SHANGHAI, Nov. 19, 2020 /PRNewswire/ -- 111, Inc. ("111" or
the "Company") (NASDAQ: YI), a leading digital healthcare platform
committed to digitally connecting patients with medicine and
healthcare services in China,
today announced its unaudited financial results for the third
quarter ended September 30, 2020.
Third Quarter 2020 Highlights
- Net revenues were RMB2.36
billion (US$348.0 million),
representing an increase of 112.8% year-over-year.
- Operating expenses [1] were RMB212.1 million (US$31.2
million), representing an increase of 28.2% year-over-year.
Operating expenses accounted for 9.0% of net revenue this quarter
as compared to 14.9% in the same quarter of last year.
- Number of pharmacies served increased to more than
300,000 (representing 57% of the total numbers of pharmacies in
China) as of September 30, 2020, compared to more than 210,000
pharmacies as of September 30,
2019.
- B2B net revenue increased to RMB2.2 billion (US$324.3
million) this quarter as compared to RMB1.45 billion in Q2 2020. Revenue from existing
customers [2] were up 38.9% quarter-over-quarter and
newly added customers contributed 12.5% of the growth
quarter-over-quarter.
- Cash and cash equivalents, restricted cash and short-term
investments amounted to RMB1,213.1
million (US$178.7 million) as
of September 30, 2020, achieving
positive cash flow from operating activities, which amounted to
RMB25 million for the quarter.
[1] Operating
expense consists of fulfillment expenses, selling and marketing
expenses, general and administrative expenses, technology expenses
and other operating expenses.
|
[2] We define
existing customers as the
customers who have placed orders from
111 prior to third quarter 2020
|
"In Q3 2020, we exceeded the top end of our guidance and
continued the strong momentum built since the IPO. In the
8th consecutive quarter of revenue growth, we delivered
net revenue of RMB2.36 billion, an
increase of 113% year-over-year. Gross profit rose 90%
year-over-year to RMB90 million.
Non-GAAP net loss attributable to ordinary share[3] as a
percentage of net revenue continued to narrow, from approximately
10% in Q3 2019 to 4% this quarter, showing a trajectory towards
profitability," said Mr. Junling Liu, Co-Founder, Chairman,
and Chief Executive Officer of 111.
"The robust performance is a strong validation of the successful
execution of our multifaceted growth strategy to deliver the
mission of digitally connecting patients with medicine and
healthcare services. We have made solid progress in strengthening
our digital capabilities. Our cloud-based solutions in the areas of
patient management, doctor-patient interaction, education for
doctors, patients and pharmacists, and other related services
received excellent response from our customers. Our smart
supply-chain management is making our operation more and more
efficient. The omni-channel drug commercialization platform is
laying a strong foundation for our future growth in one of
China's fastest growing
industries."
"Over the last few quarters, we made significant progress in
strengthening the infrastructure of our digital healthcare platform
that brings together key stakeholders in the healthcare
ecosystem – retail pharmacies, online platform partners, doctors,
insurance companies and pharmaceutical companies to the benefit of
all." He continued, "For our retail pharmacy customers, part of our
300,000+ strong network representing 57% of China's total number of pharmacies and the
largest in China, our smart
sourcing system, machine-learning and cloud-based solutions
translate into effective sourcing, better inventory management,
optimal product assortment, and broader market reach, resulting in
greater cost efficiency, higher earning potential and an enhanced
ability to serve our end consumers. For doctors, our smart
technology puts the power of the latest medical innovations in
their hands to achieve better health outcomes for their patients.
For patients, our holistic disease management platform gives them
access to the best doctors across the country, follow-up
consultations, disease education materials, medication guides, and
the benefits of obtaining medications at home through our
e-prescription service."
