Wang Xiaoquan: New Sogou realizes profit and loss balance next quarter

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April 29 Afternoon news, Sogou CEO Wang Xiaoquan said in the earnings communication meeting today, the first quarter is Sogou and the first full fiscal quarter after the merger, exceeding the expected realization of break-even, is expected to achieve a small profit in the second quarter.

According to Sohu's first quarterly earnings report yesterday, Sogou revenue of 70 million U.S. dollars, an increase of 78%, with the previous quarter flat. Sogou estimated revenue for the second quarter to be between $86 million and $90 million, up 23% to 29% from the first quarter of 2014, and 72% to 80% from the same period in 2013.

According to Wang Xiaoquan disclosed data, the first quarter Sogou wireless traffic increased by 24%, wireless search accounted for the total revenue from the last quarter of 10% to 12%. Of the total input of 70 million dollars, 63 million of revenue comes from search, 700万来 from game and navigation.

Wang Xiaoquan stressed that this quarter sogou is not just a fusion of search before the web, there are two products are not sogou, that is, search encyclopedia and search to ask, the two team this quarter was integrated into the Sogou, into the flow after the increase of 15%, also let Sogou first owned UGC product line.

JPMorgan's analysis found that the first quarter of Sogou and search in the cost of the resultant force, the evidence is that the search business revenue costs reduced by 5.2 million U.S. dollars, the main impetus from the reduction in the cost of access to traffic (first-quarter traffic acquisition costs in the search revenue accounted for 25%, By comparison, the fourth quarter of 2013 was 33%.

Wang Xiaoquan said that the revenue force will be gradually reflected after the second quarter, expected to achieve profits in the second half of this year, but now see the second quarter will achieve small profits.

For yesterday, UC released God horse mobile search, Wang Xiaoquan that UC innovation is still not enough, the future will only be half of the search launched in the browser search box, the other half of the flow is outside the browser flow, such as the public comment on the platform, so the future of the search pattern has a greater change.

Talking about being merged into the new Sogou QQ Input method, Wang Xiaoquan said, QQ Input method of the product will not disappear, and Sogou input method synchronized development, but in the product positioning will have a certain difference, QQ input method on the product will be more lightweight.

Wang Xiaoquan revealed that the next step with Tencent micro-letter cooperation, and is actively developing social search related products.