UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 6-K

 

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 OR 15d-16 UNDER

THE SECURITIES EXCHANGE ACT OF 1934

 

For the month of May 2016

 


 

Commission File Number: 001-36396

 


 

LEJU HOLDINGS LIMITED

 

15/F Floor, Shoudong International Plaza, No. 5 Building, Guangqu Home

Dongcheng District, Beijing 100022

People’s Republic of China

(Address of principal executive offices)

 

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

 

Form 20-F  x              Form 40-F  o

 

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): o

 

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): o

 

 

 



 

SIGNATURE

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

 

 

Leju Holdings Limited

 

 

 

 

 

 

 

 

 

 

By

:

/s/ Min Chen

 

 

Name

:

Min Chen

 

 

Title

:

Chief Financial Officer

 

 

Date: May 17, 2016

 

2



 

Exhibit Index

 

Exhibit 99.1 — Press release

 

3


Exhibit 99.1

 

Leju Reports First Quarter 2016 Results

 

BEIJING, May 16, 2016—Leju Holdings Limited (“Leju” or the “Company”) (NYSE: LEJU), a leading online-to-offline (“O2O”) real estate services provider in China, today announced its unaudited financial results for the fiscal quarter ended March 31, 2016.

 

First Quarter 2016 Financial Highlights

 

·                      Total revenues increased by 21% year-on-year to $113.0 million

 

·                      Revenues from e-commerce services increased by 28% year-on-year to $86.1 million

·                      Revenues from online advertising services decreased by 3% year-on-year to $21.8 million

·                      Revenues from listing services increased by 34% year-on-year to $5.1 million

 

·                      Non-GAAP1 loss from operations was $7.4 million

 

·                      Non-GAAP net loss attributable to Leju shareholders was $5.3 million, or $0.04 loss per diluted American depositary share (“ADS”)

 

“We are pleased that Leju continued its steady growth for this quarter,” said Mr. Geoffrey He, Leju’s chief executive officer. “We maintained our leading position in media marketing and e-commerce services in the primary market and further expanded our listing services business.  We introduced a number of innovative products in the primary market and expanded our partnership with other leading mobile platforms to enhance our media influence and users’ home hunting experience. Our listings services business now covers 53 cities with 36 new local websites launched to provide more comprehensive secondary housing information for home buyers across the country.”

 

“Our home furnishing advertising business also continued its market leadership position while our contractor platform Qiang Gong Zhang (7gz.com) achieved positive growth momentum,” Mr. He continued. “7gz.com is an efficient online platform that connects home furnishing contractors directly with consumers, and through a series of marketing and branding activities we have been able to attract a lot of new users to this platform. We will continue to invest in 7gz.com and build it into a sustainable and profitable business.”

 

First Quarter 2016 Results

 

Total revenues were $113.0 million, an increase of 21% from $93.4 million for the same quarter of 2015, mainly driven by the growth of revenues from e-commerce services and listing services, partially offset by the decrease in the revenues from online advertising services.

 

Revenues from e-commerce services were $86.1 million, an increase of 28% from $67.1 million for the same quarter of 2015, primarily due to increases in both the number of discount coupons redeemed and in the average price per discount coupon redeemed.

 

Revenues from online advertising services were $21.8 million, a decrease of 3% from $22.5 million for the same quarter of 2015, primarily due to a decrease in property developers’ online advertising demand.

 

Revenues from listing services were $5.1 million, an increase of 34% from $3.8 million for the same quarter of 2015, primarily due to growth in secondary home sales.

 

Cost of revenues was $13.6 million, a decrease of 9% from $14.9 million for the same quarter of 2015, primarily due to decreased editorial department headcount and decreased amortization of intangible assets consisting of exclusive rights that expired in December 2015.

 


1  Leju uses in this press release the following non-GAAP financial measures: (1) income (loss) from operations, (2) net income (loss), (3) net income (loss) attributable to Leju shareholders, (4) net income (loss) attributable to Leju shareholders per basic ADS, and (5) net income (loss) attributable to Leju shareholders per diluted ADS, each of which excludes share-based compensation expense and amortization of intangible assets resulting from business acquisitions. See “About Non-GAAP Financial Measures” and “Unaudited Reconciliation of GAAP and Non-GAAP Results” below for more information about the non-GAAP financial measures included in this press release.

 



 

Selling, general and administrative expenses were $113.3 million, an increase of 31% from $86.3 million for the same quarter of 2015, primarily due to the growth of the Company’s e-commerce business as a result of its efforts to maintain its market share in the increasingly competitive market as well as increased marketing expenses related to the promotion of the Company’s listing business and home furnishing business.

 

Loss from operations was $13.8 million, compared to $7.5 million for the same quarter of 2015. Non-GAAP loss from operations was $7.4 million, compared to $0.4 million for the same quarter of 2015.

