SHANGHAI, Nov. 18, 2021 /PRNewswire/ -- ATRenew Inc.
("ATRenew" or the "Company") (NYSE: RERE), a leading
technology-driven pre-owned consumer electronics transactions and
services platform in China, today
announced its unaudited financial results for the third quarter
ended September 30, 2021.
Third Quarter 2021 Highlights
- Total net revenues grew by 48.0% to RMB1,962.3 million (US$304.5 million) from RMB1,326.1 million in the third quarter of
2020.
- Loss from operations was RMB150.5
million (US$23.4 million),
compared to RMB84.7 million in the
third quarter of 2020. Adjusted loss from operations
(non-GAAP)[1] was RMB28.5 million (US$4.4
million) compared to RMB6.9
million in the third quarter of 2020.
- Total Gross Merchandise Volume
("GMV[2]") increased by 56.6% to
RMB8.3 billion from RMB5.3 billion in the third quarter of 2020.
GMV for product sales increased by 58.3% to RMB1.9 billion from RMB1.2
billion in the third quarter of 2020. GMV for online
marketplaces increased by 56.1% to RMB6.4 billion from RMB4.1
billion in the third quarter of 2020.
- Number of consumer products transacted[3]
increased by 23.4% to 7.9 million from 6.4 million in the third
quarter of 2020.
[1] See
"Reconciliations of GAAP and Non-GAAP Results" for more
information.
|
[2] "GMV"
represents the total dollar value of goods distributed to merchants
and consumers through transactions on the Company's platform in a
given period for which payments have been made, prior to returns
and cancellations, excluding shipping cost but including sales
tax.
|
[3]
"Number of consumer products transacted" represents the number of
consumer products distributed to merchants and consumers through
transactions on the Company's PJT Marketplace, Paipai Marketplace
and other channels the Company operates in a given period, prior to
returns and cancellations, excluding the number of consumer
products collected through AHS Recycle; a single consumer product
may be counted more than once according to the number of times it
is transacted on PJT Marketplace, Paipai Marketplace and other
channels the Company operates through the distribution process to
end consumer.
|
Mr. Kerry Xuefeng Chen, the
Founder, Chairman, and Chief Executive Officer of ATRenew,
commented, "Despite the slowdown in new device sales, we delivered
another strong quarter of robust scale and revenue growth,
showcasing the vitality of China's
circular economy. In response to macro policies, we are proactively
pushing to further the country's goals for peak carbon emissions,
carbon neutrality, and developing a circular economy by promoting
standardization of the pre-owned consumer industry and driving the
growth of a new type of real economy for compliant recycling and
trade-ins of pre-owned consumer electronics."
"In terms of our operations, we upgraded our new generation
automated inspection system, Matrix 2.0, further improving
automation and operational efficiency while fortifying the
technological infrastructure for further long-term development.
Additionally, we continued to explore our city-level distribution
model, achieved end-to-end coverage on recycling, operation, and
sales, and made new breakthroughs in enhancing our pre-owned
consumer electronics turnover efficiency."
Mr. Rex Chen, the Chief Financial
Officer of ATRenew, added, "We continued our growth momentum with
GMV and revenue growth beyond expectations in the third quarter.
GMV for product sales increased by 58.3% year over year, primarily
driven by organic growth in our AHS stores and strong support from
our strategic partners including JD Group. As we improved our
platform's service capabilities, our service revenue sustained
healthy growth, increasing by 67.3% year over year. Our
comprehensive take rate rose to 4.6%, and, more importantly,
revenue contribution from services grew to 15.2% during the third
quarter, diversifying our revenue mix. Looking forward to the
fourth quarter and 2022, we are confident in our ability to
increase efficiency through streamlining our operations, improving
profitability and capital utilization efficiency, and creating
long-term value for both shareholders and our environment."
Third Quarter 2021 Financial Results
REVENUE
Total net revenues increased by 48.0% to RMB1,962.3 million (US$304.5 million) from RMB1,326.1 million in the same period of
2020.
