Fourth Quarter 2025 Financial Highlights1
- Net revenues were
US$581.9 million , an increase of 5.9% fromUS$549.4 million in the corresponding period of 2024 and 7.7% fromUS$540.2 million in the third quarter of 2025.- Live streaming revenues were
US$394.4 million , compared withUS$422.4 million in the corresponding period of 2024, representing an increase of 1.5% fromUS$388.5 million in the third quarter of 2025. - Advertising revenues2 increased by 62.4% to
US$145.4 million fromUS$89.6 million in the corresponding period of 2024 and by 29.3% fromUS$112.5 million in the third quarter of 2025. - Other revenues increased by 12.3% to
US$42.1 million fromUS$37.5 million in the corresponding period of 2024 and by 7.2% fromUS$39.2 million in the third quarter of 2025.
- Live streaming revenues were
- Operating income was
US$18.3 million , compared to operating loss ofUS$427.9 million in the corresponding period of 2024 and operating income ofUS$19.6 million in the third quarter of 2025. - Non-GAAP EBITDA3 was
US$50.6 million , compared withUS$55.7 million in the corresponding period of 2024 andUS$50.6 million in the third quarter of 2025. - Net income from continuing operations attributable to controlling interest of
JOYY 4 wasUS$54.3 million , compared to net loss ofUS$304.1 million in the corresponding period of 2024 and net income ofUS$62.0 million in the third quarter of 2025. - Non-GAAP net income from continuing operations attributable to controlling interest and common shareholders of
JOYY 5 wasUS$70.3 million , compared withUS$96.1 million in the corresponding period of 2024 andUS$72.4 million in the third quarter of 2025. Net Cash 6 as ofDecember 31, 2025 wasUS$3,258.0 million .- Net cash from operating activities was
US$116.0 million , compared withUS$110.5 million in the corresponding period of 2024.
Full Year 2025 Highlights
- Net revenues were
US$2,124.2 million , compared withUS$2,237.8 million in 2024.- Live streaming revenues were
US$1,529.7 million , compared withUS$1,788.0 million in 2024. - Advertising revenues increased by 37.1% to
US$442.7 million fromUS$323.0 million in 2024. - Other revenues increased by 19.8% to
US$151.9 million fromUS$126.8 million in 2024.
- Live streaming revenues were
- Operating income was
US$55.8 million , compared to operating loss ofUS$405.6 million in 2024. - Non-GAAP EBITDA was
US$189.8 million , representing an increase of 10.9% fromUS$171.2 million in 2024. - Net income from continuing operations attributable to controlling interest of
JOYY wasUS$222.5 million , compared to net loss ofUS$146.2 million in 2024. - Non-GAAP net income from continuing operations attributable to controlling interest and common shareholders of
JOYY wasUS$282.8 million , compared withUS$298.5 million in 2024.
Fourth Quarter 2025 Business Highlights
Global community:
- Global average mobile MAUs7 reached 272.1 million in the fourth quarter of 2025, up by 3.4% from 263.1 million in the corresponding period of 2024 and up by 2.2% from 266.2 million in the third quarter of 2025. The Company continued to optimize its marketing strategies to focus on return on investment (ROI) and high-value users.
Live streaming:
- Live streaming revenues reached
US$394.4 million in the fourth quarter, includingUS$371.8 million from BIGO, representing an increase of 1.1% from the previous quarter and the third consecutive quarter of sequential growth. By region, live streaming revenues from developed countries and regions grew by 3.4% quarter over quarter. - Total paying users of BIGO8 rose by 1.5% quarter over quarter to 1.54 million, while ARPPU9 increased moderately quarter over quarter and reached
US$222.8 . - The Company continued to drive streamer incentive reforms and AI-powered enhancements across content distribution and payment experiences, which in turn supported steady gains in both user engagement and monetization. For example, by integrating LLM architecture and incorporating multi-modal information into its recommendation systems,
Bigo Live improved its ability to understand both live-streaming content and user interests. This optimized recommendation precision and distribution efficiency led to a 5.6% increase in Bigo Live’s average viewing time per user quarter over quarter. User adoption of AI-generated virtual gifts continued to grow. InJanuary 2026 , the consumption of AI interactive gifts onBigo Live accounted for over 30% of total virtual gift consumption.
- Beginning in 2022, the Company ramped up efforts to diversify its revenue stream, cultivating its new initiatives in advertising technology and others. The Company has made steady progress advancing towards its strategic positioning as a global tech company powered by multiple growth engines.
- In the fourth quarter, total non-live streaming revenues reached
US$187.5 million , up by 47.6% year over year, representing 32.2% of total net revenues of the Company, compared with 23.1% in the corresponding period of 2024. - BIGO Ads is an AI-powered programmatic advertising platform. Launched to provide one-stop marketing and monetization solutions, it leverages deep learning, real-time bidding, and smart bidding models (such as oCPC and ROAS optimization) to enable brands to scale user acquisition and app developers to effectively unlock monetization potentials through connecting premium global demand.
- In the fourth quarter, BIGO Ads' total revenues grew by 61.5% year over year and by 23.3% quarter over quarter to
US$128.1 million . In particular, BIGO Audience Network, which includes third-party advertising revenues generated on network partners’ traffic properties, delivered exceptional results, up by 82.5% year over year and 27.3% quarter over quarter, demonstrating accelerated growth momentum on a sequential basis for the third consecutive quarter. - BIGO Ads has access to a vast traffic pool, comprising the Company’s own global average mobile MAU base and an extensive network of third-party traffic through seamless integration of developer traffic across major channels. During the quarter, Software Development Kit (SDK) advertising requests grew by 166% year over year and 23% quarter over quarter.
