SHANGHAI, Sept. 6, 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 second quarter
and six months ended June 30,
2018.
SECOND QUARTER AND FIRST HALF 2018 FINANCIAL
HIGHLIGHTS
- Net revenues in the second quarter of 2018 were
RMB443.6 million
(US[1]$67.0 million), a
1.6% increase from the corresponding period in 2017. For the first
half of 2018, net revenues were RMB876.8
million (US$132.5 million), an
increase of 8.9% from the same period in 2017.
(RMB '000, except
percentages)
|
Q2
2017
|
|
Q2 2017
%
|
|
Q2
2018
|
|
Q2 2018
%
|
|
YoY Change
%
|
One-time
commissions
|
230,010
|
|
52.7%
|
|
282,243
|
|
63.6%
|
|
22.7%
|
Recurring management
fees
|
93,906
|
|
21.5%
|
|
121,696
|
|
27.4%
|
|
29.6%
|
Recurring service
fees
|
33,317
|
|
7.6%
|
|
11,431
|
|
2.6%
|
|
-65.7%
|
Other service
fees
|
79,387
|
|
18.2%
|
|
28,196
|
|
6.4%
|
|
-64.5%
|
Total net
revenues
|
436,620
|
|
100.0%
|
|
443,566
|
|
100.0%
|
|
1.6%
|
(RMB '000, except
percentages)
|
H1
2017
|
|
H1 2017
%
|
|
H1
2018
|
|
H1 2018
%
|
|
YoY Change
%
|
One-time
commissions
|
464,768
|
|
57.7%
|
|
558,677
|
|
63.7%
|
|
20.2%
|
Recurring management
fees
|
161,524
|
|
20.1%
|
|
244,604
|
|
27.9%
|
|
51.4%
|
Recurring service
fees
|
59,542
|
|
7.4%
|
|
26,489
|
|
3.0%
|
|
-55.5%
|
Other service
fees
|
119,527
|
|
14.8%
|
|
47,012
|
|
5.4%
|
|
-60.7%
|
Total net
revenues
|
805,361
|
|
100.0%
|
|
876,782
|
|
100.0%
|
|
8.9%
|
- Income from operations in the second quarter of 2018 was
RMB160.3 million (US$24.2 million), a 3.5% decrease from the
corresponding period in 2017. For the first half of 2018, income
from operations was RMB312.8 million
(US$47.3 million), an increase of
7.4% from the same period in 2017.
- Net income attributable to ordinary shareholders in the
second quarter of 2018 was RMB87.8
million (US$13.3 million), a
21.9% decrease from the corresponding period in 2017. For the first
half of 2018, net income attributable to ordinary shareholders was
RMB203.7 million (US$30.8 million), an increase of 0.3% from the
same period in 2017.
- Non-GAAP[2] net income attributable to
ordinary shareholders in the second quarter of 2018 was
RMB115.5 million (US$17.5 million), a 7.9% decrease from the
corresponding period in 2017. For the first half of 2018, non-GAAP
net income attributable to ordinary shareholders was RMB241.6 million (US$36.5
million), an increase of 6.6% from the same period in
2017.
[1] The
U.S. dollars (US$) 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 June 29, 2018, as
set forth in the H.10 statistical release of the Board of Governors
of the Federal Reserve System, which was RMB6.6171 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, amortization of intangible assets
resulted from business acquisitions and impairment loss of
investment in affiliates.
|
SECOND QUARTER AND FIRST HALF 2018 OPERATIONAL
UPDATES
- Total number of active clients[3] during the
second quarter of 2018 was 3,765.
- The aggregate value of wealth management products
distributed by the Company during the second quarter
of 2018 was RMB9.7 billion
(US$1.5 billion), a 21.0% decrease
from the corresponding period in 2017. For the first half of 2018,
the aggregate value of wealth management products distributed by
the Company was RMB20.6 billion
(US$3.1 billion), a 22.2% decrease
from the corresponding period in 2017.
