Qutoutiao Inc. (“Qutoutiao”, the “Company” or “We”, and together
with its subsidiaries and controlled affiliated entities, the
“Group”) (NASDAQ: QTT), a leading operator of mobile content
platforms in China, today announced its unaudited financial results
in the fourth quarter and fiscal year ended December 31, 2021.
Fourth Quarter 2021
Highlights
- Net revenues was
RMB881.1 million (US$138.3 million), representing a decrease of
32.3% from RMB1,302.4 million in the fourth quarter of 2020, and a
decrease of 8.7% quarter-over-quarter from RMB965.5 million in the
third quarter of 2021.
- Net loss was
RMB298.0 million (US$46.8 million), compared to net loss of RMB81.8
million in the fourth quarter of 2020 and net loss of RMB583.6
million in the third quarter of 2021. Net loss
margin was 33.8%, compared to 6.3% in the fourth quarter
of 2020 and 60.4% in the third quarter of 2021.
- Non-GAAP net
income/(loss)1 was RMB273.5 million
(US$42.9 million), compared to non-GAAP net income of RMB50.8
million in the fourth quarter of 2020 and non-GAAP net loss of
RMB525.1 million in the third quarter of 2021. Non-GAAP net
loss margin was 31.0%, compared to non-GAAP net income
margin of 3.9% in the fourth quarter of 2020 and non-GAAP net loss
margin of 54.4% in the third quarter of 2021.
- Combined average
MAUs2 were 97.6 million, representing a
decrease of 21.7% from 124.7 million in the fourth quarter of 2020;
and a decrease of 17.6% from 118.5 million in the third quarter of
2021.
- Combined average
DAUs3 were 25.0 million, representing a
decrease of 22.6% from 32.3 million in the fourth quarter of 2020;
and a decrease of 5.7% from 26.5 million in the previous
quarter.
- Average daily time spent
per DAU was 43.2 minutes, compared to 50.3 minutes in the
fourth quarter of 2020 and 51.9 minutes in the third quarter of
2021.
Fourth Quarter 2021 Financial Results
Net revenues in the fourth
quarter of 2021 were RMB881.1 million (US$138.3 million), a
decrease of 32.3% from RMB1,302.4 million in the fourth quarter of
2020, and a decrease of 8.7% from RMB965.5 million in the third
quarter of 2021.
Advertising and marketing revenues were RMB821.8
million (US$129.0 million) in the fourth quarter of 2021, a
decrease of 33.8% from RMB1,241.9 million in the fourth quarter of
2020, primarily due to the tightening regulatory environment in
internet and technology sector which, to some extent, resulted in
constrained budgets of advertisers.
Other revenues were RMB59.4 million (US$9.3
million) in the fourth quarter of 2021, a slight decrease of 1.8%
from RMB60.5 million in the fourth quarter of 2020.
Cost of revenues were
RMB199.1million (US$31.2 million) in the fourth quarter of 2021, a
decrease of 54.9% from RMB441.7 million in the fourth quarter of
2020, primarily attributable to decreases in IT infrastructure
costs; gaming revenue sharing; integrated marketing service costs
which are in line with the decrease in integrated marketing service
revenues; and costs related to live-streaming revenue sharing and
compensation expenses.
Gross profit was RMB682.0
million (US$107.0 million) in the fourth quarter of 2021, a
decrease of 20.8% from RMB860.7 million in the fourth quarter of
2020. Gross margin was 77.4%, compared to 66.1% in
the fourth quarter of 2020. The improved gross margin was primarily
attributed to changes in product mix.
Research and development
expenses were RMB88.7 million (US$13.9 million) in the
fourth quarter of 2021, a decrease of 55.6% from RMB199.7 million
in the fourth quarter of 2020 primarily due to a reduction in
overall research and development headcount and consequentially the
decrease in compensation expenses, including share-based
compensations.
Sales and marketing expenses
were RMB796.0 million (US$124.9 million) in the fourth quarter of
2021, an increase of 17.0% from RMB680.3 million in the fourth
quarter of 2020, primarily due to the expansion of Midu Novels.
Sales and marketing expenses as a percentage of net revenues were
90.3% in the fourth quarter of 2021, compared to 52.2% in the
fourth quarter of 2020.
User engagement expenses were RMB156.5 million
(US$24.6 million) in the fourth quarter of 2021, representing a
decrease of 4.1% year-over-year. User engagement expenses per DAU
per day were RMB 0.07 in the fourth quarter of 2021, compared to
RMB0.05 in the fourth quarter of 2020.
User acquisition expenses were RMB599.8 million
(US$94.1 million) in the fourth quarter of 2021, an increase of
51.0% year-over-year. User acquisition expenses consist of the
costs of both word-of-mouth referrals and third-party marketing.
The year-over-year increase was primarily due to the expansion of
Midu Novels. User acquisition expenses per new installed user4 in
the fourth quarter of 2021 were RMB8.26, compared to RMB7.89 in the
fourth quarter of 2020.
