Journalist China

Phoenix New Media (Nasdaq: FENG) has just published its inaugural quarterly results since going public in May, and while the top line looks encouraging the middle seems a bit cost-heavy and potentially worrisome. (results announcement) As I’ve said in the past, I really like this company in terms of its overall market position, as it occupies a prominent space in the higher-growth and less regulated new media space while also boasting strong connections to traditional media through its parent, Phoenix Broadcasting Satellite Television (HKEx: 2008). I’ll start with the good news, which is that Phoenix New Media’s revenue grew an impressive 77 percent for the quarter year-on-year, led by a doubling in advertising revenue. The company also seems to be moving aggressively into the mobile space, which is definitely where media is moving these days, as evidenced by the many people I see reading news off their mobile phones on the Shanghai subways. The more worrisome news lies in costs, which Phoenix New Media doesn’t seem to be controlling too well. Operating expenses nearly tripled for the quarter, and stock option related costs ballooned, no doubt related to the IPO. The result was that adjusted profit, excluding stock option-related costs, grew just 25 percent for the quarter, while on a net basis the company actually reported a large loss. Investors are clearly concerned about the costs issue, with Phoenix shares now down nearly 20 percent from their IPO price from last month after an initial 34 percent jump on their trading debut. Investors will no doubt be keeping their eye on costs in the months ahead to see if Phoenix can really soar into the top ranks of China’s new media realm.

Bottom line: Phoenix New Media is showing strong potential in the Chinese new media space, but needs to control its costs or risk getting punished by investors.

凤凰新媒体<FENG.N>刚公布5月份上市以来的首份季度财报，虽然营收不错，但其他部分看起来有点堪忧。就像我以前说的，考虑到其整体市场定位，我真的很喜欢这家公司，因为它在高速增长、且监管较少的新媒体行业，占据了重要位置，而且还通过其母公司凤凰卫视<2008.HK>与传统媒体保持着强劲联系。我先说好消息，那就是凤凰新媒体的季度营收同比增加了77%颇为不俗，其中广告收入增加了一倍。凤凰新媒体还打算积极进军移动领域，而这毋庸置疑正是媒体行业的前进方向，从我在上海地铁里看到很多人用手机阅读新闻这一点，就可见一斑。但让人担心的是成本，这一点凤凰新媒体控制的不是太好。该季度运营成本达到原来数字的近三倍，而与股票期权相关的成本飙升，毫无疑问是与IPO一事相关。财报里显示的调整後的利润，排除了股票期权相关成本，增长仅为25%，而公司实际净利润则有严重亏损。投资者很关心成本问题，凤凰股价也较IPO价格下跌了将近20%。投资者肯定会依然很关注凤凰的成本问题，观察凤凰是否可以跻身中国一流的新媒体阵营。

一句话：凤凰新媒体在中国新媒体领域展现出了强大潜力，但需要控制成本或风险。

Related postings 相关文章:

◙ Phoenix New Media Comes Back to Earth 凤凰“落地”

◙ Phoenix Media Sets Eyes on US Investors 凤凰新媒体寻求美国上市

◙ Phoenix Wings Getting Clipped?

I’m not shareholder in Ctrip.com (Nasdaq: CTRP), but I’m certainly a big fan of just about everything this company does, including its numerous new business initiatives that all seem well thought out and positioned to capitalize on its position as one of China’s leading travel services companies. In one of its newer such moves, which actually began 2 years ago but now seems to be picking up steam, Ctrip is developing its own Starway hotel alliance, bringing together independent hotels under a single banner to better help them attract business and provide service under a set of uniform standards. This kind of alliance is similar to the Best Western brand in the US, and is a very convenient way for independent hotel owners, who otherwise wouldn’t have much chance at attracting customers, to unite under a single name and market themselves collectively. A recent domestic media report says the Starway brand now has about 120 hotels nationwide, and Ctrip has also recently launched a more upscale version, Starway Premier, for better quality independent hotels. (English article) This kind of initiative should provide new revenues for Ctrip in a number of ways, from franchise and management fees to actual booking fees when travelers book rooms at these hotels on Ctrip’s system. This kind of initiative follows other creative ones in the group buying (previous post) and restaurant (previous post) spaces, all playing to Ctrip’s core strength, and providing new sources of revenue to keep the company growth.