"The most significant progress is in establishing 111 as partner
of choice for pharmaceutical companies with our omni-channel drug
commercialization capability." Commenting on the partnership with
pharmaceutical companies, he said, "With our broad consumer reach,
vast virtual pharmacy network, and smart technology-enabled
omni-channel commercialization platform, we have been helping them
to gain additional commercialization channels, expand reach,
optimize their sales and marketing functions, enhance patient
services and support programs, resulting in greater commercial
success for new and existing products. In the quarter, we have
expanded the number of partnerships to over 300, up 101% over the
same period last year. New partners include major multinational and
domestic pharmaceutical companies, such as Bayer Healthcare, Huluwa
Pharmaceutical, Xiangxue Pharmaceutical and Baiyunshan
Pharmaceutical."
"We've also broadened our partnership with insurance companies
to further enhance the digital healthcare value chain. In the
quarter, we added another insurance partner, Shanghai Uniondrug.
This partnership will give us the power to offer to consumers
better access to healthcare and pharmaceutical products at lower
prices. In addition, consumers will also gain tools and supporting
services that are personalized to their needs and that emphasize
preventive, rather than curative care."
"As China successfully keeps the COVID-19 pandemic in check and
its economy resumes growth, we are confident about the Company's
ability to take advantage of the immense opportunities that ensue.
With our market-leading digital healthcare platform, we have built
a healthcare ecosystem where all key stakeholders – drug
manufacturers, retailers, insurance companies and end consumers are
in a virtuous circle of value creation."
"Looking toward the last quarter, we'll continue to leverage
this ecosystem and enhance its value as we work to increase sales
from our existing base of retail pharmacies while gaining new ones,
enhance 'stickiness' of our customers, and expand and deepen
strategic partnerships. We'll focus on narrowing net loss, drive
growth, and continue the ascent to delivering sustainable and
long-term profitability to our shareholders," he concluded.
[3] Non-GAAP net
loss attributable to ordinary shareholders represents net loss
attributable to ordinary shareholders excluding share-based
compensation expenses and impairment loss of long-term
investment.
|
Share Repurchase Program
On August 14, 2019, the Company's
Board of Directors approved a share repurchase program of up to
US$10 million, as a vote of
confidence in the Company's prospects. As of September 30, 2020, the Company had repurchased
998,810 ADSs for a total consideration of US$4.9 million. No new repurchase happened
in the third quarter.
Third Quarter 2020 Financial Results
Net revenues were RMB2.36
billion (US$348.0 million),
representing an increase of 112.8% from RMB1.11
billion in the same quarter of last year.
As of September 30, 2020, the
Group has two reporting segments that includes B2B segment and B2C
segment. Revenue contribution from E-Channel was previously
disclosed as a separate segment, but was incorporated in B2B
segment in this quarter. The Company revised prior comparative
periods to conform to the current period segment presentation as
follows:
(In thousands
RMB)
|
For the three months
ended September 30,
|
|
|
|
|
|
2019
|
2020
|
YoY
|
|
B2B Net
Revenue
|
|
|
|
|
Product
|
939,434
|
2,197,915
|
134.0%
|
|
Service
|
1,128
|
3,710
|
228.9%
|
|
|
|
|
|
|
Sub-Total
|
940,562
|
2,201,625
|
134.1%
|
|
|
|
|
|
|
Cost of Products
Sold[4]
|
927,564
|
2,143,845
|
131.1%
|
|
|
|
|
|
|
Segment
Profit
|
12,998
|
57,780
|
344.5%
|
|
Segment Profit
%
|
1.4%
|
2.6%
|
|
|
(In thousands
RMB)
|
For the three months
ended September 30,
|
|
|
2019
|
2020
|
YoY
|
|
B2C Net
Revenue
|
|
|
|
|
Product
|
164,348
|
152,939
|
(6.9%)
|
|
Service
|
5,541
|
8,159
|
47.2%
|
|
|
|
|
|
|
Sub-Total
|
169,889
|
161,098
|
(5.2%)
|
|
|
|
|
|
|
Cost of Products
Sold[4]
|
135,558
|
128,943
|
(4.9%)
|
|
|
|
|
|
|
Segment
Profit
|
34,331
|
32,155
|
(6.3%)
|
|
Segment Profit
%
|
20.2%
|
20.0%
|
|
|
[4]
For segment reporting purposes, purchase rebate is allocated
to B2B segment and B2C segment primarily based on the amount of
cost of products sold for each segment. Cost of products sold does
not include other direct costs related to cost of product sales
such as shipping and handling expense, payroll and benefits of
logistic staff, logistic centers rental expenses and depreciation
expenses, which are recorded in the fulfillment
expenses.
|
Operating costs and expenses were RMB2.48
billion (US$366.0 million),
representing an increase of 102.3% from RMB1.23
billion in the same quarter of last year.