- Broader traffic coverage, multi-vertical advertiser expansion, and ongoing algorithm optimization fueled accelerated growth. Web-based demands grew by 20% quarter over quarter. Mobile-based demands remained strong, with in-app advertising spending up by 39% quarter over quarter. Geographically, developed markets demonstrated strong momentum, with
North America revenues growing by over 21% quarter over quarter and Western European revenues growing by 46% quarter over quarter. - Overall, the number of key cohorts increased by 29% quarter over quarter, with total spending from key cohorts up by 34% quarter over quarter.
Ms.
Our live streaming business delivered its third consecutive quarter of sequential revenue recovery, with revenues showing a 1.5% quarter-over-quarter increase. Meanwhile, our advertising business demonstrated remarkable momentum, with BIGO Ads revenues reaching
Looking back at the full year of 2025, we made meaningful progress in shaping our strategic framework as a global technology company with multiple, synergistic growth engines. Driven by broader traffic coverage, multi-vertical advertiser expansion, and ongoing algorithm optimization, BIGO Ads achieved a 38.5% year-over-year revenue growth in 2025, with its third-party advertising revenues, Audience Network, accelerating to 56.3% year-over-year revenue growth. Operating cash flow remained robust, and we returned
As we look ahead, we believe 2026 will be a landmark year for
Fourth Quarter 2025 Financial Results
NET REVENUES
Net revenues were
Live streaming revenues were
Advertising revenues increased by 62.4% to
Other revenues increased by 12.3% to
COST OF REVENUES AND GROSS PROFIT
Cost of revenues was
Gross profit was
OPERATING EXPENSES AND INCOME
Operating expenses were
Operating income was
Non-GAAP operating income10 was
Non-GAAP EBITDA was
NET INCOME
Net income from continuing operations attributable to controlling interest of
Non-GAAP net income from continuing operations attributable to controlling interest and common shareholders of
NET INCOME PER ADS
Diluted net income from continuing operations per ADS14 was
Non-GAAP diluted net income from continuing operations per ADS15 was
BALANCE SHEET AND CASH FLOWS
As of
SHARES OUTSTANDING
As of
Full Year 2025 Financial Results
Net revenues for the full year of 2025 were
Live streaming revenues for the full year of 2025 were
Advertising revenues for the full year of 2025 increased by 37.1% to
Other revenues for the full year of 2025 increased by 19.8% to
Operating income was
Non-GAAP operating income was
Non-GAAP EBITDA was
Net income from continuing operations attributable to controlling interest of
Non-GAAP net income from continuing operations attributable to controlling interest and common shareholders of
Diluted net income from continuing operations per ADS for the full year of 2025 was
Business Outlook
For the first quarter of 2026, the Company expects net revenues to be between
Share Repurchase Programs
Pursuant to the Company's share repurchase program authorized in
Between
Quarterly Dividend Program and Additional Cash Dividend
On
Aggregating the quarterly cash dividend and the additional cash dividend for the first quarter of 2026, the Company's board of directors has declared a cash dividend in the aggregate amount of
Anticipated Refinements to Segment Reporting
In light of its evolving business developments, the Company is currently evaluating certain refinements to its internal management and segment reporting structure. The Company currently expects to adopt a revised reportable segment structure beginning in the first quarter of 2026, following the changes to its management structure and CODM reporting. Should a revised segment reporting structure be adopted, historical segment information would be adjusted retrospectively. The Company will provide further details in its quarterly earnings releases in the future.
Adoption of Second Amended and Restated 2011 Share Incentive Plan
The Company has adopted the Second Amended and Restated 2011 Share Incentive Plan (the “New Plan”), as approved and authorized by the board of directors of the Company and its compensation committee. The New Plan amends and restates the previously adopted Amended and Restated 2011 Share Incentive Plan in its entirety and assumes all awards granted thereunder. Under the New Plan, the maximum aggregate number of shares of the Company available for grant of awards is initially 231,950,949 Class A common shares, plus an annual increase of 20,000,000 Class A common shares on the first day of each fiscal year, beginning in 2027, or such lesser number of Class A common shares as determined by the board of directors of the Company. The New Plan will expire upon the tenth anniversary of the adoption date.
Concurrently with the adoption of the New Plan, the previously adopted 2019 Share Incentive Awards Arrangement was also terminated. No more awards may be granted under the 2019 Share Incentive Awards Arrangement, and all awards that had been granted under the 2019 Share Incentive Awards Arrangement and remained outstanding were assumed by the New Plan.
Conference Call Information
The Company will hold a conference call at
Event Title:
Conference ID: #10053499
All participants may use the link provided below to complete the online registration process in advance of the conference call. Upon registration, each participant will receive a set of participant dial-in numbers, the Direct Event passcode, and a unique PIN by email.
A live and archived webcast of the conference call will also be available at the Company's investor relations website at https://ir.joyy.com.
