Skip to main content

Posts

Showing posts with the label China

Markets: China's Meituan Fined $530M For Monopolistic Conduct

Meituan , a Chinese food delivery giant, has been levied a big fine in its home base of China. The country's State Administration for Market Regulation has fined Meituan 3.44 billion yuan ($533mn) for monopolistic conduct, amounting to 3% of the company's 2020 revenue.  Meituan is the second Chinese tech company to be levied a hefty fine as the country has toughened its regulation on its domestic tech companies. The first was Alibaba , the e-commerce giant, which was fined $2.8bn  this April. Along with the fine, Meituan was also ordered to return 1.29 billion yuan ($200mn) of deposits stemming from exclusivity agreements with restaurants signed up on its food delivery app. Such agreements barred restaurants working with Meituan from offering takeout food delivery on rival platforms and required deposits to be put in place that Meituan claimed the right to deduct from were the agreement breached. Meituan is a food delivery giant in a country that constitutes the world's l

Markets: US SEC Takes Aim At Chinese IPOs

The US Securities and Exchange Commission (SEC) has taken a swipe at Chinese initial public offerings (IPOs) after regulatory hiccups in China have affected many Chinese stocks listed on US markets and American stockholders holding them. The SEC has issued new guidance on Chinese companies seeking to list shares in the US, requiring them to make certain disclosures to investors or otherwise refrain from listing in the US markets. First of all, usually, Chinese companies listing in the US don't actually sell shares of the operating companies but that of shell companies with contractual relationships with the operating companies. These shell shares, known as American Depositary Receipts (ADRs) , are used to circumvent restrictions on foreign ownership of Chinese shares imposed by the country's government. Now, the SEC in a statement has made it clear that Chinese companies seeking to list in the US must provide clear descriptions of the shell operations involved in such listing

Xiaomi Overtakes Apple As World's No. 2 Smartphone Brand

It's a big time for Xiaomi , a Chinese electronics brand that's taken the world by storm in just about a decade of existence. The brand has overtaken Apple to become the number 2 smartphone vendor in the world, according to info published by research firm  Canalys .  Canalys is a reputed research firm whose statistics are a major standard in the smartphone business.  According to Canalys , Xiaomi accounted for 17% of global smartphone shipments in the 2nd quarter of 2021, surpassing Apple's 14% and now trailing only Samsung's 19%. More so, the annual growth of Xiaomi's smartphone shipments was 83%, surpassing that of the other brands by a wide margin. Credit: Canalys According to Canalys , the top 5 smartphone vendors are Samsung, Xiaomi, Apple, Oppo, and Vivo. Interestingly, both Oppo and Vivo seem to be offshoots of one Chinese company named BBK Electronics though the specifics around that are unclear (if wholly-owned or just affiliates), so it seems BBK could e

Chinese Rideshare Giant Didi Files For US IPO

It's a landmark time for the business world, as one of the biggest tech giants from China has filed for an IPO on the US markets. That giant is Didi Chuxing , China's biggest ride-hailing company just like Uber in the US. As one of the biggest privately-held tech companies in China that's only surpassed by TikTok owner ByteDance, Didi's IPO has been long-awaited. Now, the filing for that has dropped upon us like a quiet bomb. As usual, we'll be dissecting some important information from Didi's F-1 filing , especially its revenue figures. The F-1 provides long-awaited insight into the business of Didi as China's premier on-demand transportation company. Figures Didi reported $21.6bn in revenue in 2020, up 11% from the previous year. It wasn't profitable on a net basis for that year, reporting a $1.6bn net loss. However, in the first quarter of 2021, Didi declared a net income of $837mn (before certain shareholder payouts) on $6.4bn in revenue. Meanwhile,

Chinese Jobs Site Boss Zhipin Sets US IPO Terms

A popular online jobs site in China is set to list on the US public markets very soon. That site is Boss Zhipin , operated by parent company  Kanzhun Ltd .  Last month May, Boss Zhipin's parent Kanzhun filed an F-1 document with the US SEC as required for foreign companies listing in the country's markets. Now, it's filed an updated F-1 document  that indicates the terms of its IPO. Kanzhun is seeking to raise as much as $912mn by selling 48 million American depositary shares at between $14 and $17 each. Each depositary share represents two ordinary shares.  At the mid-point of the set price range, Kanzhun will have a fully diluted market cap of $8.2bn. Kanzhun had $298mn in revenue in 2020, up 95% year-over-year. The company isn't profitable on a net basis, with a $144mn loss in 2020. Kanzhun's Boss Zhipin is a popular jobs site in China with 25 million monthly active users as reported in its F-1 filing. It makes money by charging companies for posting certain jobs

