Anker triples its domestic market revenue in the past three quarters, aiming to...

Anker triples its domestic market revenue in the past three quarters, aiming to expand physical presence

Anker triples its domestic market revenue in the past three quarters, aiming to expand physical presence

18 hours ago

Anker, a smart electronics hardware company, had released its quarterly earnings report yesterday.

Anker, based in Shenzhen, has been widely known as a company that produces chargers. In recent years, despite charging products still taking up a huge part of its revenue, Anker is branching out to products lines such as vacuum robots, true wireless earphones, speakers, and video conferencing devices and shifting to a general tech company. Anker currently holds 59 patents and 1436 intellectual property rights. It focuses heavily on research and development, evident by it employing over 1300 R&D staff and investing 499 million yuan in research.

According to Anker, consumer electronics is an industry with rapid growth potential and the possibility of sudden demise at the same time. Therefore, in addition to its products, Anker aims to create a sustainable business model by focusing on its organization model, meaning constantly expanding its businesses and product line, evident by its successful sub-brands Eufy, Soundcore, Anker Work, and Nebula.

The model has served Anker well, evident by its earnings from Q1 to Q3, 2021. Anker's revenue was 8.425 billion yuan, a 39.99% growth compared to last year, of which 3.055 billion yuan came from July to September. Its net profit attributable to the parent company is 646 million yuan, a 21.17% growth compared to last year.

In addition to often being labeled as a charging product's maker, Anker is also often seen as a cross-border e-commerce company. That impression is partly true since roughly 65% of its revenue in 2021 comes from online venues. Yet, it is worth noting that Anker is expanding its physical presence rapidly, including retailing in over 600 BestBuys and over 3000 Walmarts and opening physical stores since 2015 across the globe.

As a result, Anker's offline revenue was 2.962 billion yuan during the first three quarters of 2021, amounting to roughly 35% of its total revenue and a 63.3% growth compared to last year. Meanwhile, Anker is also expanding rapidly in domestic markets. According to its earnings report, its domestic market revenue is 282 million yuan, a 296.76% growth compared to last year. Its overseas revenue remains steady — 81.42 billion yuan from Q1 to Q3, a 36.91 growth compared to the previous year.

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