Wealth management
products distributed by the Company - breakdown by product
type
|
|
|
Three months
ended
|
Six months
ended
|
|
June 30,
2017
|
|
June 30,
2018
|
June 30,
2017
|
|
June 30,
2018
|
Product
type
|
(RMB in millions,
except percentages)
|
(RMB in millions,
except percentages)
|
Fixed income
products
|
10,278
|
83%
|
|
1,286
|
13%
|
21,495
|
81%
|
|
5,219
|
25%
|
Private equity
products
|
1,601
|
13%
|
|
7,949
|
82%
|
3,934
|
15%
|
|
13,991
|
68%
|
Secondary market equity fund
products
|
72
|
1%
|
|
268
|
3%
|
92
|
0%
|
|
960
|
5%
|
Other
products
|
362
|
3%
|
|
225
|
2%
|
990
|
4%
|
|
456
|
2%
|
All
products
|
12,313
|
100%
|
|
9,728
|
100%
|
26,511
|
100%
|
|
20,626
|
100%
|
- Jupai's coverage network as of June 30, 2018 included 76 client centers covering
48 cities, as compared to 76 client centers covering 47 cities as
of June 30, 2017.
- Total assets under management[4] as of
June 30, 2018 were RMB56.7 billion (US$8.6
billion), a 4.0% increase from March
31, 2018 and an 18.1% increase from June 30, 2017.
Assets under
management – breakdown by product type
|
|
As
of
|
|
June 30,
2017
|
|
June 30,
2018
|
Product
type
|
(RMB in millions,
except percentages)
|
Fixed income
products
|
26,573
|
56%
|
|
22,766
|
40%
|
Private equity
products
|
18,432
|
38%
|
|
30,792
|
54%
|
Secondary market
equity fund products
|
2,483
|
5%
|
|
2,236
|
4%
|
Other
products
|
473
|
1%
|
|
860
|
2%
|
All
products
|
47,961
|
100%
|
|
56,654
|
100%
|
"Over the past quarter, we have seen stronger headwinds in
China's wealth management
industry, as investors become increasingly conservative in the face
of the government's accelerated deleveraging at the macro-economic
level and tightened regulations in the financial services sector,"
said Mr. Jianda Ni, Jupai's chairman
of the board and chief executive officer. "As a result, the
aggregate value of wealth management products distributed by Jupai
during the second quarter of 2018 decreased by 21% from the
corresponding period in 2017 to RMB9.7
billion. However, Jupai benefited from our enhanced
bargaining power with real estate companies which have been facing
higher cost of capital due to the recent policy changes. Our
average one-time commission rate rose further in the second
quarter, reflecting Jupai's competitive advantage across the entire
wealth management industry value chain. For the first half of 2018,
Jupai's net revenues were RMB876.8
million, an 8.9% year-over-year increase, and our income
from operations was RMB312.8 million,
up 7.4% year over year."
"Jupai continued to focus on developing high-quality real estate
related products during the first half of 2018, resulting in 18.1%
year-over-year growth in our total assets under management to
RMB56.7 billion as of June 30, 2018. We expect the cumulative increase
in our total AUM to create room for increase in our management and
performance fees, and thus enhance our bottom line growth going
forward."
"Looking forward, despite the industry-wide challenges we
anticipate over the next couple of quarters, we remain confident
about the long-term outlook for the wealth and asset management
industry in China. In our view,
the recent macro-economic policies which encourage deleveraging and
strengthen regulatory control over financial services will enable
the healthy development of China's
wealth and asset management industry over the long run. We view
this period of industry-wide transition as an opportunity to lay a
solid foundation for Jupai's long-term growth through implementing
various strategies to further strengthen our team, expand our
product offerings, and enhance our risk control systems. We look
forward to continuing to fulfill the ever-changing wealth and asset
management needs of our clients, as we build Jupai into the leading
wealth and asset management brand in China."
Ms. Min Liu, Jupai's chief
financial officer, said, "Despite a challenging market environment,
our ongoing improvements in operating efficiency and cost controls
allowed Jupai to maintain our margins in the first half of 2018 at
healthy levels. For the first half of 2018, our non-GAAP net margin
attributable to Jupai's ordinary shareholders, which excluded a
non-cash impairment loss of RMB18.0
million, was 27.6%, substantially flat compared to 28.1% in
the same period last year. Jupai will further enhance our talent
management, streamline our costs, and improve our efficiency in
order to maximize shareholder value for the long term."
[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 contributions 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.
|
SECOND QUARTER AND FIRST HALF 2018 FINANCIAL
RESULTS
Net Revenues
Net revenues for the second quarter of 2018 were
RMB443.6 million (US$67.0 million), a 1.6% increase from the
corresponding period in 2017, primarily due to increases in both
one-time commissions and recurring management fees. Net revenues
were RMB876.8 million (US$132.5 million) for the first half of 2018, an
increase of 8.9% from the same period in 2017.
