HANGZHOU, China, March 10, 2021 /PRNewswire/ -- BEST Inc. (NYSE:
BEST) ("BEST" or the "Company"), a leading integrated smart supply
chain solutions and logistics services provider in China, today announced its unaudited financial
results for the fourth quarter and fiscal year ended December 31, 2020.
Following the Company's previously announced decision to wind
down its Store+ business by the end of 2020, starting
with this announcement for the fourth quarter ended December 31, 2020, Store+'s historical
financial results for the periods prior to the wind-down will be
reflected in the Company's consolidated financial statements as
discontinued operations.
Johnny Chou, Founder, Chairman
and Chief Executive Officer of BEST, commented, "In the fourth
quarter of 2020, we executed our strategic refocusing plan and
turned our business around amid strong industry competition,
attesting to our ability to make quick and decisive changes in our
strategies and operational practices. We continued to make
improvements to all of our business segments and reduced losses,
which put us back on the path to strong growth and profitability.
Our Express segment under new management focused on strengthening
network stability, optimizing product and cost structure, as well
as enhancing service quality. In December
2020, despite a net loss for the quarter, net profit for
Express turned positive for the first time since the second quarter
of 2020. Our Freight segment continued to strengthen its industry
leadership, demonstrating 25.1% year-over-year volume growth while
returning to profitability. We also took initiatives to improve our
Supply Chain Management performance as we focused on higher-margin
customers. Our Global business continued its growth momentum
by gaining more cross-border and Southeast Asia businesses, achieving over 400%
parcel volume growth year-over-year."
"While the Company suffered major setbacks due to the pandemic
in 2020, we have taken decisive actions to steer the Company back
to the path of growth and profitability. We firmly believe the
worst is behind us and the future is bright. We entered 2021 with
optimism and strong momentum, and anticipate strong growth for our
business as the year progresses. We are determined to
strengthen our market share, optimize cost structure, improve
service quality and customer experience, and build out a
leading integrated smart supply chain and logistics company to
deliver sustainable and powerful future growth," concluded Mr.
Chou.
Gloria Fan, BEST's Chief
Financial Officer, commented, "We concluded a challenging 2020 with
a fourth quarter focusing on strategic initiatives. We took
decisive actions to realign our businesses to adapt to the evolving
competitive market conditions as well as set a solid foundation for
future growth. Our revenue, affected by the challenging pricing
environment and reduced by the wind-down of Store+
during the quarter, was RMB9.3
billion. As part of our refocusing strategy, we identified
and executed additional measures to manage our costs, expenses and
liquidity. In the fourth quarter, we generated net operating cash
flow of RMB347 million while
maintaining a healthy combined balance of cash and cash
equivalents, restricted cash and short-term investments of
RMB4.5 billion. As we progress into
2021, we will remain focused on improving our capital structure as
well as enhancing our balance sheet and cash flow to support the
Company's future growth. Based on current market conditions and
current operations, we expect the Company's revenue for the full
fiscal year of 2021 to be between RMB34
billion and RMB36 billion.
This forecast reflects management's current and preliminary
expectation, which is subject to change."
FINANCIAL HIGHLIGHTS[1]
For the Fourth Quarter Ended December
31, 2020:
Results presented herein exclude Store+-related discontinued
operations
- Revenue was RMB9,255.4
million (US$1,418.4 million),
a decrease of 8.9% year-over-year ("YoY"). The decrease was
primarily due to a decrease in average selling price ("ASP") per
parcel in Express business, partially offset by an increase in
Express parcel volume.
- Gross Profit was RMB50.1
million (US$7.7 million), a
decrease of 91.1% YoY compared to gross profit of RMB561.5 million in the same period of 2019. The
decrease was primarily due to a steeper ASP decrease than unit cost
reduction in Express business. Gross Margin was 0.5%, a
decrease of 5.0 percentage points ("ppts") YoY.
- Net Loss was RMB492.9
million (US$75.5 million),
compared to a net income of RMB132.6
million in the same period of 2019. Non-GAAP Net
Loss[2][3] was RMB475.7
million (US$72.9 million),
compared to non-GAAP net income of RMB146.8
million in the same period of 2019.
- Diluted EPS[4] was negative RMB1.26 (US$0.19),
compared to RMB0.36 in the same
period of 2019. Non-GAAP Diluted EPS(3)(4) was negative
RMB1.22 (US$0.19), compared to RMB0.39 in the same period of 2019.
- EBITDA[5] was negative RMB305.2 million (US$46.8
million), compared to RMB245.9
million in the same period of 2019. Adjusted
EBITDA[3][5] was negative RMB288.0 million (US$44.1
million), compared to RMB259.2
million in the same period of 2019.
[1] All numbers presented
have been rounded to the nearest integer, tenth, or hundredth, and
year-over-year comparisons are based on figures before
rounding.
|
[2] Non-GAAP net
income/loss represents net income/loss excluding share-based
compensation expenses, amortization of intangible assets resulting
from business acquisitions, and fair value change of equity
investments (if any).
|
[3] See the sections
entitled "Use of Non-GAAP Financial Measures" and "Reconciliations
of Non-GAAP Measures to the Nearest Comparable GAAP Measures" for
more information about the non-GAAP measures referred to within
this results announcement.
|
[4] Diluted earnings
per share, or Diluted EPS, is calculated by dividing net profit
attributable to ordinary shareholders as adjusted for the effect of
dilutive ordinary equivalent shares, if any, by the weighted
average number of ordinary and dilutive ordinary equivalent shares
outstanding during the period.
|
[5] EBITDA represents net
loss excluding depreciation, amortization, interest expense and
income tax expense and minus interest income. Adjusted EBITDA
represents EBITDA excluding share-based compensation expenses and
fair value change of equity investments (if any).
|
For the Fiscal Year Ended December 31,
2020:
Results presented herein exclude Store+-related discontinued
operations
- Revenue was RMB29,995.0
million (US$4,596.9 million),
a decrease of 7.3% YoY. The decrease was primarily due to a
decrease in ASP per parcel in Express business, partially offset by
an increase in Express parcel volume.
- Gross Profit was RMB238.1
million (US$36.5 million), a
decrease of 85.5% YoY compared to gross profit of RMB1,637.3 million in fiscal year 2019. The
decrease was primarily due to a steeper ASP decrease than unit cost
reduction in Express and Freight businesses. Gross Margin
was 0.8%, a decrease of 4.3 percentage points YoY.
- Net Loss was RMB1,683.1
million (US$257.9 million),
compared to a net income of RMB172.7
million in fiscal year 2019. Non-GAAP Net
Loss was RMB1,569.3 million
(US$240.5 million), compared to
non-GAAP net income of RMB253.9
million in fiscal year 2019.
- Diluted EPS was negative RMB4.28 (US$0.66),
compared to RMB0.49 in fiscal year
2019. Non-GAAP Diluted EPS was negative RMB3.98 (US$0.61),
compared to RMB0.70 in fiscal year
2019.
- EBITDA was negative RMB1,046.1
million (US$160.3 million),
compared to RMB652.9 million in
fiscal year 2019. Adjusted EBITDA was negative RMB935.1 million (US$143.3
million), compared to RMB730.4
million in fiscal year 2019.
BUSINESS HIGHLIGHTS[6]
- The Company made significant changes in the fourth quarter of
2020 across its business segments. The initial positive results
brought about by these changes affirms the Company's strategic
direction targeting a sustainable recovery.
- The Company continues to evaluate strategic options aimed at
enhancing its balance sheet and profitability.
[6] All numbers
presented have been rounded to the nearest integer, tenth, or
hundredth, and year-over-year comparisons are based on figures
before rounding.
|
BEST Express – The strategic refocusing plan announced in
November 2020 focused on optimizing
product structure, improving network stability and flexibility, as
well as enhancing service quality and customer
experience. These initiatives have already resulted in an
encouraging recovery, demonstrated by improving parcel unit
economics. Despite a net loss for the quarter, it achieved net
profit for the month of December. During the quarter, parcel volume
increased by 6.0% YoY, representing a market share of 9.5% during
the quarter. Gross margin contracted by 7.2 ppts due to a decline
in ASP per parcel of 20.4% YoY, partially offset by a decrease in
average cost per parcel of 14.3% YoY. In fiscal year 2020, total
parcel volume increased by 12.7% YoY to 8.54 billion, representing
a market share of 10.2%.
BEST Freight – Freight continued strong post-pandemic
recovery and delivered a strong quarter with a
higher-than-industry-average growth rate while returning to
profitability. The Company continued to emphasize the e-commerce
aspect of its freight services, solidify its leadership position
and brand recognition, and improve operating efficiency. Freight
volume increased by 25.1% YoY in the fourth quarter of 2020. Gross
margin was 5.5%, having recovered to pre-COVID level, and improved
by 4.5 ppts quarter-over-quarter ("QoQ"), as pricing in the fourth
quarter continued to rebound. Average cost per tonne and ASP both
decreased by 16.7% YoY. In fiscal year 2020, total Freight volume
increased by 20.2% YoY to 8.4 million tonnes.
BEST Supply Chain Management – The total number of orders
fulfilled by Cloud OFCs increased by 11.7% YoY to 136.1 million in
the fourth quarter of 2020 and the total number of orders fulfilled
by franchised Cloud OFCs increased by 15.1% YoY to 67.1 million.
The number of franchised OFCs increased by 22.2% YoY to 358 in the
fourth quarter of 2020. In fiscal year 2020, the total number of
orders fulfilled by Cloud OFCs increased by 21.4% YoY to 433.2
million and the total number of orders fulfilled by franchised
Cloud OFCs increased by 35.9% YoY to 214.7 million. In the fourth
quarter of 2020, gross margin for Supply Chain Management decreased
by 6.3 ppts YoY, primarily due to one-off costs incurred by closing
down Store+- related operations, and
pricing pressure associated with certain legacy key account
customers, which are in the process of being discontinued.