Other sales and marketing expenses were RMB39.7
million (US$6.2 million) in the fourth quarter of 2021,
representing a decrease of 66.9% year-over-year from RMB119.9
million in the fourth quarter of 2020, primarily due to an overall
headcount reduction in sales personnel and consequentially the
decrease in compensations as well as ESOP expenses and decrease in
brand promotion expenses.
General and administrative
expenses were RMB62.6 million (US$9.8 million) in the
fourth quarter of 2021, a decrease of 33.7% from RMB94.4 million in
the fourth quarter of 2020, mainly due to a reduction in overall
administrative headcount and consequentially the decrease in
compensations as well as ESOP expenses. The decrease was partially
offset by an increase in additional expected credit loss provision
recorded in the fourth quarter of 2021 under ASC 326, Measurement
of Credit Losses on Financial Instruments.
Loss from operations was
RMB247.8 million (US$38.9 million) in the fourth quarter of 2021,
compared to RMB90.1 million in the fourth quarter of 2020.
Operating loss margin was 28.1%, compared to 6.9%
in the fourth quarter of 2020.
Non-operating loss was RMB45.2
million (US$7.1 million) in the fourth quarter of 2021, which
mainly included investment loss of RMB36.8 million due to
impairment loss on certain investments as well as net interest
expenses of RMB8.3 million. Non-operating gain for the fourth
quarter of 2020 was RMB7.9 million, which mainly included RMB20.0
million gain associated with fair value changes on long-term
investments, offset by net interest expenses of RMB9.5 million.
Non-GAAP loss from operations
was RMB223.3 million (US$35.0 million) in the fourth quarter of
2021, compared to a Non-GAAP gain from operations of RMB42.5
million in the fourth quarter of 2020.
Non-GAAP operating loss margin
was 25.3% in the fourth quarter of 2021, compared to a Non-GAAP
operating gain margin of 3.3% in the fourth quarter of 2020.
Net loss was RMB298.0 million
(US$46.8 million) in the fourth quarter of 2021, compared to
RMB81.8 million in the fourth quarter of 2020. Net loss
margin was 33.8%, compared to 6.3% in the fourth quarter
of 2020.
Non-GAAP net loss was RMB273.5
million (US$42.9 million) in the fourth quarter of 2021, compared
to a Non-GAAP net gain of RMB50.8 million in the fourth quarter of
2020. Non-GAAP net loss margin was 31.0%, compared
to a Non-GAAP net gain margin of 3.9% in the fourth quarter of
2020.
Net loss attributable to Qutoutiao
Inc.'s ordinary shareholders was RMB326.3 million (US$51.2
million) in the fourth quarter of 2021, compared to RMB78.7 million
in the fourth quarter of 2020.
Non-GAAP net loss attributable to
Qutoutiao Inc.'s ordinary shareholders
was RMB301.8 million (US$47.4 million) in the fourth quarter of
2021, compared to RMB54.0 million in the fourth quarter of
2020.
Basic and diluted net loss per American
Depositary Share (“ADS”) was RMB10.69 (US$1.68) in the
fourth quarter of 2021. Non-GAAP basic and diluted net loss
per ADS was RMB9.88 (US$1.55) in the fourth quarter of
2021.
Balance Sheet
As of December 31, 2021, the Company had cash,
cash equivalents, restricted cash and short-term investments of
RMB658.9 million (US$103.4 million), compared to RMB985.8 million
as of December 31, 2020.
The Group has incurred accumulated and recurring
losses from operations, and cash outflows from operating
activities. As of December 31, 2021, the Company had a negative
working capital. In addition, the convertible loan of the Company
with principal amount of US$171.1 million (RMB1,109.3 million) had
the original maturity date on April 4, 2022.
The Company is currently exploring a variety of
measures to improve the Group’s liquidity and financial position,
which include continuing efforts to optimize its user loyalty
programs and traffic acquisition strategy to efficiently control
and reduce costs and continuing to be selective in its content and
better leverage its existing content varieties to attract and
maintain users. These measures can in turn lead to savings in user
related costs. The Company is also planning to preserve liquidity
and manage cash flows by reducing expenditure on developing and
maintaining smaller and novel applications and limiting other
general and administrative expenses, to obtain additional external
financing and funds through, including but not limited to,
additional credit facilities obtained from banks in the normal
course of business, potential additional issuances of equity and/or
debt as a Group or through its subsidiaries, and sale of its
assets, including the Group’s equity interest in its subsidiaries,
to third parties.
The Company and the creditor entered into two
supplemental agreements to the original convertible loan agreement
on March 28, 2022 and April 29, 2022, respectively. According to
the supplemental agreements, the original convertible loan has been
extended to May 28, 2022. The total amount of principal and
accumulated interest as of May 28, 2022 will be approximately
RMB1.5 billion. The Company cannot assure that it will be able to
further extend the maturity date of the convertible loan.
Facts and circumstances including accumulated
and recurring losses from operations, net cash used in operating
activities, negative working capital and uncertainties on the
repayment of the convertible loan, raise substantial doubt about
the Group’s ability to continue as a going concern. The fourth
quarter and fiscal year 2021 unaudited financial information does
not include any adjustment that is reflective of this
uncertainty.