The replay will be accessible through
| 1-855-883-1031 | |
| 800-101-3223 800-930-639 | |
| Conference ID: | #10053499 |
About
Safe Harbor Statement
This press release contains forward-looking statements. These statements are made under the “safe harbor” provisions of the
Use of Non-GAAP Financial Measures
The unaudited condensed consolidated financial information is prepared in conformity with accounting principles generally accepted in
The presentation of these non-GAAP financial measures is not intended to be considered in isolation from, or as a substitute for, the financial information prepared and presented in accordance with
Investor Relations Contact
Investor Relations
Email: joyy-ir@joyy.com
1?The financial information and non-GAAP financial information disclosed in this press release is presented on a continuing operations basis, unless otherwise specifically stated. For the avoidance of confusion, the continuing operations for the three months ended
2?The Company has been presenting advertising revenues as a separate line item in the financial statements since the third quarter of 2025, to better reflect the performance of its emerging advertising business.
3 Non-GAAP EBITDA is a non-GAAP financial measure, which is defined as non-GAAP operating income (loss) added back depreciation and amortization (other than amortization of intangible assets resulting from assets and business acquisitions). Please refer to the section titled “Use of Non-GAAP Financial Measures” and the table captioned “JOYY Inc. Unaudited Reconciliation of GAAP and Non-GAAP Results” near the end of this press release for details.
4 Net income (loss) from continuing operations attributable to controlling interest of
5?Non-GAAP net income (loss) from continuing operations attributable to controlling interest and common shareholders of
6 Net cash is calculated as the sum of cash and cash equivalents, restricted cash and cash equivalents, short-term deposits, restricted short-term deposits, short-term investments, long-term deposits and held-to-maturity investments, less short-term and long-term loans.
7?Refers to average mobile monthly active users of the social entertainment platforms operated by the Company, including
8 The number of paying users during a given period is calculated as the cumulative number of registered user accounts that have purchased virtual items or other products and services on
9?Average revenue per user is calculated by dividing the Company’s total revenues from live streaming on
10?Non-GAAP operating income (loss) is a non-GAAP financial measure, which is defined as operating income (loss) excluding share-based compensation expenses, amortization of intangible assets from business acquisitions, impairment of goodwill and investments and gain (loss) on deconsolidation and disposal of subsidiaries and business. Please refer to the section titled “Use of Non-GAAP Financial Measures” and the table captioned “JOYY Inc. Unaudited Reconciliation of GAAP and Non-GAAP Results” near the end of this press release for details.
11Non-GAAP operating income (loss) margin is a non-GAAP financial measure, which is defined as non-GAAP operating income (loss) as a percentage of net revenues. Please refer to the section titled “Use of Non-GAAP Financial Measures” and the table captioned “JOYY Inc. Unaudited Reconciliation of GAAP and Non-GAAP Results” near the end of this press release for details.
12 Non-GAAP EBITDA margin is a non-GAAP financial measure, which is defined as non-GAAP EBITDA as a percentage of net revenues. Please refer to the section titled “Use of Non-GAAP Financial Measures” and the table captioned “JOYY Inc. Unaudited Reconciliation of GAAP and Non-GAAP Results” near the end of this press release for details.
13 Non-GAAP net income (loss) margin is non-GAAP net income from continuing operations attributable to controlling interest and common shareholders of
14 ADS refers to American Depositary Share. Each ADS represents twenty Class A common shares of the Company. Diluted net income (loss) per ADS is net income (loss) attributable to common shareholders of
15 Non-GAAP diluted net income (loss) from continuing operations per ADS is a non-GAAP financial measure, which is defined as non-GAAP net income (loss) from continuing operations attributable to common shareholders of
| UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS | ||||
| (All amounts in thousands, except share, ADS and per ADS data) | ||||
| 2024 | 2025 | |||
| US$ | US$ | |||
| Assets | ||||
| Current assets | ||||
| Cash and cash equivalents | 444,761 | 374,248 | ||
| Restricted cash and cash equivalents | 371,332 | 21,593 | ||
| Short-term deposits | 1,061,011 | 192,535 | ||
