0001104659-23-050329 | 20-F | XBRL Viewer

For the year ended

December 31,

Costs and expenses

Supplier D

Print Document View Excel Document

Document and Entity Information	12 Months Ended
Document and Entity Information	Dec. 31, 2022 shares
Document and Entity Information
Document Type	20-F
Document Registration Statement	false
Document Annual Report	true
Document Period End Date	Dec. 31, 2022
Document Transition Report	false
Document Shell Company Report	false
Entity Filer Category	Non-accelerated Filer
Entity Registrant Name	36Kr Holdings Inc.
Entity Incorporation, State or Country Code	KY
Entity Address, Address Line One	5-6/F, Tower A1, Junhao Central Park Plaza
Entity Address, Address Line Two	No. 10 South Chaoyang Park Avenue
Entity Address, City or Town	Chaoyang District, Beijing
Entity Address, Country	CN
Entity Address, Postal Zip Code	100026
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity File Number	001-39117
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Document Accounting Standard	U.S. GAAP
Entity Shell Company	false
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2021
Document Fiscal Period Focus	FY
Entity Central Index Key	0001779476
Amendment Flag	false
Auditor Name	PricewaterhouseCoopers Zhong Tian LLP
Auditor Firm ID	1424
Auditor Location	Beijing, the People’s Republic of China
Business Contact
Document and Entity Information
Entity Address, Address Line One	5-6/F, Tower A1, Junhao Central Park Plaza
Entity Address, Address Line Two	No. 10 South Chaoyang Park Avenue
Entity Address, City or Town	Chaoyang District, Beijing
Entity Address, Country	CN
Entity Address, Postal Zip Code	100026
Contact Personnel Name	Ms. Lin Wei
City Area Code	+86 10
Local Phone Number	5825-4188
Contact Personnel Fax Number	weilin@36kr.com
Ordinary shares
Document and Entity Information
Entity Common Stock, Shares Outstanding	974,468,470
Class A ordinary shares
Document and Entity Information
Title of 12(b) Security	Class A ordinary shares, par value US$0.0001 per share*
Security Exchange Name	NASDAQ
Entity Common Stock, Shares Outstanding	878,385,770
No Trading Symbol Flag	true
Class B ordinary shares
Document and Entity Information
Entity Common Stock, Shares Outstanding	96,082,700
American depositary shares
Document and Entity Information
Title of 12(b) Security	American depositary shares, each ADS represents 25 Class A ordinary shares, par value US$0.0001 per share
Trading Symbol	KRKR
Security Exchange Name	NASDAQ

CONSOLIDATED BALANCE SHEETS - CNY (¥) ¥ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Current assets:
Cash and cash equivalents	¥ 142,511	¥ 96,965
Restricted cash	100
Short-term investments	42,270	119,140
Accounts receivable, net	197,528	180,161
Receivables due from related parties	858	3,630
Prepayments and other current assets	16,159	42,612
Total current assets	399,426	442,508
Non-current assets:
Property and equipment, net	2,428	3,159
Intangible assets, net	1,249	808
Long-term investments	137,357	41,442
Operating lease right-of-use assets, net	30,911	13,818
Total non-current assets	171,945	59,227
Total assets	571,371	501,735
Current liabilities:
Accounts payable (including amounts of the consolidated variable interest entity ("VIE") and its subsidiaries without recourse to the primary beneficiary of RMB 56.07 million and RMB 53.47 million as of December 31, 2021 and 2022, respectively)	53,465	56,266
Salary and welfare payables (including amounts of the consolidated VIE and its subsidiaries without recourse to the primary beneficiary of RMB 37.63 million and RMB 34.00 million as of December 31, 2021 and 2022, respectively)	52,204	55,788
Taxes payable (including amounts of the consolidated VIE and its subsidiaries without recourse to the primary beneficiary of RMB 11.31 million and RMB 6.84 million as of December 31, 2021 and 2022, respectively)	10,874	12,836
Deferred revenue (including amounts of the consolidated VIE and its subsidiaries without recourse to the primary beneficiary of RMB 28.86 million and RMB 24.58 million as of December 31, 2021 and 2022, respectively)	24,575	28,863
Amounts due to related parties (including amounts of the consolidated VIE and its subsidiaries without recourse to the primary beneficiary of RMB 1.33 million and RMB 0.31 million as of December 31, 2021 and 2022, respectively)	312	1,328
Accrued liabilities and other payables (including amounts of the consolidated VIE and its subsidiaries without recourse to the primary beneficiary of RMB 12.62 million and RMB 23.19 million as of December 31, 2021 and 2022, respectively)	27,606	17,501
Short-term bank loan (including amounts of the consolidated VIE and its subsidiaries without recourse to the primary beneficiary of RMB 5.0 million and RMB 9.95 million as of December 31, 2021 and 2022, respectively)	9,950	5,000
Operating lease liabilities (including amounts of the consolidated VIE and its subsidiaries without recourse to the primary beneficiary of RMB 16.30 million and RMB 31.29 million as of December 31, 2021 and 2022, respectively)	31,293	16,302
Total current liabilities	210,279	193,884
Non-current liabilities:
Operating lease liabilities (including amounts of the consolidated VIE and its subsidiaries without recourse to the primary beneficiary of RMB 0.59 million and RMB 15.09 million as of December 31, 2021 and 2022, respectively)	15,093	586
Other non-current liabilities (including amounts of the consolidated VIE and its subsidiaries without recourse to the primary beneficiary of nil and RMB 0.62 million as of December 31, 2021 and 2022, respectively)	615
Total non-current liabilities	15,708	586
Total liabilities	225,987	194,470
Commitments and Contingencies (Note 17)
Shareholders' equity
Additional paid-in capital	2,061,491	2,049,448
Treasury stock (US$ 0.0001 par value; 16,201,618 shares and 14,094,018 shares as of December 31, 2021 and 2022, respectively)	(12,010)	(13,598)
Accumulated deficit	(1,706,209)	(1,728,152)
Accumulated other comprehensive loss	(5,860)	(8,987)
Total 36Kr Holdings Inc.'s shareholders' equity	338,106	299,405
Non-controlling interests	7,278	7,860
Total shareholders' equity	345,384	307,265
Total liabilities and shareholders' equity	571,371	501,735
Class A ordinary shares
Shareholders' equity
Ordinary shares	628	628
Class B ordinary shares
Shareholders' equity
Ordinary shares	¥ 66	¥ 66

CONSOLIDATED BALANCE SHEETS (Parenthetical) ¥ in Thousands	Dec. 31, 2022 CNY (¥) shares	Dec. 31, 2022 $ / shares	Dec. 31, 2021 CNY (¥) shares	Dec. 31, 2021 $ / shares	Dec. 31, 2018 $ / shares
Accounts payable	¥ 53,465		¥ 56,266
Salary and welfare payables	52,204		55,788
Taxes payable	10,874		12,836
Deferred revenue	24,575		28,863
Amounts due to related parties	312		1,328
Accrued liabilities and other payables	27,606		17,501
Short-term bank loan	9,950		5,000
Operating lease liabilities	31,293		16,302
Operating lease liabilities	15,093		¥ 586
Other non-current liabilities	¥ 615
Shareholders' equity
Ordinary shares, par value (in US dollar per share) \| $ / shares		$ 0.0001		$ 0.0001	$ 0.0001
Treasury stock (in shares) \| shares	14,094,018		16,201,618
Class A ordinary shares
Shareholders' equity
Ordinary shares, par value (in US dollar per share) \| $ / shares		0.0001		0.0001
Ordinary shares, shares authorized (in shares) \| shares	4,903,917,300		4,903,917,300
Ordinary shares, shares issued (in shares) \| shares	907,346,745		907,346,745
Ordinary shares, shares outstanding (in shares) \| shares	895,814,195		893,706,595
Class B ordinary shares
Shareholders' equity
Ordinary shares, par value (in US dollar per share) \| $ / shares		$ 0.0001		$ 0.0001
Ordinary shares, shares authorized (in shares) \| shares	96,082,700		96,082,700
Ordinary shares, shares issued (in shares) \| shares	96,082,700		96,082,700
Ordinary shares, shares outstanding (in shares) \| shares	96,082,700		96,082,700
VIEs
Accounts payable	¥ 53,465		¥ 56,069
Salary and welfare payables	33,998		37,631
Taxes payable	6,844		11,311
Deferred revenue	24,575		28,863
Amounts due to related parties	312		1,328
Accrued liabilities and other payables	23,185		12,621
Short-term bank loan	9,950		5,000
Operating lease liabilities	31,293		16,302
Operating lease liabilities	15,093		586
Other non-current liabilities	¥ 615		¥ 0

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME/ (LOSS) - CNY (¥) ¥ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Revenues:
Total revenues	¥ 322,497	¥ 316,779	¥ 386,764
Cost of revenues	(137,848)	(128,844)	(261,372)
Gross profit	184,649	187,935	125,392
Operating expenses:
Sales and marketing expenses	(122,069)	(143,887)	(140,672)
General and administrative expenses	(52,072)	(90,636)	(212,411)
Research and development expenses	(55,045)	(47,518)	(38,232)
Impairment of goodwill			(1,395)
Total operating expenses	(229,186)	(282,041)	(392,710)
Loss from operations	(44,537)	(94,106)	(267,318)
Other income/(expenses):
Share of income/(loss) from equity method investments	51	(5,473)	(23,502)
Gain on disposal of a subsidiary	38,019
Long-term investment income/(loss), net	15,964
Short-term investment income	1,999	2,485	1,859
Government grant	3,447	3,304	10,103
Others, net	8,055	3,283	3,280
Income/(loss) before income tax	22,998	(90,507)	(275,578)
Income tax expense	(361)	(102)	(3,764)
Net income/(loss)	22,637	(90,609)	(279,342)
Net loss/(income) attributable to non-controlling interests	(694)	1,038	(889)
Net income /(loss) attributable to 36Kr Holdings Inc.'s ordinary shareholders	21,943	(89,571)	(280,231)
Net income/(loss)	22,637	(90,609)	(279,342)
Other comprehensive income/(loss)
Foreign currency translation adjustments	3,127	(1,090)	(4,843)
Total other comprehensive income/(loss)	3,127	(1,090)	(4,843)
Total comprehensive income/(loss)	25,764	(91,699)	(284,185)
Net loss/(income) attributable to non-controlling interests	(694)	1,038	(889)
Comprehensive income/(loss) attributable to 36Kr Holding Inc.'s ordinary shareholders	¥ 25,070	¥ (90,661)	¥ (285,074)
Net income/(loss) per ordinary share (RMB)
-Basic	¥ 0.021	¥ (0.087)	¥ (0.275)
-Diluted	¥ 0.021	¥ (0.087)	¥ (0.275)
Weighted average number of ordinary shares used in per share calculation:
-Basic (in shares)	1,034,547,219	1,025,068,349	1,019,316,944
-Diluted (in shares)	1,034,547,219	1,025,068,349	1,019,316,944
ADS
Net income/(loss) per ordinary share (RMB)
-Basic	¥ 0.530	¥ (2.185)	¥ (6.873)
-Diluted	¥ 0.530	¥ (2.185)	¥ (6.873)
Weighted average number of ordinary shares used in per share calculation:
-Basic (in shares)	41,381,889	41,002,734	40,772,678
-Diluted (in shares)	41,381,889	41,002,734	40,772,678
Cost of revenues
Share-based compensation expenses included in
Employee consideration	¥ 1,571	¥ 1,322	¥ 1,123
Sales and marketing expenses
Share-based compensation expenses included in
Employee consideration	3,558	8,526	16,168
General and administrative expenses
Share-based compensation expenses included in
Employee consideration	7,943	5,622	19,508
Research and development expenses
Share-based compensation expenses included in
Employee consideration	814	(452)	2,478
Online advertising services
Revenues:
Total revenues	221,620	214,722	172,811
Enterprise value-added services
Revenues:
Total revenues	72,640	74,032	193,213
Subscription services
Revenues:
Total revenues	¥ 28,237	¥ 28,025	¥ 20,740

CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY - CNY (¥) ¥ in Thousands	Ordinary shares Class A ordinary shares	Ordinary shares Class B ordinary shares	Additional paid-in capital	Treasury stock	Accumulated deficit	Accumulated other comprehensive income/loss	Non-controlling interests	Total
Balance, beginning of the year at Dec. 31, 2019	¥ 613	¥ 66	¥ 2,000,267	¥ (2,333)	¥ (1,358,350)	¥ (3,054)	¥ 6,739	¥ 643,948
Balance, beginning of the year (in shares) at Dec. 31, 2019	902,282,202	96,082,700		2,561,468
Increase (Decrease) in Stockholders' Equity
Net income/(loss)					(280,231)		889	(279,342)
Share-based compensation			39,277					39,277
Share repurchase				¥ (11,748)				(11,748)
Share repurchase (in shares)	(12,996,125)			12,996,125
Capital injection from non-controlling interests							520	520
Foreign currency translation adjustment						(4,843)		(4,843)
Issuance of ordinary shares upon exercise of share-based awards	¥ 8							8
Issuance of ordinary shares upon exercise of share-based awards (in shares)	12,138,965
Cancellation of share-based awards	(250,447)
Others			1,149					1,149
Balance, end of the year at Dec. 31, 2020	¥ 621	¥ 66	2,040,693	¥ (14,081)	(1,638,581)	(7,897)	8,148	388,969
Balance, end of the year (in shares) at Dec. 31, 2020	901,174,595	96,082,700		15,557,593
Increase (Decrease) in Stockholders' Equity
Net income/(loss)					(89,571)		(1,038)	(90,609)
Share-based compensation			15,018					15,018
Share repurchase				¥ (5,780)				(5,780)
Share repurchase (in shares)	(6,646,700)			6,646,700
Capital injection from non-controlling interests							750	750
Foreign currency translation adjustment						(1,090)		(1,090)
Issuance of ordinary shares upon exercise of share-based awards	¥ 7		(6,263)	¥ 6,263				7
Issuance of ordinary shares upon exercise of share-based awards (in shares)	10,556,462			(6,002,675)
Cancellation of share-based awards	(1,298,199)
Balance, end of the year at Dec. 31, 2021	¥ 628	¥ 66	2,049,448	¥ (13,598)	(1,728,152)	(8,987)	7,860	307,265
Balance, end of the year (in shares) at Dec. 31, 2021	903,786,158	96,082,700		16,201,618
Increase (Decrease) in Stockholders' Equity
Net income/(loss)					21,943		694	22,637
Share-based compensation			12,376					12,376
Capital injection from non-controlling interests							174	174
Foreign currency translation adjustment						3,127		3,127
Issuance of ordinary shares upon exercise of share-based awards			(1,588)	¥ 1,588
Issuance of ordinary shares upon exercise of share-based awards (in shares)	2,107,600			(2,107,600)
Acquisition of non-controlling interests of subsidiaries			1,388				(3,093)	(1,705)
Sale of a subsidiary's shares to non-controlling shareholders			(133)				1,643	1,510
Balance, end of the year at Dec. 31, 2022	¥ 628	¥ 66	¥ 2,061,491	¥ (12,010)	¥ (1,706,209)	¥ (5,860)	¥ 7,278	¥ 345,384
Balance, end of the year (in shares) at Dec. 31, 2022	905,893,758	96,082,700		14,094,018

CONSOLIDATED STATEMENTS OF CASH FLOWS - CNY (¥) ¥ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Cash flows from operating activities:
Net income/(loss)	¥ 22,637	¥ (90,609)	¥ (279,342)
Adjustments to reconcile net income to net cash used in operating activities:
Depreciation of property and equipment	1,772	2,563	5,549
Amortization of intangible assets	150	96	49
Share-based compensation expenses	13,886	15,018	39,277
Non-cash operating lease expense	13,606	15,481	15,306
Allowance for credit losses	(28,672)	9,853	127,100
Losses from disposal of property, equipment and software	25	73	103
Exchange (gains)/ losses	(3)	68	104
Goodwill impairment			1,395
Property and equipment impairment			7,987
Fair value changes of short-term investments	(618)	(670)	(474)
Long-term investment income/(loss), net	(15,964)
Share of loss/(income) from equity method investments	(51)	5,473	23,502
Disposal gain on a subsidiary	(38,019)
Deferred income tax			3,391
Changes in operating assets and liabilities:
Accounts receivable	6,948	241,475	108,162
Receivables due from related parties	(608)	(1,780)	4,517
Prepayments and other current assets	26,034	51	23,657
Accounts payable	(2,801)	(8,375)	(73,551)
Salary and welfare payables	(3,584)	10,208	(5,163)
Taxes payable	(1,962)	(5,988)	(16,525)
Deferred revenue	(3,672)	10,014	10,688
Amounts due to related parties	(1,016)	780	548
Accrued liabilities and other payables	8,124	3,834	1,946
Lease liabilities	(1,201)	(12,604)	(15,351)
Net cash (used in)/provided by operating activities	(4,989)	194,961	(17,125)
Cash flows from investing activities:
Purchase of property and equipment	(1,065)	(1,747)	(2,186)
Purchase of intangible assets	(591)	(433)	(164)
Purchase of short-term investments	(457,490)	(659,210)	(613,952)
Proceeds from maturities of short-term investments	534,978	689,084	552,444
Placement of time deposits			(135,934)
Withdrawal of time deposits			135,934
Loan paid to related parties		(2,000)
Loan repayment from related parties	2,000
Cash received from customer in relation to advertisement agent services	70,208	26,295
Cash paid on behalf of the customer in relation to advertisement agent services	(64,054)	(179,036)
Cash consideration paid for purchase of subsidiaries, net of cash acquired			(431)
Investment in long-term investments	(38,970)	(30,950)
Cash paid to acquire non-controlling interests of subsidiaries	(1,705)
Net cash (used in)/provided by investing activities	43,311	(157,997)	(64,289)
Cash flows from financing activities:
Proceeds from initial public offering, net of issuance costs			(21,617)
Proceeds from bank loan	9,950	10,000
Repayment of bank loan	(5,000)	(5,000)
Proceeds from employee options exercised		7	8
Share repurchase		(5,780)	(11,748)
Capital injection from non-controlling interest shareholders	174	750	520
Net cash provided by/(used in) financing activities	5,124	(23)	(32,837)
Effect of exchange rate changes on cash, cash equivalents and restricted cash held in foreign currencies	2,200	(822)	(2,780)
Net increase/(decrease) in cash, cash equivalents and restricted cash	45,646	36,119	(117,031)
Cash, cash equivalents and restricted cash at beginning of the year	96,965	60,846	177,877
Cash, cash equivalents and restricted cash at end of the year	142,611	96,965	60,846
Supplemental disclosures of cash flow information:
Cash paid for income taxes, net of tax refund	(171)	(306)	(13,570)
Supplemental schedule of non-cash investing and financing activities:
Property and equipment purchases financed by other payable		¥ 107	¥ 111
The addition of long-term investment in Hangzhou Jialin	¥ 40,000

Nature of Operations and Reorganization

12 Months Ended

Dec. 31, 2022

Nature of Operations and Reorganization

Nature of Operations and Reorganization

1. Nature of Operations and Reorganization

(a) Nature of operations

36Kr Holdings Inc. (‘‘36Kr’’ or the ‘‘Company’’), is a holding company and conducts its business mainly through its subsidiaries, a VIE and subsidiaries of the VIE (collectively referred to as the “Group”). The Group is primarily engaging in providing content and business services to new economy participants in the People’s Republic of China (the “PRC”). The Group mainly generates revenues from providing online advertising services, enterprise value-added services and subscription services (collectively referred to as the “36Kr Business”). The Group’s principal operations and geographic markets are substantially located in PRC.

The Group commenced operations in 2010. Beijing Xieli Zhucheng Finance Information Service Co., Ltd. (“Xieli”) was established in 2011 by Mr. Liu Chengcheng (the “Founder”) to carry out the Group’s principal business. In December 2016, the Group’s business was carved out from Xieli (“Carve-out”), and incorporated into a newly set up company named Beijing Duoke Information Technology Co., Ltd. (“Beijing Duoke”; formerly named as Beijing Pinxin Media Culture Co., Ltd. and Beijing Sanshiliuke Culture Media Co., Ltd.), which was then a wholly owned subsidiary of Xieli.

The Company was incorporated as a limited liability company in the Cayman Islands on December 3, 2018. Through a series of contemplated reorganization steps (the “Reorganization”), the Company established Beijing Dake Information Technology Co., Ltd. (“Beijing Dake”) in June 2019 to be the primary beneficiary of Beijing Duoke for accounting purposes through entering into a series of contractual arrangements and thereafter the 36Kr Business was transferred to the Group upon the completion of the Reorganization. The Reorganization was approved by the Board of Directors and a reorganization framework agreement was entered into by the Company, Beijing Duoke, the Founder and the shareholders of Beijing Duoke in June 2019. Beijing Duoke has become VIE of the Group.

The ownership structure of the major subsidiaries and VIE of the Group as of December 31, 2022 is:


		Percentage of
		Direct or Indirect
	Place and year of	Economic
Major subsidiaries	Incorporation	Ownership		Principal activities
36Kr Holding Limited (“36Kr BVI” or “BVI Subsidiary”)	British Virgin Islands, established in 2018	100	%	Investment holding
36Kr Holdings (HK) Limited (“36Kr HK” or “HK Subsidiary”)	Hong Kong, established in 2018	100	%	Investment holding
Tianjin Duoke Investment Co., Ltd. (“Tianjin Duoke”)	The PRC, established in 2019	100	%	Investment holding
Tianjin Dake Information Technology Co., Ltd. (“Tianjin Dake”)	The PRC, established in 2019	100	%	Management consulting
Beijing Dake	The PRC, established in 2019	100	%	Management consulting
Nanjing Dake Information Technology Co., Ltd. (“Nanjing Dake”)	The PRC, established in 2021	100	%	Management consulting
Hainan Shenke Information Technology Co., Ltd. (“Hainan Shenke”)	The PRC, established in 2021	100	%	Management consulting


		Percentage of
	Place and year of	Economic
VIE	Incorporation	Ownership		Principal activities
Beijing Duoke	The PRC, established in 2016	100	%	36Kr Business

1. Nature of Operations and Reorganization (Continued)

(a) Nature of operations (Continued)


		Percentage of
	Place and year of	Economic
VIE Major subsidiaries	Incorporation	Ownership		Principal activities
Zhejiang Pinxin Technology Co., Ltd.	The PRC, established in 2019	100	%	Investment holding

(b) Initial Public Offering

On November 8, 2019, the Company completed its initial public offering (the “IPO”) on the NASDAQ. In the offering, 1,380,000 American depositary shares (“ADSs”), representing 34,500,000 Class A ordinary shares, were issued and sold to the public at a price of US$14.50 per ADS. The net proceeds to the Company from the IPO, after deducting accrued and paid commissions and offering expenses, were approximately US$12.33 million (RMB 86.24 million).

In order to comply with the PRC laws and regulations which prohibit or restrict foreign control of companies involved in provision of internet content services, the Group operates its restricted businesses in the PRC through its VIE, whose equity interests are held by the Founder and other shareholders of the Group. The Company became the primary beneficiary of the VIE for accounting purposes by entering into a series of contractual arrangements with the legal shareholders who are also referred to as nominee shareholders. These nominee shareholders are the legal owners of the VIE. However, the rights of those nominee shareholders have been transferred to the Group through the contractual arrangements.

The contractual arrangements are the power of attorney, equity pledge agreement, exclusive purchase option agreement and exclusive business cooperation agreement. The Company’s management concluded that the Company, through the contractual arrangements, has the power to direct the activities that most significantly impact the VIE’s economic performance and bears the risks of and enjoys the rewards normally associated with ownership of the VIE. Therefore, the Company is the ultimate primary beneficiary of the VIE for accounting purpose. As such, the Company consolidates the financial statements of the VIE and its subsidiaries, and the financial results of the VIE were included in the Group’s consolidated financial statements in accordance with the basis of presentation as stated in Note 2 (a).

The following is a summary of the contractual agreements that were entered into by and among Beijing Dake, Beijing Duoke, and the nominee shareholders of Beijing Duoke.

Power of Attorney

Beijing Dake, Beijing Duoke and the shareholders of Beijing Duoke except for BCI, the minority investment shareholder mentioned below, have entered into an power of attorney, pursuant to which each of the shareholders of Beijing Duoke irrevocably appointed Beijing Dake (as well as its successors, including a liquidator, if any, replacing Beijing Dake) or its designated persons to act on their respective behalf as exclusive agent and attorney, to the extent permitted by law, with respect to all rights of shareholders concerning all equity interests held by each of them in Beijing Duoke, including without limitation (i) to exercise all the shareholder’s rights (including but not limited to voting rights and right to sell, transfer, pledge or dispose of all equity interests in Beijing Duoke held in part or in whole), (ii) to attend shareholders’ meetings and to execute any and all written resolutions and meeting minutes in the name and on behalf of such shareholders, and (iii) to file documents with the relevant companies registry. The agreement will remain effective until Beijing Dake unilaterally terminates the agreement in writing or all equity interests in Beijing Duoke held by its shareholders are transferred or assigned to Beijing Dake or its designated representatives.