Fiscal Year 2021 Financial Results
Net revenues in the fiscal year
of 2021 were RMB4,339.6 million (US$681.0 million), a decrease of
17.9% from RMB5,285.2 million in the fiscal year of 2020.
Advertising and marketing revenues were
RMB4,090.4 million (US$641.9 million) in the fiscal year of 2021, a
decrease of 19.0% from RMB5,046.8 million in the prior year,
primarily due to the tightening regulatory environment in internet
and technology sector which, to some extent, resulted in
constrained budgets of advertisers.
Other revenues were RMB249.2 million (US$39.1
million) in the fiscal year of 2021, an increase of 4.6% from
RMB238.4 million in the fiscal year of 2020.
Cost of revenues was RMB1,171.6
million (US$183.9 million) in the fiscal year of 2021, a decrease
of 30.0% from RMB1,674.4 million in the fiscal year of 2020,
primarily attributable to the decrease in bandwidth and IT
infrastructure costs, integrated marketing service costs which are
in line with the decrease in integrated marketing service revenues,
salaries and benefits associated with content management personnel
as well as live-streaming and online games revenue share. The
decrease was partially offset by an increase in Midu content
procurement costs.
Gross profit was RMB3,168.0
million (US$497.1 million) in the fiscal year of 2021, a decrease
of 12.3% from RMB3,610.8 million in the prior year. Gross
margin was 73.0%, compared to 68.3% in the fiscal year of
2020.
Research and development
expenses were RMB551.6 million (US$86.6 million) in the
fiscal year of 2021, a decrease of 41.8% from RMB947.9 million in
the prior year, primarily due to the reduction in research and
development headcount and sequentially a decrease in salaries as
well as ESOP expenses.
Sales and marketing expenses
were RMB3,483.8 million (US$546.9 million) in the fiscal year of
2021, a slight increase of 3.0% from RMB3,381.6 million in the
fiscal year of 2020.
General and administrative
expenses were RMB431.9 million (US$67.8 million) in the
fiscal year of 2021, an increase of 10.0% from RMB392.8 million in
the fiscal year of 2020, primarily due to an increase in additional
expected credit loss provision recorded in 2021 under ASC 326,
Measurement of Credit Losses on Financial Instruments, which was
partially offset by decrease in salaries as well as other
administrative expenses.
Loss from operations was
RMB1,193.2 million (US$187.2 million), compared to RMB1,032.2
million in the fiscal year of 2020. Operating loss
margin was 27.5%, compared to 19.5% in the fiscal year of
2020.
Non-GAAP loss from operations
was RMB993.0 million (US$155.8 million), compared to RMB569.0
million in the fiscal year of 2020. Non-GAAP operating loss
margin was 22.9%, compared to non-GAAP operating loss
margin of 10.8% in the fiscal year of 2020.
Net loss was RMB1,240.2 million
(US$194.6 million) in the fiscal year of 2021, compared to a net
loss of RMB1,105.2 million in the fiscal year of 2020. Net
loss margin was 28.6%, compared to 20.9% in the fiscal
year of 2020.
Non-GAAP net loss was
RMB1,040.0 million (US$163.2 million), compared to Non-GAAP net
loss of RMB642.0 million in the fiscal year of 2020.
Non-GAAP net loss margin was 24.0%, compared to
12.1% in the fiscal year of 2020.
Net loss attributable to
Qutoutiao Inc.'s ordinary
shareholders was RMB1,348.5 million (US$211.6 million),
compared to RMB1,137.9 million in the fiscal year of 2020.
Non-GAAP net loss attributable to Qutoutiao Inc.'s
ordinary shareholders was RMB1,148.3
million (US$180.2 million), compared to RMB674.7 million in the
fiscal year of 2020.
Recent Development
Change to the Board of Directors
Mr. Lei Li resigned as Vice Chairman of the
Board of Directors of the Company due to personal reasons. The
resignation became effective on April 29, 2022. Following his
resignation, the Board of the Company is now comprised of five
members.
About Qutoutiao Inc.
Qutoutiao Inc. operates a mobile content
platforms in China with a mission to bring fun and value to its
users. The eponymous mobile application, Qutoutiao, meaning “fun
headlines” in Chinese, applies artificial intelligence-based
algorithms to deliver customized feeds of articles and short videos
to users based on their unique profiles, interests and behaviors.
Qutoutiao has attracted a large group of users, many of whom are
from lower-tier cities in China. They enjoy Qutoutiao’s fun and
entertainment-oriented content as well as its social-based user
loyalty program. Midu, first launched in May 2018 as Midu Novels
and with an alternative version Midu Lite launched one year later,
pioneered provision of free online literature supported by
advertising. It has been one of the market leaders of the free
online literature industry since inception. The Company will
continue to bring more exciting products to users through
innovation, and strive towards creating a leading global online
content ecosystem.
For more information, please visit:
https://ir.qutoutiao.net.