- Cost of products sold was RMB2.27
billion (US$334.7 million),
representing an increase of 113.8% from RMB1.06
billion in the same quarter of last year. The increase was
primarily due to our rapid revenue growth in B2B business, which
increased by 134.1% as compared to the same quarter last year.
- Fulfillment expenses were RMB58.2
million (US$8.6 million),
representing an increase of 83.8% from RMB31.6 million in
the same quarter of last year. Fulfillment expenses accounted for
2.5% of net revenues this quarter as compared to 2.8% in the same
quarter of last year.
- Selling and marketing expenses were RMB104.3
million (US$15.4 million),
representing an increase of 19.7% from RMB87.1 million in
the same quarter of last year, mainly due to increase in the number
of sales staffs and expenses associated with the expansion of the
B2B business. As a percentage of net revenues, selling and
marketing expense further reduced to 4.4% in the quarter from 7.8%
in the same quarter of last year.
- General and administrative
expenses were RMB28.5 million (US$4.2 million), representing a drop of 10.8%
from RMB32.0 million in the same quarter of last year. As
a percentage of net revenues, general and administrative expense
reduced to 1.2% in the quarter from 2.9% in the same quarter of
last year.
- Technology expenses were RMB22.0
million (US$3.2 million),
representing an increase of 49.4% from RMB14.7 million in
the same quarter of last year, mainly due to our increased
investment in technology. Technology expenses accounted for 0.9% of
net revenues this quarter as compared to 1.3% in the same quarter
of last year.
Loss from operations was RMB122.2
million (US$18.0 million),
compared to RMB118.1 million in the same quarter of last
year. As a percentage of net revenues, loss from operations further
decreased to 5.2% in the quarter from 10.6% in same quarter of last
year.
Non-GAAP loss from operations
[5] was RMB108.0 million (US$15.9
million), compared to RMB104.5 million in the same
quarter of last year. As a percentage of net revenues, non-GAAP
loss from operations decreased to 4.6% in the quarter from 9.4% in
same quarter of last year.
Net loss attributable to ordinary
shareholders was RMB108.6 million (US$16.0
million), compared to RMB123.3 million in the same
quarter of last year. As a percentage of net revenues, net loss
attributable to ordinary shareholders decreased to 4.6% in the
quarter from 11.1% in same quarter of last year.
Non-GAAP net loss attributable to ordinary shareholders
was RMB94.4 million (US$13.9
million), compared to RMB109.7 million in the same
quarter of last year. As a percentage of net revenues, non-GAAP net
loss attributable to ordinary shareholders decreased to 4.0% in the
quarter from 9.9% in same quarter of last year.
Loss per ADS was RMB1.32 (US$0.20),
compared to RMB1.50 for the same quarter of last
year.
Non-GAAP loss per ADS
[6] was RMB1.15 (US$0.17),
compared to RMB1.34 for the same quarter of last
year.
As of September 30, 2020, the Company had cash and
cash equivalents, restricted cash and short-term
investments of RMB 1,213.1 million (US$178.7 million), compared to RMB697.7
million as of December 31, 2019.
[5]
Non-GAAP loss from operations represents loss from operations
excluding share-based compensation expenses.
|
[6]
Non-GAAP loss per ADS represents loss per ADS excluding
share-based compensation expenses and impairment loss of long-term
investment per ADS.
|
Business Outlook
For the fourth quarter of 2020, the Company expects its total
net revenues to be between RMB2.44
billion and RMB2.56 billion,
representing a year-over-year growth of approximately 81% to
90%.