BEST Global – In the fourth quarter of 2020, Global
continued to expand cross-border and Southeast Asia business and margin
improvement. In the fourth quarter, parcel volume in Thailand increased by 25.0% QoQ to 12.3
million, while parcel volume in Vietnam increased by 35.9% QoQ to 14 million.
Global's gross margin expanded by 7.4 ppts YoY. In fiscal year
2020, total parcel volume in Thailand increased by 612.8% YoY to 37.3
million, and total parcel volume in Vietnam increased by 852.0% YoY to 33.8
million.
BEST UCargo – As of December 31,
2020, the number of registered drivers on the UCargo mobile
app increased by 70.6% YoY to over 320,000. In the fourth quarter,
the total number of transactions on the trucking brokerage platform
increased by 19.0% YoY to 255,139. In fiscal year 2020, the total
number of transactions on the trucking brokerage platform increased
by 19.2% YoY to 738,131.
BEST Capital – As of December 31,
2020, BEST Capital had provided financing solutions to
13,410 trucks in total.
BEST Store+ – The Company has completed the
wind-down of its Store+ business in accordance with
the announcement on November 15,
2020.
Key Operational Metrics
|
Three Months
Ended
|
% Change
YoY
|
Express Parcel Volume
(in '000)
|
December 31,
2018
|
|
December 31,
2019
|
|
December 31,
2020
|
|
2019 vs
2018
|
|
2020 vs
2019
|
1,868,489
|
|
2,437,959
|
|
2,585,249
|
|
30.5%
|
|
6.0%
|
Freight Volume (Tonne
in '000)
|
1,605
|
|
2,097
|
|
2,623
|
|
30.6%
|
|
25.1%
|
Supply Chain
Management
Orders Fulfilled (in '000)
|
83,623
|
|
121,907
|
|
136,126
|
|
45.8%
|
|
11.7%
|
UCargo Number of
Transactions (in '000)
|
196
|
|
214
|
|
255
|
|
9.6%
|
|
19.0%
|
Global Parcel Volume
in
Southeast Asia (in '000)
|
14
|
|
5,157
|
|
27,891
|
|
37,112%
|
|
441%
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal Year
Ended
|
% Change
YoY
|
Express Parcel Volume
(in '000)
|
December 31,
2018
|
|
December 31,
2019
|
|
December 31,
2020
|
|
2019 vs
2018
|
|
2020 vs
2019
|
5,470,092
|
|
7,576,204
|
|
8,535,133
|
|
38.5%
|
|
12.7%
|
Freight Volume (Tonne
in '000)
|
5,430
|
|
6,980
|
|
8,392
|
|
28.5%
|
|
20.2%
|
Supply Chain
Management
Orders Fulfilled (in '000)
|
246,717
|
|
356,905
|
|
433,224
|
|
44.7%
|
|
21.4%
|
UCargo Number of
Transactions (in '000)
|
466
|
|
619
|
|
738
|
|
32.8%
|
|
19.2%
|
Global Parcel Volume
in
Southeast Asia (in '000)
|
14
|
|
8,785
|
|
73,586
|
|
63,293%
|
|
738%
|
FINANCIAL RESULTS
For the Fourth Quarter Ended December
31, 2020:
Results presented herein exclude Store+-related discontinued
operations
Revenue
The following table sets forth a breakdown of revenue by
business segment for the periods indicated.
Table 1 –
Breakdown of Revenue by Business Segment
|
|
|
Three Months
Ended
|
|
|
December 31,
2019
|
|
December 31,
2020
|
|
|
(In '000, except
for %)
|
RMB
|
% of
Revenue
|
|
RMB
|
US$
|
% of
Revenue
|
|
% Change
YoY
|
Express
|
6,896,868
|
68.0%
|
|
5,822,926
|
892,402
|
63.0%
|
|
(15.6%)
|
Freight
|
1,555,229
|
15.3%
|
|
1,620,388
|
248,335
|
17.5%
|
|
4.2%
|
Supply Chain
Management
|
608,583
|
6.0%
|
|
542,332
|
83,116
|
5.9%
|
|
(10.9%)
|
Global
|
135,423
|
1.3%
|
|
253,351
|
38,828
|
2.7%
|
|
87.1%
|
UCargo
|
908,887
|
8.9%
|
|
957,865
|
146,799
|
10.3%
|
|
5.4%
|
Capital
|
51,741
|
0.5%
|
|
58,497
|
8,965
|
0.6%
|
|
13.1%
|
Total
Revenue
|
10,156,731
|
100.0%
|
|
9,255,359
|
1,418,445
|
100.0%
|
|
(8.9%)
|
- Express Service Revenue decreased by 15.6% YoY to RMB5,822.9 million (US$892.4 million) from RMB6,896.9 million, primarily due to a 20.4% YoY
decrease in ASP per parcel, partially offset by a 6.0% YoY increase
in parcel volume. The decrease in ASP per parcel is primarily
attributable to competitive market dynamics.
- Freight Service Revenue increased by 4.2% YoY to RMB1,620.4 million (US$248.3 million) from RMB1,555.2 million, primarily due to a 25.1% YoY
increase in freight volume, partially offset by a 16.7% YoY
decrease in ASP per tonne.
- Supply Chain Management Service Revenue decreased by 10.9% YoY
to RMB542.3 million (US$83.1 million) from RMB608.6 million, primarily due to pricing
pressure associated with certain legacy key account customers,
partially offset by a 11.7% YoY increase in the total number of
orders fulfilled by Cloud OFCs.
- Global Service Revenue increased by 87.1% YoY to RMB253.4 million (US$38.8
million) from RMB135.4
million, primarily due to strong growth in parcel volumes in
Southeast Asia.
- UCargo Service Revenue increased by 5.4% YoY to RMB957.9 million (US$146.8
million) from RMB908.9
million, primarily due to an increased number of total
transactions.
- Capital Service Revenue increased by 13.1% YoY to RMB58.5 million (US$9.0
million) from RMB51.7
million.
Cost of Revenue
The following table sets forth a breakdown of cost of revenue by
business segment for the periods indicated.
Table 2 –
Breakdown of Cost of Revenue by Business Segment
|
|
|
Three Months
Ended
|
|
% of
Revenue
Change
YoY
|
|
December 31,
2019
|
|
December 31,
2020
|
|
(In '000, except
for %)
|
RMB
|
% of
Revenue
|
|
RMB
|
US$
|
% of
Revenue
|
|
Express
|
(6,489,669)
|
94.1%
|
|
(5,900,035)
|
(904,220)
|
101.3%
|
|
7.2ppt
|
Freight
|
(1,468,828)
|
94.4%
|
|
(1,530,702)
|
(234,590)
|
94.5%
|
|
0.1ppt
|
Supply Chain
Management
|
(577,977)
|
95.0%
|
|
(549,212)
|
(84,170)
|
101.3%
|
|
6.3ppt
|
Global
|
(156,028)
|
115.2%
|
|
(273,222)
|
(41,873)
|
107.8%
|
|
(7.4ppt)
|
UCargo
|
(896,662)
|
98.7%
|
|
(945,577)
|
(144,916)
|
98.7%
|
|
0.0ppt
|
Capital
|
(6,045)
|
11.7%
|
|
(6,557)
|
(1,005)
|
11.2%
|
|
(0.5ppt)
|
Total Cost of
Revenue
|
(9,595,209)
|
94.5%
|
|
(9,205,305)
|
(1,410,774)
|
99.5%
|
|
5.0ppt
|
Cost of Revenue was RMB9,205.3
million (US$1,410.8 million)
or 99.5% of revenue in the fourth quarter of 2020, compared to
RMB9,595.2 million or 94.5% of
revenue in the same quarter of 2019. The increase of 5.0 ppts in
cost of revenue as a percentage of revenue was primarily
attributable to a steeper decrease in ASP than unit cost
reduction.
Table 3 –
Breakdown of Average Cost Per Parcel and Average Cost Per
Tonne
|
|
|
Three Months
Ended
|
|
%
Change
|
(in RMB)
|
December 31,
2019
|
December 31,
2020
|
|
YoY
|
Express:
|
|
|
|
|
Average Cost Per
Parcel
|
2.66
|
2.28
|
|
(14.3%)
|
Average Transportation
Cost Per Parcel
|
0.75
|
0.66
|
|
(12.0%)
|
Average Labor Cost Per
Parcel
|
0.22
|
0.21
|
|
(4.5%)
|
Average Lease Cost Per
Parcel
|
0.09
|
0.09
|
|
0.0%
|
Average Other Cost Per
Parcel
|
0.12
|
0.09
|
|
(25.0%)
|
Average Last-mile Cost
Per Parcel
|
1.48
|
1.23
|
|
(16.9%)
|
Freight:
|
|
|
|
|
Average Cost Per
Tonne
|
700.6
|
583.5
|
|
(16.7%)
|
- Express Service Average Cost per Parcel decreased by 14.3%,
primarily due to improved operating efficiency and economies of
scale.
- Freight Service Average Cost per Tonne decreased by 16.7% YoY,
primarily due to improved operating efficiency, network
optimization and economies of scale.
Gross Profit was RMB50.1
million (US$7.7 million) in
the fourth quarter of 2020, compared to gross profit of
RMB561.5 million in the same quarter
of 2019; Gross Margin was 0.5%, compared to 5.5% in the same
quarter of 2019.
Operating Expenses
The following table sets forth a breakdown of operating expenses
and adjusted operating expenses by category for the
periods indicated.
