Autohome Earnings: Revenue in Line but Net Profit Missed on Elevated Marketing Expense
Autohome reported in-line first-quarter revenue, but net profit came in slightly below our expectations. Revenue increased 5% year over year, with faster growth in data products offsetting the revenue decline in the media services segment. User traffic, as measured by mobile daily active users, rose slightly by 2% from the last quarter to 69 million. Increased traffic acquisition efforts during the period led to 23% growth in selling and marketing expenses from last year.