China Electronics E-Tailer Aihuishou Files For US IPO

A top online marketplace for used electronics in China is set to soon hit the US public markets. It's  Aihuishou , a company backed by investors including China's JD.com.  Aihuishou has filed for an IPO on the US markets. It's set to list on the New York Stock Exchange.  From its F-1 filing with the US SEC, great insight is provided into  Aihuishou's business with information publicly disclosed for the first time. Here, we're breaking down some of the most important bits from the filing. By the Numbers Aihuishou made 4.9bn Chinese yuan ($770mn) in revenue in 2020, compared to 3.9 billion yuan ($610mn) in 2019. As an online marketplace for used electronics, the company primarily makes money by taking a cut from sales transactions made on its platform. Aihuishou isn't profitable on a net basis, reporting a net loss of 471mn yuan ($74mn) in 2020, down from 705mn yuan ($111mn) in 2019. With a history of losses over the past three years, Aihuishou has sustained its

Earnings: Sales Soar For China's Meituan

Meituan, a fast-growing "super-app" in China, has dropped its latest earnings report for the quarter ended March 31, 2021. The report showed soaring sales at the company, with quarterly revenue more than doubling over the year. In its report, Meituan touted China's effective measures to contain the Covid pandemic as a focal point of its strong business in the first quarter of 2021.  Meituan is a "super app", a term fondly used to refer to single apps covering lots of services. In Meituan's case, its app covers online retail, food delivery, travel, logistics, advertising, and its likes.  Details Meituan reported $5.8bn in revenue in Q1 2021, up 121% year-over-year. The high growth came thanks to heavy investments that Meituan is making to expand its business, and as such, the company's net loss widened to $752mn compared to $266mn in the previous year. Meituan's business was propelled by the growth of its food delivery and hotel booking and travel se

China's Full Truck Alliance Files For US IPO

The biggest on-demand trucking startup in China, Full Truck Alliance , has filed for an initial public offering on the US markets. The company, also known as the Manbang Group, has unveiled an F-1 filing with the US SEC as required for foreign companies listing in the US. Full Truck Alliance (FTA) has filed to list on the New York Stock Exchange. As usual, the company's F-1 filing provides great insight into its business with information not publicly disclosed before, and we're pointing out some of that here. To start, Full Truck is a platform connecting shippers and truckers on-demand. It makes money by taking a cut of the shipping deals transacted on its platform. By the numbers: FTA made $396mn revenue in 2020, compared to $379mn in the previous year. It's largely not profitable on a net basis, reporting a $532mn net loss in 2020. FTA claims to be the world's largest on-demand digital freight platform. By its reporting, it fulfilled $27bn worth of orders in 2020 and

Gaming: Japan's Gree Wins $92M Verdict Against Supercell

A patent feud between two major gaming companies in Asia has resulted in a big court-ordered payment for the smaller company in the feud. That feud is between Japanese gaming company Gree and Chinese gaming giant Tencent, actually its subsidiary Supercell , that's resulted in a big monetary damages award for Gree. Although both Gree and Tencent are based in Asia, the legal feud that resulted in a verdict against Tencent was fought in the US, precisely in Texas.  Details: A federal jury in Marshall, Texas has ordered Tencent's Supercell gaming division to pay $92.2mn in damages to Gree after finding it guilty of violating Gree's patents.  Supercell is Tencent's Finland-based mobile gaming division that it acquired in a $10bn deal in 2016. It's best known for its Clash of Clans hit mobile game. The patent feud between Gree and Supercell began last year when Gree sued the Finnish game developer for allegedly infringing on its patents. The patents centered on feature

EVs: Chinese EV Maker Nio Expands Into Norway

One of China's best-known electric carmakers is expanding into the European market in a major way, particularly in Norway. That carmaker is Nio , for which Norway will be its first step overseas. Details: Nio has officially announced its market entry  into Norway where it'll open a full retail system including showrooms and a service center. Nio's flagship ES8 SUV will be its first car to be introduced in Norway this year while its ET7 sedan follows next year. For sales, Nio says it'll open its first dedicated retail center in the country in the third quarter of this year while four more will be launched next year. Nio plans to start delivering cars to Norwegian customers in September 2021. Highlights: Norway is one of the major markets for electric cars globally, as it made up 54% of the cars sold in the country last year. It's one of the foremost countries at the push away from ICE cars towards electric models. With Norway's status as a major m

