Beijing-based Kanzhun Limited, operator of a leading domestic online recruitment platform called BOSS Zhipin, announced it has approved a shares buy-back plan. According to the arrangement, the firm will repurchase up to $150 million in shares over the next 12 months.
Previous financial report data showed that the company enjoys an abundant cash flow. In the first three quarters, the non-GAAP profit of the company was 504 million yuan ($79.7 million) and the free cash flow was 943 million yuan. According to Goldman Sachs and Morgan Stanley, annual revenue of BOSS Zhipin in 2021 will be recorded at about 4.2 billion yuan.
Zhao Peng, founder, Chairman and CEO of BOSS Zhipin, said, “The effectiveness of our business model continues to be verified, and the public performance in the past reflects the company’s steady profitability and strong free cash flow. The stock repurchase plan is based on our confidence in our business and helps us create long-term value for users, employees and investors.”
BOSS Zhipin was established in December 2013 and listed in the U.S. on June 12, 2021. The company’s revenue mainly comes from online recruitment services for corporate customers. Customers can choose to make self-serviced small and short-term purchases online, or enjoy the services of BOSS Zhipin’s own sales team based on large and long-term demand.
According to the unaudited financial report for the third quarter of 2021 released by the company at the end of November, BOSS Zhipin achieved revenue of 1.211 billion yuan in the third quarter, a year-on-year increase of 105%, exceeding market expectations. After deducting the equity incentive fees, the company achieved a net profit of 385 million yuan. In the 12 months ended September 30, 2021, the total number of paid enterprise customers that have directly cooperated with BOSS Zhipin reached 4 million.