The above outlook is based on the current market conditions and
reflects the Company's current and preliminary estimates of market
and operating conditions and customer demand, which are all subject
to changes.
Conference Call
111's management team will host an earnings conference call at
7:30 AM U.S. Eastern Time on
Thursday, November 19, 2020
(8:30 PM Beijing Time on November 19, 2020).
Details for the conference call are as follows:
Event
Title: 111,
Inc. Third Quarter 2020 Earnings Conference Call
Registration
Link:
http://apac.directeventreg.com/registration/event/1679252
All participants must use the link provided above to complete
the online registration process in advance of the conference call.
Upon registering, each participant will receive a set of
participant dial-in numbers, the Direct Event passcode, and a
unique Registration ID, which can be used to join the conference
call.
Please dial in 15 minutes before the call is scheduled to begin
and provide the Direct Event passcode and unique Registration ID
you have received upon registering to join the call.
A telephone replay of the call will be available after the
conclusion of the conference call until November 27, 2020, 7:59
P.M. ET on:
United
States:
+1-855-452-5696
International:
+61-2-8199-0299
Conference
ID:
1679252
A live and archived webcast of the conference call will be
available on the Investor Relations section of 111's website at
http://ir.111.com.cn/.
Use of Non-GAAP Financial Measures
In evaluating the business, the Company considers and uses
non-GAAP loss from operations, non-GAAP net loss attributable to
ordinary shareholders, and non-GAAP loss per ADS, non-GAAP
measures, as supplemental measures to review and assess its
operating performance. The Company defines non-GAAP loss from
operations as loss from operations excluding share-based
compensation expenses. The Company defines non-GAAP net loss
attributable to ordinary shareholders as net loss attributable to
ordinary shareholders excluding share-based compensation expenses
and impairment loss of long-term investment. The Company defines
non-GAAP loss per ADS as loss per ADS excluding share-based
compensation expenses and impairment loss of long-term investment
per ADS. The presentation of these non-GAAP financial measures is
not intended to be considered in isolation or as a substitute for
the financial information prepared and presented in accordance with
U.S. GAAP.
The Company believes that non-GAAP loss from operations,
non-GAAP net loss attributable to ordinary shareholders, and
non-GAAP loss per ADS help identify underlying trends in its
business that could otherwise be distorted by the effect of certain
expenses that it includes in loss from operations and net loss.
Share-based compensation expenses is a non-cash expense that varies
from period to period. Impairment loss of long-term investment is a
non-cash, non-recurring expense that occurred in the historical
period. As a result, management excludes these two items from its
internal operating forecasts and models. Management believes that
the adjustments for share-based compensation expenses and
impairment loss of long-term investment provide investors with a
reasonable basis to measure the company's core operating
performance, in a more meaningful comparison with the performance
of other companies. The Company believes that non-GAAP loss from
operations, non-GAAP net loss attributable to ordinary
shareholders, and non-GAAP loss per ADS provide useful information
about its operating results, enhances the overall understanding of
its past performance and future prospects and allow for greater
visibility with respect to key metrics used by the management in
their 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. The non-GAAP
financial measures have limitations as analytical tools. One of the
key limitations of using non-GAAP loss from operations, non-GAAP
net loss attributable to ordinary shareholders, or non-GAAP loss
per ADS is that it does not reflect all items of income and expense
that affect the Company's operations. Further, the non-GAAP
financial measures may differ from the non-GAAP information used by
other companies, including peer companies, and therefore their
comparability may be limited.
The Company compensates for these limitations by reconciling the
non-GAAP financial measures to the most comparable U.S. GAAP
measures, all of which should be considered when evaluating the
Company's performance. The Company encourages you to review its
financial information in its entirety and not rely on a single
financial measure.
Reconciliation of the non-GAAP financial measures to the most
comparable U.S. GAAP measures is included at the end of this press
release.
Exchange Rate Information Statement
This announcement contains translations of certain RMB amounts
into U.S. dollars at specified rates solely for the convenience of
the reader. Unless otherwise noted, all translations from RMB to
U.S. dollars are made at a rate of RMB6.7896 to US$1.00, the exchange rate set forth in the H.10
statistical release of the Board of Governors of the Federal
Reserve System as of September 30,
2020.
