BEIJING, Feb. 13, 2018 /PRNewswire/ -- Weibo Corporation
("Weibo" or the "Company") (NASDAQ: WB), a leading social media in
China, today announced its
unaudited financial results for the fourth quarter and fiscal year
ended December 31, 2017.
Fourth Quarter 2017 Highlights
- Net revenues totaled $377.4
million, an increase of 77% year-over-year, exceeding the
Company's guidance between $355
million and $365 million.
- Advertising and marketing revenues were $332.3 million, an increase of 77%
year-over-year.
- Value-added service ("VAS") revenues were $45.1 million, an increase of 81%
year-over-year.
- Net income attributable to Weibo was $131.0 million, an increase of 205%
year-over-year, and diluted net income per share was $0.58, compared to $0.19 for the same period last year.
- Non-GAAP net income attributable to Weibo was $146.0 million, an increase of 90%
year-over-year, and non-GAAP diluted net income per share was
$0.64, compared to $0.34 for the same period last year.
- Adjusted EBITDA was $161.9
million, an increase of 107% year-over-year, or 43% of net
revenues, compared to 37% for the same period last year.
- Monthly active users ("MAUs") had a net addition of
approximately 79 million users year over year and reached 392
million in December 2017. Mobile MAUs
represented 93% of MAUs.
- Average daily active users ("DAUs") had a net addition of
approximately 33 million users year over year and reached 172
million in December 2017.
Fiscal Year 2017 Highlights
- Net revenues totaled $1.15
billion, an increase of 75% year-over-year.
- Advertising and marketing revenues were $996.7 million, an increase of 75%
year-over-year.
- Value-added service revenues were $153.3
million, an increase of 81% year-over-year.
- Net income attributable to Weibo was $352.6 million, an increase of 226%
year-over-year, and diluted net income per share was $1.56, compared to $0.48 for the same period last year.
- Non-GAAP net income attributable to Weibo was $405.7 million, an increase of 121%
year-over-year, and non-GAAP diluted net income per share was
$1.80, compared to $0.82 for the same period last year.
- Adjusted EBITDA was $471.3
million, an increase of 143% year-over-year, or 41% of net
revenues, compared to 30% for the same period last year.
"We are pleased to announce that we have achieved an important
milestone as our total revenues for full-year 2017 surpassed
$1 billion. Revenues from SMEs, key
accounts and non-advertising all saw robust growth, while our
profit and user base reached new highs." said Gaofei Wang, CEO of
Weibo. "Weibo's powerful network effect combined with our continued
user growth and user engagements as well as breadth of ad offerings
have solidified Weibo as an essential element of mobile marketing
in China further strengthens
Weibo's leading position in the social media industry at
large."
Fourth Quarter 2017 Financial Results
For the fourth quarter of 2017, Weibo reported net revenues of
$377.4 million, compared to
$212.7 million for the same period
last year. Advertising and marketing revenues totaled $332.3 million, compared to $187.9 million for the same period last year, and
advertising and marketing revenues from small & medium-sized
enterprises ("SMEs") and key accounts were $294.0 million, compared to $163.2 million for the same period last year, or
an increase of 80% year-over-year. VAS revenues totaled
$45.1 million, compared to
$24.9 million for the same period
last year.
Costs and expenses for the fourth quarter of 2017 totaled
$232.2 million, compared to
$149.1 million for the same period
last year. The increase in costs and expenses was primarily
attributable to more marketing and development expenditures
incurred and higher turnover tax costs (resulting from higher
revenues). Non-GAAP costs and expenses were $220.0 million, compared to $139.2 million for the same period last year.
Income from operations for the fourth quarter of 2017 was
$145.3 million, compared to
$63.7 million for the same period
last year. Non-GAAP income from operations was $157.5 million, compared to $73.5 million for the same period last year.
Non-operating income for the fourth quarter of 2017 was
$1.7 million, compared to a
non-operating loss of $21.3 million
for the same period last year. Non-operating loss for the fourth
quarter of 2016 mainly resulted from $24.2
million impairment on investments, which was excluded under
non-GAAP measures. Income tax expenses were $17.0 million, compared to $55 thousand for the same period last year. The
increase was primarily due to higher profitability and the change
in tax status of the Company's PRC subsidiary in 2017 from being
fully tax exempted to being subject to a reduced enterprise income
tax rate of 12.5%.