1. Nature of Operations and Reorganization (Continued)

Equity Pledge Agreement

Beijing Dake, Beijing Duoke and the shareholders of Beijing Duoke except for BCI, the minority investment shareholder mentioned below, have entered into an equity pledge agreement, pursuant to which the shareholders of Beijing Duoke have pledged all of their equity interests in Beijing Duoke that they own, including any interest or dividend paid for the shares, to Beijing Dake as a security interest to guarantee the performance by Beijing Duoke and its shareholders’ performance of their respective obligations under the exclusive business cooperation agreement, exclusive purchase option agreement and power of attorney. Upon the discovery of the occurrence of any circumstances or event that may lead to an event of default (as defined in the equity pledge agreement), Beijing Dake, as the pledgee, will be entitled to certain rights, including the right to sell the pledged equity interests. Beijing Dake is not liable for any loss incurred by its due exercise of such rights and powers. This pledge will become effective on the date the pledged equity interests are registered with the relevant office of industry and commerce and will remain effective until the pledgors are no longer the shareholders of Beijing Duoke.

Exclusive Purchase Option Agreement

Beijing Dake, Beijing Duoke and the shareholders of Beijing Duoke except for BCI, the minority investment shareholder mentioned below, have entered into an exclusive purchase option agreement, pursuant to which each of the shareholders of Beijing Duoke irrevocably granted Beijing Dake or its designated representatives an exclusive option to purchase, to the extent permitted under PRC law, all or part of his, her or its equity interests in Beijing Duoke. Beijing Dake or its designated representatives have sole discretion as to when to exercise such options, either in part or in full, once or at multiple times at any time. Without Beijing Dake’s prior written consent, the shareholders of Beijing Duoke shall not sell, transfer, mortgage or otherwise dispose of their equity interests in Beijing Duoke, or allow the encumbrance thereon. The agreement will remain effective until all equity interests in Beijing Duoke held by its shareholders are transferred or assigned to Beijing Dake or its designated representatives.

Exclusive Business Cooperation Agreement

Beijing Dake and Beijing Duoke have entered into an exclusive business cooperation agreement, pursuant to which Beijing Dake has the exclusive right to provide to Beijing Duoke technical support, consulting services and other services related to Beijing Duoke’s business, including business management, daily operations, strategic planning, among others. Beijing Dake has granted Beijing Duoke the right to register its intellectual property rights under Beijing Duoke. Beijing Dake has the right to purchase such intellectual property rights from Beijing Duoke at nominal prices. The scope of the services provided by Beijing Dake may be expanded from time to time per Beijing Duoke’s request. The timing and amount of the service fee payments shall be determined at the sole discretion of Beijing Dake. The term of this agreement is indefinite unless Beijing Dake unilaterally terminates the agreement in writing.

Minority Investment in Beijing Duoke

In November 2022, Beijing Cultural Investment Development Group Asset Management Co., Ltd. (“BCI”) made an investment of RMB32,492 in Beijing Duoke for 1% of Beijing Duoke’s registered capital. Such minority stake holder is entitled to customary economic rights in proportion to its equity ownership, and certain minority shareholder rights such as the right to appoint a director to Beijing Duoke’s three-member board of directors, and veto rights over certain matters related to content decision.

The minority stake holder is not a party to the contractual arrangements mentioned above that are currently in effect among Beijing Duoke Beijing Dake and Beijing Duoke’s shareholders. As such, despite the fact that the Company is still able to enjoy economic benefits and is the primary beneficiary of Beijing Duoke and its subsidiaries, the Company is not able to purchase or have the third party minority stake holder pledge its 1% equity interests in Beijing Duoke in the same manner as agreed under existing contractual arrangements, nor is it granted the authorization of voting rights over these 1% equity interests. The Company believes Beijing Dake, the wholly-owned PRC subsidiary, still is the primary beneficiary of Beijing Duoke for accounting purpose as it continues to have a controlling financial interest in Beijing Duoke pursuant to ASC 810-10-25-38A after the issuance of such 1% equity interests.

1. Nature of Operations and Reorganization (Continued)

Risks in relation to the VIE structure

A significant part of the Group’s business is conducted through the VIE of the Group, of which the Company is the ultimate primary beneficiary. In the opinion of the management, the contractual arrangements with the VIE and the nominee shareholders are in compliance with PRC laws and regulations and are legally binding and enforceable. The nominee shareholders indicate they will not act contrary to the contractual arrangements. However, there are substantial uncertainties regarding the interpretation and application of the PRC laws and regulations including those that govern the contractual arrangements, which could limit the Group’s ability to enforce these contractual arrangements and if the nominee shareholders of the VIE were to reduce their interests in the Group, their interest may diverge from that of the Group and that may potentially increase the risk that they would seek to act contrary to the contractual arrangements.

The CEO along with other employees own the majority of the voting shares of the VIE. The enforceability, and therefore the benefits, of the contractual agreements between the Company and the VIE depend on these individuals enforcing the contracts. There is a risk that the benefits of ownership between the Company and the VIE may not be aligned in the future. Given the significance and importance of the VIE, there would be a significant negative impact to the Company if these contracts were not enforced.

The Group’s operations depend on the VIE to honour its contractual agreements with the Group and the Company’s ability to enjoy economic benefits and have power over the VIE also depends on the authorization by the shareholders of the VIE to exercise voting rights on all matters requiring shareholder approval in the VIE. The Company believes that the agreements on authorization to exercise shareholder’s voting power are legally enforceable and the possibility that it will no longer be able to control and consolidate the VIE as a result of the aforementioned risks and uncertainties is remote.

It is possible that the Group’s operation of certain of its operations and businesses through the VIE could be found by PRC authorities to be in violation of PRC law and regulations prohibiting or restricting foreign ownership of companies that engage in such operations and businesses. While the Group’s management considers the possibility of such a finding by PRC regulatory authorities under current law and regulations to be remote, on March 15, 2019, the National People’s Congress adopted the Foreign Investment Law of the PRC, effective on January 1, 2020 and replaced three existing laws regulating foreign investment in China, namely, the Wholly Foreign-Invested Enterprise Law of the PRC, the Sino-Foreign Cooperative Joint Venture Enterprise Law of the PRC and the Sino-Foreign Equity Joint Venture Enterprise Law of the PRC, together with their implementation rules and ancillary regulations. The Foreign Investment Law of the PRC embodies an expected PRC regulatory trend to rationalize its foreign investment regulatory regime in line with prevailing international practice and the legislative efforts to unify the corporate legal requirements for both foreign and domestic investments. However, since it is relatively new, uncertainties still exist in relation to its interpretation and implementation. For example, the Foreign Investment Law of the PRC adds a catch-all clause to the definition of ‘‘foreign investment’’ so that foreign investment, by its definition, includes ‘‘investments made by foreign investors in China through other means defined by other laws or administrative regulations or provisions promulgated by the State Council’’ without further elaboration on the meaning of ‘‘other means.’’ It leaves leeway for the future legislations promulgated by the State Council to provide for contractual arrangements as a form of foreign investment. It is therefore uncertain whether the Group’s corporate structure will be seen as violating the foreign investment rules as the Group are currently leveraging the contractual arrangements to operate certain businesses in which foreign investors are prohibited from or restricted to investing. Furthermore, if future legislations prescribed by the State Council mandate further actions to be taken by companies with respect to existing contractual arrangement, the Group may face substantial uncertainties as to whether the Group can complete such actions in a timely manner, or at all. If the Group fails to take appropriate and timely measures to comply with any of these or similar regulatory compliance requirements, the Group’s current corporate structure, corporate governance and business operations could be materially and adversely affected.

1. Nature of Operations and Reorganization (Continued)

Risks in relation to the VIE structure (Continued)

If the Group’s corporate structure or the contractual arrangements with the VIE were found to be in violation of any existing or future PRC laws and regulations, the PRC regulatory authorities could, within their respective jurisdictions:

●

revoke the business licenses and/or operating licenses of such entities;

●

discontinue or place restrictions or onerous conditions on the Group’s operation through any transactions between the PRC subsidiary and the VIE;

●

impose fines, confiscate the income from the PRC subsidiary or the VIE, or impose other requirements with which the VIE may not be able to comply;

●

require the Group to restructure the ownership structure or operations, including terminating the contractual arrangements with the VIE and deregistering the equity pledges of the VIE, which in turn would affect the Group’s ability to consolidate, derive economic interests from, or enjoy economic benefits and have power over the VIE;

●

restrict or prohibit the Group’s use of the proceeds of this offering to finance the Group’s business and operations in China; or

●

take other regulatory or enforcement actions that could be harmful to the Group’s business.

The imposition of any of these restrictions or actions could result in a material adverse effect on the Group’s ability to conduct its business. In such case, the Group may not be able to operate or control the VIE, which may result in deconsolidation of the VIE in the Group’s consolidated financial statements. In the opinion of the management, the likelihood for the Group to lose such ability is remote based on current facts and circumstances. The Group believes that the contractual arrangements among the VIE, its shareholders and relevant wholly foreign owned enterprise are in compliance with PRC law and are legally enforceable. The Group’s operations depend on the VIE to honor its contractual arrangements with the Group. These contractual arrangements are governed by PRC law and disputes arising out of these agreements are expected to be decided by arbitration in the PRC. The Company’s management believes that each of the contractual arrangements constitutes valid and legally binding obligations of each party to such contractual arrangements under the PRC laws. However, the interpretation and implementation of the laws and regulations in the PRC and their application on the legality, binding effect and enforceability of contracts are subject to the discretion of competent PRC authorities, and therefore there is no assurance that relevant PRC authorities will take the same position as the Group herein in respect of the legality, binding effect and enforceability of each of the contractual arrangements. Meanwhile, since the PRC legal system continues to evolve, the interpretations of many laws, regulations and rules are not always uniform and enforcement of these laws, regulations and rules involve uncertainties, which may limit legal protections available to the Group to enforce the contractual arrangements should the VIE or the nominee shareholders of the VIE fail to perform their obligations under those arrangements.

1. Nature of Operations and Reorganization (Continued)

(c) Contractual agreements with the VIE (Continued)

Risks in relation to the VIE structure (Continued)

The following financial information of the Group’s VIE and the VIE’s subsidiaries as of December 31, 2021 and 2022 and for the years ended December 31, 2020, 2021 and 2022 is included in the accompanying consolidated financial statements of the Group as follows:


	December 31,	December 31,
	2021	2022
	RMB’000	RMB’000
Current assets:
Cash and cash equivalents	42,047	101,659
Restricted cash	—	100
Short‑term investments	99,017	22,247
Accounts receivable, net	179,986	197,503
Amounts due from the Company and its subsidiaries	16,137	16,361
Receivables due from related parties of the Group	3,620	804
Prepayments and other current assets	42,312	15,913
Non‑current assets:
Property and equipment, net	3,157	2,428
Intangible assets, net	808	1,249
Long-term investments, net	30,976	126,434
Operating lease right-of-use assets, net	13,818	30,911
Total assets	431,878	515,609
Current liabilities:
Accounts payable	56,069	53,465
Salary and welfare payables	37,631	33,998
Taxes payable	11,311	6,844
Deferred revenue	28,863	24,575
Amounts due to the Company and its subsidiaries	143,331	155,818
Amounts due to related parties of the Group	1,328	312
Accrued liabilities and other payables	12,621	23,185
Short-term bank loan	5,000	9,950
Operating lease liabilities	16,302	31,293
Non-current liabilities:
Operating lease liabilities	586	15,093
Other non-current liabilities	—	615
Total liabilities	313,042	355,148

1. Nature of Operations and Reorganization (Continued)

(c) Contractual agreements with the VIE (Continued)

Risks in relation to the VIE structure (Continued)


	For the year Ended December 31,
	2020	2021	2022
	RMB’000	RMB’000	RMB’000
Inter-company revenues	—	25	—
Third-party revenues	386,861	316,632	320,526
Cost of revenues	(282,772)	(147,654)	(211,698)
Gross profit	104,089	169,003	108,828
Operating expenses	(284,163)	(190,249)	(131,984)
Loss from operations	(180,074)	(21,246)	(23,156)
Gain on disposal of a subsidiary	—	—	38,019
Share of loss from equity method investments	—	26	523
Long-term investments income/(loss), net	—	—	15,964
Short-term investments income	1,416	1,768	1,262
Others, net	12,021	5,602	9,402
Income/(Loss) before income tax	(166,637)	(13,850)	42,014
Income tax expenses	(3,814)	(111)	(361)
Net income/(loss)	(170,451)	(13,961)	41,653


	For the year Ended December 31,
	2020	2021	2022
	RMB’000	RMB’000	RMB’000
Net cash (used in)/provided by operating activities	57,273	266,927	77,322
Purchase of short-term investments	(504,571)	(571,110)	(417,490)
Proceeds from maturities of short-term investments	423,937	594,927	494,709
Investment in long-term investments	—	(30,950)	(38,970)
Loan paid to inter-company entities	(150)	(5,000)	—
Loan collected from related parties	—	—	2,000
Loan collected from inter-company entities	—	5,000	100
Cash received from customer in relation to advertisement agent services	—	26,295	70,208
Cash paid on behalf of the customer in relation to advertisement agent services	—	(179,036)	(64,054)
Others	(2,777)	(4,180)	(3,361)
Net cash (used in)/provided by investing activities	(83,561)	(164,054)	43,142
Proceeds from initial public offering, net of issuance costs	(6,000)	—	—
Capital injection from noncontrolling interest shareholders	520	750	174
Proceeds from loans provided by inter-company entities	35,910	25,010	—
Repayments of loans provided by inter-company entities	(5,000)	(103,080)	(65,876)
Others	(19)	5,000	4,950
Net cash provided by/(used in) financing activities	25,411	(72,320)	(60,752)
Increase/(Decrease) in cash, cash equivalents and restricted cash	(877)	30,553	59,712
Cash, cash equivalents and restricted cash at beginning of year	12,371	11,494	42,047
Cash, Cash equivalents and restricted cash at end of year	11,494	42,047	101,759

1. Nature of Operations and Reorganization (Continued)

(c) Contractual agreements with the VIE (Continued)

Risks in relation to the VIE structure (Continued)

The Company’s involvement with the VIE is through the contractual arrangements disclosed above. All recognized assets held by the VIE are disclosed in the table above. Unrecognized revenue-producing assets held by the VIE include the Internet Content Provision License, tradename of 36Kr, the domain names of 36kr.com, 36Kr mobile application, 36Kr official account on social networks, customer relationship relating to online advertising and enterprise value-added services, customer lists relating to subscription services and assembled workforce.

In accordance with various contractual agreements, the Company has the power to direct the activities of the VIE and can have assets transferred out of the VIE. Therefore, the Company considers that there are no assets in the respective VIE that can be used only to settle obligations of the respective VIE, except for the registered capital of the VIE as well as certain non-distributable statutory reserves. As the respective VIE is incorporated as a limited liability company under the PRC Company Law, creditors do not have recourse to the general credit of the Company for the liabilities of the respective VIE. There is currently no contractual arrangement that would require the Company to provide additional financial support to the VIE. As the Group is conducting certain businesses in the PRC through the VIE, the Group may provide additional financial support on a discretionary basis in the future, which could expose the Group to a loss.

There is no VIE in the Group where the Company or any subsidiary has a variable interest but is not the primary beneficiary.

Significant Accounting Policies

12 Months Ended

Dec. 31, 2022

Significant Accounting Policies

Significant Accounting Policies

2. Significant Accounting Policies

(a) Basis of presentation

The consolidated financial statements of the Group have been prepared in accordance with accounting principles generally accepted in the United States of America (‘‘U.S. GAAP’’). Significant accounting policies followed by the Group in the preparation of the accompanying consolidated financial statements are summarized below.

(b) Principles of consolidation

The consolidated financial statements include the financial statements of the Company, its subsidiaries, the VIE and the VIE’s subsidiaries for which the Company is the ultimate primary beneficiary.

Subsidiaries are those entities in which the Company, directly or indirectly, controls more than one half of the voting power or has the power to appoint or remove the majority of the members of the board of directors, or to cast a majority of votes at the meeting of the board of directors, or to govern the financial and operating policies of the investee under a statute or agreement among the shareholders or equity holders.

A VIE is an entity in which the Company, or its subsidiary, through contractual arrangements, has the power to direct the activities that most significantly impact the entity’s economic performance, bears the risks of and enjoys the rewards normally associated with ownership of the entity, and therefore is the primary beneficiary of the entity.

All significant intercompany transactions and balances between the Company, its subsidiaries, the VIE and subsidiaries of the VIE have been eliminated upon consolidation.

A non-controlling interest is recognized to reflect the portion of a subsidiary’s equity which is not attributable, directly or indirectly, to the Group. When the non-controlling interest is contingently redeemable upon the occurrence of a conditional event which is not solely within the control of the Group, the non-controlling interest is classified as mezzanine equity.

2. Significant Accounting Policies (Continued)

(b) Principles of consolidation (Continued)

Consolidated net income/(loss) on the consolidated statements of comprehensive income/(loss) includes the net income/(loss) attributable to the non-controlling interests when applicable. For the years ended December 31, 2020, 2021 and 2022, the net income/(loss) attributable to the non-controlling interests were an income of RMB 0.89 million, a loss of RMB 1.04 million and an income of RMB 0.69 million, respectively. Cash flows related to transactions with non-controlling interests holders are presented under financing activities in the consolidated statements of cash flows when applicable.

The preparation of the consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the balance sheet date, and the reported revenues and expenses during the reporting periods in the consolidated financial statements and accompanying notes. Significant accounting estimates include, but are not limited to, determination of assessment for the allowance for credit loss, fair value of investments accounted for at fair value, impairment of long-term investments, impairment of long-lived assets, valuation allowance of deferred tax assets and valuation and recognition of share-based compensation expenses, Actual results could differ from those estimates and such differences may be material to the consolidated financial statements.

(d) Functional currency and foreign currency translation

The Group’s reporting currency is Renminbi (‘‘RMB’’). The functional currency of the Company is United States dollar (‘‘US$’’). The functional currency of the Group’s PRC entities, the VIE and the VIE’s PRC subsidiaries is RMB. The determination of the respective functional currency is based on the criteria set out by ASC 830, Foreign Currency Matters.

Transactions denominated in foreign currencies other than the functional currency are translated into the functional currency at the exchange rates prevailing on the transactions date. Monetary assets and liabilities denominated in foreign currencies are translated into the functional currency at the exchange rates prevailing at the balance sheet dates. Exchange gains and losses arising from foreign currency transactions are recorded in the consolidated statements of comprehensive income/(loss).

The financial statements of the Group’s non PRC entities are translated from their respective functional currencies into RMB. Assets and liabilities are translated into RMB using the applicable exchange rates at the balance sheet date. Equity accounts other than earnings generated in the current period are translated into RMB using the appropriate historical rates. Revenues, expenses, gains and losses are translated into RMB using the average exchange rates for the relevant period. The resulting foreign currency translation adjustments are reported in other comprehensive income/(loss) in the consolidated statements of comprehensive income/(loss), and the accumulated foreign currency translation adjustments are presented as a component of accumulated other comprehensive loss in the consolidated statements of changes in shareholders’ (deficit)/equity. Total foreign currency translation adjustments included in the Group’s other comprehensive income/(loss) were a net loss of RMB 4.84 million, a net loss of RMB 1.09 million and an income of RMB 3.13 million for the years ended December 31, 2020, 2021 and 2022, respectively.

2. Significant Accounting Policies (Continued)

(e) Fair value measurements

Accounting guidance defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities required or permitted to be recorded at fair value, the Group considers the principal or most advantageous market in which it would transact and it considers assumptions that market participants would use when pricing the asset or liability.

Accounting guidance establishes a fair value hierarchy that requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. A financial instrument’s categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. Accounting guidance establishes three levels of inputs that may be used to measure fair value:

a.	Level 1—Quoted prices (unadjusted) in active markets for identical assets or liabilities.

b.	Level 2—Observable, market-based inputs, other than quoted prices, in active markets for identical assets or liabilities.

c.	Level 3—Unobservable inputs to the valuation methodology that are significant to the measurement of the fair value of the assets or liabilities.

The Group’s financial instruments include cash equivalents, restricted cash, short term investments, accounts receivable, receivables due from related parties, other receivables, long-term investments, accounts payable, accrued liabilities and other payables, short-term bank loan and amounts due to related parties.

The following table sets forth the Group’s assets and liabilities that are measured at fair value on a recurring basis and are categorized using the fair value hierarchy:

As of December 31, 2021


				Balance at
Assets	Level 1	Level 2	Level 3	fair value
	RMB’000	RMB’000	RMB’000	RMB’000
Short‑term investments — Wealth management products	—	119,140	—	119,140

As of December 31, 2022


				Balance at
Assets	Level 1	Level 2	Level 3	fair value
	RMB’000	RMB’000	RMB’000	RMB’000
Short‑term investments — Wealth management products	—	42,270	—	42,270
Long-term investments- Fair value option		66,470		66,470

2. Significant Accounting Policies (Continued)

(e) Fair value measurements (Continued)

Recurring

The Group’s short-term investments consisted of wealth management products which contain a variable interest rate. To estimate the fair value of short-term investments, the Group refers to the quoted rate of return provided by financial institutions at the end of each year/period. The Group classifies the valuation techniques that use these inputs as level 2 of fair value measurement.

The Group applies fair value accounting to privately held investments classified as debt securities. The fair value of privately held investments classified as debt securities were determined using recent market transaction price (Level 2). For the investments made close to the period end, their initial investment amounts were deemed approximately equal to their fair value, except that the fair value of the investment in Shanghai Fanbo Biotechnology Co. (“Fanbo”) was estimated to be nil as of December 31, 2022 due to the significant liquidity difficulty Fanbo encountered.

Non-Recurring

For equity securities accounted for under the measurement alternative, when there are observable price changes in orderly transactions for identical or similar investments of the same issuer, the investments are re-measured to fair value. The non-recurring fair value measurements of an investment usually requires management to estimate a price adjustment for the different rights and obligations between a similar instrument of the same issuer with an observable price change in an orderly transaction and the investment held by the Company. These non-recurring fair value measurements were measured as of the observable transaction dates. The Company classifies the valuation methodologies that require management to use the observable transaction price at the transaction date as Level 2 of fair value measurements Details of the fair value measurements of equity securities accounted for under the measurement alternative is set out in Note 8 Long-term investments.

When there is impairment of equity securities accounted for under the measurement alternative and equity method investments, the non-recurring fair value measurements are measured at the date of impairment. There was no impairment recognized for the year ended 2020, 2021 and 2022.

As of December 31, 2021 and 2022, the fair values of cash and cash equivalents, accounts receivable, receivables due from related parties, other receivables, accounts payable, accrued liabilities and other payables, short-term bank loan and amounts due to related parties approximated their carrying values reported in the consolidated balance sheets due to the short term maturities of these instruments.

(f) Cash and cash equivalents

Cash and cash equivalents represent cash in banks and highly liquid investments placed with banks or other financial institutions, which are unrestricted to withdrawal or use, and which have original maturities of three months or less.

(g) Restricted cash

Cash that is restricted as to withdrawal or for use or pledged as security is reported separately on the face of the Consolidated Balance Sheets, and is included in the total cash, cash equivalents, and restricted cash in the Consolidated Statements of Cash Flows. The Group’s restricted cash mainly represents cash at bank with restricted use.

2. Significant Accounting Policies (Continued)

(h) Short-term investments

Short-term investments include investments in wealth management products issued by China Merchants Bank, which are redeemable by the Company at a periodic term or any working day within one year. The wealth management products are unsecured with variable interest rates and primarily invested in financial instruments with high credit rating and good liquidity in the interbank and exchange markets, including but not limited to debt securities issued by the PRC government, central bank bills, interbank and exchange-traded bond, and assets backed securities. The Company measures the short-term investments at fair value using the quoted subscription or redemption prices published by the bank or by discounting the future cash flows at the expected yield rate with reference to the expected benchmark yield rates of the wealth management products of the bank.

(i) Accounts receivable, net

Accounts receivable is the Group’s right to consideration that is unconditional, and the right to consideration is unconditional if only the passage of time is required before payment of that consideration is due. The carrying value of accounts receivable is reduced by an allowance that reflects the Group’s best estimate of the amounts that will not be collected.