- Net product revenues increased by 45.0% to RMB1,665.0 million (US$258.4 million) from RMB1,148.4 million in the same period of 2020.
The increase was primarily attributable to an increase in the
sourcing volume and the corresponding sales of pre-owned consumer
electronics through PJT Marketplace, Paipai Marketplace and the
Company's offline channels.
- Net service revenues increased by 67.3% to RMB297.3 million (US$46.1
million) from RMB177.7 million
in the same period of 2020. The increase was primarily due to the
increases in transaction volume on PJT Marketplace and Paipai
Marketplace and an increase in the average commission rate.
OPERATING COSTS AND EXPENSES
Operating costs and expenses increased by 49.5% to RMB2,123.5 million (US$329.6 million) from RMB1,420.1 million in the same period of
2020.
- Merchandise costs increased by 46.8% to RMB1,443.9 million (US$224.1 million) from RMB983.7 million in the same period of 2020. The
increase was primarily due to the growth in product revenues.
- Fulfillment expenses increased by 61.7% to RMB273.4 million (US$42.4
million) from RMB169.1 million
in the same period of 2020. The increase was primarily due to (i)
an increase in personnel cost in connection with the Company's
growing business; and (ii) the increases in logistics expenses and
operation center related expenses, which were in line with the
increase in sales of pre-owned consumer electronics.
- Selling and marketing expenses increased by 59.8% to
RMB299.0 million (US$46.4 million) from RMB187.1 million in the same period of 2020. The
increase was primarily due to (i) an increase in sales promotion
and coupon expenses in connection with business development; and
(ii) an increase in personnel cost in connection with the Company's
growing business; and (iii) an increase in sales commissions in
connection with traffic acquisition and sourcing of pre-owned
devices.
- General and administrative expenses decreased by 0.2% to
RMB42.0 million (US$6.5 million) from RMB42.1 million in the same period of 2020. There
was no significant change compared with the previous quarter
primarily due to the increase in share-based compensation expenses offset by
the decrease in other administrative expenses resulting from the
improved management efficiency.
- Technology and content expenses increased by 71.1% to
RMB65.2 million (US$10.1 million) from RMB38.1 million in the same period of 2020. The
increase was primarily due to the increase in personnel cost in
connection to the expansion of the Company's research and
development activities.
LOSS FROM OPERATIONS
Loss from operations was RMB150.5
million (US$23.4 million),
compared to RMB84.7 million in the
third quarter of 2020. Adjusted loss from operations (non-GAAP),
excluding amortization of intangible assets and deferred cost
resulting from assets and business acquisitions
and recognition of share-based compensation expense resulting
from options granted to employees, was RMB28.5 million (US$4.4
million), compared to RMB6.9
million in the third quarter of 2020.
NET LOSS
Net loss was RMB121.7 million
(US$18.9 million), compared to
RMB94.2 million in the third quarter
of 2020. Adjusted net loss (non-GAAP)[4] was
RMB22.5 million (US$3.5 million), compared to RMB28.1 million in the third quarter of 2020.
BASIC AND DILUTED NET LOSS PER ORDINARY SHARE
Basic and diluted net loss per ordinary share were RMB0.75 (US$0.12),
compared to RMB21.46 in the same
period of 2020.
Adjusted basic and diluted net loss per ordinary share
(non-GAAP)[5] were RMB0.14
(US$0.02), compared to RMB1.49 in the same period of 2020.
[4] See
"Reconciliations of GAAP and Non-GAAP Results" for more
information.
|
[5] See
"Reconciliations of GAAP and Non-GAAP Results" for more
information.
|
CASH AND CASH EQUIVALENTS, SHORT-TERM INVESTMENTS AND
FUNDS RECEIVABLE FROM THIRD PARTY PAYMENT SERVICE
PROVIDERS
Cash and cash equivalents, short-term investments and funds
receivable from third party payment service providers increased to
RMB2,538.0 million (US$393.9 million) as of September 30, 2021, from RMB1,140.2 million as of December 31, 2020, primarily due to net proceeds
from the Company's initial public offering in June 2021.