Net income attributable to Weibo for the fourth quarter of 2017
was $131.0 million, or diluted net
income per share of $0.58, compared
to $43.0 million for the same period
last year, or diluted net income per share of $0.19. Non-GAAP net income attributable to Weibo
for the fourth quarter of 2017 was $146.0
million, or diluted net income per share of $0.64, compared to $77.0
million for the same period last year, or diluted net income
per share of $0.34.
As of December 31, 2017, Weibo's
cash, cash equivalents and short-term investments totaled
$1.79 billion, compared to
$396.0 million as of December 31, 2016. Aside from earnings, the
increase in cash, cash equivalents and short-term investments was
also attributed to the net proceeds received from the issuance of
$900 million convertible senior
notes. For the fourth quarter of 2017, cash provided by operating
activities was $198.3 million,
capital expenditures totaled $9.0
million, and depreciation and amortization expenses amounted
to $4.5 million.
Fiscal Year 2017 Financial Results
For 2017, Weibo reported net revenues of $1.15 billion, compared to $655.8 million in 2016. Advertising and marketing
revenues totaled $996.7 million,
compared to $571.0 million in 2016.
Advertising and marketing revenues from SMEs and key accounts were
$912.1 million, compared to
$513.1 million for 2016, or an
increase of 78% year-over-year. Revenue from Alibaba was
$84.7 million, compared to
$57.9 million for 2016. VAS revenues
totaled $153.3 million, compared to
$84.8 million for 2016.
Costs and expenses for 2017 totaled $742.5 million, compared to $514.8 million for 2016. The increase in costs
and expenses was primarily due to an increase in marketing
expenses, turnover tax costs (resulting from higher revenues) and
payroll-related expenses. Non-GAAP costs and expenses were
$693.8 million, compared to
$477.2 million for 2016.
Income from operations for 2017 was $407.6 million, compared to $141.0 million for 2016. Non-GAAP income from
operations was $456.2 million,
compared to $178.6 million for
2016.
Non-operating income for 2017 was $9.6
million, compared to a non-operating loss of $31.0 million for 2016. Non-operating loss for
2016 mainly resulted from investment related impairment of
$40.2 million, which was excluded
under non-GAAP measures. Income tax expenses were $66.7 million, compared to $4.3 million for the same period last year. The
increase was primarily due to higher profitability and the change
in tax status of the Company's PRC subsidiary in 2017 from being
fully tax exempted to being subject to a reduced enterprise income
tax rate of 12.5%.
Net income attributable to Weibo for 2017 was $352.6 million, or diluted net income per share
of $1.56, compared to $108.0 million for 2016, or diluted net income
per share of $0.48. Non-GAAP net
income attributable to Weibo for 2017 was $405.7 million, or diluted net income per share
of $1.80, compared to $183.5 million for 2016, or diluted net income
per share of $0.82.
Business Outlook
For the first quarter of 2018, Weibo estimates its net revenues
to be between $335 million and
$345 million, which assumes an
average exchange rate of 6.50 RMB to
US$1.00. This forecast reflects
Weibo's current and preliminary view, which is subject to
change.
Conference Call
Weibo's management team will host a conference call from
6 AM - 7 AM Eastern Time on
February 13, 2018 (or 7 PM -
8 PM Beijing Time on February 13, 2018) to present an overview of the
Company's financial performance and business operations. A live
webcast of the call will be available through the Company's
corporate website at http://ir.weibo.com. The conference call can
be accessed as follows:
US Toll
Free:
|
+1
866-519-4004
|
Hong Kong Toll
Free:
|
800-906-601
|
China Toll
Free:
|
400-620-8038
|
International:
|
+65
6713-5090
|
Passcode for all
regions:
|
6698249
|
A replay of the conference call will be available from
10:00 AM Eastern Time on February 13, 2018 - 9:00 AM Eastern time on February 21, 2018. The dial-in number is +61
2-8199-0299. The passcode for the replay is 6698249.
Non-GAAP Financial Measures
This release contains the following non-GAAP financial measures:
non-GAAP costs and expenses, non-GAAP income from operations,
non-GAAP net income attributable to Weibo, non-GAAP diluted net
income per share attributable to Weibo and adjusted EBITDA. These
non-GAAP financial measures should be considered in addition to,
not as a substitute for, measures of the Company's financial
performance prepared in accordance with U.S. GAAP.
