Content aggregator Qutoutiao doubled its net losses in the quarter ended March 31 despite strong revenue growth as the company pours money into aggressively growing its user base. Share prices for the Nasdaq-listed company plunged more than 8% on Monday by market close.

Revenues in the first quarter skyrocketed 373% to RMB 1,118.8 million ($166.7 million) compared with the same period last year, driven by ad revenues from a significantly larger user base. However, despite revenues landing on the high end of analyst estimates, net losses more than doubled to RMB 688.2 million from RMB 302.6 million seen in the same period a year earlier.

Average combined monthly active users (MAUs) increased nearly four-fold to 111.4 million for its two platforms, the Qutoutiao mobile app and its literature app Midu. The company reported that daily time spent on its core content aggregator app increased in the first quarter to 62.1 minutes.

Start your free trial now.

Get instant access to all our premium content, archives, newsletters, and online community.

Monthly Membership

Yearly Membership

What you get

Full access to all premium content and our full archives

Members'-only newsletters

Preferential access and discounts to all TechNode events

Direct access to the TechNode newsroom

Start your free trial now.

Get instant access to all our premium content, archives, newsletters, and online community.

Monthly Membership

Yearly Membership

Nicole Jao

Nicole Jao is a reporter based in Beijing. She’s passionate about emerging trends, news, and stories of human interest within the world of technology. Connect with her on Twitter or via email: nicole.jao.iting@gmail.com.