MINISO Group (MNSO) Q3 2023 Earnings Call Transcript

For the period ending March 31, 2023

May 16, 2023 5:00 a.m. ET

Prepared Remarks

Questions and Answers

Call Participants

Prepared Remarks:

Operator

Ladies and gentlemen, thank you for standing by, and welcome to MINISO's Earnings Conference Call for the Third Quarter of Fiscal Year 2023 that ended March 31, 2023.

At this time, all participants are in a listen-only mode. After the management's prepared remarks, we will conduct a question-and-answer session. Please note this event is being recorded. We have announced our quarterly filing results early today. An earnings release is now available on our Investor Relationship website at ir.miniso.com.

Joining us today are our Founder and CEO, Mr. Jack Ye; and our CFO, Mr. Eason Zhang.

Before I continue, I would like to refer you to the safe harbor statement in our earnings press release, which also applies to this call as we will be making forward-looking statements.

Please also note that we will discuss non-IFRS financial measures today, which we have explained and reconciled to the most comparable measures reported under the International Financial Reporting Standards in the company's earnings release and filings with U.S., SEC and Hong Kong Stock Exchange.

In addition, we have prepared a PowerPoint presentation for today's call, which contains financial and operational information for this quarter. If you're using Zoom meetings, you should be seeing it right now. You can also revisit it on our IR website later.

Now I'd like to hand the conference over to Mr. Ye and Mr. Zhang will translate for Mr. Ye. Please go ahead, sir.

Jack Ye

[Foreign language]

Eason Zhang

Hello, everyone, and welcome to our earnings conference call. We delivered a strong start to calendar year 2023 with the best March quarter performance in our history, shaking off 3 years of uncertainty caused by the pandemic. Driven by the strong recovery of our offline operations in China and the continued development of our overseas business, our revenue for the March quarter increased by 26% year-over-year and reached RMB 2.95 billion.

I'm also pleased to see that our margin profile continue to beat expectations. Gross profit margin of all business segments saw healthy year-over-year improvement, bringing the overall gross profit margin to 39.3%, which is 9 percentage points higher than the same period last year. Adjusted net profit exceeded RMB 418 million, an increase of 336% year-over-year. Adjusted net profit margin expanded 16.4%, a 12 percentage point increase compared to same period last year. Both figures set new records for MINISO.