Safe Harbor Statement
This press release contains forward-looking statements. These
statements constitute "forward-looking" statements within the
meaning of Section 21E of the Securities Exchange Act of 1934, as
amended, and as defined in 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," "target,"
"confident" and similar statements. Among other things, the
Business Outlook and quotations from management in this
announcement, as well as 111's strategic and operational plans,
contain forward-looking statements. 111 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. Such statements are based upon management's current
expectations and current market and operating conditions and relate
to events that involve known or unknown risks, uncertainties and
other factors, all of which are difficult to predict and many of
which are beyond the Company's control. Forward-looking statements
involve inherent risks, uncertainties and other factors that could
cause actual results to differ materially from those contained in
any such statements. Potential risks and uncertainties include, but
are not limited to, uncertainties as to the Company's ability
comply with extensive and evolving regulatory requirements, its
ability to compete effectively in the evolving PRC general health
and wellness market, its ability to manage the growth of its
business and expansion plans, its ability to achieve or maintain
profitability in the future, its ability to control the risks
associated with its pharmaceutical retail and wholesale businesses,
and the Company's ability to meet the standards necessary to
maintain listing of its ADSs on the Nasdaq Global Market, including
its ability to cure any non-compliance with Nasdaq's continued
listing criteria. Further information regarding these and other
risks, uncertainties or factors is included in the Company's
filings with the U.S. Securities and Exchange Commission. All
information provided in this press release is as of the date of
this press release, and 111 does not undertake any obligation to
update any forward-looking statement as a result of new
information, future events or otherwise, except as required under
applicable law.
About 111, Inc.
111, Inc. (NASDAQ: YI) ("111" or the "Company") is a leading
digital healthcare platform committed to digitally connecting
patients with medicine and healthcare services in China. The Company provides consumers with
better access to pharmaceutical products and healthcare services
directly through its online retail pharmacy, 1 Drugstore, and
indirectly through its offline virtual pharmacy network. The
Company also offers online healthcare services through its internet
hospital, 1 Clinic, which provides consumers with cost-effective
and convenient online consultation, electronic prescription
service, and patient management service. In addition, the Company's
online wholesale pharmacy, 1 Drug Mall, serves as a one-stop shop
for pharmacies to source a vast selection of pharmaceutical
products. With the largest virtual pharmacy network in China, 111 enables offline pharmacies to
better serve their customers with cloud-based services. 111 also
provides an omni-channel drug commercialization platform to its
strategic partners, which includes services such as digital
marketing, patient education, data analytics, and pricing
monitoring.
For more information on 111, please visit:
http://ir.111.com.cn/.
For more information, please contact:
111, Inc.
Investor Relations
Email: ir@111.com.cn
111, Inc.
Media Relations
Email: press@111.com.cn
Phone: +86-021-2053 6666 (China)
GCM Strategic Communications
IR Counsel
Email: 111.ir@gcm.international
111,
Inc.