Business Outlook
For the fourth quarter of 2021, the Company currently expects
its total revenues to be between RMB2,300.0
million and RMB2,350.0
million. This forecast only reflects the Company's current
and preliminary views on the market and operational conditions,
which are subject to change.
Environment, Social, and Governance
In July 2021, ATRenew established
the "AHS Charity & Love ยท Digital Education Fund" in joint
efforts with China Foundation for Poverty Alleviation and donated
RMB5.05 million to flooded schools
and students in Henan Province.
This was followed by an orderly delivery of electronic teaching
equipment in September.
In September, ATRenew initiated its internal training on the
Sarbanes-Oxley Act and ESG, aiming to further improve corporate
governance, implement financial reporting policies and procedures,
raise awareness of securities market compliance, and promote
sustainable practices among its middle and senior management.
Recent Development
In November, the Company changed its name to "ATRenew Inc."
following the approval by the Company's shareholders through a
special resolution at an extraordinary general meeting. The change
of the Company's name is expected to strengthen brand recognition
across global markets. The Company also launched a monthly
corporate blog on www.atrenew.com, its new official website, and
ir.atrenew.com, its investor relations website, to timely and
transparently update its stakeholders.
Conference Call Information
The Company's management will hold a conference call on
Thursday, November 18, 2021, at
07:00 A.M. Eastern Time (or
08:00 P.M. Beijing Time on
Thursday, November 18, 2021) to
discuss the financial results. Listeners may access the call by
dialing the following numbers:
International:
|
|
1-412-317-6061
|
United States Toll
Free:
|
|
1-888-317-6003
|
Mainland China Toll
Free:
|
|
4001-206115
|
Hong Kong Toll
Free:
|
|
800-963976
|
Access
Code:
|
|
4411075
|
The replay will be accessible through November 25, 2021, by dialing the following
numbers:
International:
|
|
1-412-317-0088
|
United States Toll
Free:
|
|
1-877-344-7529
|
Access
Code:
|
|
10161932
|
A live and archived webcast of the conference call will also be
available at the Company's investor relations website at
ir.atrenew.com.
About ATRenew Inc.
Headquartered in Shanghai,
ATRenew Inc. operates a leading technology-driven pre-owned
consumer electronics transactions and services platform in
China under the brand ATRenew.
Since its inception in 2011, ATRenew has been on a mission to give
a second life to all idle goods, addressing the environmental
impact of pre-owned consumer electronics by facilitating recycling
and trade-in services, and distributing the devices to prolong
their lifecycle. ATRenew's open platform integrates C2B, B2B, and
B2C capabilities to empower its online and offline services.
Through its end-to-end coverage of the entire value chain and its
proprietary inspection, grading, and pricing technologies, ATRenew
sets the standard for China's
pre-owned consumer electronics industry.
Exchange Rate Information
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 RMB6.4434 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,
2021.
Use of Non-GAAP Financial Measures
The Company also uses certain non-GAAP financial measures in
evaluating its business. For example, the Company uses adjusted
loss from operations, adjusted net loss and adjusted net loss per
ordinary share as supplemental measures to review and assess its
financial and operating performance. 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. Adjusted loss
from operations is loss from operations excluding the impact of
share-based compensation expenses and amortization of intangible
assets and deferred cost resulting from assets and business
acquisitions. Adjusted net loss is net loss excluding the impact of
share-based compensation expenses, amortization of intangible
assets and deferred cost resulting from assets and business
acquisitions and tax effect of amortization of intangible assets
and deferred cost resulting from assets and business acquisitions.
Adjusted net loss per ordinary share is adjusted net loss
attributable to ordinary shareholders divided by weighted average
number of shares used in calculating net loss per ordinary share.
Adjusted net loss attributable to ordinary shareholders is net loss
attributable to ordinary shareholders excluding the impact of
share-based compensation expenses, amortization of intangible
assets and deferred cost resulting from assets and business
acquisitions and tax effect of amortization of intangible assets
and deferred cost resulting from assets and business
acquisitions.
