Reborn multinational giant - Chapter 855

In the meeting room on the 17th floor of Huizhong new headquarters building, Fang Zhe, Zheng Siwen and other core executives of Huizhong are all listed.

On the conference table among several people, the telephone for the financial report meeting has been connected.

At this moment, hundreds of investment bank analysts around the world, hundreds of investors or retail investors, as well as countless media and insiders interested in Huizhong’s financial report, have accessed the financial report conference by telephone or live broadcast in various ways.

At 9:30 a.m., Huizhong’s fiscal year 2017 fourth quarter and annual financial report teleconference officially began.

After a brief opening speech, Fang Zhe, who presided over the meeting, began to interpret the financial report:

“Let me give you a quick introduction to the latest major data of Huizhong. By the end of fiscal 2017, the number of registered users of wechat worldwide had exceeded 2.3 billion and the number of daily active users was 1.85 billion…”

If it sounds to ordinary people, the data interpreted by Fang Zhe is boring, while in the ears of hundreds of analysts, thousands of investors and listeners listening to the earnings conference call, every data in the financial report is particularly attractive.

Many analysts have sharpened their knives, listed key data in the notebook beside them, and prepared the questions they want to ask, waiting to challenge Fang zhe later.

Meanwhile, on the Internet, Huizhong’s financial report data for the fourth quarter and the whole year of fiscal 2017 were also officially released to the whole network.

Many news media and financial journalists who have been informed of the content in advance have quickly released relevant press releases.

“Huizhong’s revenue in fiscal year 2017 exceeded US $100 billion for the first time! Huizhong has surpassed traditional Internet giants such as Microsoft and Google and won the crown of the world’s Internet!” Wall Street Journal.

“Wechat has more than 2.3 billion users worldwide, and one in three people in the world is using wechat!” financial times.

“Huizhong’s financial report for fiscal year 2017 came out, with a revenue of US $118.4 billion, which is nearly 830 billion yuan! Huizhong’s revenue is expected to exceed trillion yuan next year!”

“Huizhong’s net profit in fiscal year 2017 is close to US $50 billion, equivalent to nearly 350 billion yuan! Its net profit in one day is nearly 1 billion. What immortal company is this!”

As soon as Huizhong’s financial report came out, the netizens and melon eaters who saw the news were amazed.

“A hundred billion dollars, don’t be too bad!”

“The wealth gap between us and the richest man is another Ma Yun!”

“With 2.3 billion wechat users, the terrible thing is that they are still growing… [panic] [panic] [panic]”

“Lying trough!!! One day’s net profit is 1 billion yuan, which is more than the annual revenue of 80% of domestic listed companies! It’s also a listed company. Dare you believe such a big gap?”

“Looking at the financial report for the first time, Xiaobai wants to ask why it was fiscal year 2017. It’s only may now. How did the annual financial report of fiscal year 2017 come out? Did Huizhong make such a big Oolong mistake?”

“There is nothing upstairs. Read more books and newspapers. Huizhong was listed in the United States in September 2013, so the fiscal year is calculated from April 1 to March 31 of the next year. Huizhong fiscal year 2017 refers to the revenue data from April 1, 2016 to March 31, 2017.”

“The boss upstairs, when he rose, he found that the fiscal year calculation time of major Internet companies seems to be different. It’s a little difficult to make a comparison!”

While the online discussion was heated, the ongoing earnings conference call also entered the question session of analysts and investors.

The first person selected by the conference assistant to access the conference call was Alicia Yap, an analyst from Morgan Stanley.

Until he got on the phone, the analyst named Yap didn’t expect him to be lucky.

Fortunately, as an analyst at a top investment bank such as Morgan Stanley, Yap was ready. He briefly introduced himself and asked directly:

“First of all, congratulations on Huizhong’s revenue, as predicted by many investment banks and analysts, exceeding most people’s prediction to reach US $118.4 billion.

I would like you to briefly explain why Huizhong’s revenue exceeded the forecasts of many investment bank analysts. Does Huizhong have any potential revenue businesses that have not been disclosed or discovered by investors?

In addition, I would like to ask, I remember that at the end of 2014, Huizhong had disclosed that the global number of wechat users exceeded 1.8 billion, but now in the past two and a half years, the number of wechat users has only reached 2.3 billion. Does this mean that the growth of wechat users has reached the ceiling,

Will wechat’s revenue and Huizhong’s overall revenue be dragged down and slowed down?

If so, what measures will Huizhong plan to take to ensure revenue and growth? ”

Yap’s English speed is very fast, but this does not prevent Fang zhe from listening to his questions clearly. “Well,” Fang zhe paused a little and began to answer Yap’s questions:

“You know, our investment business relationship is very large and complex, which is one of the reasons why it is difficult for many analysts to predict our accurate revenue. At present, many potential projects invested by Huizhong in the early stage have begun to enter the mature stage, driving the profitability of our investment business to make a significant contribution to the overall revenue. Therefore, some analysts are unable to accurately predict our revenue Our revenue.

I think in the next few years, with the gradual listing of some unicorn and even small giant potential companies in Huizhong investment business, their contribution to the overall revenue of Huizhong will be more obvious.

Second, the number of wechat users you mentioned.

Indeed, I must admit that the growth of wechat users has begun to slow down, which is also one of the risk tips we have given in our financial reports and investment notes over the past two years.

I think you should also know that the growth of wechat users depends on the growth of the global smartphone industry. Now, the growth of the global smartphone industry has slowed down or even gradually entered negative growth, which directly affects the growth of wechat users.

However, although the growth of wechat users slowed down, it did not affect the growth of wechat revenue and Huizhong’s overall revenue.

Because in the past, the degree of commercialization of wechat and related businesses was far lower than the industry average. In the past two years, with the launch of small programs and other service contents, wechat has made a higher and higher contribution to Huizhong’s revenue.

In the future, the contribution of wechat to the overall revenue of Huizhong will continue to increase, and the overall revenue of Huizhong will not slow down.

As for Huizhong’s ways and measures to ensure revenue and growth, in addition to the degree of commercialization of wechat mentioned above, Huizhong’s improvement in cloud business and its investment in AI, 5g, entertainment and industrial Internet are also gradually seeing benefits and outputs. I believe these businesses will become an important driving force for Huizhong’s revenue growth in the future. ”

“What is the user ceiling of wechat in the future? When will wechat reach this ceiling in about a few years?” Yap asked again.