The Company's non-GAAP financial measures exclude stock-based
compensation, amortization of intangible assets, net results of
impairment on investments and gain on sale of investments, non-GAAP
to GAAP reconciling items for the loss attributable to
non-controlling interests, provision for income tax related to the
amortization of intangible assets (other non-GAAP to GAAP
reconciling items have no tax effect), and amortization of
convertible debt issuance cost. Adjusted EBITDA excludes interest
income, net, income tax expenses, and depreciation expenses. The
Company's management uses these non-GAAP financial measures in
their financial and operating decision-making, because management
believes these measures reflect the Company's ongoing operating
performance in a manner that allows more meaningful
period-to-period comparisons. The Company believes that these
non-GAAP financial measures provide useful information to investors
and others in the following ways: (i) in comparing the Company's
current financial results with the Company's past financial results
in a consistent manner, and (ii) in understanding and evaluating
the Company's current operating performance and future prospects in
the same manner as management does, if they so choose. The Company
also believes that the non-GAAP financial measures provide useful
information to both management and investors by excluding certain
expenses, gains (losses) and other items (i) that are not expected
to result in future cash payments or (ii) that are non-recurring in
nature or may not be indicative of the Company's core operating
results and business outlook.
Use of non-GAAP financial measures has limitations. The
Company's non-GAAP financial measures do not include all income and
expense items that affect the Company's operations. They may
not be comparable to non-GAAP financial measures used by other
companies. Accordingly, care should be exercised in
understanding how the Company defines its non-GAAP financial
measures. Reconciliations of the Company's non-GAAP financial
measures to the nearest comparable GAAP measures are set forth in
the section below titled "Unaudited Reconciliation of Non-GAAP to
GAAP Results."
About Weibo
Weibo is a leading social media for people to create, share and
discover Chinese-language content. It provides an unprecedented and
simple way for people and organizations to publicly express
themselves in real time, interact with others and stay connected
with the world. Any user can post a feed and attach multi-media or
long-form content. User relationships on Weibo may be asymmetric;
any user can follow any other user and add comments to a feed while
reposting. This simple, asymmetric and distributed nature of Weibo
allows an original feed to become a live viral conversation
stream.
Weibo enables its advertising and marketing customers to promote
their brands, products and services to users. Weibo offers a wide
range of advertising and marketing solutions to its customers,
ranging from large companies to small and medium-sized enterprises
to individuals. The Company generates a substantial majority of
revenues from the sale of advertising and marketing services,
including the sale of social display ads and promoted feeds. Weibo
has developed and is continuously refining its social interest
graph recommendation engine, which enables its customers to perform
people marketing and target audiences based on user demographics,
social relationships, interests and behaviors, to achieve greater
relevance, engagement and marketing effectiveness.
Safe Harbor Statement
This press release contains forward-looking statements that
relate to, among other things, Weibo's expected financial
performance and strategic and operational plans (as described,
without limitation, in the "Business Outlook" section and in
quotations from management in this press release. Weibo may also
make forward-looking statements in the Company's periodic reports
to the U.S. Securities and Exchange Commission ("SEC"), 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 the
Company's beliefs and expectations, are forward-looking statements.
These forward-looking statements can be identified by terminology,
such as "will," "expects," "anticipates," "future," "intends,"
"plans," "believes," "confidence," "estimates" and similar
statements. Forward-looking statements involve inherent risks and
uncertainties. A number of important factors could cause actual
results to differ materially from those contained in any
forward-looking statement. Potential risks and uncertainties
include, but are not limited to, Weibo's limited operating history
in certain new businesses; failure to grow active user base and the
level of user engagement; the uncertain regulatory landscape in
China; fluctuations in the
Company's quarterly operating results; the Company's reliance on
advertising and marketing sales for a majority of its revenues;
failure to successfully develop, introduce, drive adoption of or
monetize new features and products; failure to compete effectively
for advertising and marketing spending; failure to successfully
integrate acquired businesses; risks associated with the Company's
investments, including equity pick-up and impairment; failure to
compete successfully against new entrants and established industry
competitors; changes in the macro-economic environment, including
the depreciation of the Renminbi; and adverse changes in economic
and political policies of the PRC government and its impact on the
Chinese economy. Further information regarding these and other
risks is included in Weibo's annual report on Form 20-Fs and other
filings with the SEC. All information provided in this press
release is current as of the date hereof, and Weibo assumes no
obligation to update such information, except as required under
applicable law.
Contact:
Investor Relations
Weibo Corporation
Phone: +86 10 5898-3017
Email: ir@staff.weibo.com
WEIBO
CORPORATION
|
UNAUDITED
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
|
(In thousands,
except per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months
ended
|
|
Twelve months
ended
|
|
|
|
December
31,
|
|
September
30,
|
|
December
31,
|
|
|
|
2017
|
|
2016
|
|
2017
|
|
2017
|
|
2016
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
revenues:
|
|
|
|
|
|
|
|
|
|
|
Advertising and
marketing
|
|
$
332,305
|
|
$
187,870
|
|
$
276,803
|
|
$
996,745
|
|
$
570,982
|
Value-added
service
|
|
45,140
|
|
24,878
|
|
43,232
|
|
153,309
|
|
84,818
|
|
Total net
revenues
|
|
377,445
|
|
212,748
|
|
320,035
|
|
1,150,054
|
|
655,800
|
|
|
|
|
|
|
|
|
|
|
|
|
Costs and
expenses:
|
|
|
|
|
|
|
|
|
|
|
Cost of revenues
(a)
|
|
72,005
|
|
49,454
|
|
62,428
|
|
231,255
|
|
171,231
|
Sales and marketing
(a)
|
|
92,665
|
|
48,006
|
|
76,346
|
|
275,537
|
|
148,283
|
Product development
(a)
|
|
57,904
|
|
39,869
|
|
50,770
|
|
193,393
|
|
154,088
|
General and administrative
(a)
|
|
9,592
|
|
11,762
|
|
12,037
|
|
42,315
|
|
41,218
|
|
Total costs and
expenses
|
|
232,166
|
|
149,091
|
|
201,581
|
|
742,500
|
|
514,820
|
Income from
operations
|
|
145,279
|
|
63,657
|
|
118,454
|
|
407,554
|
|
140,980
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-operating income
(loss):
|
|
|
|
|
|
|
|
|
|
|
Impairment on and gain on sale of investments, net
|
|
(2,683)
|
|
(24,232)
|
|
(680)
|
|
(4,733)
|
|
(39,627)
|
Interest and other income , net
|
|
4,363
|
|
2,885
|
|
4,937
|
|
14,290
|
|
8,627
|
|
|
|
1,680
|
|
(21,347)
|
|
4,257
|
|
9,557
|
|
(31,000)
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before income
tax expenses
|
|
146,959
|
|
42,310
|
|
122,711
|
|
417,111
|
|
109,980
|
Income tax
expenses
|
|
(17,045)
|
|
(55)
|
|
(22,022)
|
|
(66,746)
|
|
(4,316)
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
|
129,914
|
|
42,255
|
|
100,689
|
|
350,365
|
|
105,664
|
|
|
|
|
|
|
|
|
|
|
|
|
Less: Net loss attributable to
noncontrolling interests
|
|
(1,068)
|
|
(715)
|
|
(440)
|
|
(2,225)
|
|
(2,363)
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
attributable to Weibo
|
|
$
130,982
|
|
$
42,970
|
|
$
101,129
|
|
$
352,590
|
|
$
108,027
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic net income per
share attributable to Weibo
|
|
$
0.59
|
|
$
0.20
|
|
$
0.46
|
|
$
1.60
|
|
$
0.50
|
Diluted net income
per share attributable to Weibo
|
|
$
0.58
|
|
$
0.19
|
|
$
0.45
|
|
$
1.56
|
|
$
0.48
|
|
|
|
|
|
|
|
|
|
|
|
|
Shares used in
computing basic
|
|
|
|
|
|
|
|
|
|
|
net
income per share attributable to Weibo
|
|
222,189
|
|
217,464
|
|
221,428
|
|
220,555
|
|
214,745
|
Shares used in
computing diluted
|
|
|
|
|
|
|
|
|
|
|
net
income per share attributable to Weibo
|
|
230,465
|
|
224,359
|
|
225,683
|
|
225,363
|
|
222,859
|
|
|
|
|
|
|
|
|
|
|
|
|
(a) Stock-based
compensation in each category:
|
|
|
|
|
|
|
|
|
|
|
|
Cost of
revenues
|
|
$
1,067
|
|
$
801
|
|
$
1,014
|
|
$
3,716
|
|
$
2,616
|
|
Sales and
marketing
|
|
2,216
|
|
1,655
|
|
2,287
|
|
8,264
|
|
5,357
|
|
Product
development
|
|
5,248
|
|
3,716
|
|
6,386
|
|
21,879
|
|
15,076
|
|
General and
administrative
|
|
3,504
|
|
3,547
|
|
3,689
|
|
14,178
|
|
13,853
|
WEIBO
CORPORATION
|
UNAUDITED
CONDENSED CONSOLIDATED BALANCE SHEETS
|
(In
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
December
31,
|
|
December
31,
|
|
|
|
|
2017
|
|
2016
|
|
|
|
|
|
|
|
Assets
|
Current
assets:
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
$
1,000,953
|
|
$
364,766
|
|
|
Short-term
investments
|
|
791,730
|
|
31,188
|
|
|
Accounts receivable,
net
|
|
170,100
|
|
116,054
|
|
|
Prepaid expenses and
other current assets
|
|
69,233
|
|
66,664
|
|
|
Amount due from
SINA
|
|
16,356
|
|
18,565
|
|
|
Current assets
subtotal
|
|
2,048,372
|
|
597,237
|
|
|
|
|
|
|
|
Property and
equipment, net
|
|
33,793
|
|
22,816
|
Goodwill and
intangible assets, net
|
|
13,937
|
|
11,366
|
Investments
|
|
452,337
|
|
399,933
|
Other
assets
|
|
13,380
|
|
5,592
|
Total
assets
|
|
$
2,561,819
|
|
$
1,036,944
|
|
|
|
|
|
|
|
Liabilities and
Shareholders' Equity
|
Liabilities:
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
|
Accounts
payable
|
|
$
134,950
|
|
$
48,997
|
|
|
Accrued and other
liabilities
|
|
268,615
|
|
180,142
|
|
|
Deferred
revenues
|
|
81,311
|
|
48,964
|
|
|
Current liabilities
subtotal
|
|
484,876
|
|
278,103
|
|
|
|
|
|
|
|
|
Long-term
liabilities:
|
|
|
|
|
|
|
Convertible
debt
|
|
879,983
|
|
-
|
|
|
Other long-term
liabilities
|
|
2,166
|
|
1,483
|
|
|
Total liabilities
|
|
1,367,025
|
|
279,586
|
|
|
|
|
|
|
|
Shareholders'
equity:
|
|
|
|
|
|
Weibo shareholders'
equity
|
|
1,192,587
|
|
753,225
|
|
Non-controlling
interests
|
|
2,207
|
|
4,133
|
|
|
Total shareholders'
equity
|
|
1,194,794
|
|
757,358
|
|
|
|
|
|
|
|
Total liabilities and
shareholders' equity
|
|
$
2,561,819
|
|
$
1,036,944
|
WEIBO
CORPORATION
|
UNAUDITED
RECONCILIATION OF NON-GAAP TO GAAP RESULTS
|
(In thousands,
except per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months
ended
|
|
|
|
|
December 31,
2017
|
|
December 31,
2016
|
|
September 30,
2017
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP
|
|
|
|
|
|
Non-GAAP
|
|
|
|
|
|
Non-GAAP
|
|
|
|
|
Actual
|
|
Adjustments
|
|
Results
|
|
Actual
|
|
Adjustments
|
|
Results
|
|
Actual
|
|
Adjustments
|
|
Results
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Advertising and
marketing
|
|
$
332,305
|
|
|
|
$
332,305
|
|
$
187,870
|
|
|
|
$
187,870
|
|
$
276,803
|
|
|
|
$
276,803
|
Value-added
service
|
|
45,140
|
|
|
|
45,140
|
|
24,878
|
|
|
|
24,878
|
|
43,232
|
|
|
|
43,232
|
|
Net
revenues
|
|
$
377,445
|
|
|
|
$
377,445
|
|
$
212,748
|
|
|
|
$
212,748
|
|
$
320,035
|
|
|
|
$
320,035
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(12,035)
|
(a)
|
|
|
|
|
(9,719)
|
(a)
|
|
|
|
|
(13,376)
|
(a)
|
|
|
|
|
|
|
|
(163)
|
(b)
|
|
|
|
|
(154)
|
(b)
|
|
|
|
|
(161)
|
(b)
|
|
Total costs and
expenses
|
|
$
232,166
|
|
$
(12,198)
|
|
$
219,968
|
|
$
149,091
|
|
$
(9,873)
|
|
$
139,218
|
|
$
201,581
|
|
$
(13,537)
|
|
$
188,044
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
12,035
|
(a)
|
|
|
|
|
9,719
|
(a)
|
|
|
|
|
13,376
|
(a)
|
|
|
|
|
|
|
|
163
|
(b)
|
|
|
|
|
154
|
(b)
|
|
|
|
|
161
|
(b)
|
|
Income from
operations
|
|
$
145,279
|
|
$
12,198
|
|
$
157,477
|
|
$
63,657
|
|
$
9,873
|
|
$
73,530
|
|
$
118,454
|
|
$
13,537
|
|
$
131,991
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
12,035
|
(a)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
163
|
(b)
|
|
|
|
|
9,719
|
(a)
|
|
|
|
|
13,376
|
(a)
|
|
|
|
|
|
|
|
2,683
|
(c)
|
|
|
|
|
154
|
(b)
|
|
|
|
|
161
|
(b)
|
|
|
|
|
|
|
|
(528)
|
(d)
|
|
|
|
|
24,232
|
(c)
|
|
|
|
|
680
|
(c)
|
|
|
|
|
|
|
|
(41)
|
(e)
|
|
|
|
|
(72)
|
(d)
|
|
|
|
|
(113)
|
(d)
|
|
|
|
|
|
|
|
690
|
(f)
|
|
|
|
|
(39)
|
(e)
|
|
|
|
|
(40)
|
(e)
|
|
Net income
attributable to Weibo
|
|
$
130,982
|
|
$
15,002
|
|
$
145,984
|
|
$
42,970
|
|
$
33,994
|
|
$
76,964
|
|
$
101,129
|
|
$
14,064
|
|
$
115,193
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted net income
per share attributable to Weibo
attributable to Weibo
|
|
$
0.58
|
*
|
|
|
$
0.64
|
*
|
$
0.19
|
|
|
|
$
0.34
|
|
$
0.45
|
|
|
|
$
0.51
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shares used in
computing diluted
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
net income per share attributable to Weibo
|
|
230,465
|
|
|
|
230,465
|
|
224,359
|
|
|
|
224,359
|
|
225,683
|
|
|
|
225,683
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted
EBITDA:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP net income
attributable to Weibo
|
|
|
|
|
|
$
145,984
|
|
|
|
|
|
$
76,964
|
|
|
|
|
|
$
115,193
|
|
|
Interest
income,net
|
|
|
|
|
|
(5,562)
|
|
|
|
|
|
(2,158)
|
|
|
|
|
|
(5,131)
|
|
|
Income tax
expenses
|
|
|
|
|
|
17,086
|
|
|
|
|
|
94
|
|
|
|
|
|
22,062
|
|
|
Depreciation
expenses
|
|
|
|
|
|
4,350
|
|
|
|
|
|
3,338
|
|
|
|
|
|
3,733
|
|
Adjusted
EBITDA
|
|
|
|
|
|
$
161,858
|
|
|
|
|
|
$
78,238
|
|
|
|
|
|
$
135,857
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
WEIBO
CORPORATION
|
UNAUDITED
RECONCILIATION OF NON-GAAP TO GAAP RESULTS
|
(In thousands,
except per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Twelve months
ended
|
|
|
|
|
|
|
|
|
|
|
December 31,
2017
|
|
December 31,
2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP
|
|
|
|
|
|
Non-GAAP
|
|
|
|
|
|
|
|
|
|
|
Actual
|
|
Adjustments
|
|
Results
|
|
Actual
|
|
Adjustments
|
|
Results
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Advertising and
marketing
|
|
$
996,745
|
|
|
|
$
996,745
|
|
$
570,982
|
|
|
|
$
570,982
|
|
|
|
|
|
|
Value-added
service
|
|
153,309
|
|
|
|
153,309
|
|
84,818
|
|
|
|
84,818
|
|
|
|
|
|
|
|
Net
revenues
|
|
$1,150,054
|
|
|
|
$1,150,054
|
|
$
655,800
|
|
|
|
$
655,800
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(48,037)
|
(a)
|
|
|
|
|
(36,902)
|
(a)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(636)
|
(b)
|
|
|
|
|
(716)
|
(b)
|
|
|
|
|
|
|
|
Total costs and
expenses
|
|
$
742,500
|
|
$
(48,673)
|
|
$
693,827
|
|
$
514,820
|
|
$
(37,618)
|
|
$
477,202
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
48,037
|
(a)
|
|
|
|
|
36,902
|
(a)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
636
|
(b)
|
|
|
|
|
716
|
(b)
|
|
|
|
|
|
|
|
Income from
operations
|
|
$
407,554
|
|
$
48,673
|
|
$
456,227
|
|
$
140,980
|
|
$
37,618
|
|
$
178,598
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
48,037
|
(a)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
636
|
(b)
|
|
|
|
|
36,902
|
(a)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
4,733
|
(c)
|
|
|
|
|
716
|
(b)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(864)
|
(d)
|
|
|
|
|
39,627
|
(c)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(159)
|
(e)
|
|
|
|
|
(1,630)
|
(d)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
690
|
(f)
|
|
|
|
|
(179)
|
(e)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
attributable to Weibo
|
|
$
352,590
|
|
$
53,073
|
|
$
405,663
|
|
$
108,027
|
|
$
75,436
|
|
$
183,463
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted net income
per share attributable to Weibo
attributable to Weibo
|
|
$
1.56
|
|
|
|
$
1.80
|
*
|
$
0.48
|
|
|
|
$
0.82
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shares used in
computing diluted
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
net income per share attributable to Weibo
|
225,363
|
|
1,166
|
(g)
|
226,529
|
|
222,859
|
|
|
|
222,859
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted
EBITDA:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP net income
attributable to Weibo
|
|
|
|
|
|
$
405,663
|
|
|
|
|
|
$
183,463
|
|
|
|
|
|
|
|
|
Interest income,
net
|
|
|
|
|
|
(15,947)
|
|
|
|
|
|
(7,552)
|
|
|
|
|
|
|
|
|
Income tax
expenses
|
|
|
|
|
|
66,905
|
|
|
|
|
|
4,495
|
|
|
|
|
|
|
|
|
Depreciation
expenses
|
|
|
|
|
|
14,693
|
|
|
|
|
|
13,266
|
|
|
|
|
|
|
|
Adjusted
EBITDA
|
|
|
|
|
|
$
471,314
|
|
|
|
|
|
$
193,672
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(a) To exclude
stock-based compensation.
|
(b) To exclude
amortization of intangible assets.
|
(c) To exclude
net results of impairment on investments and gain on sale of
investments.
|
(d) To exclude
non-GAAP to GAAP reconciling items for the loss attributable to
non-controlling interests.
|
(e) To exclude
the provision for income tax related to item (b). Other non-GAAP to
GAAP reconciling items have no income tax effect.
|
Most of the reconciliation
items were recorded in entities in tax free jurisdictions hence no
income tax implications.
|
For impairment on
investments, valuation allowances were made for those differences
the Company does not expect to realize the benefit in the
foreseeable future.
|
(f) To exclude
the amortization of convertible debt issuance
cost.
|
(g) To adjust the
number of shares for dilution resulted from convertible
debt.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
* Net income
attributable to Weibo is adjusted for interest expense of
convertible debt for calculating diluted EPS.
|
WEIBO
CORPORATION
|
UNAUDITED
ADDITIONAL INFORMATION
|
(In
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months
ended
|
|
Twelve months
ended
|
|
|
December
31,
|
|
September
30,
|
|
December
31,
|
|
|
2017
|
|
2016
|
|
2017
|
|
2017
|
|
2016
|
|
|
|
|
|
|
|
|
|
|
|
Net
revenues
|
|
|
|
|
|
|
|
|
|
|
Advertising and
marketing
|
|
|
|
|
|
|
|
|
|
|
Small & medium-sized
enterprises and key accounts
|
$
293,951
|
|
$
163,187
|
|
$
251,456
|
|
$
912,057
|
|
$
513,074
|
|
Alibaba
|
38,354
|
|
24,683
|
|
25,347
|
|
84,688
|
|
57,908
|
|
Subtotal
|
332,305
|
|
187,870
|
|
276,803
|
|
996,745
|
|
570,982
|
|
|
|
|
|
|
|
|
|
|
|
|
Value-added
service
|
45,140
|
|
24,878
|
|
43,232
|
|
153,309
|
|
84,818
|
|
|
$
377,445
|
|
$
212,748
|
|
$
320,035
|
|
$
1,150,054
|
|
$
655,800
|
View original
content:http://www.prnewswire.com/news-releases/weibo-reports-fourth-quarter-and-fiscal-year-2017-unaudited-financial-results-300597750.html
SOURCE Weibo Corporation