The Company presents non-GAAP financial measures because they
are used by the Company's management to evaluate the Company's
financial and operating performance and formulate business plans.
The Company believes that adjusted loss from operations and
adjusted net loss help identify underlying trends in the Company's
business that could otherwise be distorted by the effect of certain
expenses that are included in loss from operations and net loss.
The Company also believes that the use of non-GAAP financial
measures facilitates investors' assessment of the Company's
operating performance. The Company believes that adjusted loss from
operations and adjusted net loss provide useful information about
the Company's operating results, enhance the overall understanding
of the Company's 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 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 financial measures is that they
do not reflect all items of income and expense that affect the
Company's operations. Share-based compensation expenses,
amortization of intangible assets and deferred cost resulting from
assets and business acquisitions and tax effect of amortization of
intangible assets and deferred cost resulting from assets and
business acquisitions have been and may continue to be incurred in
the Company's business and is not reflected in the presentation of
non-GAAP financial measures. Further, the non-GAAP measures may
differ from the non-GAAP measures used by other companies,
including peer companies, potentially limiting the comparability of
their financial results to the Company's. In light of the foregoing
limitations, the non-GAAP financial measures for the period should
not be considered in isolation from or as an alternative to loss
from operations, net loss, and net loss attributable to ordinary
shareholders per share, or other financial measures prepared in
accordance with U.S. GAAP.
The Company compensates for these limitations by reconciling the
non-GAAP financial measures to the nearest U.S. GAAP performance
measures, which should be considered when evaluating the Company's
performance. For reconciliations of these non-GAAP financial
measures to the most directly comparable GAAP financial measures,
please see the section of the accompanying tables titled,
"Reconciliations of GAAP and Non-GAAP Results."
Safe Harbor Statement
This press release contains statements that may constitute
"forward-looking" statements pursuant to 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," "aims,"
"future," "intends," "plans," "believes," "estimates," "likely to"
and similar statements. Among other things, quotations in this
announcement, contain forward-looking statements. ATRenew 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 ATRenew's beliefs,
plans 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: ATRenew's
strategies; ATRenew's future business development, financial
condition and results of operations; ATRenew's ability to maintain
its relationship with major strategic investors; its ability to
provide facilitate pre-owned consumer electronics transactions and
provide relevant services; its ability to maintain and enhance the
recognition and reputation of its brand; general economic and
business conditions globally and in China and assumptions underlying or related to
any of the foregoing. Further information regarding these and other
risks is included in ATRenew's filings with the SEC. All
information provided in this press release is as of the date of
this press release, and ATRenew does not undertake any obligation
to update any forward-looking statement, except as required under
applicable law.
Investor Relations Contact
In China:
ATRenew Inc.
Investor Relations
Email: ir@atrenew.com
In the United States:
ICR LLC.
Email: atrenew@icrinc.com
Tel: +1-212-537-0461
ATRENEW
INC.