Use of Non-GAAP Financial Measures
We use non-GAAP profit or loss from operations,
non-GAAP operating profit or loss margin, non-GAAP net profit loss,
non-GAAP net profit or loss margin, non-GAAP net profit or loss
attributable to Qutoutiao Inc.’s ordinary shareholders and non-GAAP
basic and diluted net profit or loss per ADS, which are non-GAAP
financial measures, in evaluating our operating results and for
financial and operational decision-making purposes. Each of these
non-GAAP financial measures represents the corresponding GAAP
financial measure before share-based compensation expenses. We
believe that such non-GAAP financial measures help identify
underlying trends in our business that could otherwise be distorted
by the effect of such share-based compensation expenses that we
include in cost of revenues, total operating expenses and net loss.
We believe that all such non-GAAP financial measures also provide
useful information about our operating results, enhance the overall
understanding of our past performance and future prospects and
allow for greater visibility with respect to key metrics used by
our management in its financial and operational
decision-making.
The non-GAAP financial measures are not defined
under U.S. GAAP and are not presented in accordance with U.S. GAAP.
They should not be considered in isolation or construed as
alternatives to net loss or any other measure of performance
prepared in accordance with U.S. GAAP or as an indicator of our
operating performance. We mitigate these limitations by reconciling
the non-GAAP financial measures to the most comparable U.S. GAAP
performance measures, all of which should be considered when
evaluating our performance. For more information on these non-GAAP
financial measures, please see the table captioned “Reconciliations
of GAAP and Non-GAAP Results” set forth at the end of this press
release.
Exchange Rate Information
This announcement contains translations of
certain RMB amounts into U.S. dollars at a specified rate solely
for the convenience of the reader. Unless otherwise noted, all
translations from RMB to U.S. dollars are made at a rate of
RMB6.3726 to US$1.00, the rate in effect as of December 31, 2021 as
set forth in the H.10 statistical release of the Federal Reserve
Board. The Company makes no representation that the RMB or US$
amounts referred could be converted into US$ or RMB, as the case
may be, at any particular rate or at all.
Safe Harbor Statement
This announcement contains forward-looking
statements. These statements are made under the "safe harbor"
provisions of the United States 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" and similar
statements. Statements that are not historical facts, including
statements about Qutoutiao's beliefs, plans and expectations, are
forward-looking statements. Among other things, the “Business
Outlook” section and quotations from management in this
announcement, contain 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: Qutoutiao’s strategies; Qutoutiao’s
future business development, financial condition and results of
operations; Qutoutiao’s ability to retain and increase the number
of users and provide quality content; competition in the mobile
content platform industry; Qutoutiao’s ability to manage its costs
and expenses; the future developments of the COVID-19 pandemic;
general economic and business conditions globally and in China; and
assumptions underlying or related to any of the foregoing. Further
information regarding these and other risks is included in
Qutoutiao's filings with the SEC. All information provided in this
press release is as of the date of this press release, and
Qutoutiao does not undertake any obligation to update any
forward-looking statement, except as required under applicable
law.
For investor and media inquiries, please
contact:
Qutoutiao Inc.Investor RelationsTel:
+86-21-5889-0398E-mail: ir@qutoutiao.net
QUTOUTIAO INC.UNAUDITED
CONDENSED CONSOLIDATED BALANCE SHEETS(All amounts in
