laitimes

"Joy" and "worry" in the financial report of The Sound Network

"Joy" and "worry" in the financial report of The Sound Network

Text | Heterogeneous Finance

Hi: Active customers and revenue scale continue to grow steadily

According to the data, in Q4 2021, The revenue of SoundNet real-time interactive services was $37.71 million, an increase of 20.1% year-on-year, and the service revenue contributed 93.4% of the revenue in the fourth quarter. For the full year 2021, real-time engagement services revenue reached $160 million, up 22% from $130 million in 2020.

According to public information, SoundNet is based on the "RTE Vientiane Atlas" of real-time interactive scenes, covering more than 20 industry tracks and more than 200 scenarios such as education, pan-entertainment, IoT, finance, medical, enterprise collaboration, digital government, and smart city.

Worry: Losses widen, revenue growth slows down, and profits are far away?

"Joy" and "worry" in the financial report of The Sound Network
"Joy" and "worry" in the financial report of The Sound Network
"Joy" and "worry" in the financial report of The Sound Network

It is still in a state of loss, which has a lot to do with high costs and expenses.

Operating expenses are mainly composed of three parts: R&D expenses, marketing expenses and administrative expenses. Among them, R & D expenses are the majority. The financial report shows that

In Q4 2021, R&D expenses were $28.78 million, an increase of 99.3% from $14.44 million in the same period last year, and the R&D expense ratio rose to 71.3% from 43.4% in the same period of the previous year; sales and marketing expenses were $13.8 million, an increase of 85.5.2% from $7.44 million in the same period last year, the marketing expense ratio increased from 22.4% in the same period of the previous year to 34.2%, and general and administrative expenses were $9.34 million. This was a 40% increase from $6.67 million in the year-ago quarter, and the administrative expense ratio was 23.1%, up slightly from 20.1% in the year-ago quarter.

"Joy" and "worry" in the financial report of The Sound Network

It is reported that this quarter, Sound Network launched three major solutions of MetaChat Meta Talk, MetaKTV Meta K Song, and MetaLive Meta Live Broadcast, which is committed to providing interactive social, K songs and live broadcast methods in the new meta-universe scene. However, how long it will take for the metaverse to go from layout to final commercial landing is full of unknowns.

Read on