Ø Partnered with JD.com as a Premium EntertainmentProvider for China.
Ø Variety of Premium Content Including Popular CheersLifestyle Series.
Ø Content Programs Completed for MultipleInternational Luxury Brands.
Ø Strong Financial Results Being Reported in 2020 toDate.
Glory Star New Media GroupHoldings Limited (NASDAQ: GSMG) is a leading mobile entertainmentoperator in China. Glory Star’s ability to integrate premium lifestyle content,including short videos, online variety shows, online dramas, live streaming,its Cheers lifestyle video series, e-Mall, and mobile app, along withinnovative e-commerce offerings on its platform enables it to pursue itsmission of enriching peoples’ lives. The company’s large and active user basecreates valuable engagement opportunities with consumers and enhances platformstickiness with thousands of domestic and international brands.
GSMG partners with JD.com Inc. (“JD”) is oneof China’s largest e-commerce platforms. As part of the partnership with GSMG,the company will develop solutions to help JD fulfill their customers’ needsfor premium lifestyle-oriented online content, in the forms of text andshort-form videos. The content production for JD.com is a greataddition to Glory Star’s premium digital client lists which includes Tencent,Alibaba, Weibo, Iqiyi as well as traditional consumer brand clients such asStarbucks, Pantene, Louis Vuitton, Samsung and Sony etc.
JD.com is a leading technologydriven e-commerce company transforming to become the leading supply chain-basedtechnology and service provider. JD.com is the largest retailer in China, amember of the NASDAQ100 and a Fortune Global 500 company.
Ø Completion of Content Production Programs for MultipleLuxury Brands
On June 09th, 2020 GSMGannounced it has successfully completed content production programs formultiple international luxury brands, including Fendi, Prada, Gucci, andBurberry.
Currently, China has begunto lead the way toward recovery from the COVID-19 pandemic, and Chineseconsumers are set to cement their status as crucial growth drivers for theindustry going forward. According to Bain & Company’s Luxury Study 2020Spring Update released in May 2020, Chinese consumers are expected to accountfor approximately 50% of the total global market for luxury goods in 2025compared to 35% in 2019. The total number of China’s upper-middle-classhouseholds is expected to reach 350 million by 2025 with a compound annualgrowth rate of 28% from 2018 to 2025.
As part of Glory Star’scontent production strategies with international luxury brands, Glory Star willleverage its award-winning lifestyle content production services and socialmedia platforms to help expand the online presence of these brands in China.Glory Star will also utilize the leading traffic conversion capabilities andextensive content library of its CHEERS app to enable luxury brands to betterpenetrate China’s emerging luxury market more effectively.
Ø Production for 3rd Season of Flagship OnlineVariety Show Hello! Rapper
On May 27th GSMGannounced plans to begin production of the third season of its flagship onlinevariety show Hello! Rapper in June 2020. As one of the firstmusic-centric variety shows in China, the inaugural season of Hello!Rapper was produced by GSMG in 2017. The show was an instant onlinesuccess, collecting over 100 million views. The latest installmentof Hello! Rapper is expected to help Glory Star continuestrengthening its ties with China’s youth.
Ø Success Shown in First Quarter 2020 FinancialResults
On May 11th GSMG announcedits financial results for the first quarter ended March 31, 2020.
Highlights included:
Downloads of the CHEERS App1 exceeded 100.5 million as of March 31, 2020, comparedto 17.2 million as of March 31, 2019.
Average daily active users (“DAUs”)2 of the CHEERS App increased to 4.1 millionfrom 0.5 million in the same period of 2019.
The Company’s e-Mall carried over 9,602 Stock Keeping Units (“SKUs”) as ofMarch 31, 2020, and recorded over RMB40.6 million (US$5.8 million) in grossmerchandise value (“GMV”)3 through its CHEERS App in Q1.
Revenues were US$9.8 million as compared to US$13.8 million in the same periodof 2019.
Income from operations was US$2.9 million as compared to US$4.4 million in thesame period of 2019.
For more information on GSMG visit: http://wwwr.yaoshixinghui.com/
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