JS Global Lifestyle Company Limited (“JS Global Lifestyle” or the “Company”, together with its subsidiaries, the “Group”; 1691.HK) announces consolidated annual results for the year ended 31 December 2019 (the “Reporting Period”).
Financial Highlights
— Total revenue of the Group was US$3,016.1 million, representing a year-on-year increase of 12.5%;
— Gross profit was US$1,126.5 million, a year-on-year increase of 12.8%;
— Adjusted profit attributed to owners of the parent for the year ended December 31, 2019 increased by 127.8% year-on-year to approximately US$136.2 million;
— The Board resolved to declare a special dividend of US$7.34 cent (equivalent to approximately HK$0.5717) per share.
During the year ended December 31, 2019, the total revenue of the Group was US$3,016.1 million, representing a year-on-year increase of 12.5%. Gross profit was US$1,126.5 million, a year-on-year increase of 12.8%. Gross profit margin was 37.4%, remaining relatively consistent compared to 37.3% in 2018. Profit decreased by 24.0% year-on-year to approximately US$85.2 million, EBITDA decreased by 4.6% year-on-year to approximately US$290.0 million and Adjusted EBITDA increased by 17.7% year-on-year to approximately US$367.4 million. Adjusted Profit increased by 29.6% year-on-year to approximately US$195.8 million. Profit attributable to owners of the parent increased by approximately 20.8% year-on-year to approximately US$42.1 million. The Board resolved to declare a special dividend of US$7.34 cent (equivalent to approximately HK$0.5717) per share.
The Group was operating two business segments during the Reporting Period, the Shark Ninja segment focuses on home environment appliances and kitchen appliances which are sold in North America, Europe, Japan and various other countries throughout the world. The Shark and Ninja brands maintain leading market share in a number of product categories and in a number of countries through an intense focus on quality, reliability, consumer satisfaction and accessible innovation to consumers. The Joyoung segment continues offering small household appliances, focusing on kitchen appliances. In China, its Joyoung brand maintains the largest market share in several innovative product categories.
For the year ended December 31, 2019, the revenue contributed by the Shark brand was US$1,144.1 million (2018: US$1,092.4 million), representing a year-on-year increase of approximately 4.7%. The increase was primarily attributable to an increase in sales of cleaning appliances in North America, Europe and other international markets totaling US$34.2 million plus sales of the Shark brand in China which increased from US$2.9 million in 2018 to US$14.6 million in 2019. These increases were partially offset by decreases in the garment care products in North America as the Group has chosen to invest in product categories with higher selling points and higher gross margins.
For the year ended December 31, 2019, the revenue contributed by the Ninja brand was US$606.7 million (2018: US$388.1 million), representing a year-on-year increase of approximately 56.3%. The increase in the Ninja brand’s sales were driven by an increase in cooking appliances, partially offset by a decrease in sales of food preparation appliances. The increase in sales of cooking appliances was a result of the tremendous success of its Foodi series of products since the Group launched the original Foodi Pressure Cooker, which combines pressure cooking and air frying in one multifunctional cooker, and an air fryer in the second half of 2018. 2019 was the first full year of sales for those products. In addition, in 2019, the Group launched the Ninja Foodi 5-in-1 Indoor Grill and the Ninja Foodi Digital Air Fry Oven which were also greeted with great demand from its retail partners and consumers in both North America and the United Kingdom.
For the year ended December 31, 2019, the revenue contributed by the Joyoung brand was US$1,265.3 million (2018: US$1,201.4 million), representing a year-on-year increase of approximately 5.3%. The increase was primarily attributable to the increasing demand and standard of cooking appliances because of the rising health awareness by people, especially the products in relation to healthy cooking; and also the introduction of new SKY series and stylish products which are popular among the young consumers, such as uncoated steam rice cookers, K-series auto-clean soymilk maker and Y-series auto-clean high-performance multi-functional blender.
Looking forward, the Company is committed to driving sustainable long-term growth and strengthening the market position as a global leader in small household appliances through develop and commercialize innovative products, combining powerful technology and appealing designs, drive sustainable long-term growth through sales network and product category expansion, maximize synergies between Joyoung segment and SharkNinja segment, strengthen the Group’s brand recognition and enhance consumer engagement and pursue strategic partnerships and acquisitions. The Company will also continue to explore expansion-based development. To this end, the Group will seek for suitable expansion opportunities around the world in order to lay a strategical foundation in respect of, among others, brand, resource, product, technology, channel and talent for our long-term sustainable development.
About JS Global Lifestyle Company Limited
JS Global Lifestyle Company Limited (www.jsgloballife.com) is a global leader in high-quality, innovative small household appliances and our success is centered around the deep understanding of consumer needs, and is built on the 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. Through continuously creating new products, expanding and diversifying our product portfolio to stimulate consumers’ demand and grow the market, the Group is the leader of the market, reshaping the consumer behavior and their lifestyle globally. With trusted market-leading brands, Shark, Ninja and Joyoung, the Group continue to maintain the leadership in the global small household appliance market.