Bottom line: Ctrip’s Starway hotel brand management initiative is yet another smart campaign by this travel services leader in its search for new revenues drawing on its core strength.

我不是携程<CTRP.O>的股东，但我是这家公司的铁杆粉丝。作为中国领先的旅游服务商，携程推出的很多服务创意都很棒。其最新推出的一个创意——实际上两年前就开始了，但最近才火起来，携程推出自有品牌–星程连锁酒店，把很多独立的小旅店整合起来，更好地吸引顾客，提供统一标准的服务。这与美国的 Best Western品牌很像，而且给独立的酒店业主提供了很大的方便，因为这些酒店业主不会有什麽机会联合起来一起做市场推广活动。最近的国内媒体报导，星程品牌目前在全国拥有了120家门店，携程最近还推出了一个更高端的品牌–星程精品，提供更好的服务。这从很多方面会给携程带来新的收入来源，如特许经营费，管理费用，订房费用等。此前携程也在购物和餐饮方面推出了很多业务创意，这都发挥了携程的核心优势，给携程提供了新的收入来源。

一句话：携程的星程酒店品牌管理计划，是携程在寻找新收入来源，发挥核心优势方面做出的又一聪明之举。

Related postings 相关文章:

◙ Ctrip Makes Smart Trip Into Group Buying 携程也推团购：不仅只是赶时髦

◙ Ctrip Finds Growth Recipe in Restaurants 携程：进军在线订餐

◙ Home Inns: Expo Hangover 如家进入平稳期

In news that has all the markings of a cloak-and-dagger tale, Chinese media are saying that Apple (Nasdaq: AAPL) COO Tim Cook came calling this week on China’s dominant mobile carrier, China Mobile (NYSE: CHL; HKEx: 941), in a report that featured a blurry photo of a potentially Western-looking man viewed from the back walking briskly through the lobby of a Chinese company. (Chinese article) China Mobile announced nearly a year ago that it was in talks with Apple to develop a model of its wildly popular iPhone that could run on the telco’s problematic 3G network, based on a homegrown technology standard known as TD-SCDMA. China Mobile has given few substative updates on that plan since the initial disclosure, but I suspect the arrival of such a high-level Apple executive, if true, means an official announcement  could be near. The roll-out of such a model would mark a huge development for China Mobile, which has steadily lost market share in the 3G space to rivals Unicom (NYSE: CHU; HKEx: 762) and China Telecom (NYSE: CHA; HKEx: 728) not only due to technical issues, but also a lack of hot-selling handsets developed for TD-SCDMA. Unicom has used its status as China’s only telco with an official iPhone tie-up to turbocharge its 3G service, stealing steady share from China Mobile in this space particularly suited to smartphones that can take advantage of 3G’s high-speed data capabilities. Furthermore, iPhones enjoy just as much if not more popularity in China as they do elsewhere in the world, meaning China Mobile would be almost guaranteed to see a huge bump in its 3G subscriber growth if it can offer a 3G iPhone. I’m not usually one to get caught up in market hype, but China Mobile’s roll out of a 3G iPhone in the next few months, if it happens, would be a major game-changer in the country’s 3G market, helping China Mobile regain some of the momentum it has lost to Unicom and China Telecom.

Bottom line: China Mobile’s potential roll-out of a TD-SCDMA 3G iPhone in the next few months could help it regain momentum it has lost to rivals China Unicom and China Telecom.

中国媒体报导称，苹果<AAPL.O>首席运营官蒂姆•库克(Tim Cook)本周现身中国移动<0941.HK><CHL.N>总部。有报导还配发了一张模糊的照片，照片中一名西方人模样的男子迅速穿过中国移动总部大厅。中国移动近一年前宣布，公司正与苹果就开发TD-SCDMA网络制式的3G版iPhone机型进行谈判，但中移动在此之後便鲜有後续消息披露。但我猜测，苹果高层的造访——如果确有其事——意味着一份正式的合作声明可能即将出台。类似机型的推出对中移动而言将是个巨大进展。中国移动在与中国联通<0762.HK><CHU.N>和中国电信<0728.HK><CHA.N>的3G竞争中不断丢失市场份额，其中不光有技术原因，也因为中移动缺少基於TD-SCDMA制式的热销机型。作为iPhone手机在中国唯一的授权运营商，中国联通在3G领域不断蚕食中国移动的市场份额。此外，iPhone在中国受欢迎程度并不亚于世界其它国家，意味着中国移动如果能提供3G版iPhone，其3G用户数量几乎肯定会大幅增长。我通常不是跟风炒作市场的人，但中国移动若在未来几个月推出3G版iPhone，势将改变国内3G市场格局，并有助於中国移动赢回中国联通和中国电信抢走的市场份额。