|
UNAUDITED
CONDENSED CONSOLIDATED BALANCE SHEETS
|
(In thousands,
except for share and per share data)
|
|
|
|
|
|
|
|
As
of
|
|
As
of
|
|
December 31,
2019
|
|
September 30,
2020
|
|
RMB
|
|
RMB
|
|
US$
|
ASSETS
|
|
|
|
|
|
Current
Assets:
|
|
|
|
|
|
Cash and cash
equivalents
|
581,281
|
|
1,030,771
|
|
151,816
|
Restricted
cash
|
116,441
|
|
82,170
|
|
12,102
|
Short-term
investments
|
-
|
|
100,159
|
|
14,752
|
Accounts receivable,
net
|
65,247
|
|
140,113
|
|
20,636
|
Note Receivables,
net
|
23,587
|
|
22,842
|
|
3,364
|
Inventories
|
486,271
|
|
922,919
|
|
135,931
|
Prepayments and other
current assets
|
208,604
|
|
292,501
|
|
43,083
|
Total current
assets
|
1,481,431
|
|
2,591,475
|
|
381,684
|
Property and
equipment
|
29,836
|
|
29,034
|
|
4,276
|
Intangible
assets
|
8,022
|
|
7,043
|
|
1,037
|
Long-term
investments
|
140
|
|
140
|
|
21
|
Other non-current
assets
|
3,009
|
|
4,687
|
|
690
|
Operating lease
right-of-use asset
|
87,855
|
|
88,679
|
|
13,061
|
Total
Assets
|
1,610,293
|
|
2,721,058
|
|
400,769
|
|
|
|
|
|
|
LIABILITIES AND
EQUITY
|
|
|
|
|
|
Current
liabilities including amounts of the
consolidated VIE without recourse to the Company
|
|
|
|
|
|
Short-term
borrowings
|
95,081
|
|
179,100
|
|
26,379
|
Accounts
payable
|
444,334
|
|
1,302,637
|
|
191,858
|
Accrued expense and
other current liabilities
|
234,008
|
|
287,425
|
|
42,332
|
Total Current
liabilities
|
773,423
|
|
1,769,162
|
|
260,569
|
Operating lease
liabilities
|
57,011
|
|
51,946
|
|
7,651
|
Other non-current
liabilities
|
5,936
|
|
4,286
|
|
631
|
Total
Liabilities
|
836,370
|
|
1,825,394
|
|
268,851
|
|
|
|
|
|
|
Mezzanine
Equity
|
|
|
|
|
|
Redeemable
non-controlling interests[7]
|
-
|
|
417,194
|
|
61,446
|
|
|
|
|
|
|
Shareholders'
Equity
|
|
|
|
|
|
Ordinary shares Class
A
|
30
|
|
30
|
|
4
|
Ordinary shares Class
B
|
25
|
|
25
|
|
4
|
Treasury
shares
|
(22,991)
|
|
(34,972)
|
|
(5,151)
|
Additional paid in
capital
|
2,606,486
|
|
2,654,792
|
|
391,009
|
Accumulated
deficit
|
(1,883,335)
|
|
(2,209,244)
|
|
(325,386)
|
Accumulated other
comprehensive Income
|
76,441
|
|
71,763
|
|
10,570
|
Total
shareholders' equity
|
776,656
|
|
482,394
|
|
71,050
|
Non-controlling
interest
|
(2,733)
|
|
(3,924)
|
|
(578)
|
Total
equity
|
773,923
|
|
478,470
|
|
70,472
|
Total liabilities,
mezzanine equity and equity
|
1,610,293
|
|
2,721,058
|
|
400,769
|
|
|
|
|
|
|
[7] In August
2020, the Company's subsidiary, Yao Fang Information Technology
(Shanghai) Co., Ltd ("Yao Fang Shanghai") completed the private
fund raising. Since the new investors have
redeemable rights, the redeemable non-controlling interests are
classified as Mezzanine Equity.
|
|
UNAUDITED
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE
LOSS
|
|
(In thousands,
except for share, per share and per ADS data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the three
months ended September 30,
|
|
For the nine
months ended September 30,
|
|
2019
|
|
2020
|
|
2019
|
|
2020
|
|
RMB
|
|
RMB
|
|
US$
|
|
RMB
|
|
RMB
|
|
US$
|
Net
revenues
|
1,110,451
|
|
2,362,723
|
|
347,991
|
|
2,604,213
|
|
5,560,207
|
|
818,929
|
Operating costs
and expenses:
|
|
|
|
|
|
|
|
|
|
|
|
Cost of product
sold
|
(1,063,122)
|
|
(2,272,788)
|
|
(334,745)
|
|
(2,481,522)
|
|
(5,297,929)
|
|
(780,301)
|
Fulfillment
expenses
|
(31,639)
|
|
(58,161)
|
|
(8,566)
|
|
(80,313)
|
|
(157,380)
|
|
(23,181)
|
Selling and marketing
expenses
|
(87,131)
|
|
(104,252)
|
|
(15,355)
|
|
(237,631)
|
|
(281,202)
|
|
(41,417)
|
General and
administrative expenses
|
(31,956)
|
|
(28,504)
|
|
(4,198)
|
|
(88,000)
|
|
(96,450)
|
|
(14,206)
|
Technology
expenses
|
(14,695)
|
|
(21,953)
|
|
(3,233)
|
|
(42,024)
|
|
(61,394)
|
|
(9,042)
|
Other operating
(expenses)/income, net
|
(3)
|
|
754
|
|
112
|
|
(164)
|
|
5,560
|
|
819
|
Total operating
costs and expenses
|
(1,228,546)
|
|
(2,484,904)
|
|
(365,985)
|
|
(2,929,654)
|
|
(5,888,795)
|
|
(867,328)
|
Loss from
operations
|
(118,095)
|
|
(122,181)
|
|
(17,994)
|
|
(325,441)
|
|
(328,588)
|
|
(48,399)
|
Interest
income
|
1,117
|
|
2,684
|
|
395
|
|
4,477
|
|
4,093
|
|
603
|
Interest
expense
|
(2,109)
|
|
(2,532)
|
|
(373)
|
|
(2,458)
|
|
(6,203)
|
|
(914)
|
Foreign exchange
(loss)/gain
|
(9,301)
|
|
10,295
|
|
1,516
|
|
(15,311)
|
|
(671)
|
|
(99)
|
Other
income/(expense), net
|
4,473
|
|
543
|
|
80
|
|
(4,781)
|
|
1,642
|
|
242
|
Loss before income
taxes
|
(123,915)
|
|
(111,191)
|
|
(16,376)
|
|
(343,514)
|
|
(329,727)
|
|
(48,567)
|
Income tax
expense
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
Net
loss
|
(123,915)
|
|
(111,191)
|
|
(16,376)
|
|
(343,514)
|
|
(329,727)
|
|
(48,567)
|
Net loss attributable
to non-controlling
interest
|
616
|
|
2,627
|
|
387
|
|
1,499
|
|
3,818
|
|
562
|
Net loss
attributable to ordinary
shareholders
|
(123,299)
|
|
(108,564)
|
|
(15,989)
|
|
(342,015)
|
|
(325,909)
|
|
(48,005)
|
Other
comprehensive loss
|
|
|
|
|
|
|
|
|
|
|
|
Unrealized gains of
available-for-sale
securities, net of tax
|
2,465
|
|
60
|
|
9
|
|
6,685
|
|
60
|
|
9
|
Realized gains of
available-for-sale
securities, net of tax
|
(511)
|
|
-
|
|
-
|
|
(1,109)
|
|
-
|
|
-
|
Foreign currency
translation adjustments,
net of tax
|
19,173
|
|
(18,486)
|
|
(2,713)
|
|
15,773
|
|
(4,738)
|
|
(698)
|
Comprehensive
loss
|
(102,172)
|
|
(126,990)
|
|
(18,693)
|
|
(320,666)
|
|
(330,587)
|
|
(48,694)
|
Loss per
share:
|
|
|
|
|
|
|
|
|
|
|
|
Basic and
diluted
|
(0.75)
|
|
(0.66)
|
|
(0.10)
|
|
(2.09)
|
|
(1.98)
|
|
(0.29)
|
Loss per
ADS:
|
|
|
|
|
|
|
|
|
|
|
|
Basic and
diluted
|
(1.50)
|
|
(1.32)
|
|
(0.20)
|
|
(4.18)
|
|
(3.96)
|
|
(0.58)
|
Weighted average
number of shares
used in computation of loss per
share
|
|
|
|
|
|
|
|
|
|
|
|
Basic and
diluted
|
164,162,090
|
|
164,866,965
|
|
164,866,965
|
|
163,676,671
|
|
164,667,259
|
|
164,667,259
|
|
111,
Inc.