China: Podcast App Ximalaya, Cloud Startup Qiniu File For IPOs

Two major startups from China have newly filed for their respective IPOs on the US markets. They are Ximalaya , a popular podcast app in the country, and Qiniu , a cloud computing startup backed by investors including local e-commerce giant Alibaba. As required for foreign companies seeking to list their shares on the US markets, Ximalaya and Qiniu have filed their respective F-1 documents with the SEC. The F-1s provide strong insights into both companies' business with information not publicly disclosed before. Details Qiniu: Qiniu's F-1 document shows that of a company with fast-growing revenues over the past few years. It reported $166mn in revenue in 2020, up 100% year-over-year. Qiniu is slightly unprofitable, reporting a small net loss of $3mn in 2020.  For the three months ending March 31, 2021, the company reported $49mn in sales, up 100% year-over-year, and a $4mn loss. With fast-growing revenues and relatively small net losses as reported, Qiniu has strong business p

China's Luckin Coffee Gets $250M Investment After Fraud Fallout

Luckin Coffee, the once high-flying Chinese coffee chain startup that came crashing down on the heels of a major accounting fraud wherein it admitted faking revenue to the tune of over $300 million , appears to be attempting to bounce back even after its hefty troubles.  Luckin has said that it's secured a $250 million investment commitment from two Chinese private equity firms, Centurium Capital and Joy Capital, both of whom were existing shareholders of the company before committing the funding. Under their set terms, they'll purchase preferred shares of Luckin Coffee, which was delisted from the Nasdaq stock market last year and now trades over-the-counter. Centurium Capital will invest $240 million while Joy Capital is ponying up a much smaller $10 million. The new capital for Luckin is akin to a bailout that the company hopes to use to rebound its business.  Unsurprisingly, Luckin says that it'll use the new capital it just secured to help pay a hefty $180 million fin

TikTok Owner ByteDance Makes Big Gaming Purchase, Hires CFO

ByteDance Technologies, the high-flying Chinese technology startup that owns a suite of apps including the popular TikTok, has made a major gaming acquisition that is the company's biggest acquisition yet, paying a reported $4 billion to buy mobile game developer Moonton. Moonton is a Chinese mobile game studio that's best known for its multiplayer online battle arena game Mobile Legends: Bang Bang . It was founded just seven years ago and now has seen a big exit with a sale to ByteDance. Per publicly-known information, Moonton is known to have raised just a small amount of venture funding, making its reported $4 billion sale price very lucrative for its shareholders. Its sale signals ByteDance having big ambitions venturing into the gaming world. As it made a big gaming acquisition, ByteDance also announced the appointment of a new Chief Financial Officer poached from Chinese smartphone maker Xiaomi. Shou Zi Chew, who served as Xiaomi's CFO from 2015 to 2020 will become B

Zhihu, "China's Quora", Files For US IPO

The latest Chinese tech company making a push to list on the US public markets is Zhihu, a popular Q&A website in China that's fondly referred to as the country's version of Quora, which is the leading Q&A site in the American market. Zhihu has submitted an F-1 filing  for an IPO to the US Securities and Exchange Commission (SEC) as usual for foreign companies looking to list securities on a US stock exchange. That F-1 filing provides a peek into the company's business with information not publicly known before. Zhihu will sell American Depositary Shares to investors on the New York Stock Exchange (NYSE) to become publicly-traded in the US. Three banks, namely Credit Suisse, Goldman Sachs, and J.P. Morgan are the underwriters for the company's imminent IPO. From its F-1 filing, it's indicated that Zhihu generated the equivalent of $207 million in revenue in 2020, double what it made in the previous year 2019. Though, the company isn't profitable, reporti

Taiwan's Foxconn To Build Cars For EV Company Fisker

After becoming a public company last year through a merger with a special-purpose acquisition company (SPAC), electric carmaker Fisker has taken a bold and crucial step towards its planned manufacturing of electric cars with a partnership with Foxconn, the Taiwanese manufacturing powerhouse famously known for assembling Apple's iPhones. Fisker has announced a partnership with Foxconn that'll see the Taiwanese manufacturing giant build electric cars bearing Fisker's name with projected annual production volumes of 250,000+ units. The vehicle to be manufactured by Foxconn will be Fisker's second electric vehicle and hasn't yet been unveiled. Fisker says that the new electric vehicle to be built by Foxconn is planned to go into production by Q4 2023, roughly a year after the scheduled launch of Fisker's first vehicle, the Ocean SUV . Already, over 12,000 reservations have been booked for the Ocean SUV, wherein Fisker has grand plans to get into a competitive elect