|
UNAUDITED
CONDENSED CONSOLIDATED BALANCE SHEETS
|
(Amounts in
thousands, except share and per share and otherwise
noted)
|
|
|
|
|
As
of
December
31
|
|
|
As of September
30,
|
|
|
|
2020
|
|
|
2021
|
|
|
|
RMB
|
|
|
RMB
|
|
|
US$
|
|
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
|
918,076
|
|
|
|
1,895,666
|
|
|
|
294,203
|
|
Short-term
investments
|
|
|
97,866
|
|
|
|
380,163
|
|
|
|
59,000
|
|
Amount due from
related parties
|
|
|
289,156
|
|
|
|
324,893
|
|
|
|
50,423
|
|
Inventories
|
|
|
176,994
|
|
|
|
500,479
|
|
|
|
77,673
|
|
Funds receivable from
third party payment service providers
|
|
|
124,262
|
|
|
|
262,122
|
|
|
|
40,681
|
|
Prepayments and other
receivables, net
|
|
|
268,284
|
|
|
|
823,080
|
|
|
|
127,740
|
|
Total current
assets
|
|
|
1,874,638
|
|
|
|
4,186,403
|
|
|
|
649,720
|
|
Non-current
assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
Amount due from
related parties
|
|
|
โ
|
|
|
|
46,231
|
|
|
|
7,175
|
|
Long-term
investments
|
|
|
96,362
|
|
|
|
205,260
|
|
|
|
31,856
|
|
Property and
equipment, net
|
|
|
69,562
|
|
|
|
85,858
|
|
|
|
13,325
|
|
Intangible assets,
net
|
|
|
1,367,841
|
|
|
|
1,159,876
|
|
|
|
180,010
|
|
Goodwill
|
|
|
1,803,415
|
|
|
|
1,803,415
|
|
|
|
279,886
|
|
Other non-current
assets
|
|
|
14,520
|
|
|
|
98,271
|
|
|
|
15,251
|
|
Total non-current
assets
|
|
|
3,351,700
|
|
|
|
3,398,911
|
|
|
|
527,503
|
|
TOTAL
ASSETS
|
|
|
5,226,338
|
|
|
|
7,585,314
|
|
|
|
1,177,223
|
|
LIABILITIES,
MEZZANINE EQUITY AND EQUITY (DEFICIT)
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
Short-term
borrowings
|
|
|
369,657
|
|
|
|
141,957
|
|
|
|
22,031
|
|
Accounts
payable
|
|
|
27,201
|
|
|
|
49,142
|
|
|
|
7,627
|
|
Accrued expenses and
other current liabilities
|
|
|
396,612
|
|
|
|
435,328
|
|
|
|
67,562
|
|
Accrued payroll and
welfare
|
|
|
115,400
|
|
|
|
114,659
|
|
|
|
17,795
|
|
Convertible
bonds
|
|
|
160,000
|
|
|
|
โ
|
|
|
|
โ
|
|
Amount due to related
parties
|
|
|
114,669
|
|
|
|
33,568
|
|
|
|
5,210
|
|
Total current
liabilities
|
|
|
1,183,539
|
|
|
|
774,654
|
|
|
|
120,225
|
|
Non-current
liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
Long-term
borrowings
|
|
|
32,624
|
|
|
|
5,977
|
|
|
|
928
|
|
Deferred tax
liabilities
|
|
|
341,960
|
|
|
|
327,500
|
|
|
|
50,827
|
|
Total non-current
liabilities
|
|
|
374,584
|
|
|
|
333,477
|
|
|
|
51,755
|
|
TOTAL
LIABILITIES
|
|
|
1,558,123
|
|
|
|
1,108,131
|
|
|
|
171,980
|
|
TOTAL MEZZANINE
EQUITY
|
|
|
8,879,894
|
|
|
|
โ
|
|
|
|
โ
|
|
TOTAL (DEFICIT)
EQUITY
|
|
|
(5,211,679)
|
|
|
|
6,477,183
|
|
|
|
1,005,243
|
|
TOTAL LIABILITIES,
MEZZANINE EQUITY AND EQUITY
(DEFICIT)
|
|
|
5,226,338
|
|
|
|
7,585,314
|
|
|
|
1,177,223
|
|
ATRENEW
INC.
|
UNAUDITED
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND
COMPREHENSIVE LOSS
|
(Amounts in
thousands, except share and per share and otherwise
noted)
|
|
|
|
Three months ended
September 30,
|
|
|
Nine months ended
September 30,
|
|
|
|
2020
|
|
|
2021
|
|
|
2020
|
|
|
2021
|
|
|
|
RMB
|
|
|
RMB
|
|
|
US$
|
|
|
RMB
|
|
|
RMB
|
|
|
US$
|
|
Net
revenues
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net product
revenues
|
|
|
1,148,354
|
|
|
|
1,664,972
|
|
|
|
258,400
|
|
|
|
2,801,705
|
|
|
|
4,578,938
|
|
|
|
710,640
|
|
Net service
revenues
|
|
|
177,733
|
|
|
|
297,328
|
|
|
|
46,145
|
|
|
|
412,406
|
|
|
|
765,509
|
|
|
|
118,805
|
|
Operating expenses
(1)(2)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Merchandise
costs
|
|
|
(983,703)
|
|
|
|
(1,443,851)
|
|
|
|
(224,082)
|
|
|
|
(2,373,972)
|
|
|
|
(3,934,905)
|
|
|
|
(610,688)
|
|
Fulfillment
expenses
|
|
|
(169,062)
|
|
|
|
(273,394)
|
|
|
|
(42,430)
|
|
|
|
(476,407)
|
|
|
|
(771,938)
|
|
|
|
(119,803)
|
|
Selling and marketing
expenses
|
|
|
(187,126)
|
|
|
|
(299,007)
|
|
|
|
(46,405)
|
|
|
|
(528,581)
|
|
|
|
(837,882)
|
|
|
|
(130,037)
|
|
General and
administrative expenses
|
|
|
(42,120)
|
|
|
|
(42,043)
|
|
|
|
(6,525)
|
|
|
|
(140,778)
|
|
|
|
(381,731)
|
|
|
|
(59,244)
|
|
Technology and
content expenses
|
|
|
(38,096)
|
|
|
|
(65,196)
|
|
|
|
(10,118)
|
|
|
|
(111,785)
|
|
|
|
(202,598)
|
|
|
|
(31,443)
|
|
Total operating
expenses
|
|
|
(1,420,107)
|
|
|
|
(2,123,491)
|
|
|
|
(329,560)
|
|
|
|
(3,631,523)
|
|
|
|
(6,129,054)
|
|
|
|
(951,215)
|
|
Other operating
income, net
|
|
|
9,272
|
|
|
|
10,697
|
|
|
|
1,660
|
|
|
|
17,744
|
|
|
|
15,427
|
|
|
|
2,394
|
|
Loss from
operations
|
|
|
(84,748)
|
|
|
|
(150,494)
|
|
|
|
(23,355)
|
|
|
|
(399,668)
|
|
|
|
(769,180)
|
|
|
|
(119,376)
|
|
Interest
expense
|
|
|
(4,738)
|
|
|
|
(2,928)
|
|
|
|
(454)
|
|
|
|
(15,877)
|
|
|
|
(14,993)
|
|
|
|
(2,327)
|
|
Interest
income
|
|
|
971
|
|
|
|
1,851
|
|
|
|
287
|
|
|
|
8,241
|
|
|
|
6,284
|
|
|
|
975
|
|
Other (loss) income,
net
|
|
|
(16,125)
|
|
|
|
6,882
|
|
|
|
1,068
|
|
|
|
(8,720)
|
|
|
|
2,934
|
|
|
|
455
|
|
Loss before income
taxes
|
|
|
(104,640)
|
|
|
|
(144,689)
|
|
|
|
(22,454)
|
|
|
|
(416,024)
|
|
|
|
(774,955)
|
|
|
|
(120,273)
|
|
Income tax
benefits
|
|
|
11,689
|
|
|
|
22,841
|
|
|
|
3,545
|
|
|
|
35,631
|
|
|
|
61,760
|
|
|
|
9,585
|
|
Share of (loss)
income in equity method
investments
|
|
|
(1,268)
|
|
|
|
161
|
|
|
|
25
|
|
|
|
(7,350)
|
|
|
|
284
|
|
|
|
44
|
|
Net
loss
|
|
|
(94,219)
|
|
|
|
(121,687)
|
|
|
|
(18,884)
|
|
|
|
(387,743)
|
|
|
|
(712,911)
|
|
|
|
(110,644)
|
|
Accretion of
convertible redeemable
preferred shares
|
|
|
(308,860)
|
|
|
|
โ
|
|
|
|
โ
|
|
|
|
(961,106)
|
|
|
|
(508,627)
|
|
|
|
(78,938)
|
|
Net loss
attributable to ordinary
shareholders of the Company
|
|
|
(403,079)
|
|
|
|
(121,687)
|
|
|
|
(18,884)
|
|
|
|
(1,348,849)
|
|
|
|
(1,221,538)
|
|
|
|
(189,582)
|
|
Net loss per
ordinary share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
(21.46)
|
|
|
|
(0.75)
|
|
|
|
(0.12)
|
|
|
|
(71.81)
|
|
|
|
(16.61)
|
|
|
|
(2.58)
|
|
Diluted
|
|
|
(21.46)
|
|
|
|
(0.75)
|
|
|
|
(0.12)
|
|
|
|
(71.81)
|
|
|
|
(16.61)
|
|
|
|
(2.58)
|
|
Weighted average
number of shares used
in calculating net loss per ordinary share
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
18,782,620
|
|
|
|
162,659,593
|
|
|
|
162,659,593
|
|
|
|
18,782,620
|
|
|
|
73,551,073
|
|
|
|
73,551,073
|
|
Diluted
|
|
|
18,782,620
|
|
|
|
162,659,593
|
|
|
|
162,659,593
|
|
|
|
18,782,620
|
|
|
|
73,551,073
|
|
|
|
73,551,073
|
|
Net
loss
|
|
|
(94,219)
|
|
|
|
(121,687)
|
|
|
|
(18,884)
|
|
|
|
(387,743)
|
|
|
|
(712,911)
|
|
|
|
(110,644)
|
|
Foreign currency
translation adjustments
|
|
|
1,396
|
|
|
|
(1,303)
|
|
|
|
(202)
|
|
|
|
782
|
|
|
|
849
|
|
|
|
132
|
|
Total
comprehensive loss
|
|
|
(92,823)
|
|
|
|
(122,990)
|
|
|
|
(19,086)
|
|
|
|
(386,961)
|
|
|
|
(712,062)
|
|
|
|
(110,512)
|
|
Accretion of
convertible redeemable
preferred shares
|
|
|
(308,860)
|
|
|
|
โ
|
|
|
|
โ
|
|
|
|
(961,106)
|
|
|
|
(508,627)
|
|
|
|
(78,938)
|
|
Total
comprehensive loss attributable to
ordinary shareholders
|
|
|
(401,683)
|
|
|
|
(122,990)
|
|
|
|
(19,086)
|
|
|
|
(1,348,067)
|
|
|
|
(1,220,689)
|
|
|
|
(189,450)
|
|
ATRENEW
INC.
|
UNAUDITED
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE
LOSS (CONTINUED)
|
(Amounts in
thousands, except share and per share and otherwise
noted)
|
|
|
|
Three months ended
September 30,
|
|
|
Nine months ended
September 30,
|
|
|
|
2020
|
|
|
2021
|
|
|
2020
|
|
|
2021
|
|
|
|
RMB
|
|
|
RMB
|
|
|
US$
|
|
|
RMB
|
|
|
RMB
|
|
|
US$
|
|
(1) Includes
share-based compensation expenses as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fulfillment
expenses
|
|
|
โ
|
|
|
|
(6,801)
|
|
|
|
(1,055)
|
|
|
|
โ
|
|
|
|
(49,292)
|
|
|
|
(7,650)
|
|
Selling and marketing
expenses
|
|
|
โ
|
|
|
|
(3,599)
|
|
|
|
(559)
|
|
|
|
โ
|
|
|
|
(29,863)
|
|
|
|
(4,635)
|
|
General and
administrative expenses
|
|
|
โ
|
|
|
|
(15,864)
|
|
|
|
(2,462)
|
|
|
|
โ
|
|
|
|
(297,934)
|
|
|
|
(46,239)
|
|
Technology and
content expenses
|
|
|
โ
|
|
|
|
(4,359)
|
|
|
|
(677)
|
|
|
|
โ
|
|
|
|
(31,939)
|
|
|
|
(4,957)
|
|
(2) Includes
amortization of intangible assets and deferred cost
resulting from assets and business acquisitions as
follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling and marketing
expenses
|
|
|
(76,258)
|
|
|
|
(89,783)
|
|
|
|
(13,934)
|
|
|
|
(232,544)
|
|
|
|
(242,300)
|
|
|
|
(37,604)
|
|
Technology and
content expenses
|
|
|
(1,580)
|
|
|
|
(1,580)
|
|
|
|
(245)
|
|
|
|
(4,740)
|
|
|
|
(4,740)
|
|
|
|
(736)
|
|
Reconciliations of
GAAP and Non-GAAP Results
|
(Amounts in
thousands, except share and per share and otherwise
noted)
|
|
|
|
Three months ended
September 30,
|
|
|
Nine months ended
September 30,
|
|
|
|
2020
|
|
|
2021
|
|
|
2020
|
|
|
2021
|
|
|
|
RMB
|
|
|
RMB
|
|
|
US$
|
|
|
RMB
|
|
|
RMB
|
|
|
US$
|
|
Loss from
operations
|
|
|
(84,748)
|
|
|
|
(150,494)
|
|
|
|
(23,355)
|
|
|
|
(399,668)
|
|
|
|
(769,180)
|
|
|
|
(119,376)
|
|
Add:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Share-based
compensation expense
|
|
|
โ
|
|
|
|
30,623
|
|
|
|
4,753
|
|
|
|
โ
|
|
|
|
409,028
|
|
|
|
63,481
|
|
Amortization of
intangible assets and deferred cost resulting from
assets and business acquisitions
|
|
|
77,838
|
|
|
|
91,363
|
|
|
|
14,179
|
|
|
|
237,284
|
|
|
|
247,040
|
|
|
|
38,340
|
|
Adjusted loss from
operations
|
|
|
(6,910)
|
|
|
|
(28,508)
|
|
|
|
(4,423)
|
|
|
|
(162,384)
|
|
|
|
(113,112)
|
|
|
|
(17,555)
|
|
Net
loss
|
|
|
(94,219)
|
|
|
|
(121,687)
|
|
|
|
(18,884)
|
|
|
|
(387,743)
|
|
|
|
(712,911)
|
|
|
|
(110,644)
|
|
Add:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Share-based
compensation expense
|
|
|
โ
|
|
|
|
30,623
|
|
|
|
4,753
|
|
|
|
โ
|
|
|
|
409,028
|
|
|
|
63,481
|
|
Amortization of
intangible assets and deferred cost resulting from
assets and business acquisitions
|
|
|
77,838
|
|
|
|
91,363
|
|
|
|
14,179
|
|
|
|
237,284
|
|
|
|
247,040
|
|
|
|
38,340
|
|
Less:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tax effect of
amortization of intangible assets and deferred cost
resulting from assets and business acquisitions
|
|
|
(11,689)
|
|
|
|
(22,841)
|
|
|
|
(3,545)
|
|
|
|
(35,631)
|
|
|
|
(61,760)
|
|
|
|
(9,585)
|
|
Adjusted net
loss
|
|
|
(28,070)
|
|
|
|
(22,542)
|
|
|
|
(3,497)
|
|
|
|
(186,090)
|
|
|
|
(118,603)
|
|
|
|
(18,408)
|
|
Adjusted net loss
per ordinary share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
(1.49)
|
|
|
|
(0.14)
|
|
|
|
(0.02)
|
|
|
|
(9.91)
|
|
|
|
(1.61)
|
|
|
|
(0.25)
|
|
Diluted
|
|
|
(1.49)
|
|
|
|
(0.14)
|
|
|
|
(0.02)
|
|
|
|
(9.91)
|
|
|
|
(1.61)
|
|
|
|
(0.25)
|
|
Weighted average
number of shares used in calculating net loss
per ordinary share
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
18,782,620
|
|
|
|
162,659,593
|
|
|
|
162,659,593
|
|
|
|
18,782,620
|
|
|
|
73,551,073
|
|
|
|
73,551,073
|
|
Diluted
|
|
|
18,782,620
|
|
|
|
162,659,593
|
|
|
|
162,659,593
|
|
|
|
18,782,620
|
|
|
|
73,551,073
|
|
|
|
73,551,073
|
|
View original
content:https://www.prnewswire.com/news-releases/atrenew-inc-reports-unaudited-third-quarter-2021-financial-results-301427666.html
SOURCE ATRenew Inc.