36Kr Holdings Inc. Q3 FY2023 earnings call

• Content initiatives: Maintained high-quality content with over 110 articles reaching 100,000+ page views, followers surpassed 32 million (+20% y-o-y), expanded into short videos, long videos, and podcasts.
• AI integration: Integrated AIGC technology in content production, launched 36Kr Medium Light in Silicon Valley, collaborated with top firms on AIGC applications.
• Advertising: Advertising revenue up 11%, leveraging content and distribution, short video advertising attracting diverse advertisers.
• Enterprise value-added services: Hosted industry conferences, deepened sub-vertical engagement, WISE Conference had over 1.030 billion views.
• Subscription services: Revenue up 62% due to high-quality subscription products and training programs, partnership with University of Oxford on postdoctoral program.

Total revenue for the third quarter of 2023 was RMB97 million, a 2.5% year-over-year increase. Advertising services revenue was RMB71.2 million, up 11% year-over-year. Enterprise value-added services revenue was RMB14.2 million, a decrease from the prior year. Subscription services revenue surged 62% to RMB11.51 million. Advertising services contributed significantly to the revenue, with subscription services showing strong growth.

• Cautiously optimistic outlook for advertising business in Q4, plan to enhance content influence, deepen advertiser cooperation, explore AI marketing.
• Cost-cutting initiatives: Moved headquarters to lower rental building, streamlined R&D team using AI, expecting annual cost savings of at least RMB30 million.

Forward-looking statements involve inherent risks and uncertainties, company's results may differ from views expressed. Further information regarding risks and uncertainties is included in the company's prospectus and other public filings with the US SEC.

Q: How does management view the fourth quarter and next year's advertising revenue trend?

A: Third quarter had 11% y-o-y growth, cautiously optimistic for Q4, plan to enhance content influence, deepen advertiser cooperation, explore AI marketing.

Q: What plan to unlock further growth potential in long and short video segments?

A: Continue expanding in long videos with 3-4 new programs, short videos have over 8.5 million followers, short video ads have higher ARPU.

Q: How AI helped make money?

A: Collaborated with Alibaba Cloud for Asia Games blogger, explored AI in advertising content generation and placement.

Q: Factors contributing to rapid growth in subscription services and new strategies?

A: Launch of high-quality degree-based programs, partnership with University of Oxford, plan to partner with more top universities globally and develop AI-focused training programs.