The Group makes estimations of the collectability of accounts receivable. Accounts receivable is measured at amortized cost and reported on the consolidated balance sheets at the outstanding principals adjusted for any write-offs and any allowance for credit losses, since the Group adopted ASC 326 beginning from January 1, 2021. In determining the amount of the allowance for credit losses, the Group considers historical collectability based on historical collection activity, current business environment and forecasts of future macroeconomic conditions that may affect the customers’ ability of payment.

Expected credit losses

In June 2016, the FASB issued ASU 2016-13 Financial Instruments-Credit Losses (Topic 326), and issued subsequent amendments to the initial guidance, transitional guidance and other interpretive guidance between November 2018 and March 2020 within ASU 2018-19, ASU 2019-04, ASU 2019-05, ASU 2019-11, ASU 2020-02 and ASU 2020-03. ASU 2016-13 introduces new guidance for credit losses on instruments within its scope. The new guidance introduces an approach based on expected losses to estimate credit losses on certain types of financial instruments, including accounts receivable and notes receivable, held-to-maturity debt securities, loans and net investments in leases. The new guidance also modifies the impairment model for available-for-sale debt securities and requires entities to determine whether all or a portion of the unrealized loss on an available-for-sale debt security is a credit loss. Further, the new guidance indicates that entities may not use the length of time a security has been in an unrealized loss position as a factor in concluding whether a credit loss exists. The allowance for accounts receivable is the Group’s estimate of credit losses based on historical collection activity, current business environment and forecasts of future macroeconomic conditions that may affect the customers’ ability of payment. The Group estimated the allowance by segmenting accounts receivable into pools based on certain credit risk characteristics, and determining an expected loss rate for each pool based on historical loss experience adjusted for judgments about the effects of relevant observable data including default rates, lifetime for debt recovery, current and future economic conditions.

The Group adopted ASU 2016-13 beginning from January 1, 2021 on a modified retrospective basis and there was no material impact on the balance sheets and the consolidated statements of comprehensive income/(loss) as a result of adopting the new standard.

2. Significant Accounting Policies (Continued)

(j) Property and equipment, net

Property and equipment are stated at cost less accumulated depreciation and impairment, if any. Depreciation is computed using the straight-line method over the estimated useful lives of the assets as follows:


		Estimated useful life
Electronic equipment and computers		3 years
Office furniture and equipment		3 years
Leasehold improvement		Lesser of the term of the lease or the estimated useful lives of the leasehold improvement

Repair and maintenance costs are charged to expenses as incurred, whereas the cost of renewals and betterment that extend the useful lives of property and equipment is capitalized as addition to the related assets. Retirements, sales and disposals of assets are recorded by removing the cost and accumulated depreciation from the assets and accumulated depreciation accounts with any resulting gain or loss reflected in the consolidated statements of comprehensive income/(loss).

(k) Goodwill

Goodwill represents the excess of the purchase price over the fair value of the identifiable assets and liabilities acquired as a result of the Group’s acquisitions of interests in its subsidiaries and consolidated VIE.

The Group assesses goodwill for impairment in accordance with ASC Subtopic 350-20 (“ASC 350-20”), Intangibles - Goodwill and Other: Goodwill, which requires that goodwill be tested for impairment at the reporting unit level at least annually and more frequently upon the occurrence of certain events, as defined by ASC 350-20. The guidance provides the option that the Group may first assess qualitative factors to determine whether it is necessary to perform the quantitative goodwill impairment test, by taking into consideration of macroeconomics, overall financial performance, industry and market conditions and the share price of the Group. If determined to be necessary, the quantitative impairment test shall be used to identify goodwill impairment and measure the amount of a goodwill impairment loss to be recognized (if any). Application of a goodwill impairment test requires significant management judgment, including the identification of reporting units, assigning assets and liabilities to reporting units, assigning goodwill to reporting units, and determining the fair value of each reporting unit. Judgment in estimating the fair value of reporting units includes estimating future cash flows, determining appropriate discount rates and making other assumptions. Changes in these estimates and assumptions could materially affect the determination of fair value for each reporting unit.

On January 1, 2020, the Group adopted ASU No. 2017-04, Simplifying the Test for Goodwill Impairment to simplify the test for goodwill impairment by removing Step 2, which was issued by the FASB in January 2017. If the carrying amount of a reporting unit exceeds its fair value, an impairment loss shall be recognized in an amount equal to that excess, versus determining an implied fair value in Step 2 to measure the impairment loss.

Based on the impairment assessment, management determined that the goodwill amounted to RMB 1.4 million has been fully impaired as of December 31, 2020.

2. Significant Accounting Policies (Continued)

(l) Impairment of long-lived assets

The Group evaluates its long-lived assets with finite lives for impairment whenever events or changes in circumstances (such as a significant adverse change to market conditions that will impact the future use of the assets) indicate that the carrying amount of an asset may not be fully recoverable. When these events occur, the Group evaluates the impairment by comparing carrying amount of the assets to an estimate of future undiscounted cash flows expected to be generated from the use of the assets and their eventual disposition. If the sum of the expected future undiscounted cash flows is less than the carrying amount of the assets, the Group recognizes an impairment loss based on the excess of the carrying amount of the long-lived assets over their fair value based on a discounted cash flow approach or, when available and appropriate, over comparable market values.

(m) Long-term investments

The Group’s long-term investments primarily consist of equity investments accounted for using the measurement alternative, equity investments accounted for using the equity method and investments accounted for at fair value.

Equity investments accounted for using the measurement alternative

Investments in entities in which the Group does not have significant influence and without readily determinable fair value are accounted for using the measurement alternative of accounting in accordance with ASU 2016-01, Financial Instruments-Overall: Recognition and Measurement of Financial Assets and Financial Liabilities. The Group records its share of measurement alternative investments at cost, less impairment, and plus or minus subsequent adjustments for observable price changes in orderly transactions for the identical or similar investment of the same issuer. The subsequent adjustments are recognized as “Long-term investment income/(loss), net” in the consolidated statements of comprehensive income/(loss).

The Group regularly evaluates the impairment of these investments based on performance and financial position of the investee as well as other evidence of market value. Such evaluation includes, but is not limited to, reviewing the investee’s cash position, recent financing, projected and historical financial performance, cash flow forecasts and financing needs. An impairment loss recognized equals to the excess of the investment cost over its fair value at the end of each reporting period for which the assessment is made. The fair value would then become the new cost basis of investment.

Equity investments accounted for using the equity method

Investments in entities in which the Group can exercise significant influence but does not control or own a majority equity interest are accounted for using the equity method of accounting in accordance with ASC Topic 323 Investments-Equity Method and Joint Ventures. The Group adjusts the carrying amount of equity method investments for its share of the income or losses of the investee and reports the recognized income or losses as “Share of income/(loss) from equity method investments” in the consolidated statements of comprehensive income/(loss). The Group’s share of the income or losses of an investee are based on the shares of common stock and in-substance common stock held by the Group. The Group records its share of the results of equity investments in 36Kr Global Holding (HK) Limited (“36Kr Global Holding”) and Shanghai Xuanke Technology Co., Ltd.(“Shanghai Xuanke”) on a one quarter in arrears basis.

The Group continuously reviews its investment in equity investees under equity method to determine whether a decline in fair value to below the carrying value is other-than-temporary. The primary factors the Group considers in its determination are the duration and severity of the decline in fair value, the financial condition, operating performance and the prospects of the equity investee, and other company specific information such as recent financing rounds. If the decline in fair value is deemed to be other-than-temporary, the carrying value of the equity investee is written down to fair value.

No impairment losses of long-term investments were recognized for the years ended December 31, 2020, 2021 and 2022.

Investments accounted for at fair value

2. Significant Accounting Policies (Continued)

(m) Long-term investments (Continued)

For investments in preferred shares that provide the Group redemption rights, the Group elected the fair value option in accordance with ASC Topic 825. The investments accounted for under the fair value option are carried at fair value with realized or unrealized gains and losses recorded on consolidated statements of comprehensive income/(loss) as “Long-term investment income/(loss), net”.

(n) Revenue recognition

According to ASC 606, revenue is recognized when control of the promised goods or services is transferred to the customers, in an amount that reflects the consideration the Group expects to be entitled to in exchange for those goods or services. The Group determines revenue recognition through the following steps:

●

identification of the contract, or contracts, with a customer;

●

identification of the performance obligations in the contract;

●

determination of the transaction price, including the constraint on variable consideration;

●

allocation of the transaction price to the performance obligations in the contract; and

●

recognition of revenue when (or as) the Group satisfy a performance obligation.

The following is a description of the accounting policy for the principal revenue streams of the Group.

I. Online advertising services

Online advertising revenue is derived principally from advertising contracts with customers, which allow advertisers to place advertisements on agreed areas of the Company’s PC website, mobile application and official accounts in other social networks including but not limited to Weibo, Weixin/WeChat, Toutiao and Bilibili (collectively referred to as “36Kr Platforms”) in different formats and over a particular period of time. The Group displays advertisement provided by customers in a variety of forms such as full screen display, banners, pop-ups, as well as advertorials and short-form videos. The Group also helps produce advertisements based on the customers’ requests, and post the advertisements on the 36Kr Platforms to help promote customers’ products and enhance their brand awareness. The Group has developed capabilities in generating and distributing its own and third-party high-quality content on 36Kr Platforms, there is no third party content for fulfilling a promise to the customers for the years ended December 31, 2020, 2021 and 2022.

The Group generates its online advertising service revenue primarily (i) at a fixed fee per each day’s advertisement display, which is known as the Cost Per Day (“CPD”) model, and (ii) at a fixed fee per each advertisement posted on the 36Kr Platforms, which the Group refers as the cost-per-advertisement basis. The Group recognizes revenue for the amount of fees it receives from its advertisers, after deducting discounts and net of value-added tax (“VAT”) under ASC 606.

The Group’s online advertising contracts with customers may include multiple performance obligations. For such arrangements, the Group allocates revenues to each performance obligation based on its relative standalone selling price. The Group generally determines standalone selling prices of each distinct performance obligation based on the prices charged to customers when sold on a standalone basis.

2. Significant Accounting Policies (Continued)

(n) Revenue recognition (Continued)

Under the CPD model, a contract is signed to establish a fixed price for the advertising services to be provided over a period of time. Given the advertisers benefit from the advertising evenly, the Group recognizes revenue on a straight-line basis over the period of display, provided all revenue recognition criteria have been met. Under the cost-per-advertisement model, as all the economic benefit enjoyed by the customer can be substantially realized at the time the advertisements are posted initially, the Group recognizes revenue at a point in time when it posts the advertisements initially.

II. Enterprise value-added services

The principal enterprise value-added services that the Group provides to customers are set out as follows:

(i) Integrated marketing

The Group provides one-stop media solutions to helps its customers develop tailored and diverse marketing strategies to improve their marketing efficiency. Integrated marketing services include providing end customers with marketing plan, marketing event organization and execution on third-party media platforms, and public relations, etc. The Group considers itself as the principal for this type of services as it is the primary obligor for such service, it has control over the services provided to the customers from market planning through service delivered since a) the Group is able to direct suppliers to deliver advertising services on its behalf based on the integrated marketing plan set by the Group including the content, form, time and media platform of the advertisement; b) the Group is obligated to fulfill the promise to provide the integrated marketing services to customers; c) the Group has the discretion in setting the prices for the services. Therefore, the Group recognize the revenues at a gross basis.

(ii) Online/offline events

The Group organizes offline and online diverse events, such as summits, forums, industry conferences and fan festivals in a bid to create brand-building opportunities and to facilitate business cooperation and investment opportunities. The services provided by the Group to the customer who then becomes a sponsor of such events including for the sponsor to participate as a speaker, to launch new products of the sponsor, to place advertisements at events and the 36Kr Platforms during the course of events.

(iii) Consulting

The Group provides customized market research and industry reports to established companies. In addition, the Group also helps the customers to organize and execute business events.

In certain circumstances, the Group engages third party suppliers to perform part of the aforementioned services in fulfilling its contract obligation. In these cases, the Group controls and takes responsibilities for such services before the services are transferred to the customer. The Group has the right to direct the suppliers to perform the service and control the goods or assets transferred to its customers. In addition, the Group combines and integrates the separate services provided by the suppliers into the specified marketing or business consulting solutions to its customers. Thus, the Group recognizes revenue as a principal in the gross amount of consideration to which it is entitled in exchange for the specified services transferred.

Although a bundle of services are provided to the customers in each of the three services mentioned above, the Group’s overall commitment in such contract arrangement is to transfer a combined item at a fixed fee, which is an integrated marketing or business consulting solution, to which the individual services are inputs. The integrated services are customized for the customers, and they are interdependent and interrelated. Therefore, the Group combines such bundles of services in the contracts into a single performance obligation. Most of the offline events are completed within several days, and most of the contracts of integrated marketing solution and business consulting are completed within one year. The revenues are recognized ratably over the duration of such events and activities.

2. Significant Accounting Policies (Continued)

(n) Revenue recognition (Continued)

(iv) Advertisement agent services

Starting from 2021, the Group as an agent coordinates and procures the third-party advertisement resources on behalf of its customers based on the purchase orders from the customers including the content, form, time and media platform of the advertisement. The Group considers itself as an agent for these services because the Group does not control the advertisement services provided to the customer which is evidenced by 1) the Group does not obtain control of the purchased advertisement services prior to its transfer to the customer; 2) the Group does not have the power to determine the specific advertisement services, which are all executed based on the instructions from the customers; 3) the Group cannot sell the purchased advertisement resources to parties other than the customers; 4) the Group does not integrate purchased advertisement services with the Group’s other services and then provide them to the customer; and 5) the Group has limited pricing latitude for the services provided. Therefore, the Group recognize the revenues at a net basis. Acting as an agent, in addition to help procuring the advertising resources for the customers, the Group also pays on behalf of customer for the advertising resources procured, i.e., provides financing to the customer. The interest income from the financing is recognized as revenue over the period that the Group pays on behalf of the customer as it is part of the Group’s normal business. The related cash flows for financing are presented as investing activities in the consolidated statements of cash flows.

III. Subscription services

(i) Institutional investor and enterprise subscription services

The Group offers institutional investor and enterprise subscription services. The subscription service package to institutional investors and to New Economy enterprises include creating their yellow pages on the 36Kr Platform, publishing articles about the customers on the 36Kr Platform, priority access to 36Kr’s online and offline activities, etc. For enterprise subscribers the Group also offers online courses and one-on-one consulting. The Group offers such subscription benefits for a fixed period subscription fee.

Both the institutional investor and enterprise subscription services involve multiple performance obligations. The Group allocates revenues to each performance obligation based on its relative standalone selling price. The Group generally determines standalone selling prices of each distinct performance obligation based on the prices charged to customers when sold on a standalone basis. Where standalone selling price is not directly observable, the best estimate of the standalone selling price takes into consideration of the pricing of advertisings or enterprise value-added services of the Group with similar characteristics and advertisements or services with similar formats and quoted prices from competitors and other market conditions. For most of such contracts, performance obligations are completed within one year. The revenue is recognized over the period when such services are delivered or when the services are rendered based on the transaction price allocated to each performance obligation.

(ii) Individual subscription services

The Group provides paid columns, online courses and offline trainings services to its individual subscribers. The revenue of paid columns and online courses generated from the individual subscription services for the years ended December 31, 2020, 2021 and 2022 were not significant.

The revenue of paid columns and online courses are derived from providing fee-based online content to individuals on the 36Kr Platform. The revenues generated from paid columns and online courses are recognized evenly over the economic period that individual subscribers can benefit, which is usually less than one year.

The Group also provides offline training services, which is organized by the Group, and the Group is responsible for delivering the training to the individual subscribers and has primary responsibility and broad discretion to establish price. Therefore, the Group is considered the primary obligor in these transactions and recognize the revenues at a gross basis.

In the following table, the total revenue is disaggregated by the major service lines mentioned above.

2. Significant Accounting Policies (Continued)

(n) Revenue recognition (Continued)

III. Subscription services (Continued)


	For the year ended December 31,
	2020	2021	2022
	RMB’000	RMB’000	RMB’000

Online advertising services	172,811	214,722	221,620
Enterprise value‑added services
Integrated marketing	133,599	1,342	6,639
Online/offline events	26,992	32,127	15,475
Consulting	32,622	36,867	43,200
Advertisement agent services	—	3,696	7,326
Revenue for Enterprise value‑added services	193,213	74,032	72,640
Subscription services
Institutional investor subscription services	16,036	25,490	27,095
Enterprise subscription services	361	94	423
Individual subscription services	4,343	2,441	719
Revenue for Subscription services	20,740	28,025	28,237
Total revenue	386,764	316,779	322,497

Contract balances

Timing of revenue recognition may differ from the timing of invoicing to customers. The Group records contract assets when the Group has a right to consideration in exchange for goods or services that it has transferred to a customer and when that right is conditioned on something other than the passage of time (for example, the entity’s future performance). Accounts receivable represent amounts invoiced and revenue recognized prior to invoicing, when the Group has satisfied its performance obligations and has the unconditional right to payment. As of December 31, 2021 and 2022, there were no contract assets recorded in the Group’s consolidated balance sheets.

If a customer pays consideration, or the Group has a right to an amount of consideration that is unconditional (that is, a receivable), before the Group transfers a good or service to the customer, the Group shall present the contract as a contract liability when the payment is made or the payment is due (whichever is earlier). A contract liability is the Group’s obligation to transfer goods or services to a customer for which it has received consideration (or an amount of consideration is due) from the customer. Receipts in advance and deferred revenue relate to unsatisfied performance obligations at the end of the period and primarily consist of fees received from advertisers. Due to the generally short-term duration of the contracts, the majority of the performance obligations are satisfied in the following reporting period. Contract liability is presented as deferred revenue in the consolidated balance sheets. Revenue recognized for the years ended December 31, 2020, 2021 and 2022 that was included in the contract liabilities balance at the beginning of the period was RMB 8.16 million, RMB 18.85 million and RMB 28.86 million, respectively.

Practical expedients and exemptions

The Group generally expenses sales commissions when incurred because the amortization periods are generally one year or less. These costs are recorded within sales and marketing expenses.

2. Significant Accounting Policies (Continued)

(o) Cost of revenues

The Group’s cost of revenues consists primarily of (i) personnel-related expenses in relation to the content production and share-based compensation expenses; (ii) advertising content producing costs, such as video production costs; (iii) execution fee of enterprise value-added services mainly including advertising resources procurement cost, site fee and cost of offline event; (iv) impairment of long-lived assets; (v) equipment location rental fee and operating expense.

(p) Sales and marketing expenses

Sales and marketing expenses consist primarily of personnel-related expenses including sales commissions related to the sales and marketing personnel and share-based compensation expenses; marketing and promotional expenses including promotion activity outsourcing costs; rental expenses and depreciation expenses.

Advertising costs are expensed as incurred, and are included in sales and marketing expenses. For the years ended December 31, 2020, 2021 and 2022, total advertising expenses were RMB 6.34 million, RMB 7.27 million and RMB 4.80 million, respectively.

(q) General and administrative expenses

General and administrative expenses consist primarily of payroll and related expenses for employees involved in general corporate functions, including finance, legal and human resources share-based compensation expenses, provision of allowance for credit losses, costs associated with use by these functions of facilities and equipment, such as depreciation, rental and other general corporate related expenses.

(r) Research and development expenses

Research and development expenses consist primarily of (i) personnel-related expenses associated with the development of, enhancement to, and maintenance of the Group’s PC websites, mobile applications and mobile websites; (ii) technology expenses related to technology procurement device maintenance and testing; and (iii) rental expense and depreciation of servers.

For internal use software, the Group expenses all costs incurred for the preliminary project stage and post implementation-operation stage of development, and costs associated with repair or maintenance of the existing platform. Costs incurred in the application development stage are capitalized and amortized over the estimated useful life. Since the amount of the Company’s research and development expenses qualifying for capitalization has been immaterial, as a result, all development costs incurred for development of internal used software have been expensed as incurred.

For external use software, costs incurred for development of external use software have not been capitalized, because the period after the date technical feasibility is reached and the time when the software is marketed is short historically, and the amount of costs qualifying for capitalization has been immaterial.

(s) Operating lease and adoption of ASU 2016-02

On February 25, 2016, the FASB issued ASU 2016-02 Leases (Topic 842), which supersedes the lease accounting guidance under Topic 840, and generally requires lessees to recognize operating and financing lease liabilities and corresponding right-of-use assets on the balance sheet and to provide enhanced disclosures surrounding the amount, timing and uncertainty of cash flows arising from leasing arrangements.

2. Significant Accounting Policies (Continued)

(s) Operating lease and adoption of ASU 2016-02 (Continued)

The Group applied ASU 2016-02 beginning from January 1, 2020 and elected to apply practical expedients permitted under the transition method that allow the Group to use the beginning of the period of adoption as the date of initial application, to not recognize lease assets and lease liabilities for leases with a term of twelve months or less, and to not reassess lease classification, treatment of initial direct costs, or whether an existing or expired contract contains a lease. The Group used the modified retrospective method and did not recast the prior comparative periods. Under the new lease standard, the Group determines if an arrangement is or contains a lease at inception. Right-of-use assets and liabilities are recognized at lease commencement date based on the present value of remaining lease payments over the lease terms. The Group considers only payments that are fixed and determinable at the time of lease commencement.

(t) Share-based compensation

All share-based awards granted to employees, including restricted share units and share options, are measured at fair value on grant date. Share-based compensation expense is recognized using the straight-line vesting method for awards that contain only service conditions. For the share options granted with performance conditions, the share-based compensation expenses are recorded using graded vesting method when the performance condition is considered probable. The Group early adopted ASU 2016-09 from the earliest period presented to recognize the effect of forfeiture in compensation cost when they occur.

The Group uses the binomial option pricing model to estimate fair value of the share options. The determination of estimated fair value of share-based awards on the grant date using an option pricing model is affected by the fair value of underlying ordinary shares as well as assumptions regarding a number of complex and subjective variables. These variables include the expected volatility of underlying ordinary shares over the expected term of the awards, actual and projected share option exercise behaviors, a risk-free interest rate and any expected dividends. The underlying ordinary shares which do not have quoted market prices before the Company’s initial public offering, were valued based on the income approach with a discount for lack of marketability. Determination of estimated fair value of the underlying ordinary shares requires complex and subjective judgments due to their limited financial and operating history, and unique business risks.

Cancellation of an award accompanied by the grant of a replacement award is accounted for as a modification of the terms of the cancelled award (“modification awards”). The compensation costs associated with the modification awards are recognized if either the original vesting condition or the new vesting condition has been achieved. If the awards are expected to vest under the original vesting condition, the compensation cost would be recognized regardless of whether the employee satisfies the modified condition. Such compensation costs cannot be less than the grant-date fair value of the original award. The incremental compensation cost is measured as the excess of the fair value of the replacement award over the fair value of the cancelled award at the cancellation date. Therefore, in relation to the modification awards, the Group recognizes share-based compensation over the vesting periods of the new awards, which comprises (i) the amortization of the incremental portion of share-based compensation over the remaining vesting term and (ii) any unrecognized compensation cost of original award, using either the original term or the new term, whichever is higher for each reporting period.

2. Significant Accounting Policies (Continued)

(u) Employee benefits

The Group’s consolidated subsidiaries, the VIE and the VIE’s subsidiaries in the PRC (the “PRC Entities”) participate in a government-mandated multi-employer defined contribution plan pursuant to which certain retirement, medical and other welfare benefits are provided to employees. The relevant labor regulations require the PRC Entities to pay the local labor and social welfare authorities’ monthly contributions at a stated contribution rate based on the monthly basic compensation of qualified employees. The relevant local labor and social welfare authorities are responsible for meeting all retirement benefits obligations and the PRC Entities have no further commitments beyond their monthly contributions. The contributions to the plan are expensed as incurred. Employee social security and welfare benefits included as cost and expenses in the consolidated statements of comprehensive income/(loss) were approximately RMB 21.18 million, RMB 36.41 million and RMB 43.96 million for the years ended December 31, 2020, 2021 and 2022, respectively.

(v) Taxation

Income taxes

Current income taxes are provided on the basis of net income for financial reporting purposes, adjusted for income and expense items which are not assessable or deductible for income tax purposes, in accordance with the regulations of the relevant tax jurisdictions.

The Group follows the liability method of accounting for income taxes. Under this method, deferred tax assets and liabilities are determined based on the temporary differences between the financial statements carrying amounts and tax basis of existing assets and liabilities by applying enacted statutory tax rates that will be in effect in the period in which the temporary differences are expected to reverse. The Group records a valuation allowance to reduce the amount of deferred tax assets if based on the weight of available evidence, it is more-likely-than-not that some portion, or all, of the deferred tax assets will not be realized. The effect on deferred taxes of a change in tax rates is recognized in the consolidated statements of comprehensive income/(loss) in the period of change.