 

Net loss was $11.1 million, compared to $5.5 million for the same quarter of 2015. Non-GAAP net loss was $5.4 million, compared to non-GAAP net income of $0.9 million for the same quarter of 2015.

 

Net loss attributable to Leju shareholders was $11.0 million, or $0.08 loss per diluted ADS, compared to $5.3 million, or $0.04 loss per diluted ADS, for the same quarter of 2015. Non-GAAP net loss attributable to Leju shareholders was $5.3 million, or $0.04 loss per diluted ADS, compared to non-GAAP net income attributable to Leju shareholders of $1.0 million, or $0.01 per diluted ADS, for the same quarter of 2015.

 

Cash Flow

 

As of March 31, 2016, the Company’s cash and cash equivalents balance was $258.5 million.

 

First quarter 2016 net cash provided by operating activities was $1.3 million, mainly attributable to a decrease in unbilled accounts receivable of $6.3 million, a decrease in customer deposits of $9.4 million, an increase in other current liabilities of $6.5 million, and a decrease in prepaid expenses and other current assets of $2.7 million, which were partially offset by non-GAAP net loss of $5.4 million, a decrease in income tax payable of $8.8 million and a decrease in accrued payable and welfare expenses of $9.5 million. Net cash used in investing activities was $0.5 million, mainly comprised of a payment of $0.3 million for property, plant and equipment. Net cash used in financing activities was $3.2 million, mainly comprised of a payment of $3.4 million to acquire non-controlling interests, which were made in 2014.

 

Business Outlook

 

The Company maintains its fiscal 2016 total revenue guidance of approximately $660 million to $690 million, which would represent an increase of approximately 15% to 20% from $575.8 million in 2015. This forecast reflects the Company’s current and preliminary view, which is subject to change.

 

Conference Call Information

 

Leju’s management will host an earnings conference call on May 16, 2016 at 7 a.m. U.S. Eastern Time (7 p.m. Beijing/Hong Kong time).

 

Dial-in details for the earnings conference call are as follows:

 

U.S./International:

+1-855-298-3404

Hong Kong:

+852-5808-3202

Mainland China:

+400-120-0539

 

Please dial in 10 minutes before the call is scheduled to begin and provide the passcode to join the call. The passcode is “Leju earnings call.”

 

A replay of the conference call may be accessed by phone at the following number until May 23, 2016:

 

U.S./International:

+1-866-846-0868

Hong Kong:

+800-966-697

Mainland China:

+400-1842-240

Passcode:          9444319

 

Additionally, a live and archived webcast will be available at http://ir.leju.com.

 



 

About Leju

 

Leju Holdings Limited(“Leju”) (NYSE: LEJU) is a leading online-to-offline, or O2O, real estate services provider in China, offering real estate e-commerce, online advertising and online listing services. Leju’s integrated online platform comprises various mobile applications along with local websites covering more than 260 cities, enhanced by complementary offline services to facilitate residential property transactions. In addition to the Company’s own websites, Leju operates the real estate and home furnishing websites of SINA Corporation, and maintains a strategic partnership with Tencent Holdings Limited. For more information about Leju, please visit http://ir.leju.com.

 

Safe Harbor: Forward-Looking Statements

 

This announcement contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities Litigation Reform Act of 1995.  These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates,” “target,” “going forward,” “outlook” and similar statements. Leju may also make written or oral forward-looking statements in its reports filed or furnished with the U.S. Securities and Exchange Commission, in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statements about Leju’s beliefs and expectations, are forward-looking statements that involve inherent risks and uncertainties. A number of important factors could cause actual results to differ materially from those contained, either expressly or impliedly, in any of the forward-looking statements. Such factors include, but are not limited to, fluctuations in China’s real estate market; the highly regulated nature of, and government measures affecting, the real estate and internet industries in China; Leju’s ability to compete successfully against current and future competitors; its ability to continue to develop and expand its content, service offerings and features, and to develop or incorporate the technologies that support them; its limited operating history and lack of experience as a stand-alone public company, given its recent carve-out from E-House and prior reliance on E-House for various corporate services; its reliance on SINA, Baidu and others with which it has developed, or may develop in the future, strategic partnerships; substantial revenue contribution from a limited number of real estate markets; complexities resulting from its ongoing relationships with E-House, due to E-House’s controlling interest in Leju; and relevant government policies and regulations relating to the corporate structure, business and industry of Leju. Further information regarding these and other risks, uncertainties or factors is included in the Company’s filings with the U.S. Securities and Exchange Commission. All information provided in this press release is current as of the date of the press release, and the Company does not undertake any obligation to update any forward-looking statement as a result of new information, future events or otherwise, except as required under applicable law.