Table 4 –
Breakdown of Operating Expenses and Adjusted Operating Expenses by
Category
|
|
|
Three Months
Ended
|
|
|
|
December 31,
2019
|
|
December 31,
2020
|
|
(In '000, except
for %)
|
RMB
|
% of
Revenue
|
|
RMB
|
US$
|
% of
Revenue
|
|
% of Revenue
Change
YoY
|
Selling, General
and
Administrative Expenses
|
(400,643)
|
3.9%
|
|
(498,716)
|
(76,432)
|
5.4%
|
|
1.5ppt
|
Adjusted for SBC Expenses
|
(26,366)
|
0.2%
|
|
(23,864)
|
(3,657)
|
0.3%
|
|
0.1ppt
|
Adjusted Selling,
General
and
Administrative Expenses
|
(374,277)
|
3.7%
|
|
(474,852)
|
(72,775)
|
5.1%
|
|
1.4ppt
|
Research
and
Development Expenses
|
(52,076)
|
0.5%
|
|
(53,788)
|
(8,243)
|
0.6%
|
|
0.1ppt
|
Adjusted for
SBC Expenses
|
(354)
|
0.0%
|
|
(1,785)
|
(274)
|
0.0%
|
|
0.0ppt
|
Adjusted Research
and
Development Expenses
|
(51,722)
|
0.5%
|
|
(52,003)
|
(7,969)
|
0.6%
|
|
0.1ppt
|
Total Operating
Expenses
|
(452,719)
|
4.4%
|
|
(552,504)
|
(84,675)
|
6.0%
|
|
1.6ppt
|
Adjusted
for
SBC Expenses
|
(26,720)
|
0.2%
|
|
(25,649)
|
(3,931)
|
0.3%
|
|
0.1ppt
|
Adjusted
Total
Operating Expenses
|
(425,999)
|
4.2%
|
|
(526,855)
|
(80,744)
|
5.7%
|
|
1.5ppt
|
|
|
|
|
|
|
|
|
|
|
Selling, General and Administrative Expenses were
RMB498.7 million (US$76.4 million) or 5.4% of revenue in the fourth
quarter of 2020, compared to RMB400.6
million or 3.9% of revenue in the same quarter of 2019. The
increase in selling, general and administrative expenses was
primarily attributable to additional accrued provision for certain
trade receivables due to the pandemic and losses on disposal of
fixed assets due to an upgrade of Express equipment.
Research and Development Expenses were RMB53.8 million (US$8.2
million) or 0.6% of revenue in the fourth quarter of 2020,
compared to RMB52.1 million, or 0.5%
of revenue in the same quarter of 2019.
Share-based Compensation ("SBC") Expenses included in the
cost and expense items above in the fourth quarter of 2020 were
RMB26.1 million (US$4.0 million), compared to RMB27.4 million in the same quarter of 2019. In
the fourth quarter of 2020, RMB0.5
million (US$0.1 million) was
allocated to cost of revenue, RMB0.5
million (US$0.1 million) was
allocated to selling expenses, RMB23.3
million (US$3.6 million) was
allocated to general and administrative expenses, and RMB1.8 million (US$0.3
million) was allocated to research and development
expenses.
Net Loss and Non-GAAP Net Loss
Net Loss in the fourth quarter of 2020 was RMB492.9 million (US$75.5
million), compared to net income of RMB132.6 million in the same period of 2019.
Excluding SBC expenses, amortization of intangible assets resulting
from business acquisitions and gain from appreciation of investment
(if any for a given period), Non-GAAP Net Loss in the fourth
quarter of 2020 was RMB475.7 million
(US$72.9 million), compared to
non-GAAP net income of RMB146.8
million in the same quarter of 2019.
The following table sets forth a breakdown of non-GAAP net loss
for the three months ended December 31,
2020 by segment.
Table
5 – Breakdown of non-GAAP Net Loss by
Segment
|
|
|
|
Three Months Ended
December 31, 2020
|
|
(In
RMB'000)
|
Express
|
Freight
|
Supply
Chain
|
Global
|
UCargo
|
Capital
|
|
Unallocated[7]
|
Total
|
|
|
Non-GAAP Net
Income/(Loss)
|
(262,178)
|
13,841
|
(77,198)
|
(58,433)
|
(36,913)
|
12,920
|
|
(67,717)
|
(475,678)
|
|
[7] Unallocated expenses
are primarily related to corporate administrative expenses and
other miscellaneous items that are not allocated to individual
segments.
|
Diluted EPS and Non-GAAP Diluted EPS
Diluted EPS in the fourth quarter of 2020 was negative
RMB1.26 (US$0.19), based on a weighted average of 385.6
million diluted shares outstanding during the quarter. This is
compared to RMB0.36 on a weighted
average of 392.8 million diluted shares outstanding in the same
period of 2019. Excluding SBC expenses, amortization of intangible
assets resulting from business acquisitions and gain from
appreciation of investment (if any for a given period), Non-GAAP
Diluted EPS in the fourth quarter of 2020 was negative
RMB1.22 (US$0.19), compared to RMB0.39 in the same period of 2019. A
reconciliation of non-GAAP diluted EPS to diluted EPS is included
at the end of this results announcement.
Adjusted EBITDA and Adjusted EBITDA Margin
Adjusted EBITDA in the fourth quarter of 2020 was
negative RMB288.0 million
(US$44.1 million), compared to
RMB259.2 million in same quarter in
2019. Adjusted EBITDA Margin was negative 3.1% in the fourth
quarter of 2020, compared to 2.6% in the same quarter in 2019.
Adjusted EBITDA and Adjusted EBITDA Margin by Segment
The following table sets forth a breakdown of adjusted EBITDA
and adjusted EBITDA margin for the three months ended December 31, 2020 by segment.
Table
6 – Breakdown of Adjusted EBITDA and Adjusted
EBITDA Margin by Segment
|
|
|
Three Months Ended
December 31, 2020
|
|
(In
RMB'000)
|
Express
|
Freight
|
Supply
Chain
|
Global
|
UCargo
|
Capital
|
|
Unallocated[8]
|
Total
|
|
|
Adjusted
EBITDA
|
(158,255)
|
31,962
|
(67,323)
|
(54,680)
|
(34,508)
|
18,528
|
|
(23,694)
|
(287,970)
|
|
|
Adjusted
EBITDA
Margin
|
(2.7%)
|
2.0%
|
(12.4%)
|
(21.6%)
|
(3.6%)
|
31.7%
|
|
-
|
(3.1%)
|
|
[8] Unallocated
expenses are primarily related to corporate administrative expenses
and other miscellaneous items that are not allocated to individual
segments.
|
Cash and Cash Equivalents, Restricted Cash and Short-term
Investments
As of December 31, 2020, cash and
cash equivalents, restricted cash and short-term investments were
RMB4,464.2 million (US$684.2 million), compared to RMB5,005.5 million as of December 31, 2019.
Net Cash Generated From Operating Activities
Net cash generated from operating activities was RMB346.9 million (US$53.2
million), compared to RMB606.2
million in the same period of 2019. The decrease in net cash
generated from operating activities was mainly due to decreasing
ASP per parcel for the Express business segment.
Capital Expenditures ("CAPEX")
CAPEX was RMB331.1 million
(US$50.7 million), or 3.6% of total
revenue in the fourth quarter ended December
31, 2020, compared to CAPEX of RMB387.6 million, or 3.8% of total revenue, in
the same period of 2019.
For the Fiscal Year Ended December 31,
2020:
Results presented herein exclude Store+-related discontinued
operations
Revenue
The following table sets forth a breakdown of revenue by
business segment for the periods indicated.
Table 7 –
Breakdown of Revenue by Business Segment
|
|
|
Fiscal Year
Ended
|
|
|
December 31,
2019
|
|
December 31,
2020
|
|
|
(In '000, except
for %)
|
RMB
|
% of
Revenue
|
|
RMB
|
US$
|
% of
Revenue
|
|
% Change
YoY
|
Express
|
21,822,442
|
67.5%
|
|
19,417,559
|
2,975,871
|
64.7%
|
|
(11.0%)
|
Freight
|
5,224,355
|
16.1%
|
|
5,156,551
|
790,276
|
17.2%
|
|
(1.3%)
|
Supply Chain
Management
|
2,195,759
|
6.8%
|
|
1,912,323
|
293,076
|
6.4%
|
|
(12.9%)
|
Global
|
336,874
|
1.0%
|
|
777,656
|
119,181
|
2.6%
|
|
130.8%
|
UCargo
|
2,574,054
|
8.0%
|
|
2,519,919
|
386,194
|
8.4%
|
|
(2.1%)
|
Capital
|
205,203
|
0.6%
|
|
211,021
|
32,340
|
0.7%
|
|
2.8%
|
Total
Revenue
|
32,358,687
|
100.0%
|
|
29,995,029
|
4,596,938
|
100.0%
|
|
(7.3%)
|
- Express Service Revenue decreased by 11.0% YoY to RMB19,417.6 million (US$2,975.9 million) from RMB21,822.4 million, primarily due to a 21.0% YoY
decrease in ASP per parcel, partially offset by a 12.7% YoY
increase in parcel volume. The decrease in ASP per parcel is
primarily attributable to competitive market dynamics.
- Freight Service Revenue decreased by 1.3% YoY to RMB5,156.6 million (US$790.3 million) from RMB5,224.4 million, primarily due to a 17.9% YoY
decrease in ASP per tonne, partially offset by a 20.2% YoY increase
in freight volume.
- Supply Chain Management Service Revenue decreased by 12.9% YoY
to RMB1,912.3 million (US$293.1 million) from RMB2,195.8 million, primarily due to pricing
pressure associated with certain legacy key account customers,
partially offset by a 21.4% YoY increase in the total number of
orders fulfilled by Cloud OFCs.
- Global Service Revenue increased by 130.8% YoY to RMB777.7 million (US$119.2
million) from RMB336.9
million, primarily due to strong growth in parcel volumes in
Southeast Asia.
- UCargo Service Revenue decreased by 2.1% YoY to RMB2,519.9 million (US$386.2 million) from RMB2,574.1 million.
- Capital Service Revenue increased by 2.8% YoY to RMB211.0 million (US$32.3
million) from RMB205.2
million.
Cost of Revenue
The following table sets forth a breakdown of cost of revenue by
business segment for the periods indicated.