Uncertain tax positions

In order to assess uncertain tax positions, the Group applies a more likely than not threshold and a two-step approach for the tax position measurement and financial statement recognition. Under the two-step approach, the first step is to evaluate the tax position for recognition by determining if the weight of available evidence indicates that it is more likely than not that the position will be sustained, including resolution of related appeals or litigation processes, if any. The second step is to measure the tax benefit as the largest amount that is more than 50% likelihood of being realized upon settlement. The Group recognizes interest and penalties, if any, under accrued expenses and other current liabilities on its consolidated balance sheets and under other expenses in its consolidated statements of comprehensive income/(loss). The Group did not have any unrecognized uncertain tax positions as of and for the years ended December 31, 2020, 2021 and 2022.

(w) Government grants

Government grants primarily represents subsidies for operating a business and initial public offering expenditures. These grants are not subject to any specific requirements and are recorded when received. For the years ended December 31, 2020, 2021 and 2022, government grants amounted to approximately RMB 10.1 million, RMB 3.3 million, and RMB 3.4 million, respectively.

2. Significant Accounting Policies (Continued)

(x) Other income/(expenses) — Others, net

Others, net mainly represent interest income, interest expense, foreign currency exchange gains or losses and gains generated from write-offs of accounts payable.

(y) Comprehensive income

Comprehensive income is defined as the change in equity of the Group during a period arising from transactions and other events and circumstances excluding transactions resulting from investments by shareholders and distributions to shareholders. Comprehensive income is reported in the consolidated statements of comprehensive income/(loss). Accumulated other comprehensive income/(loss), as presented on the Group’s consolidated balance sheets, includes the foreign currency translation.

(z) Related parties

Parties are considered to be related if one party has the ability, directly or indirectly, to control the other party or exercise significant influence over the other party in making financial and operating decisions. Parties are also considered to be related if they are subject to common control or significant influence, such as a family member or relative, shareholders, or a related corporation.

(aa) Segment reporting

The Group’s chief operating decision maker (“CODM”) has been identified as its Chief Executive Officer, who reviews the consolidated results when making decision about allocating resources and assessing performance of the Group as a whole. Hence, the Group has only one reportable segment. The Group does not distinguish between markets or segments for the purpose of internal reporting. The Group’s long-lived assets are substantially all located in the PRC and substantially all of the Group’s revenues are derived from the PRC. Therefore, no geographical segments are presented.

The Group’s organizational structure is based on a number of factors that the CODM uses to evaluate, view and run the Group’s business operations, which include, but are not limited to, customer base, homogeneity of services and technology. The Group’s reporting segment is based on its organizational structure and information reviewed by the Group’s CODM to evaluate the reporting segment result.

(ab) Statutory reserves

The Group’s consolidated subsidiaries, the VIE and VIE’s subsidiaries established in the PRC are required to make appropriations to certain non-distributable reserve funds.

In accordance with the law applicable to the Foreign Investment Enterprises established in the PRC, the Company’s subsidiaries registered as wholly-owned foreign enterprise have to make appropriations from their annual after-tax profit (as determined under generally accepted accounting principles in the PRC (“PRC GAAP”) to reserve funds including general reserve fund, enterprise expansion fund and staff bonus and welfare fund. The appropriation to the general reserve fund must be at least 10% of the annual after-tax profits calculated in accordance with the PRC GAAP. Appropriation is not required if the general reserve fund has reached 50% of the registered capital of the company. Appropriation to the enterprise expansion fund and staff bonus and welfare fund are made at the respective company’s discretion.

2. Significant Accounting Policies (Continued)

(ab) Statutory reserves (Continued)

In addition, in accordance with the PRC Company Law, the Group’s VIE registered as Chinese domestic company must make appropriations from its annual after-tax profits as determined under the PRC GAAP to non-distributable reserve funds including statutory surplus fund and discretionary surplus fund. The appropriation to the statutory surplus fund must be 10% of the annual after-tax profits as determined under the PRC GAAP. Appropriation is not required if the statutory surplus fund has reached 50% of the registered capital of the company. Appropriation to the discretionary surplus fund is made at the discretion of the company.

The use of the general reserve fund, enterprise expansion fund, statutory surplus fund and discretionary surplus fund are restricted to offsetting of losses or increasing of the registered capital of the respective company. The staff bonus and welfare fund is a liability in nature and is restricted to fund payment of special bonus to employee and for the collective welfare of all employees. None of these reserves are allowed to be transferred to the company in terms of cash dividends, loan or advances, nor can they be distributed except under liquidation.

Profit appropriation to above reserve funds was made for the Group’s entities established in the PRC and amounted to RMB 0.66 million, RMB 0.30 million and RMB 0.55 million for the years ended December 31, 2020, 2021 and 2022, respectively.

(ac) Net income/(loss) per share

Net income/(loss) per share is computed in accordance with ASC 260, “Earnings per Share”. Basic net loss per share is computed using the weighted average number of ordinary shares outstanding during the period. Diluted loss per share is calculated by dividing net income/(loss) attributable to ordinary shareholders as adjusted for the effect of dilutive ordinary equivalent shares, if any, by the weighted average number of ordinary and dilutive ordinary equivalents shares outstanding during the period. Dilutive equivalent shares are excluded from the computation of diluted income per share if their effects would be anti-dilutive. Ordinary share equivalents consist of ordinary shares issuable upon the vesting of the restricted share units or the exercise of share options, using the treasury stock method. The Group uses the two-class method to calculate net income per share though both classes share the same rights in dividends. Therefore, basic and diluted earnings per share are the same for both classes of ordinary shares.

Recently Issued Accounting Pronouncements

12 Months Ended

Dec. 31, 2022

Recently Issued Accounting Pronouncements

Recently Issued Accounting Pronouncements

3. Recently Issued Accounting Pronouncements

The Group qualifies as an “emerging growth company”, or EGC, pursuant to the Jumpstart Our Business Startups Act of 2012, as amended, or the JOBS Act. As an EGC, the Group does not need to comply with any new or revised financial accounting standards until such date that a private company is otherwise required to comply with such new or revised accounting standards.

The accounting standards that the Group adopted beginning January 1, 2022 did not have a significant impact on the Group’s consolidated financial statements.

- Definition

The entire disclosure for change in accounting principle. Includes, but is not limited to, nature, reason, and method of adopting amendment to accounting standards or other change in accounting principle.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-URI https://asc.fasb.org/topic&trid=2122394

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 105
-SubTopic 10
-Section 65
-Paragraph 6
-Subparagraph (f)
-URI https://asc.fasb.org/extlink&oid=126987489&loc=SL124442142-165695

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 310
-SubTopic 20
-Section 65
-Paragraph 2
-Subparagraph (d)(1)
-URI https://asc.fasb.org/extlink&oid=126986314&loc=SL124402458-218513

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 40
-Section 65
-Paragraph 2
-Subparagraph (g)(2)(iii)
-URI https://asc.fasb.org/extlink&oid=124501264&loc=SL117420844-207641

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section 50
-Paragraph 1
-Subparagraph (b)(4)
-URI https://asc.fasb.org/extlink&oid=124431687&loc=d3e22499-107794

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 40
-Section 65
-Paragraph 2
-Subparagraph (g)(2)(ii)
-URI https://asc.fasb.org/extlink&oid=124501264&loc=SL117420844-207641

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 40
-Section 65
-Paragraph 2
-Subparagraph (g)(2)(i)
-URI https://asc.fasb.org/extlink&oid=124501264&loc=SL117420844-207641

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 40
-Section 65
-Paragraph 1
-Subparagraph (e)(1)
-URI https://asc.fasb.org/extlink&oid=126732423&loc=SL123482106-238011

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 310
-SubTopic 20
-Section 65
-Paragraph 2
-Subparagraph (d)(2)
-URI https://asc.fasb.org/extlink&oid=126986314&loc=SL124402458-218513

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 40
-Section 65
-Paragraph 2
-Subparagraph (g)(2)(iv)
-URI https://asc.fasb.org/extlink&oid=124501264&loc=SL117420844-207641

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section S99
-Paragraph 5
-Subparagraph (SAB Topic 11.M.Q2)
-URI https://asc.fasb.org/extlink&oid=122038215&loc=d3e31137-122693

Reference 12: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 326
-SubTopic 10
-Section 65
-Paragraph 4
-Subparagraph (e)(1)
-URI https://asc.fasb.org/extlink&oid=122640432&loc=SL121648383-210437

Reference 13: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 40
-Section 65
-Paragraph 2
-Subparagraph (h)(2)
-URI https://asc.fasb.org/extlink&oid=124501264&loc=SL117420844-207641

Reference 14: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 326
-SubTopic 10
-Section 65
-Paragraph 4
-Subparagraph (e)(2)
-URI https://asc.fasb.org/extlink&oid=122640432&loc=SL121648383-210437

Reference 15: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 848
-SubTopic 10
-Section 65
-Paragraph 1
-Subparagraph (e)(1)
-URI https://asc.fasb.org/extlink&oid=125980421&loc=SL122150809-237846

Reference 16: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 65
-Paragraph 8
-Subparagraph (e)(2)
-URI https://asc.fasb.org/extlink&oid=126983759&loc=SL121830611-158277

Reference 17: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section S99
-Paragraph 6
-URI https://asc.fasb.org/extlink&oid=122038215&loc=SL108384541-122693

Reference 18: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 842
-SubTopic 10
-Section 65
-Paragraph 5
-Subparagraph (f)(1)
-URI https://asc.fasb.org/extlink&oid=128293352&loc=SL126838806-209984

Reference 19: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 65
-Paragraph 6
-Subparagraph (e)(2)
-URI https://asc.fasb.org/extlink&oid=126983955&loc=SL121967933-165497

Reference 20: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 40
-Section 65
-Paragraph 2
-Subparagraph (c)(2)
-URI https://asc.fasb.org/extlink&oid=126732423&loc=SL126732908-238011

Reference 21: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 842
-SubTopic 10
-Section 65
-Paragraph 5
-Subparagraph (f)(3)
-URI https://asc.fasb.org/extlink&oid=128293352&loc=SL126838806-209984

Reference 22: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 40
-Section 65
-Paragraph 2
-Subparagraph (c)(1)
-URI https://asc.fasb.org/extlink&oid=126732423&loc=SL126732908-238011

Reference 23: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 65
-Paragraph 6
-Subparagraph (e)(1)
-URI https://asc.fasb.org/extlink&oid=126983955&loc=SL121967933-165497

Reference 24: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 65
-Paragraph 8
-Subparagraph (e)(1)
-URI https://asc.fasb.org/extlink&oid=126983759&loc=SL121830611-158277

Reference 25: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 40
-Section 65
-Paragraph 2
-Subparagraph (c)(3)
-URI https://asc.fasb.org/extlink&oid=126732423&loc=SL126732908-238011

Reference 26: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 926
-SubTopic 20
-Section 65
-Paragraph 2
-Subparagraph (f)(1)
-URI https://asc.fasb.org/extlink&oid=120154821&loc=SL120154904-197079

Reference 27: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 926
-SubTopic 20
-Section 65
-Paragraph 2
-Subparagraph (f)(2)
-URI https://asc.fasb.org/extlink&oid=120154821&loc=SL120154904-197079

Reference 28: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section 50
-Paragraph 1
-Subparagraph (a)
-URI https://asc.fasb.org/extlink&oid=124431687&loc=d3e22499-107794

Reference 29: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 926
-SubTopic 20
-Section 65
-Paragraph 2
-Subparagraph (f)(3)
-URI https://asc.fasb.org/extlink&oid=120154821&loc=SL120154904-197079

Reference 30: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 65
-Paragraph 6
-Subparagraph (e)(3)
-URI https://asc.fasb.org/extlink&oid=126983955&loc=SL121967933-165497

Reference 31: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 848
-SubTopic 10
-Section 65
-Paragraph 2
-Subparagraph (c)
-URI https://asc.fasb.org/extlink&oid=125980421&loc=SL125981372-237846

Reference 32: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section 50
-Paragraph 1
-Subparagraph (c)(1)
-URI https://asc.fasb.org/extlink&oid=124431687&loc=d3e22499-107794

Reference 33: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section 50
-Paragraph 1
-Subparagraph (b)(1)
-URI https://asc.fasb.org/extlink&oid=124431687&loc=d3e22499-107794

Reference 34: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 65
-Paragraph 8
-Subparagraph (e)(3)
-URI https://asc.fasb.org/extlink&oid=126983759&loc=SL121830611-158277

+ Details

Concentrations and Risks

12 Months Ended

Dec. 31, 2022

Concentrations and Risks

Concentrations and Risks

4. Concentrations and Risks

(a) Concentration of customers and suppliers

Customers accounting for more than 10% of the Group’s total revenues for the years ended December 31, 2020, 2021 and 2022 and more than 10% of the Group’s accounts receivable, net as of December 31, 2021 and 2022 were as follows:


	For the year ended
	December 31,
Revenues	2020		2021	2022
Customer A	*		*	17	%
Customer B	32	%	*	*
Customer C	*		*	12	%


	As of
	December 31,
Accounts receivable	2021		2022
Customer B	55	%	67	%

Suppliers accounting for more than 10% of the Group’s total costs and expenses for the years ended December 31, 2020, 2021 and 2022 were as follows:

* Less than 10%

No supplier accounts for more than 10% of the Group’s accounts payable as of December 31, 2021 and 2022.

(b) Credit risk

The Group’s credit risk primarily arises from cash and cash equivalents, restricted cash, short-term investments, receivables due from its customers, related parties and other parties. The maximum exposure of such assets to credit risk is the assets’ carrying amounts as of the balance sheet dates. The Group expects that there is no significant credit risk associated with cash and cash equivalents and short-term investments which were held by reputable financial institutions in the jurisdictions where the Company, its subsidiaries, VIE and the subsidiaries of the VIE are located. The Group believes that it is not exposed to unusual risks as these financial institutions have high credit quality.

The Group believes that there is no significant credit risk associated with amounts due from related parties. Receivables due from customers are typically unsecured in the PRC and the credit risk with respect to which is mitigated by credit evaluations the Group performs on its customers and its ongoing monitoring process of outstanding balances.

4. Concentrations and Risks (Continued)

(b) Credit risk (Continued)

Banks accounting for more than 10% of the Group’s cash and cash equivalents and short-term investments as of December 31, 2021 and 2022 were as follows:


	For the year ended
	December 31
Cash & cash equivalents, restricted cash and short-term investments	2021		2022
Bank E	81	%	74	%
Bank F	16	%	25	%

The Group’s operating transactions are mainly denominated in RMB, which is not freely convertible into foreign currencies. The value of the RMB is subject to changes by the central government policies and to international economic and political development. In the PRC, certain foreign exchange transactions are required by law to be transacted only by authorized financial institutions at exchange rates set by the People’s Bank of China (the “PBOC”). Remittances in currencies other than RMB by the Group in China must be processed through PBOC or other China foreign exchange regulatory bodies which require certain supporting documentation in order to effect the remittance.

(d) PRC regulations

The Group is required to obtain certain licenses to operate the Internet information services including Internet news information license, Internet audio-visual program transmission license, Internet publishing license and value-added telecommunication license. Online culture operating permit and production and operation of radio and television programs license may also be required by the relevant authorities due to the uncertainties of the interpretation of the related laws and regulations. Without these licenses, the PRC government may order the Group to cease its services, which may cause disruption to the Group’s business operations. As of the date of the report, the Group has obtained the value-added telecommunication license, online culture operating license and production and operation of radio and television programs license by the relevant authorities and is in the process of applying for other licenses and permits for the certain operations of the businesses.

Accounts Receivable, net

12 Months Ended

Dec. 31, 2022

Accounts Receivable, net

Accounts Receivable, net

5. Accounts Receivable, net

Accounts receivable, net consists of the following:


	December 31,	December 31,
	2021	2022
	RMB’000	RMB’000

Accounts receivable	302,200	280,911
Less: allowance for credit losses	(122,039)	(83,383)
Accounts receivable, net	180,161	197,528

Accounts receivable are generally non-interest bearing and are on terms between 90 to 270 days. In some cases, these terms are extended for certain qualifying long-term customers who have met specific credit requirements.

As of December 31, 2022, accounts receivable amounted to RMB 158.1 million has been derived from providing financing to the customer in connection with the advertisement agent services that mentioned in Note 2 (n)(II)(iv), such accounts receivable amounted to RMB 129.4 million as of December 31, 2021. There were no such accounts receivable as of December 31, 2020.

The movements in the allowance for credit losses are as follows:


	For the year ended
	December 31,
	2020	2021	2022
	RMB’000	RMB’000	RMB’000

Balance at beginning of the year	(11,413)	(124,204)	(122,039)
Reversal/(addition) of allowance for credit losses, net	(125,563)	(8,681)	30,192
Write-offs	12,772	10,846	8,464
Balance at end of the year	(124,204)	(122,039)	(83,383)

The reversal/(addition) of allowance for credit losses, net was mainly due to improved collection of accounts receivable amounted to RMB33.3 million.

Prepayments and Other Current Assets

12 Months Ended

Dec. 31, 2022

Prepayments and Other Current Assets

Prepayments and Other Current Assets

6. Prepayments and Other Current Assets

Prepayments and other current assets consist of the following:


	December 31,	December 31,
	2021	2022
	RMB’000	RMB’000

Deposits	5,758	5,792
Prepayments of IT services	907	1,318
Prepayments of procurement costs	32,842	8,061
Others	3,105	988
Total	42,612	16,159

Property and Equipment, net

12 Months Ended

Dec. 31, 2022

Property and Equipment, net

Property and Equipment, net

7. Property and Equipment, net

Property and equipment, net consists of the following:


	December 31,	December 31,
	2021	2022
	RMB’000	RMB’000
Electronic equipment and computers	17,532	5,312
Office furniture and equipment	2,725	2,943
Leasehold improvement	4,971	5,032
Total	25,228	13,287
Less: accumulated depreciation	(14,082)	(10,859)
Less: impairment	(7,987)	—
Property and equipment, net	3,159	2,428

Depreciation expenses were RMB 5.55 million, RMB 2.56 million and RMB 1.77 million for the years ended December 31, 2020, 2021 and 2022, respectively.

Long-term investments

12 Months Ended

Dec. 31, 2022

Long-term investments.

Long-term investments

8. Long-term investments


	December 31,	December 31,
	2021	2022
	RMB’000	RMB’000

Equity investments accounted for using the measurement alternative	30,000	58,464
Equity investments accounted for using the equity method	11,442	12,423
Investments accounted for at fair value	—	66,470
Total	41,442	137,357

Equity investments using the measurement alternative

The Group’s investment in private companies without readily determinable fair value were accounted for using the measurement alternative method.

Nil and RMB18.5 million re-measurement gain of equity investments accounted for using the measurement alternative were recognized in “Long-term investment income/(loss), net” for the years ended December 31, 2021 and 2022, respectively.

No impairment losses of equity investments accounted for using the measurement alternative were recognized for the years ended December 31, 2021 and 2022.

(i)In March 2021, the Group and three other investors entered into an investment agreement with Beijing Sharetimes Technology Co., Ltd.(“Sharetimes”), which primarily engages in operating of virtual intellectual property license of a series of cartoon images of movie stars. Pursuant to this agreement, the Group acquired 1.64% equity interests in Sharetimes, with a consideration of RMB 30.0 million. The Group has no significant influence over Sharetimes. Pursuant to ASC 321-10-35-2, as the investment in Sharetimes lacks readily determinable fair values, the Group elects to account for this investment using the measurement alternative. In May 2022, a re-measurement gain amounted to RMB 18.5 million has been made to the investment in Sharetimes according to the most recent transaction price which were deemed as observable price changes in orderly transactions for the identical or similar investment of the same issuer. As of December 31, 2021 and 2022, the carrying value of the equity investment in Sharetimes was RMB 30.0 million and 48.5 million, respectively.

8. Long-term investments (Continued)

Equity investments using the equity method

RMB23.5 million loss, RMB5.5 million loss and RMB0.1 million income of the Group’s proportionate share of equity investee’s net (loss)/income, was recognized in “Share of income/(loss) from equity method investments” for the years ended December 31, 2020, 2021 and 2022, respectively.

Investments accounted for at fair value

The Group invested in the preferred shares of multiple private companies that provide the Group with redemption rights, the investment of which are accounted for at fair value. A loss of RMB2.5 million resulted from the change in fair value was recognized in “Long-term investment income/(loss), net” for the year ended December 31, 2022.

In March 2022, the Group acquired 7.273% equity interest in Hangzhou Jialin Information Technology Co., Ltd. (“Hangzhou Jialin”), as one of the investors in its round B financing. Hangzhou Jialin is a fresh produce supply chain solution provider in China. In connection with the transaction, the Company has transferred its 100% equity interest in Beijing Dianqier Creative Interactive Media Culture Co., Ltd. (“Dianqier”), a subsidiary of the Company which primarily provides interactive marketing dispense services, as consideration for the acquired 7.273% equity interest in Hangzhou Jialin. The fair value of equity interests of Hangzhou Jialin the Group acquired is RMB 40 million. The Group recognized a gain amounted to RMB 38 million arising from disposal of Dianqier.

Taxes Payable

12 Months Ended

Dec. 31, 2022

Taxes Payable

Taxes Payable

9. Taxes Payable

The following is a summary of taxes payable as of December 31, 2021 and 2022:


	December 31,	December 31,
	2021	2022
	RMB’000	RMB’000

VAT payable	12,060	9,787
Enterprise income taxes payable	80	274
Withholding individual income taxes for employees	121	88
Others	575	725
Total	12,836	10,874

Accrued Liabilities and Other Payables

12 Months Ended

Dec. 31, 2022

Accrued Liabilities and Other Payables

Accrued Liabilities and Other Payables

10. Accrued Liabilities and Other Payables

The following is a summary of accrued liabilities and other payables as of December 31, 2021 and 2022:


	December 31,	December 31,
	2021	2022
	RMB’000	RMB’000

Accrued professional fees	11,438	10,552
Accrued promotion fees	350	10,829
Accrued office rental expense	177	769
Accrued employee welfare expense, meal and travel expense	1,579	362
Guarantee deposits	330	280
Withholding employees' social insurance and housing fund	1,140	1,289
Others	2,487	3,525
Total	17,501	27,606

Leases

12 Months Ended

Dec. 31, 2022

Leases

Leases

11. Leases

The Group has office space under non-cancelable operating lease agreements.

A summary of supplemental information related to operating leases as of December 31, 2021 and 2022 are as follows:


	December 31,		December 31,
	2021		2022
	RMB‘000		RMB‘000
Operating lease right-of-use asset	13,818		30,911
Operating lease liabilities-current	(16,302)		(31,293)
Operating lease liabilities-non-current	(586)		(15,093)
Total operating lease liabilities	(16,888)		(46,386)
Weighted average remaining lease term	1.09 years		1.34 years
Weighted average discount rate	4.75	%	4.75	%

A summary of lease cost recognized in the Group’s consolidated statements of comprehensive income/(loss) are as follows:


	December 31,	December 31,
	2021	2022
	RMB‘000	RMB‘000
Other information
Operating lease cost	15,481	14,948
Short-term lease cost	572	941
Total	16,053	15,889

A summary of supplemental cash flow information related to leases are as follows:


	December 31,	December 31,
	2021	2022
	RMB‘000	RMB‘000
Cash payments for operating leases	12,604	1,201
Right-of-use assets obtained in exchange for lease obligations	1,971	30,699

11. Leases (Continued)

A summary of maturity of operating lease liabilities under the Group’s non-cancelable operating leases as of December 31, 2022 is as follows:


		December 31,
		2022
		RMB‘000
2023		31,748
2024		15,464
2025		598
Total lease payment		47,810
Less: interest		1,424
Present value of operating lease liabilities		46,386

Ordinary Shares

12 Months Ended

Dec. 31, 2022

Ordinary Shares.

Ordinary Shares

12. Ordinary Shares

In December 2018, the Company was incorporated as a limited liability company with authorized share capital of US$50,000 divided into 500,000,000 shares with par value US$0.0001 each. One ordinary share was issued upon inception.

There were 907,346,745 and 96,082,700 Class A and Class B ordinary shares issued, respectively, as of December 31, 2021, and 876,278,170 Class A (excluding 17,428,425 Class A ordinary shares issued to the depositary bank for bulk issuance of ADSs reserved for future issuances upon the exercise of awards granted under the 2019 Incentive Plan) and 96,082,700 Class B ordinary shares outstanding, respectively, as of December 31, 2021.

There were 907,346,745 and 96,082,700 Class A and Class B ordinary shares issued, respectively, as of December 31, 2022, and 878,385,770 Class A (excluding 17,428,425 Class A ordinary shares issued to the depositary bank for bulk issuance of ADSs reserved for future issuances upon the exercise of awards granted under the 2019 Incentive Plan) and 96,082,700 Class B ordinary shares outstanding, respectively, as of December 31, 2022.