 

About Non-GAAP Financial Measures

 

To supplement Leju’s consolidated financial results presented in accordance with United States Generally Accepted Accounting Principles (“GAAP”), Leju uses in this press release the following non-GAAP financial measures: (1) income (loss) from operations, (2) net income (loss), (3) net income (loss) attributable to Leju shareholders, (4) net income (loss) attributable to Leju shareholders per basic ADS, and (5) net income (loss) attributable to Leju shareholders per diluted ADS, each of which excludes share-based compensation expense and amortization of intangible assets resulting from business acquisitions. 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 GAAP. For more information on these non-GAAP financial measures, please see the table captioned “Unaudited Reconciliation of GAAP and Non-GAAP Results” set forth at the end of this press release.

 



 

Leju believes that these non-GAAP financial measures provide meaningful supplemental information to investors regarding its operating performance by excluding share-based compensation expense, and amortization of intangible assets resulting from business acquisitions, which may not be indicative of Leju’s operating performance. These non-GAAP financial measures also facilitate management’s internal comparisons to Leju’s historical performance and assist its financial and operational decision making. A limitation of using these non-GAAP financial measures is that share-based compensation expense and amortization of intangible assets resulting from business acquisitions may continue to exist in Leju’s business for the foreseeable future. Management compensates for these limitations by providing specific information regarding the GAAP amounts excluded from each non-GAAP measure. The accompanying tables provide more details on the reconciliation between non-GAAP financial measures and their most comparable GAAP financial measures.

 

For investor and media inquiries please contact:

 

Ms. Melody Liu

Leju Holdings Limited

Phone: +86 (10) 5895-1062

E-mail: ir@leju.com

 

Ms. Annie Huang

Leju Holdings Limited

Phone: +86 (10) 5895-1062

E-mail: ir@leju.com

 



 

LEJU HOLDINGS LIMITED

UNAUDITED CONSOLIDATED BALANCE SHEETS

(In thousands of U.S. dollars)

 

 

 

December 31,

 

March 31,

 

 

 

2015

 

2016

 

ASSETS

 

 

 

 

 

Current assets

 

 

 

 

 

Cash and cash equivalents

 

260,296

 

258,475

 

Accounts receivable, net

 

113,991

 

103,388

 

Deferred tax assets, net

 

31,074

 

31,230

 

Prepaid expenses and other current assets

 

20,881

 

18,293

 

Customer deposits

 

58,833

 

49,402

 

Amounts due from related parties

 

9

 

23

 

Total current assets

 

485,084

 

460,811

 

Property and equipment, net

 

6,801

 

6,443

 

Intangible assets, net

 

90,737

 

87,644

 

Investment in affiliates

 

669

 

612

 

Goodwill

 

39,807

 

39,869

 

Other non-current assets

 

3,740

 

3,650

 

Total assets

 

626,838

 

599,029

 

 

 

 

 

 

 

LIABILITIES AND EQUITY

 

 

 

 

 

Current liabilities

 

 

 

 

 

Accounts payable

 

327

 

1,563

 

Accrued payroll and welfare expenses

 

45,692

 

36,086

 

Income tax payable

 

66,815

 

57,988

 

Other tax payable

 

31,930

 

29,132

 

Amounts due to related parties

 

10,214

 

6,379

 

Advance from customers and deferred revenue

 

5,703

 

6,284

 

Accrued marketing and advertising expenses

 

3,915

 

9,871

 

Consideration payable of acquiring non-controlling interest

 

7,339

 

3,971

 

Other current liabilities

 

7,672

 

8,206

 

Total current liabilities

 

179,607

 

159,480

 

Deferred tax liabilities

 

22,998

 

23,113

 

Total liabilities

 

202,605

 

182,593

 

Equity

 

 

 

 

 

Ordinary shares ($0.001 par value): 500,000,000 shares authorized, 134,930,870 and 135,245,866 shares issued and outstanding, as of December 31, 2015 and March 31, 2016, respectively

 

135

 

135

 

Additional paid-in capital

 

773,766

 

776,687

 

Accumulated deficit

 

(343,658

)

(354,898

)

Subscription receivables

 

(9

)

 

Accumulated other comprehensive income

 

(5,522

)

(4,730

)

Total Leju equity

 

424,712

 

417,194

 

Non-controlling interests

 

(479

)

(758

)

Total equity

 

424,233

 

416,436

 

TOTAL LIABILITIES AND EQUITY

 

626,838

 

599,029

 

 



 

LEJU HOLDINGS LIMITED

UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS

(In thousands of U.S. dollars, except share data and per share data)

 

 

 

Three months ended

 

 

 

March 31,

 

 

 

2015

 

2016

 

Revenues

 

 

 

 

 

E-commerce

 

67,056

 

86,088

 

Online advertising

 

22,542

 

21,781

 

Listing

 

3,833

 

5,119

 

Total revenues

 

93,431

 

112,988

 