thousand RMB, or otherwise noted)
|
|
As of December 31, |
|
|
As of December 31, |
|
|
|
2020 |
|
|
2021 |
|
|
|
|
|
|
|
|
|
|
ASSETS |
|
|
|
|
|
|
|
|
Current assets: |
|
|
|
|
|
|
|
|
Cash and cash equivalents |
|
|
494,475 |
|
|
|
240,351 |
|
Restricted cash |
|
|
100,316 |
|
|
|
75,482 |
|
Short-term investments |
|
|
391,033 |
|
|
|
343,017 |
|
Accounts receivable, net |
|
|
737,789 |
|
|
|
770,919 |
|
Amount due from related
parties |
|
|
383,594 |
|
|
|
259,863 |
|
Prepayments and other current
assets |
|
|
365,109 |
|
|
|
172,877 |
|
Total current
assets |
|
|
2,472,316 |
|
|
|
1,862,509 |
|
|
|
|
|
|
|
|
|
|
Non-current assets: |
|
|
|
|
|
|
|
|
Accounts receivables, non-current |
|
|
54,639 |
|
|
|
- |
|
Long-term Investments |
|
|
82,889 |
|
|
|
1,416 |
|
Property and equipment,
net |
|
|
17,213 |
|
|
|
12,861 |
|
Intangible assets |
|
|
83,123 |
|
|
|
165,270 |
|
Goodwill |
|
|
7,268 |
|
|
|
7,268 |
|
Right-of-use assets, net |
|
|
50,319 |
|
|
|
26,342 |
|
Other non-current assets |
|
|
148,091 |
|
|
|
4,809 |
|
Total non-current
assets |
|
|
443,542 |
|
|
|
217,966 |
|
Total
assets |
|
|
2,915,858 |
|
|
|
2,080,475 |
|
|
|
|
|
|
|
|
|
|
LIABILITIES,
REDEEMABLE NON-CONTROLLING INTEREST AND SHAREHOLDERS'
EQUITY |
|
|
|
|
|
|
|
|
Current liabilities: |
|
|
|
|
|
|
|
|
Short-term borrowings |
|
|
70,000 |
|
|
|
20,000 |
|
Accounts payable |
|
|
448,981 |
|
|
|
313,768 |
|
Amount due to related
parties |
|
|
22,477 |
|
|
|
6,928 |
|
Registered users' loyalty
payable |
|
|
72,627 |
|
|
|
61,691 |
|
Advance from customers and
deferred revenue |
|
|
140,776 |
|
|
|
122,597 |
|
Salary and welfare
payable |
|
|
149,704 |
|
|
|
65,987 |
|
Tax payable |
|
|
97,144 |
|
|
|
43,879 |
|
Lease liabilities,
current |
|
|
20,760 |
|
|
|
11,897 |
|
Accrued liabilities related to
users' loyalty programs |
|
|
100,088 |
|
|
|
99,360 |
|
Accrued liabilities and other
current liabilities |
|
|
763,433 |
|
|
|
1,334,603 |
|
Convertible loan -
current |
|
|
- |
|
|
|
1,182,963 |
|
Total current
liabilities |
|
|
1,885,990 |
|
|
|
3,263,673 |
|
|
|
|
|
|
|
|
|
|
Lease liabilities,
non-current |
|
|
23,756 |
|
|
|
15,985 |
|
Convertible loan |
|
|
1,174,868 |
|
|
|
- |
|
Deferred tax liabilities |
|
|
18,825 |
|
|
|
16,422 |
|
Other non-current
liabilities |
|
|
4,256 |
|
|
|
1,733 |
|
Non-current
liabilities |
|
|
1,221,705 |
|
|
|
34,140 |
|
Total
liabilities |
|
|
3,107,695 |
|
|
|
3,297,813 |
|
|
|
|
|
|
|
|
|
|
Total redeemable
non-controlling interests |
|
|
1,093,526 |
|
|
|
1,172,218 |
|
|
|
|
|
|
|
|
|
|
Shareholders'
deficit |
|
|
|
|
|
|
|
|
Ordinary shares |
|
|
47 |
|
|
|
50 |
|
Treasury stock |
|
|
(142,229 |
) |
|
|
(142,229 |
) |
Additional paid-in capital |
|
|
4,784,315 |
|
|
|
4,979,353 |
|
Accumulated other comprehensive income |
|
|
84,320 |
|
|
|
129,010 |
|
Accumulated deficit |
|
|
(6,007,227 |
) |
|
|
(7,355,740 |
) |
Total Qutoutiao Inc.
shareholders' deficit |
|
|
(1,280,774 |
) |
|
|
(2,389,556 |
) |
Non-controlling interests |
|
|
(4,589 |
) |
|
|
- |
|
Total
deficit |
|
|
(1,285,363 |
) |
|
|
(2,389,556 |
) |
|
|
|
|
|
|
|
|
|
Total liabilities,
redeemable non-controlling interests and shareholders'
deficit |
|
|
2,915,858 |
|
|
|
2,080,475 |
|
|
|
|
|
|
|
|
|
|
QUTOUTIAO INC. UNAUDITED
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS(All
amounts in thousand RMB, except ADS data, or otherwise noted)
|
|
For the three months ended |
|
|
For the fiscal year ended |
|
|
|
December 31 |
|
|
September 30 |
|
|
December 31 |
|
|
December 31 |
|
|
December 31 |
|
|
|
2020 |
|
|
2021 |
|
|
2021 |
|
|
2020 |
|
|
2021 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Advertising and marketing
revenues |
|
|
1,241,938 |
|
|
|
899,215 |
|
|
|
821,765 |
|
|
|
5,046,835 |
|
|
|
4,090,383 |
|
Other revenues |
|
|
60,453 |
|
|
|
66,297 |
|
|
|
59,372 |
|
|
|
238,360 |
|
|
|
249,220 |
|
Net
revenues |
|
|
1,302,391 |
|
|
|
965,512 |
|
|
|
881,137 |
|
|
|
5,285,195 |
|
|
|
