SHANGHAI, March 12, 2018 /PRNewswire/ -- Jupai Holdings
Limited ("Jupai" or the "Company") (NYSE: JP), a leading
third-party wealth management service provider, focusing on
distributing wealth management products and providing quality
product advisory services to high-net-worth individuals in
China, today announced its
unaudited financial results for the quarter and the full year ended
December 31, 2017.
FOURTH QUARTER AND FULL YEAR 2017
FINANCIAL HIGHLIGHTS
- Net revenues in the fourth quarter of 2017 were
RMB460.0 million
(US$[1]70.7 million), a 35.9% increase from RMB338.5 million for the corresponding period in
2016. For the full year of 2017, net revenues were RMB1,706.2 million (US$262.2 million), an increase of 51.3% from
RMB1,127.7 million in 2016.
(RMB '000, except
percentages)
|
Q4
2016
|
|
Q4 2016
%
|
|
Q4
2017
|
|
Q4 2017
%
|
|
YoY Change
%
|
One-time
commissions
|
185,294
|
|
54.8%
|
|
308,932
|
|
67.1%
|
|
66.7%
|
Recurring management
fees
|
73,093
|
|
21.6%
|
|
111,430
|
|
24.2%
|
|
52.5%
|
Recurring service
fees
|
25,849
|
|
7.6%
|
|
23,728
|
|
5.2%
|
|
-8.2%
|
Other service
fees
|
54,267
|
|
16.0%
|
|
15,926
|
|
3.5%
|
|
-70.7%
|
Total net
revenues
|
338,503
|
|
100.0%
|
|
460,016
|
|
100.0%
|
|
35.9%
|
|
|
(RMB '000, except
percentages)
|
FY
2016
|
|
FY 2016
%
|
|
FY
2017
|
|
FY 2017
%
|
|
YoY Change
%
|
One-time
commissions
|
633,186
|
|
56.1%
|
|
1,038,704
|
|
60.8%
|
|
64.0%
|
Recurring management
fees
|
260,622
|
|
23.1%
|
|
363,651
|
|
21.3%
|
|
39.5%
|
Recurring service
fees
|
123,177
|
|
10.9%
|
|
105,001
|
|
6.2%
|
|
-14.8%
|
Other service
fees
|
110,725
|
|
9.9%
|
|
198,806
|
|
11.7%
|
|
79.5%
|
Total net
revenues
|
1,127,710
|
|
100.0%
|
|
1,706,162
|
|
100.0%
|
|
51.3%
|
- Income from operations in the fourth quarter of 2017 was
RMB63.8 million (US$9.8 million), a 32.2% decrease from
RMB94.1 million for the corresponding
period in 2016. For the full year of 2017, income from operations
was RMB523.6 million (US$80.5 million), an increase of 77.6% from
RMB294.8 million in 2016.
- Net income attributable to ordinary shareholders in the
fourth quarter of 2017 was RMB90.7
million (US$13.9 million), a
45.6% increase from RMB62.3 million
for the corresponding period in 2016. For the full year of 2017,
net income attributable to ordinary shareholders was RMB409.5 million (US$62.9
million), an increase of 97.3% from RMB207.6 million in 2016.
- Non-GAAP[2] net income attributable to
ordinary shareholders in the fourth quarter of 2017 was
RMB101.4 million (US$15.6 million), a 41.5% increase from
RMB71.7 million for the corresponding
period in 2016. For the full year of 2017, non-GAAP net income
attributable to ordinary shareholders was RMB454.0 million (US$69.8
million), an increase of 86.8% from RMB243.0 million in 2016.
FOURTH QUARTER AND FULL YEAR 2017 OPERATIONAL
UPDATES
- Total number of active clients[3] during the
fourth quarter of 2017 and full year 2017 was 5,875 and 12,825,
respectively.
- The aggregate value of wealth management products
distributed by the Company during the fourth quarter
of 2017 was RMB15.8 billion
(US$2.4 billion), an 8.9% increase
from the corresponding period in 2016. For the full year of 2017,
the aggregate value of wealth management products distributed by
the Company was RMB54.3 billion
(US$8.3 billion), a 19.9% increase
from 2016.
Wealth management
products distributed by the Company - breakdown by product
type
|
|
Three months
ended
|
Twelve months
ended
|
|
December 31,
2016
|
|
December 31,
2017
|
December 31,
2016
|
|
December 31,
2017
|
Product
type
|
(RMB in millions,
except percentages)
|
(RMB in millions,
except percentages)
|
Fixed income
products
|
10,326
|
72%
|
|
13,857
|
88%
|
29,963
|
66%
|
|
45,437
|
83%
|
Private equity and
venture capital fund products
|
1,903
|
13%
|
|
1,114
|
7%
|
9,354
|
21%
|
|
6,375
|
12%
|
Public market
products
|
1,084
|
7%
|
|
350
|
2%
|
3,981
|
9%
|
|
449
|
1%
|
Other
products
|
1,173
|
8%
|
|
452
|
3%
|
2,001
|
4%
|
|
2,055
|
4%
|
All
products
|
14,486
|
100%
|
|
15,773
|
100%
|
45,299
|
100%
|
|
54,316
|
100%
|
- Jupai's coverage network as of December 31, 2017 included 72 client centers
covering 46 cities, compared to 79 client centers covering 43
cities, as of December 31, 2016.