一句话：中国移动未来几个月可能推出TD-SCDMA网络制式的3G版iPhone，有助於其赢回中国联通和中国电信抢走的市场份额。

Related postings 相关文章:

◙ Unicom Builds Legitimacy with Sina Tie-Up 中国联通联手新浪

◙ China Mobile Finally Pushing on 3G 中国移动终於要大力推动3G业务

◙ Unicom, China Telecom Come Nipping at China Mobile’s 3G Heels 中国联通和中国电信紧盯中国移动3G市场

Just three months after taking one of its first baby footsteps outside its protected home market, Baoshan Iron & Steel (Shanghai: 600019), China’s second biggest steelmaker, is looking to expand its Southeast Asia footprint by buying into Amsteel Mills, a unit of Malaysia’s Lion Group. (English article) Details are still being hammered out, but this looks like a very mid-sized investment for the sector, with Baosteel set to put in around $1 billion. This deal would follow a March report that Baosteel was preparing to invest in a Vietnamese beverage can-making plant, which, even though no details were disclosed, I suspect involved a similar amount. (previous post) These are exactly the kinds of investments that Baosteel should be making — manageable in size and in friendly markets that are close enough to its home base for it to take a relatively active management role. Furthermore, by working with a partner, Baosteel avoids some of the perils of trying to manage by itself in an unfamiliar market, though having local partners can also have its drawbacks if the two sides disagree on their venture’s development. This kind of a strategy is far superior to that of domestic metals peer Nanshan Aluminum (Shanghai: 600219), which last month announced a plan to build an aluminum extrusion plant on its own in the US, with an initial investment of $160 million. (previous post) I said at the time that Nanshan’s plan was destined to run into big problems and probably fail in the end for a wide range of reasons. In contrast, I really like Baosteel’s latest move, and would expect to see more such investments in developing markets in the next two years.

Bottom line: Baosteel’s new move into Malaysia company is another smart step in its global expansion, representing a mid-sized investment with a strong local partner in a friendly market.

宝钢<600019.SS>不久前刚尝试进军海外，现在又计划收购马来西亚金狮集团旗下子公司Amsteel Mills股份，以拓展东南亚市场。收购细节仍在洽谈中，但宝钢准备对此项目投入大约10亿美元，这看似是一项中等规模的投资。3月有报导称，宝钢计划在越南投资一家饮料罐工厂，尽管细节并未披露，但我估计投资金额与这次不相上下。这恰恰是宝钢应当进行的投资——规模可控，市场友好，位置临近其本土基地，从而能进行相对积极的管理。此外，通过合作方式，宝钢能避免在不熟悉的市场进行完全自主管理的风险。当然，与当地企业合作也存在弊端，双方可能会对合资企业发展策略意见相左。不过总体而言，这种战略远比南山铝业<600219.SS>高明，後者上月宣布，计划在美国自主修建一座铝型材加工厂，初期投资金额为1.6亿美元。我当时说过，南山铝业的计划注定会出现重大问题，很可能会由於一系列原因而以失败告终。相反，我很欣赏宝钢的最新举措，而且预计未来两年中国企业在发展中市场会有更多类似投资。

一句话：宝钢计划收购马来西亚公司股份，是其全球扩张进程中的又一明智之举——即在友好的市场与当地强势的公司合作，进行中等规模的投资。

Related postings 相关文章:

◙ Baosteel Takes Nice Baby Step Outside China 宝钢终於走出海外第一步

◙ Nanshan’s US Aluminum Investment Set to Ring Hollow 南山铝业的美国投资计划注定会失败

◙ China Makes Up Its Mind: Iron Ore 中国终於下决心：大幅增加国内铁矿石供应

After months of blood-letting that have seen US-listed China stocks tumble, some more than 50 percent, we’re seeing some very early signs that the sell-off could be near bottom and we could even see some nice rallies for a few of the higher quality players. The most encouraging sign came on Tuesday, when shares of top Web portal Sina (Nasdaq: SINA) shot up 19 percent on daily volume that was about a third higher than its normal level, indicating that someone probably saw a good buying opportunity. Boutique brokerage SIG Susquehana came out with a research note saying it especially liked the prospects for Sina’s wildly popular Twitter-like Weibo service, which Sina cut loose earlier this year in a bid to better monetize the business. (English article; Chinese article) Of course, even with the rally, Sina’s shares are still nearly 40 percent below their 52-week high, so there’s still quite a ways to go to return to previous levels that were probably a bit overvalued. In a much smaller but similar development, real estate services firm E-House (NYSE: EJ) announced that its chairman will spend up to $10 million of his own funds to buy shares of the company’s battered stock, which is down 55 percent from its 52-week high amid very real concerns that China’s real estate market is on the brink of a big correction. (company announcement) E-House, whose new plan followed similar new buybacks detailed earlier this week by Spreadtrum (Nasdaq: SPRD) and Dangdang (NYSE: DANG) (previous post), saw its shares also rally nearly 10 percent after its announcement. It’s probably too early to call the sell-off officially over, but I predict we’ll see a few nice rallies among the better quality China stocks in the next few weeks as people move in to pick up some good bargains.

Bottom line: Quality US-listed China stocks are poised for a rally, as investors hunt for bargains in the battered sector.

赴美上市的中国公司股票近期大跌，部分股票贬值幅度超过一半，但现有初步迹象显示，此轮抛售可能即将到头，少数优质股票甚至会展开不错的反弹。周二出现了最鼓舞人的迹象，新浪网<SINA.O>股票的日成交量大增19%，显示有些人可能看到了买入良机。精品券商SIG Susquehana的研究报告称，它尤其看好新浪微博业务。当然，目前新浪股价仍比其52周高位低近40%，因此，重返此前或估值过高的价位仍需时日。另外，房地产服务商易居中国<EJ.N>宣布，公司董事长将动用最多1,000万美元的自有资金购买本公司股票。因市场担忧中国房地产市场即将经历大规模调整，易居中国的股价已较52周高位下跌55%。本周早些时候，展讯通信<SPRD.O>和当当网<DANG.N> 也宣布了类似回购股票计划的细节。易居中国宣布董事长回购股票计划後，其股价上涨了近10%。现在说市场此轮抛售正式结束还为时过早，但我预计，未来几周，由於投资者乐于逢低承接，一些优质中国股票将有不错涨幅。

一句话：由於投资者寻找低位买入的机会，中国赴美上市的部分优质股票料将反弹。

Related postings 相关文章:

◙ NY Sell-Off Hits Spreadtrum, Dangdang, Xunlei 纽约股市大跌 展讯、当当网和迅雷受创

◙ Taomee Not Ready for Prime Time as IPO Tanks 淘米错过互联网IPO黄金时代

◙ BYD IPO: Selling Into a Skeptical Market 比亚迪IPO 市场疑虑重重

Leading online video site Youku (NYSE: YOKU) thinks it may have discovered a new goldmine in China’s new fondness for luxury brands, boasting that a number of top global designers, including Louis Vuitton, Burberry and Gucci, have flocked to its channel in recent months. (company announcement) I must admit this concept is quite intriguing, as such brands are more than willing to spend big advertising bucks to strut their stuff on channels like Youku if it will make more Chinese spend hundreds and even thousands of dollars for everything from high-end designer bags to perfumes and clothing. Youku points out that its channel may be particularly suited to help the designers reach their target audience, as Chinese consumers of luxury goods tend to be younger in general than their Western counterparts. One of my friends who sells to this segment confirms that this is indeed the case, saying flocks of young Chinese now pass through his Hong Kong stores daily and eagerly snap up any luxury goods on offer. Then again, another friend at a local university did a recent study that showed young Chinese consumers prefer to get their luxury brand advertising through more traditional media channels, such as TV and magazines, rather than on the Internet, possibly because the Web is seen as less exclusive and dominated by younger people who tend to have less money. It’s still probably too early to see if the luxury brands will stay with the Web in their China marketing plans.  My prediction is that such brands will indeed discover the Web is a good venue to peddle their wares in China, and will stay with it over the longer term, which would play to the advantage of Youku and rivals like Tudou and Xunlei.

Bottom line: Youku, Tudou and other online video sites are well positioned to gain from a potential explosion in online spending by luxury brands in China.