4,339,603 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of revenues |
|
|
(441,691 |
) |
|
|
(267,268 |
) |
|
|
(199,139 |
) |
|
|
(1,674,416 |
) |
|
|
(1,171,626 |
) |
Gross
profit |
|
|
860,700 |
|
|
|
698,244 |
|
|
|
681,998 |
|
|
|
3,610,779 |
|
|
|
3,167,977 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Research and development
expenses |
|
|
(199,688 |
) |
|
|
(140,014 |
) |
|
|
(88,741 |
) |
|
|
(947,871 |
) |
|
|
(551,612 |
) |
Sales and marketing
expenses |
|
|
(680,261 |
) |
|
|
(982,024 |
) |
|
|
(795,992 |
) |
|
|
(3,381,560 |
) |
|
|
(3,483,773 |
) |
General and administrative
expenses |
|
|
(94,389 |
) |
|
|
(174,258 |
) |
|
|
(62,603 |
) |
|
|
(392,816 |
) |
|
|
(431,913 |
) |
Total operating expenses |
|
|
(974,338 |
) |
|
|
(1,296,296 |
) |
|
|
(947,336 |
) |
|
|
(4,722,247 |
) |
|
|
(4,467,298 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other operating income |
|
|
23,545 |
|
|
|
23,883 |
|
|
|
17,569 |
|
|
|
79,299 |
|
|
|
106,098 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss from
Operations |
|
|
(90,092 |
) |
|
|
(574,169 |
) |
|
|
(247,769 |
) |
|
|
(1,032,169 |
) |
|
|
(1,193,223 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment income/ (expenses),
net |
|
|
19,990 |
|
|
|
705 |
|
|
|
(35,856 |
) |
|
|
(31,788 |
) |
|
|
(36,041 |
) |
Interest expense, net |
|
|
(9,452 |
) |
|
|
(8,107 |
) |
|
|
(8,327 |
) |
|
|
(27,724 |
) |
|
|
(32,303 |
) |
Foreign exchange related
gain/(loss), net |
|
|
(1,571 |
) |
|
|
(2 |
) |
|
|
(328 |
) |
|
|
(7,183 |
) |
|
|
(1 |
) |
Other income/(expense),
net |
|
|
(1,033 |
) |
|
|
(918 |
) |
|
|
(691 |
) |
|
|
(7,310 |
) |
|
|
27,637 |
|
Non-operating income /
(loss) |
|
|
7,934 |
|
|
|
(8,322 |
) |
|
|
(45,202 |
) |
|
|
(74,005 |
) |
|
|
(40,708 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss before provision for
income taxes |
|
|
(82,158 |
) |
|
|
(582,491 |
) |
|
|
(292,971 |
) |
|
|
(1,106,174 |
) |
|
|
(1,233,931 |
) |
Income tax benefits/
(expense), net |
|
|
349 |
|
|
|
(576 |
) |
|
|
(2,994 |
) |
|
|
1,008 |
|
|
|
(3,050 |
) |
Equity method loss of
affiliate companies |
|
|
- |
|
|
|
(581 |
) |
|
|
(2,037 |
) |
|
|
- |
|
|
|
(3,195 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss |
|
|
(81,809 |
) |
|
|
(583,648 |
) |
|
|
(298,002 |
) |
|
|
(1,105,166 |
) |
|
|
(1,240,176 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss attributable to
non-controlling interests |
|
|
250 |
|
|
|
214 |
|
|
|
- |
|
|
|
727 |
|
|
|
559 |
|
Net loss attributable
to Qutoutiao Inc. |
|
|
(81,559 |
) |
|
|
(583,434 |
) |
|
|
(298,002 |
) |
|
|
(1,104,439 |
) |
|
|
(1,239,617 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accretion to convertible
redeemable preferred shares redemption value of a subsidiary |
|
|
(11,942 |
) |
|
|
(27,698 |
) |
|
|
(28,323 |
) |
|
|
(48,277 |
) |
|
|
(108,896 |
) |
Gains on repurchase of
preferred shares |
|
|
14,842 |
|
|
|
- |
|
|
|
- |
|
|
|
14,842 |
|
|
|
- |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss attributable
to Qutoutiao Inc.'s ordinary
shareholders |
|
|
(78,659 |
) |
|
|
(611,132 |
) |
|
|
(326,325 |
) |
|
|
(1,137,874 |
) |
|
|
(1,348,513 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss |
|
|
(81,809 |
) |
|
|
(583,648 |
) |
|
|
(298,002 |
) |
|
|
(1,105,166 |
) |
|
|
(1,240,176 |
) |
Other comprehensive
income/(loss): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Foreign currency translation
adjustment, net of nil tax |
|
|
67,967 |
|
|
|
(6,727 |
) |
|
|
32,330 |
|
|
|
102,254 |
|
|
|
44,690 |
|
Total comprehensive
loss |
|
|
(13,841 |
) |
|
|
(590,375 |
) |
|
|
(265,672 |
) |
|
|
(1,002,912 |
) |
|
|
(1,195,486 |
) |
Comprehensive loss
attributable to non-controlling interests |
|
|
250 |
|
|
|
214 |
|
|
|
- |
|
|
|
727 |
|
|
|
559 |
|
Comprehensive loss
attributable to Qutoutiao Inc. |
|
|
(13,591 |
) |
|
|
(590,161 |
) |
|
|
(265,672 |
) |
|
|
(1,002,185 |
) |
|
|
(1,194,927 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss per