Q4 2020: Baidu's Non-Ad Revenues Sprouts Up

Baidu is the Chinese search engine giant that's known as 'China's Google', and just like Google, most of the money made by the Chinese tech giant has come from online advertising. However, the company has in recent years invested heavily to diversify its revenues beyond online advertising, also like Google has done, and has now begun seeing its investments reap fruits. Baidu just posted its quarterly results for the fourth and final quarter of 2020, showing $4.6 billion in revenue that was driven significantly by the rise of its non-advertising businesses. 2020 was the year of the Covid-19 pandemic which negatively affected Baidu's advertising revenue stream while its other businesses increased sales by 52%. Baidu's other businesses include cloud hosting, artificial intelligence software, and the provision of software for connected vehicles. The company has spent billions of dollars in recent years to boost its prowess in those newer markets. In Q4, Baidu posted

Self-Driving Truck Startup Plus Nabs $200M Round

Plus, an American-Chinese self-driving truck startup that formerly bore the name Plus.ai , has announced  that it's raised a fresh funding round of $200 million led by new investors Guotai Junan International, CPE, and Wanxiang International Investment, three Chinese firms. Other existing backers such as the Chinese on-demand trucking giant Full Truck Alliance also participated in the round. With its new funds, Plus says that it's working to meet its goal of mass production of self-driving trucks this very year. The company already has extensive testing operations in the US and China and now plans to expand further internationally into Europe and other parts of Asia. The new funds will allow Plus to hire more employees to guide its growth. Plus has made a key partnership with the Chinese truck maker FAW, a partnership that involves the deployment of its self-driving technology on trucks mass-produced by FAW. The company aims for the mass-production deployment to kick off this y

Electric Carmaker Nio Quadruples Deliveries In January

Nio, the Chinese maker of electric cars, has posted its sales figures for the month of January 2021, revealing that it delivered 7,225 vehicles in the month, about quadruple what it delivered in the same month last year. Nio sold 352% more vehicles in January 2021 than it did in January 2020, indicating very strong growth prospects for the company. During the month, Nio delivered 1,660 ES8 SUVs, 2,720 ES6s, and 2,845 EC6s. The company has now delivered a total of 82,866 vehicles since its start. For now, Nio only offers electric SUVs, even though that wouldn't stay the same for much longer as the company recently unveiled its first electric sedan , the ET7 (pictured above). The new sedan is expected to enter into production next year. As Nio's business has grown, that growth has reflected very well in the company's affairs on the stock market. In 2020, the company's share price rose by over 1,000%, an unprecedented rise by normal standards, and Nio didn't just sit t

Xiaomi Sues US After Investment Blacklist

Just a short while after the Chinese smartphone maker Xiaomi was placed on a blacklist by the former Trump administration that sought to bar US investors from buying shares of the publicly-traded company, Xiaomi has now filed a lawsuit against the U.S. Defense and Treasury department, challenging and seeking to reverse the US government's order. In its suit , the US Defense Secretary Lloyd Austin and Treasury Secretary Janet Yellen are named as defendants, the two of them being freshly appointed by the Biden administration with less than two weeks on the job. Xiaomi is challenging the Trump-issued executive order against the company, arguing that requiring US investors to divest all their Xiaomi shares by the 14th of January, 2022 as stipulated will hurt the company by cutting off its access to US capital markets and also American investors with big Xiaomi stakes like BlackRock, Vanguard Group, and State Street Corp. Xiaomi was placed on a blacklist by the Trump administration ove

Chinese E-Tutor Huohua Siwei Heads For US IPO

Huohua Siwei, a Chinese e-tutoring company backed by investors including the Chinese tech giant Tencent and private equity firm KKR, appears to be on its way towards a public listing that could come this year. The company has picked banks including Goldman Sachs and Credit Suisse to work on a public offering in the US, Bloomberg reports . Huohua Siwei, or Spark Education in English, is a major e-tutoring provider in China, serving children aged 3 to 12. It's backed by some $443 million in venture funding from investors including Tencent, KKR, The Carlyle Group, Sequoia Capital China, IDG Capital, and GGV Capital. 2020 was a great year for e-tutoring services as the Covid-19 pandemic largely increased the demand for online learning activities. As such, it seems that Huohua Siwei is looking to ride that boom all the way to the public markets. The company is said to be seeking to raise as much as $500 million from a US public offering. Just like Huohua, another major Chinese e-tutor

