Although both are hot sellers, some have revenue of 5.678 billion, while others’ net profit has dropped by nearly half!

In the cross-border circle, the quarterly financial reports, financing and other dynamics of big sellers always arouse discussions among sellers. These dynamics can reflect the market situation to a certain extent. Sellers can also learn from successful experiences or gain lessons from failure, which will be inspiring for their subsequent operations.

Next, the editor will take you to understand the recent developments of the big sellers.

0 1

Vantop Completes RMB 300 Million Series A Financing

It is learned that Vantop, a popular projector seller on Amazon North America, recently announced the completion of a 300 million yuan Series A financing round, with Sequoia Capital China as the sole investor and Xinghan Capital as the exclusive financial advisor. Vantop CEO Zheng Yuchun said that this round of funds will be mainly used for product research and development, overseas brand building, team expansion and other aspects.

▲ Wantuoke projector

Founded in September 2017, Vantop Technology is a global Internet technology company that insists on independent research and development and focuses on product innovation. Through global layout, branding operation, technological innovation and localized operation, it continuously brings high-quality technological and intelligent products to global consumers and creates a consumer brand with global influence.

▲ Products of Wantuo Technology

Vantuo Technology has been cultivating brand sites on platforms such as Amazon and eBay, with categories covering 3C electronics, outdoor sports, and mobile smart devices. Currently, Vantuo Technology's products include VANKYO projectors and tablets, Snaptain drones, and HeimVision security smart home products.

▲ Brands under Wantuo Technology

Although many big sellers such as Anker also dabble in the above product areas, Wantuo Technology has independently developed its own series of products and established multiple brands, and has achieved remarkable results.

In February 2018, Wantuo Technology launched its first projector on the market. In just 5 months, its projector became the sales champion on Amazon in North America. In December 2018, its projector market share ranked first on Amazon in the United States.

▲ Product performance of Wantuo Kechuang projector

In 2020, Wantuo Technology's sales in the second quarter increased by 473% year-on-year, and its sales in the first half of the year exceeded the whole of last year . We expect Wantuo Technology to have an extraordinary performance in its third-quarter financial report.

As many cross-border sellers have released their third-quarter financial reports, the profit and revenue situation of each seller is also available.

0 2

Tongtuo's revenue in the first three quarters was 5.678 billion

Tongtuo's parent company Huading Co., Ltd. released its third-quarter report on the 27th. The financial report showed that Huading Co., Ltd.'s revenue in the first three quarters was 7.218 billion yuan, a year-on-year increase of 22.15%, and its net profit was 120 million yuan, a year-on-year decrease of 53.77%.

▲ Huading shares revenue report for the first three quarters

Huading shares stated in its financial report that the main reason for the revenue growth was the increase in sales revenue of its subsidiary Tongtuo Technology. Among them, the cross-border e-commerce sector where Tongtuo Technology is located had a total revenue of 5.678 billion from January to September , of which the export cross-border e-commerce revenue was 4.886 billion , accounting for 86.05%.

▲ Details of sales revenue of various categories of cross-border e-commerce of Huading Co., Ltd. in the first three quarters

In addition, it is learned that Huading Co., Ltd. also disclosed Tongtuo's key export operating data, among which Tongtuo Technology's order volume from January to September was 25.9 million and the total commodity transaction volume was 5.25 billion.

Seeing such a huge order volume and transaction amount, have the sellers shed tears of envy?

▲ Key export operating data of Tongtuo Technology in the first three quarters

Although overall sales are good, due to the impact of the epidemic, the increase in cross-border e-commerce platform fees, logistics costs, advertising fees, salaries, etc. has led to a significant increase in sales expenses, which has had a certain impact on the decline in net profit.

On the same day, Cross-border Communication also released its third quarter report for 2020. The announcement showed that from January to September 2020, it achieved revenue of 12,979,505,247.65 yuan, a year- on-year decrease of 7.11%; net profit attributable to shareholders of listed companies was 371,602,520.19 yuan, a year-on-year decrease of 47.15%. Among them, the profit in the third quarter was 100,255,540.79 yuan, a decrease of 58.75% over the same period last year.

It can be seen that although Cross-Border Link’s net profit in the first three quarters reached 372 million, all revenues have declined significantly compared with the same period last year.

In addition, Cross-Border Link disclosed the operating data of Paton, Shanghai Youyi E-Commerce and Global Easybuy in the first three quarters in its financial report.

Shenzhen Qianhai Paton Network Technology Co., Ltd. achieved operating income of RMB 335,581.03 million, a year-on-year increase of 40.70%; achieved net profit attributable to parent company shareholders of RMB 22,880.13 million, a year-on-year increase of 52.80%; and net cash flow generated from operating activities was RMB 32,830.23 million.

Shanghai Youyi E-commerce Co., Ltd. achieved operating income of RMB 449,975.42 million, a year-on-year increase of 2.98%; net profit attributable to shareholders of the parent company was RMB 12,532.82 million, a year-on-year decrease of 45.15%. Net cash flow from operating activities was RMB -62,061.67 million.

Shenzhen Global Easybuy E-Commerce Co., Ltd. achieved operating income of RMB 508,856.82 million, a year-on-year decrease of 28.73%; achieved net profit attributable to parent company shareholders of RMB 12,157.92 million, a year-on-year decrease of 72.07%; net cash flow generated from operating activities was RMB -26,826.72 million.

Regarding the circumstances and reasons for the significant changes in the financial data in the financial report, Cross-border Communication also gave an explanation in the financial report, including:

R&D expenses from the beginning of the year to the end of the reporting period increased by RMB 27,631,169.57 compared with the same period last year, an increase of 49.82%. The main reason was that Paton focused on the influence of its brand and products in 2020 and increased its investment in product research and development.

From the beginning of the year to the end of the reporting period, financial expenses increased by RMB 180,804,426.37 compared with the same period last year, an increase of 429.75%, mainly due to the impact of exchange rate changes.

In fact, after reading the above best-selling dynamics, sellers may have the following insights:

Through this article analyzing the trends of big sellers, I hope that sellers can learn from it and think about it, so that they can better devote their energy to the peak consumption season in the fourth quarter.

Of course, in addition to the above content, I believe sellers will have other insights. Welcome everyone to leave a message in the comment area to share ~