- Total assets under management[4] as of
December 31, 2017 were RMB57.5 billion (US$8.8
billion), a 14.8% increase from September 30, 2017 and a 59.2% increase from
December 31, 2016.
Assets under
management - breakdown by product type
|
|
As
of
|
|
December 31,
2016
|
|
December 31,
2017
|
Product
type
|
(RMB in millions,
except percentages)
|
Fixed income
products
|
18,161
|
50%
|
|
35,558
|
62%
|
Private equity and
venture capital fund products
|
14,971
|
41%
|
|
18,868
|
33%
|
Public market
products
|
2,980
|
8%
|
|
2,372
|
4%
|
Other
products
|
29
|
1%
|
|
734
|
1%
|
All
products
|
36,141
|
100%
|
|
57,532
|
100%
|
"We are pleased to announce a set of solid results for 2017,
with both Jupai's wealth management and asset management businesses
growing rapidly," said Mr. Jianda
Ni, Jupai's chairman of the board and chief executive
officer. "Benefitting from the expansion of our business, and the
increase in commission rates, our net revenues increased 51%
year-over-year to RMB1.7 billion. On
the bottom line, improved margins drove higher net income
attributable to ordinary shareholders of RMB409.5 million, up almost 100% year-over-year
compared with 2016."
"In 2017, we further enhanced our long-term competitive
advantages. Leveraging our strength in the real estate industry,
our high quality real-estate-related wealth management products
remained popular among investors amid more conservative market
sentiment. The aggregate value of products distributed by Jupai for
the full-year 2017 grew to RMB54.3
billion, a 20% increase year-over-year, as total assets
under management rose to RMB57.5
billion as of December 31,
2017, a 59% increase year-over-year. In line with Jupai's
commitment to delivering value to our shareholders, our board has
declared a cash dividend of US$0.1
per ordinary share, equal to US$0.6
per ADS. "
"Moving ahead, Jupai will continue to broaden our product
selection and promote our real estate-related equity products,
building upon our rigorous risk management system and rich real
estate resources. We are confident that with our mature business
lines, Jupai is well-positioned to achieve healthy profit growth in
2018. In addition, we believe that performance fees and new
business lines such as our overseas business and insurance
offerings will generate incremental profit growth in the coming
year. Management will continue to strive to fulfill our customers'
ever-changing investment needs, enhance Jupai's capability to
achieve stable long-term growth, and build Jupai into the leading
wealth and asset management brand in China."
Ms. Min Liu, Jupai's chief
financial officer, said, "Jupai concluded the year with a strong
performance across our business lines. As management continued to
grow our business scale, we further optimized our product mix and
enhanced operating efficiency, leading to a significant expansion
of our net profit margin from 18% in 2016 to 24% in 2017. We remain
optimistic about our bottom line growth outlook for 2018."
FOURTH QUARTER AND FULL YEAR 2017 FINANCIAL RESULTS
Net Revenues
Net revenues for the fourth quarter of 2017 were
RMB460.0 million (US$70.7 million), a 35.9% increase from
RMB338.5 million for the
corresponding period in 2016, primarily due to increases in
one-time commissions. Net revenues were RMB1,706.2 million (US$262.2 million) for the full year of 2017, an
increase of 51.3% from RMB1,127.7
million in 2016.
- Net revenues from one-time commissions for the fourth
quarter of 2017 were RMB308.9 million
(US$47.5 million), a 66.7% increase
from RMB185.3 million for the
corresponding period in 2016, primarily as a result of an increase
in fee rate compared to corresponding period in 2016. For the full
year of 2017, net revenues from one-time commissions were
RMB1,038.7 million (US$159.6 million), an increase of 64.0% from
RMB633.2 million in 2016.
- Net revenues from recurring management fees for the
fourth quarter of 2017 were RMB111.4
million (US$17.1 million), a
52.5% increase from RMB73.1 million
for the corresponding period in 2016. The Company recognized
RMB40.1 million (US$6.2 million) and RMB3.7
million carried interest in the fourth quarter of 2017 and
2016, respectively. For the full year of 2017, net revenues from
recurring management fees were RMB363.7
million (US$55.9 million), a
39.5% increase from RMB260.6 million
in 2016. RMB81.7 million
(US$12.6 million) and RMB15.3 million carried interest was recognized
as part of Jupai's recurring management fees for the full year of
2017 and 2016, respectively.
- Net revenues from recurring service fees for the fourth
quarter of 2017 were RMB23.7 million
(US$3.6 million), an 8.2% decrease
from RMB25.8 million for the
corresponding period in 2016, primarily because the Company
provided ongoing services to fewer product suppliers. We expect the
net revenues from recurring service fees will continue to decline
going forward. The Company recognized RMB63.7 thousand (US$9.8
thousand) and RMB1.2 million
variable performance fees in the fourth quarter of 2017 and 2016,
respectively. For the full year of 2017, net revenues from
recurring service fees were RMB105.0
million (US$16.1 million), a
14.8% decrease from RMB123.2 million
in 2016. The Company recognized RMB13.8
million (US$2.1 million) and
RMB14.6 million variable performance
fees for the full year of 2017 and 2016, respectively.
