Autohome Inc. (NYSE:ATHM) Q4 2019 Earnings Conference Call - Final Transcript
Feb 19, 2020 • 07:00 am ET
Ladies and gentlemen, thank you for standing by for Autohome's Fourth Quarter and Full-Year 2019 Earnings Conference Call. [Operator Instructions]
It is now my pleasure to introduce your host, Anita Chen, Autohome's IR Director. Ms. Chen, you may begin.
Thank you, operator. Hello, everyone, and welcome to Autohome's fourth quarter and full-year 2019 earnings conference call. Earlier today, Autohome distributed its earnings press release and you may find a copy on the company's website at www.autohome.com.cn.
On today's call, we have Chairman and CEO, Mr. Lu; Co-President, Mr. Haifeng Shao; Co-President, Mr. Jingyu Zhang; and CFO, Mr. Jun Zou. After the prepared remarks, Mr. Lu, Mr. Shao, Mr. Zhang and Mr. Zou will be available to answer your questions.
Before we begin, please note that the discussion today will contain forward-looking statements based under the Safe Harbor provisions of the US Private Securities Litigation Reform Act of 1995. Forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from our current expectations. Potential risks and uncertainties include, but are not limited to those outlined in our public filings with the Securities and Exchange Commission. Autohome does not undertake any obligation to update any forward-looking statements, except as required under applicable law. The earnings press release in this call also includes discussion of certain unaudited non-GAAP financial measures. Our press release contains a reconciliation of the non-GAAP measures to the most directly comparable GAAP measures and is available on Autohome's IR website. As a reminder, this conference is being recorded. In addition, a live and archived webcast of this earnings conference call will also be available on Autohome's IR website.
I will now turn the call over to Autohome's Chairman and CEO, Mr. Lu.
Thank you, Anita. Hello, everyone. Thank you for joining us today. 2019 has proven to be a tough year for the auto industry in China as both sales and the profit shrink. Total passenger vehicle sales dropped by 10% year-over-year according to CAAM. The weakening macro conditions in China have made the auto related sector even more difficult. Despite these challenges, we delivered record total revenues of RMB8.42 billion in 2019, an increase of 16.4% year-over-year.
Autohome finished the year profitable and maintained a solid growth momentum. Notably, revenue contribution from new initiatives increased to 18% in 2019 from 12% in 2018. Over the past year, Autohome accelerated its transition towards an intelligent auto ecosystem. Through continuously upgrading technology and bringing to the market new product innovations, we are building up data solutions, spending the entire car ownership life cycle. Autohome's products and offerings are deeply embedded into the industry's value chain and are providing solid value to a broad spectrum of industry participants. In December 2019, the number of average DAUs, who accessed our mobile websites, primary application and mini-apps increased by 25% year-over-year to 36.8 million.
On the content front, we continue to make progress in enhancing our user experience, attracting advertisers and promoting the positive development of the platforms