ADS: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- Basic and diluted |
|
|
(2.65 |
) |
|
|
(20.10 |
) |
|
|
(10.69 |
) |
|
|
(39.23 |
) |
|
|
(44.50 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
number of ADS used in computing basic and diluted
earnings per ADS(Note): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- Basic |
|
|
29,704,591 |
|
|
|
30,404,904 |
|
|
|
30,538,755 |
|
|
|
29,005,230 |
|
|
|
30,307,013 |
|
- Diluted |
|
|
29,704,591 |
|
|
|
30,404,904 |
|
|
|
30,538,755 |
|
|
|
29,005,230 |
|
|
|
30,307,013 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
QUTOUTIAO
INC.Reconciliation of GAAP And Non-GAAP
Results(All amounts in thousand RMB, except ADS data, or
otherwise noted)
|
|
For the three months ended |
|
|
For the fiscal year ended |
|
|
|
December 31 |
|
|
September 30 |
|
|
December 31 |
|
|
December 31 |
|
|
December 31 |
|
|
|
2020 |
|
|
2021 |
|
|
2021 |
|
|
2020 |
|
|
2021 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss from
Operations |
|
|
(90,092 |
) |
|
|
(574,169 |
) |
|
|
(247,769 |
) |
|
|
(1,032,169 |
) |
|
|
(1,193,223 |
) |
Add: Share-based compensation
expenses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of revenues |
|
|
1,982 |
|
|
|
170 |
|
|
|
21 |
|
|
|
12,905 |
|
|
|
1,187 |
|
General and administrative |
|
|
44,714 |
|
|
|
12,822 |
|
|
|
7,115 |
|
|
|
159,320 |
|
|
|
64,039 |
|
Sales and marketing |
|
|
39,252 |
|
|
|
23,230 |
|
|
|
6,582 |
|
|
|
86,656 |
|
|
|
32,122 |
|
Research and development |
|
|
46,669 |
|
|
|
22,280 |
|
|
|
10,789 |
|
|
|
204,333 |
|
|
|
102,838 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP Income/(Loss)
from Operations |
|
|
42,525 |
|
|
|
(515,667 |
) |
|
|
(223,262 |
) |
|
|
(568,955 |
) |
|
|
(993,038 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss |
|
|
(81,809 |
) |
|
|
(583,648 |
) |
|
|
(298,002 |
) |
|
|
(1,105,166 |
) |
|
|
(1,240,176 |
) |
Add: Share-based compensation
expenses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of revenues |
|
|
1,982 |
|
|
|
170 |
|
|
|
21 |
|
|
|
12,905 |
|
|
|
1,187 |
|
General and administrative |
|
|
44,714 |
|
|
|
12,822 |
|
|
|
7,115 |
|
|
|
159,320 |
|
|
|
64,039 |
|
Sales and marketing |
|
|
39,252 |
|
|
|
23,230 |
|
|
|
6,582 |
|
|
|
86,656 |
|
|
|
32,122 |
|
Research and development |
|
|
46,669 |
|
|
|
22,280 |
|
|
|
10,789 |
|
|
|
204,333 |
|
|
|
102,838 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP net
income/(loss) |
|
|
50,808 |
|
|
|
(525,146 |
) |
|
|
(273,495 |
) |
|
|
(641,952 |
) |
|
|
(1,039,990 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss attributable to
Qutoutiao Inc. |
|
|
(81,559 |
) |
|
|
(583,434 |
) |
|
|
(298,002 |
) |
|
|
(1,104,439 |
) |
|
|
(1,239,617 |
) |
Add: Share-based compensation
expenses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of revenues |
|
|
1,982 |
|
|
|
170 |
|
|
|
21 |
|
|
|
12,905 |
|
|
|
1,187 |
|
General and administrative |
|
|
44,714 |
|
|
|
12,822 |
|
|
|
7,115 |
|
|
|
159,320 |
|
|
|
64,039 |
|
Sales and marketing |
|
|
39,252 |
|
|
|
23,230 |
|
|
|
6,582 |
|
|
|
86,656 |
|
|
|
32,122 |
|
Research and development |
|
|
46,669 |
|
|
|
22,280 |
|
|
|
10,789 |
|
|
|
204,333 |
|
|
|
102,838 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP net
income/(loss) attributable to Qutoutiao
Inc. |
|
|
51,058 |
|
|
|
(524,932 |
) |
|
|
(273,495 |
) |
|
|
(641,225 |
) |
|
|
(1,039,431 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss attributable
to Qutoutiao Inc.’s ordinary
shareholders |
|
|
(78,659 |
) |
|
|
(611,132 |
) |
|
|
(326,325 |
) |
|
|
(1,137,874 |
) |
|
|
(1,348,513 |
) |
Add: Share-based compensation
expenses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of revenues |
|
|
1,982 |
|
|
|
170 |
|
|
|
21 |
|
|
|
12,905 |
|
|
|
1,187 |
|
General and administrative |
|
|
44,714 |
|
|
|
12,822 |
|
|
|
7,115 |
|
|
|
159,320 |
|
|
|
64,039 |
|
Sales and marketing |
|
|
39,252 |
|
|
|
23,230 |
|
|
|
6,582 |
|
|
|
86,656 |
|
|
|
32,122 |
|
Research and development |
|
|
46,669 |
|
|
|
22,280 |
|
|
