First Quarter 2015 Highlights
-
Net revenues increased 43% year over year to
$96.3 million , exceeding the Company's guidance between$93 million and $96 million . -
Advertising and marketing revenues increased 53% year over year to
$79.2 million . -
Weibo Value Added Services ("Weibo VAS") revenues increased 9% year over year to
$17.1 million . -
Net loss attributable to
Weibo's ordinary shareholders decreased 94% year over year to$2.9 million , or$0.01 diluted net loss per share. -
Non-GAAP net income attributable to
Weibo's ordinary shareholders was$2.9 million , or non-GAAP diluted net income per share of$0.01 , compared to a non-GAAP net loss of$4.8 million for the same period last year. -
Non-GAAP adjusted EBITDA was
$6.9 million , compared to a non-GAAP adjusted EBITDA of negative$0.5 million for the same period last year. -
Monthly active users ("MAU") were 198 million for the month of
March 2015 , up 38% year over year. Mobile MAU was 86% of total MAU in March. Daily active users ("DAU") were 89 million on average for the month ofMarch 2015 , up 34% year over year.
"
First Quarter 2015 Financial Results
For the first quarter of 2015,
Costs and expenses for the first quarter of 2015 totaled
Loss from operations for the first quarter of 2015 was
Non-operating income for the first quarter of 2015 was
Net loss for the first quarter of 2015 was
As of
Business Outlook
For the second quarter of 2015,
Non-GAAP Measures
This release contains the following non-GAAP financial measures: non-GAAP costs and expenses, non-GAAP income (loss) from operations, non-GAAP net income (loss), non-GAAP diluted net income (loss) per share attributable to
The Company's non-GAAP financial measures exclude stock-based compensation, amortization of intangible assets net of tax, and change in fair value of investor option liability. In addition, non-GAAP adjusted EBITDA excludes depreciation expenses, interest income (expenses) and income tax expenses (benefits). The Company's management uses these non-GAAP financial measures in their financial and operating decision-making, because management believes these measures reflect the Company's ongoing operating performance in a manner that allows more meaningful period-to-period comparisons. The Company believes that these non-GAAP financial measures provide useful information to investors and others in the following ways: (i) in comparing the Company's current financial results with the Company's past financial results in a consistent manner, and (ii) in understanding and evaluating the Company's current operating performance and future prospects in the same manner as management does, if they so choose. The Company also believes that the non-GAAP financial measures provide useful information to both management and investors by excluding certain expenses, gains (losses) and other items (i) that are not expected to result in future cash payments or (ii) that are non-recurring in nature or may not be indicative of the Company's core operating results and business outlook.
Use of non-GAAP financial measures has limitations. The Company's non-GAAP financial measures do not include all income and expense items that affect the Company's operations. They may not be comparable to non-GAAP financial measures used by other companies. Accordingly, care should be exercised in understanding how the Company defines its non-GAAP financial measures. Reconciliations of the Company's non-GAAP measures to the nearest comparable GAAP measures are set forth in the section below titled "Unaudited Reconciliation of GAAP and Non-GAAP Measures."
