks to refined live-streaming operations and close collaboration with talent agencies, making up 39 percent of the total.

The e-commerce business transaction gross merchandise volume soared 27 percent to CNY222.5 billion (USD31.1 billion) in the third quarter from a year earlier. The number of new merchants joining the platform increased nearly 80 percent.

Kuaishou's average daily active users grew over 13 percent to 363.4 million, and average monthly active users increased 9.3 percent to 626 million, with each user's average daily usage time up 8.6% to 129.3 minutes.

"Moving forward, we will strive to build a more integrated ecosystem for user, content and commercialization to highlight our value for users, content creators, advertisers, and merchants," Cheng added.

Editor: Martin Kadiev