| Restricted short-term deposits | 20,722 | 7,182 | ||
| Short-term investments | 288,589 | 613,702 | ||
| Accounts receivable, net | 121,861 | 154,439 | ||
| Amounts due from related parties | 467 | 106 | ||
| Prepayments and other current assets(1) | 247,538 | 255,566 | ||
| Total current assets | 2,556,281 | 1,619,371 | ||
| Non-current assets | ||||
| Long-term deposits and held-to-maturity investments | 1,124,308 | 2,059,386 | ||
| Deferred tax assets | 2,563 | 9,782 | ||
| Investments | 530,685 | 551,802 | ||
| Property and equipment, net | 499,723 | 565,124 | ||
| Land use rights, net | 303,115 | 301,390 | ||
| Intangible assets, net | 277,257 | 221,963 | ||
| Right-of-use assets, net | 20,457 | 21,241 | ||
| 2,194,324 | 2,194,358 | |||
| Other non-current assets | 19,084 | 8,071 | ||
| Total non-current assets | 4,971,516 | 5,933,117 | ||
| Total assets | 7,527,797 | 7,552,488 | ||
| Liabilities, mezzanine equity and shareholders’ equity | ||||
| Current liabilities | ||||
| Short-term loans | 34,853 | 10,672 | ||
| Accounts payable | 84,015 | 71,551 | ||
| Deferred revenue | 66,813 | 61,713 | ||
| Advances from customers | 4,031 | 5,408 | ||
| Income taxes payable | 78,304 | 64,533 | ||
| Accrued liabilities and other current liabilities(1) | 2,393,923 | 626,678 | ||
| Amounts due to related parties | 1,378 | 24,472 | ||
| Lease liabilities due within one year | 10,775 | 8,939 | ||
| Total current liabilities | 2,674,092 | 873,966 | ||
| Non-current liabilities | ||||
| Lease liabilities | 9,948 | 12,029 | ||
| Deferred revenue | 12,635 | 9,522 | ||
| Deferred tax liabilities | 47,631 | 54,941 | ||
| Total non-current liabilities | 70,214 | 76,492 | ||
| Total liabilities | 2,744,306 | 950,458 | ||
| UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (CONTINUED) | ||||
| (All amounts in thousands, except share, ADS and per ADS data) | ||||
| 2024 | 2025 | |||
| US$ | US$ | |||
| Mezzanine equity | 23,733 | 25,333 | ||
| Shareholders’ equity | ||||
| Class A common shares ( | 7 | 7 | ||
| Class B common shares ( | 3 | 3 | ||
| (1,223,186) | (1,302,098) | |||
| Additional paid-in capital | 3,345,536 | 3,315,070 | ||
| Statutory reserves | 40,500 | 37,869 | ||
| Retained earnings | 2,796,745 | 4,699,089 | ||
| Accumulated other comprehensive loss | (247,615) | (208,093) | ||
| Total JOYY Inc.’s shareholders’ equity | 4,711,990 | 6,541,847 | ||
| Non-controlling interests | 47,768 | 34,850 | ||
| Total shareholders’ equity | 4,759,758 | 6,576,697 | ||
| Total liabilities, mezzanine equity and shareholders’ equity | 7,527,797 | 7,552,488 | ||
| (1) | ||||
| UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS | |||||||||
| (All amounts in thousands, except share, ADS and per ADS data) | |||||||||
| Three Months Ended | Twelve Months Ended | ||||||||
| 2024 | 2025 | 2025 | 2024 | 2025 | |||||
| US$ | US$ | US$ | US$ | US$ | |||||
| Net revenues | |||||||||
| Live streaming(1) | 422,418 | 388,474 | 394,436 | 1,788,021 | 1,529,667 | ||||
| Advertising | 89,570 | 112,516 | 145,430 | 323,013 | 442,718 | ||||
| Others | 37,458 | 39,231 | 42,050 | 126,754 | 151,863 | ||||
| Total net revenues | 549,446 | 540,221 | 581,916 | 2,237,788 | 2,124,248 | ||||
| Cost of revenues(2) | (345,663) | (347,090) | (376,275) | (1,431,585) | (1,361,616) | ||||
| Gross profit | 203,783 | 193,131 | 205,641 | 806,203 | 762,632 | ||||
| Operating expenses(2) | |||||||||
| Research and development expenses | (67,485) | (63,094) | (61,538) | (278,740) | (247,133) | ||||
| Sales and marketing expenses | (67,040) | (72,072) | (81,415) | (333,334) | (297,470) | ||||
| General and administrative expenses | (44,015) | (39,050) | (44,867) | (152,517) | (164,529) | ||||
| (454,935) | - | - | (454,935) | - | |||||
| Total operating expenses | (633,475) | (174,216) | (187,820) | (1,219,526) | (709,132) | ||||
| Gain on disposal of subsidiary | - | - | - | 1,643 | - | ||||
| Other income | 1,839 | 637 | 444 | 6,055 | 2,320 | ||||
| Operating (loss) income | (427,853) | 19,552 | 18,265 | (405,625) | 55,820 | ||||
| Interest expenses | (312) | (97) | (162) | (4,847) | (516) | ||||
| Interest income and investment income | 38,860 | 41,548 | 40,873 | 175,556 | 162,607 | ||||
| Foreign currency exchange gains (losses), net | 9,613 | (6,370) | (8,171) | 764 | (14,111) | ||||
| (Loss) gain on fair value change of investments | (3,011) | 4,102 | (10,120) | 6,636 | 12,320 | ||||
| (Loss) income before income tax expenses | (382,703) | 58,735 | 40,685 | (227,516) | 216,120 | ||||
| Income tax expenses | (41) | (3,784) | (1,368) | (13,485) | (16,429) | ||||
| (Loss) income before share of (loss) income in equity method investments, net of income taxes | (382,744) | 54,951 | 39,317 | (241,001) | 199,691 | ||||