In addition, the outstanding ordinary shares included 36,281,400, 27,507,989 and 27,507,989 share options under the 2019 incentive plan as of December 31, 2020, 2021 and 2022, which were deemed as ordinary shares from accounting’s perspective as they were granted on September 7, 2019 to replace vested restricted share units of the same amount under the 2014 and 2016 incentive plan, and those vested restricted share units had been deemed as ordinary shares previously. The details are set forth in Note 15 Share-based Compensation.

- Definition

The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-URI https://asc.fasb.org/topic&trid=2208762

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 13
-Subparagraph (b)
-URI https://asc.fasb.org/extlink&oid=126973232&loc=SL123496158-112644

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 13
-URI https://asc.fasb.org/extlink&oid=126973232&loc=SL123496158-112644

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 14
-Subparagraph (c)
-URI https://asc.fasb.org/extlink&oid=126973232&loc=SL123496171-112644

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 14
-Subparagraph (b)
-URI https://asc.fasb.org/extlink&oid=126973232&loc=SL123496171-112644

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.3-04)
-URI https://asc.fasb.org/extlink&oid=120397183&loc=d3e187085-122770

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 18
-Subparagraph (d)
-URI https://asc.fasb.org/extlink&oid=126973232&loc=SL123496189-112644

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 13
-Subparagraph (g)
-URI https://asc.fasb.org/extlink&oid=126973232&loc=SL123496158-112644

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 18
-Subparagraph (a)
-URI https://asc.fasb.org/extlink&oid=126973232&loc=SL123496189-112644

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 13
-Subparagraph (h)
-URI https://asc.fasb.org/extlink&oid=126973232&loc=SL123496158-112644

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 14
-Subparagraph (a)
-URI https://asc.fasb.org/extlink&oid=126973232&loc=SL123496171-112644

Reference 12: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 18
-Subparagraph (b)
-URI https://asc.fasb.org/extlink&oid=126973232&loc=SL123496189-112644

Reference 13: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 16
-Subparagraph (b)
-URI https://asc.fasb.org/extlink&oid=126973232&loc=SL123496180-112644

Reference 14: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 13
-Subparagraph (i)
-URI https://asc.fasb.org/extlink&oid=126973232&loc=SL123496158-112644

Reference 15: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(e)(1))
-URI https://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690

Reference 16: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 40
-Section 50
-Paragraph 6
-Subparagraph (a)
-URI https://asc.fasb.org/extlink&oid=126731327&loc=SL126733271-114008

+ Details

Share repurchase program

12 Months Ended

Dec. 31, 2022

Share repurchase program

Share repurchase program

13. Share repurchase program

On May 6, 2020, the Group announced its share repurchase program under which the Group may repurchase up to a total of 1,000,000 of its ADSs, each representing 25 Class A Ordinary Shares.

For the year ended December 31, 2020, the Group repurchased 519,845 ADSs or 12,996,125 ordinary shares for total consideration amounted to US$1.7 million (RMB11.7 million) on the open market, at a weighted average price of US$3.3 per ADS.

For the year ended December 31, 2021, the Group repurchased 265,868 ADSs or 6,646,700 ordinary shares for total consideration amounted to US$ 0.9 million (RMB5.8 million) on the open market, at a weighted average price of US$ 3.3 per ADS.

The Group accounts for the repurchased ordinary shares under the cost method and includes such treasury stock as a component of shareholders’ equity.

Income Taxes

12 Months Ended

Dec. 31, 2022

Income Taxes

Income Taxes

14. Income Taxes

Cayman Islands

Under the current laws of the Cayman Islands, the Company is not subject to tax on income or capital gain. Additionally, the Cayman Islands does not impose a withholding tax on payments of dividends to shareholders.

British Virgin Islands (“BVI”)

Subsidiaries in the BVI are exempted from income tax on their foreign-derived income in the BVI. There are no withholding taxes in the BVI.

Hong Kong

Entities incorporated in Hong Kong are subject to Hong Kong profits tax at a rate of 16.5% for taxable income earned in Hong Kong before April 1, 2018. Starting from the financial year commencing on April 1, 2018, a two-tiered profits tax regime took effect, under which the tax rate is 8.25% for assessable profits on the first HK$2 million and 16.5% for any assessable profits in excess of HK$2 million.

The PRC

In accordance with the Enterprise Income Tax Law (“EIT Law”), Foreign Investment Enterprises (“FIEs”) and domestic companies are subject to Enterprise Income Tax (“EIT”) at a uniform rate of 25%. Beijing Duoke is recognized as “High-New Technology Enterprise” (“HNTE”) and is eligible for a 15% preferential tax rate effective from July 31, 2020 through July 31, 2023, upon the completion of its filings with the relevant tax authorities. The qualification as an HNTE is subject to annual evaluation and a three-year review by the relevant authorities in China.

In accordance with PRC Tax Administration Law on the Levying and Collection of Taxes, the PRC tax authorities generally have up to five years to claw back underpaid tax plus penalties and interest for PRC entities’ tax filings. The tax years ended December 31, 2018 through 2022 for the Company’s PRC subsidiaries and VIEs remain subject to examination by the PRC tax authorities. In the case of tax evasion, which is not clearly defined in the law, there is no limitation on the tax years open for investigation.

The Company may also be subject to the examination of the tax filings in other jurisdictions, which are not material to the consolidated financial statements.

There were no ongoing examinations by tax authorities as of December 31, 2022.

Composition of income tax

The following table presents the composition of income tax expenses for the years ended December 31, 2020, 2021 and 2022:


	For the year ended December 31,
	2020	2021	2022
	RMB’000	RMB’000	RMB’000
Current income tax expense	373	155	361
Deferred taxation	3,391	(53)	—
Total	3,764	102	361

14. Income Taxes (Continued)

Reconciliation of the differences between statutory income tax rate and the effective income tax rate for the years ended December 31, 2020, 2021 and 2022 are as below:


	For the year ended December 31,
	2020	2021	2022
	%	%	%
Statutory EIT rate	25.00	25.00	25.00
Effect of non-deductible expenses (1)	(5.78)	(6.60)	16.97
Tax incentives for research and development expense (2)	2.08	9.00	(49.14)
Tax incentives for wages of disabled staff	0.02	0.05	(0.16)
Preferential tax rate	1.15	0.48	(4.20)
Change in valuation allowance	(23.19)	(25.55)	2.52
Tax rate difference from statutory rate in other jurisdictions	(0.72)	(2.49)	10.44
Others	0.07	—	—
Effective income tax rate	(1.37)	(0.11)	1.43

(1)	Primarily comprised of share-based compensation expenses which are permanent differences.

(2)

According to policies promulgated by the State Tax Bureau of the PRC, certain of the Group’s subsidiaries are entitled to tax incentives for research and development expenses at 175% of tax-deductible research and development expenses in 2020, 2021 and January 1, 2022 to September 30, 2022. Under Chinese mainland regulations issued in September 2022 that were applicable from October 1, 2022 to December 31, 2022, certain of the Group’s subsidiaries are entitled to tax incentives for research and development expenses at 200% of tax-deductible research and development expenses.

Composition of deferred tax assets and liabilities

Deferred taxes arising from PRC subsidiaries, the VIE and the VIE’s subsidiaries were measured using the enacted tax rates for the periods in which they are expected to be reversed. The Group’s deferred tax assets and liabilities consist of the following components:


	December 31,	December 31,
	2021	2022
	RMB’000	RMB’000
Deferred tax assets - non‑current:
—Net operating tax losses carry forwards	46,031	51,541
—Allowances of doubtful accounts	18,702	12,564
—Investment loss	—	375
—Property and equipment impairment	1,997	—
—Others	299	—
Total deferred tax assets	67,029	64,480
Less: valuation allowance	(67,029)	(61,617)
Total deferred tax assets, net	—	2,863
Deferred tax liabilities - non‑current:
— Unrealized investment gain	—	(2,863)
Total deferred tax liabilities	—	(2,863)

A valuation allowance is provided against deferred tax assets when the Group determines that it is more likely than not that the deferred tax assets will not be utilized in the future. In making such determination, the Group evaluates a variety of factors including the Group’s operating history, retained earnings, existence of taxable temporary differences and reversal periods.

14. Income Taxes (Continued)

As of December 31, 2022, the Group has incurred accumulated tax losses of RMB 298 million, increased from RMB 234 million as of December 31, 2021. The tax losses of the Group expire over different times intervals depending on local jurisdiction. As Beijing Duoke is recognized as HNTE, according to tax legislation released in 2018, the expiration year for tax losses has been extended from five years to ten years. Of these net tax losses carryforwards, RMB 1 million, RMB 55 million, RMB 55 million and RMB 187 million will expire in 2024, 2025, 2026 and after 2026, respectively, if not utilized. As of December 31, 2022, the Group has provided valuation allowance for the deferred tax assets amounted to RMB 62 million as the Group believes that it is more likely than not that such net accumulated tax losses and deductible temporary differences will not be utilized in the future.

Withholding income tax

The EIT Law imposes a withholding income tax of 10% on dividends distributed by a foreign investment enterprise (“FIE”) to its immediate holding company outside of China, if such immediate holding company is considered as a non-resident enterprise without any establishment or place within China or if the received dividends have no connection with the establishment or place of such immediate holding company within China, unless such immediate holding company’s jurisdiction of incorporation has a tax treaty with China that provides for a different withholding arrangement. Such withholding income tax was exempted under the previous EIT Law. The Cayman Islands, where the Company is incorporated, does not have such a tax treaty with China. According to the Arrangement between Mainland China and the Hong Kong Special Administrative Region for the Avoidance of Double Taxation and Prevention of Fiscal Evasion in August 2006, dividends paid by a FIE in China to its immediate holding company in Hong Kong will be subject to withholding tax at a rate that may be lowered to 5% (if the foreign investor owns directly at least 25% of the shares of the FIE). The State Administration of Taxation (“SAT”) further promulgated Circular [2009] 601 and SAT Public Notice [2018] No.9 regarding the assessment criteria on beneficial owner status. The Group did not record any dividend withholding tax, as the Group’s FIE, the WFOE, has no retained earnings in any of the periods presented.

- Definition

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 21
-URI https://asc.fasb.org/extlink&oid=121826272&loc=d3e32857-109319

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section S99
-Paragraph 2
-Subparagraph (SAB Topic 11.C)
-URI https://asc.fasb.org/extlink&oid=122134291&loc=d3e330215-122817

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 17
-Subparagraph (b)
-URI https://asc.fasb.org/extlink&oid=121826272&loc=d3e32809-109319

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SAB TOPIC 6.I.5.Q1)
-URI https://asc.fasb.org/extlink&oid=122134291&loc=d3e330036-122817

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 14
-URI https://asc.fasb.org/extlink&oid=121826272&loc=d3e32705-109319

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 270
-Section 50
-Paragraph 1
-URI https://asc.fasb.org/extlink&oid=6424409&loc=d3e44925-109338

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-URI https://asc.fasb.org/topic&trid=2144680

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 30
-Section 50
-Paragraph 2
-Subparagraph (a)
-URI https://asc.fasb.org/extlink&oid=6424122&loc=d3e41874-109331

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(h)(2))
-URI https://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690

+ Details

Share-based Compensation

12 Months Ended

Dec. 31, 2022

Share-based Compensation

Share-based Compensation

15. Share-based Compensation

2019 Incentive Plan

In September 2019, the Company adopted a share incentive plan (“2019 Incentive Plan”). The 2019 Incentive Plan permits the awards of options and the maximum aggregate number of ordinary shares which may be issued pursuant to all awards is 137,186,000. 91,548,120 restricted share units including both vested and unvested restricted share units under the 2014 and 2016 incentive plan adopted by the Group before the Reorganization set forth in Note 1 (b) were cancelled concurrently upon the adoption of the 2019 Incentive Plan, and each participant of the 2014 and 2016 incentive plan is expected to receive corresponding grants with similar terms except for the exercise price of US$ 0.0001 and the performance condition added as disclosed below under the 2019 Incentive Plan. The cancellation of the 2014 and 2016 incentive plans accompanied by the grant of a replacement award under 2019 Incentive Plan is accounted for as a modification of the terms of the cancelled award. Refer to Note 2 (s) for the accounting policy for such modification. The incremental value for the modification was nil. Under the 2019 Incentive Plan, the Company granted 5,125,000, 32,765,413 and 3,167,881 share options for the years ended December 31, 2020, 2021 and 2022, respectively, to certain directors and senior management.

In June 2021, the Company amended 2019 Incentive Plan with the approval of the board of directors, pursuant to which the maximum aggregate number of ordinary shares which may be issued under the updated 2019 Share Incentive Plan is 162,186,000.

Options granted to employees under the updated 2019 Incentive Plan were subject to both service condition and performance condition with various vesting schedules ranging from immediate to 4 years, and will be expired in ten years. For the share options with performance condition, an evaluation is made each quarter as to the likelihood of performance condition being met.

15. Share-based Compensation (Continued)

The Company uses binomial option pricing model to determine the fair value of share options with the assistance of an independent third party valuation firm. The estimated fair value of each share option granted is estimated with the following assumptions:


	For the year ended December 31,
	2020		2021		2022
Expected volatility	50.22	%	49.29%-50.47	%	51.97	%
Expected dividend yield	—		—		—
Contractual term (in year)	10		10		10
Risk-free interest rate	1.66	%	1.38%-1.45	%	3.57	%

The expected volatility at grant date was estimated based on the annualized standard deviation of the daily return embedded in historical share prices of comparable peer companies with a time horizon close to the expected expiry of the term of the share options. The Company has never declared or paid any cash dividends on its capital stock, and the Company does not anticipate any dividend payments in the foreseeable future. The contractual term is the contract life of the share options. The Company estimated the risk-free interest rate based on the yield to maturity of U.S. treasury bonds denominated in US$ at the share option grant date.

The following table presents a summary of the Group’s share options activities for the years ended December 31, 2020, 2021 and 2022:


		Weighted		Weighted average
		average exercise	Aggregate intrinsic	remaining
	Number of	price US$ per	value	contractual
	shares	share	US$	years
Outstanding at December 31, 2019	126,402,925	0.0001	37,352,064	9.68
Granted during the year	5,125,000	0.0001	—	—
Exercised during the year	(36,613,500)	0.0001	—	—
Forfeited / Cancelled during the year	(6,674,341)	0.0001	—	—
Outstanding at December 31, 2020	88,240,084	0.0001	9,847,593	8.77
Granted during the year	32,765,413	0.0001	—	—
Exercised during the year	(18,031,675)	0.0001	—	—
Forfeited / Cancelled during the year	(8,143,392)	0.0001	—	—
Outstanding at December 31, 2021	94,830,430	0.0001	4,324,268	8.44
Granted during the year	3,167,881	0.0001	—	—
Exercised during the year	(2,107,600)	0.0001	—	—
Forfeited during the year	(1,861,733)	0.0001	—	—
Outstanding at December 31, 2022	94,028,978	0.0001	3,881,516	7.53
Exercisable at December 31, 2022	64,686,080

15. Share-based Compensation (Continued)

The weighted average grant date fair value of share options granted for the years ended December 31, 2020, 2021 and 2022 were RMB 0.78, RMB 0.54 and RMB 0.26, respectively. For the years ended December 31, 2020, 2021 and 2022, total share-based compensation expenses recognized for share options granted were RMB 39.28 million, RMB 15.02 million and RMB 12.38 million, respectively. 36,613,500, 18,031,675 and 2,107,600 share options granted were exercised for the years ended December 31, 2020, 2021 and 2022, respectively.

As mentioned above, certain vested restricted share units under the 2014 and 2016 incentive plans have been replaced by the same amount of share options (“Replacement Share Options”) granted on September 7, 2019 under the 2019 Incentive Plan, which were vested immediately upon the grant. Before the modification, those vested restricted share units were deemed as ordinary shares from the accounting’s perspective. As a result, the corresponding Replacement Share Options were continuously deemed as ordinary shares in the consolidated statements of changes in shareholders’ equity, as they had no vesting conditions or contingencies upon the grant and were issuable for little to no consideration. Options subsequently granted under the 2019 Incentive Plan, regardless vested or not, were viewed as options until they are exercised. Among the 18,031,675 and 2,107,600 share options legally exercised in 2021 and 2022, there were 7,475,213 and nil shares Replacement Share Options included.

As of December 31, 2022, the unrecognized share-based compensation expense related to unvested share options granted was RMB 9.27 million. Total unrecognized share-based compensation expenses is expected to be recognized over a weighted average period of 0.92 years.

The aggregate number of Class A ordinary shares available for future grant under the 2019 Incentive Plan was 11,404,247 as of December 31, 2022.

Basic and Diluted Net Income/(Loss) Per Share

12 Months Ended

Dec. 31, 2022

Basic and Diluted Net Income/(Loss) Per Share

Basic and Diluted Net Income/(Loss) Per Share

16. Basic and Diluted Net Income/(Loss) Per Share

Basic and diluted net income/(loss) per share for the years ended December 31, 2020, 2021 and 2022 have been calculated in accordance with ASC 260 as follows:


	For the years ended
	December 31,
	2020	2021	2022
Net income/(loss) per ordinary share – basic:
Numerator (RMB’000):
Net income/(loss) attributable to 36Kr Holdings Inc.	(279,342)	(90,609)	22,637
Net loss/(income) attributable to non-controlling interests	(889)	1,038	(694)
Net income/(loss) attributable to ordinary shareholders of 36Kr Holdings Inc.-basic	(280,231)	(89,571)	21,943
Denominator:
Weighted average number of ordinary shares outstanding	1,019,316,944	1,025,068,349	1,034,547,219
Denominator used in computing net income/(loss) per share - basic	1,019,316,944	1,025,068,349	1,034,547,219
Net income/(loss) per ordinary share: - basic (RMB)	(0.275)	(0.087)	0.021

Net income/(loss) per ordinary share - diluted:
Numerator (RMB’000):
Net income/(loss) attributable to ordinary shareholders of 36Kr Holdings Inc.-basic	(280,231)	(89,571)	21,943
Net income/(loss) attributable to ordinary shareholders - diluted	(280,231)	(89,571)	21,943
Denominator:
Denominator used in computing net income/(loss) per share - basic	1,019,316,944	1,025,068,349	1,034,547,219
Denominator used in computing net income/(loss) per share - diluted	1,019,316,944	1,025,068,349	1,034,547,219
Net loss per ordinary share – diluted (RMB)	(0.275)	(0.087)	0.021

Basic net loss per share is computed using the weighted average number of ordinary shares outstanding during the year. Diluted net loss per share is computed using the weighted average number of ordinary shares and dilutive potential ordinary shares outstanding during the year.

For the years ended December 31, 2020, 2021 and 2022, there are no anti-dilutive effects that should be excluded from the computation of diluted loss per share.

Commitments and Contingencies

12 Months Ended

Dec. 31, 2022

Commitments and Contingencies

Commitments and Contingencies

17. Commitments and Contingencies

(a) Commitments

Operating lease commitments

The Group leases offices and fulfillment infrastructures under non-cancelable operating lease agreements. Future minimum lease payments under these non-cancelable operating lease agreements with initial terms longer than twelve months are disclosed as maturity of lease liabilities in Note 11.

Capital and other commitments

The Group did not have material capital and other commitments as of December 31, 2022.

17. Commitments and Contingencies (Continued)

(b) Litigation

In the ordinary course of the business, the Group is subject to periodic legal or administrative proceedings. As of December 31, 2022, the Group is not a party to any legal or administrative proceedings, which the Group expects would have a material adverse effect on the Group’s business, financial position, results of operations and cash flows.

Related Party Transactions

12 Months Ended

Dec. 31, 2022

Related Party Transactions

Related Party Transactions

18. Related Party Transactions

In 2020, 2021 and 2022, the Group earned revenue for providing advertising and enterprise value-added services to Jiangsu Jingzhun amounted to approximately RMB 0.8 million, RMB 1.7 million and nil, respectively. As of December 31, 2021 and 2022, the amount due from Jiangsu Jingzhun were RMB 1.3 million and RMB 1.3 million, respectively.

In 2021 and 2022, interest income amounted to approximately RMB 47 thousand and RMB 3 thousand were generated from Shanghai Xuanke for offering the short-term loan amounted to RMB 2.0 million. As of December 31, 2021, the amount due from Shanghai Xuanke for short-term loan was RMB 2.0 million, which was repaid in January and February 2022. In 2021 and 2022, the Group purchased video production services from Shanghai Xuanke amounted to RMB 1.1 million and RMB 0.3 million, respectively. As of December 31, 2021 and 2022, the amount due to Shanghai Xuanke were RMB 1.2 million and RMB 20 thousand, respectively.

Restricted Net Assets

12 Months Ended

Dec. 31, 2022

Restricted Net Assets

Restricted Net Assets

19. Restricted Net Assets

The Group’s ability to pay dividends is primarily dependent on the Group receiving distributions of funds from its subsidiaries. Relevant PRC statutory laws and regulations permit payments of dividends by the Group’s subsidiaries and VIE incorporated in the PRC only out of their retained earnings, if any, as determined in accordance with PRC accounting standards and regulations. The results of operations reflected in the financial statements prepared in accordance with U.S. GAAP differ from those reflected in the statutory financial statements of the Group’s subsidiaries.

In accordance with the PRC laws and regulations, statutory reserve funds shall be made and can only be used for specific purposes and are not distributable as cash dividends. See Note 2 (aa) for more detailed information. As a result of these PRC laws and regulations that require annual appropriations of 10% of net after-tax profits to be set aside prior to payment of dividends as general reserve fund or statutory surplus fund, the Group’s PRC subsidiaries, the VIE and the VIE’s subsidiaries are restricted in their ability to transfer a portion of their net assets to the Company either in the form of dividends, loans or advances, which the restricted portion amounted to approximately RMB 134.03 million and RMB 161.68 million as of December 31, 2021 and 2022, respectively. Even though the Company currently does not require any such dividends, loans or advances from the PRC entities for working capital and other funding purposes, the Company may in the future require additional cash resources from them due to changes in business conditions, to fund future acquisitions and development, or merely to declare and pay dividends or distributions to the Company’s shareholders. Except for the above, there is no other restriction on use of proceeds generated by the Company’s subsidiaries, the VIE and the subsidiaries of the VIE to satisfy any obligations of the Company.

The Company performed a test on the restricted net assets of its consolidated subsidiaries and VIE (the “restricted net assets”) in accordance with Securities and Exchange Commission Regulation S-X Rule 4-08 (e) (3), “General Notes to Financial Statements” and concluded that it was applicable for the Company to disclose its condensed financial information for the year ended December 31, 2020, 2021 and 2022.

Subsequent Event

12 Months Ended

Dec. 31, 2022

Subsequent Event.

Subsequent Event

20. Subsequent Event

Investment in Beijing Che Mai Technology Co., Ltd. (“Che Mai”)

In February 2023, the Group made an investment in Che Mai, which primarily engages in providing marketing and renting solutions for new energy cars. Pursuant to the investment agreement, the Group subscribed 332,507 newly issued ordinary shares with total consideration of RMB 3.0 million, which was paid on February 17, 2023. After the subscription, the Group owned 3% equity interests in Che Mai. The Group has no significant influence over Che Mai. The investment was recorded using measurement alternative defined as cost, less impairment plus or minus subsequent adjustment for the observable price changes in orderly transactions for the identical or similar investment of the same issuer.

Condensed Financial Information of the Company

12 Months Ended

Dec. 31, 2022

Condensed Financial Information of the Company

Condensed Financial Information of the Company

21. Condensed Financial Information of the Company

The condensed financial information of the Company has been prepared in accordance with SEC Regulation S-X Rule 5-04 and Rule 12-04, using the same accounting policies as set out in the Group’s consolidated financial statements, except that the Company uses the equity method to account for investments in its subsidiaries, VIE and VIE’s subsidiaries.

The subsidiaries did not pay any dividend to the Company for the years presented. Certain information and footnote disclosures generally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted. The footnote disclosures contain supplemental information relating to the operations of the Company, as such, these statements are not the general-purpose financial statements of the reporting entity and should be read in conjunction with the notes to the consolidated financial statements of the Group.

21. Condensed Financial Information of the Company (Continued)

The Company did not have significant capital and other commitments or guarantees as of December 31, 2022.