在线视频网站优酷网YOKU认为，该网站或能在中国热衷奢侈品的大环境中发现新的淘金点。优酷网称，全球众多顶级设计师品牌近几个月纷纷登陆优酷网，例如路易・威登（Louis Vuitton）、巴宝莉（Burberry）和古驰（Gucci）。我必须承认，这个想法相当诱人，因为如果能让更多中国消费者花数百或数千美元，购买高端设计师皮包、香水和服饰等产品，这些品牌自然愿意投入巨额广告费，通过优酷网等渠道进行宣传。优酷网指出，中国奢侈品消费者一般比西方消费者年轻，因此优酷平台可能尤其适合奢侈品牌向目标客户宣传。我的一位圈内朋友证实，情况确实如此，现在他在香港的奢侈品店铺每天都接待许多国内的年轻人，其购买力惊人。我还有一位在大学工作的朋友近期研究发现，中国年轻消费者更希望从电视和杂志等传统媒体渠道获取奢侈品广告信息，而非互联网，可能是因为网络看似没那麽专业，而且用户主要是没什麽钱的年轻人。奢侈品牌是否会在中国市场坚持网络营销手段，现在下结论仍为时过早。但我预计，这些奢侈品商会发现，网络确实是在华营销的一个不错渠道，并将在较长时间内通过网络进行宣传。优酷、土豆和迅雷等视频网站都将因此看到商机。

一句话：奢侈品牌或将在中国投入巨额网络广告宣传费用，从而让优酷网、土豆网等在线视频网站占尽先机。

Related postings 相关文章:

◙ Tudou: Back on the IPO Trail 土豆：重回IPO轨道

◙ Xunlei Marches Down IPO Aisle 迅雷迈向IPO之路

◙ Youku Ambushes Market with Massive Follow-on, Investors Bite 优酷利用投资者心理大捞一笔

As if car maker BYD’s (HKEx: 1211) problems weren’t bad enough, the sputtering company now must launch its upcoming A-share IPO — which was never guaranteed strong interest to begin with — into a decidedly bearish market that has already seen it scale back the size of the offering. (English article) BYD chairman Wang Chuanfu says his company will use the $200 million it hopes to raise to build a new lithium battery factory in pursuit of its dreams to become an electric car leader. Perhaps that’s where it will really spend the money, but Wang needs to be talking more during this roadshow about how he plans to restore BYD’s flagging sales by revamping its current product line, rather than focusing on a product line that won’t make any major contribution to the company’s business for at least 5 years, and may never make any contribution at all. Shares in BYD, which is 10 percent owned by billionaire investor Warren Buffett, are down by a third in the last three months alone, and have been declining steadily since the middle of last year after inventory issues first started to emerge at this once promising company. I would look for anemic demand during the roadshow for its China IPO, and probably an even weaker debut for the company’s shares, which have been priced at the low end of their range at 18 yuan each. BYD is already fighting a difficult battle by launching its IPO into a decidedly bearish market. But Wang and his company need to change their tone a bit and start focusing on what they will do in the present to turn the company around, rather than on their big hopes for electric vehicles in the future, if they want to prevent this new listing from becoming a total disaster.

Bottom line: BYD needs to start focusing on what it will do to boost weak sales, and stop dwelling on its electric car plans, if it wants to prevent its upcoming IPO from being a total flop.

比亚迪<1211.HK>的问题真是一个接着一个，现在这家汽车制造商必须启动A股IPO，此事从一开始就很难保证市场兴趣，目前市场又处於熊市，公司已经缩减此次募资规模。比亚迪董事长王传福表示，公司会把准备募集的2亿美元用於一座新的锂电池工厂的建设，推动公司实现电动汽车领头羊目标。或许这正是比亚迪真正的资金投入方向，但对公司如何调整当前产品线来重振销售，王传福需要在此次IPO路演中做出进一步解释，毕竟比亚迪的电动车业务在至少五年内不会为公司整体业务做出重大贡献，而且有可能永远也不会做出任何贡献。比亚迪股价单单过去三个月就下挫了三分之一，且自去年中期首现库存问题以来一直稳步下行。我认为比亚迪A股IPO路演很可能需求疲弱，A股首秀或更乏力。比亚迪选择这样一个A股上市时机本已是一场攻坚战，但要防止此次IPO成为一场彻头彻尾的灾难，王传福与其公司还需稍稍调整一下调门，应开始强调当前打算怎样做来扭转公司颓势，而非强调公司未来对电动汽车的宏伟蓝图。