|
|
UNAUDITED
CONDENSED CONSOLIDATED
STATEMENTS OF CASH FLOWS
|
|
(In
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the three
months ended September 30,
|
|
For the nine
months ended September 30,
|
|
2019
|
|
2020
|
|
2019
|
|
2020
|
|
RMB
|
|
RMB
|
|
US$
|
|
RMB
|
|
RMB
|
|
US$
|
Net cash (used
in)/provided by
operating activities
|
(288,023)
|
|
25,217
|
|
3,714
|
|
(440,838)
|
|
39,306
|
|
5,789
|
Net cash provided
by/(used in) in
investing activities
|
186,857
|
|
(101,255)
|
|
(14,913)
|
|
127,858
|
|
(108,346)
|
|
(15,958)
|
Net cash provided
by financing
activities
|
57,645
|
|
466,050
|
|
68,642
|
|
99,935
|
|
496,745
|
|
73,163
|
Effect of exchange
rate changes on
cash and cash equivalents
|
22,033
|
|
(20,571)
|
|
(3,030)
|
|
16,038
|
|
(12,486)
|
|
(1,839)
|
Net
(decrease)/increase in cash and
cash equivalents
|
(21,488)
|
|
369,441
|
|
54,413
|
|
(197,007)
|
|
415,219
|
|
61,155
|
Cash and cash
equivalents, and
restricted cash at the beginning of
the period
|
678,221
|
|
743,500
|
|
109,505
|
|
853,740
|
|
697,722
|
|
102,763
|
Cash and cash
equivalents, and
restricted cash at the end of the
period
|
656,733
|
|
1,112,941
|
|
163,918
|
|
656,733
|
|
1,112,941
|
|
163,918
|
|
111,
Inc.
|
|
Unaudited
Reconciliation of GAAP and Non-GAAP Results
|
|
(In thousands,
except for share, per share and per ADS data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the three
months ended September 30,
|
|
For the nine
months ended September 30,
|
|
2019
|
|
2020
|
|
2019
|
|
2020
|
|
RMB
|
|
RMB
|
|
US$
|
|
RMB
|
|
RMB
|
|
US$
|
Loss from
operations
|
(118,095)
|
|
(122,181)
|
|
(17,994)
|
|
(325,441)
|
|
(328,588)
|
|
(48,399)
|
Add:Share-based
compensation
expenses
|
13,569
|
|
14,171
|
|
2,087
|
|
40,372
|
|
43,278
|
|
6,374
|
Non-GAAP loss from
operations
|
(104,526)
|
|
(108,010)
|
|
(15,907)
|
|
(285,069)
|
|
(285,310)
|
|
(42,025)
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Loss attributable
to ordinary
shareholders
|
(123,299)
|
|
(108,564)
|
|
(15,988)
|
|
(342,015)
|
|
(325,909)
|
|
(48,005)
|
Add:Share-based
compensation
expenses, net of tax
|
13,569
|
|
14,171
|
|
2,087
|
|
40,372
|
|
43,278
|
|
6,374
|
Impairment loss of
long-term
investment
|
-
|
|
-
|
|
-
|
|
11,000
|
|
-
|
|
-
|
Non-GAAP net Loss
attributable to
ordinary shareholders
|
(109,730)
|
|
(94,393)
|
|
(13,901)
|
|
(290,643)
|
|
(282,631)
|
|
(41,631)
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss per
ADS:
|
|
|
|
|
|
|
|
|
|
|
|
Basic and
diluted
|
(1.50)
|
|
(1.32)
|
|
(0.20)
|
|
(4.18)
|
|
(3.96)
|
|
(0.58)
|
Add:Share-based
compensation
expenses and impairment loss of long-
term investment per ADS, net of tax
|
0.16
|
|
0.17
|
|
0.03
|
|
0.63
|
|
0.53
|
|
0.08
|
Non-GAAP Loss per
ADS
|
(1.34)
|
|
(1.15)
|
|
(0.17)
|
|
(3.55)
|
|
(3.43)
|
|
(0.50)
|
View original
content:http://www.prnewswire.com/news-releases/111-inc-announces-third-quarter-2020-unaudited-financial-results-301176852.html
SOURCE 111, Inc.