- Net revenues from other service fees for the fourth
quarter of 2017 were RMB15.9 million
(US$2.4 million), a 70.7% decrease
from RMB54.3 million for the
corresponding period in 2016, primarily due to decreases in
sub-advisory fees collected from third-party asset management
companies. For the full year of 2017, net revenues from other
service fees were RMB198.8 million
(US$30.6 million), an increase of
79.5% from RMB110.7 million in 2016,
as the related sub-advisory fees started from the third quarter of
2016.
Operating Costs and Expenses
Operating costs and expenses for the fourth quarter of
2017 were RMB396.2 million
(US$60.9 million), an increase of
62.1% from RMB244.4 million for the
corresponding period in 2016. For the full year of 2017, operating
costs and expenses were RMB1,182.6
million (US$181.8 million), an
increase of 42.0% from RMB832.9
million in 2016.
- Cost of revenues for the fourth quarter of 2017 was
RMB267.1 million (US$41.1 million), an 83.1% increase from
RMB145.9 million for the
corresponding period in 2016, primarily due to the increased number
of wealth management advisors and client managers and their average
compensation. For the full year of 2017, cost of revenues was
RMB737.5 million (US$113.4 million), an increase of 54.6% from
RMB477.0 million in 2016.
- Selling expenses for the fourth quarter of 2017 were
RMB82.4 million (US$12.7 million), a 27.3% increase from
RMB64.7 million for the corresponding
period in 2016, primarily due to increases in marketing expenses.
For the full year of 2017, selling expenses were RMB282.2 million (US$43.4
million), an increase of 18.9% from RMB237.3 million in 2016.
- G&A expenses for the fourth quarter of 2017 were
RMB60.4 million (US$9.3 million), a 22.9% increase from
RMB49.2 million for the corresponding
period in 2016, mainly due to increases in both the numbers of
managerial and administrative personnel and their average
compensation. For the full year of 2017, G&A expenses were
RMB204.1 million (US$31.4 million), an increase of 30.8% from
RMB156.0 million in 2016.
- Other operating income (government subsidies) received
by the Company in the fourth quarter of 2017 was RMB13.7 million (US$2.1
million), a 10.7% decrease from RMB15.4 million for the corresponding period in
2016. For the full year of 2017, other operating income was
RMB41.1 million (US$6.3 million), an increase of 10.0% from
RMB37.4 million in 2016. Government
subsidies were recorded when received and their availability and
amount depend on government administrative policies.
Operating margin for the fourth quarter of 2017 was
13.9%, compared to 27.8% for the corresponding period in 2016. For
the full year of 2017, operating margin was 30.7%, compared to
26.1% in 2016.
Income tax expenses for the fourth quarter of 2017 were
RMB1.2 million (US$0.2 million), a 95.3% decrease from
RMB26.0 million for the corresponding
period in 2016. For the full year of 2017, income tax expenses were
RMB123.0 million (US$18.9 million), an increase of 48.9% from
RMB82.6 million in 2016. The increase
was primarily due to an increase in taxable income.
Net Income
- Net Income
- Net income attributable to ordinary shareholders for the
fourth quarter of 2017 was RMB90.7
million (US$13.9 million), a
45.6% increase from RMB62.3 million
for the corresponding period in 2016. For the full year of 2017,
net income attributable to ordinary shareholders was RMB409.5 million (US$62.9
million), an increase of 97.3% from RMB207.6 million in 2016.
- Net margin attributable to ordinary shareholders for the
fourth quarter of 2017 was 19.7%, as compared to 18.4% for the
corresponding period in 2016. For the full year of 2017, net margin
attributable to ordinary shareholders was 24.0%, compared to 18.4%
in 2016.
- Net income attributable to ordinary shareholders per basic
and diluted American depositary share ("ADS") for the fourth
quarter of 2017 was RMB2.75
(US$0.42) and RMB2.59 (US$0.40),
respectively, as compared to RMB1.93
and RMB1.85, respectively, for the
corresponding period in 2016. For the full year of 2017, net income
attributable to ordinary shareholders per basic and diluted ADS was
RMB12.57 (US$1.93) and RMB11.95 (US$1.84),
respectively, as compared to RMB6.46
and RMB6.20, respectively, in
2016.
- Non-GAAP Net Income
- Non-GAAP net income attributable to ordinary
shareholders for the fourth quarter of 2017 was RMB101.4 million (US$15.6
million), a 41.5% increase from RMB71.7 million for the corresponding period in
2016. For the full year of 2017, non-GAAP net income attributable
to ordinary shareholders was RMB454.0
million (US$69.8 million), an
86.8% increase from RMB243.0 million
in 2016.
- Non-GAAP net margin attributable to ordinary
shareholders for the fourth quarter of 2017 was 22.0%, as
compared to 21.2% for the corresponding period in 2016. For the
full year of 2017, non-GAAP net margin attributable to ordinary
shareholders was 26.6%, as compared to 21.5% in 2016.
- Non-GAAP net income attributable to ordinary shareholders
per diluted ADS for the fourth quarter of 2017 was RMB2.90 (US$0.45),
as compared to RMB2.13 for the
corresponding period in 2016. For the full year of 2017, non-GAAP
net income attributable to ordinary shareholders per diluted ADS
was RMB13.24 (US$2.03), as compared to RMB7.26 for the same period in 2016.
