The valuations of both Hello Group and BlueCity has dropped after the launch of their Q3 financial results. Hello Group launched their results on Tuesday, and BlueCity launched their results last Friday.
Following the launch of the results, Hello Group is down 18.91% in the last five days, and BlueCity has dropped 31.40% since the results were released.
The Hello Group’s financial results reported a small reduction in net revenue and net income in comparison to the same period in 2020.
The full financial results also showed that net revenues decreased by 0.2% year over year to $583.4 million USD in the third quarter of 2021. Net income attributable to Hello Group Inc. also decreased to RMB403.2 million (US$62.6 million) in the third quarter of 2021 from RMB456.7 million in the same period of 2020.
BlueCity’s financial results announced revenue of $41.9 million USD for Q3’21, a decrease of 9.3% for the same period in 2020. The leading gay dating app also announced a net loss of $11.5 million USD for Q3’21, but this is compared to a $21.5 million USD loss for the same period in 2020.
In terms of monthly active users, BlueCity’s apps reached 7.5 million people during Q3, which represents an increase of 19% compared to the same period in 2020. BlueCity’s total paying users also increased by 57% during Q3’21 compared to 2020, with 776,000 users paying a premium for the service.