iHuman Inc. Announces Second Quarter 2023 Unaudited Financial Results.

BEIJING: iHuman Inc. (NYSE: IH) ("iHuman" or the "Company"), a leading provider of tech-powered, intellectual development products in China, today announced its unaudited financial results for the second quarter ended June 30, 2023.

Second Quarter 2023 Highlights

Revenues were RMB241.0 million (US$33.2 million), compared with RMB230.6 million in the same period last year.

Gross profit was RMB170.8 million (US$23.6 million), compared with RMB163.2 million in the same period last year.

Operating income was RMB40.9 million (US$5.6 million), a year-over-year increase of 80.8%.

Adjusted operating income[1] was RMB43.3 million (US$6.0 million), a year-over-year increase of 75.7%.

Net income was RMB42.1 million (US$5.8 million), a year-over-year increase of 93.1%.

Adjusted net income[1] was RMB44.5 million (US$6.1 million), a year-over-year increase of 86.8%.

Average total MAUs[2] for the second quarter were 20.33 million, a year-over-year increase of 11.7%.

Dr. Peng Dai, Director and Chief Executive Officer of iHuman, commented, "Despite the impact of seasonality on our business, we are pleased to deliver another quarter of solid results, marked by year-over-year revenue improvement and enhanced profitability. This performance underscores the resilience of our business model and the effective execution by our team to further solidify our industry-leading position. During the quarter, we remained committed to our product-driven strategy and to strengthening our portfolio through a combination of cutting-edge technological innovation and captivating content. Domestically, we further optimized our comprehensive portfolio, rolling out enhancements to both newer releases and well-established core offerings. For example, within iHuman Little Artists, we launched "Interactive Art Gallery", an innovative module designed to introduce children to art and nurture their creativity through an integrated online-offline experience. Leveraging advanced technologies such as key point recognition, image segmentation and an AI-driven assessment engine, the module provides children with extensive support throughout their creative journey, including step-by-step instructions, instant and personalized feedback, and guidance from seasoned art professionals. Within our long-standing flagship app, iHuman Chinese, which is the prominent market leader in the category, we introduced a new module named "Chinese Characters in Daily Life." By integrating Chinese characters...