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On August 8th, Storm Group announced that its Storm TV received A round of RMB 200 million in financing. After the financing, the company was valued at RMB 2 billion. According to the announcement, Ningbo Hangchen Investment Management Cooperative Enterprise will increase its capital to Storm TV, and its shareholding ratio will be 10% after completion.
As an important entrance to the family entertainment and living room economy of Storm Group, Storm TV tried to break through the first strategic business of the "Global DT Entertainment Strategy", and the model of Storm TV is strikingly similar to LeTV and Micro Whale. Under the background of year-on-year decline in sales, can the Storm Group counterattack again only by the traditional price war?
Storm TV received 200 million financing
In this capital increase and share expansion of Storm Group's holding subsidiary Storm TV, Ningbo Hangchen Investment Management Cooperative Enterprise (hereinafter referred to as Hangchen Investment) will increase Stormwind TV's capital by RMB 200 million, with a shareholding ratio of 10%. Among them, RMB 3.5088 million was included in the registered capital of Storm TV, and RMB 19,694,200 was included in the reserve of Storm TV Capital.
According to the data, in July 2015, Storm Group, together with Rishun, Aofei Animation (002292) and Sannuo Digital, established Storm TV, which is also the first strategic business of Storm's "Global DT Entertainment Strategy".
According to reporters, this successful financing is the first round of financing obtained by Storm TV in July 2015, one year after its establishment. It has created a new rate of Internet TV financing and valuation growth rate that has increased to 4 times in one year. Record.
According to Liu Yaoping, CEO of Stormwind TV: "In just one year after its establishment, Stormwind TV quickly released a number of innovative products, online and offline channel construction, diverse and rich content organizations, businesses and teams based on an innovative ecological model. All have achieved rapid development. This successful financing will further enhance the strength of Storm TV, increase investment, and create newer and better home Internet service experiences and products for consumers. "
According to the statistics of Stormwind's financial reports in recent years, the compound growth rate of Stormwind's revenue was 27% from 2012 to 2015. Among them, Stormwind's growth rate was the highest in 2015, reaching 34.72%.
"If the compound growth rate of the video industry's revenue is 63%, the compound growth rate of the Storm Group has just exceeded half. Although it has rebounded in 2015, compared with the growth rate of the entire video industry, it also seems to be unsatisfactory, let alone Promote the rapid decline in market share. "Industry analysts told reporters.
Another industry insider told reporters that the reason why Storm TV can be trusted by investors is because Storm TV has become the group's new growth engine.
According to the announcement of Storm Group, it is expected that the net profit in the first half of this year will increase by 170% -200% year-on-year, and the profit will be RMB 17.9245 million to RMB 19.161 million. The announcement mentioned that Stormwind's Internet TV business optimized product structure and increased marketing efforts, and the business revenue of this business achieved substantial growth.
Storm TV also told reporters that as of July 2016, the total sales of Storm TV's products were nearly 500,000 units, and this year's sales target is 1 million units. According to data from Aoweiyun.com, the retail volume of China's color TV market will reach 49.93 million units this year. If Storm TV achieves its goal, it will occupy about 2% of the domestic market share.
Development model doubts
Against the backdrop of declining domestic sales of color TVs and the average price of color TVs still falling, it is still the biggest question whether Storm TV can gain an advantage in the next round of competition.
According to the statistics of Aoweiyun.com, the total domestic color TV sales volume in the first half of this year was 23.51 million units, an increase of 6.9% year-on-year, but sales decreased by 4% year-on-year to only 71 billion yuan. Among them, the share of Internet brands rose to 16%.
According to reporters, the current capital investment in Internet TV and industry mergers and acquisitions are increasing. At present, Storm TV's largest competitors are continuing their layout.
Statistics show that the two biggest competitors of Storm TV, Micro-Whale TV and LeTV, are both working hard. Among them, LeEco acquired Vizio, the second-ranked TV manufacturer in the United States, and a new round of Internet TV is backed by a different "mother". The war without smoke is starting.
The model adopted by Storm TV is not new. Like LeTV and Weijing, it is a typical Internet TV model that increases revenue through services.
In terms of content, each platform has its own advantages and disadvantages. Storm TV has exclusive resources of Storm Video, plus exclusive IP resources of Aofei Entertainment, including Betta, Jiajia Cartoon, Aofei Pictures, etc .; LeTV is also not weak, and has early accumulated film and television copyrights; Micro Whale Backed by Chinese culture, the flagship film industry of the Chinese culture, Oriental DreamWorks, etc. all provide support for the micro-whale content, and the micro-whale has begun to shoot the VR version of "China's New Song".
"Even though Storm TV has obtained 200 million yuan of financing from investors, there is still a big gap compared with the generous investments of leading players such as Konka from Micro Whale, TCL from LeTV and the recent acquisition of Vizio into the US market." An industry insider who did not want to be named told reporters that even if Storm TV continues to fight subsidies, its prospects are not optimistic.
Nevertheless, according to Liu Yaoping, the CEO of Storm TV, the subsidy may last for two to three years, but the net income must be more than 10 billion yuan after five years, and it will definitely be profitable after five years.
"Even though Storm TV has achieved certain results in the Internet TV industry through its previous development, in the face of Storm Group's current development dilemma, it is still doubtful whether Storm TV can support the Group's future development." The reporter said.
"From the perspective of the current development business model of the Storm Group and the creation model of the ecosphere, it is not intuitive to see the specific profit point of its future development, especially the capital game behind the stock may be too intense, and the risk of detailed analysis is greater." Some media analysts bluntly told reporters.
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One of the key benefits of hot dip galvanized cable trays is their durability. The zinc coating provides excellent protection against rust and corrosion, ensuring that the trays can last for many years without needing to be replaced. They are also resistant to UV radiation, which can cause other types of cable trays to degrade over time.
Another advantage of hot dip galvanized cable trays is their versatility. They can be used in a wide range of applications, including power plants, oil and gas refineries, chemical processing facilities, and commercial buildings. They can be easily customized to meet specific requirements, such as the need for additional support or the ability to accommodate larger cables.
Hot dip galvanized cable trays are also easy to install and maintain. They can be mounted on walls, ceilings, or floors, and can be easily adjusted or moved as needed. They require minimal maintenance, as the zinc coating provides long-lasting protection against corrosion and other types of damage.
Shenzhen Stormwind Commander Technology Co., Ltd. (hereinafter referred to as Stormwind TV), which was established just a year ago, is becoming the focus of investors.