ByteDance founder Zhang Yiming told staff on Thursday that he’s already shifting away from chief executive’s daily responsibilities and his work pace is less intense, according to two people who attended the meeting.
In May, Zhang unexpectedly announced that he will step down as CEO of the TikTok owner amid Chinese’ regulators’ tightened scrutiny of the country’s biggest technology firms.
He said at the time he would move to a “key strategy” role and complete the transition work with his successor Liang Rubo by the end of this year.
Zhang told staff he is currently studying other companies’ organizational structures and managing styles, and doing research on the education industry. Zhang remains chairman of ByteDance and has the absolute voting power at the company.
The company told staff at the same meeting that its total revenue more than doubled in 2020 to $34.3 billion and its net loss widened to $45 billion, according to a memo seen by Reuters.
The wider loss was partly attributable to accounting norms for share-based compensation of employees, a person familiar with the matter said.
Reuters has reported that ByteDance, one of the world’s biggest private tech companies with an estimated value of about $300 billion in recent trades, had a revenue goal of around $30 billion for 2020.
ByteDance posted an operating loss of $2 billion and a gross profit of $19 billion, representing 93% growth year-over-year, the company told employees in the staff meeting, upon which the memo was based.
Beijing-based ByteDance declined to comment on its financials or Zhang’s remarks.
It had 1.9 billion global monthly users in December 2020 for all its apps including TikTok, its Chinese version Douyin and news aggregator Jinri Toutiao.
(Reporting by Yingzhi Yang and Tony Munroe; Editing by Muralikumar Anantharaman and Kim Coghill)
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.