Kanzhun Ltd (BZ, Financial), a leading online recruitment platform in China, announced its unaudited financial results for the third quarter ending September 30, 2024. The company reported a 19% increase in revenue year-over-year, reaching RMB1,911.6 million (US$272.4 million). The number of paid enterprise customers grew by 22.4% to 6.0 million, and average monthly active users (MAU) increased by 30% to 58.0 million. The results were released on December 11, 2024.
Positive Highlights
- Revenue increased by 19% year-over-year to RMB1,911.6 million.
- Paid enterprise customers grew by 22.4% to 6.0 million.
- Average monthly active users rose by 30% to 58.0 million.
- Net income increased by 8.9% to RMB463.8 million.
- Adjusted income from operations increased by 10.2% to RMB605.3 million.
Negative Highlights
- Operating costs and expenses increased by 16.8% to RMB1,586.9 million.
- General and administrative expenses rose by 30.5% due to higher employee-related costs.
- Net cash used in investing activities was RMB698 million, indicating significant capital expenditure.
Financial Analyst Perspective
From a financial analyst's perspective, Kanzhun Ltd's Q3 2024 results demonstrate robust growth in both revenue and user engagement, which are critical metrics for an online platform. The increase in paid enterprise customers and MAU indicates strong market demand and effective user acquisition strategies. However, the rise in operating expenses, particularly in general and administrative costs, suggests that the company is investing heavily in its workforce and infrastructure, which could impact short-term profitability. The company's share repurchase program reflects confidence in its long-term growth prospects.
Market Research Analyst Perspective
As a market research analyst, Kanzhun Ltd's performance in Q3 2024 highlights its strong position in the Chinese online recruitment market. The significant growth in user base and enterprise customers suggests that the platform is effectively meeting the needs of both job seekers and employers. The company's focus on enhancing its technology and marketing efforts, as evidenced by increased R&D and marketing expenses, positions it well to capitalize on future opportunities in the recruitment sector. However, the competitive landscape and economic conditions in China remain key factors to monitor.
Frequently Asked Questions (FAQ)
Q: What was Kanzhun Ltd's revenue for Q3 2024?
A: Kanzhun Ltd reported revenue of RMB1,911.6 million (US$272.4 million) for Q3 2024.
Q: How much did the average monthly active users increase?
A: The average monthly active users increased by 30% to 58.0 million.
Q: What is the company's outlook for Q4 2024?
A: Kanzhun Ltd expects total revenues for Q4 2024 to be between RMB1.795 billion and RMB1.81 billion, representing a year-on-year increase of 13.6% to 14.6%.
Q: What is the status of the share repurchase program?
A: The company has authorized a new share repurchase program effective from August 29, 2024, allowing for the repurchase of up to US$150 million of its shares.
Read the original press release here.
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