| Share of (loss) income in equity method investments, net of income taxes | (3,793) | 4,236 | 11,868 | (1,637) | 11,610 | ||||
| Net (loss) income from continuing operations | (386,537) | 59,187 | 51,185 | (242,638) | 211,301 | ||||
| Gain on disposal of YY Live(3) | - | - | - | - | 1,875,921 | ||||
| Net (loss) income | (386,537) | 59,187 | 51,185 | (242,638) | 2,087,222 | ||||
| Net loss attributable to the non-controlling interest shareholders and the mezzanine equity classified non-controlling interest shareholders | 82,392 | 2,773 | 3,142 | 96,402 | 11,213 | ||||
| Net (loss) income attributable to controlling interest of | (304,145) | 61,960 | 54,327 | (146,236) | 2,098,435 | ||||
| Including: | |||||||||
| Net (loss) income from continuing operations attributable to controlling interest of | (304,145) | 61,960 | 54,327 | (146,236) | 222,514 | ||||
| Gain on disposal of YY Live(3) | - | - | - | - | 1,875,921 | ||||
| Accretion of subsidiaries’ redeemable convertible preferred shares to redemption value | (347) | (347) | (346) | (1,388) | (1,387) | ||||
| Net (loss) income attributable to common shareholders of | (304,492) | 61,613 | 53,981 | (147,624) | 2,097,048 | ||||
| Including: | |||||||||
| Net (loss) income from continuing operations attributable to common shareholders of | (304,492) | 61,613 | 53,981 | (147,624) | 221,127 | ||||
| Gain on disposal of YY Live(3) | - | - | - | - | 1,875,921 | ||||
| UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (CONTINUED) | |||||||||
| (All amounts in thousands, except share, ADS and per ADS data) | |||||||||
| Three Months Ended | Twelve Months Ended | ||||||||
| 2024 | 2025 | 2025 | 2024 | 2025 | |||||
| US$ | US$ | US$ | US$ | US$ | |||||
| Net (loss) income per ADS | |||||||||
| ——Basic | (5.67) | 1.17 | 1.04 | (2.55) | 39.86 | ||||
| Continuing operations | (5.67) | 1.17 | 1.04 | (2.55) | 4.20 | ||||
| Discontinued operations | - | - | - | - | 35.66 | ||||
| ——Diluted | (5.67) | 1.15 | 1.03 | (2.55) | 39.37 | ||||
| Continuing operations | (5.67) | 1.15 | 1.03 | (2.55) | 4.15 | ||||
| Discontinued operations | - | - | - | - | 35.22 | ||||
| Weighted average number of ADS used in calculating net (loss) income per ADS | |||||||||
| ——Basic | 53,737,863 | 52,557,478 | 51,794,999 | 57,892,728 | 52,604,993 | ||||
| ——Diluted | 53,737,863 | 53,354,913 | 52,629,562 | 57,892,728 | 53,262,375 | ||||
| (1) Revenues by geographical areas were as follows: | |||||||||
| Three Months Ended | Twelve Months Ended | ||||||||
| 2024 | 2025 | 2025 | 2024 | 2025 | |||||
| US$ | US$ | US$ | US$ | US$ | |||||
| Developed countries and regions | 302,911 | 325,027 | 356,624 | 1,206,679 | 1,250,411 | ||||
| 77,708 | 57,404 | 58,899 | 317,848 | 244,222 | |||||
| Mainland | 53,221 | 49,229 | 59,817 | 233,578 | 208,722 | ||||
| 115,606 | 108,561 | 106,576 | 479,683 | 420,893 | |||||
| Note: Developed countries and region mainly included | |||||||||
| (2) Share-based compensation was allocated in cost of revenues and operating expenses as follows: | |||||||||
| Three Months Ended | Twelve Months Ended | ||||||||
| 2024 | 2025 | 2025 | 2024 | 2025 | |||||
| US$ | US$ | US$ | US$ | US$ | |||||
| Cost of revenues | 295 | 1,416 | 1,199 | 1,720 | 3,927 | ||||
| Research and development expenses | 2,774 | 2,444 | 3,231 | 12,408 | 9,418 | ||||
| Sales and marketing expenses | 183 | 326 | 573 | 615 | 1,383 | ||||
| General and administrative expenses | 2,554 | 3,372 | 4,035 | 8,457 | 11,072 | ||||
| (3) Gain from disposal of YY Live amounted to approximately | |||||||||
| UNAUDITED RECONCILIATION OF GAAP AND NON-GAAP RESULTS | ||||||||||||||
| (All amounts in thousands, except share, ADS and per ADS data) | ||||||||||||||
| Three Months Ended | Twelve Months Ended | |||||||||||||
| 2024 | 2025 | 2025 | 2024 | 2025 | ||||||||||
| US$ | US$ | US$ | US$ | US$ | ||||||||||
| Operating (loss) income | (427,853) | 19,552 | 18,265 | (405,625) | 55,820 | |||||||||
| Share-based compensation expenses | 5,806 | 7,558 | 9,038 | 23,200 | 25,800 | |||||||||
| Amortization of intangible assets from business acquisitions | 13,540 | 13,540 | 13,540 | 55,802 | 54,160 | |||||||||
| Impairment of goodwill and investments | 454,935 | - | - | 464,321 | 15,000 | |||||||||
| Gain on disposal of subsidiary | - | - | - | (1,643) | - | |||||||||
| Non-GAAP operating income | 46,428 | 40,650 | 40,843 | 136,055 | 150,780 | |||||||||
| Depreciation and other amortization | 9,296 | 9,905 | 9,774 | 35,103 | 38,972 | |||||||||
| Non-GAAP EBITDA | 55,724 | 50,555 | 50,617 | 171,158 | 189,752 | |||||||||
| Net (loss) income from continuing operations | (386,537) | 59,187 | 51,185 | (242,638) | 211,301 | |||||||||