Condensed Balance Sheet


	December 31,	December 31,
	2021	2022
	RMB’000	RMB’000

Current assets:
Cash and cash equivalents	31,833	23,365
Amount due from inter-company entities	468	515
Receivables due from related parties	10	52
Prepayments and other current assets	180	107
Non-current assets:
Investments in subsidiaries, VIE and subsidiaries of VIE	285,624	333,418
	318,115	357,457
Total assets
Current liabilities:
Amount due to inter-company entities	14,463	16,149
Accrued liabilities and other payables	4,247	3,202
Total liabilities	18,710	19,351
Commitments and Contingencies (Note 17)
Shareholders' equity：
Class A ordinary shares (US$0.0001 par value per share; 4,903,917,300 shares authorized, 907,346,745 shares issued and 893,706,595 shares outstanding as of December 31, 2021; 4,903,917,300 shares authorized, 907,346,745 shares issued and 895,814,195 shares outstanding as of December 31, 2022)	628	628
Class B ordinary shares (US$0.0001 par value per share; 96,082,700 shares authorized, 96,082,700 shares issued and outstanding as of December 31, 2021 and 2022, respectively)	66	66
Additional paid-in capital	2,049,448	2,061,491
Treasury stock (US$ 0.0001 par value; 16,201,618 shares and 14,094,018 shares as of December 31, 2021 and 2022, respectively)	(13,598)	(12,010)
Accumulated deficit	(1,728,152)	(1,706,209)
Accumulated other comprehensive loss	(8,987)	(5,860)
Total 36Kr Holdings Inc.'s shareholders’ equity	299,405	338,106
Total liabilities and shareholders’ equity	318,115	357,457

21. Condensed Financial Information of the Company (Continued)

Condensed Statement of Operations and Comprehensive Income/(Loss)


	For the year ended December 31,
	2020	2021	2022
	RMB’000	RMB’000	RMB’000

Operating expenses:
Sales and marketing expenses	(55)	(282)	—
General and administrative expenses	(9,439)	(9,269)	(11,602)
Total operating expenses	(9,494)	(9,551)	(11,602)
Loss from operations	(9,494)	(9,551)	(11,602)
Other income/(expenses):
Share of income/(loss) from subsidiaries, VIE and subsidiaries of VIE	(272,297)	(80,559)	31,888
Interest income	983	64	368
Interest expense	(14)	(70)	(189)
Others, net	591	545	1,478
Income/(loss) before income tax	(280,231)	(89,571)	21,943
Income tax expenses	—	—	—
Net income/(loss)	(280,231)	(89,571)	21,943
Net income/(loss) attributable to 36Kr Holdings Inc.’s ordinary shareholders	(280,231)	(89,571)	21,943

Condensed Statement of Cash Flows


	For the year ended December 31,
	2020	2021	2022
	RMB’000	RMB’000	RMB’000

Net cash used in operating activities	(3,298)	(9,857)	(12,381)
Net cash used in investing activities	(77,536)	—	—
Net cash provided by/(used in) financing activities	(27,360)	(5,773)	—
Effect of exchange rate changes on cash, and cash equivalents held in foreign currencies	(2,334)	(1,047)	3,913
Net increase/(decrease) in cash and cash equivalents	(110,528)	(16,677)	(8,468)
Cash and cash equivalents at beginning of the year	159,038	48,510	31,833
Cash and cash equivalents at end of the year	48,510	31,833	23,365

Significant Accounting Policies (Policies)

12 Months Ended

Dec. 31, 2022

Significant Accounting Policies

Basis of presentation

(a) Basis of presentation

Principles of consolidation

(b) Principles of consolidation

All significant intercompany transactions and balances between the Company, its subsidiaries, the VIE and subsidiaries of the VIE have been eliminated upon consolidation.

Use of estimates

Functional currency and foreign currency translation

(d) Functional currency and foreign currency translation

Fair value measurements

(e) Fair value measurements

a.	Level 1—Quoted prices (unadjusted) in active markets for identical assets or liabilities.

b.	Level 2—Observable, market-based inputs, other than quoted prices, in active markets for identical assets or liabilities.

c.	Level 3—Unobservable inputs to the valuation methodology that are significant to the measurement of the fair value of the assets or liabilities.

The following table sets forth the Group’s assets and liabilities that are measured at fair value on a recurring basis and are categorized using the fair value hierarchy:

As of December 31, 2021


				Balance at
Assets	Level 1	Level 2	Level 3	fair value
	RMB’000	RMB’000	RMB’000	RMB’000
Short‑term investments — Wealth management products	—	119,140	—	119,140

As of December 31, 2022


				Balance at
Assets	Level 1	Level 2	Level 3	fair value
	RMB’000	RMB’000	RMB’000	RMB’000
Short‑term investments — Wealth management products	—	42,270	—	42,270
Long-term investments- Fair value option		66,470		66,470

2. Significant Accounting Policies (Continued)

(e) Fair value measurements (Continued)

Recurring

Non-Recurring

Cash and cash equivalents

(f) Cash and cash equivalents

Restricted cash

(g) Restricted cash

Short-term investments

(h) Short-term investments

Accounts receivable, net

(i) Accounts receivable, net

Expected credit losses

Property and equipment, net

(j) Property and equipment, net


		Estimated useful life
Electronic equipment and computers		3 years
Office furniture and equipment		3 years
Leasehold improvement		Lesser of the term of the lease or the estimated useful lives of the leasehold improvement

Goodwill

(k) Goodwill

Based on the impairment assessment, management determined that the goodwill amounted to RMB 1.4 million has been fully impaired as of December 31, 2020.

Impairment of long-lived assets

(l) Impairment of long-lived assets

Long-term investments

(m) Long-term investments

Equity investments accounted for using the measurement alternative

Equity investments accounted for using the equity method

No impairment losses of long-term investments were recognized for the years ended December 31, 2020, 2021 and 2022.

Investments accounted for at fair value

Revenue recognition

(n) Revenue recognition

●

identification of the contract, or contracts, with a customer;

●

identification of the performance obligations in the contract;

●

determination of the transaction price, including the constraint on variable consideration;

●

allocation of the transaction price to the performance obligations in the contract; and

●

recognition of revenue when (or as) the Group satisfy a performance obligation.

The following is a description of the accounting policy for the principal revenue streams of the Group.

I. Online advertising services

2. Significant Accounting Policies (Continued)

(n) Revenue recognition (Continued)

II. Enterprise value-added services

The principal enterprise value-added services that the Group provides to customers are set out as follows:

(i) Integrated marketing

(ii) Online/offline events

(iii) Consulting

The Group provides customized market research and industry reports to established companies. In addition, the Group also helps the customers to organize and execute business events.

2. Significant Accounting Policies (Continued)

(n) Revenue recognition (Continued)

(iv) Advertisement agent services

III. Subscription services

(i) Institutional investor and enterprise subscription services

(ii) Individual subscription services

In the following table, the total revenue is disaggregated by the major service lines mentioned above.

2. Significant Accounting Policies (Continued)

(n) Revenue recognition (Continued)

III. Subscription services (Continued)


	For the year ended December 31,
	2020	2021	2022
	RMB’000	RMB’000	RMB’000

Online advertising services	172,811	214,722	221,620
Enterprise value‑added services
Integrated marketing	133,599	1,342	6,639
Online/offline events	26,992	32,127	15,475
Consulting	32,622	36,867	43,200
Advertisement agent services	—	3,696	7,326
Revenue for Enterprise value‑added services	193,213	74,032	72,640
Subscription services
Institutional investor subscription services	16,036	25,490	27,095
Enterprise subscription services	361	94	423
Individual subscription services	4,343	2,441	719
Revenue for Subscription services	20,740	28,025	28,237
Total revenue	386,764	316,779	322,497

Contract balances

Practical expedients and exemptions

The Group generally expenses sales commissions when incurred because the amortization periods are generally one year or less. These costs are recorded within sales and marketing expenses.

Cost of revenues

(o) Cost of revenues

Sales and marketing expenses

(p) Sales and marketing expenses

General and administrative expenses

(q) General and administrative expenses

Research and development expenses

(r) Research and development expenses

Operating lease and adoption of ASU 2016-02

(s) Operating lease and adoption of ASU 2016-02

Share-based compensation

(t) Share-based compensation

Employee benefits

(u) Employee benefits

Taxation

(v) Taxation

Income taxes

Uncertain tax positions

Government grants

(w) Government grants

Other income/(expenses) - Others, net

(x) Other income/(expenses) — Others, net

Others, net mainly represent interest income, interest expense, foreign currency exchange gains or losses and gains generated from write-offs of accounts payable.

Comprehensive income

(y) Comprehensive income

Related parties

(z) Related parties

Segment reporting

(aa) Segment reporting

Statutory reserves

(ab) Statutory reserves

The Group’s consolidated subsidiaries, the VIE and VIE’s subsidiaries established in the PRC are required to make appropriations to certain non-distributable reserve funds.

Net income/(loss) per share

(ac) Net income/(loss) per share

Recently issued accounting pronouncements

The accounting standards that the Group adopted beginning January 1, 2022 did not have a significant impact on the Group’s consolidated financial statements.

Nature of Operations and Reorganization (Tables)

12 Months Ended

Dec. 31, 2022

Nature of Operations and Reorganization

Schedule of ownership structure of the major subsidiaries and VIE


		Percentage of
		Direct or Indirect
	Place and year of	Economic
Major subsidiaries	Incorporation	Ownership		Principal activities
36Kr Holding Limited (“36Kr BVI” or “BVI Subsidiary”)	British Virgin Islands, established in 2018	100	%	Investment holding
36Kr Holdings (HK) Limited (“36Kr HK” or “HK Subsidiary”)	Hong Kong, established in 2018	100	%	Investment holding
Tianjin Duoke Investment Co., Ltd. (“Tianjin Duoke”)	The PRC, established in 2019	100	%	Investment holding
Tianjin Dake Information Technology Co., Ltd. (“Tianjin Dake”)	The PRC, established in 2019	100	%	Management consulting
Beijing Dake	The PRC, established in 2019	100	%	Management consulting
Nanjing Dake Information Technology Co., Ltd. (“Nanjing Dake”)	The PRC, established in 2021	100	%	Management consulting
Hainan Shenke Information Technology Co., Ltd. (“Hainan Shenke”)	The PRC, established in 2021	100	%	Management consulting


		Percentage of
	Place and year of	Economic
VIE	Incorporation	Ownership		Principal activities
Beijing Duoke	The PRC, established in 2016	100	%	36Kr Business


		Percentage of
	Place and year of	Economic
VIE Major subsidiaries	Incorporation	Ownership		Principal activities
Zhejiang Pinxin Technology Co., Ltd.	The PRC, established in 2019	100	%	Investment holding

Schedule of financial information of the Group's VIE and the VIE's subsidiaries included in the accompanying consolidated financial statements


	December 31,	December 31,
	2021	2022
	RMB’000	RMB’000
Current assets:
Cash and cash equivalents	42,047	101,659
Restricted cash	—	100
Short‑term investments	99,017	22,247
Accounts receivable, net	179,986	197,503
Amounts due from the Company and its subsidiaries	16,137	16,361
Receivables due from related parties of the Group	3,620	804
Prepayments and other current assets	42,312	15,913
Non‑current assets:
Property and equipment, net	3,157	2,428
Intangible assets, net	808	1,249
Long-term investments, net	30,976	126,434
Operating lease right-of-use assets, net	13,818	30,911
Total assets	431,878	515,609
Current liabilities:
Accounts payable	56,069	53,465
Salary and welfare payables	37,631	33,998
Taxes payable	11,311	6,844
Deferred revenue	28,863	24,575
Amounts due to the Company and its subsidiaries	143,331	155,818
Amounts due to related parties of the Group	1,328	312
Accrued liabilities and other payables	12,621	23,185
Short-term bank loan	5,000	9,950
Operating lease liabilities	16,302	31,293
Non-current liabilities:
Operating lease liabilities	586	15,093
Other non-current liabilities	—	615
Total liabilities	313,042	355,148


	For the year Ended December 31,
	2020	2021	2022
	RMB’000	RMB’000	RMB’000
Inter-company revenues	—	25	—
Third-party revenues	386,861	316,632	320,526
Cost of revenues	(282,772)	(147,654)	(211,698)
Gross profit	104,089	169,003	108,828
Operating expenses	(284,163)	(190,249)	(131,984)
Loss from operations	(180,074)	(21,246)	(23,156)
Gain on disposal of a subsidiary	—	—	38,019
Share of loss from equity method investments	—	26	523
Long-term investments income/(loss), net	—	—	15,964
Short-term investments income	1,416	1,768	1,262
Others, net	12,021	5,602	9,402
Income/(Loss) before income tax	(166,637)	(13,850)	42,014
Income tax expenses	(3,814)	(111)	(361)
Net income/(loss)	(170,451)	(13,961)	41,653


	For the year Ended December 31,
	2020	2021	2022
	RMB’000	RMB’000	RMB’000
Net cash (used in)/provided by operating activities	57,273	266,927	77,322
Purchase of short-term investments	(504,571)	(571,110)	(417,490)
Proceeds from maturities of short-term investments	423,937	594,927	494,709
Investment in long-term investments	—	(30,950)	(38,970)
Loan paid to inter-company entities	(150)	(5,000)	—
Loan collected from related parties	—	—	2,000
Loan collected from inter-company entities	—	5,000	100
Cash received from customer in relation to advertisement agent services	—	26,295	70,208
Cash paid on behalf of the customer in relation to advertisement agent services	—	(179,036)	(64,054)
Others	(2,777)	(4,180)	(3,361)
Net cash (used in)/provided by investing activities	(83,561)	(164,054)	43,142
Proceeds from initial public offering, net of issuance costs	(6,000)	—	—
Capital injection from noncontrolling interest shareholders	520	750	174
Proceeds from loans provided by inter-company entities	35,910	25,010	—
Repayments of loans provided by inter-company entities	(5,000)	(103,080)	(65,876)
Others	(19)	5,000	4,950
Net cash provided by/(used in) financing activities	25,411	(72,320)	(60,752)
Increase/(Decrease) in cash, cash equivalents and restricted cash	(877)	30,553	59,712
Cash, cash equivalents and restricted cash at beginning of year	12,371	11,494	42,047
Cash, Cash equivalents and restricted cash at end of year	11,494	42,047	101,759

- Definition

Tabular disclosure of the significant judgments and assumptions made in determining whether a variable interest (as defined) held by the entity requires the variable interest entity (VIE) (as defined) to be consolidated and (or) disclose information about its involvement with the VIE, individually or in aggregate (as applicable); the nature of restrictions, if any, on the consolidated VIE's assets and on the settlement of its liabilities reported by an entity in its statement of financial position, including the carrying amounts of such assets and liabilities; the nature of, and changes in, the risks associated with involvement in the VIE; how involvement with the VIE affects the entity's financial position, financial performance, and cash flows; the lack of recourse if creditors (or beneficial interest holders) of the consolidated VIE have no recourse to the general credit of the primary beneficiary (if applicable); the terms of arrangements, giving consideration to both explicit arrangements and implicit variable interests, if any, that could require the entity to provide financial support to the VIE, including events or circumstances that could expose the entity to a loss; the methodology used by the entity for determining whether or not it is the primary beneficiary of the variable interest entity; the significant factors considered and judgments made in determining that the power to direct the activities of a VIE that most significantly impact the VIE's economic performance are shared (as defined); the carrying amounts and classification of assets and liabilities of the VIE included in the statement of financial position; the entity's maximum exposure to loss, if any, as a result of its involvement with the VIE, including how the maximum exposure is determined and significant sources of the entity's exposure to the VIE; a comparison of the carrying amounts of the assets and liabilities and the entity's maximum exposure to loss; information about any liquidity arrangements, guarantees, and (or) other commitments by third parties that may affect the fair value or risk of the entity's variable interest in the VIE; whether or not the entity has provided financial support or other support (explicitly or implicitly) to the VIE that it was not previously contractually required to provide or whether the entity intends to provide that support, including the type and amount of the support and the primary reasons for providing the support; and supplemental information the entity determines necessary to provide.

+ References + Details

Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2022

Significant Accounting Policies

Schedule of assets and liabilities measured at fair value on a recurring basis

As of December 31, 2021


				Balance at
Assets	Level 1	Level 2	Level 3	fair value
	RMB’000	RMB’000	RMB’000	RMB’000
Short‑term investments — Wealth management products	—	119,140	—	119,140

As of December 31, 2022


				Balance at
Assets	Level 1	Level 2	Level 3	fair value
	RMB’000	RMB’000	RMB’000	RMB’000
Short‑term investments — Wealth management products	—	42,270	—	42,270
Long-term investments- Fair value option		66,470		66,470

Schedule of estimated useful lives of property and equipment, net


		Estimated useful life
Electronic equipment and computers		3 years
Office furniture and equipment		3 years
Leasehold improvement		Lesser of the term of the lease or the estimated useful lives of the leasehold improvement

Schedule of revenue disaggregated by the major service lines


	For the year ended December 31,
	2020	2021	2022
	RMB’000	RMB’000	RMB’000

Online advertising services	172,811	214,722	221,620
Enterprise value‑added services
Integrated marketing	133,599	1,342	6,639
Online/offline events	26,992	32,127	15,475
Consulting	32,622	36,867	43,200
Advertisement agent services	—	3,696	7,326
Revenue for Enterprise value‑added services	193,213	74,032	72,640
Subscription services
Institutional investor subscription services	16,036	25,490	27,095
Enterprise subscription services	361	94	423
Individual subscription services	4,343	2,441	719
Revenue for Subscription services	20,740	28,025	28,237
Total revenue	386,764	316,779	322,497

Concentrations and Risks (Tables)

12 Months Ended

Dec. 31, 2022

Revenues | Customer risk

Concentration Risk [Line Items]

Summary of concentration of risk


	For the year ended
	December 31,
Revenues	2020		2021	2022
Customer A	*		*	17	%
Customer B	32	%	*	*
Customer C	*		*	12	%

Accounts receivable | Customer risk

Concentration Risk [Line Items]

Summary of concentration of risk


	As of
	December 31,
Accounts receivable	2021		2022
Customer B	55	%	67	%

Costs and expenses | Supplier risk

Concentration Risk [Line Items]

Summary of concentration of risk

* Less than 10%

Cash & cash equivalents, restricted cash and short-term investments | Credit risk

Concentration Risk [Line Items]

Summary of concentration of risk


	For the year ended
	December 31
Cash & cash equivalents, restricted cash and short-term investments	2021		2022
Bank E	81	%	74	%
Bank F	16	%	25	%

Accounts Receivable, net (Tables)

12 Months Ended

Dec. 31, 2022

Accounts Receivable, net

Schedule of accounts receivable, net


	December 31,	December 31,
	2021	2022
	RMB’000	RMB’000

Accounts receivable	302,200	280,911
Less: allowance for credit losses	(122,039)	(83,383)
Accounts receivable, net	180,161	197,528

Schedule of allowance for doubtful accounts


	For the year ended
	December 31,
	2020	2021	2022
	RMB’000	RMB’000	RMB’000

Balance at beginning of the year	(11,413)	(124,204)	(122,039)
Reversal/(addition) of allowance for credit losses, net	(125,563)	(8,681)	30,192
Write-offs	12,772	10,846	8,464
Balance at end of the year	(124,204)	(122,039)	(83,383)

Prepayments and Other Current Assets (Tables)

12 Months Ended

Dec. 31, 2022

Prepayments and Other Current Assets

Schedule of prepayments and other current assets


	December 31,	December 31,
	2021	2022
	RMB’000	RMB’000

Deposits	5,758	5,792
Prepayments of IT services	907	1,318
Prepayments of procurement costs	32,842	8,061
Others	3,105	988
Total	42,612	16,159

Property and Equipment, net (Tables)

12 Months Ended

Dec. 31, 2022

Property and Equipment, net

Schedule of property and equipment


	December 31,	December 31,
	2021	2022
	RMB’000	RMB’000
Electronic equipment and computers	17,532	5,312
Office furniture and equipment	2,725	2,943
Leasehold improvement	4,971	5,032
Total	25,228	13,287
Less: accumulated depreciation	(14,082)	(10,859)
Less: impairment	(7,987)	—
Property and equipment, net	3,159	2,428

Long-term investments (Tables)

12 Months Ended

Dec. 31, 2022

Long-term investments.

Schedule of long term investments


	December 31,	December 31,
	2021	2022
	RMB’000	RMB’000

Equity investments accounted for using the measurement alternative	30,000	58,464
Equity investments accounted for using the equity method	11,442	12,423
Investments accounted for at fair value	—	66,470
Total	41,442	137,357

Taxes Payable (Tables)

12 Months Ended

Dec. 31, 2022

Taxes Payable

Schedule of summary of taxes payable


	December 31,	December 31,
	2021	2022
	RMB’000	RMB’000

VAT payable	12,060	9,787
Enterprise income taxes payable	80	274
Withholding individual income taxes for employees	121	88
Others	575	725
Total	12,836	10,874

Accrued Liabilities and Other Payables (Tables)

12 Months Ended

Dec. 31, 2022

Accrued Liabilities and Other Payables

Schedule of accrued liabilities and other payables


	December 31,	December 31,
	2021	2022
	RMB’000	RMB’000

Accrued professional fees	11,438	10,552
Accrued promotion fees	350	10,829
Accrued office rental expense	177	769
Accrued employee welfare expense, meal and travel expense	1,579	362
Guarantee deposits	330	280
Withholding employees' social insurance and housing fund	1,140	1,289
Others	2,487	3,525
Total	17,501	27,606

Leases (Tables)

12 Months Ended

Dec. 31, 2022

Leases

Summary of supplemental information related to operating leases


	December 31,		December 31,
	2021		2022
	RMB‘000		RMB‘000
Operating lease right-of-use asset	13,818		30,911
Operating lease liabilities-current	(16,302)		(31,293)
Operating lease liabilities-non-current	(586)		(15,093)
Total operating lease liabilities	(16,888)		(46,386)
Weighted average remaining lease term	1.09 years		1.34 years
Weighted average discount rate	4.75	%	4.75	%

Summary of lease cost


	December 31,	December 31,
	2021	2022
	RMB‘000	RMB‘000
Other information
Operating lease cost	15,481	14,948
Short-term lease cost	572	941
Total	16,053	15,889

Summary of supplemental cash flow information related to leases


	December 31,	December 31,
	2021	2022
	RMB‘000	RMB‘000
Cash payments for operating leases	12,604	1,201
Right-of-use assets obtained in exchange for lease obligations	1,971	30,699

Summary of maturity of operating lease liabilities under the Group's non-cancelable operating leases


		December 31,
		2022
		RMB‘000
2023		31,748
2024		15,464
2025		598
Total lease payment		47,810
Less: interest		1,424
Present value of operating lease liabilities		46,386

Income Taxes (Tables)

12 Months Ended

Dec. 31, 2022

Income Taxes

Schedule of composition of income tax expenses


	For the year ended December 31,
	2020	2021	2022
	RMB’000	RMB’000	RMB’000
Current income tax expense	373	155	361
Deferred taxation	3,391	(53)	—
Total	3,764	102	361

Schedule of reconciliation of the differences between statutory income tax rate and the effective income tax rate


	For the year ended December 31,
	2020	2021	2022
	%	%	%
Statutory EIT rate	25.00	25.00	25.00
Effect of non-deductible expenses (1)	(5.78)	(6.60)	16.97
Tax incentives for research and development expense (2)	2.08	9.00	(49.14)
Tax incentives for wages of disabled staff	0.02	0.05	(0.16)
Preferential tax rate	1.15	0.48	(4.20)
Change in valuation allowance	(23.19)	(25.55)	2.52
Tax rate difference from statutory rate in other jurisdictions	(0.72)	(2.49)	10.44
Others	0.07	—	—
Effective income tax rate	(1.37)	(0.11)	1.43

(1)	Primarily comprised of share-based compensation expenses which are permanent differences.