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Safe Harbor Statement
This press release contains forward-looking statements that relate to, among other things,
WEIBO CORPORATION | |||
CONDENSED COMBINED AND CONSOLIDATED STATEMENTS OF OPERATIONS | |||
(U.S. Dollars in thousands, except per share data) | |||
(Unaudited) | |||
Three months ended | |||
March 31, | December 31, | ||
2015 | 2014 | 2014 | |
Net revenues: | |||
Advertising and marketing | $ 79,160 | $ 51,853 | $ 87,973 |
Weibo VAS | 17,130 | 15,657 | 17,239 |
Total net revenues | 96,290 | 67,510 | 105,212 |
Costs and Expenses: | |||
Cost of revenues (a) | 28,925 | 17,443 | 25,786 |
Sales and marketing (a) | 31,177 | 23,849 | 34,045 |
Product development (a) | 34,328 | 28,808 | 33,112 |
General and administrative (a) | 6,169 | 5,472 | 7,397 |
Total costs and expenses | 100,599 | 75,572 | 100,340 |
Income (loss) from operations | (4,309) | (8,062) | 4,872 |
Non-operating income (loss): | |||
Change in fair value of investor option liability | -- | (40,188) | -- |
Interest and other income (expenses), net | 1,459 | 297 | 3,017 |
1,459 | (39,891) | 3,017 | |
Income (loss) before income tax expenses | (2,850) | (47,953) | 7,889 |
Income tax (expenses) benefits | 5 | 576 | (2,877) |
Net income (loss) | (2,845) | (47,377) | 5,012 |
Less: Net income (loss) attributable to noncontrolling interest | 49 | -- | 421 |
Net income (loss) attributable to Weibo's ordinary shareholders | $ (2,894) | $ (47,377) | $ 4,591 |
Basic net income (loss) per share attributable to Weibo's ordinary shareholders | $ (0.01) | $ (0.31) | $ 0.02 |
Diluted net income (loss) per share attributable to Weibo's ordinary shareholders | $ (0.01) | $ (0.31) | $ 0.02 |
Shares used in computing basic | |||
net income (loss) per share attributable to Weibo's ordinary shareholders | 204,985 | 150,596 | 202,844 |
Shares used in computing diluted | |||
net income (loss) per share attributable to Weibo's ordinary shareholders | 204,985 | 150,596 | 216,845 |
(a) Stock-based compensation in each category: | |||
Cost of revenues | $ 252 | $ 169 | $ 194 |
Sales and marketing | 694 | 257 | 368 |
Product development | 2,308 | 592 | 1,655 |
General and administrative | 2,293 | 1,171 | 2,290 |
WEIBO CORPORATION | ||
CONDENSED CONSOLIDATED BALANCE SHEETS | ||
(U.S. Dollars in thousands) | ||
(Unaudited) | ||
March 31, | December 31, | |
2015 | 2014 | |
Assets | ||
Current assets: | ||
Cash and cash equivalents | $ 284,372 | $ 283,462 |
Short-term investments | 168,169 | 166,414 |
Accounts receivable, net | 133,262 | 120,210 |
Amount due from SINA | 2,380 | -- |
Prepaid expenses and other current assets | 22,154 | 16,104 |
Current assets subtotal | 610,337 | 586,190 |
Property and equipment, net | 29,291 | 30,874 |
Goodwill and intangible assets, net | 14,812 | 15,191 |
Investments | 46,454 | 45,199 |
Other assets | 3,023 | 327 |
Total assets | $ 703,917 | $ 677,781 |
Liabilities and Shareholders' Equity | ||
Liabilities: | ||
Current liabilities: | ||
Accounts payable | $ 2,261 | $ 2,420 |
Accrued liabilities | 108,715 | 87,478 |
Deferred revenues | 21,162 | 20,957 |
Amount due to SINA | -- | 1,717 |
Current liabilities subtotal | 132,138 | 112,572 |
Long-term liabilities | 780 | 873 |
Total liabilities | 132,918 | 113,445 |
Shareholders' equity: | ||
