Chinese mobile Internet company Cheetah Mobile reported its financial results for the fourth quarter and the year of 2018.
For the whole year of 2018, the Beijing-based company achieved a total revenue of 4981.7 million yuan ($724.6 million), a 2.2 percent increase from the year before. Its mobile entertainment business went up by 19.0 percent and contributed 35.7 percent of the total revenue. Its gross profit reached 3441.1 million yuan with a gross margin of 69.1 percent.
During the last three months of 2018, the Beijing-based company made 1381.2 million yuan ($200.9 million) of revenue, a 1.8 percent increase year over year or a 2.2 percent increase quarter over quarter, lower than expected.
Also for the fourth quarter, the average number of global mobile monthly active users was 470 million, in which 72 percent were from overseas market.
“We achieved full year 2018 financial results that were in line with our previous expectations, mostly driven by growths in our mobile games operation, mobile utility products business in the domestic market, and artificial intelligence (“AI”) powered business,” said Mr. Sheng Fu, Cheetah Mobile’s Chairman and Chief Executive Officer.
According to Cheetah Mobile’s Chief Financial Officer Mr. Vincent Jiang, the company had cash and cash equivalents, restricted cash, and short-term investments of approximately $541 million as of the end of 2018.
Jiang stated, “Our strong cash generation capabilities and our high cash balance should allow us to continue to invest in our long-term growth and our business expansion into the AI space.”