| Share-based compensation expenses | 5,806 | 7,558 | 9,038 | 23,200 | 25,800 | |||||||||
| Amortization of intangible assets from business acquisitions | 13,540 | 13,540 | 13,540 | 55,802 | 54,160 | |||||||||
| Impairment of goodwill and investments | 454,935 | - | - | 464,321 | 15,000 | |||||||||
| Gain on disposal of subsidiary | - | - | - | (1,643) | - | |||||||||
| Loss (gain) on fair value change of investments | 3,011 | (4,102) | 10,120 | (6,636) | (12,320) | |||||||||
| Interest expenses related to the convertible bonds’ amortization to face value | - | - | - | 435 | - | |||||||||
| Income tax effects on non-GAAP adjustments | (427) | (1,930) | (2,550) | (6,106) | (4,971) | |||||||||
| Reconciling items on the share of equity method investments | 3,802 | (4,111) | (13,483) | (1,631) | (14,673) | |||||||||
| Non-GAAP net income from continuing operations | 94,130 | 70,142 | 67,850 | 285,104 | 274,297 | |||||||||
| Net (loss) income from continuing operations attributable to common shareholders of | (304,492) | 61,613 | 53,981 | (147,624) | 221,127 | |||||||||
| Share-based compensation expenses | 5,806 | 7,558 | 9,038 | 23,200 | 25,800 | |||||||||
| Amortization of intangible assets from business acquisitions | 13,540 | 13,540 | 13,540 | 55,802 | 54,160 | |||||||||
| Impairment of goodwill and investments | 454,935 | - | - | 464,321 | 15,000 | |||||||||
| Gain on disposal of subsidiary | - | - | - | (1,643) | - | |||||||||
| Loss (gain) on fair value change of investments | 3,011 | (4,102) | 10,120 | (6,636) | (12,320) | |||||||||
| Interest expenses related to the convertible bonds’ amortization to face value | - | - | - | 435 | - | |||||||||
| Accretion, cumulative dividend and deemed dividend to subsidiaries’ preferred shareholders | 347 | 347 | 346 | 1,388 | 1,387 | |||||||||
| Income tax effects on non-GAAP adjustments | (427) | (1,930) | (2,550) | (6,106) | (4,971) | |||||||||
| Reconciling items on the share of equity method investments | 3,802 | (4,111) | (13,483) | (1,631) | (14,673) | |||||||||
| Non-GAAP adjustments for net loss attributable to the non-controlling interest shareholders | (80,434) | (492) | (722) | (83,008) | (2,665) | |||||||||
| Non-GAAP net income from continuing operations attributable to controlling interest and common shareholders of | 96,088 | 72,423 | 70,270 | 298,498 | 282,845 | |||||||||
| Non-GAAP net income from continuing operations per ADS | ||||||||||||||
| ——Basic | 1.79 | 1.38 | 1.36 | 5.16 | 5.38 | |||||||||
| ——Diluted | 1.77 | 1.36 | 1.34 | 4.96 | 5.31 | |||||||||
| Weighted average number of ADS used in calculating Non-GAAP net income from continuing operations per ADS | ||||||||||||||
| ——Basic | 53,737,863 | 52,557,478 | 51,794,999 | 57,892,728 | 52,604,993 | |||||||||
| ——Diluted | 54,263,057 | 53,354,913 | 52,629,562 | 60,654,393 | 53,262,375 | |||||||||
| UNAUDITED SEGMENT REPORT | ||||||||
| (All amounts in thousands, except share, ADS and per ADS data) | ||||||||
| Three Months Ended | ||||||||
| BIGO | All other | Elimination(1) | Total | |||||
| US$ | US$ | US$ | US$ | |||||
| Net revenues | ||||||||
| Live streaming | 371,777 | 22,659 | - | 394,436 | ||||
| Advertising | 128,113 | 17,317 | - | 145,430 | ||||
| Others | 1,526 | 40,813 | (289) | 42,050 | ||||
| Total net revenues | 501,416 | 80,789 | (289) | 581,916 | ||||
| Cost of revenues(2) | (333,272) | (43,078) | 75 | (376,275) | ||||
| Gross profit | 168,144 | 37,711 | (214) | 205,641 | ||||
| Operating expenses(2) | ||||||||
| Research and development expenses | (38,229) | (23,486) | 177 | (61,538) | ||||
| Sales and marketing expenses | (55,330) | (26,106) | 21 | (81,415) | ||||
| General and administrative expenses | (19,058) | (25,825) | 16 | (44,867) | ||||
| Total operating expenses | (112,617) | (75,417) | 214 | (187,820) | ||||
| Other income | 321 | 123 | - | 444 | ||||
| Operating income (loss) | 55,848 | (37,583) | - | 18,265 | ||||
| Interest expenses | (644) | (21) | 503 | (162) | ||||
| Interest income and investment income | 13,641 | 27,735 | (503) | 40,873 | ||||
| Foreign currency exchange losses, net | (8,061) | (110) | - | (8,171) | ||||
| Loss on fair value change of investments | (1,152) | (8,968) | - | (10,120) | ||||
| Income (loss) before income tax (expenses) benefits | 59,632 | (18,947) | - | 40,685 | ||||
| Income tax (expenses) benefits | (3,572) | 2,204 | - | (1,368) | ||||
| Income (loss) before share of income in equity method investments, net of income taxes | 56,060 | (16,743) | - | 39,317 | ||||
| Share of income in equity method investments, net of income taxes | - | 11,868 | - | 11,868 | ||||
| Net income (loss) from continuing operations | 56,060 | (4,875) | - | 51,185 | ||||