Weibo ordinary shareholders' equity | 569,893 | 563,281 |
Non-controlling interest | 1,106 | 1,055 |
Total shareholders' equity | 570,999 | 564,336 |
Total liabilities and shareholders' equity | $ 703,917 | $ 677,781 |
WEIBO CORPORATION | ||||||||||||
RECONCILIATION OF GAAP AND NON-GAAP FINANCIAL MEASURES | ||||||||||||
(U.S. Dollars in thousands, except per share data) | ||||||||||||
(Unaudited) | ||||||||||||
Three months ended | ||||||||||||
March 31, 2015 | March 31, 2014 | December 31, 2014 | ||||||||||
Non-GAAP | Non-GAAP | Non-GAAP | ||||||||||
Non-GAAP Results: | Actual | Adjustments | Results | Actual | Adjustments | Results | Actual | Adjustments | Results | |||
Advertising and marketing | $ 79,160 | $ 79,160 | $ 51,853 | $ 51,853 | $ 87,973 | $ 87,973 | ||||||
Weibo VAS | 17,130 | 17,130 | 15,657 | 15,657 | 17,239 | 17,239 | ||||||
Net revenues | $ 96,290 | $ 96,290 | $ 67,510 | $ 67,510 | $ 105,212 | $ 105,212 | ||||||
(5,547) | (a) | (2,189) | (a) | (4,507) | (a) | |||||||
(371) | (b) | (280) | (b) | (381) | (b) | |||||||
Total costs and expenses | $ 100,599 | $ (5,918) | $ 94,681 | $ 75,572 | $ (2,469) | $ 73,103 | $ 100,340 | $ (4,888) | $ 95,452 | |||
5,547 | (a) | 2,189 | (a) | 4,507 | (a) | |||||||
371 | (b) | 280 | (b) | 381 | (b) | |||||||
Income (loss) from operations | $ (4,309) | $ 5,918 | $ 1,609 | $ (8,062) | $ 2,469 | $ (5,593) | $ 4,872 | $ 4,888 | $ 9,760 | |||
2,189 | (a) | |||||||||||
5,547 | (a) | 191 | (b) | 4,507 | (a) | |||||||
269 | (b) | 40,188 | (c) | 275 | (b) | |||||||
Net income (loss) attributable to Weibo's ordinary shareholders | $ (2,894) | $ 5,816 | $ 2,922 | $ (47,377) | $ 42,568 | $ (4,809) | $ 4,591 | $ 4,782 | $ 9,373 | |||
Diluted net income (loss) per share attributable to Weibo's ordinary shareholders | $ (0.01) | $ 0.01 | $ (0.31) | $ (0.03) | $ 0.02 | $ 0.04 | ||||||
Shares used in computing diluted net income (loss) per share attributable to Weibo's ordinary shareholders | 204,985 | 11,488 | (d) | 216,473 | 150,596 | -- | 150,596 | 216,845 | -- | 216,845 | ||
Non-GAAP adjusted EBITDA: | ||||||||||||
Non-GAAP net income (loss) | $ 2,922 | $ (4,809) | $ 9,373 | |||||||||
Depreciation expenses | 5,259 | 5,134 | 5,647 | |||||||||
Interest income, net | (1,380) | (347) | (1,764) | |||||||||
Income tax expenses (benefits) | 88 | (487) | 2,971 | |||||||||
Non-GAAP adjusted EBITDA | $ 6,889 | $ (509) | $ 16,227 | |||||||||
(a) To adjust stock-based compensation. | ||||||||||||
(b) To adjust amortization of intangible assets and tax provision on amortization of acquired intangible assets. | ||||||||||||
(c) To adjust the change in fair value of investor option liability. | ||||||||||||
(d) To adjust the number of shares used in computing diluted net income per share from diluted net loss per share. |
WEIBO CORPORATION | |||
ADDITIONAL INFORMATION | |||
(U.S. Dollars in thousands) | |||
(Unaudited) | |||
Three months ended | |||
March 31, | December 31, | ||
2015 | 2014 | 2014 | |
Net revenues | |||
Advertising and marketing revenues: | |||
Other than Alibaba | $ 44,667 | $ 31,992 | $ 49,957 |
Alibaba | 34,493 | 19,861 | 38,016 |
Subtotal | 79,160 | 51,853 | 87,973 |
Weibo VAS | 17,130 | 15,657 | 17,239 |
$ 96,290 | $ 67,510 | $ 105,212 |
CONTACT: Investor RelationsWeibo Corporation Phone: +86 10 5898-3231 Email: ir@staff.weibo.com