Balance Sheet and Cash Flow
As of December 31, 2017, the
Company had RMB1,527.8 million
(US$234.8 million) in cash and cash
equivalents, compared to RMB1,123.2
million (US$172.6 million) as
of December 31, 2016.
Net cash provided by operating activities during the
fourth quarter of 2017 was RMB161.1
million (US$24.8 million). For
the full year of 2017, net cash provided by operating activities
was RMB599.7 million (US$92.2 million).
Net cash provided by investing activities during the
fourth quarter of 2017 was RMB144.9
million (US$22.3 million). For
the full year of 2017, net cash used in investing activities was
RMB74.0 million (US$11.4 million).
Net cash provided by financing activities during the
fourth quarter of 2017 was RMB1.3
million (US$0.2 million). For
the full year of 2017, net cash used in financing activities was
RMB121.1 million (US$18.6 million).
Dividend
The Company announced today that its board of directors has
approved and declared a cash dividend of US$0.1 per ordinary share. The cash dividend will
be paid on or about May 31, 2018 to
shareholders of record as of the close of business on April 30, 2018 (the "Record Date"). Holders of
Jupai's ADSs, each representing six ordinary shares of Jupai, on
the Record Date are accordingly entitled to the cash dividend of
US$0.6 per ADS. The aggregate amount
of cash dividends to be paid is approximately US$20 million, which will be funded by cash on
the Company's balance sheet.
The determination to make dividend distributions and the amount
of such distributions in any particular year will be made at the
discretion of the board of directors and will be based upon the
Company's operations and earnings, cash flow, financial condition
and other relevant factors.
BUSINESS OUTLOOK
The Company estimates that its net revenues for the first
quarter of 2018 will be in the range of RMB400 million to RMB420
million, an increase of 8.5% to 13.9% compared to the same
period in 2017. This forecast reflects the Company's current and
preliminary view, which is subject to change.
CONFERENCE CALL
Jupai's management will host an earnings conference call on
March 12, 2018 at 8:00 a.m. U.S. Eastern Time (8:00 p.m. Beijing/Hong
Kong time).
Dial-in details for the earnings conference call are as
follows:
U.S./International:
|
+1-845-675-0437
or +1-866-519-4004
|
Hong Kong:
|
+852-3018-6771
or 800-906-601
|
Mainland
China:
|
400-620-8038 or
800-819-0121
|
Singapore:
|
+65-6713-5090 or
800-101-2868
|
Passcode:
|
9273537
|
Please dial in 10 minutes before the call is scheduled to begin
and provide the passcode to join the call.
A replay of the conference call may be accessed by phone at the
following numbers until March 20,
2018:
U.S./International:
|
+1-855-452-5696
|
Hong Kong:
|
800-963-117
|
Mainland
China:
|
400-632-2162
|
Singapore:
|
800-616-2305
|
Passcode:
|
9273537
|
Additionally, a live and archived webcast will be available at
http://jupai.investorroom.com.
DISCUSSION OF NON-GAAP FINANCIAL MEASURES
In addition to disclosing financial results prepared in
accordance with U.S. GAAP, the Company's earnings release contains
non-GAAP financial measures that exclude the effects of all forms
of share-based compensation and amortization of intangible assets
related to acquisition. The reconciliation of these non-GAAP
financial measures to the nearest GAAP measures as set forth in the
table captioned "Reconciliation of GAAP to Non-GAAP Results"
below.
The non-GAAP financial measures disclosed by the Company should
not be considered a substitute for financial measures prepared in
accordance with U.S. GAAP. The financial results reported in
accordance with U.S. GAAP and reconciliation of GAAP to non-GAAP
results should be carefully evaluated. The non-GAAP financial
measure used by the Company may be prepared differently from, and
therefore may not be comparable to, similarly titled measures used
by other companies.
When evaluating the Company's operating performance in the
periods presented, management reviewed non-GAAP net income results
reflecting adjustments to exclude the impacts of share-based
compensation and amortization of intangible assets related to
acquisition to supplement U.S. GAAP financial data. As such, the
Company believes that the presentation of the non-GAAP net income
attributable to ordinary shareholders, non-GAAP net income
attributable to ordinary shares per diluted ADS and non-GAAP net
margin attributable to ordinary shareholders provides important
supplemental information to investors regarding financial and
business trends relating to the Company's financial condition and
results of operations in a manner consistent with that used by
management. Pursuant to U.S. GAAP, the Company recognized
significant amounts of expenses for the restricted shares and share
options, and amortization of intangible assets related to
acquisition in the periods presented. The Company utilized the
non-GAAP financial results to make financial results comparable
period to period and to better understand its historical business
operations.
ABOUT JUPAI HOLDINGS LIMITED
Jupai Holdings Limited ("Jupai") (NYSE: JP) is a leading
third-party wealth management service provider focusing on
distributing wealth management products and providing quality
product advisory services to high-net-worth individuals in
China. Jupai's comprehensive and
personalized client service and broad range of carefully selected
third-party and self-developed products have made it a trusted
brand among its clients. Jupai maintains extensive and targeted
coverage of China's high-net-worth
population.
For more information, please visit
http://jupai.investorroom.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 and quotations from management
in this announcement, as well as Jupai's strategic and operational
plans, contain forward-looking statements. Jupai 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 Jupai'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: the goals and strategies of the Company and the
Company's ability to manage its growth and implement its business
strategies; future business development, financial condition and
results of operations of the Company; condition of the wealth
management market in China and
internationally; the demand for and market acceptance of the
products the Company distributes; the Company's ability to maintain
and further grow its active high-net-worth client base and maintain
or increase the amount of investment by clients; developments in
relevant government policies and regulations relating to the
Company's industry and the Company's ability to comply with those
policies and regulations; the Company's ability to attract and
retain quality employees; the Company's ability to adapt to
potential uncertainties in China's
real estate industry and stay abreast of market trends and
technological advances; the results of the Company's investments in
research and development to enhance its product choices and service
offerings; general economic and business conditions in China; the Company's ability to protect its
reputation and enhance its brand recognition. Further information
regarding these and other risks is included in Jupai's filings with
the U.S. Securities and Exchange Commission. All information
provided in this press release and in the attachments is as of the
date of this press release, and Jupai does not undertake any
obligation to update any such information, including
forward-looking statements, as a result of new information, future
events or otherwise, except as required under applicable law.
Contacts:
Jupai Holdings Limited
Harry He
Director of Investor Relations
Jupai Holdings Limited
Phone: +86 (21) 6026 9129
Email: ir@jpinvestment.cn
Philip Lisio
The Foote Group
Phone: +86 (10) 8429 9544
Email: Jupai-IR@thefootegroup.com
[1] The
U.S. dollars (US$) amounts disclosed in this press release, except
for those transaction amounts that were actually settled in U.S.
dollars, are presented solely for the convenience of the reader.
The conversion of Renminbi (RMB) into U.S. dollars (US$) in this
press release is based on the noon buying rate on December 29,
2017, as set forth in the H.10 statistical release of the Board of
Governors of the Federal Reserve System, which was RMB6.5063 to
US$1.00. The percentages stated in this press release are
calculated based on the Renminbi amounts.
|
[2]
Jupai's non-GAAP financial measures are derived from adjusting the
corresponding GAAP financial measures by excluding the effects of
share-based compensation and amortization of intangible assets
resulted from business acquisitions.
|
[3]
"Active clients" for a given period refers to clients who purchase
wealth management products distributed by Jupai at least once
during that given period.
|
[4]
"Assets under management" or "AUM" of Jupai refers to the amount of
capital commitments made by investors to the funds managed by the
Company, for which the Company is entitled to receive management
fees. The amount of AUM of Jupai is recorded and carried based on
the historical cost of the contributed assets instead of fair
market value of assets for almost all AUM of Jupai. For assets
denominated in currencies other than Renminbi, the AUM are
translated into Renminbi upon their contribution, without interim
value adjustments solely due to changes in foreign exchange rates.
As a result, Jupai's management fees for almost all its AUM are
calculated based on the historical cost balance of the
AUM.
|
-- FINANCIAL AND OPERATIONAL TABLES FOLLOW --
Jupai Holdings
Limited
|
Unaudited
Condensed Consolidated Balance Sheets
|
|
|
As of
|
|
December 31,
|
|
December 31,
|
|
December 31,
|
|
2016
|
|
2017
|
|
2017
|
|
RMB
|
|
RMB
|
|
USD
|
Assets
|
|
|
|
|
|
Current
assets:
|
|
|
|
|
|
Cash and cash
equivalents
|
1,123,166,156
|
|
1,527,777,270
|
|
234,815,067
|
Short-term
investments
|
25,210,000
|
|
8,403,612
|
|
1,291,612
|
Accounts
receivable
|
52,111,944
|
|
53,512,590
|
|
8,224,734
|
Other
receivables
|
71,064,287
|
|
22,989,264
|
|
3,533,385
|
Amounts due from
related parties
|
133,560,483
|
|
268,760,059
|
|
41,307,665
|
Deferred tax
assets - current[5]
|
55,791,373
|
|
-
|
|
-
|
Investments at cost
method - current
|
-
|
|
14,800,000
|
|
2,274,718
|
Other current
assets
|
12,551,186
|
|
12,276,204
|
|
1,886,818
|
Total current
assets
|
1,473,455,429
|
|
1,908,518,999
|
|
293,333,999
|
Investments at cost
method - non-current
|
70,450,000
|
|
50,450,000
|
|
7,754,023
|
Investment in
affiliates
|
85,830,444
|
|
181,922,556
|
|
27,960,986
|
Advanced payment for
acquisition
|
77,560,000
|
|
-
|
|
-
|
Property and
equipment, net
|
37,199,812
|
|
44,957,054
|
|
6,909,773
|
Intangible
assets
|
83,072,545
|
|
74,350,855
|
|
11,427,517
|
Goodwill
|
277,752,765
|
|
261,621,691
|
|
40,210,518
|
Other non-current
assets
|
14,238,686
|
|
32,459,581
|
|
4,988,946
|
Deferred tax
assets - non-current
|
8,494,738
|
|
71,807,042
|
|
11,036,540
|
Total
Assets
|
2,128,054,419
|
|
2,626,087,778
|
|
403,622,302
|
|
|
|
|
|
|
Liabilities and
Equity
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
Accrued payroll and
welfare expenses
|
101,864,007
|
|
212,718,285
|
|
32,694,202
|
Income tax
payable
|
138,131,812
|
|
179,224,777
|
|
27,546,344
|
Other tax
payable
|
58,189,283
|
|
57,325,185
|
|
8,810,720
|
Dividend
payable
|
10,160,503
|
|
-
|
|
-
|
Amounts due to
related parties-current
|
6,118,678
|
|
27,294,813
|
|
4,195,136
|
Deferred revenue from
related parties
|
121,644,250
|
|
171,546,620
|
|
26,366,233
|
Deferred
revenues
|
36,432,195
|
|
17,921,745
|
|
2,754,522
|
Other current
liabilities
|
10,397,008
|
|
31,941,785
|
|
4,909,362
|
Total current
liabilities
|
482,937,736
|
|
697,973,210
|
|
107,276,519
|
Deferred
revenue - non-current from related parties
|
75,413,617
|
|
62,917,485
|
|
9,670,240
|
Deferred
revenue - non-current
|
5,677,905
|
|
6,611,915
|
|
1,016,233
|
Non-current uncertain
tax position liabilities
|
5,938,816
|
|
-
|
|
-
|
Deferred tax
liabilities - non-current
|
9,815,595
|
|
4,717,167
|
|
725,015
|
Total
Liabilities
|
579,783,669
|
|
772,219,777
|
|
118,688,007
|
Equity
|
1,548,270,750
|
|
1,853,868,001
|
|
284,934,295
|
Total Liabilities
and Total Shareholders' Equity
|
2,128,054,419
|
|
2,626,087,778
|
|
403,622,302
|
|
[5] Jupai
adopted ASU 2015-17 and therefore, deferred tax assets and
liabilities are classified as non-current assets and liabilities
starting 2017.
Prior balances were not retrospectively adjusted.
|
Jupai Holdings
Limited
|
Unaudited
Condensed Consolidated Income Statements
|
(In RMB, except
for USD data, ADS data and percentages)
|
|
|
Three months
ended
|
|
|
December 31,
|
|
December 31,
|
|
December 31,
|
|
YoY
|
|
2016
|
|
2017
|
|
2017
|
|
Change %
|
|
RMB
|
|
RMB
|
|
USD
|
|
|
Revenues
|
|
|
|
|
|
|
|
Third party
revenues
|
118,858,942
|
|
89,576,073
|
|
13,767,591
|
|
-24.6%
|
Related party
revenues
|
221,320,799
|
|
372,323,897
|
|
57,225,135
|
|
68.2%
|
Total
revenues
|
340,179,741
|
|
461,899,970
|
|
70,992,726
|
|
35.8%
|
Business taxes and
related surcharges
|
(1,676,536)
|
|
(1,883,403)
|
|
(289,474)
|
|
12.3%
|
Net
revenues
|
338,503,205
|
|
460,016,567
|
|
70,703,252
|
|
35.9%
|
|
|
|
|
|
|
|
|
Operating costs and
expenses:
|
|
|
|
|
|
|
|
Cost of
revenues
|
(145,890,981)
|
|
(267,106,022)
|
|
(41,053,444)
|
|
83.1%
|
Selling
expenses
|
(64,725,845)
|
|
(82,388,186)
|
|
(12,662,832)
|
|
27.3%
|
General and
administrative expenses
|
(49,156,055)
|
|
(60,436,708)
|
|
(9,288,952)
|
|
22.9%
|
Other operating
income - government subsidies
|
15,358,806
|
|
13,721,000
|
|
2,108,879
|
|
-10.7%
|
Total operating cost
and expenses
|
(244,414,075)
|
|
(396,209,916)
|
|
(60,896,349)
|
|
62.1%
|
Income from
operations
|
94,089,130
|
|
63,806,651
|
|
9,806,903
|
|
-32.2%
|
|
|
|
|
|
|
|
|
Interest
income
|
323,632
|
|
1,196,907
|
|
183,961
|
|
269.8%
|
Investment
income
|
1,344,072
|
|
1,256,870
|
|
193,177
|
|
-6.5%
|
Other income (loss),
net
|
(190,557)
|
|
(169,658)
|
|
(26,075)
|
|
-11.0%
|
Total other
income
|
1,477,147
|
|
2,284,119
|
|
351,063
|
|
54.6%
|
Income before taxes
and income from equity in affiliates
|
95,566,277
|
|
66,090,770
|
|
10,157,966
|
|
-30.8%
|
Income tax
expense
|
(25,950,122)
|
|
(1,222,246)
|
|
(187,856)
|
|
-95.3%
|
Income (loss) from
equity in affiliates
|
2,444,297
|
|
6,311,307
|
|
970,030
|
|
158.2%
|
Net
income
|
72,060,452
|
|
71,179,831
|
|
10,940,140
|
|
-1.2%
|
Net loss (income)
attributable to non-controlling interests
|
(9,781,558)
|
|
19,498,156
|
|
2,996,811
|
|
-299.3%
|
Net income
attributable to ordinary shareholders
|
62,278,894
|
|
90,677,987
|
|
13,936,951
|
|
45.6%
|
|
|
|
|
|
|
|
|
Net income per
ADS:
|
|
|
|
|
|
|
|
Basic
|
1.93
|
|
2.75
|
|
0.42
|
|
42.5%
|
Diluted
|
1.85
|
|
2.59
|
|
0.40
|
|
40.0%
|
Weighted average
number of ADSs used in computation:
|
|
|
|
|
|
|
|
Basic
|
32,266,156
|
|
33,001,547
|
|
33,001,547
|
|
|
Diluted
|
33,573,542
|
|
34,973,169
|
|
34,973,169
|
|
|
Jupai Holdings
Limited
|
Unaudited
Condensed Consolidated Income Statements
|
(In RMB, except
for USD data, ADS data and percentages)
|
|
|
Twelve months
ended
|
|
|
December 31,
|
|
December 31,
|
|
December 31,
|
|
YoY
|
|
2016
|
|
2017
|
|
2017
|
|
Change %
|
|
RMB
|
|
RMB
|
|
USD
|
|
|
Revenues
|
|
|
|
|
|
|
|
Third party
revenues
|
415,295,453
|
|
479,917,547
|
|
73,761,977
|
|
15.6%
|
Related party
revenues
|
716,130,680
|
|
1,232,785,709
|
|
189,475,694
|
|
72.1%
|
Total
revenues
|
1,131,426,133
|
|
1,712,703,256
|
|
263,237,671
|
|
51.4%
|
Business taxes and
related surcharges
|
(3,715,689)
|
|
(6,541,634)
|
|
(1,005,431)
|
|
76.1%
|
Net
revenues
|
1,127,710,444
|
|
1,706,161,622
|
|
262,232,240
|
|
51.3%
|
|
|
|
|
|
|
|
|
Operating costs and
expenses:
|
|
|
|
|
|
|
|
Cost of
revenues
|
(477,034,912)
|
|
(737,507,904)
|
|
(113,352,889)
|
|
54.6%
|
Selling
expenses
|
(237,297,482)
|
|
(282,171,751)
|
|
(43,369,004)
|
|
18.9%
|
General and
administrative expenses
|
(155,958,876)
|
|
(204,052,576)
|
|
(31,362,307)
|
|
30.8%
|
Other operating
income - government subsidies
|
37,385,834
|
|
41,138,443
|
|
6,322,863
|
|
10.0%
|
Total operating cost
and expenses
|
(832,905,436)
|
|
(1,182,593,788)
|
|
(181,761,337)
|
|
42.0%
|
Income from
operations
|
294,805,008
|
|
523,567,834
|
|
80,470,903
|
|
77.6%
|
|
|
|
|
|
|
|
|
Interest
income
|
3,712,918
|
|
11,385,895
|
|
1,749,980
|
|
206.7%
|
Investment
income
|
12,619,887
|
|
10,012,216
|
|
1,538,849
|
|
-20.7%
|
Net other income
(loss)
|
(19,568)
|
|
(2,040,641)
|
|
(313,640)
|
|
10,328.5%
|
Total other
income
|
16,313,237
|
|
19,357,470
|
|
2,975,189
|
|
18.7%
|
Income before taxes
and income from equity in affiliates
|
311,118,245
|
|
542,925,304
|
|
83,446,092
|
|
74.5%
|
Income tax
expense
|
(82,612,132)
|
|
(122,998,509)
|
|
(18,904,525)
|
|
48.9%
|
Income (loss) from
equity in affiliates
|
1,539,316
|
|
2,579,447
|
|
396,453
|
|
67.6%
|
Net
income
|
230,045,429
|
|
422,506,242
|
|
64,938,020
|
|
83.7%
|
Net income
attributable to non-controlling interests
|
(22,461,561)
|
|
(13,014,063)
|
|
(2,000,224)
|
|
-42.1%
|
Net income
attributable to ordinary shareholders
|
207,583,868
|
|
409,492,179
|
|
62,937,796
|
|
97.3%
|
|
|
|
|
|
|
|
|
Net income per
ADS:
|
|
|
|
|
|
|
|
Basic
|
6.46
|
|
12.57
|
|
1.93
|
|
94.6%
|
Diluted
|
6.20
|
|
11.95
|
|
1.84
|
|
92.7%
|
Weighted average
number of ADSs used in computation:
|
|
|
|
|
|
|
|
Basic
|
32,112,336
|
|
32,577,902
|
|
32,577,902
|
|
|
Diluted
|
33,460,986
|
|
34,278,651
|
|
34,278,651
|
|
|
Jupai Holdings
Limited
|
Unaudited
Condensed Comprehensive Income Statements
|
(In RMB, except
for USD data and percentages)
|
|
|
Three months
ended
|
|
|
December 31,
|
|
December 31,
|
|
December 31,
|
|
Change
|
|
2016
|
|
2017
|
|
2017
|
|
|
|
RMB
|
|
RMB
|
|
USD
|
|
|
Net
income
|
72,060,452
|
|
71,179,831
|
|
10,940,140
|
|
-1.2%
|
Other comprehensive
income (loss), net of tax:
|
|
|
|
|
|
|
|
Change in cumulative
foreign currency translation adjustment
|
21,826,553
|
|
(8,091,986)
|
|
(1,243,715)
|
|
-137.1%
|
Other comprehensive
income (loss)
|
21,826,553
|
|
(8,091,986)
|
|
(1,243,715)
|
|
-137.1%
|
Comprehensive
income
|
93,887,005
|
|
63,087,845
|
|
9,696,425
|
|
-32.8%
|
Less: Comprehensive
income attributable to non-controlling interests
|
10,408,097
|
|
(19,488,167)
|
|
(2,995,276)
|
|
-287.2%
|
Comprehensive
income attributable to ordinary shareholders
|
83,478,908
|
|
82,576,012
|
|
12,691,701
|
|
-1.1%
|
Jupai Holdings
Limited
|
Unaudited
Condensed Comprehensive Income Statements
|
(In RMB, except
for USD data and percentages)
|
|
|
Twelve months
ended
|
|
|
December 31,
|
|
December 31,
|
|
December 31,
|
|
Change
|
|
2016
|
|
2017
|
|
2017
|
|
|
|
RMB
|
|
RMB
|
|
USD
|
|
|
Net
income
|
230,045,429
|
|
422,506,242
|
|
64,938,020
|
|
83.7%
|
Other comprehensive
income (loss), net of tax:
|
|
|
|
|
|
|
|
Change in cumulative
foreign currency translation adjustment
|
44,026,899
|
|
(36,377,776)
|
|
(5,591,162)
|
|
-182.6%
|
Other comprehensive
income (loss)
|
44,026,899
|
|
(36,377,776)
|
|
(5,591,162)
|
|
-182.6%
|
Comprehensive
income
|
274,072,328
|
|
386,128,466
|
|
59,346,858
|
|
40.9%
|
Less: Comprehensive
income attributable to non-controlling interests
|
23,670,967
|
|
13,037,403
|
|
2,003,812
|
|
-44.9%
|
Comprehensive
income attributable to ordinary shareholders
|
250,401,361
|
|
373,091,063
|
|
57,343,046
|
|
49.0%
|
Jupai Holdings
Limited
|
Reconciliation of
GAAP to Non-GAAP Results
|
(In RMB, except
for ADS data and percentages)
|
|
|
Three months
ended
|
|
|
|
December
31,
|
|
December
31,
|
|
Change
|
|
2016
|
|
2017
|
|
|
|
RMB
|
|
RMB
|
|
|
Net margin
attributable to ordinary shareholders
|
18.4%
|
|
19.7%
|
|
|
Adjusted net margin
attributable to ordinary shareholders (non-GAAP)
|
21.2%
|
|
22.0%
|
|
|
|
|
|
|
|
|
Net income
attributable to ordinary shareholders
|
62,278,894
|
|
90,677,987
|
|
45.6%
|
Adjustment for
share-based compensation
|
5,832,454
|
|
7,286,901
|
|
24.9%
|
Adjustment for
amortization of intangible assets related to acquisition
|
3,549,952
|
|
3,420,889
|
|
-3.6%
|
Adjusted net income
attributable to ordinary shares(non-GAAP)
|
71,661,300
|
|
101,385,777
|
|
41.5%
|
|
|
|
|
|
|
Net income
attributable to ordinary shares per ADS, diluted
|
1.85
|
|
2.59
|
|
40.0%
|
Adjusted net
income attributable to ordinary shares per ADS, diluted
(non-GAAP)
|
2.13
|
|
2.90
|
|
36.2%
|
|
|
|
|
|
|
Weighted average
number of ADSs used in computation:
|
|
|
|
|
|
Diluted
|
33,573,542
|
|
34,973,169
|
|
4.2%
|
Jupai Holdings
Limited
|
Reconciliation of
GAAP to Non-GAAP Results
|
(In RMB, except
for ADS data and percentages)
|
|
|
Twelve months
ended
|
|
|
|
December
31,
|
|
December
31,
|
|
Change
|
|
2016
|
|
2017
|
|
|
|
RMB
|
|
RMB
|
|
|
Net margin
attributable to ordinary shareholders
|
18.4%
|
|
24.0%
|
|
|
Adjusted net margin
attributable to ordinary shareholders (non-GAAP)
|
21.5%
|
|
26.6%
|
|
|
|
|
|
|
|
|
Net income
attributable to ordinary shareholders
|
207,583,868
|
|
409,492,179
|
|
97.3%
|
Adjustment for
share-based compensation
|
21,423,694
|
|
30,455,939
|
|
42.2%
|
Adjustment for
amortization of intangible assets related to acquisition
|
13,961,969
|
|
14,004,176
|
|
0.3%
|
Adjusted net income
attributable to ordinary shares(non-GAAP)
|
242,969,531
|
|
453,952,294
|
|
86.8%
|
|
|
|
|
|
|
Net income
attributable to ordinary shares per ADS, diluted
|
6.20
|
|
11.95
|
|
92.7%
|
Adjusted net
income attributable to ordinary shares per ADS, diluted
(non-GAAP)
|
7.26
|
|
13.24
|
|
82.4%
|
|
|
|
|
|
|
Weighted average
number of ADSs used in computation:
|
|
|
|
|
|
Diluted
|
33,460,986
|
|
34,278,651
|
|
2.4%
|
View original
content:http://www.prnewswire.com/news-releases/jupai-reports-fourth-quarter-and-full-year-2017-results-300612095.html
SOURCE Jupai Holdings Limited