JS Global Lifestyle reports 2021 interim results, with net profit doubling year-on-year
HANGZHOU, China, Aug. 30, 2021 /PRNewswire/ -- JS Global Lifestyle (01691.HK) announced its interim results for 2021. For the six months ended June 30, 2021, the Group reported total revenue of US$2.24 billion, up 47.8% year-on-year. Net profit for the reporting period was US$218 million, up 104.0% year-on-year, reflecting a strong overall performance.
The interim results shows that JS Global Lifestyle's revenue has increased significantly since the beginning of 2021, despite great pressure from a tightened supply chain, rising inflation and the uncertainties caused by the COVID-19 pandemic. The increase was driven by the steady demand for product in North America and APAC, as well as JS Global Lifestyle's continued expansion in the European market. The significant increase in net profit was mainly attributable to the global team's efforts to control and leverage costs while ensuring that retailers never ran out of stock.
Efforts in four areas to maintain growth
In the first half of 2021, JS Global Lifestyle focused its efforts in four areas: deep insights into consumer expectations, outstanding product innovation and design capabilities, brand engagement driven by advantages in marketing, and an omnichannel distribution model with high penetration.
In recent years, consumption trends have changed significantly, with an increase in the proportion of shopping that is done online, the participation of social media in the decision-making process, a shift in consumers' preferences towards high-end products and services, branded products with high added value, and increased expectations when it comes to the appearance of the goods. The COVID-19 pandemic further changed consumer expectations and shopping habits for small home appliances.
Based on its in-depth insights into the consumer market, JS Global Lifestyle in the first half of 2021 developed several new categories and products, including the Ninja CREAMi which can make ice cream and milkshakes from everyday ingredients, the Ninja professional cold-pressed juicer, the Shark air purifier, the Joyoung Y521 high-speed blender without the need to pre-wash ingredients by hand, the F921 intelligent electric cooker with a carbon steel kettle, and the T21 steam scrubber. The new products have all been launched.
In the new consumer era, the way brands communicate with shoppers and the purchase decision-making process have both changed. In this context, JS Global Lifestyle has leveraged the opportunities presented by online shopping, increased the use of new media to reach consumers, enhanced communication and interactions with consumers, and improved the awareness and reputation of its brands and products.
At the same time, JS Global Lifestyle has continued focusing on international expansion by partnering with local sales teams and major retailers to launch products while continuing to build a closed shopping loop by integrating online and offline channels. In the online segment, JS Global Lifestyle worked closely with platforms such as Amazon and Tmall, while, as for offline, the company secured prime locations at retailers in various markets, while adding more of its brand stores in shopping malls, to ensure that products are available to shoppers regardless of what channel they choose.
Multi-pronged measures to focus on sustainable long-term growth
Comparing H1 2021 financials with those for the same period in 2020 and 2021, JS Global Lifestyle not only saw significant year-over-year growth in revenue and net profit, but also maintained high profitability through supply chain synergies, product portfolio optimization and cost control, with net margin improving by 2.7 percentage points year-over-year.
Since 2020, JS Global Lifestyle has achieved growth amid a market downturn, increasing its market share in existing categories and steadily advancing its expansion of new categories and in international markets. Looking ahead, despite the uncertainties in the macro market environment, JS Global Lifestyle expects to continue innovating its products and categories and developing new ones, to maintain rapid growth by providing consumers with better solutions for small appliances.
To drive sustainable long-term growth, JS Global Lifestyle plans to leverage its leading position in the global market by innovating products, expanding categories and sales networks, maximizing synergies, strengthening brand awareness, and enhancing consumer engagement, as well as seek out strategic partnerships and acquisitions.
About JS Global
JS Global Lifestyle Company Limited (Hong Kong: 1691) is a world leading producer of small household appliances. It ranks fifth globally in the small household appliance industry and third among small household appliance-focused companies. It primarily operates three major brands: Shark, Ninja and Joyoung. The Company's success is centered around its deep understanding of consumer needs, and is built on its strong product innovation and design capability powered by a global research and development platform, marketing strengths driving high brand engagement, and an omni-channel distribution coverage with high penetration. For more information, please visit www.jsgloballife.com
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