|
10,789 |
|
|
|
204,333 |
|
|
|
102,838 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP net
income/(loss) attributable to Qutoutiao Inc.’s
ordinary shareholders |
|
|
53,958 |
|
|
|
(552,630 |
) |
|
|
(301,818 |
) |
|
|
(674,660 |
) |
|
|
(1,148,327 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP net
income/(loss) per ADS: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
— Basic |
|
|
1.82 |
|
|
|
(18.18 |
) |
|
|
(9.88 |
) |
|
|
(23.26 |
) |
|
|
(37.89 |
) |
— Diluted |
|
|
1.79 |
|
|
|
(18.18 |
) |
|
|
(9.88 |
) |
|
|
(23.26 |
) |
|
|
(37.89 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
number of ADS used in computing basic and diluted
earnings per ADS (Note) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
— Basic |
|
|
29,704,591 |
|
|
|
30,404,904 |
|
|
|
30,538,755 |
|
|
|
29,005,230 |
|
|
|
30,307,013 |
|
— Diluted |
|
|
30,065,951 |
|
|
|
30,404,904 |
|
|
|
30,538,755 |
|
|
|
29,005,230 |
|
|
|
30,307,013 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Note: For all the periods presented, basic and diluted
loss per ADS assuming the change of ADS ratio from a ratio of four
ADSs to one Class A ordinary share to a new Ratio of two ADSs to
five Class A ordinary shares occurred at the beginning of the
earliest period presented.
QUTOUTIAO
INC.Supplementary Operating
Information(RMB in millions, or otherwise noted)
|
|
For the three months ended |
|
|
|
December 31 |
|
|
March 31 |
|
|
June 30 |
|
|
September 30 |
|
|
December 31 |
|
|
|
2020 |
|
|
2021 |
|
|
2021 |
|
|
2021 |
|
|
2021 |
|
Net revenues |
|
|
1,302.4 |
|
|
|
1,291.0 |
|
|
|
1,202.0 |
|
|
|
965.5 |
|
|
|
881.1 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
User engagement expenses |
|
|
163.2 |
|
|
|
179.1 |
|
|
|
169.5 |
|
|
|
161.8 |
|
|
|
156.5 |
|
User acquisition expenses |
|
|
397.1 |
|
|
|
588.7 |
|
|
|
685.2 |
|
|
|
757.3 |
|
|
|
599.8 |
|
Other sales and marketing
expenses |
|
|
119.9 |
|
|
|
35.2 |
|
|
|
48.1 |
|
|
|
62.9 |
|
|
|
39.7 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total sales and marketing expenses |
|
|
680.3 |
|
|
|
803.0 |
|
|
|
902.8 |
|
|
|
982.0 |
|
|
|
796.0 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Combined Average MAUs (in
millions) |
|
|
124.7 |
|
|
|
133.3 |
|
|
|
132.3 |
|
|
|
118.5 |
|
|
|
97.6 |
|
Combined Average DAUs (in
millions) |
|
|
32.3 |
|
|
|
31.7 |
|
|
|
29.1 |
|
|
|
26.5 |
|
|
|
25.0 |
|
New installed users (in millions) |
|
|
50.3 |
|
|
|
101.8 |
|
|
|
94.0 |
|
|
|
103.8 |
|
|
|
72.6 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average net revenues per
DAU per day (RMB) |
|
|
0.44 |
|
|
|
0.45 |
|
|
|
0.46 |
|
|
|
0.41 |
|
|
|
0.39 |
|
User engagement expenses
per DAU per day (RMB) |
|
|
0.05 |
|
|
|
0.06 |
|
|
|
0.06 |
|
|
|
0.07 |
|
|
|
0.07 |
|
User acquisition expenses
per new installed user (RMB) |
|
|
7.89 |
|
|
|
5.78 |
|
|
|
7.29 |
|
|
|
7.30 |
|
|
|
8.26 |
|
____________________________1 For more information on the
non-GAAP financial measures, see the section entitled “Use of
Non-GAAP Financial Measures” below and the table captioned
“Reconciliation of GAAP And Non-GAAP Results” set forth at the end
of this press release.2 “MAUs” refers to the number of unique
mobile devices that accessed our relevant mobile application in a
given month. “Combined average MAUs” for a particular period is the
average of the MAUs for all of our mobile applications in each
month during that period;3 “DAUs” refers to the number of unique
mobile devices that accessed our relevant mobile application on a
given day. “Combined average DAUs” for a particular period is the
average of the DAUs for all of our mobile applications on each day
during that period;4 “New installed user” refers to the aggregate
number of unique mobile devices that have downloaded and launched
our relevant mobile applications at least once.
Qutoutiao (NASDAQ:QTT)
Historical Stock Chart
From Sep 2024 to Oct 2024
Qutoutiao (NASDAQ:QTT)
Historical Stock Chart
From Oct 2023 to Oct 2024