Cloud Music Full Year 2023 Earnings: EPS Beats Expectations

Cloud Music (HKG:9899) Full Year 2023 Results

Key Financial Results

• Revenue: CN¥7.87b (down 13% from FY 2022).
• Net income: CN¥734.2m (up from CN¥221.5m loss in FY 2022).
• Profit margin: 9.3% (up from net loss in FY 2022). The move to profitability was driven by lower expenses.
• EPS: CN¥3.49 (up from CN¥1.06 loss in FY 2022).

All figures shown in the chart above are for the trailing 12 month (TTM) period

Cloud Music EPS Beats Expectations

Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 31%.

Looking ahead, revenue is forecast to grow 9.8% p.a. on average during the next 3 years, compared to a 20% growth forecast for the Entertainment industry in Hong Kong.

Performance of the Hong Kong Entertainment industry.

The company's share price is broadly unchanged from a week ago.

Balance Sheet Analysis

Just as investors must consider earnings, it is also important to take into account the strength of a company's balance sheet. We have a graphic representation of Cloud Music's balance sheet and an in-depth analysis of the company's financial position.

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