- Net revenues from one-time commissions for the second
quarter of 2018 were RMB282.2 million
(US$42.7 million), a 22.7% increase
from the corresponding period in 2017, primarily as a result of an
increase in fee rates. For the first half of 2018, net revenues
from one-time commissions were RMB558.7
million (US$84.4 million), an
increase of 20.2% from the same period in 2017.
- Net revenues from recurring management fees for the
second quarter of 2018 were RMB121.7
million (US$18.4 million), a
29.6% increase from the corresponding period in 2017 primarily due
to an increase in the value of assets under management. The Company
recognized RMB23.3 million
(US$3.5 million) and RMB21.8 million carried interest in the second
quarter of 2018 and 2017, respectively. For the first half of 2018,
net revenues from recurring management fees were RMB244.6 million (US$37.0
million), a 51.4% increase from the same period in 2017.
RMB44.0 million (US$6.7 million) and RMB23.5 million carried interest was recognized
as part of Jupai's recurring management fees for the first half of
2018 and the same period in 2017, respectively.
- Net revenues from recurring service fees for the second
quarter of 2018 were RMB11.4 million
(US$1.7 million), a 65.7% decrease
from the corresponding period in 2017, primarily because the
Company provided ongoing services to fewer product suppliers. The
Company recognized RMB0.3 million
(US$0.1 million) and RMB11.4 million variable performance fees in the
second quarter of 2018 and 2017, respectively. For the first half
of 2018, net revenues from recurring service fees were RMB26.5 million (US$4.0
million), a 55.5% decrease from the same period in 2017,
primarily because the Company provided ongoing services to fewer
product suppliers. The Company recognized RMB0.3 million (US$0.1
million) and RMB12.8 million
variable performance fees for the first half of 2018 and the same
period in 2017, respectively.
- Net revenues from other service fees for the second
quarter of 2018 were RMB28.2 million
(US$4.3 million), a 64.5% decrease
from the corresponding period in 2017, primarily due to a decrease
in sub-advisory fees collected from other companies. For the first
half of 2018, net revenues from other service fees were
RMB47.0 million (US$7.1 million), a decrease of 60.7% from the
same period in 2017.
Starting from January 1, 2018, the Company adopted Accounting
Standards Update 2014-09, Revenue from Contracts with Customers
(ASC 606), on a modified-retrospective basis. The adoption has no
material impact on the Company's financial positions, results of
operations, or cash flows.
Operating Costs and Expenses
Operating costs and expenses for the second quarter of
2018 were RMB283.3 million
(US$42.8 million), an increase of
4.7% from the corresponding period in 2017. For the first half of
2018, operating costs and expenses were RMB564.0 million (US$85.2
million), an increase of 9.7% from the same period in
2017.
- Cost of revenues for the second quarter of 2018 was
RMB173.9 million (US$26.3 million), a 7.4% increase from the
corresponding period in 2017. For the first half of 2018, cost of
revenues was RMB304.4 million
(US$46.0 million), an increase of
2.6% from the same period in 2017.
- Selling expenses for the second quarter of 2018 were
RMB71.8 million (US$10.8 million), a 9.8% increase from the
corresponding period in 2017, primarily due to the increase in
marketing expenses. For the first half of 2018, selling expenses
were RMB157.1 million (US$23.7 million), an increase of 25.8% from the
same period in 2017.
- G&A expenses for the second quarter of 2018 were
RMB52.5 million (US$7.9 million), a 16.4% increase from the
corresponding period in 2017, mainly due to the increase in both
the numbers of managerial and administrative personnel and their
average compensation. For the first half of 2018, G&A expenses
were RMB117.6 million (US$17.8 million), an increase of 20.3% from the
same period in 2017.
- Other operating income (government subsidies) received
by the Company in the second quarter of 2018 was RMB14.9 million (US$2.3
million), a 670.9% increase from the corresponding period in
2017. For the first half of 2018, other operating income was
RMB15.0 million (US$2.3 million), an increase of 181.6% from the
same period in 2017. Government subsidies were recorded when
received, with their availability and amount dependent upon
government administrative policies.
Operating margin for the second quarter of 2018 was
36.1%, compared to 38.0% for the corresponding period in 2017. For
the first half of 2018, operating margin was 35.7%, compared to
36.2% for the same period in 2017.
Income tax expenses for the second quarter of 2018 were
RMB49.3 million (US$7.4 million), a 10.2% increase from the
corresponding period in 2017. For the first half of 2018, income
tax expenses were RMB88.4 million
(US$13.4 million), an increase of
18.9% from the same period in 2017, primarily due to an increase in
taxable income.