Cost of revenues

 

(14,864

)

(13,597

)

Selling, general and administrative expenses

 

(86,279

)

(113,312

)

Other operating income

 

224

 

102

 

Loss from operations

 

(7,488

)

(13,819

)

Interest income

 

389

 

222

 

Other income (loss), net

 

179

 

(15

)

Investment loss

 

 

(193

)

Loss before taxes and equity in affiliates

 

(6,920

)

(13,805

)

Income tax expense

 

1,541

 

2,804

 

Loss before equity in affiliates

 

(5,379

)

(11,001

)

Loss from equity in affiliates

 

(78

)

(60

)

Net Loss

 

(5,457

)

(11,061

)

Less: net loss attributable to non-controlling interests

 

(134

)

(97

)

Loss attributable to Leju shareholders

 

(5,323

)

(10,964

)

 

 

 

 

 

 

Loss per share:

 

 

 

 

 

Basic

 

(0.04

)

(0.08

)

Diluted

 

(0.04

)

(0.08

)

Shares used in computation:

 

 

 

 

 

Basic

 

134,108,003

 

134,976,346

 

Diluted

 

134,108,003

 

134,976,346

 

 

Note 1

The conversion of Renminbi (“RMB”) amounts into USD amounts is based on the rate of USD1 = RMB6.4612 on March 31, 2016 and USD1 = RMB6.5129 for the three months ended March 31, 2016

 



 

LEJU HOLDINGS LIMITED

UNAUDITED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

(In thousands of U.S. dollars)

 

 

 

Three months ended

 

 

 

March 31,

 

 

 

2015

 

2016

 

 

 

 

 

 

 

Net loss

 

(5,457

)

(11,061

)

Other comprehensive income (loss), net of tax of nil Foreign currency translation adjustment

 

(477

)

790

 

 

 

 

 

 

 

Comprehensive loss

 

(5,934

)

(10,271

)

 

 

 

 

 

 

Less: Comprehensive loss attributable to non-controlling interest

 

(137

)

(98

)

 

 

 

 

 

 

Comprehensive loss attributable to Leju shareholders

 

(5,797

)

(10,173

)

 



 

LEJU HOLDINGS LIMITED

Unaudited Reconciliation of GAAP and Non-GAAP Results

(In thousands of U.S. dollars, except share data and per ADS data)

 

 

 

Three months ended

 

 

 

March 31,

 

 

 

2015

 

2016

 

 

 

 

 

 

 

GAAP loss from operations

 

(7,488

)

(13,819

)

Share-based compensation expense

 

3,955

 

3,363

 

Amortization of intangible assets resulting from business acquisitions

 

3,175

 

3,084

 

Non-GAAP loss from operations

 

(358

)

(7,372

)

 

 

 

 

 

 

GAAP net loss

 

(5,457

)

(11,061

)

Share-based compensation expense (net of tax)

 

3,955

 

3,363

 

Amortization of intangible assets resulting from business acquisitions (net of tax)

 

2,381

 

2,313

 

Non-GAAP net income (loss)

 

879

 

(5,385

)

 

 

 

 

 

 

Net loss attributable to Leju shareholders

 

(5,323

)

(10,964

)

Share-based compensation expense (net of tax and non-controlling interests)

 

3,955

 

3,355

 

Amortization of intangible assets resulting from business acquisitions (net of tax and non-controlling interests)

 

2,381

 

2,313

 

Non-GAAP net income (loss) attributable to Leju shareholders

 

1,013

 

(5,296

)

 

 

 

 

 

 

GAAP net loss per ADS — basic

 

(0.04

)

(0.08

)

 

 

 

 

 

 

GAAP net loss per ADS — diluted

 

(0.04

)

(0.08

)

 

 

 

 

 

 

Non-GAAP net income (loss) per ADS — basic

 

0.01

 

(0.04

)

 

 

 

 

 

 

Non-GAAP net income (loss) per ADS — diluted

 

0.01

 

(0.04

)

 

 

 

 

 

 

Shares used in calculating basic GAAP / non-GAAP net loss attributable to Leju shareholders per ADS

 

134,108,003

 

134,976,346

 

Shares used in calculating diluted GAAP net loss attributable to Leju shareholders per ADS

 

134,108,003

 

134,976,346

 

Shares used in calculating diluted non-GAAP net income (loss) attributable to Leju shareholders per ADS

 

136,887,974

 

134,976,346

 

 



 

LEJU HOLDINGS LIMITED

SELECTED OPERATING DATA

 

 

 

Three months ended

 

 

 

March 31,

 

 

 

2015

 

2016

 

Operating data for e-commerce services

 

 

 

 

 

Number of discount coupons issued to prospective purchasers (number of transactions)

 

40,765

 

59,302

 

Number of discount coupons redeemed (number of transactions)

 

32,111

 

34,243