Table 8 –
Breakdown of Cost of Revenue by Business Segment
|
|
|
Fiscal Year
Ended
|
|
% of
Revenue
Change
YoY
|
|
December 31,
2019
|
|
December 31,
2020
|
|
(In '000, except
for %)
|
RMB
|
% of
Revenue
|
|
RMB
|
US$
|
% of
Revenue
|
|
Express
|
(20,793,370)
|
95.3%
|
|
(19,470,937)
|
(2,984,052)
|
100.3%
|
|
5.0ppt
|
Freight
|
(4,934,937)
|
94.5%
|
|
(5,063,236)
|
(775,975)
|
98.2%
|
|
3.7ppt
|
Supply Chain
Management
|
(2,052,006)
|
93.5%
|
|
(1,846,901)
|
(283,050)
|
96.6%
|
|
3.1ppt
|
Global
|
(371,404)
|
110.3%
|
|
(875,733)
|
(134,212)
|
112.6%
|
|
2.3ppt
|
UCargo
|
(2,517,642)
|
97.8%
|
|
(2,473,857)
|
(379,135)
|
98.2%
|
|
0.4ppt
|
Capital
|
(52,001)
|
25.3%
|
|
(26,225)
|
(4,019)
|
12.4%
|
|
(12.9ppt)
|
Total Cost of
Revenue
|
(30,721,360)
|
94.9%
|
|
(29,756,889)
|
(4,560,443)
|
99.2%
|
|
4.3ppt
|
Cost of Revenue was RMB29,756.9
million (US$4,560.4 million)
or 99.2% of revenue in fiscal year 2020, compared to RMB30,721.4 million or 94.9% of revenue in fiscal
year 2019. The increase of 4.3 ppts in cost of revenue as a
percentage of revenue was primarily attributable to intensified
Express market competition and a pricing lag after the PRC
government reinstated highway tolls. As a result, the decrease in
ASP outpaced reduction in unit cost in Express and Freight
businesses.
Table 9 –
Breakdown of Average Cost Per Parcel and Average Cost Per
Tonne
|
|
|
Fiscal Year
Ended
|
|
%
Change
|
(in RMB)
|
December 31,
2019
|
December 31,
2020
|
|
YoY
|
Express:
|
|
|
|
|
Average Cost Per
Parcel
|
2.74
|
2.28
|
|
(16.9%)
|
Average Transportation
Cost Per Parcel
|
0.75
|
0.64
|
|
(14.7%)
|
Average Labor Cost Per
Parcel
|
0.24
|
0.21
|
|
(12.5%)
|
Average Lease Cost Per
Parcel
|
0.10
|
0.10
|
|
0.0%
|
Average Other Cost Per
Parcel
|
0.13
|
0.10
|
|
(23.1%)
|
Average Last-mile Cost
Per Parcel
|
1.52
|
1.23
|
|
(19.1%)
|
Freight:
|
|
|
|
|
Average Cost Per
Tonne
|
707.0
|
603.4
|
|
(14.7%)
|
- Express Service Average Cost per Parcel decreased by 16.9%,
primarily due to improved operating efficiency and economies of
scale.
- Freight Service Average Cost per Tonne decreased by 14.7% YoY,
primarily due to improved operating efficiency, network
optimization and economies of scale.
Gross Profit was RMB238.1
million (US$36.5 million) in
fiscal year 2020, compared to gross profit of RMB1,637.3 million in fiscal year 2019; Gross
Margin was 0.8%, compared to 5.1% in fiscal year 2019.
Operating Expenses
The following table sets forth a breakdown of operating expenses
and adjusted operating expenses by category for the
periods indicated.
Table 10 –
Breakdown of Operating Expenses and Adjusted Operating Expenses by
Category
|
|
|
Fiscal Year
Ended
|
|
|
|
December 31,
2019
|
|
December 31,
2020
|
|
(In '000, except
for %)
|
RMB
|
% of
Revenue
|
|
RMB
|
US$
|
% of
Revenue
|
|
% of Revenue
Change
YoY
|
Selling, General
and
Administrative Expenses
|
(1,365,657)
|
4.2%
|
|
(1,740,134)
|
(266,688)
|
5.8%
|
|
1.6ppt
|
Adjusted
for
SBC Expenses
|
(82,714)
|
0.2%
|
|
(119,488)
|
(18,312)
|
0.4%
|
|
0.2ppt
|
Adjusted Selling,
General
and
Administrative Expenses
|
(1,282,943)
|
4.0%
|
|
(1,620,646)
|
(248,376)
|
5.4%
|
|
1.4ppt
|
Research and
Development Expenses
|
(204,234)
|
0.6%
|
|
(191,417)
|
(29,336)
|
0.6%
|
|
0.0ppt
|
Adjusted for
SBC Expenses
|
(7,209)
|
0.0%
|
|
(7,763)
|
(1,190)
|
0.0%
|
|
0.0ppt
|
Adjusted Research
and
Development Expenses
|
(197,025)
|
0.6%
|
|
(183,654)
|
(28,146)
|
0.6%
|
|
0.0ppt
|
Total Operating
Expenses
|
(1,569,891)
|
4.8%
|
|
(1,931,551)
|
(296,024)
|
6.4%
|
|
1.6ppt
|
Adjusted
for
SBC Expenses
|
(89,923)
|
0.2%
|
|
(127,251)
|
(19,502)
|
0.4%
|
|
0.2ppt
|
Adjusted Total
Operating Expenses
|
(1,479,968)
|
4.6%
|
|
(1,804,300)
|
(276,522)
|
6.0%
|
|
1.4ppt
|
|
|
|
|
|
|
|
|
|
|
Selling, General and Administrative Expenses were
RMB1,740.1 million (US$266.7 million) or 5.8% of revenue in fiscal
year 2020, compared to RMB1,365.7
million or 4.2% of revenue in fiscal year 2019. The increase
in selling, general and administrative expenses was primarily
attributable to increase in staff costs of Southeast Asia business, additional accrued
provision for certain trade receivables due to the pandemic and
losses on disposal of fixed assets due to an upgrade of Express's
equipment.
Research and Development Expenses were RMB191.4 million (US$29.3
million) or 0.6% of revenue in fiscal year 2020, compared to
RMB204.2 million, or 0.6% of revenue
in fiscal year 2019. The decrease in research and development
expenses was primarily attributable to capitalization of certain
research and development expenditures to intangible assets.
Share-based Compensation ("SBC") Expenses included in the
cost and expense items above in fiscal year 2020 were RMB129.7 million (US$19.9
million), compared to RMB91.7
million in fiscal year 2019. In fiscal year 2020,
RMB2.4 million (US$0.4 million) was allocated to cost of revenue,
RMB7.7 million (US$1.2 million) was allocated to selling
expenses, RMB111.8 million
(US$17.1 million) was allocated to
general and administrative expenses, and RMB7.8 million (US$1.2
million) was allocated to research and development
expenses.
Net Loss and Non-GAAP Net Loss
Net Loss in fiscal year 2020 was RMB1,683.1 million (US$257.9 million), compared to net income of
RMB172.7 million in fiscal year 2019.
Excluding SBC expenses, amortization of intangible assets resulting
from business acquisitions and gain from appreciation of investment
(if any for a given period), Non-GAAP Net Loss in fiscal
year 2020 was RMB1,569.3 million
(US$240.5 million), compared to
non-GAAP net income of RMB253.9
million in fiscal year 2019.
The following table sets forth a breakdown of non-GAAP net loss
for fiscal year 2020 by segment.
Table
11 – Breakdown of non-GAAP Net Loss by
Segment
|
|
|
Fiscal Year Ended
December 31, 2020
|
|
(In
RMB'000)
|
Express
|
Freight
|
Supply
Chain
|
Global
|
UCargo
|
Capital
|
|
Unallocated[9]
|
Total
|
|
|
Non-GAAP Net
Income/(Loss)
|
(741,117)
|
(188,703)
|
(164,066)
|
(239,926)
|
(113,638)
|
94,492
|
|
(216,365)
|
(1,569,323)
|
|
[9] Unallocated
expenses are primarily related to corporate administrative expenses
and other miscellaneous items that are not allocated to individual
segments.
|
Diluted EPS and Non-GAAP Diluted EPS
Diluted EPS in fiscal year 2020 was negative RMB4.28 (US$0.66),
based on a weighted average of 387.5 million diluted shares
outstanding during fiscal year 2020. This is compared to
RMB0.49 on a weighted average of
388.5 million diluted shares outstanding in fiscal year 2019.
Excluding SBC expenses, amortization of intangible assets resulting
from business acquisitions and gain from appreciation of investment
(if any for a given period), Non-GAAP Diluted EPS in fiscal
year 2020 was negative RMB3.98
(US$0.61), compared to RMB0.70 in fiscal year 2019. A reconciliation of
non-GAAP Diluted EPS to Diluted EPS is included at the end of this
results announcement.
Adjusted EBITDA and Adjusted EBITDA Margin
Adjusted EBITDA was negative RMB935.1 million (US$143.3
million) in fiscal year 2020, compared to RMB730.4 million in fiscal year 2019. Adjusted
EBITDA Margin was negative 3.1% in fiscal year 2020, compared
to 2.3% in fiscal year 2019.
Adjusted EBITDA and Adjusted EBITDA Margin by Segment
The following table sets forth a breakdown of adjusted EBITDA
and adjusted EBITDA margin for the in fiscal year 2020 by
segment.