Net Income
- Net Income
- Net income attributable to ordinary shareholders for the
second quarter of 2018 was RMB87.8
million (US$13.3 million), a
21.9% decrease from the corresponding period in 2017. For the first
half of 2018, net income attributable to ordinary shareholders was
RMB203.7 million (US$30.8 million), an increase of 0.3% from the
same period in 2017.
- Net margin attributable to ordinary shareholders for the
second quarter of 2018 was 19.8%, as compared to 25.8% for the
corresponding period in 2017. For the first half of 2018, net
margin attributable to ordinary shareholders was 23.2%, compared to
25.2% for the same period in 2017.
- Net income attributable to ordinary shareholders per basic
and diluted American depositary share ("ADS") for the second
quarter of 2018 was RMB2.63
(US$0.40) and RMB2.49 (US$0.38),
respectively, as compared to RMB3.47
and RMB3.33, respectively, for the
corresponding period in 2017. For the first half of 2018, net
income attributable to ordinary shareholders per basic and diluted
ADS was RMB6.12 (US$0.92) and RMB5.79 (US$0.88),
respectively, as compared to RMB6.28
and RMB6.02, respectively, for the
same period in 2017.
The industry regulations newly
introduced on March 28, 2018
emphasize that asset management businesses conducted through the
internet are subject to oversight from financial regulatory
authorities. Pursuant to these regulations, Shanghai Runju
Financial Information Service Co., Ltd. ("Runju"), a
non-controlling investee of Jupai, has formulated a new business
plan to adjust its business model. Based on management's latest
evaluation, RMB18.0 million
(US$2.7 million) of impairment loss
was recorded in income (loss) from equity in affiliates for the
second quarter ended June 30, 2018.
Future impairment analysis will be performed at each quarter
end.
- Non-GAAP Net Income
- Non-GAAP net income attributable to ordinary
shareholders for the second quarter of 2018 was RMB115.5 million (US$17.5
million), a 7.9% decrease from the corresponding period in
2017. For the first half of 2018, non-GAAP net income attributable
to ordinary shareholders was RMB241.6
million (US$36.5 million), a
6.6% increase from the same period in 2017.
- Non-GAAP net margin attributable to ordinary
shareholders for the second quarter of 2018 was 26.0%, as
compared to 28.7% for the corresponding period in 2017. For the
first half of 2018, non-GAAP net margin attributable to ordinary
shareholders was 27.6%, as compared to 28.1% for the same period in
2017.
- Non-GAAP net income attributable to ordinary shareholders
per diluted ADS for the second quarter of 2018 was RMB3.28 (US$0.50),
as compared to RMB3.72 for the
corresponding period in 2017. For the first half of 2018, non-GAAP
net income attributable to ordinary shareholders per diluted ADS
was RMB6.87 (US$1.04), as compared to RMB6.72 for the same period in 2017.
Balance Sheet and Cash Flow
As of June 30, 2018, the Company
had RMB1,080.5 million (US$163.3 million) in cash and cash equivalents,
compared to RMB1,527.8 million as of
December 31, 2017.
Net cash provided by operating activities during the
second quarter of 2018 was RMB139.5
million (US$21.1 million). For
the first half of 2018, net cash used in operating activities was
RMB11.1 million (US$1.7 million).
Net cash provided by investing activities during the
second quarter of 2018 was RMB224.5
million (US$33.9 million). For
the first half of 2018, net cash used in investing activities was
RMB332.5 million (US$50.2 million).
Net cash used in financing activities during the second
quarter of 2018 was RMB107.8 million
(US$16.3 million). For the first half
of 2018, net cash used in financing activities was RMB103.7 million (US$15.7
million).