(2)

Schedule of composition of deferred tax assets


	December 31,	December 31,
	2021	2022
	RMB’000	RMB’000
Deferred tax assets - non‑current:
—Net operating tax losses carry forwards	46,031	51,541
—Allowances of doubtful accounts	18,702	12,564
—Investment loss	—	375
—Property and equipment impairment	1,997	—
—Others	299	—
Total deferred tax assets	67,029	64,480
Less: valuation allowance	(67,029)	(61,617)
Total deferred tax assets, net	—	2,863
Deferred tax liabilities - non‑current:
— Unrealized investment gain	—	(2,863)
Total deferred tax liabilities	—	(2,863)

Share-based Compensation (Tables) - 2019 Incentive Plan

12 Months Ended

Dec. 31, 2022

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Schedule of fair value assumptions on options


	For the year ended December 31,
	2020		2021		2022
Expected volatility	50.22	%	49.29%-50.47	%	51.97	%
Expected dividend yield	—		—		—
Contractual term (in year)	10		10		10
Risk-free interest rate	1.66	%	1.38%-1.45	%	3.57	%

Summary of stock option activity under the 2019 Incentive Plan


		Weighted		Weighted average
		average exercise	Aggregate intrinsic	remaining
	Number of	price US$ per	value	contractual
	shares	share	US$	years
Outstanding at December 31, 2019	126,402,925	0.0001	37,352,064	9.68
Granted during the year	5,125,000	0.0001	—	—
Exercised during the year	(36,613,500)	0.0001	—	—
Forfeited / Cancelled during the year	(6,674,341)	0.0001	—	—
Outstanding at December 31, 2020	88,240,084	0.0001	9,847,593	8.77
Granted during the year	32,765,413	0.0001	—	—
Exercised during the year	(18,031,675)	0.0001	—	—
Forfeited / Cancelled during the year	(8,143,392)	0.0001	—	—
Outstanding at December 31, 2021	94,830,430	0.0001	4,324,268	8.44
Granted during the year	3,167,881	0.0001	—	—
Exercised during the year	(2,107,600)	0.0001	—	—
Forfeited during the year	(1,861,733)	0.0001	—	—
Outstanding at December 31, 2022	94,028,978	0.0001	3,881,516	7.53
Exercisable at December 31, 2022	64,686,080

Basic and Diluted Net Income/(Loss) Per Share (Tables)

12 Months Ended

Dec. 31, 2022

Basic and Diluted Net Income/(Loss) Per Share

Schedule of basic and diluted net loss per share calculated in accordance with ASC 260


	For the years ended
	December 31,
	2020	2021	2022
Net income/(loss) per ordinary share – basic:
Numerator (RMB’000):
Net income/(loss) attributable to 36Kr Holdings Inc.	(279,342)	(90,609)	22,637
Net loss/(income) attributable to non-controlling interests	(889)	1,038	(694)
Net income/(loss) attributable to ordinary shareholders of 36Kr Holdings Inc.-basic	(280,231)	(89,571)	21,943
Denominator:
Weighted average number of ordinary shares outstanding	1,019,316,944	1,025,068,349	1,034,547,219
Denominator used in computing net income/(loss) per share - basic	1,019,316,944	1,025,068,349	1,034,547,219
Net income/(loss) per ordinary share: - basic (RMB)	(0.275)	(0.087)	0.021

Net income/(loss) per ordinary share - diluted:
Numerator (RMB’000):
Net income/(loss) attributable to ordinary shareholders of 36Kr Holdings Inc.-basic	(280,231)	(89,571)	21,943
Net income/(loss) attributable to ordinary shareholders - diluted	(280,231)	(89,571)	21,943
Denominator:
Denominator used in computing net income/(loss) per share - basic	1,019,316,944	1,025,068,349	1,034,547,219
Denominator used in computing net income/(loss) per share - diluted	1,019,316,944	1,025,068,349	1,034,547,219
Net loss per ordinary share – diluted (RMB)	(0.275)	(0.087)	0.021

Condensed Financial Information of the Company (Tables)

12 Months Ended

Dec. 31, 2022

Condensed Financial Information of the Company

Condensed Balance Sheet

Condensed Balance Sheet


	December 31,	December 31,
	2021	2022
	RMB’000	RMB’000

Current assets:
Cash and cash equivalents	31,833	23,365
Amount due from inter-company entities	468	515
Receivables due from related parties	10	52
Prepayments and other current assets	180	107
Non-current assets:
Investments in subsidiaries, VIE and subsidiaries of VIE	285,624	333,418
	318,115	357,457
Total assets
Current liabilities:
Amount due to inter-company entities	14,463	16,149
Accrued liabilities and other payables	4,247	3,202
Total liabilities	18,710	19,351
Commitments and Contingencies (Note 17)
Shareholders' equity：
Class A ordinary shares (US$0.0001 par value per share; 4,903,917,300 shares authorized, 907,346,745 shares issued and 893,706,595 shares outstanding as of December 31, 2021; 4,903,917,300 shares authorized, 907,346,745 shares issued and 895,814,195 shares outstanding as of December 31, 2022)	628	628
Class B ordinary shares (US$0.0001 par value per share; 96,082,700 shares authorized, 96,082,700 shares issued and outstanding as of December 31, 2021 and 2022, respectively)	66	66
Additional paid-in capital	2,049,448	2,061,491
Treasury stock (US$ 0.0001 par value; 16,201,618 shares and 14,094,018 shares as of December 31, 2021 and 2022, respectively)	(13,598)	(12,010)
Accumulated deficit	(1,728,152)	(1,706,209)
Accumulated other comprehensive loss	(8,987)	(5,860)
Total 36Kr Holdings Inc.'s shareholders’ equity	299,405	338,106
Total liabilities and shareholders’ equity	318,115	357,457

Condensed Statement of Operations and Comprehensive Loss

Condensed Statement of Operations and Comprehensive Income/(Loss)


	For the year ended December 31,
	2020	2021	2022
	RMB’000	RMB’000	RMB’000

Operating expenses:
Sales and marketing expenses	(55)	(282)	—
General and administrative expenses	(9,439)	(9,269)	(11,602)
Total operating expenses	(9,494)	(9,551)	(11,602)
Loss from operations	(9,494)	(9,551)	(11,602)
Other income/(expenses):
Share of income/(loss) from subsidiaries, VIE and subsidiaries of VIE	(272,297)	(80,559)	31,888
Interest income	983	64	368
Interest expense	(14)	(70)	(189)
Others, net	591	545	1,478
Income/(loss) before income tax	(280,231)	(89,571)	21,943
Income tax expenses	—	—	—
Net income/(loss)	(280,231)	(89,571)	21,943
Net income/(loss) attributable to 36Kr Holdings Inc.’s ordinary shareholders	(280,231)	(89,571)	21,943

Condensed Statement of Cash Flows

Condensed Statement of Cash Flows


	For the year ended December 31,
	2020	2021	2022
	RMB’000	RMB’000	RMB’000

Net cash used in operating activities	(3,298)	(9,857)	(12,381)
Net cash used in investing activities	(77,536)	—	—
Net cash provided by/(used in) financing activities	(27,360)	(5,773)	—
Effect of exchange rate changes on cash, and cash equivalents held in foreign currencies	(2,334)	(1,047)	3,913
Net increase/(decrease) in cash and cash equivalents	(110,528)	(16,677)	(8,468)
Cash and cash equivalents at beginning of the year	159,038	48,510	31,833
Cash and cash equivalents at end of the year	48,510	31,833	23,365

Nature of Operations and Reorganization - Reorganization and Initial Public Offering (Details) $ / shares in Units, ¥ in Thousands, $ in Thousands					12 Months Ended
	Nov. 30, 2022 CNY (¥) director	Nov. 08, 2019 CNY (¥) shares	Nov. 08, 2019 USD ($) $ / shares shares	Aug. 02, 2019	Dec. 31, 2022	Dec. 31, 2020 CNY (¥)
Reorganization
Proceeds from initial public offering, net of issuance costs \| ¥						¥ (21,617)
Beijing Cultural Investment Development Group Asset Management Co., Ltd
Reorganization
Investments made \| ¥	¥ 32,492
Percentage of investment	1.00%
Number of board of directors \| director	3
IPO
Reorganization
Issuance price per share (in US dollar per share) \| $ / shares			$ 14.50
Proceeds from initial public offering, net of issuance costs		¥ 86,240	$ 12,330
IPO \| ADS
Reorganization
Share issuance upon initial public offering, net of issuance costs (in shares) \| shares		1,380,000	1,380,000
IPO \| Class A ordinary shares
Reorganization
Share issuance upon initial public offering, net of issuance costs (in shares) \| shares		34,500,000	34,500,000
36Kr Holding Limited ("36Kr BVI" or "BVI Subsidiary")
Reorganization
Ownership interest (as a percent)				100.00%
Principal activities					Investment holding
36Kr Holdings (HK) Limited ("36Kr HK" or "HK Subsidiary")
Reorganization
Ownership interest (as a percent)				100.00%
Principal activities					Investment holding
Tianjin Duoke Investment Co., Ltd. ("Tianjin Duoke")
Reorganization
Ownership interest (as a percent)				100.00%
Principal activities					Investment holding
Tianjin Dake Information Technology Co., Ltd. ("Tianjin Dake")
Reorganization
Ownership interest (as a percent)				100.00%
Principal activities					Management consulting
Beijing Dake
Reorganization
Ownership interest (as a percent)				100.00%
Principal activities					Management consulting
Nanjing Dake Information Technology Co., Ltd. ("Nanjing Dake")
Reorganization
Ownership interest (as a percent)				100.00%
Principal activities					Management consulting
Hainan Shenke Information Technology Co., Ltd. ("Hainan Shenke")
Reorganization
Ownership interest (as a percent)				100.00%
Principal activities					Management consulting
Beijing Duoke
Reorganization
Percentage of ownership in VIEs				100.00%
Principal activities					36Kr Business
Zhejiang Pinxin Technology Co., Ltd.
Reorganization
Percentage of ownership in VIEs				100.00%
Principal activities					Investment holding

Nature of Operations and Reorganization - Contractual agreements with the VIE (Details) - CNY (¥) ¥ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Current assets:
Cash and cash equivalents	¥ 142,511	¥ 96,965
Restricted cash	100
Short-term investments	42,270	119,140
Accounts receivable, net	197,528	180,161
Receivables due from related parties	858	3,630
Prepayments and other current assets	16,159	42,612
Non-current assets:
Property and equipment, net	2,428	3,159
Intangible assets, net	1,249	808
Long-term investments, net	137,357	41,442
Operating lease right-of-use assets, net	30,911	13,818
Total assets	571,371	501,735
Current liabilities:
Accounts payable	53,465	56,266
Salary and welfare payables	52,204	55,788
Taxes payable	10,874	12,836
Deferred revenue	24,575	28,863
Amounts due to related parties	312	1,328
Accrued liabilities and other payables	27,606	17,501
Short-term bank loan	9,950	5,000
Operating lease liabilities	31,293	16,302
Non-current liabilities:
Operating lease liabilities	15,093	586
Other non-current liabilities	615
Total liabilities	225,987	194,470
Cash flows from operating activities:
Revenues	322,497	316,779	¥ 386,764
Cost of revenues	(137,848)	(128,844)	(261,372)
Gross Profit	184,649	187,935	125,392
Operating expenses	229,186	282,041	392,710
Loss from operations	(44,537)	(94,106)	(267,318)
Gain on disposal of a subsidiary	38,019
Share of loss/(income) from equity method investments	(51)	5,473	23,502
Long-term investment income/(loss), net	15,964
Short-term investment income	1,999	2,485	1,859
Others, net	8,055	3,283	3,280
Income/(loss) before income tax	22,998	(90,507)	(275,578)
Income tax expense	361	102	3,764
Net income/(loss)	22,637	(90,609)	(279,342)
Net cash (used in)/provided by operating activities	(4,989)	194,961	(17,125)
Cash flows from investing activities:
Net cash (used in)/provided by investing activities	43,311	(157,997)	(64,289)
Cash flows from financing activities:
Proceeds from initial public offering, net of issuance costs			(21,617)
Share repurchase		(5,780)	(11,748)
Net cash provided by/(used in) financing activities	5,124	(23)	(32,837)
Effect of exchange rate changes on cash, and cash equivalents held in foreign currencies	2,200	(822)	(2,780)
Net increase/(decrease) in cash, cash equivalents and restricted cash	45,646	36,119	(117,031)
Cash, cash equivalents and restricted cash at beginning of the year	96,965	60,846	177,877
Cash, cash equivalents and restricted cash at end of the year	142,611	96,965	60,846
VIEs
Current assets:
Cash and cash equivalents	101,659	42,047
Restricted cash	100
Short-term investments	22,247	99,017
Accounts receivable, net	197,503	179,986
Amounts due from the Company and its subsidiaries	16,361	16,137
Receivables due from related parties	804	3,620
Prepayments and other current assets	15,913	42,312
Non-current assets:
Property and equipment, net	2,428	3,157
Intangible assets, net	1,249	808
Long-term investments, net	126,434	30,976
Operating lease right-of-use assets, net	30,911	13,818
Total assets	515,609	431,878
Current liabilities:
Accounts payable	53,465	56,069
Salary and welfare payables	33,998	37,631
Taxes payable	6,844	11,311
Deferred revenue	24,575	28,863
Amounts due to the Company and its subsidiaries	155,818	143,331
Amounts due to related parties	312	1,328
Accrued liabilities and other payables	23,185	12,621
Short-term bank loan	9,950	5,000
Operating lease liabilities	31,293	16,302
Non-current liabilities:
Operating lease liabilities	15,093	586
Other non-current liabilities	615	0
Total liabilities	355,148	313,042
Cash flows from operating activities:
Cost of revenues	(211,698)	(147,654)	(282,772)
Gross Profit	108,828	169,003	104,089
Operating expenses	(131,984)	(190,249)	(284,163)
Loss from operations	(23,156)	(21,246)	(180,074)
Gain on disposal of a subsidiary	38,019
Share of loss/(income) from equity method investments	523	26
Long-term investment income/(loss), net	15,964
Short-term investment income	1,262	1,768	1,416
Others, net	9,402	5,602	12,021
Income/(loss) before income tax	42,014	(13,850)	(166,637)
Income tax expense	(361)	(111)	(3,814)
Net income/(loss)	41,653	(13,961)	(170,451)
Net cash (used in)/provided by operating activities	77,322	266,927	57,273
Cash flows from investing activities:
Purchase of short-term investments	(417,490)	(571,110)	(504,571)
Proceeds from maturities of short-term investments	494,709	594,927	423,937
Investment in long-term investments	(38,970)	(30,950)
Loan paid to inter-company entities		(5,000)	(150)
Loan collected from related parties	2,000
Loan collected from inter-company entities	100	5,000
Cash received from customer in relation to advertisement agent services	70,208	26,295
Cash paid on behalf of the customer in relation to advertisement agent services	(64,054)	(179,036)
Others	(3,361)	(4,180)	(2,777)
Net cash (used in)/provided by investing activities	43,142	(164,054)	(83,561)
Cash flows from financing activities:
Proceeds from initial public offering, net of issuance costs			(6,000)
Capital injection from noncontrolling interest shareholders	174	750	520
Proceeds from loans provided by inter-company entities		25,010	35,910
Repayments of loans provided by inter-company entities	(65,876)	(103,080)	(5,000)
Others	4,950	5,000	(19)
Net cash provided by/(used in) financing activities	(60,752)	(72,320)	25,411
Net increase/(decrease) in cash, cash equivalents and restricted cash	59,712	30,553	(877)
Cash, cash equivalents and restricted cash at beginning of the year	42,047	11,494	12,371
Cash, cash equivalents and restricted cash at end of the year	101,759	42,047	11,494
VIEs \| Inter-company revenues
Cash flows from operating activities:
Revenues		25
VIEs \| Third-party revenues
Cash flows from operating activities:
Revenues	¥ 320,526	¥ 316,632	¥ 386,861

Significant Accounting Policies - Principles of consolidation to short-term investments (Details) - CNY (¥) ¥ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Principles of consolidation
Net loss attributable to non-controlling interests	¥ 694	¥ (1,038)	¥ 889
Functional currency and foreign currency translation
Total foreign currency translation adjustments	3,127	(1,090)	(4,843)
Fair value measurements
Impairment loss	0	0	¥ 0
Recurring
Fair value measurements
Investments		119,140
Recurring \| Wealth management products
Fair value measurements
Investments	42,270
Recurring \| Fair value option
Fair value measurements
Investments	66,470
Level 2 \| Recurring
Fair value measurements
Investments		¥ 119,140
Level 2 \| Recurring \| Wealth management products
Fair value measurements
Investments	42,270
Level 2 \| Recurring \| Fair value option
Fair value measurements
Investments	¥ 66,470

Significant Accounting Policies - Property and equipment, net, goodwill and impairment of long-lived assets (Details) - CNY (¥) ¥ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2020
Goodwill
Goodwill impairment		¥ 1,395
Impairment of long-lived assets
Impairment of long-lived assets		¥ 7,987
Electronic equipment and computers
Estimated useful lives to impairment of long-lived assets
Estimated useful life	3 years
Office furniture and equipment
Estimated useful lives to impairment of long-lived assets
Estimated useful life	3 years

Significant Accounting Policies - Equity Investments (Details) - CNY (¥) ¥ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Significant Accounting Policies
Total	¥ 12,423	¥ 11,442

Significant Accounting Policies - Long-term investments and Revenue recognition (Details) - CNY (¥) ¥ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Revenue recognition
Impairment of equity method investment	¥ 0	¥ 0	¥ 0
Share of income/(loss) from equity method investments	¥ 51	(5,473)	(23,502)
Maximum economic benefit period from paid columns and online courses	1 year
Revenues	¥ 322,497	316,779	386,764
Contract assets	0	0
Revenue recognized included in contract liabilities balance at the beginning of the period	28,860	18,850	8,160
Online advertising services
Revenue recognition
Revenues	221,620	214,722	172,811
Integrated marketing
Revenue recognition
Revenues	6,639	1,342	133,599
Online/offline events
Revenue recognition
Revenues	15,475	32,127	26,992
Consulting
Revenue recognition
Revenues	43,200	36,867	32,622
Advertisement agent services
Revenue recognition
Revenues	7,326	3,696
Enterprise value-added services
Revenue recognition
Revenues	72,640	74,032	193,213
Institutional investor subscription services
Revenue recognition
Revenues	27,095	25,490	16,036
Enterprise subscription services
Revenue recognition
Revenues	423	94	361
Individual subscription services
Revenue recognition
Revenues	719	2,441	4,343
Subscription services
Revenue recognition
Revenues	¥ 28,237	¥ 28,025	¥ 20,740

Significant Accounting Policies - Sales and marketing expenses, Employee Benefits, Government grant, Segment Reporting and Statutory Reserves (Details) ¥ in Thousands	12 Months Ended
	Dec. 31, 2022 CNY (¥) segment	Dec. 31, 2021 CNY (¥)	Dec. 31, 2020 CNY (¥)
Employee benefits
Employee social security and welfare benefits	¥ 43,960	¥ 36,410	¥ 21,180
Segment Reporting
Number of reportable segments \| segment	1
Statutory Reserves
Percentage of general reserve fund, annual after-tax profits	10.00%
Maximum percentage of general reserve fund, registered capital	50.00%
Percentage of statutory surplus fund, annual after-tax profits	10.00%
Maximum percentage of statutory surplus fund, registered capital	50.00%
Profit appropriation to reserve funds	¥ 550	300	660
Government grant	3,447	3,304	10,103
Sales and marketing expenses
Sales and marketing expenses
Total advertising expenses	¥ 4,800	¥ 7,270	¥ 6,340

Concentration and Risks (Details)	12 Months Ended
Concentration and Risks (Details)	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Revenues \| Customer risk \| Customer A
Concentration Risk [Line Items]
Concentration risk (as a percent)	17.00%
Revenues \| Customer risk \| Customer B
Concentration Risk [Line Items]
Concentration risk (as a percent)			32.00%
Revenues \| Customer risk \| Customer C
Concentration Risk [Line Items]
Concentration risk (as a percent)	12.00%
Accounts receivable \| Customer risk \| Customer B
Concentration Risk [Line Items]
Concentration risk (as a percent)	67.00%	55.00%
Costs and expenses \| Supplier risk \| Supplier D
Concentration Risk [Line Items]
Concentration risk (as a percent)			22.00%
Cash & cash equivalents, restricted cash and short-term investments \| Credit risk \| Bank E
Concentration Risk [Line Items]
Concentration risk (as a percent)	74.00%	81.00%
Cash & cash equivalents, restricted cash and short-term investments \| Credit risk \| Bank F
Concentration Risk [Line Items]
Concentration risk (as a percent)	25.00%	16.00%

Accounts Receivable, net - Summary (Details) - CNY (¥) ¥ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Accounts receivable	¥ 280,911	¥ 302,200
Less: allowance for credit losses	(83,383)	(122,039)
Accounts receivable, net	197,528	180,161
Advertisement agent services
Accounts receivable	¥ 158,100	¥ 129,400	¥ 0
Minimum
Terms of accounts receivable	90 days
Maximum
Terms of accounts receivable	270 days

Accounts Receivable, net - Allowance for doubtful accounts (Details) - CNY (¥) ¥ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Movements in the allowance for doubtful accounts
Balance at beginning of the year	¥ (122,039)	¥ (124,204)	¥ (11,413)
Reversal/(addition) of allowance for credit losses, net	30,192	(8,681)	(125,563)
Write-offs	8,464	10,846	12,772
Balance at end of the year	(83,383)	¥ (122,039)	¥ (124,204)
Collection of receivables	¥ 33,300

Prepayments and Other Current Assets (Details) - CNY (¥) ¥ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Prepayments and Other Current Assets
Deposits	¥ 5,792	¥ 5,758
Prepayments of IT services	1,318	907
Prepayments of procurement costs	8,061	32,842
Others	988	3,105
Total	¥ 16,159	¥ 42,612

Property and Equipment, net (Details) - CNY (¥) ¥ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Property and equipment, net
Total	¥ 13,287	¥ 25,228
Less: accumulated depreciation	(10,859)	(14,082)
Less: impairment		(7,987)
Property and equipment, net	2,428	3,159
Depreciation expense	1,772	2,563	¥ 5,549
Electronic equipment and computers
Property and equipment, net
Total	5,312	17,532
Office furniture and equipment
Property and equipment, net
Total	2,943	2,725
Leasehold improvement
Property and equipment, net
Total	¥ 5,032	¥ 4,971

Long-term investments - Long-term investments (Details) - CNY (¥) ¥ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Long-term investments
Equity investments accounted for using the measurement alternative	¥ 58,464	¥ 30,000
Equity investments accounted for using the equity method	12,423	11,442
Investments accounted for at fair value	66,470
Total	137,357	41,442
Beijing Sharetimes Technology Co., Ltd.
Long-term investments
Equity investments accounted for using the measurement alternative	¥ 48,500	¥ 30,000

Long-term investments (Details) ¥ in Thousands				12 Months Ended
Long-term investments (Details) ¥ in Thousands	May 31, 2022 CNY (¥)	Mar. 31, 2022 CNY (¥) item	Mar. 31, 2021 CNY (¥) item	Dec. 31, 2022 CNY (¥)	Dec. 31, 2021 CNY (¥)	Dec. 31, 2020 CNY (¥)
Equity method investments
Impairment of long-term investments				¥ 0	¥ 0	¥ 0
Carrying value of equity method investments				12,423	11,442
Share of loss from equity method investments				(51)	5,473	23,502
Carrying value of the equity investment				58,464	30,000
Fair value of equity interests				66,470
Long-term investment income/(loss), net
Equity method investments
Re-measurement gain of equity investments				18,500	0
Loss from change in fair value				2,500
36Kr Global Holding (HK) Limited
Equity method investments
Share of loss from equity method investments				100	5,500	¥ 23,500
Beijing Sharetimes Technology Co., Ltd.
Equity method investments
Re-measurement gain of equity investments	¥ 18,500
Percentage of investment held			1.64%
Number of investors \| item			3
Purchase of short-term investments			¥ 30,000
Carrying value of the equity investment				¥ 48,500	¥ 30,000
Hangzhou Jialin
Equity method investments
Percentage of investment held		7.273%
Number of investors \| item		1
Percentage of equity interest transferred as consideration for investment		100
Fair value of equity interests		¥ 40,000
Gain arising from such investment and disposal		¥ 38,000

Taxes Payable (Details) - CNY (¥) ¥ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Taxes Payable
VAT payable	¥ 9,787	¥ 12,060
Enterprise income taxes payable	274	80
Withholding individual income taxes for employees	88	121
Others	725	575
Total	¥ 10,874	¥ 12,836

Accrued Liabilities and Other Payables (Details) - CNY (¥) ¥ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Accrued Liabilities and Other Payables
Accrued professional fees	¥ 10,552	¥ 11,438
Accrued promotion fees	10,829	350
Accrued office rental expense	769	177
Accrued employee welfare expense, meal and travel expense	362	1,579
Guarantee deposits	280	330
Withholding employees' social insurance and housing fund	1,289	1,140
Others	3,525	2,487
Total	¥ 27,606	¥ 17,501

Leases - non-cancelable operating lease agreement (Details) - CNY (¥) ¥ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Supplemental information related to operating leases
Operating lease right-of-use assets, net	¥ 30,911	¥ 13,818
Operating lease liabilities-current	(31,293)	(16,302)
Operating lease liabilities-non-current	(15,093)	(586)
Total operating lease liabilities	¥ (46,386)	¥ (16,888)
Weighted average remaining lease term	1 year 4 months 2 days	1 year 1 month 2 days
Weighted average discount rate	4.75%	4.75%

Leases - operating leases (Details) - CNY (¥) ¥ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Lease cost
Operating lease cost	¥ 14,948	¥ 15,481
Short-term lease cost	941	572
Total	¥ 15,889	¥ 16,053

Leases - supplemental cash flow information (Details) - CNY (¥) ¥ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Leases
Cash payments for operating leases	¥ 1,201	¥ 12,604
Right-of-use assets obtained in exchange for lease obligations	¥ 30,699	¥ 1,971

Leases - maturity of operating lease liabilities (Details) - CNY (¥) ¥ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Maturity of operating lease liabilities under the Group's non-cancelable operating leases
2023	¥ 31,748
2024	15,464
2025	598
Total lease payment	47,810
Less: interest	1,424
Present value of operating lease liabilities	¥ 46,386	¥ 16,888

Ordinary Shares (Details) - USD ($) $ / shares in Units, $ in Thousands	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2018
Ordinary Shares
Authorized share capital				$ 50,000
Authorized share capital (in shares)				500,000,000
Par value (in US dollar per share)	$ 0.0001	$ 0.0001		$ 0.0001
Shares issued (in shares)				1
Number of shares issued under share-based payment arrangement	27,507,989	27,507,989	36,281,400
Class A ordinary shares
Ordinary Shares
Par value (in US dollar per share)	$ 0.0001	$ 0.0001
Ordinary shares, shares issued (in shares)	907,346,745	907,346,745
Ordinary shares, shares outstanding (in shares)	895,814,195	893,706,595
Class A ordinary shares \| 2019 Incentive Plan
Ordinary Shares
Number of shares of common stock outstanding, excluding shares issued to the depositary bank for bulk issuance of ADSs reserved	878,385,770	876,278,170
Ordinary shares issued to the depositary bank for bulk issuance of ADSs	17,428,425	17,428,425
Class B ordinary shares
Ordinary Shares
Par value (in US dollar per share)	$ 0.0001	$ 0.0001
Ordinary shares, shares issued (in shares)	96,082,700	96,082,700
Ordinary shares, shares outstanding (in shares)	96,082,700	96,082,700

Share repurchase program (Details) $ / shares in Units, ¥ in Millions, $ in Millions	12 Months Ended
	Dec. 31, 2021 CNY (¥) shares	Dec. 31, 2021 USD ($) $ / shares shares	Dec. 31, 2020 CNY (¥) shares	Dec. 31, 2020 USD ($) $ / shares shares	May 06, 2020 shares
Equity, Class of Treasury Stock [Line Items]
Number of shares repurchased	6,646,700	6,646,700	12,996,125	12,996,125
ADS
Equity, Class of Treasury Stock [Line Items]
Number of shares authorized to repurchase					1,000,000
Number of shares repurchased	265,868	265,868	519,845	519,845
Payments for repurchase of shares	¥ 5.8	$ 0.9	¥ 11.7	$ 1.7
Weighted average price \| $ / shares		$ 3.3		$ 3.3

Income Taxes - Income tax rates (Details)	12 Months Ended
Income Taxes - Income tax rates (Details)	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Income taxes
Income tax rate	25.00%	25.00%	25.00%
Hong Kong
Income taxes
Income tax rate	16.50%
Hong Kong \| first HK$2 million
Income taxes
Income tax rate	8.25%
Hong Kong \| in excess of HK$2 million
Income taxes
Income tax rate	16.50%
PRC
Income taxes
Enterprise income tax rate	25.00%
Preferential tax rate as High and New Technology Enterprises	15.00%

Income Taxes - Composition of income tax (Details) - CNY (¥) ¥ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Composition of income tax
Current income tax expense	¥ 361	¥ 155	¥ 373
Deferred taxation		(53)	3,391
Total	¥ 361	¥ 102	¥ 3,764

- Definition

Amount of current income tax expense (benefit) and deferred income tax expense (benefit) pertaining to continuing operations.

