HONG KONG, CHINA - Media OutReach - 1 April 2019 - Mobvista Inc. (stock code:1860.HK) announced its annual results for the first time after its initialpublic offering on Hong Kong stock exchange in December 2018. For the yearended 31 December 2018, Mobvista's revenue rose by 38.9% to US$435 million. Thegrowth was attributable to the increased global expenditure on mobile advertisements,and reflected the company's capability to capitalize on the trend in China and thewider region in Asia Pacific. By the end of 2018, more than 340 millionconsumers interacted with mobile applications ("apps") which had been developedwith Mobvista's software development kit ("SDK") for the monetization of suchapps every day. Mobile advertisements delivered by Mobvista were seen by over 1billion mobile device users.

Fromleft: Mobvista's Joint Company Secretary, Mr. Jason Qian, President andExecutive Director, Mr. Clement Cao, and Chief Financial Officer, Mr. SeanSong, jointly host an investor presentation on their company's 2018 annualresults in Hong Kong.

Mobvista'sadjusted earnings before interest, taxes, depreciation and amortization ("EBITDA")for 2018 reached US$43.2 million, beating expectations.

Programmatic advertising continuesto be a major source of revenue

Programmaticadvertising is now the biggest contributor to the revenue of the global marketfor mobile advertising. Mobvista's revenue from programmatic advertising increasedby 98.7% to US$227 million in 2018, accounting for 52.3% of the company's totalrevenue from mobile advertising. 

Mintegral,Mobvista's proprietary platform for programmatic mobile advertising, launched anincentive plan to encourage app developers to integrate the Mintegral SDK as away to broaden their mobile app-enabled marketing channel and gain access tohigh-quality mobile internet traffic.

Mobvista's growth in China fuelled bythe trend of Chinese companies going global

Morestringent regulations of cyberspace and keener domestic competition meant moreChina-based app developers looking for growth opportunities in overseas markets.Companies such as TikTok increased their overseas advertising spending foracquiring users and increasing market share. 63.8% of Mobvista's revenue in2018 came from many of these Chinese companies targeting overseas markets. Meanwhile,only 44.9% of its revenue in 2017 came from China-based companies which focusedon the domestic market. 

Althoughmobile game publishers continued to make up a significant portion of Mobvista'scustomer base, the biggest contribution in 2018 came from social media apps,which accounted for 38.6% of the company's revenue - more than doubling thepercentage in 2017.

Investment in research anddevelopment and artificial intelligence

Mobvistacontinues to invest significantly in its research and development, with almosthalf of its whole workforce focused on technology development. In addition to thecontinued development of its Mintegral, Mobvista put into operation MindAlpha,a machine learning platform designed to intelligently manage and organize advertisingcampaigns towards the end of 2018. The platform is able to analyze tens of billionsof changing features and more than 100 billion data points so as to respond toadvertisers' requirements for optimal media placement in just a fewmilliseconds. Mobvista's customers can already take advantage of MindAlpha whenthey conduct their mobile app marketing campaigns.