BUSINESS OUTLOOK
The Company estimates that its net income attributable to
ordinary shareholders for the full year of 2018 will be in the
range of RMB532.3 million to
RMB573.3 million, an increase of
30.0% to 40.0% compared to 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
September 6, 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
|
Passcode:
|
5768579
|
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 September 14,
2018:
U.S./International:
|
+1-855-452-5696
|
Hong Kong:
|
800-963-117
|
Mainland
China:
|
400-632-2162
|
Singapore
|
800-616-2305
|
Passcode:
|
5768579
|
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, amortization of intangible assets
related to acquisition and impairment loss of investment in
affiliates. 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, amortization of intangible assets related to
acquisition and impairment loss of investment in affiliates, 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, amortization of intangible
assets related to acquisition and impairment loss of investment in
affiliates 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; and 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
- FINANCIAL AND OPERATIONAL TABLES FOLLOW
-
Jupai Holdings
Limited
|
Unaudited
Condensed Consolidated Balance Sheets
|
(In
RMB)
|
|
|
As of
|
|
December 31,
|
|
June 30,
|
|
June 30,
|
|
2017
|
|
2018
|
|
2018
|
|
RMB
|
|
RMB
|
|
USD
|
Assets
|
|
|
|
|
|
Current
assets:
|
|
|
|
|
|
Cash and cash
equivalents
|
1,527,777,270
|
|
1,080,471,168
|
|
163,284,697
|
Short-term
investments
|
23,203,612
|
|
23,203,612
|
|
3,506,613
|
Accounts
receivable
|
53,512,590
|
|
72,088,811
|
|
10,894,320
|
Other
receivables
|
22,989,264
|
|
18,195,632
|
|
2,749,790
|
Amounts due from
related parties
|
268,760,059
|
|
484,087,163
|
|
73,156,997
|
Other current
assets
|
12,276,204
|
|
15,375,537
|
|
2,323,607
|
Total current
assets
|
1,908,518,999
|
|
1,693,421,923
|
|
255,916,024
|
Long-term
investments
|
50,450,000
|
|
50,450,000
|
|
7,624,186
|
Investment in
affiliates
|
181,922,556
|
|
382,934,110
|
|
57,870,382
|
Amounts due from
related parties — non-current
|
-
|
|
4,563,583
|
|
689,665
|
Property and
equipment, net
|
44,957,054
|
|
40,415,576
|
|
6,107,748
|
Intangible assets,
net
|
74,350,855
|
|
64,764,782
|
|
9,787,487
|
Goodwill
|
261,621,691
|
|
264,919,758
|
|
40,035,629
|
Other non-current
assets
|
32,459,581
|
|
38,381,250
|
|
5,800,313
|
Deferred tax assets —
non-current
|
71,807,042
|
|
71,807,042
|
|
10,851,739
|
Total
Assets
|
2,626,087,778
|
|
2,611,658,024
|
|
394,683,173
|
|
|
|
|
|
|
Liabilities and
Equity
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
Accrued payroll and
welfare expenses
|
212,718,285
|
|
100,195,121
|
|
15,141,848
|
Income tax
payable
|
179,224,777
|
|
208,848,057
|
|
31,561,871
|
Other tax
payable
|
57,325,185
|
|
59,191,640
|
|
8,945,254
|
Dividend
payable
|
-
|
|
18,903,912
|
|
2,856,827
|
Amounts due to
related parties-current
|
27,294,813
|
|
25,509,527
|
|
3,855,092
|
Deferred revenue from
related parties
|
171,546,620
|
|
160,977,027
|
|
24,327,428
|
Deferred
revenue
|
17,921,745
|
|
11,346,039
|
|
1,714,654
|
Other current
liabilities
|
31,941,785
|
|
17,028,269
|
|
2,573,374
|
Total current
liabilities
|
697,973,210