一句话：比亚迪若要防止此次IPO成为一场彻头彻尾的灾难，需把重点放在如何改善当前销售上，而非一味沉迷于电动汽车计划。

Related postings 相关文章:

◙ BYD EV Buses Get German Toehold 比亚迪电动车在德国找到立足点

◙ BYD Share Sale: A Steer in the Right Direction 比亚迪A股上市是好事

◙ Shanghai Support to Boost SAIC’s EV Hopes 政府支持有助上汽新能源车战略

As the solar industry goes through one of its worst-ever downturns with no end in sight, Trina Solar (NYSE: TSL) is trying a new approach to try and bolster flagging sales by doubling the usual warranty period for its panels to 10 years from the current industry standard off 5. (company announcement) Trina is also offering other performance guarantees to try and boost its business, in a sector which has seen prices fall steadily in the last six months due to weak global demand as interest in this once promising sector dims with the fading of the global financial crisis. This kind of extended warranty is probably not a bad idea from a marketing perspective, and presumably won’t add much cost to Trina since most of its products are probably already solid enough that buyers wouldn’t need to ever actually exercise such warranties. So perhaps it could steal a sale or two from a rival, assuming others don’t follow suit with similar warranties. But at the end of the day, the only thing that will really help Trina, or any other solar panel makers for that matter, is a return in demand for installing new solar energy, which doesn’t look set to happen anytime soon. We saw an interesting move last week as a couple of solar panel makers announced plans to build their own solar plant to create more demand for their products (previous post), and Beijing may also be considering a boost in its domestic plans for solar installation (previous post), which could also help the sector. But until demand really improves on a sustained basis — which doesn’t look like it will happen anytime soon, Trina and its rivals will have to battle with each other for steadily shrinking demand in this once-promising sector.

Bottom line: Trina Solar’s introduction of new extended warranties may help to steal a sale or two from a rival, but won’t make any major contributions to its top or bottom lines.

太阳能行业正在经历最严重的衰退期之一，何时走出来似乎还遥遥无期。在此整体行业背景下，天合光能<TSL.N>正在尝试新的策略来提振销售：将其太阳能电池板的质量保证年限从目前行业标准5年延长至10年。天合光能还在提供其他质保来尽力提振业务。从营销角度讲，延长质保期限大概不是坏事，而且应该不至于给公司带来太多额外成本负担，因其多数产品质量大概非常过硬，买家实际上无需行使这些质保权利。因此，假设同行没有类似举动，天合光能或许能从对手那里夺过一点销售份额。但最终，无论对天合光能还是其他太阳能厂商而言，真正能帮得上忙的还是市场对新装太阳能需求的回归，但这一幕似乎短期内难以实现。

一句话：天合光能延长质保或许能从竞争对手那里夺取一点市场份额，但对於公司业绩难有重大贡献。

Related postings 相关文章:

◙ China Backs Solar Firms With Europe Financing 中国继续支持国内太阳能企业

◙ Beijing Warms Up Solar Sector 中国政府向太阳能产业伸出援手

◙ China Comes to Rescue With Yingli Loan 英利获贷款承诺 政府终出手相助

Leading Chinese social networking site Renren (NYSE: RENN) has just released its first-ever quarterly results since going public, and its inaugural report looks like a truly mixed bag — not great news if it was hoping the numbers might halt its recent stock market slide. After soaring on their trading debut back in early May, Renren’s shares have tanked in recent weeks amid a broader sell-off of China shares, and now trade at just over half of their IPO price. Probably the biggest good news in the earnings report is that Renren seems to suddenly be hitting its stride in terms of advertising revenue, which doubled from the previous year to $8 million, accounting for 40 percent of total revenue. (results announcement) Growth in that area is likely a major factor behind the company’s forecast that second-quarter revenue will grow about 40 percent sequentially to $29-$30 million from the first quarter. On a more downbeat note, the company’s user growth was relatively underwhelming, which is always an alarming sign for a company that’s still supposed to be in its high growth phase. In addition, the company continued to report a net loss, albeit much smaller than a year ago. And in a  curious note, it said it slipped into the loss column on an adjusted profit basis (which usually excludes costs related to stock option plans) from a profit a year ago. Investors seem decidedly underwhelmed by the mixed bag of news, bidding Renren stock down slightly in after-hours trading following an 8 percent gain during regular hours before the results were announced. Given its big recent sell-off and mixed financials, this could be an interesting time for a potential foreign investor to swoop in and pick up a stake in Renren at a relative bargain price.