+ References + Details

Income Taxes - Reconciliation of the differences between statutory income tax rate and the effective income tax rate (Details)	3 Months Ended	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Reconciliation
Statutory EIT rate		25.00%	25.00%	25.00%
Effect of non-deductible expenses		16.97%	(6.60%)	(5.78%)
Tax incentives for research and development expense		(49.14%)	9.00%	2.08%
Tax incentives for wages of disabled staff		(0.16%)	0.05%	0.02%
Preferential tax rate		(4.20%)	0.48%	1.15%
Change in valuation allowance		2.52%	(25.55%)	(23.19%)
Tax rate difference from statutory rate in other jurisdictions		10.44%	(2.49%)	(0.72%)
Others				0.07%
Effective income tax rate		1.43%	(0.11%)	(1.37%)
Percentage of tax incentives on research and development expenses	200.00%	175.00%	175.00%	175.00%

Income Taxes - Composition of deferred tax assets (Details) - CNY (¥) ¥ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Deferred tax assets-non-current:
Net operating tax losses carry forwards	¥ 51,541	¥ 46,031
Allowances of doubtful accounts	12,564	18,702
Investment loss	375
Property and equipment impairment		1,997
Others		299
Total deferred tax assets	64,480	67,029
Less: valuation allowance	(61,617)	(67,029)
Total deferred tax assets, net	2,863
Deferred tax liabilities-non-current:
Unrealized investment gain	(2,863)
Total deferred tax liabilities	(2,863)
Accumulated operating losses		¥ 234,000
Accumulated operating losses expire in 2024	1,000
Accumulated operating losses expire in 2025	55,000
Accumulated operating losses expire in 2026	55,000
Accumulated operating losses expire after 2026	¥ 187,000
HNTE
Deferred tax liabilities-non-current:
Operating loss carryforward period before legislative release in 2018	5 years
Operating loss carryforward period after legislative release in 2018	10 years

Income Taxes - Withholding income tax (Details)	12 Months Ended
Income Taxes - Withholding income tax (Details)	Dec. 31, 2022
Outside of China
Income taxes
Withholding income tax rate on dividends distributed by a FIE	10.00%
Minimum \| Outside of China
Income taxes
Percentage of shares owned by foreign investors	25.00%
Minimum \| Hong Kong
Income taxes
Withholding income tax rate on dividends distributed by a FIE	5.00%

Share-based Compensation - 2019 Incentive Plan (Details) ¥ / shares in Units, $ / shares in Units, ¥ in Thousands	1 Months Ended		12 Months Ended
	Sep. 30, 2019 CNY (¥) shares	Sep. 30, 2019 $ / shares shares	Dec. 31, 2022 CNY (¥) ¥ / shares shares	Dec. 31, 2022 CNY (¥) $ / shares shares	Dec. 31, 2021 CNY (¥) ¥ / shares shares	Dec. 31, 2021 USD ($) $ / shares	Dec. 31, 2020 CNY (¥) ¥ / shares shares	Dec. 31, 2020 USD ($) $ / shares	Dec. 31, 2019 USD ($) $ / shares shares	Dec. 31, 2022 USD ($) shares	Jun. 30, 2021 shares
2019 Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares authorized under the plan (in shares)	137,186,000	137,186,000
Incremental compensation cost \| ¥	¥ 0
Assumptions
Expected volatility			51.97%				50.22%
Contractual term (in year)			10 years		10 years		10 years
Risk-free interest rate			3.57%				1.66%
Number of shares
Beginning balance			94,830,430		88,240,084		126,402,925
Granted during the year			3,167,881		32,765,413		5,125,000
Exercised during the year			(2,107,600)		(18,031,675)		(36,613,500)
Forfeited / Cancelled during the year			(1,861,733)		(8,143,392)		(6,674,341)
Ending balance			94,028,978		94,830,430		88,240,084		126,402,925
Exercisable at the end			64,686,080	64,686,080						64,686,080
Weighted average exercise price US$/Share
Outstanding at beginning of period \| $ / shares				$ 0.0001		$ 0.0001		$ 0.0001
Granted during the year \| $ / shares				0.0001		0.0001		0.0001
Exercised during the year \| $ / shares				0.0001		0.0001		0.0001
Forfeited during the year \| $ / shares				0.0001		0.0001		0.0001
Outstanding at end of period \| $ / shares		$ 0.0001		$ 0.0001		$ 0.0001		$ 0.0001	$ 0.0001
Aggregate intrinsic value
Aggregate intrinsic value US$ \| $						$ 4,324,268		$ 9,847,593	$ 37,352,064	$ 3,881,516
Weighted average remaining contractual years
Weighted average remaining contractual years			7 years 6 months 10 days		8 years 5 months 8 days		8 years 9 months 7 days		9 years 8 months 4 days
Unrecognized share-based compensation expenses, recognition period			11 months 1 day
Weighted average grant date fair value of share options \| ¥ / shares			¥ 0.26		¥ 0.54		¥ 0.78
Share-based compensation expenses recognized for share options \| ¥			¥ 12,380		¥ 15,020		¥ 39,280
Unrecognized share-based compensation expenses \| ¥			¥ 9,270	$ 9,270
2019 Incentive Plan \| Minimum
Assumptions
Expected volatility					49.29%
Risk-free interest rate					1.38%
2019 Incentive Plan \| Maximum
Assumptions
Expected volatility					50.47%
Risk-free interest rate					1.45%
2019 Incentive Plan \| Class A ordinary shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares authorized under the plan (in shares)			11,404,247	11,404,247						11,404,247
2014 and 2016 Incentive Plan
Number of shares
Forfeited / Cancelled during the year	(91,548,120)
Updated Incentive Plan 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares authorized under the plan (in shares)											162,186,000
Employee options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period (in years)			4 years
Expiration period (in years)			10 years
Replacement Share Options \| 2019 Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of replaced share options			0		7,475,213
Certain Directors And Senior Management \| 2019 Incentive Plan
Number of shares
Granted during the year			3,167,881		32,765,413		5,125,000

Basic and Diluted Net Income/(Loss) Per Share - Net loss per share in accordance with ASC 260 (Details) - CNY (¥) ¥ / shares in Units, ¥ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Net income/(loss) per ordinary share-basic: Numerator:
Net income/(loss) attributable to 36Kr Holdings Inc	¥ 22,637	¥ (90,609)	¥ (279,342)
Net loss/(income) attributable to non-controlling interests	(694)	1,038	(889)
Net income/(loss) attributable to ordinary shareholders of 36Kr Holdings Inc.-basic	¥ 21,943	¥ (89,571)	¥ (280,231)
Net income/(loss) per ordinary share-basic: Denominator:
Denominator used in computing net loss per share - basic (in shares)	1,034,547,219	1,025,068,349	1,019,316,944
Weighted average number of ordinary shares outstanding	¥ 0.021	¥ (0.087)	¥ (0.275)
Net income/(loss) per ordinary share-diluted: Numerator:
Net income/(loss) attributable to ordinary shareholders of 36Kr Holdings Inc.-basic	¥ 21,943	¥ (89,571)	¥ (280,231)
Net income/(loss) attributable to ordinary shareholders - diluted	¥ 21,943	¥ (89,571)	¥ (280,231)
Net income/(loss) per ordinary share-diluted: Denominator:
Denominator used in computing net loss per share - basic (in shares)	1,034,547,219	1,025,068,349	1,019,316,944
Denominator used in computing net loss per share - diluted ((in shares)	1,034,547,219	1,025,068,349	1,019,316,944
Net loss per ordinary share-diluted (in CNY per share)	¥ 0.021	¥ (0.087)	¥ (0.275)

Basic and Diluted Net Income/(Loss) Per Share - Antidilutive Securities (Details) - shares	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Basic and Diluted Net Income/(Loss) Per Share
Antidilutive securities, (in shares)	0	0	0

Related Party Transactions (Details) - CNY (¥) ¥ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Related Party Transactions
Amounts due to related parties	¥ 312	¥ 1,328
Amount due from inter-company entities	858	3,630
Venture Glory
Related Party Transactions
Revenue from transactions with related parties	0	1,700	¥ 800
Amount due from inter-company entities	1,300	1,300
Shanghai Xuanke
Related Party Transactions
Purchases from related party	300	1,100
Amounts due to related parties	20,000	1,200
Amount due from inter-company entities		2,000
Interest income from related party	¥ 3	47
Short term loan offered to related party		¥ 2,000

- Definition

The aggregate amount of receivables to be collected from related parties where one party can exercise control or significant influence over another party; including affiliates, owners or officers and their immediate families, pension trusts, and so forth, at the financial statement date. which are usually due within one year (or one business cycle).

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(4)(iii)(C))
-URI https://asc.fasb.org/extlink&oid=126975872&loc=SL124442552-122756

Reference 2: http://www.xbrl.org/2003/role/exampleRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section 45
-Paragraph 1
-Subparagraph (d)
-URI https://asc.fasb.org/extlink&oid=124098289&loc=d3e6676-107765

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(4)(iv))
-URI https://asc.fasb.org/extlink&oid=126975872&loc=SL124442552-122756

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(4)(iv))
-URI https://asc.fasb.org/extlink&oid=126975872&loc=SL124442526-122756

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(5))
-URI https://asc.fasb.org/extlink&oid=126975872&loc=SL124442552-122756

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(4)(iii)(B))
-URI https://asc.fasb.org/extlink&oid=126975872&loc=SL124442526-122756

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 850
-SubTopic 10
-Section 50
-Paragraph 1
-Subparagraph (d)
-URI https://asc.fasb.org/extlink&oid=6457730&loc=d3e39549-107864

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02(3)(a)(2))
-URI https://asc.fasb.org/extlink&oid=120391452&loc=d3e13212-122682

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(5))
-URI https://asc.fasb.org/extlink&oid=126975872&loc=SL124442526-122756

Reference 10: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(k)(1))
-URI https://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690

+ Details

- Definition

Carrying amount as of the balance sheet date of obligations due all related parties. For classified balance sheets, represents the current portion of such liabilities (due within one year or within the normal operating cycle if longer).

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(4)(iii)(C))
-URI https://asc.fasb.org/extlink&oid=126975872&loc=SL124442552-122756

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(5))
-URI https://asc.fasb.org/extlink&oid=126975872&loc=SL124442552-122756

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 850
-SubTopic 10
-Section 50
-Paragraph 1
-Subparagraph (d)
-URI https://asc.fasb.org/extlink&oid=6457730&loc=d3e39549-107864

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(4)(iv))
-URI https://asc.fasb.org/extlink&oid=126975872&loc=SL124442526-122756

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(4)(iii)(B))
-URI https://asc.fasb.org/extlink&oid=126975872&loc=SL124442526-122756

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(5))
-URI https://asc.fasb.org/extlink&oid=126975872&loc=SL124442526-122756

Reference 7: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02.19(a))
-URI https://asc.fasb.org/extlink&oid=120391452&loc=d3e13212-122682

Reference 8: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(k)(1))
-URI https://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(4)(iv))
-URI https://asc.fasb.org/extlink&oid=126975872&loc=SL124442552-122756

+ Details

- Definition

Amount of revenue, fees and commissions earned from transactions between (a) a parent company and its subsidiaries; (b) subsidiaries of a common parent; (c) an entity and trusts for the benefit of employees, for example, but not limited to, pension and profit-sharing trusts that are managed by or under the trusteeship of the entity's management; (d) an entity and its principal, owners, management, or members of their immediate families; and (e) affiliates.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(4)(iv))
-URI https://asc.fasb.org/extlink&oid=126975872&loc=SL124442552-122756

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 946
-SubTopic 220
-Section S99
-Paragraph 1
-Subparagraph (SX 210.6-07.1(c))
-URI https://asc.fasb.org/extlink&oid=120401555&loc=SL114874292-224272

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(4)(iii)(B))
-URI https://asc.fasb.org/extlink&oid=126975872&loc=SL124442526-122756

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(4)(iii)(C))
-URI https://asc.fasb.org/extlink&oid=126975872&loc=SL124442552-122756

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(5))
-URI https://asc.fasb.org/extlink&oid=126975872&loc=SL124442526-122756

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(5))
-URI https://asc.fasb.org/extlink&oid=126975872&loc=SL124442552-122756

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 10
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(4)(iv))
-URI https://asc.fasb.org/extlink&oid=126975872&loc=SL124442526-122756

Reference 8: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section S99
-Paragraph 2
-Subparagraph (SX 210.5-03.1(e))
-URI https://asc.fasb.org/extlink&oid=126953954&loc=SL114868664-224227

+ Details

Restricted Net Assets (Details) - CNY (¥) ¥ in Thousands	12 Months Ended
Restricted Net Assets (Details) - CNY (¥) ¥ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Restricted Net Assets
Appropriation of after-tax income to general reserve fund or statutory surplus reserve fund (as a percentage)	10.00%
Transfer of assets, restricted portion	¥ 161,680	¥ 134,030

Subsequent Event (Details) - Subsequent Event - Investment in Beijing Che Mai Technology Co., Ltd. ¥ in Millions	Feb. 28, 2023 CNY (¥) shares
Subsequent Event
Investment subscribed newly issued ordinary shares \| shares	332,507
Total consideration \| ¥	¥ 3.0
Investment ownership percentage	3.00%

Condensed Financial Information of the Company Condensed Balance Sheet (Details) - CNY (¥) ¥ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Current assets:
Cash and cash equivalents	¥ 142,511	¥ 96,965
Receivables due from related parties	858	3,630
Prepayments and other current assets	16,159	42,612
Non-current assets:
Total assets	571,371	501,735
Current liabilities:
Accrued liabilities and other payables	27,606	17,501
Total liabilities	225,987	194,470
Commitments and Contingencies (Note 18)
Shareholders' equity
Additional paid-in capital	2,061,491	2,049,448
Treasury stock (US$ 0.0001 par value; 16,201,618 shares and 14,094,018 shares as of December 31, 2021 and 2022, respectively)	(12,010)	(13,598)
Accumulated deficit	(1,706,209)	(1,728,152)
Accumulated other comprehensive loss	(5,860)	(8,987)
Total 36Kr Holdings Inc.'s shareholders' equity	338,106	299,405
Total liabilities and shareholders' equity	571,371	501,735
Class A ordinary shares
Shareholders' equity
Ordinary shares	628	628
Class B ordinary shares
Shareholders' equity
Ordinary shares	66	66
Parent company \| Reportable legal entities
Current assets:
Cash and cash equivalents	23,365	31,833
Amount due from inter-company entities	515	468
Receivables due from related parties	52	10
Prepayments and other current assets	107	180
Non-current assets:
Investments in subsidiaries, VIE and subsidiaries of VIE	333,418	285,624
Total assets	357,457	318,115
Current liabilities:
Amount due to inter-company entities	16,149	14,463
Accrued liabilities and other payables	3,202	4,247
Total liabilities	19,351	18,710
Commitments and Contingencies (Note 18)
Shareholders' equity
Additional paid-in capital	2,061,491	2,049,448
Treasury stock (US$ 0.0001 par value; 16,201,618 shares and 14,094,018 shares as of December 31, 2021 and 2022, respectively)	(12,010)	(13,598)
Accumulated deficit	(1,706,209)	(1,728,152)
Accumulated other comprehensive loss	(5,860)	(8,987)
Total 36Kr Holdings Inc.'s shareholders' equity	338,106	299,405
Total liabilities and shareholders' equity	357,457	318,115
Parent company \| Reportable legal entities \| Class A ordinary shares
Shareholders' equity
Ordinary shares	628	628
Parent company \| Reportable legal entities \| Class B ordinary shares
Shareholders' equity
Ordinary shares	¥ 66	¥ 66

Condensed Financial Information of the Company Condensed Balance Sheet (Parenthetical) (Details) - $ / shares	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2018
Condensed Balance Sheets
Ordinary shares, par value (in US dollar per share)	$ 0.0001	$ 0.0001	$ 0.0001
Treasury stock (in shares)	14,094,018	16,201,618
Class A ordinary shares
Condensed Balance Sheets
Ordinary shares, par value (in US dollar per share)	$ 0.0001	$ 0.0001
Ordinary shares, shares authorized (in shares)	4,903,917,300	4,903,917,300
Ordinary shares, shares issued (in shares)	907,346,745	907,346,745
Ordinary shares, shares outstanding (in shares)	895,814,195	893,706,595
Class B ordinary shares
Condensed Balance Sheets
Ordinary shares, par value (in US dollar per share)	$ 0.0001	$ 0.0001
Ordinary shares, shares authorized (in shares)	96,082,700	96,082,700
Ordinary shares, shares issued (in shares)	96,082,700	96,082,700
Ordinary shares, shares outstanding (in shares)	96,082,700	96,082,700
Parent company \| Reportable legal entities
Condensed Balance Sheets
Ordinary shares, par value (in US dollar per share)	$ 0.0001	$ 0.0001
Treasury stock (in shares)	14,094,018	16,201,618
Parent company \| Reportable legal entities \| Class A ordinary shares
Condensed Balance Sheets
Ordinary shares, par value (in US dollar per share)	$ 0.0001	$ 0.0001
Ordinary shares, shares authorized (in shares)	4,903,917,300	4,903,917,300
Ordinary shares, shares issued (in shares)	907,346,745	907,346,745
Ordinary shares, shares outstanding (in shares)	895,814,195	893,706,595
Parent company \| Reportable legal entities \| Class B ordinary shares
Condensed Balance Sheets
Ordinary shares, par value (in US dollar per share)	$ 0.0001	$ 0.0001
Ordinary shares, shares authorized (in shares)	96,082,700	96,082,700
Ordinary shares, shares issued (in shares)	96,082,700	96,082,700
Ordinary shares, shares outstanding (in shares)	96,082,700	96,082,700

Condensed Financial Information of the Company Condensed Statement of Operations and Comprehensive Income/(Loss) (Details) - CNY (¥) ¥ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Operating expenses:
Sales and marketing expenses	¥ (122,069)	¥ (143,887)	¥ (140,672)
General and administrative expenses	(52,072)	(90,636)	(212,411)
Total operating expenses	(229,186)	(282,041)	(392,710)
Loss from operations	(44,537)	(94,106)	(267,318)
Other income/(expenses):
Share of income/(loss) from subsidiaries, VIE and subsidiaries of VIE	51	(5,473)	(23,502)
Others, net	8,055	3,283	3,280
Income/(loss) before income tax	22,998	(90,507)	(275,578)
Income tax expense	361	102	3,764
Net income/(loss)	22,637	(90,609)	(279,342)
Net income /(loss) attributable to 36Kr Holdings Inc.'s ordinary shareholders	21,943	(89,571)	(280,231)
Parent company \| Reportable legal entities
Operating expenses:
Sales and marketing expenses		(282)	(55)
General and administrative expenses	(11,602)	(9,269)	(9,439)
Total operating expenses	(11,602)	(9,551)	(9,494)
Loss from operations	(11,602)	(9,551)	(9,494)
Other income/(expenses):
Share of income/(loss) from subsidiaries, VIE and subsidiaries of VIE	31,888	(80,559)	(272,297)
Interest income	368	64	983
Interest expense	(189)	(70)	(14)
Others, net	1,478	545	591
Income/(loss) before income tax	21,943	(89,571)	(280,231)
Net income/(loss)	21,943	(89,571)	(280,231)
Net income /(loss) attributable to 36Kr Holdings Inc.'s ordinary shareholders	¥ 21,943	¥ (89,571)	¥ (280,231)

Condensed Financial Information of the Company Condensed Statement of Cash Flows (Details) - CNY (¥) ¥ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Condensed Cash Flow Statements, Captions [Line Items]
Net cash used in operating activities	¥ (4,989)	¥ 194,961	¥ (17,125)
Net cash used in investing activities	43,311	(157,997)	(64,289)
Net cash provided by/(used in) financing activities	5,124	(23)	(32,837)
Effect of exchange rate changes on cash, cash equivalents and restricted cash held in foreign currencies	2,200	(822)	(2,780)
Net increase/(decrease) in cash, cash equivalents and restricted cash	45,646	36,119	(117,031)
Cash, cash equivalents and restricted cash at beginning of the year	96,965	60,846	177,877
Cash, cash equivalents and restricted cash at end of the year	142,611	96,965	60,846
Parent company \| Reportable legal entities
Condensed Cash Flow Statements, Captions [Line Items]
Net cash used in operating activities	(12,381)	(9,857)	(3,298)
Net cash used in investing activities			(77,536)
Net cash provided by/(used in) financing activities		(5,773)	(27,360)
Effect of exchange rate changes on cash, cash equivalents and restricted cash held in foreign currencies	3,913	(1,047)	(2,334)
Net increase/(decrease) in cash, cash equivalents and restricted cash	(8,468)	(16,677)	(110,528)
Cash, cash equivalents and restricted cash at beginning of the year	31,833	48,510	159,038
Cash, cash equivalents and restricted cash at end of the year	¥ 23,365	¥ 31,833	¥ 48,510

Condensed Financial Information of the Company information of the revision (Details) - CNY (¥) ¥ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Net cash used in investing activities	¥ 43,311	¥ (157,997)	¥ (64,289)
Net cash provided by financing activities	¥ 5,124	(23)	(32,837)
Parent company \| Reportable legal entities
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Net cash used in investing activities			(77,536)
Net cash provided by financing activities		¥ (5,773)	¥ (27,360)