|
|
601,999,592
|
|
90,976,348
|
Deferred revenue —
non-current from related parties
|
62,917,485
|
|
47,801,163
|
|
7,223,884
|
Deferred revenue —
non-current
|
6,611,915
|
|
3,553,957
|
|
537,087
|
Deferred tax
liabilities— non-current
|
4,717,167
|
|
2,483,860
|
|
375,370
|
Total
Liabilities
|
772,219,777
|
|
655,838,572
|
|
99,112,689
|
Equity
|
1,853,868,001
|
|
1,955,819,452
|
|
295,570,484
|
Total Liabilities
and Total Shareholders' Equity
|
2,626,087,778
|
|
2,611,658,024
|
|
394,683,173
|
Jupai Holdings
Limited
|
Unaudited
Condensed Consolidated Income Statements
|
(In RMB, except
for USD data, ADS data and percentages)
|
|
|
Three months
ended
|
|
|
June 30,
|
|
June 30,
|
|
June 30,
|
|
YoY
|
|
2017
|
|
2018
|
|
2018
|
|
Change %
|
|
RMB
|
|
RMB
|
|
USD
|
|
|
Revenues
|
|
|
|
|
|
|
|
Third party
revenues
|
181,615,717
|
|
70,460,817
|
|
10,648,292
|
|
-61.2%
|
Related party
revenues
|
256,327,796
|
|
374,857,647
|
|
56,649,839
|
|
46.2%
|
Total
revenues
|
437,943,513
|
|
445,318,464
|
|
67,298,131
|
|
1.7%
|
Taxes and
surcharges
|
(1,323,349)
|
|
(1,752,939)
|
|
(264,910)
|
|
32.5%
|
Net
revenues
|
436,620,164
|
|
443,565,525
|
|
67,033,221
|
|
1.6%
|
|
|
|
|
|
|
|
|
Operating costs and
expenses:
|
|
|
|
|
|
|
|
Cost of
revenues
|
(161,980,682)
|
|
(173,905,280)
|
|
(26,281,193)
|
|
7.4%
|
Selling
expenses
|
(65,363,762)
|
|
(71,771,603)
|
|
(10,846,383)
|
|
9.8%
|
General and
administrative expenses
|
(45,122,521)
|
|
(52,533,204)
|
|
(7,939,007)
|
|
16.4%
|
Other operating
income — government subsidies
|
1,932,631
|
|
14,899,473
|
|
2,251,662
|
|
670.9%
|
Total operating cost
and expenses
|
(270,534,334)
|
|
(283,310,614)
|
|
(42,814,921)
|
|
4.7%
|
Income from
operations
|
166,085,830
|
|
160,254,911
|
|
24,218,300
|
|
-3.5%
|
|
|
|
|
|
|
|
|
Interest
income
|
1,005,019
|
|
929,446
|
|
140,461
|
|
-7.5%
|
Investment
income
|
2,886,193
|
|
633,532
|
|
95,742
|
|
-78.0%
|
Other (loss)
income
|
(1,761,304)
|
|
278,688
|
|
42,116
|
|
-115.8%
|
Total other
income
|
2,129,908
|
|
1,841,666
|
|
278,319
|
|
-13.5%
|
Income before taxes
and income from equity in affiliates
|
168,215,738
|
|
162,096,577
|
|
24,496,619
|
|
-3.6%
|
Income tax
expense
|
(44,703,075)
|
|
(49,257,419)
|
|
(7,443,958)
|
|
10.2%
|
Income (loss) from
equity in affiliates
|
1,829,772
|
|
(20,051,928)
|
|
(3,030,320)
|
|
-1195.9%
|
Net
income
|
125,342,435
|
|
92,787,230
|
|
14,022,341
|
|
-26.0%
|
Net income
attributable to non-controlling interests
|
(12,880,046)
|
|
(4,945,241)
|
|
(747,343)
|
|
-61.6%
|
Net income
attributable to ordinary shareholders
|
112,462,389
|
|
87,841,989
|
|
13,274,998
|
|
-21.9%
|
|
|
|
|
|
|
|
|
Net income per
ADS:
|
|
|
|
|
|
|
|
Basic
|
3.47
|
|
2.63
|
|
0.40
|
|
-24.2%
|
Diluted
|
3.33
|
|
2.49
|
|
0.38
|
|
-25.2%
|
Weighted average
number of ADSs used in computation:
|
|
|
|
|
|
|
|
Basic
|
32,366,756
|
|
33,402,453
|
|
33,402,453
|
|
3.2%
|
Diluted
|
33,754,351
|
|
35,233,971
|
|
35,233,971
|
|
4.4%
|
Jupai Holdings
Limited
|
Unaudited
Condensed Consolidated Income Statements
|
(In RMB, except
for USD data, ADS data and percentages)
|
|
|
Six months
ended
|
|
|
June 30,
|
|
June 30,
|
|
June 30,
|
|
YoY
|
|
2017
|
|
2018
|
|
2018
|
|
Change %
|
|
RMB
|
|
RMB
|
|
USD
|
|
|
Revenues
|
|
|
|
|
|
|
|
Third party