Table
12 – Breakdown of Adjusted EBITDA and
Adjusted EBITDA Margin by Segment
|
|
|
|
Fiscal Year Ended
December 31, 2020
|
|
(In
RMB'000)
|
Express
|
Freight
|
Supply
Chain
|
Global
|
UCargo
|
Capital
|
|
Unallocated[10]
|
Total
|
|
|
Adjusted
EBITDA
|
(379,039)
|
(124,060)
|
(122,123)
|
(227,583)
|
(109,621)
|
114,700
|
|
(87,373)
|
(935,099)
|
|
|
Adjusted
EBITDA
Margin
|
(2.0%)
|
(2.4%)
|
(6.4%)
|
(29.3%)
|
(4.4%)
|
54.4%
|
|
-
|
(3.1%)
|
|
[10] Unallocated
expenses are primarily related to corporate administrative expenses
and other miscellaneous items that are not allocated to individual
segments.
|
Net Cash Generated From Operating Activities
Net cash generated from operating activities in fiscal year 2020
was RMB11.2 million (US$1.7 million), compared to RMB1,131.2 million of net cash generated from
operating activities in fiscal year 2019. The decrease in net cash
generated from operating activities was mainly due to decreased ASP
for the Express and Freight segments.
Capital Expenditures ("CAPEX")
CAPEX was RMB1,587.7 million
(US$243.3 million), or 5.3% of total
revenue in fiscal year 2020, compared to CAPEX of RMB1,497.7 million, or 4.6% of total revenue in
fiscal year 2019.
SHARES OUTSTANDING
As of the date of this press release, the Company had
approximately 387.7 million ordinary shares
outstanding[11]. Each American Depositary Share
represents one Class A ordinary share.
[11] The total
number of shares outstanding excludes shares reserved for future
issuances upon exercise or vesting of awards granted under the
Company's share incentive plans.
|
FINANCIAL GUIDANCE
Based on current market conditions and current operations, the
Company expects its revenue for the full fiscal year of 2021 to be
between RMB34 billion and
RMB36 billion. This forecast reflects
management's current and preliminary expectation, which is subject
to change.
MANAGEMENT CHANGE
Mr. Bo Liu, senior vice president
and general manager of BEST Store+ of the Company, has
left the Company in late February
2021.
WEBCAST AND CONFERENCE CALL INFORMATION
The Company will hold a conference call at 9:00 pm U.S. Eastern Time on March 10, 2021 (10:00
am Beijing Time on March 11,
2021), to discuss its financial results and operating
performance for the fourth quarter and fiscal year 2020.
Participants may access the call by dialing the following
numbers:
United
States:
|
+1-888-317-6003
|
Hong Kong:
|
800-963976 or
+852-5808-1995
|
Mainland
China:
|
4001-206115
|
International:
|
+1-412-317-6061
|
Participant Elite
Entry Number:
|
9453989
|
A replay of the conference call will be accessible through
March 17, 2021 by dialing the
following numbers:
United
States:
|
+1-877-344-7529
|
International:
|
+1-412-317-0088
|
Replay Access
Code:
|
10152635
|
Please visit the Company's investor relations website to view
the earnings release prior to the conference call. A live and
archived webcast of the conference call and a corporate
presentation will be available at the same site.
ABOUT BEST INC.
BEST Inc. (NYSE: BEST) is a leading integrated smart supply
chain solutions and logistics services provider in China. Through its proprietary technology
platform and extensive networks, BEST offers a comprehensive set of
logistics and value-add services, including express and freight
delivery, supply chain management and last-mile services, truckload
service brokerage, international logistics and financial services.
BEST's mission is to empower business and enrich life by leveraging
technology and business model innovation to create a smarter, more
efficient supply chain. For more information, please visit:
http://www.best-inc.com/en/.
For investor and media inquiries, please contact:
BEST Inc.
Investor relations
team
ir@best-inc.com
The Piacente Group, Inc.
Yang
Song
Tel: +86-10-6508-0677
E-mail: best@tpg-ir.com
The Piacente Group, Inc.
Brandi Piacente
Tel: +1-212-481-2050
E-mail:  best@tpg-ir.com
SAFE HARBOR STATEMENT
This announcement contains forward-looking statements. These
statements are made under the "safe harbor" provisions of the U.S.
Private Securities Litigation Reform Act of 1995. These
forward-looking statements can be identified by terminology such as
"will," "expects," "anticipates," "future," "intends," "plans,"
"believes," "estimates" and similar statements. Among other things,
the business outlook and quotations from management in this
announcement, as well as BEST's strategic and operational plans,
contain forward-looking statements. BEST may also make written or
oral forward-looking statements in its periodic reports to the U.S.
Securities and Exchange Commission (the "SEC"), in its annual
report to shareholders, in press releases and other written
materials and in oral statements made by its officers, directors or
employees to third parties. Statements that are not historical
facts, including statements about BEST's beliefs and expectations,
are forward-looking statements. Forward-looking statements involve
inherent risks and uncertainties. A number of factors could cause
actual results to differ materially from those contained in any
forward-looking statement, including but not limited to the
following: BEST's goals and strategies; BEST's future business
development, results of operations and financial condition; BEST 's
ability to maintain and enhance its ecosystem; BEST 's ability to
continue to innovate, meet evolving market trends, adapt to
changing customer demands and maintain its culture of innovation;
fluctuations in general economic and business conditions in
China and other countries in which
BEST operates, and assumptions underlying or related to any of the
foregoing. Further information regarding these and other risks is
included in BEST's filings with the SEC. All information provided
in this press release and in the attachments is as of the date of
this press release, and BEST does not undertake any obligation to
update any forward-looking statement, except as required under
applicable law.
USE OF NON-GAAP FINANCIAL MEASURES
In evaluating its business, BEST considers and uses non-GAAP
measures, such as non-GAAP net loss/income, non-GAAP net
loss/profit margin, adjusted EBITDA, adjusted EBITDA margin,
EBITDA, adjusted selling expenses, adjusted general and
administrative expenses, adjusted research and development
expenses, and non-GAAP Diluted EPS, as supplemental measures in the
evaluation of the Company's operating results and in the Company's
financial and operational decision-making. The Company believes
these non-GAAP financial measures that help identify underlying
trends in the Company's business that could otherwise be distorted
by the effect of the expenses and gains that the Company includes
in loss from operations and net loss. The Company believes that
these non-GAAP financial measures provide useful information about
its operating results, enhance the overall understanding of its
past performance and future prospects and allow for greater
visibility with respect to key metrics used by the Company's
management in its financial and operational decision-making. 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.
For more information on these non-GAAP financial measures, please
see the table captioned "Reconciliations of Non-GAAP Measures to
the Nearest Comparable GAAP Measures" in the results
announcement.
The non-GAAP financial measures are provided as additional
information to help investors compare business trends among
different reporting periods on a consistent basis and to enhance
investors' overall understanding of the Company's current financial
performance and prospects for the future. These non-GAAP financial
measures should be considered in addition to results prepared in
accordance with U.S. GAAP, but should not be considered a
substitute for, or superior to, U.S. GAAP results. In addition, the
Company's calculation of the non-GAAP financial measures may be
different from the calculation used by other companies, and
therefore comparability may be limited.
Summary of
Unaudited Condensed Consolidated Income Statements
|
(In
Thousands)
|
|
|
Three Months Ended
December 31,
|
Fiscal Year Ended
December 31,
|
|
2019
|
2020
|
2019
|
2020
|
|
RMB
|
RMB
|
US$
|
RMB
|
RMB
|
US$
|
Revenue
|
|
|
|
|
|
|
Express
|
6,896,868
|
5,822,926
|
892,402
|
21,822,442
|
19,417,559
|
2,975,871
|
Freight
|
1,555,229
|
1,620,388
|
248,335
|
5,224,355
|
5,156,551
|
790,276
|
Supply Chain
Management
|
608,583
|
542,332
|
83,116
|
2,195,759
|
1,912,323
|
293,076
|
Global
|
135,423
|
253,351
|
38,828
|
336,874
|
777,656
|
119,181
|
UCargo
|
908,887
|
957,865
|
146,799
|
2,574,054
|
2,519,919
|
386,194
|
Capital
|
51,741
|
58,497
|
8,965
|
205,203
|
211,021
|
32,340
|
Total
Revenue
|
10,156,731
|
9,255,359
|
1,418,445
|
32,358,687
|
29,995,029
|
4,596,938
|
Cost of
Revenue
|
|
|
|
|
|
|
|
Express
|
(6,489,669)
|
(5,900,035)
|
(904,220)
|
(20,793,370)
|
(19,470,937)
|
(2,984,052)
|
Freight
|
(1,468,828)
|
(1,530,702)
|
(234,590)
|
(4,934,937)
|
(5,063,236)
|
(775,975)
|
Supply Chain
Management
|
(577,977)
|
(549,212)
|
(84,170)
|
(2,052,006)
|
(1,846,901)
|
(283,050)
|
Global
|
(156,028)
|
(273,222)
|
(41,873)
|
(371,404)
|
(875,733)
|
(134,212)
|
UCargo
|
(896,662)
|
(945,577)
|
(144,916)
|
(2,517,642)
|
(2,473,857)
|
(379,135)
|
Capital
|
(6,045)
|
(6,557)
|
(1,005)
|
(52,001)
|
(26,225)
|
(4,019)
|
Total Cost of
Revenue
|
(9,595,209)
|
(9,205,305)
|
(1,410,774)
|
(30,721,360)
|
(29,756,889)
|
(4,560,443)
|
Gross
Profit
|
561,522
|
50,054
|
7,671
|
1,637,327
|
238,140
|
36,495
|
Selling
Expenses
|
(200,554)
|
(124,967)
|
(19,152)
|
(432,939)
|
(477,902)
|
(73,242)
|
General and
Administrative
Expenses
|
(200,089)
|
(373,749)
|
(57,280)
|
(932,718)
|
(1,262,232)
|
(193,446)
|
Research and
Development Expenses
|
(52,076)
|
(53,788)
|
(8,243)
|
(204,234)
|
(191,417)
|
(29,336)
|
Total Operating
Expenses
|
(452,719)
|
(552,504)
|
(84,675)
|
(1,569,891)
|
(1,931,551)
|
(296,024)
|
Loss from
Operations
|
108,803
|
(502,450)
|
(77,004)
|
67,436
|
(1,693,411)
|
(259,529)
|
Interest
Income
|
24,149
|
16,621
|
2,547
|
95,440
|
74,727
|
11,452
|
Interest
Expense
|
(26,719)
|
(53,473)
|
(8,195)
|
(79,486)
|
(174,607)
|
(26,760)
|
Foreign Exchange
Loss
|
(2,607)
|
(908)
|
(139)
|
(4,375)
|
(8,243)
|
(1,263)
|
Other
Income
|
55,371
|
55,916
|
8,570
|
145,853
|
165,346
|
25,340
|
Other
Expense
|
(19,342)
|
(2,307)
|
(354)
|
(31,784)
|
(24,576)
|
(3,766)
|
Income/(Loss) before
Income
Tax and Share of Net Loss of
Equity Investees
|
139,655
|
(486,601)
|
(74,575)
|
193,084
|
(1,660,764)
|
(254,526)
|
Income Tax
Expense
|
(6,883)
|
(6,268)
|
(961)
|
(20,027)
|
(22,124)
|
(3,391)
|
Income/(Loss) before
Share of
Net loss of Equity Investees
|
132,772
|
(492,869)
|
(75,536)
|
173,057
|
(1,682,888)
|
(257,917)
|
Share of Net Loss of
Equity
Investees
|
(172)
|
(66)
|
(10)
|
(355)
|
(180)
|
(28)
|
Net
Income/(Loss) from
continuing operations
|
132,600
|
(492,935)
|
(75,546)
|
172,702
|
(1,683,068)
|
(257,945)
|
Net loss from
discontinued
operations
|
(89,190)
|
(137,129)
|
(21,016)
|
(391,770)
|
(368,156)
|
(56,422)
|
Net
Income/(Loss)
|
43,410
|
(630,064)
|
(96,562)
|
(219,068)
|
(2,051,224)
|
(314,367)
|
Net Loss from
continuing
operations attributable to non-
controlling interests
|
(8,008)
|
(5,326)
|
(816)
|
(16,652)
|
(25,716)
|
(3,941)
|
Net
Income/(Loss) attributable to
Best Inc.