Most Read Posts

Alert: US FDA Permits First E-Cigarettes, Citing Smoker Benefits

The American Food and Drug Administration (FDA) has authorized its first set of electronic cigarette products, citing some benefits to their use for adult smokers trying to quit tobacco. The authorization is noteworthy for general e-cigarette products that have been tainted with scandals and controversy for their high use rate among teens.  The FDA permitted three e-cigarette products from Vuse Solo , a brand distributed by British American Tobacco (LON: BATS). Vuse is the No. 2 vaping brand in the US behind Juul, a rival currently in the FDA's crosshairs . Vuse sought permissions for 13 vape products, but 10 were denied, and only 3 were accepted. It shows the FDA's strictness in regulating vape products after locking its eyes on the sector. As it permitted its first vape products, the FDA issued strict guidelines concerning their marketing, including restricting internet, radio, and TV ads to "greatly reduce the potential for youth exposure." For a long time, vape pr

Apple Appeals Ruling Of Legal Brawl With Epic Games

Tech giant Apple (NASDAQ: AAPL) has filed an appeal against the court judgment of its legal battle with Epic Games , the studio behind hit video game Fortnite . The battle stemmed from Apple's 30% fee on in-app purchases made through its App Store that Epic tried to avoid by enabling sideloading of Fortnite on iOS, but got the game blocked from the App Store in retaliation. The legal brawl between Apple and Epic is one of the landmark events of the tech industry this year. Both companies played it out in court with a three-week trial in May before the first ruling of the case was issued this September. The ruling, by Judge Yvonne Gonzalez of California, was a compromise for both Apple and Epic rather than a solid win or loss for any party. For Apple, it was ordered to allow iOS apps to direct users to payment options other than its own. At the same time, Epic was found to breach its contract with Apple by enabling sideloading and ordered to restitute Apple's 30% cut on Fortnit

LG To Pay GM Up To $1.9B For Supplying Faulty EV Batteries

LG Group , the South Korean electronics and chemicals giant, is reimbursing a significant amount of money for supplying faulty batteries to one of its biggest customers, American automaker General Motors (GM) . It'll reimburse GM  up to $1.9bn  to cover the costs of the automaker's massive recall of its Chevy   Bolt electric cars containing LG batteries. Apparently, LG supplied faulty battery modules to GM for use in its Bolt EVs. These faulty batteries made all Bolts a significant fire risk that caused GM to organize a total recall, costing the American automaker a considerable sum. Because of the fault found with LG's batteries, the Korean company negotiated with GM and agreed to cover the majority of costs of the automaker's total recall. While the final recall costs haven't been set, GM has said  it'll offset $1.9bn of the $2bn in charges associated with the recall in its next quarterly report, implying LG could pay up to that amount. Separately, two LG Cor

AR Startup Magic Leap Is Back, With $500M In Funding

Not too long ago, there was a hot-cake startup that left VCs frothing at their mouths. This startup was building augmented reality (AR) headsets that promised to upend the industry. It was able to raise $3bn on the backs of its hype, but when it delivered its first product, people were greatly unimpressed . Problems came, its CEO stepped down, and the startup faded out of view....It was Magic Leap . However, Magic Leap has jerked back into the public sphere with a new milestone. The startup has announced   $500mn in fresh funding that'll be used to put final touches to its second-generation product. It appears that investors are still hopeful of the company delivering its promise despite its earlier woes. The investors that provided the fresh funding weren't named. Notably, it's not a funding round that warrants a celebration because it heavily diluted the stakes of earlier investors. The new funding valued Magic Leap at $2bn post-money , the company said, which is less

Personal Finance Startup NerdWallet Files For IPO

NerdWallet , a popular financial information website, has unveiled its S-1 paperwork filed with the US SEC for an initial public offering (IPO). It's the latest fintech startup kickstarting a journey to the public markets at a time when investor sentiment towards public fintech companies is very favorable. NerdWallet is a popular online destination for financial advice and information pertaining primarily to Americans. It makes money from promoting financial products to its users and getting commissions when purchased, a very lucrative business, as the S-1 paperwork indicates. According to the S-1, NerdWallet has a big business that's also profitable . The company posted $245mn in revenue and a small net profit of $6mn in 2020. In 2019, it posted $228mn in revenue and a $24mn net profit.  However, in the first half of 2021, NerdWallet posted a net loss $27mn, though its revenue for the same period grew 32% year-over-year to $182mn. Basically, NerdWallet is a very solid busines

