HONG KONG, Jan. 17, 2023 /PRNewswire/ — On 17 January 2023, the Hong Kong listed company NewbornTown Inc. (SEHK: 9911) released the unaudited operating figures of 2022. For the year ended 31 December 2022, the Company’s total revenue is expected to reach approximately RMB 2,770 to 2,830 million, achieving the growth target.
1. Rapid growth of social networking business with strengthened localized operations
The achievement of the revenue target is mainly due to the rapid growth of the Company’s core social networking business. In 2022, the average monthly active users (MAUs) of the Company’s social products reached approximately 22.91 million, up about 20% year-on-year, and the social networking business revenue is expected to reach approximately RMB 2,540 to 2,570 million, up about 20% year-on-year.
Focusing on global users’ needs, NewbornTown continued to build diversified social products in each market with strengthened localized operations. It further enriched the scenarios for networking, improved social efficiency and optimized the content ecology. The Company has been firmly practicing the growth strategy of "concentrating on users’ needs and business essence".
MENA market: deep localization and integration into local societies
The MENA region remains one of the core markets of NewbornTown. In 2022, the Company continued to expand its localized operations in the MENA region and deeply integrated into the local societies.
In the first half of the year, the Company held the first media gathering in the social entertainment industry in Egypt, and invited more than 20 mainstream media. It targeted to promote the positive image of the industry and facilitated development of the online social entertainment in the region. During Ramadan, the Company also launched a series of public welfare activities, such as cooperating with Food Bank in Egypt to provide food supplies for the poor.
Southeast Asia market: significant increase of brand influence
In Southeast Asia, the Company’s social products have been brought to public attention in various new ways, and hence increased brand influence significantly.
In Thailand and Vietnam, MICO launched the theme songs tailor-made for the two regions and invited local famous artists to participate in the creation and performance. The songs have created a craze on local social media. In the fast-emerging Vietnam market, MICO also launched a promotional video in the form of a microfilm, and selected the best content creators from MICO to act in it, which drew attention of large numbers of local young people. Just last month, the first "MICO Philippines Gala Night" was successfully held with many outstanding content creators and famous artists in attendance.
Developed markets: building product diversity and accelerating market penetration
In 2022, the Company expanded its business in developed markets, apart from consolidating its leading position in the MENA and Southeast Asia.
In Japan and North America, NewbornTown has built content ecology around sports, rap music and other themes in line with the local culture, and kept inspiring content creators. In 2022, MICO held its first offline gathering in Japan, inviting MICO JAPAN’s top content creators to share their creative experiences and insights, and presenting awards to outstanding creators.
2. Important breakthroughs in innovative businesses driven by excellent performances of games
While the social networking business grew steadily, NewbornTown’s innovative businesses including games also made important breakthroughs, with expected revenue to reach approximately RMB 230 to 260 million.
In the second half of 2022, the Company’s two Merge games have been recommended by Google Play worldwide due to their unique gameplay, rich themed events, and exquisite art designs. The Company’s game team has been focusing on product localization, and therefore they launched a wealth of activities during Halloween, Thanksgiving, Christmas and other holidays.
Currently, the two Merge games, including Mergeland-Alice’s Adventure, have entered the top 10 best-selling puzzle games in 19 countries and regions on Google Play. Another game, Bubble Shooter Star, was launched in early 2022 and well-received in the market. With the increase in users and commercialization efficiency of games, the innovation business segment is expected to become the Company’s important growth driver in the future.
To conclude, with the breakthroughs in the core businesses, NewbornTown maintained rapid growth in 2022. In the future, the Company will continue to strengthen its global social networking business, enrich product matrix, and further expand its global coverage.