|
51,418
|
(624,738)
|
(95,746)
|
(202,416)
|
(2,025,508)
|
(310,426)
|
Summary of
Unaudited Condensed Consolidated Balance Sheets
|
(in
thousands)
|
|
|
As of December 31,
2019
|
|
As of December 31,
2020
|
|
RMB
|
|
RMB
|
US$
|
Assets
|
|
|
|
|
Current
Assets
|
|
|
|
|
Cash and Cash
Equivalents
|
1,985,413
|
|
1,383,317
|
212,003
|
Restricted
Cash
|
1,786,832
|
|
2,102,426
|
322,211
|
Accounts and Notes
Receivables
|
1,228,995
|
|
992,410
|
152,093
|
Inventories
|
106,483
|
|
44,133
|
6,764
|
Prepayments and Other
Current Assets
|
2,728,812
|
|
3,318,736
|
508,618
|
Short–term
Investments
|
1,057,598
|
|
268,647
|
41,172
|
Amounts Due from
Related Parties
|
246,758
|
|
255,917
|
39,221
|
Lease Rental
Receivables
|
483,363
|
|
497,127
|
76,188
|
Assets held for
sale
|
64,195
|
|
483,893
|
74,160
|
Total Current
Assets
|
9,688,449
|
|
9,346,606
|
1,432,430
|
Non–current
Assets
|
|
|
|
|
Property and
Equipment, Net
|
2,924,404
|
|
4,079,235
|
625,170
|
Intangible Assets,
Net
|
20,408
|
|
12,198
|
1,869
|
Long–term
Investments
|
230,855
|
|
221,426
|
33,935
|
Goodwill
|
289,319
|
|
295,759
|
45,327
|
Non–current
Deposits
|
118,629
|
|
129,645
|
19,869
|
Other Non–current
Assets
|
346,645
|
|
543,949
|
83,364
|
Restricted
Cash
|
175,700
|
|
709,848
|
108,789
|
Lease Rental
Receivables
|
993,260
|
|
647,678
|
99,261
|
Operating Lease
Right-of-use Assets
|
4,209,014
|
|
3,841,813
|
588,784
|
Assets held for
sale
|
496,173
|
|
-
|
-
|
Total non–current
Assets
|
9,804,407
|
|
10,481,551
|
1,606,368
|
Total
Assets
|
19,492,856
|
|
19,828,157
|
3,038,798
|
Liabilities and
Shareholders' Equity
|
|
|
|
|
Current
Liabilities
|
|
|
|
|
Securitization
Debt
|
104,899
|
|
95,149
|
14,582
|
Short–term Bank
Loans
|
2,510,500
|
|
3,082,537
|
472,419
|
Accounts and Notes
Payable
|
3,391,383
|
|
4,144,711
|
635,205
|
Income Tax
Payable
|
7,358
|
|
14,550
|
2,230
|
Customer Advances and
Deposits and
Deferred Revenue
|
1,488,630
|
|
1,526,051
|
233,878
|
Accrued Expenses and
Other Liabilities
|
2,006,049
|
|
2,466,460
|
378,002
|
Financing Lease
Liabilities
|
1,363
|
|
1,581
|
242
|
Operating Lease
Liabilities
|
975,475
|
|
1,038,215
|
159,113
|
Amounts Due to
Related Parties
|
9,769
|
|
34,651
|
5,310
|
Liabilities held for
sale
|
74,242
|
|
167,906
|
25,733
|
Total Current
Liabilities
|
10,569,668
|
|
12,571,811
|
1,926,714
|
Summary of
Unaudited Condensed Consolidated Balance Sheets
(Cont'd)
|
(In
Thousands)
|
|
|
|
|
|
|
|
As of December 31,
2019
|
|
As of December 31,
2020
|
|
RMB
|
|
RMB
|
|
US$
|
Non-current
Liabilities
|
|
|
|
|
|
Convertible senior
notes held by
|
|
|
|
|
|
related
parties
|
680,104
|
|
1,617,846
|
|
247,946
|
Convertible Senior
Notes held by third
parties
|
680,104
|
|
642,121
|
|
98,409
|
Operating Lease
Liabilities
|
3,388,908
|
|
3,014,945
|
|
462,061
|
Financing Lease
Liabilities
|
2,072
|
|
2,698
|
|
413
|
Deferred Tax
Liabilities
|
828
|
|
-
|
|
-
|
Other Non–current
Liabilities
|
137,184
|
|
175,584
|
|
26,909
|
Long-term Bank
Loans
|
-
|
|
78,548
|
|
12,038
|
Liabilities held for
sale
|
118,704
|
|
-
|
|
-
|
Total Non–current
Liabilities
|
5,007,904
|
|
5,531,742
|
|
847,776
|
Total
Liabilities
|
15,577,572
|
|
18,103,553
|
|
2,774,490
|
Shareholders'
Equity
|
|
|
|
|
|
Ordinary
Shares
|
25,988
|
|
25,988
|
|
3,983
|
Treasury
Shares
|
-
|
|
(211,352)
|
|
(32,391)
|
Additional Paid–In
Capital
|
19,353,400
|
|
19,487,232
|
|
2,986,549
|
Statutory
reserves
|
7,865
|
|
8,038
|
|
1,232
|
Accumulated
Deficit
|
(15,629,537)
|
|
ÂÂÂÂÂ(17,710,964)[12]
|
|
(2,714,324)
|
Accumulated Other
Comprehensive Income
|
163,196
|
|
151,677
|
|
23,246
|
BEST Inc.
Shareholders' Equity
|
3,920,912
|
|
1,750,619
|
|
268,295
|
Non-controlling
Interests
|
(5,628)
|
|
(26,015)
|
|
(3,987)
|
Total
Shareholders' Equity
|
3,915,284
|
|
1,724,604
|
|
264,308
|
Total Liabilities
and
Shareholders' Equity
|
19,492,856
|
|
19,828,157
|
|
3,038,798
|
|
[12]
Including accumulated accretion to redemption value and deemed
dividend in relation to redeemable convertible preferred
shares of RMB9,493,807, and accumulated loss from operations of
RMB8,217,157.
|
Summary of
Unaudited Condensed Consolidated Statements of Cash
Flows
|
(In
Thousands)
|
|
|
Three Months Ended
December 31,
|
Fiscal Year Ended
December 31,
|
|
2019
|
2020
|
2019
|
2020
|
|
RMB
|
RMB
|
US$
|
RMB
|
RMB
|
US$
|
Net cash generated
from continuing
operating
activities
|
606,189
|
346,937
|
53,172
|
1,131,226
|
11,188
|
1,715
|
Net cash used in
discontinued
operating
activities
|
(119,385)
|
(122,616)
|
(18,792)
|
(278,393)
|
(242,423)
|
(37,153)
|
Net cash Generated
from/(Used in)
operating activities
|
486,804
|
224,321
|
34,380
|
852,833
|
(231,235)
|
(35,438)
|
Net cash used in
continuing
Investing Activities
|
(532,859)
|
(162,881)
|
(24,963)
|
(1,918,474)
|
(872,353)
|
(133,694)
|
Net cash generated
from/(used in)
discontinued Investing activities
|
3,934
|
(1,226)
|
(188)
|
5,992
|
(580)
|
(89)
|
Net cash used in
investing
activities
|
(528,925)
|
(164,107)
|
(25,151)
|
(1,912,482)
|
(872,933)
|
(133,783)
|
Net cash generated
from/(used in)
continuing financing activities
|
373,080
|
(172,599)
|
(26,452)
|
2,377,212
|
1,760,684
|
269,837
|
Net cash generated
from/(used in)
discontinued financing activities
|
80,000
|
(17,500)
|
(2,682)
|
(365,400)
|
(212,500)
|
(32,567)
|
Net cash generated
from/(used in)
financing activities
|
453,080
|
(190,099)
|
(29,134)
|
2,011,812
|
1,548,184
|
237,270
|
Exchange Rate Effect
on Cash, Cash
Equivalents, and Restricted Cash
|
(36,216)
|
(110,778)
|
(16,977)
|
5,644
|
(192,110)
|
(29,442)
|
Net
Increase/(Decrease) in Cash and
Cash Equivalents, and
Restricted Cash
|
374,743
|
(240,663)
|
(36,882)
|
957,807
|
251,906
|
38,607
|
Cash and Cash
Equivalents, and
Restricted Cash at Beginning
of Period
|
3,582,472
|
4,449,784
|
681,959
|
2,999,408
|
3,957,215
|
606,470
|
Cash and Cash
Equivalents,
and Restricted Cash at End
of Period
|
3,957,215
|
4,209,121
|
645,077
|
3,957,215
|
4,209,121
|
645,077
|
Less: Cash and Cash
Equivalents, and
Restricted Cash held for sales
at end of the Period
|
9,270
|
13,530
|
2,074
|
9,270
|
13,530
|
2,074
|
Cash and Cash
Equivalents, and
Restricted Cash from continuing
operations at End of Period
|
3,947,945
|
4,195,591
|
643,003
|
3,947,945
|
4,195,591
|
643,003
|
RECONCILIATIONS OF NON-GAAP MEASURES TO THE NEAREST
COMPARABLE GAAP MEASURES
The table below sets forth a reconciliation of the Company's net
loss to EBITDA, adjusted EBITDA and adjusted EBITDA margin for the
periods indicated:
Table 13 –
Reconciliation of EBITDA, Adjusted EBITDA and Adjusted EBITDA
Margin
|
|
|
Three Months
Ended December 31, 2020
|
|
(In
RMB'000)
|
Express
|
Freight
|
Supply
Chain
|
Global
|
UCargo
|
Capital
|
|
Unallocated[13]
|
Total
|
|
|
Net
Income/(Loss)
|
(263,884)
|
11,468
|
(79,027)
|
(60,688)
|
(37,538)
|
12,862
|
|
(76,128)
|
(492,935)
|
|
|
Add:
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation &
Amortization
|
102,688
|
18,121
|
10,095
|
3,753
|
2,405
|
355
|
|
7,171
|
144,588
|
|
|
Interest
Expense
|
-
|
-
|
-
|
-
|
-
|
-
|
|
53,473
|
53,473
|
|
|
Income Tax
Expense/(Benefit)
|
1,235
|
-
|
(220)
|
-
|
-
|
5,253
|
|
-
|
6,268
|
|
|
Subtract:
|
|
|
|
|
|
|
|
|
|
|
|
Interest
Income
|
-
|
-
|
-
|
-
|
-
|
-
|
|
(16,621)
|
(16,621)
|
|
|
EBITDA
|
(159,961)
|
29,589
|
(69,152)
|
(56,935)
|
(35,133)
|
18,470
|
|
(32,105)
|
(305,227)
|
|
|
Add:
|
|
|
|
|
|
|
|
|
|
|
|
Share-based
Compensation
Expenses
|
1,706
|
2,373
|
1,829
|
2,255
|
625
|
58
|
|
17,261
|
26,107
|
|
|
Subtract:
|
|
|
|
|
|
|
|
|
|
|
|
Gain from
appreciation of
investments
|
-
|
-
|
-
|
-
|
-
|
-
|
|
(8,850)
|
(8,850)
|
|
|
Adjusted
EBITDA
|
(158,255)
|
31,962
|
(67,323)
|
(54,680)
|
(34,508)
|
18,528
|
|
(23,694)
|
(287,970)
|
|
|
Adjusted
EBITDA
Margin
|
(2.7%)
|
2.0%
|
(12.4%)
|
(21.6%)
|
(3.6%)
|
31.7%
|
|
-
|
(3.1%)
|
|
|
[13] Unallocated
expenses are primarily related to corporate administrative expenses
and other miscellaneous items that are not allocated to individual
segments.
|
|
|
|
|
|
|
Three Months
Ended December 31, 2019
|
|
(In
RMB'000)
|
Express
|
Freight
|
Supply
Chain
|
Global
|
UCargo
|
Capital
|
|
Unallocated[14]
|
Total
|
|
|
Net
Income/(Loss)
|
261,633
|
16,097
|
(68,105)
|
(64,395)
|
(14,457)
|
34,705
|
|
(32,878)
|
132,600
|
|
|
Add:
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation &
Amortization
|
70,267
|
14,088
|
6,221
|
2,676
|
48
|
(134)
|
|
10,698
|
103,864
|
|
|
Interest
Expense
|
-
|
-
|
-
|
-
|
-
|
-
|
|
26,719
|
26,719
|
|
|
Income Tax
Expense/(Benefit)
|
1,701
|
21
|
215
|
(213)
|
-
|
5,172
|
|
(13)
|
6,883
|
|
|
Subtract:
|
|
|
|
|
|
|
|
|
|
|
|
Interest
Income
|
-
|
-
|
-
|
-
|
-
|
-
|
|
(24,149)
|
(24,149)
|
|
|
EBITDA
|
333,601
|
30,206
|
(61,669)
|
(61,932)
|
(14,409)
|
39,743
|
|
(19,623)
|
245,917
|
|
|
Add:
|
|
|
|
|
|
|
|
|
|
|
|
Share-based
Compensation
Expenses
|
4,237
|
2,555
|
3,417
|
2,587
|
766
|
72
|
|
13,814
|
27,448
|
|
|
Subtract:
|
|
|
|
|
|
|
|
|
|
|
|
Gain from
appreciation of
investments
|
-
|
-
|
-
|
-
|
-
|
-
|
|
(14,155)
|
(14,155)
|
|
|
Adjusted
EBITDA
|
337,838
|
32,761
|
(58,252)
|
(59,345)
|
(13,643)
|
39,815
|
|
(19,964)
|
259,210
|
|
|
Adjusted
EBITDA
Margin
|
4.9%
|
2.1%
|
(9.6%)
|
(43.8%)
|
(1.5%)
|
77.0%
|
|
-
|
2.6%
|
|
|
[14] Unallocated
expenses are primarily related to corporate administrative expenses
and other miscellaneous items that are not allocated to individual
segments.
|
|
|
|
|
|
|
Fiscal Year Ended
December 31, 2020
|
|
(In
RMB'000)
|
Express
|
Freight
|
Supply
Chain
|
Global
|
UCargo
|
Capital
|
|
Unallocated[15]
|
Total
|
|
|
Net
Income/(Loss)
|
(755,305)
|
(199,826)
|
(175,072)
|
(251,511)
|
(116,782)
|
93,981
|
|
(278,553)
|
(1,683,068)
|
|
|
Add:
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation &
Amortization
|
357,507
|
64,643
|
42,121
|
15,955
|
4,017
|
1,647
|
|
29,112
|
515,002
|
|
|
Interest
Expense
|
-
|
-
|
-
|
-
|
-
|
-
|
|
174,607
|
174,607
|
|
|
Income Tax
Expense/(Benefit)
|
4,571
|
|
(178)
|
(830)
|
|
18,561
|
|
|
22,124
|
|
|
Subtract:
|
|
|
|
|
|
|
|
|
|
|
|
Interest
Income
|
-
|
-
|
-
|
-
|
-
|
-
|
|
(74,727)
|
(74,727)
|
|
|
EBITDA
|
(393,227)
|
(135,183)
|
(133,129)
|
(236,386)
|
(112,765)
|
114,189
|
|
(149,561)
|
(1,046,062)
|
|
|
Add:
|
|
|
|
|
|
|
|
|
|
|
|
Share-based
Compensation
Expenses
|
14,188
|
11,123
|
11,006
|
8,803
|
3,144
|
511
|
|
80,876
|
129,651
|
|
|
Subtract:
|
|
|
|
|
|
|
|
|
|
|
|
Gain from
appreciation of
investments
|
-
|
-
|
-
|
-
|
-
|
-
|
|
(18,688)
|
(18,688)
|
|
|
Adjusted
EBITDA
|
(379,039)
|
(124,060)
|
(122,123)
|
(227,583)
|
(109,621)
|
114,700
|
|
(87,373)
|
(935,099)
|
|
|
Adjusted
EBITDA
Margin
|
(2.0%)
|
(2.4%)
|
(6.4%)
|
(29.3%)
|
(4.4%)
|
54.4%
|
|
-
|
(3.1%)
|
|
|
[15] Unallocated
expenses are primarily related to corporate administrative expenses
and other miscellaneous items that are not allocated to individual
segments.
|
|
|
|
|
|
Fiscal Year Ended
December 31, 2019
|
|
(In
RMB'000)
|
Express
|
Freight
|
Supply
Chain
|
Global
|
UCargo
|
Capital
|
|
Unallocated[16]
|
Total
|
|
|
Net
Income/(Loss)
|
461,490
|
18,684
|
(122,312)
|
(167,600)
|
(22,056)
|
125,966
|
|
(121,470)
|
172,702
|
|
|
Add:
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation &
Amortization
|
325,950
|
53,684
|
48,405
|
9,510
|
234
|
1,225
|
|
37,093
|
476,101
|
|
|
Interest
Expense
|
-
|
-
|
-
|
-
|
-
|
-
|
|
79,486
|
79,486
|
|
|
Income Tax
Expense/(Benefit)
|
1,701
|
21
|
357
|
(1,027)
|
-
|
18,988
|
|
(13)
|
20,027
|
|
|
Subtract:
|
|
|
|
|
|
|
|
|
|
|
|
Interest
Income
|
-
|
-
|
-
|
-
|
-
|
-
|
|
(95,440)
|
(95,440)
|
|
|
EBITDA
|
789,141
|
72,389
|
(73,550)
|
(159,117)
|
(21,822)
|
146,179
|
|
(100,344)
|
652,876
|
|
|
Add:
|
|
|
|
|
|
|
|
|
|
|
|
Share-based
Compensation
Expenses
|
20,209
|
8,531
|
11,110
|
7,480
|
2,498
|
247
|
|
41,618
|
91,693
|
|
|
Subtract:
|
|
|
|
|
|
|
|
|
|
|
|
Gain from
appreciation of
investments
|
-
|
-
|
-
|
-
|
-
|
-
|
|
(14,155)
|
(14,155)
|
|
|
Adjusted
EBITDA
|
809,350
|
80,920
|
(62,440)
|
(151,637)
|
(19,324)
|
146,426
|
|
(72,881)
|
730,414
|
|
|
Adjusted
EBITDA
Margin
|
3.7%
|
1.5%
|
(2.8%)
|
(45.0%)
|
(0.8%)
|
71.4%
|
|
-
|
2.3%
|
|
|
[16] Unallocated
expenses are primarily related to corporate administrative expenses
and other miscellaneous items that are not allocated to individual
segments.
|
The table below sets forth a reconciliation of the Company's net
Income/(loss) to non-GAAP net Income/(loss), non-GAAP net
Income/(loss) margin for the periods indicated:
Table 14 –
Reconciliation of Non-GAAP Net Income/(Loss) and Non-GAAP Net
Income/(Loss) Margin
|
|
|
Three Months
Ended December 31, 2020
|
|
(In
RMB'000)
|
Express
|
Freight
|
Supply
Chain
|
Global
|
UCargo
|
Capital
|
|
Unallocated[17]
|
Total
|
|
|
Net
Income/(Loss)
|
(263,884)
|
11,468
|
(79,027)
|
(60,688)
|
(37,538)
|
12,862
|
|
(76,128)
|
(492,935)
|
|
|
Add:
|
|
|
|
|
|
|
|
|
|
|
|
Share-based
Compensation
Expenses
|
1,706
|
2,373
|
1,829
|
2,255
|
625
|
58
|
|
17,261
|
26,107
|
|
|
Amortization of Intangible Assets
Resulting from
Business
|
-
|
-
|
-
|
-
|
-
|
-
|
|
-
|
-
|
|
|
Subtract:
|
|
|
|
|
|
|
|
|
|
|
|
Gain from
appreciation of
investments
|
-
|
-
|
-
|
-
|
-
|
-
|
|
(8,850)
|
(8,850)
|
|
|
Non-GAAP Net
Income/(Loss)
|
(262,178)
|
13,841
|
(77,198)
|
(58,433)
|
(36,913)
|
12,920
|
|
(67,717)
|
(475,678)
|
|
|
Non-GAAP Net
Income/(Loss)
Margin
|
(4.5%)
|
0.9%
|
(14.2%)
|
(23.1%)
|
(3.9%)
|
22.1%
|
|
-
|
(5.1%)
|
|
|
[17] Unallocated
expenses are primarily related to corporate administrative expenses
and other miscellaneous items that are not allocated to individual
segments.
|
|
|
|
Three Months
Ended December 31, 2019
|
|
(In
RMB'000)
|
Express
|
Freight
|
Supply
Chain
|
Global
|
UCargo
|
Capital
|
|
Unallocated[18]
|
Total
|
|
|
Net
Income/(Loss)
|
261,633
|
16,097
|
(68,105)
|
(64,395)
|
(14,457)
|
34,705
|
|
(32,878)
|
132,600
|
|
|
Add:
|
|
|
|
|
|
|
|
|
|
|
|
Share-based
Compensation
Expenses
|
4,237
|
2,555
|
3,417
|
2,587
|
766
|
72
|
|
13,814
|
27,448
|
|
|
Amortization of
Intangible Assets
Resulting from
Business
|
-
|
-
|
-
|
933
|
-
|
-
|
|
-
|
933
|
|
|
Subtract:
|
|
|
|
|
|
|
|
|
|
|
|
Gain from
appreciation of
investments
|
-
|
-
|
-
|
-
|
-
|
-
|
|
(14,155)
|
(14,155)
|
|
|
Non-GAAP Net
Income/(Loss)
|
265,870
|
18,652
|
(64,688)
|
(60,875)
|
(13,691)
|
34,777
|
|
(33,219)
|
146,826
|
|
|
Non-GAAP Net
Income/(Loss)
Margin
|
3.9%
|
1.2%
|
(10.6%)
|
(45.0%)
|
(1.5%)
|
67.2%
|
|
-
|
1.4%
|
|
|
[18] Unallocated
expenses are primarily related to corporate administrative expenses
and other miscellaneous items that are not allocated to individual
segments.
|
|
|
|
Fiscal Year
Ended December 31, 2020
|
|
(In
RMB'000)
|
Express
|
Freight
|
Supply
Chain
|
Global
|
UCargo
|
Capital
|
|
Unallocated[19]
|
Total
|
|
|
Net
Income/(Loss)
|
(755,305)
|
(199,826)
|
(175,072)
|
(251,511)
|
(116,782)
|
93,981
|
|
(278,553)
|
(1,683,068)
|
|
|
Add:
|
|
|
|
|
|
|
|
|
|
|
|
Share-based
Compensation
Expenses
|
14,188
|
11,123
|
11,006
|
8,803
|
3,144
|
511
|
|
80,876
|
129,651
|
|
|
Amortization of
Intangible Assets
Resulting from
Business
|
-
|
-
|
-
|
2,782
|
-
|
-
|
|
-
|
2,782
|
|
|
Subtract:
|
|
|
|
|
|
|
|
|
|
|
|
Gain from
appreciation of
investments
|
-
|
-
|
-
|
-
|
-
|
-
|
|
(18,688)
|
(18,688)
|
|
|
Non-GAAP Net
Income/(Loss)
|
(741,117)
|
(188,703)
|
(164,066)
|
(239,926)
|
(113,638)
|
94,492
|
|
(216,365)
|
(1,569,323)
|
|
|
Non-GAAP Net
Income/(Loss)
Margin
|
(3.8%)
|
(3.7%)
|
(8.6%)
|
(30.9%)
|
(4.5%)
|
44.8%
|
|
-
|
(5.2%)
|
|
|
[19] Unallocated
expenses are primarily related to corporate administrative expenses
and other miscellaneous items that are not allocated to individual
segments.
|
|
|
|
Fiscal Year
Ended December 31, 2019
|
|
(In
RMB'000)
|
Express
|
Freight
|
Supply
Chain
|
Global
|
UCargo
|
Capital
|
|
Unallocated[20]
|
Total
|
|
|
Net
Income/(Loss)
|
461,490
|
18,684
|
(122,312)
|
(167,600)
|
(22,056)
|
125,966
|
|
(121,470)
|
172,702
|
|
|
Add:
|
|
|
|
|
|
|
|
|
|
|
|
Share-based
Compensation
Expenses
|
20,209
|
8,531
|
11,110
|
7,480
|
2,498
|
247
|
|
41,618
|
91,693
|
|
|
Amortization of
Intangible Assets
Resulting from
Business
|
-
|
-
|
-
|
3,660
|
-
|
-
|
|
-
|
3,660
|
|
|
Subtract:
|
|
|
|
|
|
|
|
|
|
|
|
Gain from
appreciation of
investments
|
-
|
-
|
-
|
-
|
-
|
-
|
|
(14,155)
|
(14,155)
|
|
|
Non-GAAP Net
Income/(Loss)
|
481,699
|
27,215
|
(111,202)
|
(156,460)
|
(19,558)
|
126,213
|
|
(94,007)
|
253,900
|
|
|
Non-GAAP Net
Income/(Loss)
Margin
|
2.2%
|
0.5%
|
(5.1%)
|
(46.4%)
|
(0.8%)
|
61.5%
|
|
-
|
0.8%
|
|
|
[20] Unallocated
expenses are primarily related to corporate administrative expenses
and other miscellaneous items that are not allocated to individual
segments.
|
The table below sets forth a reconciliation of the Company's
Diluted EPS to non-GAAP Diluted EPS for the periods indicated:
Table 15 –
Reconciliation of Diluted EPS and Non-GAAP Diluted
EPS
|
|
|
Three Months Ended
December 31,
|
|
Fiscal Year Ended
December 31,
|
|
2020
|
|
2020
|
(In
'000)
|
RMB
|
US$
|
|
RMB
|
US$
|
Net Loss Attributable
to Ordinary Shareholders
|
(487,609)
|
(74,730)
|
|
(1,657,352)
|
(254,004)
|
Add:
|
|
|
|
|
|
Share-based
Compensation Expenses
|
26,107
|
4,000
|
|
129,651
|
19,869
|
Amortization of
Intangible Assets Resulting
from Business Acquisitions
|
-
|
-
|
|
2,782
|
426
|
Subtract:
|
|
|
|
|
|
Gain from appreciation
of investments
|
(8,850)
|
(1,356)
|
|
(18,688)
|
(2,864)
|
Non-GAAP Net Loss
Attributable to Ordinary
Shareholders for Computing
Non-GAAP Diluted EPS
|
(470,352)
|
(72,086)
|
|
(1,543,607)
|
(236,573)
|
Weighted Average
Diluted Shares
Outstanding During the Period
|
|
|
|
|
|
Diluted
|
385,575,665
|
385,575,665
|
|
387,492,906
|
387,492,906
|
Diluted
(Non-GAAP)
|
385,575,665
|
385,575,665
|
|
387,492,906
|
387,492,906
|
Diluted
EPS
|
(1.26)
|
(0.19)
|
|
(4.28)
|
(0.66)
|
Add:
|
|
|
|
|
|
Non-GAAP adjustment to
net loss per share
|
0.04
|
-
|
|
0.30
|
0.05
|
Non-GAAP Diluted
EPS
|
(1.22)
|
(0.19)
|
|
(3.98)
|
(0.61)
|
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SOURCE BEST Inc.