| (1) The elimination mainly consists of revenues and expenses generated from services among BIGO and All other segments, and interest income and interest expenses generated from the loan between BIGO and All other segments. | ||||||
| (2) Share-based compensation was allocated in cost of revenues and operating expenses as follows: | ||||||
| Three Months Ended | ||||||
| BIGO | All other | Total | ||||
| US$ | US$ | US$ | ||||
| Cost of revenues | 842 | 357 | 1,199 | |||
| Research and development expenses | 2,156 | 1,075 | 3,231 | |||
| Sales and marketing expenses | 459 | 114 | 573 | |||
| General and administrative expenses | 214 | 3,821 | 4,035 | |||
| UNAUDITED RECONCILIATION OF GAAP AND NON-GAAP RESULTS OF UNAUDITED SEGMENT REPORT | ||||||
| (All amounts in thousands, except share, ADS and per ADS data) | ||||||
| Three Months Ended | ||||||
| BIGO | All other | Total | ||||
| US$ | US$ | US$ | ||||
| Operating income (loss) | 55,848 | (37,583) | 18,265 | |||
| Share-based compensation expenses | 3,671 | 5,367 | 9,038 | |||
| Amortization of intangible assets from business acquisitions | 8,950 | 4,590 | 13,540 | |||
| Non-GAAP operating income (loss) | 68,469 | (27,626) | 40,843 | |||
| Depreciation and other amortization | 4,772 | 5,002 | 9,774 | |||
| Non-GAAP EBITDA | 73,241 | (22,624) | 50,617 | |||
| Net income (loss) from continuing operations | 56,060 | (4,875) | 51,185 | |||
| Share-based compensation expenses | 3,671 | 5,367 | 9,038 | |||
| Amortization of intangible assets from business acquisitions | 8,950 | 4,590 | 13,540 | |||
| Loss on fair value change of investments | 1,152 | 8,968 | 10,120 | |||
| Income tax effects on non-GAAP adjustments | (974) | (1,576) | (2,550) | |||
| Reconciling items on the share of equity method investments | - | (13,483) | (13,483) | |||
| Non-GAAP net income (loss) from continuing operations | 68,859 | (1,009) | 67,850 | |||
| UNAUDITED SEGMENT REPORT | ||||||||
| (All amounts in thousands, except share, ADS and per ADS data) | ||||||||
| Three Months Ended | ||||||||
| BIGO | All other | Elimination(1) | Total | |||||
| US$ | US$ | US$ | US$ | |||||
| Net revenues | ||||||||
| Live streaming | 367,744 | 20,730 | - | 388,474 | ||||
| Advertising | 103,942 | 8,574 | - | 112,516 | ||||
| Others | 749 | 38,785 | (303) | 39,231 | ||||
| Total net revenues | 472,435 | 68,089 | (303) | 540,221 | ||||
| Cost of revenues(2) | (308,107) | (39,051) | 68 | (347,090) | ||||
| Gross profit | 164,328 | 29,038 | (235) | 193,131 | ||||
| Operating expenses(2) | ||||||||
| Research and development expenses | (40,950) | (22,331) | 187 | (63,094) | ||||
| Sales and marketing expenses | (51,832) | (20,263) | 23 | (72,072) | ||||
| General and administrative expenses | (18,385) | (20,690) | 25 | (39,050) | ||||
| Total operating expenses | (111,167) | (63,284) | 235 | (174,216) | ||||
| Other income | 270 | 367 | - | 637 | ||||
| Operating income (loss) | 53,431 | (33,879) | - | 19,552 | ||||
| Interest expenses | (826) | (22) | 751 | (97) | ||||
| Interest income and investment income | 14,305 | 27,994 | (751) | 41,548 | ||||
| Foreign currency exchange losses, net | (6,085) | (285) | - | (6,370) | ||||
| Gain on fair value change of investments | 91 | 4,011 | - | 4,102 | ||||
| Income (loss) before income tax (expenses) benefits | 60,916 | (2,181) | - | 58,735 | ||||
| Income tax (expenses) benefits | (5,626) | 1,842 | - | (3,784) | ||||
| Income (loss) before share of income in equity method investments, net of income taxes | 55,290 | (339) | - | 54,951 | ||||
| Share of income in equity method investments, net of income taxes | - | 4,236 | - | 4,236 | ||||
| Net income from continuing operations | 55,290 | 3,897 | - | 59,187 | ||||
| (1) The elimination mainly consists of revenues and expenses generated from services among BIGO and All other segments, and interest income and interest expenses generated from the loan between BIGO and All other segments. | ||||||
| (2) Share-based compensation was allocated in cost of revenues and operating expenses as follows: | ||||||
| Three Months Ended | ||||||
| BIGO | All other | Total | ||||
| US$ | US$ | US$ | ||||
| Cost of revenues | 1,230 | 186 | 1,416 | |||
| Research and development expenses | 1,903 | 541 | 2,444 | |||
| Sales and marketing expenses | 259 | 67 | 326 | |||
| General and administrative expenses | 390 | 2,982 | 3,372 | |||
| UNAUDITED RECONCILIATION OF GAAP AND NON-GAAP RESULTS OF UNAUDITED SEGMENT REPORT | ||||||
| (All amounts in thousands, except share, ADS and per ADS data) | ||||||
| Three Months Ended | ||||||
| BIGO | All other | Total | ||||
| US$ | US$ | US$ | ||||
| Operating income (loss) | 53,431 | (33,879) | 19,552 | |||
| Share-based compensation expenses | 3,782 | 3,776 | 7,558 | |||