Bottom line: Renren’s mixed results are unlikely to excite investors and halt its recent stock slide, and could even spur an outside investor to swoop in and buy a strategic stake at a bargain price.

中国知名社交网站人人<RENN.N>刚公布上市後的首份季度财报，看起来真是苦乐参半—想要停止股票下跌趋势的话，这份财报倒不是个好消息。人人网5月初上市後股价飙升，但近几周在股市低迷的大环境下股票表现不佳，如今只有发行价的一半。可能财报上最大的好消息就是，人人网广告收入突然大幅增加，和去年相比增加了一倍，达到800万美元，相当於总收入的40%。广告收入的增加，可能是公司对下一季度收入预测做出增长40%、达到2,900-3,000万美元的判断的主要原因。但令人沮丧的一个消息是：公司的用户数增长却相对乏力，这对於这家投资人眼中仍处於高速增长期的公司来说，是很值得警惕的一个迹象。另外，公司仍有净亏损，虽然比去年亏损幅度要小。财报公布之前的正常交易时段，股价还有8%的回升，但投资者可能对这份苦乐参半的财报感到乏味，预测人人网盘後交易时段股价将略跌。考虑到最近股价下跌和财报喜忧参半的情况，可能对於海外投资者来说，可以考虑以比较优惠的价格买进人人网的股份。

一句话：人人网喜忧参半的财报不会让投资者感到兴奋，也不会阻止目前股票下跌的局势，甚至可能吸引外部投资者进入，以优惠价格持有人人股份。

Related postings 相关文章:

◙ Renren Debut: Let the Volatility Begin 人人网首秀纽约：从此“动”起来？

◙ Renren Admits to Population Inflation; More to Come?

◙ Renren Vs Kaixin: Who Will Get There First? 开心网PK人人网：谁能抢先上市？

Facebook isn’t the only global Internet giant looking for a piece of the China social networking pie. My sources tell me that Russia’s Digital Sky Technologies (DST), which itself owns 10 percent of Facebook, is also sniffing the China bushes for potential investments in a bid to capture a piece of what’s likely to become the world’s largest SNS market in the next decade. Facebook has made no secret of its strong desire to enter China over the last five years. After getting locked out of the market a few years ago by Chinese Web blockers, the company approached Kaixin, one of China’s top two SNS sites, a couple of years ago about buying into the company but was ultimately rebuffed. More recently, it has reportedly started talking with search leader Baidu (Nasdaq: BIDU) about a tie-up even as Beijing has laid down difficult conditions aimed at keeping the US giant out of the market. (previous post) It’s interesting to see that DST is making its own approaches now, which could put it in the strange position of competing with Facebook in the world’s largest Internet market. In a more likely scenario, I would see Facebook and DST teaming up to co-invest with or in a Chinese company rather than each invest individually. The recent sell-off in shares of Renren (NYSE: RENN), China’s leading SNS site, could make that company an interesting potential target. But given the big premiums that established players like Renren and Kaixin are asking right now, I’d say a tie-up with a big Internet name without a big SNS presence, such as Baidu or Tencent (HKEx: 700), could be more likely.

Bottom line: DST is likely to enter the China market in tandem with Facebook, probably by co-investing in a big local Internet player without a major SNS presence.

Facebook不是唯一希望进军中国社交网市场的国际互联网巨头。中国未来10年有望成为全球最大的社交网（SNS）市场，我的消息人士告诉我，拥有Facebook 10%股权的俄罗斯互联网投资公司Digital Sky Technologies（DST）也嗅到了这一投资机遇，试图从中分得一杯羹。过去五年，Facebook毫不掩饰其希望进军中国市场的强烈愿望。自几年前在中国被屏蔽後，Facebook两年前开始与中国两大社交网之一的开心网进行接触，提出并购该公司，但最终遭到拒绝。近期不断有报导称，尽管中国政府创造了些困难条件，Facebook仍开始与中国本土搜索巨头百度谈判，讨论合作事宜。有意思的是，DST如今也采取了行动，致使该公司处於与Facebook竞争中国市场的奇怪位置上。我个人认为更有可能出现的情景是，Facebook和DST将联手投资一家中国企业，或与一家中国企业合作，而不是分别投资。人人网日前在美国股市遭抛售，或成为两公司的潜在投资目标。但鉴於人人网和开心网目前寻求的是高额溢价追捧，我敢说，DST与没有大规模社交网业务的互联网巨头合作的可能性更大，例如百度或腾讯<0700.HK>。