At KKR, Historic Private Equity Barons Step Down

Two of the godfathers of modern-day private equity investing, Henry Kravis and George Roberts  of the famous leveraged buyout firm  KKR (NYSE: KKR), have handed in the reins by stepping down as Co-CEOs from their firm. Replacements have been named for them, effectively . Henry Kravis and George Roberts, together with the late Jerome Kohlberg, pioneered America's industry of "leveraged buyouts (LBO)" where Wall Street firms bought companies using borrowed money, with the companies themselves used as collateral for debt and their future profits used to pay it down.  LBOs built a reputation as a form of "ruthless" capitalism that continues to this day, because of some strong-arming tactics by which Wall Street firms chased after them. This tainted reputation made LBO firms rebrand to what we currently call private equity firms. At KKR, Kravis and Roberts' landmark deal was acquiring RJR Nabisco , a tobacco and food giant, for $25bn , mostly borrowed money,  in

Tether Fined $41M For Lying About Fiat Reserves

Tether Limited , the organization behind the eponymous Tether (USDT) stablecoin, has been fined a substantial sum for lying about the fiat reserves backing its stablecoin. It was fined $41mn by the US Commodity Futures Trading Commission (CFTC). According to the CFTC's press release , Tether lied to customers that it had sufficient dollar reserves to back every issued USDT token whereas it did not for a long period of time. Over a 26-month sample period from 2016 through 2018, the CFTC said Tether only had sufficient dollar reserves for all its tokens 28% of the time, whereas it lied that it was "fully-backed" all the time. Also, the CFTC said Tether failed to disclose to customers that it had unsecured receivables and non-fiat assets in its supposed cash reserves. The organization further lied to customers that it would undergo routine, professional audits of its reserves but has failed to do any, the CFTC said. For its violations, the CFTC fined ordered Tether to pay a

Deal: Mindbody Buys Fitness Startup ClassPass

Mindbody , a leading maker of software for managing gyms and fitness studios, is buying one of the hot startups in its industry. It's buying ClassPass , a popular subscription platform for widespread gym access and online fitness classes. Mindbody will buy Classpass for an undisclosed amount . The company, owned by private equity firm Vista, also announced a strategic $500mn investment along with its ClassPass deal. The acquisition was all with privately held shares, Mindbody said. ClassPass is a celebrated startup in the fitness space. It began as a simple website to book fitness classes with registered studios but morphed into a subscription platform for access to such studios and their fitness classes, with many users paying recurring fees as a steady revenue source.  ClassPass was valued at $1bn from a funding round last year. Given the acquisition's pricing terms weren't disclosed, we can't say for sure if it was higher or lower than the $1bn mark, but for a hint,

Fast Fashion E-Tailer Lulu's Files For IPO

Lulu's , an online retailer of women's apparel, is headed towards the public markets. It's filed an S-1 document for an initial public offering (IPO), showing its intent to list on the Nasdaq exchange. As expected from S-1 filings, Lulu's has provided great insights into its business, with information not publicly disclosed before. Something very noteworthy is that the online shopping boom of this year emanating from the Covid pandemic has largely favored the company. By The Numbers For its most recent fiscal quarter, the three months ended October 3, 2021, Lulu's brought in between $105mn to $106mn in revenue. Its net income for the same period was at the $3mn-$4mn mark. The estimations are because the final, audited results haven't yet been posted. For the fiscal year ended January 3, 2021, Lulu's posted $249mn in revenue and a net loss of $19mn. It shows that the company has swung from losses to profitability this year, with the net profit of between $3m

Analysis: Dissecting GitLab's S-1 Filing

This week, one startup caught us off guard with a filing for an initial public offering that was unveiled late on Friday . It was GitLab , a popular code repository hosting service that's the main rival to GitHub .  GitLab recently unveiled its S-1 filing with the US Securities and Exchanges Commission (SEC) as is usual for companies taking the IPO route on the US markets. The S-1 filing provided great insight and detail into GitLab's business with information not publicly disclosed before, and we're here to dissect some of the most important information extracted from the bulky filing. Firstly, we'll be focusing on revenue and sales numbers which is of course the primary statistic for every business. Let's start with the fact GitLab has a solid business model bringing in solid sales and growing steadily, but the company is racking up significant losses.  Business Model : GitLab makes money by charging enterprise customers for paid features and integrations of its