revenues
|
283,489,110
|
|
130,137,315
|
|
19,666,820
|
|
-54.1%
|
Related party
revenues
|
525,169,327
|
|
749,594,247
|
|
113,281,384
|
|
42.7%
|
Total
revenues
|
808,658,437
|
|
879,731,562
|
|
132,948,204
|
|
8.8%
|
Taxes and
surcharges
|
(3,297,893)
|
|
(2,949,252)
|
|
(445,701)
|
|
-10.6%
|
Net
revenues
|
805,360,544
|
|
876,782,310
|
|
132,502,503
|
|
8.9%
|
|
|
|
|
|
|
|
|
Operating costs and
expenses:
|
|
|
|
|
|
|
|
Cost of
revenues
|
(296,733,214)
|
|
(304,362,763)
|
|
(45,996,397)
|
|
2.6%
|
Selling
expenses
|
(124,882,852)
|
|
(157,125,195)
|
|
(23,745,326)
|
|
25.8%
|
General and
administrative expenses
|
(97,744,401)
|
|
(117,563,389)
|
|
(17,766,603)
|
|
20.3%
|
Other operating
income — government subsidies
|
5,340,843
|
|
15,040,473
|
|
2,272,970
|
|
181.6%
|
Total operating cost
and expenses
|
(514,019,624)
|
|
(564,010,874)
|
|
(85,235,356)
|
|
9.7%
|
Income from
operations
|
291,340,920
|
|
312,771,436
|
|
47,267,147
|
|
7.4%
|
|
|
|
|
|
|
|
|
Interest
income
|
8,508,428
|
|
2,075,494
|
|
313,656
|
|
-75.6%
|
Investment
income
|
4,927,992
|
|
1,762,391
|
|
266,339
|
|
-64.2%
|
Other (loss)
income
|
(1,738,081)
|
|
1,387,560
|
|
209,693
|
|
-179.8%
|
Total other
income
|
11,698,339
|
|
5,225,445
|
|
789,688
|
|
-55.3%
|
Income before taxes
and income from equity in affiliates
|
303,039,259
|
|
317,996,881
|
|
48,056,835
|
|
4.9%
|
Income tax
expense
|
(74,338,103)
|
|
(88,373,667)
|
|
(13,355,347)
|
|
18.9%
|
Loss from equity in
affiliates
|
(3,887,071)
|
|
(21,238,446)
|
|
(3,209,631)
|
|
446.4%
|
Net
income
|
224,814,085
|
|
208,384,768
|
|
31,491,857
|
|
-7.3%
|
Net income
attributable to non-controlling interests
|
(21,658,803)
|
|
(4,665,194)
|
|
(705,021)
|
|
-78.5%
|
Net income
attributable to ordinary shareholders
|
203,155,282
|
|
203,719,574
|
|
30,786,836
|
|
0.3%
|
|
|
|
|
|
|
|
|
Net income per
ADS:
|
|
|
|
|
|
|
|
Basic
|
6.28
|
|
6.12
|
|
0.92
|
|
-2.5%
|
Diluted
|
6.02
|
|
5.79
|
|
0.88
|
|
-3.8%
|
Weighted average
number of ADSs used in computation:
|
|
|
|
|
|
|
|
Basic
|
32,335,540
|
|
33,263,317
|
|
33,263,317
|
|
2.9%
|
Diluted
|
33,746,769
|
|
35,184,517
|
|
35,184,517
|
|
4.3%
|
Jupai
Holdings Limited
|
Unaudited
Condensed Comprehensive Income Statements
|
(In RMB, except
for USD data and percentages)
|
|
|
Three months
ended
|
|
|
June 30,
|
|
June 30,
|
|
June 30,
|
|
Change
|
|
2017
|
|
2018
|
|
2018
|
|
|
|
RMB
|
|
RMB
|
|
USD
|
|
|
Net
income
|
125,342,435
|
|
92,787,230
|
|
14,022,341
|
|
-26.0%
|
Other comprehensive
income, net of tax:
|
|
|
|
|
|
|
|
Change in cumulative
foreign currency translation adjustment
|
(10,039,828)
|
|
23,720,224
|
|
3,584,686
|
|
-336.3%
|
Other comprehensive
income
|
(10,039,828)
|
|
23,720,224
|
|
3,584,686
|
|
-336.3%
|
Comprehensive
income
|
115,302,607
|
|
116,507,454
|
|
17,607,027
|
|
1.0%
|
Less: Comprehensive
income attributable to non-controlling
interests
|
12,880,046
|
|
4,945,241
|
|
747,343
|
|
-61.6%
|
Comprehensive
income attributable to ordinary shareholders
|
102,422,561
|
|
111,562,213
|
|
16,859,684
|
|
8.9%
|
Jupai Holdings
Limited
|
Unaudited
Condensed Comprehensive Income Statements
|
(In RMB, except
for USD data and percentages)
|
|
|
Six months
ended
|
|
|
June 30,
|
|
June 30,
|
|
June 30,
|
|
Change
|
|
2017
|
|
2018