一句话：DST或与Facebook共同投资一家没有大规模社交网业务的中国本土互联网巨头，从而联手进军中国市场。

Related postings 相关文章:

◙ Despite China Rebuff, Facebook Going Back for More Facebook明知山有虎，偏向虎山行

◙ Beijing Deals Death Blow to Facebook China Plan – Source 中国宣判Facebook入华计划“死刑”–消息人士

◙ Facebook’s China Tie Up: No Big Deal Facebook能否入华？

Just a week after announcing a major shake-up in its top ranks, Hewlett-Packard (NYSE: HPQ) has announced a new head for its China operations in a bid to breathe new life into a market where it has stumbled badly in the last year. (English article; Chinese article) Company veteran Steve Gill’s arrival as new China president comes less than a year after former Motorola executive Rueybin Kao took the company’s top China post. HP said that Kao left in April for “personal reasons” that seems suspiciously more professional than personal. The China shake-up comes just a week after a bigger top-level shuffle at HP (English article), at which time the company said it would refocus  its efforts on the important China and India markets. At least on paper, Gill’s background looks impressive and underscores HP’s realization that it needs to step up its game in China, the world’s second largest PC market where it has stumbled badly over the past year. Gill has led HP’s enterprise business in Korea for the last two years; but more interestingly he was previously the head of UK and Ireland operations, where he is credited with building HP into one of Britain’s largest IT companies. HP and US rival Dell (Nasdaq: DELL) have both turned in disappointing performances in China lately, losing momentum to homegrown giant Lenovo (HKEx: 992) and Taiwan’s Acer (Taipei: 2353) in this emerging market where price plays a much bigger role than it does in more mature markets like the United States. Only time will tell if Gill can bring new momentum to HP in China before it slides further still. His experience in emerging markets is a big question mark, but his outsider status could also be just what the company needs to bring a fresh approach to its China operations.

Bottom line: HP’s naming of a new China chief could auger some new and interesting initiatives aimed at helping to stabilize its eroding position in the world’s second biggest PC market.

惠普<HPQ.N>在一周前刚对高层进行了重大人事调整，近期又宣布任命史蒂夫•吉尔（Steve Gill）担任中国区总裁，力求给惠普在中国市场带来新的生机，去年惠普在中国市场表现糟糕。公司老将吉尔担任惠普中国总裁前，摩托罗拉前高管高瑞彬在这一职位工作了仅不到一年。惠普称，高瑞彬4月离职是出於“个人原因”，但估计公司原因多於个人原因。一周前，惠普高层出现重大人事变动，公司当时表示，将重新关注中国和印度市场。至少从履历上来看，吉尔的背景令人印象深刻，这也表明，惠普意识到需要在中国市场加快步伐。吉尔过去两年负责惠普在韩国的企业业务；但更有意思的是，他曾任惠普英国和爱尔兰区总裁，并推动惠普成为英国最大的IT公司之一。惠普和戴尔<DELL.O>近期在中国的业绩均令人失望，表现不及联想<0992.HK>和台湾宏基<2353.TW>，中国市场与美国等更成熟的市场相比，价格因素的作用更大。吉尔是否能在惠普进一步下滑前，提振其在中国的业绩，只有时间才能证明一切。他在新兴市场的经验是一大问题，但惠普可能正好需要其“局外者形象”，为惠普在中国的运行注入新鲜血液。

一句话：惠普任命中国区新总裁，或能带来一些有意思的新举措，帮助惠普在中国市场稳定其渐遭蚕食的市场份额。

Related postings 相关文章:

◙ Acer: A Bumpy Road Ahead 宏碁：前路坎坷

◙ Intel’s Move Nods to China Gadget Clout, Smells Slightly of Desperation 英特尔人事调动突显中国市场影响力

◙ Micron Nods to China’s Gadget Clout 美光科技押宝中国电子器件市场