Second quarter revenue increased 28.5% year-over-year
Revenue from transaction services increased 50.2%
year-over-year
BEIJING, Aug. 22, 2018 /PRNewswire/ -- Bitauto Holdings
Limited ("Bitauto" or the "Company") (NYSE: BITA), a leading
provider of internet content & marketing services, and
transaction services for China's
fast-growing automotive industry, today announced its unaudited
financial results for the second quarter ended June 30, 2018[1] .
Bitauto Second Quarter 2018 Highlights
- Revenue in the second quarter of 2018 was RMB2.56 billion (US$387.5
million), a 28.5% increase from the corresponding period in
2017.
- Gross profit in the second quarter of 2018 was
RMB1.62 billion (US$245.3 million), a 17.7% increase from the
corresponding period in 2017.
- Income from operations in the second quarter of 2018 was
RMB107.0 million (US$16.2 million), compared to RMB12.8 million (US$1.9
million) in the corresponding period in 2017.
- Non-GAAP income from operations in the second quarter of
2018 was RMB429.1 million
(US$64.8 million), a 45.8% increase
from the corresponding period in 2017.
- Net income in the second quarter of 2018 was
RMB27.4 million (US$4.1 million), compared to a net loss of
RMB63.3 million (US$9.6 million) in the corresponding period in
2017.
- Non-GAAP net income in the second quarter of 2018 was
RMB353.7 million (US$53.5 million), a 53.4% increase from the
corresponding period in 2017.
- Basic and diluted net loss per ADS in the second quarter
of 2018 was RMB0.02 (US$0.00) and RMB0.05 (US$0.01),
respectively.
- Non-GAAP basic and diluted net income per ADS in the
second quarter of 2018 was RMB3.50
(US$0.53) and RMB3.22 (US$0.49),
respectively.
Mr. Andy Zhang, chief executive
officer of Bitauto, said, "We were pleased to deliver a set of
healthy results across our business lines in the second quarter of
2018, with total revenue growing 28.5% year-over-year to
RMB2.56 billion. In particular, our
transaction services revenue expanded rapidly with 50.2%
year-over-year growth to RMB1.27
billion. We also maintained solid momentum in our
advertising and subscription business, with 15.9% revenue growth
year-over-year to RMB1.07 billion,
driven by our ongoing revamping initiatives."
"In our advertising business, we deepened our collaboration with
key opinion leaders to develop customized content and services for
automakers, creating win-win-win connections between automakers,
self-media and Bitauto. In our subscription business, we continued
to optimize our business mix by converting more subscribers to our
premium service package. We also expanded our subscription
membership base by providing tailored services to China's vast number of unauthorized auto
dealers. In our transaction services business, Yixin posted
resilient results amid industry weakness, facilitating
approximately 103,000 financed automobile transactions, a 19%
increase from the corresponding period in 2017. In August, Yixin
entered into strategic collaborations with WeBank for loan
facilitation services. With five loan facilitation service partners
in place, we expect to further expand Yixin's third-party loan
facilitation services, which features strong scalability and an
attractive margin profile. In the second quarter, 19% of total
financed automobile transactions were through third-party loan
facilitation services, up from 8% in the previous quarter."
"Looking ahead, we will continue to focus on our three core
business strategies. First, we will further develop synergies
between Bitauto, Yixin and other Bitauto family companies to build
up more diversified offerings for consumers and our business
partners. Second, we will continue to enhance the content and
services that we provide to our user community to cover the entire
automobile purchase and ownership cycle. This will allow us to
increase user stickiness and engagement, and develop more
comprehensive customer profiles. Third, we will continue to
leverage our big data capabilities and support from our strategic
shareholders to enable more user touchpoints and data crossover
throughout the Bitauto ecosystem. Building on our market leading
position, we are confident that we will achieve our goal of
becoming China's top online auto
media and transaction services platform."
Mr. Ming Xu, chief financial
officer of Bitauto said, "We achieved steady topline growth from
our media services in the second quarter, thanks mainly to higher
ASPs as a result of rising spending by OEM advertisers, higher
price points for subscription packages and a greater contribution
from sales of premium membership packages. In addition, we made
solid progress in improving our profitability through various
measures to optimize our cost structure, including marketing
expenses. As Yixin further expands its revenue contribution from
its third party loan business, we also expect to see margin
improvement in our transaction services business in the second half
of 2018."
Adoption of New Revenue Guidance ASC 606
In May 2014, the FASB issued a new
revenue guidance ASC Topic 606, "Revenue from Contracts with
Customers." Bitauto has completed its assessment and noted the most
significant impact is the change from presentation of value-added
tax ("VAT") on a gross basis to a net basis. Bitauto adopted the
new revenue guidance starting from January
1, 2018 by applying the modified retrospective approach.
Therefore, operating results for reporting periods beginning
after January 1, 2018 are presented under Topic 606,
while prior period amounts are not restated and continue to be
reported in accordance with the Company's historic accounting
method under Topic 605.
To provide investors with a meaningful year-over-year
comparison, Bitauto has provided a reconciliation table for the
impact of adopting this new revenue guidance for the second quarter
of 2018 and the corresponding period in 2017. Other than in the
Company's consolidated statements of operations, the operating
results are discussed and analyzed under the new revenue guidance,
including those for the comparative period in 2017.
|
|
For the Three
Months Ended June 30, 2018
|
|
|
Under ASC
605
|
VAT
adjustments
|
Under ASC
606
|
|
|
RMB
|
RMB
|
RMB
|
|
|
(in
thousands)
|
|
|
|
|
|
|
|
|
|
|
Revenue
|
|
2,752,253
|
(187,937)
|
2,564,316
|
- Advertising
and subscription business
|
|
1,147,736
|
(79,942)
|
1,067,794
|
- Transaction
services business
|
|
1,365,100
|
(93,164)
|
1,271,936
|
- Digital
marketing solutions business
|
|
239,417
|
(14,831)
|
224,586
|
|
|
|
|
|
Cost of
revenue
|
|
(1,112,337)
|
170,871
|
(941,466)
|
Gross
profit
|
|
1,639,916
|
(17,066)
|
1,622,850
|
|
|
|
|
|
Income from
operations
|
|
107,042
|
-
|
107,042
|
|
|
|
|
|
Net
income
|
|
27,386
|
-
|
27,386
|
|
|
|
|
|
|
|
For the Three
Months Ended June 30, 2017
|
|
|
Under ASC
605
|
VAT
adjustments
|
Under ASC
606
|
|
|
RMB
|
RMB
|
RMB
|
|
|
(in
thousands)
|
|
|
|
|
|
|
|
|
|
|
Revenue
|
|
2,170,632
|
(174,839)
|
1,995,793
|
- Advertising
and subscription business
|
|
1,006,678
|
(85,165)
|
921,513
|
- Transaction
services business
|
|
922,580
|
(76,011)
|
846,569
|
- Digital
marketing solutions business
|
|
241,374
|
(13,663)
|
227,711
|
|
|
|
|
|
Cost of
revenue
|
|
(772,659)
|
156,200
|
(616,459)
|
Gross
profit
|
|
1,397,973
|
(18,639)
|
1,379,334
|
|
|
|
|
|
Income from
operations
|
|
12,766
|
-
|
12,766
|
|
|
|
|
|
Net
loss
|
|
(63,270)
|
-
|
(63,270)
|
Bitauto Second Quarter 2018 Results
Bitauto reported revenue of RMB2.56 billion (US$387.5
million) for the second quarter of 2018, representing a
28.5% increase from the corresponding period in 2017. The increase
in revenue was attributable to the growth of the Company's
transaction services business and advertising and subscription
business.
- Revenue from the advertising and subscription business
for the second quarter of 2018 was RMB1.07
billion (US$161.4 million),
representing a 15.9% increase from RMB921.5
million (US$139.3 million) in
the corresponding period in 2017.
- Revenue from the transaction services business for the
second quarter of 2018 was RMB1.27
billion (US$192.2 million),
representing a 50.2% increase from RMB846.6
million (US$127.9 million) in
the corresponding period in 2017, primarily driven by the fast
growth of transaction volume.
- Revenue from the digital marketing solutions business
for the second quarter of 2018 was RMB224.6
million (US$33.9 million),
compared to RMB227.7 million
(US$34.4 million) in the
corresponding period in 2017.
Cost of revenue for the second quarter of 2018 was
RMB941.5 million (US$142.3 million), representing a year-over-year
increase of 52.7% from the corresponding period in 2017. The
increase was primarily due to increased funding costs related to
the growth of transaction services. Cost of revenue as a percentage
of revenue in the second quarter of 2018 was 36.7%, compared to
30.9% in the corresponding period in 2017.
Gross profit for the second quarter of 2018 was
RMB1.62 billion (US$245.3 million), representing a 17.7% increase
from the corresponding period in 2017.
Selling and administrative expenses were RMB1.40 billion (US$211.3
million) for the second quarter of 2018, representing a
10.8% increase from the corresponding period in 2017. This increase
was primarily attributable to the increases in share-based
compensation, provision for credit losses of finance receivables,
salaries and benefits, and offset by the decrease in marketing
expenses.
Product development expenses were RMB162.7 million (US$24.6
million) for the second quarter of 2018, representing a
25.8% increase from the corresponding period in 2017. The increase
was primarily due to increases in salaries and benefits.
Share-based compensation, which was allocated to related
operating expense line items, was RMB151.6
million (US$22.9 million) in
the second quarter of 2018, compared to RMB71.0 million (US$10.7
million) in the corresponding period in 2017. The increase
was mainly due to options granted by Yixin Group Limited ("Yixin")
(SEHK: 2858) to its employees in the third quarter of 2017.
Income from operations in the second quarter of 2018 was
RMB107.0 million (US$16.2 million), compared to an income from
operations of RMB12.8 million
(US$1.9 million) in the corresponding
period in 2017.
Non-GAAP income from operations in the second quarter of
2018 was RMB429.1 million
(US$64.8 million), a 45.8% increase
from the corresponding period in 2017.
Income tax expense in the second quarter of 2018 was
RMB73.9 million (US$11.2 million), compared to an income tax
expense of RMB103.1 million
(US$15.6 million) in the
corresponding period in 2017. This decrease was mainly due to the
impact of preferential tax rate applicable to some of the Company's
subsidiaries in China.
Net income in the second quarter of 2018 was RMB27.4 million (US$4.1
million), compared to a net loss of RMB63.3 million (US$9.6
million) in the corresponding period in 2017. Net income
attributable to Bitauto in the second quarter of 2018 was
RMB2.7 million (US$0.4 million). Basic and diluted net
loss per ADS, each representing one ordinary share, in the second
quarter of 2018 amounted to RMB0.02
(US$0.00) and RMB0.05 (US$0.01),
respectively, taking into consideration of the accretion to
redeemable noncontrolling interests amounting to RMB7.0 million (US$1.1
million).
Non-GAAP net income in the second quarter of 2018 was
RMB353.7 million (US$53.5 million), a 53.4% increase from the
corresponding period in 2017. Non-GAAP
net income attributable to Bitauto in the second quarter of
2018 was RMB257.3 million
(US$38.9 million). Non-GAAP
basic and diluted net income per ADS in the second quarter of 2018
amounted to RMB3.50 (US$0.53) and RMB3.22 (US$0.49),
respectively, taking into consideration of the accretion to
redeemable noncontrolling interests amounting to RMB7.0 million (US$1.1
million).
As of June 30, 2018, the Company
had cash and cash equivalents and restricted cash of
RMB7.90 billion (US$1.19 billion). Cash used in operating
activities, cash used in investing activities, and cash provided by
financing activities in the second quarter of 2018 were
RMB239.8 million (US$36.2 million), RMB2.56
billion (US$386.6 million),
and RMB319.4 million (US$48.3 million), respectively.
The number of employees totaled 7,889 as of June 30, 2018, including employees of entities in
which Bitauto has acquired and holds controlling interests. This
represented a 9.38% year-over-year decrease, primarily due to
decreased headcount in the Company's fast-growing transaction
services business, following Yixin's strategically de-emphasizing
used automobile transaction facilitation services.
As of June 30, 2018, the Company
had a total of 72,739,966 ordinary shares. Non-GAAP basic and
diluted per ADS figures for the second quarter of 2018 were
calculated using a weighted average of 71,785,937 and 78,333,221
ADSs, respectively. Each ADS represents one ordinary share of the
Company.
Yixin Second Quarter 2018 Highlights
In the second quarter of 2018, Bitauto's controlled subsidiary
Yixin, the primary operator of the Company's transaction services
business, facilitated approximately 103,000 financed automobile
transactions, representing approximately 19% year-over-year growth,
and approximately RMB8.4 billion
aggregate in auto financing, through its loan facilitation services
and self-operated financing services. In particular, Yixin's
third-party loan facilitation transactions continued to gain
momentum, contributing approximately 19% of the financed automobile
transaction volume in the second quarter, up from 8% in the
previous quarter. In the second quarter of 2018, Yixin facilitated
over 19,000 financed automobile transactions, a year-over-year
increase of over 90 times, and over RMB1.3
billion in auto financing, through its loan facilitation
services for its partner banks.
In the second quarter of 2018, under U.S. GAAP, Yixin's total
revenues reached RMB1.34 billion
(US$201.8 million); gross profit
reached RMB651.5 million
(US$98.5 million); net income was
RMB25.2 million (US$3.8 million) and Non-GAAP net income was
RMB149.5 million (US$22.6 million). Yixin's Non-GAAP net income is
calculated by net income excluding share-based compensation of
RMB81.6 million (US$12.3 million), amortization of intangible
assets resulting from asset and business acquisitions of
RMB43.1 million (US$6.5 million), and offset by tax effect of
RMB0.4 million (US$0.1 million). In the second quarter of 2018,
Yixin entered into certain transactions with other subsidiaries of
Bitauto, which have been eliminated upon Bitauto's consolidation of
Yixin. The revenue Yixin recorded for the services provided to
those subsidiaries of Bitauto amounted to RMB51.2 million (US$7.7
million).
As of June 30, 2018, Yixin had
cash and cash equivalents and restricted cash of RMB4.25 billion (US$642.2
million), total finance receivables of RMB35.75 billion (US$5.40
billion), and total borrowings, including bank borrowings
and asset-backed securitization debt, of RMB29.03 billion (US$4.39
billion).
As of June 30, 2018, Yixin's 31-90
days past due ratio, 91-180 days past due ratio, and 180+ days past
due ratio were 0.43%, 0.58%, 0.48%, respectively; 90+ days past due
ratio, and 30+ days past due ratio were 1.05% and 1.48%,
respectively. Under U.S. GAAP, Yixin's provision for credit losses
of finance receivables in the second quarter of 2018 was
RMB128.1 million (US$19.4 million). The balance of provision for
credit losses of finance receivables was RMB276.4 million (US$41.8
million) as of June 30,
2018.
As Bitauto's controlled subsidiary listed on the Hong Kong Stock
Exchange, Yixin announced its consolidated financial statements
under IFRS for the first half of 2018. In order to help investors
to understand the difference between IFRS and U.S. GAAP for Yixin's
operation results, a reconciliation was prepared and presented at
the end of this earnings release.
Third Quarter 2018 Outlook
Bitauto currently expects to generate revenue in the range of
RMB2.66
billion (US$402.0
million) to RMB2.71 billion (US$409.5
million) in the third quarter of 2018, representing
a 22.9% to 25.2% increase from
the corresponding period in 2017.
This forecast reflects revenues net of VAT under the new revenue
guidance ASC Topic 606, which has been adopted by Bitauto starting
from January 1, 2018. If presented on
gross basis, as consistent with in year 2017, forecasted revenues
would be between RMB2.87 billion (US$433.7
million) to RMB2.92 billion
(US$441.3 million) in the
third quarter of 2018, representing a 22.4% to 24.5% increase from the
corresponding period in 2017.
This forecast takes into consideration of seasonality factors in
Bitauto's business, and excludes any impact of foreign currency
fluctuation. It reflects management's current and preliminary view,
which is subject to change.
Conference Call Information
Bitauto's management will hold an earnings conference call at
8:15 AM on August 22, 2018 U.S. Eastern Time (8:15 PM on August 22,
2018 Beijing/Hong Kong
time).
Dial-in details for the earnings conference call are as
follows:
US:
|
+1-845-675-0437 or
+1-866-519-4004
|
Hong Kong:
|
+852-3018-6771 or
800-906-601
|
China:
|
800-8190-121 or
400-6208-038
|
International:
|
+65-6713-5090
|
Conference
ID:
|
9888137
|
A replay of the conference call may be accessed by phone at the
following number until August 30,
2018:
US:
|
+1-855-452-5696 or
+1-646-254-3697
|
International:
|
+61-2-8199-0299
|
Conference
ID:
|
9888137
|
Additionally, a live and archived webcast of this conference
call will be available at http://ir.bitauto.com.
[1] This
announcement contains translations of certain amounts in Renminbi
into U.S. dollars at specified rates solely for the convenience of
the readers. Unless otherwise noted, all translations from Renminbi
to U.S. dollars are made at a rate of RMB6.6171 to US$1.00, the
effective noon buying rate as of June 29, 2018 in The City of New
York for cable transfers of Renminbi as certified for customs
purposes by the Federal Reserve Bank of New York.
|
About Bitauto Holdings Limited
Bitauto Holdings Limited (NYSE: BITA) is a leading provider of
internet content & marketing services, and transaction services
for China's fast-growing
automotive industry. Bitauto's business consists of three segments:
advertising and subscription business, transaction services
business and digital marketing solutions business.
Bitauto's advertising and subscription business provides a
variety of advertising services to automakers through the
bitauto.com website and corresponding mobile apps. The website and
mobile apps provide consumers with up-to-date automobile pricing
and promotional information, specifications, reviews and consumer
feedback. Bitauto also provides transaction-focused online
advertisements and promotional services to its business partners
via Yixin's online platform for automakers, automobile dealers,
auto finance partners and insurance companies. Bitauto offers
subscription services via its SaaS platform, which provides
web-based and mobile-based integrated digital marketing solutions
to automobile dealers in China.
The SaaS platform enables automobile dealer subscribers to create
their own online showrooms, list pricing and promotional
information, provide automobile dealer contact information, place
advertisements and manage customer relationships to help them reach
a broad set of purchase-minded customers and effectively market
their automobiles to consumers online.
Bitauto's transaction services business is primarily conducted
by its controlled subsidiary, Yixin Group Limited (SEHK: 2858), a
leading online automobile retail transaction platform in
China, which provides transaction
platform services as well as self-operated financing services.
Bitauto's digital marketing solutions business provides
automakers with one-stop digital marketing solutions, including
website creation and maintenance, online public relations, online
marketing campaigns, advertising agent services, big data
applications and digital image creation.
For more information, please visit ir.bitauto.com.
Safe Harbor Statement
This announcement contains forward-looking statements. These
statements are made under the "safe harbor" provisions of the U.S.
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," "confident" and similar statements. Among
other things, the business outlook of the Company and the
quotations from management in this announcement, as well as
Bitauto's strategic and operational plans, contain forward-looking
statements. Bitauto may also make written or oral forward-looking
statements in its periodic reports to the U.S. 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 Bitauto'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 those contained in any forward-looking
statement, including but not limited to the following: our goals
and strategies; our future business development, financial
condition and results of operations; the expected growth of the
automobile industry and the internet marketing industry in
China; our expectations regarding
demand for and market acceptance of our services and service
delivery model; our expectations regarding enhancing our brand
recognition; our expectations regarding keeping and strengthening
our relationships with major customers, partner websites and media
vendors; relevant government policies and regulations relating to
our businesses, automobile purchases and ownership in China; our ability to attract and retain
quality employees; our ability to stay abreast of market trends and
technological advances; competition in our industry in China and internationally; general economic
and business conditions in China;
and our ability to effectively protect our intellectual property
rights and not infringe on the intellectual property rights of
others. Further information regarding these and other risks is
included in Bitauto's filings with the Securities and Exchange
Commission, including its annual report on Form 20-F. Bitauto does
not undertake any obligation to update any forward-looking
statement as a result of new information, future events or
otherwise, except as required under applicable law. All information
provided in this press release and in the attachments is as of the
date of this press release, and Bitauto undertakes no duty to
update such information, except as required under applicable
law.
Use of Non-GAAP Financial Measures
To supplement Bitauto's consolidated financial results presented
in accordance with U.S. GAAP, Bitauto uses Non-GAAP income from
operations, Non-GAAP net income and Non-GAAP basic and diluted net
income per ADS as Non-GAAP financial measures, and uses Yixin's
Non-GAAP income from operations and Yixin's Non-GAAP net income as Non-GAAP financial measures to
supplement the disclosure of financial performance of Yixin.
Non-GAAP income from operations is defined as income/(loss) from operations excluding (i)
share-based compensation; (ii) amortization of intangible assets
resulting from asset and business acquisitions; and (iii)
professional expenses incurred for the initial public offering of
Yixin and the issuance of preferred shares. Non-GAAP net income is
defined as net income/(loss)
excluding (i) share-based compensation; (ii) amortization of
intangible assets resulting from asset and business acquisitions;
(iii) professional expenses incurred for the initial public
offering of Yixin and the issuance of preferred shares; (iv) share
of amortization of equity investments' intangible assets not on
their books; (v) investment income associated with non-cash
investment matters; (vi) fair value adjustment of contingent
considerations; (vii) amortization of the BCF discount on the
convertible notes; and (viii) tax effect of Non-GAAP line items.
Non-GAAP basic and diluted net income per ADS is defined as
Non-GAAP net income attributable to ordinary shareholders of the
parent company divided by basic and diluted weighted average number
of ADS. Yixin's Non-GAAP income from operations is defined as income/(loss) from operations
excluding (i) share-based compensation; and (ii) amortization of
intangible assets resulting from asset and business acquisitions.
Yixin's Non-GAAP net income is
defined as net income/(loss)
excluding (i) share-based compensation; (ii) amortization of
intangible assets resulting from asset and business acquisitions;
and (iii) tax effect of Non-GAAP line items. These Non-GAAP
financial measures provide Bitauto's management with the ability to
assess its operating results by excluding certain items that may
not be indicative of the performance of its business such as
non-cash and non-recurring items. Bitauto believes these Non-GAAP
financial measures are useful to investors by understanding
supplemental information used by management in its assessment of
operating results.
The use of Non-GAAP financial measures has certain limitations.
These Non-GAAP measures exclude certain items that have been and
will continue to be incurred in the future and are not reflected in
the presentation of the Non-GAAP financial measures. These Non-GAAP
financial measures should be considered in addition to results
prepared in accordance with U.S. GAAP, and should not be considered
a substitute for or superior to U.S. GAAP results. In addition,
these Non-GAAP financial measures may not be comparable to
similarly titled measures utilized by other companies since such
other companies may not calculate such measures in the same manner
as Bitauto or Yixin does.
Reconciliation of these Non-GAAP financial measures to the most
directly comparable U.S. GAAP financial measure is set forth at the
end of this release.
For investor and media inquiries, please contact:
China
Suki Li
Bitauto Holdings Limited
Phone: +86-10-6849-2145
ir@bitauto.com
Clarisse Pan
Foote Group
Phone: +86-10-8429-9544
bitauto@thefootegroup.com
SELECTED
CONSOLIDATED FINANCIAL DATA
|
Unaudited
Condensed Consolidated Statements of Operations
|
|
|
For the Three
Months Ended
|
|
For the Six Months
Ended
|
|
|
June 30, 2017
*
|
|
June 30,
2018
|
|
June 30,
2018
|
|
|
RMB
|
|
RMB
|
|
RMB
|
|
|
|
|
|
|
|
|
|
(in thousands,
except for share and per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue
|
|
2,170,632
|
|
2,564,316
|
|
4,735,461
|
Cost of
revenue
|
|
(772,659)
|
|
(941,466)
|
|
(1,762,852)
|
Gross
profit
|
|
1,397,973
|
|
1,622,850
|
|
2,972,609
|
|
|
|
|
|
|
|
Selling and
administrative expenses
|
|
(1,262,490)
|
|
(1,398,450)
|
|
(2,908,683)
|
Product development
expenses
|
|
(129,260)
|
|
(162,670)
|
|
(323,105)
|
Other gains,
net
|
|
6,543
|
|
45,312
|
|
52,894
|
Income/(Loss) from
operations
|
|
12,766
|
|
107,042
|
|
(206,285)
|
|
|
|
|
|
|
|
Interest
income
|
|
23,253
|
|
20,902
|
|
50,446
|
Interest
expense
|
|
(19,293)
|
|
(12,717)
|
|
(24,829)
|
Share of results of
equity investees
|
|
(15,305)
|
|
(14,391)
|
|
(25,248)
|
Investment
income
|
|
38,400
|
|
421
|
|
6,421
|
Profit/(Loss)
before tax
|
|
39,821
|
|
101,257
|
|
(199,495)
|
|
|
|
|
|
|
|
Income tax
expense
|
|
(103,091)
|
|
(73,871)
|
|
(61,403)
|
Net
(loss)/income
|
|
(63,270)
|
|
27,386
|
|
(260,898)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income/(loss)
attributable to noncontrolling interests
|
|
7,096
|
|
17,702
|
|
(109,936)
|
Accretion to
redeemable noncontrolling interests
|
|
91,865
|
|
6,995
|
|
13,913
|
Net (loss)/income
attributable to Bitauto Holdings Limited
|
|
(162,231)
|
|
2,689
|
|
(164,875)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP financial
data
|
|
|
|
|
|
|
Non-GAAP net
income
|
|
230,578
|
|
353,718
|
|
390,777
|
Non-GAAP net income
attributable to noncontrolling interests
|
|
10,747
|
|
89,407
|
|
52,326
|
Accretion to
redeemable noncontrolling interests
|
|
91,865
|
|
6,995
|
|
13,913
|
Non-GAAP net
income attributable to Bitauto Holdings Limited
|
|
127,966
|
|
257,316
|
|
324,538
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation
of GAAP to Non-GAAP results
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three
Months Ended
|
|
For the Six Months
Ended
|
|
|
June 30,
2017
|
|
June 30,
2018
|
|
June 30,
2018
|
|
|
RMB
|
|
RMB
|
|
RMB
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income/(Loss) from
operations
|
|
12,766
|
|
107,042
|
|
(206,285)
|
Share-based
compensation
|
|
70,979
|
|
151,590
|
|
301,731
|
Amortization of
intangible assets resulting from asset and business
acquisitions
|
|
168,839
|
|
170,472
|
|
341,621
|
Professional expenses
incurred for the initial public offering of Yixin and the
issuance
of preferred shares
|
|
41,638
|
|
-
|
|
-
|
Non-GAAP income
from operations
|
|
294,222
|
|
429,104
|
|
437,067
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
(loss)/income
|
|
(63,270)
|
|
27,386
|
|
(260,898)
|
Share-based
compensation
|
|
70,979
|
|
151,590
|
|
301,731
|
Amortization of
intangible assets resulting from asset and business
acquisitions
|
|
168,839
|
|
170,472
|
|
341,621
|
Professional expenses
incurred for the initial public offering of Yixin and the
issuance
of preferred shares
|
|
41,638
|
|
-
|
|
-
|
Share of amortization
of equity investments' intangible assets not on their
books
|
|
27
|
|
-
|
|
-
|
Investment income
associated with non-cash investment matters
|
|
(1,453)
|
|
-
|
|
-
|
Fair value adjustment
of contingent considerations
|
|
5,220
|
|
-
|
|
-
|
Amortization of the
BCF discount on the convertible notes
|
|
8,598
|
|
7,164
|
|
14,280
|
Tax effect of
Non-GAAP line items
|
|
-
|
|
(2,894)
|
|
(5,957)
|
Non-GAAP net
income
|
|
230,578
|
|
353,718
|
|
390,777
|
|
|
|
|
|
|
|
Non-GAAP net
income per ADS
|
|
|
|
|
|
|
Basic
|
|
1.80
|
|
3.50
|
|
4.38
|
Diluted
|
|
1.66
|
|
3.22
|
|
4.06
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
*The operating
results for the second quarter of 2017 are not restated and are
presented on a gross basis under Topic 605, while those for the
second quarter of 2018 are presented
on a net basis under Topic 606.
|
SELECTED
CONSOLIDATED FINANCIAL DATA
|
Unaudited
Condensed Consolidated Balance Sheets
|
|
|
|
|
|
|
|
December 31,
2017
|
|
June 30,
2018
|
|
|
RMB
|
|
RMB
|
|
|
|
|
|
|
|
(in
thousands)
|
|
|
|
|
|
Assets
|
|
|
|
|
Current
assets
|
|
|
|
|
Cash and cash
equivalents
|
|
9,555,027
|
|
5,503,130
|
Restricted
cash
|
|
811,596
|
|
1,043,491
|
Accounts
receivable, net
|
|
2,854,410
|
|
3,103,474
|
Uncollateralized finance receivables - current portion,
net
|
|
2,963,926
|
|
4,466,939
|
Collateralized
finance receivables - current portion, net
|
|
10,289,972
|
|
12,358,819
|
Other current
assets
|
|
1,642,438
|
|
2,561,966
|
|
|
28,117,369
|
|
29,037,819
|
Non-current
assets
|
|
|
|
|
Restricted
cash
|
|
672,736
|
|
1,356,403
|
Investments in
equity investees
|
|
1,184,196
|
|
1,514,826
|
Property,
plant and equipment, net
|
|
1,296,196
|
|
1,014,912
|
Intangible
assets, net
|
|
1,726,321
|
|
1,334,595
|
Uncollateralized finance receivables - non-current portion,
net
|
|
4,181,627
|
|
6,389,203
|
Collateralized
finance receivables - non-current portion, net
|
|
12,356,080
|
|
12,413,887
|
Other
non-current assets
|
|
1,981,207
|
|
2,416,258
|
|
|
23,398,363
|
|
26,440,084
|
|
|
|
|
|
Total
assets
|
|
51,515,732
|
|
55,477,903
|
|
|
|
|
|
Liabilities
|
|
|
|
|
Current
liabilities
|
|
|
|
|
Short term
borrowing
|
|
11,243,614
|
|
10,861,621
|
Asset-backed
securitization debt
|
|
6,165,429
|
|
8,784,529
|
Accounts
payable
|
|
2,176,627
|
|
2,200,793
|
Other current
liabilities
|
|
3,113,569
|
|
3,081,200
|
|
|
22,699,239
|
|
24,928,143
|
Non-current
liabilities
|
|
|
|
|
Long term
borrowings
|
|
5,074,273
|
|
5,217,607
|
Asset-backed
securitization debt
|
|
2,611,821
|
|
4,351,409
|
Other
non-current liabilities
|
|
892,728
|
|
884,565
|
|
|
8,578,822
|
|
10,453,581
|
|
|
|
|
|
Total
liabilities
|
|
31,278,061
|
|
35,381,724
|
|
|
|
|
|
Redeemable
noncontrolling interests
|
|
301,953
|
|
345,866
|
|
|
|
|
|
Total
equity
|
|
19,935,718
|
|
19,750,313
|
|
|
|
|
|
Total liabilities,
redeemable noncontrolling interests and equity
|
|
51,515,732
|
|
55,477,903
|
Yixin
|
Unaudited
Condensed Consolidated Statements of Operations
|
(in
thousands)
|
|
|
For the Six Months
Ended
|
|
|
June 30,
2018
|
|
June 30,
2018
|
|
June 30,
2018
|
|
|
RMB
|
|
RMB
|
|
RMB
|
|
|
IFRS
|
|
Reconcilation
|
|
US
GAAP
|
|
|
|
|
|
|
|
Revenue
|
|
2,563,560
|
|
-
|
|
2,563,560
|
Cost of
revenue
|
|
(1,313,307)
|
|
-
|
|
(1,313,307)
|
Gross
profit
|
|
1,250,253
|
|
-
|
|
1,250,253
|
|
|
|
|
|
|
|
Selling and
administrative expenses
|
|
(1,297,095)
|
|
(46,864)
|
|
(1,343,959)
|
Product development
expenses
|
|
(141,367)
|
|
-
|
|
(141,367)
|
Other gains,
net
|
|
24,711
|
|
(2,585)
|
|
22,126
|
Loss from
operations
|
|
(163,498)
|
|
(49,449)
|
|
(212,947)
|
|
|
|
|
|
|
|
Interest
income
|
|
17,179
|
|
-
|
|
17,179
|
Interest
expense
|
|
(1,665)
|
|
-
|
|
(1,665)
|
Share of results of
equity investees
|
|
111
|
|
-
|
|
111
|
Loss before
tax
|
|
(147,873)
|
|
(49,449)
|
|
(197,322)
|
|
|
|
|
|
|
|
Income tax
(expense)/benefit
|
|
(11,611)
|
|
12,683
|
|
1,072
|
Net
loss
|
|
(159,484)
|
|
(36,766)
|
|
(196,250)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation
of GAAP to Non-GAAP results
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Six Months
Ended
|
|
|
June 30,
2018
|
|
June 30,
2018
|
|
June 30,
2018
|
|
|
RMB
|
|
RMB
|
|
RMB
|
|
|
IFRS
|
|
Reconcilation
|
|
US
GAAP
|
|
|
|
|
|
|
|
Loss from
operations
|
|
(163,498)
|
|
(49,449)
|
|
(212,947)
|
Fair value gains on
financial assets*
|
|
(2,585)
|
|
2,585
|
|
-
|
Share-based
compensation
|
|
191,399
|
|
-
|
|
191,399
|
Amortization of
intangible assets resulting from asset and business
acquisitions
|
|
94,279
|
|
(1,282)
|
|
92,997
|
Non-GAAP income
from operations
|
|
119,595
|
|
(48,146)
|
|
71,449
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
loss
|
|
(159,484)
|
|
(36,766)
|
|
(196,250)
|
Fair value gains on
financial assets*
|
|
(2,585)
|
|
2,585
|
|
-
|
Share-based
compensation
|
|
191,399
|
|
-
|
|
191,399
|
Amortization of
intangible assets resulting from asset and business
acquisitions
|
|
94,279
|
|
(1,282)
|
|
92,997
|
Tax effect of
non-GAAP line items
|
|
(282)
|
|
(646)
|
|
(928)
|
Non-GAAP net
income
|
|
123,327
|
|
(36,109)
|
|
87,218
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
* This item is only
reconciled under IFRS as the financial assets are not measured by
fair value through profit or loss under U.S. GAAP.
|
View original
content:http://www.prnewswire.com/news-releases/bitauto-announces-second-quarter-2018-results-300700800.html
SOURCE Bitauto Holdings Limited