|
|
2018
|
|
|
|
RMB
|
|
RMB
|
|
USD
|
|
|
Net
income
|
224,814,085
|
|
208,384,768
|
|
31,491,857
|
|
-7.3%
|
Other comprehensive
income, net of tax:
|
|
|
|
|
|
|
|
Change in cumulative
foreign currency translation adjustment
|
(16,226,292)
|
|
2,301,164
|
|
347,760
|
|
-114.2%
|
Other comprehensive
income
|
(16,226,292)
|
|
2,301,164
|
|
347,760
|
|
-114.2%
|
Comprehensive
income
|
208,587,793
|
|
210,685,932
|
|
31,839,617
|
|
1.0%
|
Less: Comprehensive
income attributable to non-controlling
interests
|
21,658,803
|
|
4,665,194
|
|
705,021
|
|
-78.5%
|
Comprehensive
income attributable to ordinary shareholders
|
186,928,990
|
|
206,020,738
|
|
31,134,596
|
|
10.2%
|
Jupai Holdings
Limited
|
Reconciliation of
GAAP to Non-GAAP Results
|
(In RMB, except
for ADS data and percentages)
|
|
|
Three months
ended
|
|
|
June 30,
|
|
June 30,
|
|
Change
|
|
2017
|
|
2018
|
|
|
|
RMB
|
|
RMB
|
|
|
Net margin
attributable to ordinary shareholders
|
25.8%
|
|
19.8%
|
|
|
Adjusted net margin
attributable to ordinary shareholders (non-GAAP)
|
28.7%
|
|
26.0%
|
|
|
|
|
|
|
|
|
Net income
attributable to ordinary shareholders
|
112,462,389
|
|
87,841,989
|
|
-21.9%
|
Adjustment for
share-based compensation
|
9,500,023
|
|
6,173,219
|
|
-35.0%
|
Adjustment for
amortization of intangible assets related to acquisition
|
3,530,985
|
|
3,503,125
|
|
-0.8%
|
Adjustment for
impairment loss of investment in affiliates
|
-
|
|
18,000,000
|
|
0.0%
|
Adjusted net income
attributable to ordinary shareholders (non-GAAP)
|
125,493,397
|
|
115,518,333
|
|
-7.9%
|
|
|
|
|
|
|
Net income
attributable to ordinary shareholders per ADS, diluted
|
3.33
|
|
2.49
|
|
-25.2%
|
Adjusted net
income attributable to ordinary shareholders per ADS,
diluted (non-GAAP)
|
3.72
|
|
3.28
|
|
-11.8%
|
|
|
|
|
|
|
Weighted average
number of ADSs used in computation:
|
|
|
|
|
|
Diluted
|
33,754,351
|
|
35,233,971
|
|
4.4%
|
Jupai Holdings
Limited
|
Reconciliation of
GAAP to Non-GAAP Results
|
(In RMB, except
for ADS data and percentages)
|
|
|
Six months
ended
|
|
|
June 30,
|
|
June 30,
|
|
Change
|
|
2017
|
|
2018
|
|
|
|
RMB
|
|
RMB
|
|
|
Net margin
attributable to ordinary shareholders
|
25.2%
|
|
23.2%
|
|
|
Adjusted net margin
attributable to ordinary shareholders (non-GAAP)
|
28.1%
|
|
27.6%
|
|
|
|
|
|
|
|
|
Net income
attributable to ordinary shareholders
|
203,155,282
|
|
203,719,574
|
|
0.3%
|
Adjustment for
share-based compensation
|
16,386,904
|
|
13,086,098
|
|
-20.1%
|
Adjustment for
amortization of intangible assets related to acquisition
|
7,126,943
|
|
6,835,553
|
|
-4.1%
|
Adjustment for
impairment loss of investment in affiliates
|
-
|
|
18,000,000
|
|
0.0%
|
Adjusted net income
attributable to ordinary shareholders (non-GAAP)
|
226,669,129
|
|
241,641,225
|
|
6.6%
|
|
|
|
|
|
|
Net income
attributable to ordinary shareholders per ADS, diluted
|
6.02
|
|
5.79
|
|
-3.8%
|
Adjusted net
income attributable to ordinary shareholders per ADS,
diluted (non-GAAP)
|
6.72
|
|
6.87
|
|
2.2%
|
|
|
|
|
|
|
Weighted average
number of ADSs used in computation:
|
|
|
|
|
|
Diluted
|
33,746,769
|
|
35,184,517
|
|
4.3%
|
View original
content:http://www.prnewswire.com/news-releases/jupai-reports-second-quarter-2018-results-300707886.html
SOURCE Jupai Holdings Limited