BEIJING, Nov. 18, 2014 /PRNewswire/ -- China Digital TV
Holding Co., Ltd. (NYSE: STV) ("China Digital TV" or the
"Company"), the leading provider of conditional access ("CA")
systems and comprehensive services to China's expanding digital television
market, today announced its unaudited financial results for the
third quarter ended September 30,
2014.
Highlights for the Third Quarter
2014
- Net revenues in the third quarter of 2014 were US$17.0 million, representing a 26.6% decrease
from the same period in 2013 and a 1.1% decrease from the second
quarter of 2014.
- China Digital TV shipped approximately 3.35 million smart cards
in the third quarter of 2014, compared to 4.76 million in the same
period in 2013 and 3.55 million in the third quarter of 2014.
- Gross margin in the third quarter of 2014 was 75.5%, compared
to 74.0% in the same period in 2013 and 73.3% in the second quarter
of 2014.
- Diluted earnings per American depositary share, or ADS (one ADS
representing one ordinary share), in the third quarter of 2014 were
US$0.02, compared to US$0.08 in the same period in 2013 and
US$0.07 in the second quarter of
2014.
"During the third quarter of 2014, shipments of approximately
3.35 million smart cards came in slightly below our expectations,
as digital penetration increased," said Dr. Lu Zengxiang, China
Digital TV's acting chief executive officer and acting chief
financial officer. "Net revenues were still in line with guidance
due to an unexpected delivery of surface mounted chips and system
integrations overseas. In the domestic market, steady demand for
smart cards was driven by our major customers, including those in
Jiangxi, Shandong, Guangdong, Sichuan and Jiangsu provinces."
Dr. Lu continued, "In newer market segments related to cable TV,
we continue to push forward with our diversification strategy to
provide value-added services. This quarter, we reached an agreement
with multimedia company Shanghai Oriental Cable Network Co., Ltd.
to provide a cloud service platform capable of covering 5 million
cable TV subscribers. We also signed a contract with Jishi Media
Co., Ltd. to provide new broadcast platforms. Overseas, we won a
tender to supply 900,000 smart cards to CANTV, the leading
integrated telecommunication service provider in Venezuela, for use on CANTV's direct-to-home
platform, which covers the entire territory of Venezuela. We're pleased with our continuing
progress in developing markets."
Dr. Lu added, "We'll remain
focused on maximizing efficiency in the coming quarters and are
confident operating margins will improve as a result."
Third Quarter 2014
Results
(Note: Unless otherwise stated, all financial statement measures
stated in this press release are based on generally accepted
accounting principles in the United
States ("U.S. GAAP").)
In the third quarter of 2014, China Digital TV had net revenues
of US$17.0 million, a decrease of
26.6% from the third quarter of 2013 and a decrease of 1.1% from
the second quarter of 2014. The year-over-year decrease was
primarily due to a decrease in revenues from smart card sales. The
quarter-over-quarter decrease was principally due to decreases in
revenues from licensing income and smart card sales, which were
partially offset by increases in revenues from sales of other
products, such as surface mounted chips, as well as head-end system
integration.
In the third quarter of 2014, revenues from the Company's top
five customers accounted for 20.8% of total revenues, compared to
23.7% in the second quarter of 2014.
Revenue Breakdown
|
|
For the
three months ended
|
|
|
September
30,
|
|
June 30,
|
|
September
30,
|
|
|
2014
|
|
2014
|
|
2013
|
|
|
(in thousands of
U.S. dollars)
|
Products:
|
|
|
|
|
|
|
|
|
|
Smart
cards
|
|
$
|
14,382
|
|
$
|
14,990
|
|
$
|
21,315
|
Other
products
|
|
|
1,556
|
|
|
946
|
|
|
1,001
|
Subtotal
|
|
|
15,938
|
|
|
15,936
|
|
|
22,316
|
Services:
|
|
|
|
|
|
|
|
|
|
Head-end system
integration
|
|
|
713
|
|
|
255
|
|
|
286
|
Head-end system
development
|
|
|
208
|
|
|
350
|
|
|
235
|
Licensing
income
|
|
|
182
|
|
|
868
|
|
|
335
|
Royalty
income
|
|
|
126
|
|
|
4
|
|
|
279
|
Other
service
|
|
|
2
|
|
|
25
|
|
|
1
|
Subtotal
|
|
|
1,231
|
|
|
1,502
|
|
|
1,136
|
Total
revenues
|
|
$
|
17,169
|
|
$
|
17,438
|
|
$
|
23,452
|
Revenues from smart cards and other products were
US$15.9 million in the third quarter
of 2014, a decrease of 28.6% from the same period in 2013 and
relatively stable from the second quarter of 2014. The
year-over-year decrease was primarily due to a decrease in revenues
from smart card sales, which was partially offset by an increase in
revenues from sales of other products, such as surface mounted
chips. Revenues from smart cards and other products remained
relatively stable quarter over quarter, primarily due to an
increase in revenues from sales of other products, and a decrease
in revenues from smart card sales. Revenues from sales of smart
cards and other products accounted for 92.8% of total revenues in
the third quarter of 2014, compared to 91.4% in the preceding
quarter.
Revenues from services were US$1.2
million in the third quarter of 2014, an increase of 8.4%
from the same period in 2013 and a decrease of 18.0% from the
second quarter of 2014. The year-over-year increase was primarily
due to an increase in revenues from head-end system integration,
which was partially offset by decreases in licensing income and
royalty income. The quarter-over-quarter decrease was mainly due to
a decrease in revenue from licensing income, which was partially
offset by an increase in head-end system integration. Revenues from
services accounted for 7.2% of total revenues in the third quarter
of 2014, compared to 8.6% in the preceding quarter.
Gross profit in the third quarter of 2014 was
US$12.8 million, a decrease of 25.1%
from the same period in 2013 and an increase of 1.8% from the
second quarter of 2014. Gross margin, which is equal to
gross profit divided by net revenues, was 75.5% in the third
quarter of 2014, compared to 74.0% in the same period in 2013 and
73.3% in the second quarter of 2014. The year-over-year and
quarter-over-quarter increases were principally due to decreases in
cost of revenues. In the third quarter of 2013 and second quarter
of 2014, higher cost of revenues was mainly attributable to
inventory write-downs with respect to multimedia home entertainment
boxes and integrated chips respectively.
In the third quarter of 2014, the average selling price ("ASP")
of smart cards increased by 1.7% compared to the second quarter of
2014. In addition, the unit cost of smart cards increased by 5.5%
compared to the second quarter of 2014.
Operating expenses in the third quarter of 2014 were
US$10.5 million, a decrease of 6.3%
from the same period in 2013 and an increase of 12.3% from the
second quarter of 2014.
- Research and development expenses in the third quarter
of 2014 were US$4.7 million, a
decrease of 11.9% from the same period in 2013 and an increase of
13.5% from the second quarter of 2014. The year-over-year decrease
was primarily due to a decrease in project development expenses.
The quarter-over-quarter increase was mainly due to an increase in
personnel related expenses resulting from higher headcount.
- Selling and marketing expenses in the third quarter of
2014 were US$3.4 million, a decrease
of 4.5% from the same period in 2013 and an increase of 3.6% from
the second quarter of 2014. The year-over-year decrease was mainly
due to a decrease in marketing expenses. The quarter-over-quarter
increase was primarily due to an increase in marketing
expenses.
- General and administrative expenses in the third
quarter of 2014 were US$2.4 million,
an increase of 3.6% from the same period in 2013 and an increase of
24.3% from the second quarter of 2014. The year-over-year increase
was mainly due to an increase in consulting expenses, which was
partially offset by decreases in share-based compensation expenses
and allowance for doubtful accounts. The quarter-over-quarter
increase was primarily due to an increase in allowance for doubtful
accounts and consulting expenses. In the preceding quarter, a
portion of bad debt provisions was written back as related accounts
receivable had been received.
Income from operations in the third quarter of 2014 was
US$2.3 million, a 60.6% decrease from
the same period in 2013 and a 28.4% decrease from the second
quarter of 2014.
Operating margin, defined as income from operations
divided by net revenues, in the third quarter of 2014 was 13.7%,
compared to 25.6% in the same period in 2013 and 19.0% in the
second quarter of 2014.
Interest income in the third quarter of 2014
was US$0.1 million, a 73.8% decrease
from the same period in 2013 and a 58.7% decrease from the second
quarter of 2014.
Income tax expenses in the third quarter of 2014
were US$1.6 million, compared to
US$2.1 million in the same period of
2013 and US$0.3 million in the second
quarter of 2014. The year-over-year decrease was mainly due to a
decrease in taxable income and in income tax rate. The Company's
PRC operating subsidiary, Beijing Super TV Co., Ltd. ("Super TV")
accrued income tax expenses at a rate of 10% in the third quarter
of 2014, compared to 15% in the third quarter of 2013. In the
fourth quarter of 2013, Super TV was designated as a "key software
enterprise" for the tax years of 2013 and 2014 by the relevant PRC
government authorities and, as a result, was entitled to a
preferential income tax rate of 10% in each of those years. As
Super TV accrued income tax expenses at a rate of 15% in the first
three quarters of 2013, the accrued income tax expenses were
partially reversed in the fourth quarter of 2013. The
quarter-over-quarter increase was primarily due to the Company's
reorganization in the preceding quarter. In June 2014, the Company completed an internal
reorganization. As a result of the reorganization, income tax
expenses were reduced due to deductible investment losses arising
from the equity transfers under the reorganization.
Net loss attributable to
non-controlling interest
in the third quarter of 2014 was US$0.4
million, a decrease of 24.5% from the same period in 2013
and a decrease of 13.0% from the second quarter of 2014. The
year-over-year and quarter-over-quarter decreases were largely due
to decreases in net losses recorded by the Company's majority-owned
subsidiaries.
Net income attributable to holders of ordinary
shares in the third quarter of 2014 was US$1.5 million, a decrease of 68.4% from the same
period in 2013 and a decrease of 65.9% from the second quarter of
2014.
Non-GAAP net income attributable to holders of
ordinary shares, defined as net income excluding certain
non-cash expenses, such as share-based compensation expenses,
amortization of acquired intangible assets from business
acquisitions and equity method investments, in the third quarter of
2014 was US$1.7 million, a decrease
of 67.1% from the same period in 2013 and a decrease of 62.9% from
the second quarter of 2014. For more information on these non-GAAP
financial measures, please see the tables captioned
"Reconciliations of non-GAAP measures" set forth at the end of this
release.
Balance Sheet and Cash Flow
As of September 30, 2014, China
Digital TV had cash and cash equivalents and restricted cash
totaling US$55.5 million. In the
third quarter of 2014, cash flow generated from operations was
US$1.2 million.
Unaudited Additional Information
The Company sets forth at the end of this press release
unaudited additional information relating to the financial results
for its CA business, which consists of smart card products and
other related products, such as surface mounted chips as well as
related services; and other business, which consists of other
products, such as multimedia home entertainment boxes and cloud
computing, as well as related services. In the third quarter of
2014, revenues from the Company's CA business were US$16.8 million, accounting for 98.0% of total
revenues, and revenues from other business were US$0.3 million, accounting for 2.0% of total
revenues. Gross profit of the CA business in the third quarter of
2014 was US$12.8 million and gross
profit of other business in the third quarter of 2014 was
US$0.001 million.
Business Outlook
Based on information available as of November 18, 2014, China Digital TV expects smart
card shipment volumes in the fourth quarter of 2014 to be in the
range of 4.5 million to 5.0 million. Net revenues in the fourth
quarter of 2014 are expected to be in the range of US$22.3 million to US$24.4 million.
Conference Call Information
The Company will hold an earnings conference call at
7:00 p.m. on Tuesday, November 18, 2014, U.S. Eastern Time
(8:00 a.m. on Wednesday, November 19, 2014, Beijing/Hong Kong Time).
Conference Call Dial-in Information
United States Toll
Free:
|
+1-877-870-4263
|
International:
|
+1-412-317-0790
|
Hong Kong Toll
Free:
|
800-905-945
|
China Toll
Free:
|
400-120-1203
|
Passcode:
|
China Digital TV
Conference Call
|
Please dial-in 10 minutes before the call is scheduled to begin
and provide the passcode to join the call.
A replay of the call will be available for one week between
9:00 p.m. on November 18, 2014 and 9:00a.m. on November 25,
2014 U.S. Eastern Time.
Replay Dial-in Information
United
States:
|
+1-877-344-7529
|
International:
|
+1-412-317-0088
|
Conference ID:
|
10055855
|
In addition, a live and archived webcast of this conference call
will be accessible through the Investor Relations section of China
Digital TV's website at http://ir.chinadtv.cn.
Safe Harbor Statements
This announcement contains forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933, as amended,
and Section 21E of the Securities Exchange Act of 1934, as
amended. Such forward-looking statements are made under the
"safe harbor" provisions of the Private Securities Litigation
Reform Act of 1995.
These forward-looking statements can be identified by
terminology such as "will," "expects," "anticipates," "future,"
"intends," "plans," "believes," "estimates," "may," "should" and
similar expressions. Such forward-looking statements include,
without limitation, statements regarding the outlook for the fourth
quarter of 2014 and comments by management in this announcement
about trends in the CA systems, digital television, cable
television and related industries in the PRC and China Digital TV's
strategic and operational plans and future market positions. China
Digital TV may also make forward-looking statements in its periodic
reports filed with the Securities and Exchange Commission, in its
annual report to shareholders, in press releases and other written
materials and in oral statements made by its officers, directors or
employees to third parties. Statements that are not historical
facts, including statements about China Digital TV's beliefs and
expectations, are forward-looking statements. Forward-looking
statements involve inherent risks and uncertainties. A number of
factors could cause actual results to differ materially from
projections contained or implied in any forward-looking statement,
including but not limited to the following: competition in the CA
systems, digital television, cable television and related
industries in the PRC and the impact of such competition on prices,
our ability to implement our business strategies, changes in
technology, the progress of the television digitalization in the
PRC, the structure of the cable television industry or television
viewer preferences, changes in PRC laws, regulations or policies
with respect to the CA systems, digital television, cable
television and related industries, including the extent of non-PRC
companies' participation in such industries, and changes in
political, economic, legal and social conditions in the PRC,
including the government's policies with respect to economic
growth, foreign exchange and foreign investment.
Further information regarding these and other risks and
uncertainties is included in our annual report on Form 20-F and
other documents filed with the Securities and Exchange Commission.
China Digital TV does not assume any obligation to update any
forward-looking statements, which apply only as of the date of this
press release.
About China Digital TV
Founded in 2004, China Digital TV is the leading provider of CA
systems to China's expanding
digital television market. CA systems enable television network
operators to manage the delivery of customized content and services
to their subscribers. China Digital TV conducts substantially all
of its business through its PRC subsidiary, Beijing Super TV Co.,
Ltd., and its affiliate, Beijing Novel-Super Digital TV Technology
Co., Ltd., as well as subsidiaries of such affiliate.
For more information please visit the Investor Relations section
of China Digital TV's website at http://ir.chinadtv.cn. The
information contained in that website is not a part of this
announcement.
For investor and media inquiries, please contact:
In China:
Nan Hao
Investor Relations
Manager
Tel: +86-10-6297-1199 x 9780
Email: ir@chinadtv.cn
Brunswick
Group
Tel:
+86-10-5960-8600
Email: chinadigital@brunswickgroup.com
In the United
States:
Brunswick Group
Tel: +1-212-333 3810
E-mail: chinadigital@brunswickgroup.com
China Digital TV
Holding Co., Ltd.
|
Unaudited
Condensed Consolidated Statements of Comprehensive
Income
|
(in thousands of
U.S. dollars, except share and per share data )
|
|
|
|
|
For the three months ended
|
|
|
September
30,
|
|
June 30,
|
|
September
30,
|
|
2014
|
|
2014
|
|
2013
|
|
|
|
|
|
|
|
|
|
|
Revenues:
|
|
|
|
|
|
|
|
|
|
Products
|
|
$
|
15,938
|
|
$
|
15,936
|
|
$
|
22,316
|
Services
|
|
|
1,231
|
|
|
1,502
|
|
|
1,136
|
Total
revenues
|
|
|
17,169
|
|
|
17,438
|
|
|
23,452
|
Business and
sales related taxes
|
|
|
(205)
|
|
|
(279)
|
|
|
(339)
|
Net
revenues
|
|
|
16,964
|
|
|
17,159
|
|
|
23,113
|
|
|
|
|
|
|
|
|
|
|
Cost of
revenues:
|
|
|
|
|
|
|
|
|
|
Products
|
|
|
(3,276)
|
|
|
(3,656)
|
|
|
(4,927)
|
Services
|
|
|
(886)
|
|
|
(924)
|
|
|
(1,089)
|
Total cost of
revenues
|
|
|
(4,162)
|
|
|
(4,580)
|
|
|
(6,016)
|
Gross
profit
|
|
|
12,802
|
|
|
12,579
|
|
|
17,097
|
|
|
|
|
|
|
|
|
|
|
Operating
expenses:
|
|
|
|
|
|
|
|
|
|
Research and
development expenses
|
|
|
(4,677)
|
|
|
(4,121)
|
|
|
(5,309)
|
Selling and
marketing expenses
|
|
|
(3,368)
|
|
|
(3,250)
|
|
|
(3,528)
|
General and
administrative expenses
|
|
|
(2,428)
|
|
|
(1,953)
|
|
|
(2,343)
|
Total operating
expenses
|
|
|
(10,473)
|
|
|
(9,324)
|
|
|
(11,180)
|
|
|
|
|
|
|
|
|
|
|
Income from
operations
|
|
|
2,329
|
|
|
3,255
|
|
|
5,917
|
|
|
|
|
|
|
|
|
|
|
Interest
income
|
|
|
133
|
|
|
322
|
|
|
508
|
Other
income
|
|
|
158
|
|
|
713
|
|
|
4
|
Income before
income taxes
|
|
|
2,620
|
|
|
4,290
|
|
|
6,429
|
Income tax
(expenses)/benefits
|
|
|
|
|
|
|
|
|
|
Income
tax-current
|
|
|
(539)
|
|
|
(7,964)
|
|
|
(1,641)
|
Income
tax-deferred
|
|
|
(1,051)
|
|
|
7,700
|
|
|
(508)
|
Net income before net income from equity method
investments
|
|
|
1,030
|
|
|
4,026
|
|
|
4,280
|
Net income/(loss)
from equity method investments, net of income taxes
|
|
|
93
|
|
|
(60)
|
|
|
(29)
|
Net
income
|
|
|
1,123
|
|
|
3,966
|
|
|
4,251
|
Net loss attributable
to noncontrolling interest
|
|
|
376
|
|
|
432
|
|
|
498
|
Net income
attributable to holders of ordinary shares
|
|
$
|
1,499
|
|
$
|
4,398
|
|
$
|
4,749
|
|
|
|
|
|
|
|
|
|
|
Net income per
share attributable to holders of ordinary shares
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
|
0.03
|
|
$
|
0.07
|
|
$
|
0.08
|
Diluted
|
|
$
|
0.02
|
|
$
|
0.07
|
|
$
|
0.08
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
income
|
|
$
|
1,123
|
|
$
|
3,966
|
|
$
|
4,251
|
Other comprehensive
income/(loss), net of tax
|
|
|
|
|
|
|
|
|
|
Foreign
currency translation adjustment
|
|
|
778
|
|
|
(116)
|
|
|
189
|
Comprehensive
income
|
|
|
1,901
|
|
|
3,850
|
|
|
4,440
|
Comprehensive loss
attributable to noncontrolling interest
|
|
|
361
|
|
|
427
|
|
|
494
|
|
|
|
|
|
|
|
|
|
|
Comprehensive
income attributable to holders of ordinary shares
|
|
$
|
2,262
|
|
$
|
4,277
|
|
$
|
4,934
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
shares used in calculating net income per ordinary
share
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
59,410,254
|
|
|
59,291,789
|
|
|
59,110,789
|
Diluted
|
|
|
62,376,044
|
|
|
61,873,871
|
|
|
59,131,310
|
China Digital TV
Holding Co., Ltd.
|
Unaudited
Condensed Consolidated Balance Sheets
|
(in thousands of
U.S. dollars)
|
|
|
|
|
|
September
30,
|
|
December
31,
|
2014
|
2013
|
Assets
|
|
|
|
Current
assets:
|
|
|
|
Cash and
cash equivalents
|
$
|
55,375
|
|
$
|
79,085
|
Restricted cash
|
|
154
|
|
|
919
|
Notes
receivable
|
|
3,549
|
|
|
4,484
|
Accounts
receivable, net
|
|
41,716
|
|
|
45,905
|
Inventories, net
|
|
6,243
|
|
|
5,027
|
Prepaid
expenses and other current assets
|
|
6,999
|
|
|
4,032
|
Deferred
costs-current
|
|
606
|
|
|
141
|
Deferred
tax assets-current
|
|
3,284
|
|
|
2,546
|
Total current
assets
|
|
117,926
|
|
|
142,139
|
Long-term receivable
|
|
90
|
|
|
224
|
Property
and equipment, net
|
|
3,347
|
|
|
1,170
|
Intangible assets, net
|
|
464
|
|
|
6
|
Goodwill
|
|
1,417
|
|
|
563
|
Equity
method investments
|
|
2,600
|
|
|
3,551
|
Deferred
costs-non-current
|
|
438
|
|
|
214
|
Deferred
tax assets-non-current
|
|
829
|
|
|
939
|
Total
assets
|
|
127,111
|
|
|
148,806
|
|
|
|
|
|
|
|
LIABILITIES AND
EQUITY
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
Accounts
payable
|
|
3,339
|
|
|
2,207
|
Notes
payable
|
|
406
|
|
|
884
|
Accrued
expenses and other current liabilities
|
|
12,614
|
|
|
13,134
|
Dividend
payable
|
|
-
|
|
|
57
|
Deferred
revenue-current
|
|
5,990
|
|
|
6,542
|
Income
tax payable
|
|
2,758
|
|
|
997
|
Deferred
tax liabilities-current
|
|
2,469
|
|
|
8,222
|
Government subsidies-current
|
|
1,792
|
|
|
710
|
Total current
liabilities
|
|
29,368
|
|
|
32,753
|
Deferred
revenue-non-current
|
|
612
|
|
|
135
|
Government subsidies-non-current
|
|
4,436
|
|
|
4,946
|
Deferred
tax liabilities-non-current
|
|
116
|
|
|
-
|
Total
liabilities
|
|
34,532
|
|
|
37,834
|
|
|
|
|
|
|
EQUITY
|
|
|
|
|
|
China Digital TV
Holding Co., Ltd. shareholders'
equity:
|
|
|
|
|
|
Ordinary
shares
|
|
30
|
|
|
30
|
Additional paid-in capital
|
|
35,383
|
|
|
32,037
|
Statutory reserve
|
|
17,907
|
|
|
17,907
|
Retained
earnings
|
|
11,440
|
|
|
31,122
|
Accumulated other comprehensive income
|
|
26,550
|
|
|
28,940
|
Total China
Digital TV Holding Co., Ltd.
shareholders'
equity
|
|
91,310
|
|
|
110,036
|
Noncontrolling
interest
|
|
1,269
|
|
|
936
|
Total
equity
|
|
92,579
|
|
|
110,972
|
TOTAL LIABILITIES
AND EQUITY
|
$
|
127,111
|
|
$
|
148,806
|
Reconciliation of Non-GAAP Measures
Non-GAAP net income attributable to holders of ordinary shares
excludes certain non-cash expenses, such as share-based
compensation expenses, amortization of intangible assets acquired
from business acquisitions and equity method investments. The
Company believes that the non-GAAP net income provides meaningful
supplemental information regarding the Company's performance and
liquidity by excluding certain non-cash expenses that may not be
indicative of its operating performance from a cash flow
perspective. The Company believes that both management and
investors benefit from referring to this additional information in
assessing the Company's performance and when planning and
forecasting future periods.
|
|
For the three
months ended
|
|
|
September
30,
|
|
June 30,
|
|
September
30,
|
2014
|
2014
|
2013
|
|
|
(in U.S. dollars,
in thousands)
|
Net income
attributable to holders of ordinary shares -
GAAP
|
|
$
|
1,499
|
|
$
|
4,398
|
|
$
|
4,749
|
Share-based
compensation expenses
|
|
|
173
|
|
|
218
|
|
|
433
|
Amortization of
intangible assets from business acquisitions and equity method
investments
|
|
|
52
|
|
|
37
|
|
|
54
|
Net income
attributable to holders of ordinary shares-Non-GAAP
|
|
$
|
1,724
|
|
$
|
4,653
|
|
$
|
5,236
|
China Digital TV
Holding Co., Ltd.
|
Unaudited
Additional Information
|
(in
thousands of U.S. dollars )
|
|
|
|
|
|
For the three
months ended
|
|
|
|
September
30,
|
June 30,
|
September
30,
|
|
|
|
2014
|
2014
|
2013
|
|
Revenues:
|
|
|
|
|
|
|
|
|
CA
|
|
$
|
16,826
|
$
|
16,923
|
$
|
22,830
|
|
Others
|
|
|
343
|
|
515
|
|
622
|
|
Total
revenues
|
|
|
17,169
|
|
17,438
|
|
23,452
|
|
|
|
|
|
|
|
|
|
|
Business and sales
related taxes:
|
|
|
|
|
|
|
|
|
CA
|
|
|
(202)
|
|
(283)
|
|
(325)
|
|
Others
|
|
|
(3)
|
|
4
|
|
(14)
|
|
Total business and
sales related taxes
|
|
|
(205)
|
|
(279)
|
|
(339)
|
|
|
|
|
|
|
|
|
|
|
Net
revenues:
|
|
|
|
|
|
|
|
|
CA
|
|
|
16,624
|
|
16,640
|
|
22,505
|
|
Others
|
|
|
340
|
|
519
|
|
608
|
|
Total net
revenues
|
|
|
16,964
|
|
17,159
|
|
23,113
|
|
|
|
|
|
|
|
|
|
|
Cost of
revenues:
|
|
|
|
|
|
|
|
|
CA
|
|
|
(3,823)
|
|
(3,593)
|
|
(5,071)
|
|
Others
|
|
|
(339)
|
|
(987)
|
|
(945)
|
|
Total cost of
revenues
|
|
|
(4,162)
|
|
(4,580)
|
|
(6,016)
|
|
|
|
|
|
|
|
|
|
|
Gross profit
(loss):
|
|
|
|
|
|
|
|
|
CA
|
|
|
12,801
|
|
13,047
|
|
17,434
|
|
Others
|
|
|
1
|
|
(468)
|
|
(337)
|
|
Total gross
profit
|
|
|
12,802
|
|
12,579
|
|
17,097
|
|
|
|
|
|
|
|
|
|
|
Operating
expenses:
|
|
|
|
|
|
|
|
|
Research and
development expenses
|
|
|
|
|
|
|
|
|
CA
|
|
|
(1,829)
|
|
(1,987)
|
|
(2,628)
|
|
Others
|
|
|
(2,848)
|
|
(2,134)
|
|
(2,681)
|
|
Total research and
development expenses
|
|
|
(4,677)
|
|
(4,121)
|
|
(5,309)
|
|
|
|
|
|
|
|
|
|
|
Selling and marketing
expenses
|
|
|
|
|
|
|
|
|
CA
|
|
|
(1,203)
|
|
(1,230)
|
|
(1,673)
|
|
Others
|
|
|
(2,165)
|
|
(2,020)
|
|
(1,855)
|
|
Total selling and
marketing expenses
|
|
|
(3,368)
|
|
(3,250)
|
|
(3,528)
|
|
|
|
|
|
|
|
|
|
|
General and
administrative expenses
|
|
|
|
|
|
|
|
|
CA
|
|
|
(1,301)
|
|
(1,349)
|
|
(1,222)
|
|
Others
|
|
|
(1,127)
|
|
(604)
|
|
(1,121)
|
|
Total general and
administrative expenses
|
|
|
(2,428)
|
|
(1,953)
|
|
(2,343)
|
|
|
|
|
|
|
|
|
|
|
Total operating
expenses
|
|
|
(10,473)
|
|
(9,324)
|
|
(11,180)
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from
operations:
|
|
|
|
|
|
|
|
|
CA
|
|
|
8,468
|
|
8,481
|
|
11,911
|
|
Others
|
|
|
(6,139)
|
|
(5,226)
|
|
(5,994)
|
|
Income from
operations
|
|
$
|
2,329
|
$
|
3,255
|
$
|
5,917
|
|
|
|
|
|
|
|
|
|
|
SOURCE China Digital TV Holding Co., Ltd.