| Amortization of intangible assets from business acquisitions | 8,950 | 4,590 | 13,540 | |||
| Non-GAAP operating income (loss) | 66,163 | (25,513) | 40,650 | |||
| Depreciation and other amortization | 4,574 | 5,331 | 9,905 | |||
| Non-GAAP EBITDA | 70,737 | (20,182) | 50,555 | |||
| Net income from continuing operations | 55,290 | 3,897 | 59,187 | |||
| Share-based compensation expenses | 3,782 | 3,776 | 7,558 | |||
| Amortization of intangible assets from business acquisitions | 8,950 | 4,590 | 13,540 | |||
| Gain on fair value change of investments | (91) | (4,011) | (4,102) | |||
| Income tax effects on non-GAAP adjustments | (763) | (1,167) | (1,930) | |||
| Reconciling items on the share of equity method investments | - | (4,111) | (4,111) | |||
| Non-GAAP net income from continuing operations | 67,168 | 2,974 | 70,142 | |||
| UNAUDITED SEGMENT REPORT | ||||||||
| (All amounts in thousands, except share, ADS and per ADS data) | ||||||||
| Three Months Ended | ||||||||
| BIGO | All other | Elimination(1) | Total | |||||
| US$ | US$ | US$ | US$ | |||||
| Net revenues | ||||||||
| Live streaming | 400,281 | 22,137 | - | 422,418 | ||||
| Advertising | 79,308 | 10,262 | - | 89,570 | ||||
| Others | 385 | 37,476 | (403) | 37,458 | ||||
| Total net revenues | 479,974 | 69,875 | (403) | 549,446 | ||||
| Cost of revenues(2) | (304,926) | (40,822) | 85 | (345,663) | ||||
| Gross profit | 175,048 | 29,053 | (318) | 203,783 | ||||
| Operating expenses(2) | ||||||||
| Research and development expenses | (43,641) | (24,072) | 228 | (67,485) | ||||
| Sales and marketing expenses | (44,990) | (22,076) | 26 | (67,040) | ||||
| General and administrative expenses | (17,025) | (27,054) | 64 | (44,015) | ||||
| - | (454,935) | - | (454,935) | |||||
| Total operating expenses | (105,656) | (528,137) | 318 | (633,475) | ||||
| Other income | 398 | 1,441 | - | 1,839 | ||||
| Operating income (loss) | 69,790 | (497,643) | - | (427,853) | ||||
| Interest expenses | (1,153) | (41) | 882 | (312) | ||||
| Interest income and investment income | 11,905 | 27,837 | (882) | 38,860 | ||||
| Foreign currency exchange gains (losses), net | 10,359 | (746) | - | 9,613 | ||||
| (Loss) gain on fair value change of investments | (4,156) | 1,145 | - | (3,011) | ||||
| Income (loss) before income tax (expenses) benefits | 86,745 | (469,448) | - | (382,703) | ||||
| Income tax (expenses) benefits | (2,926) | 2,885 | - | (41) | ||||
| Income (loss) before share of loss in equity method investments, net of income taxes | 83,819 | (466,563) | - | (382,744) | ||||
| Share of loss in equity method investments, net of income taxes | - | (3,793) | - | (3,793) | ||||
| Net income (loss) from continuing operations | 83,819 | (470,356) | - | (386,537) | ||||
| (1) The elimination mainly consists of revenues and expenses generated from services among BIGO and All other segments, and interest income and interest expenses generated from the loan between BIGO and All other segments. | ||||||
| (2) Share-based compensation was allocated in cost of revenues and operating expenses as follows: | ||||||
| Three Months Ended | ||||||
| BIGO | All other | Total | ||||
| US$ | US$ | US$ | ||||
| Cost of revenues | 140 | 155 | 295 | |||
| Research and development expenses | 1,639 | 1,135 | 2,774 | |||
| Sales and marketing expenses | 39 | 144 | 183 | |||
| General and administrative expenses | 463 | 2,091 | 2,554 | |||
| UNAUDITED RECONCILIATION OF GAAP AND NON-GAAP RESULTS OF UNAUDITED SEGMENT REPORT | ||||||
| (All amounts in thousands, except share, ADS and per ADS data) | ||||||
| Three Months Ended | ||||||
| BIGO | All other | Total | ||||
| US$ | US$ | US$ | ||||
| Operating income (loss) | 69,790 | (497,643) | (427,853) | |||
| Share-based compensation expenses | 2,281 | 3,525 | 5,806 | |||
| Amortization of intangible assets from business acquisitions | 8,950 | 4,590 | 13,540 | |||
| - | 454,935 | 454,935 | ||||
| Non-GAAP operating income (loss) | 81,021 | (34,593) | 46,428 | |||
| Depreciation and other amortization | 3,881 | 5,415 | 9,296 | |||
| Non-GAAP EBITDA | 84,902 | (29,178) | 55,724 | |||
| Net income (loss) from continuing operations | 83,819 | (470,356) | (386,537) | |||
| Share-based compensation expenses | 2,281 | 3,525 | 5,806 | |||
| Amortization of intangible assets from business acquisitions | 8,950 | 4,590 | 13,540 | |||
| - | 454,935 | 454,935 | ||||
| Loss (gain) on fair value change of investments | 4,156 | (1,145) | 3,011 | |||
| Income tax effects on non-GAAP adjustments | (778) | 351 | (427) | |||
| Reconciling items on the share of equity method investments | - | 3,802 | 3,802 | |||
| Non-GAAP net income (loss) from continuing operations | 98,428 | (4,298) | 94,130 | |||
Source: