Leju Reports Fourth Quarter and Full Year 2018 Results
Fourth Quarter 2018 Financial Highlights
- Total revenues increased by 17% year-on-year to
$124.2 million .
- Revenues from e-commerce services increased by 16% year-on-year to$82.4 million .
- Revenues from online advertising services increased by 25% year-on-year to$40.9 million . - Loss from operations was
$0.8 million , a decrease of 97% from$25.4 million for the same quarter of 2017. - Non-GAAP[1] income from operations was
$3.3 million , compared to non-GAAP loss from operations of$21.7 million for the same quarter of 2017. - Net income attributable to
Leju Holdings Limited shareholders was$1.4 million , or$0.01 per diluted American depositary share ("ADS"), compared to net loss attributable toLeju Holdings Limited shareholders of$22.3 million , or$0.16 loss per diluted ADS, for the same quarter of 2017. - Non-GAAP net income attributable to
Leju Holdings Limited shareholders was$4.7 million , or$0.03 per diluted ADS, compared to non-GAAP net loss attributable toLeju Holdings Limited shareholders of$19.2 million , or$0.14 loss per diluted ADS, for the same quarter of 2017.
Full Year 2018 Financial Highlights
- Total revenues increased by 27% year-on-year to
$462.0 million .
- Revenues from e-commerce services increased by 36% year-on-year to$320.3 million .
- Revenues from online advertising services increased by 22% year-on-year to$138.4 million . - Loss from operations was
$11.0 million , a decrease of 94% from$183.9 million for 2017. - Non-GAAP income from operations was
$6.1 million , compared to non-GAAP loss from operations of$125.9 million for 2017. - Net loss attributable to
Leju Holdings Limited shareholders was$13.5 million , or$0.10 loss per diluted ADS, a decrease of 92% from$160.9 million , or$1.19 loss per diluted ADS for 2017. - Non-GAAP net income attributable to
Leju Holdings Limited shareholders was$0.4 million , or$0.00 per diluted ADS, compared to non-GAAP net loss attributable toLeju Holdings of$105.0 million , or$0.77 loss per diluted ADS for 2017.
[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, amortization of intangible assets resulting from business acquisitions, goodwill impairment, and income tax impact on the share-based compensation expense, amortization of intangible assets resulting from business combinations, and goodwill impairment. 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. |
"
"Since the end of 2018, we have seen increasing demand for marketing services from developers as a result of changes in real estate market conditions," continued Mr. He. "Looking to the year ahead, we will aim to capture opportunities to further solidify our leading market position in media, advertising and e-commerce services. In addition, we have completed our corporate restructuring, which has helped to improve operational efficiency and lay a solid foundation for our future growth."
Fourth Quarter 2018 Results
Total revenues were
Revenues from e-commerce services were
Revenues from online advertising services were
Revenues from listing services were
Cost of revenues was
Selling, general and administrative expenses were
Loss from operations was
Other income, net was
Net income was
Net income attributable to
Full Year 2018 Results
Total revenues were
Revenues from e-commerce services were
Revenues from online advertising services were
Revenues from listing services were
Cost of revenues was
Selling, general and administrative expenses were
Loss from operations was
Other loss, net was
Net loss was
Net loss attributable to
Cash Flow
As of
Fourth quarter 2018 net cash used in operating activities was
Business Outlook
The Company estimates that its total revenues for the first quarter of 2019 will be approximately
Conference Call Information
Dial-in details for the earnings conference call are as follows:
U.S./International: |
+1-845-675-0437 |
Hong Kong: |
+852-3018-6771 |
Mainland China: |
400-620-8038 |
Please dial in 10 minutes before the call is scheduled to begin and provide the passcode to join the call. The passcode is "
A replay of the conference call may be accessed by phone at the following number until
U.S./International: |
+1-855-452-5696 |
Hong Kong: |
800-963-117 |
Mainland China: |
400-632-2162 |
Passcode: |
9445779 |
Additionally, a live and archived webcast will be available at http://ir.leju.com.
About
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.
About Non-GAAP Financial Measures
To supplement
For investor and media inquiries please contact:
Ms.
Phone: +86 (10) 5895-1062
E-mail: ir@leju.com
Phone: +86 135-0116-6560
E-mail: phil@thefootegroup.com
LEJU HOLDINGS LIMITED |
|||
UNAUDITED CONSOLIDATED BALANCE SHEETS |
|||
(In thousands of U.S. dollars) |
|||
December 31, |
December 31, |
||
2017 |
2018 |
||
ASSETS |
|||
Current assets |
|||
Cash and cash equivalents |
150,968 |
147,263 |
|
Restricted cash |
337 |
- |
|
Accounts receivable, net |
79,196 |
102,697 |
|
Contract assets |
1,410 |
2,137 |
|
Marketable securities |
3,077 |
2,467 |
|
Prepaid expenses and other current assets |
9,945 |
8,621 |
|
Customer deposits |
35,823 |
10,672 |
|
Amounts due from related parties |
4,077 |
6,695 |
|
Total current assets |
284,833 |
280,552 |
|
Property and equipment, net |
14,240 |
14,058 |
|
Intangible assets, net |
70,631 |
57,401 |
|
Investment in affiliates |
146 |
63 |
|
Deferred tax assets |
67,084 |
62,356 |
|
Other non-current assets |
2,010 |
2,297 |
|
Total assets |
438,944 |
416,727 |
|
LIABILITIES AND EQUITY |
|||
Current liabilities |
|||
Accounts payable |
2,950 |
803 |
|
Accrued payroll and welfare expenses |
37,082 |
30,628 |
|
Income tax payable |
63,380 |
58,030 |
|
Other tax payable |
11,654 |
12,675 |
|
Amounts due to related parties |
3,093 |
3,477 |
|
Advance from customers and deferred revenue |
10,565 |
26,873 |
|
Accrued marketing and advertising expenses |
18,852 |
14,896 |
|
Other current liabilities |
16,315 |
12,999 |
|
Total current liabilities |
163,891 |
160,381 |
|
Deferred tax liabilities |
18,016 |
14,780 |
|
Total liabilities |
181,907 |
175,161 |
|
Shareholders' Equity |
|||
Ordinary shares ($0.001 par value): 1,000,000,000 shares |
136 |
136 |
|
Additional paid-in capital |
788,589 |
792,626 |
|
Accumulated deficit |
(515,344) |
(528,825) |
|
Accumulated other comprehensive loss |
(13,078) |
(19,848) |
|
Total Leju Holdings Limited shareholders' equity |
260,303 |
244,089 |
|
Non-controlling interests |
(3,266) |
(2,523) |
|
Total equity |
257,037 |
241,566 |
|
TOTAL LIABILITIES AND EQUITY |
438,944 |
416,727 |
LEJU HOLDINGS LIMITED |
||||||||
UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS |
||||||||
(In thousands of U.S. dollars, except share data and per share data) |
||||||||
Three months ended |
Year ended |
|||||||
December 31, |
December 31, |
|||||||
2017 |
2018 |
2017 |
2018 |
|||||
Revenues |
||||||||
E-commerce |
71,217 |
82,377 |
234,836 |
320,271 |
||||
Online advertising services |
32,719 |
40,913 |
113,235 |
138,372 |
||||
Listing services |
2,432 |
954 |
14,461 |
3,388 |
||||
Total revenues |
106,368 |
124,244 |
362,532 |
462,031 |
||||
Cost of revenues |
(19,617) |
(18,895) |
(74,054) |
(72,910) |
||||
Selling, general and administrative expenses |
(112,293) |
(106,136) |
(434,276) |
(402,258) |
||||
Goodwill impairment charge |
- |
- |
(41,223) |
- |
||||
Other operating income |
171 |
5 |
3,072 |
2,163 |
||||
Loss from operations |
(25,371) |
(782) |
(183,949) |
(10,974) |
||||
Interest income |
326 |
241 |
1,314 |
1,086 |
||||
Other income (loss), net |
1,103 |
2,050 |
480 |
(4,219) |
||||
Income (loss) before taxes and loss from |
(23,942) |
1,509 |
(182,155) |
(14,107) |
||||
Income tax benefits |
1,510 |
602 |
20,328 |
1,334 |
||||
Income (loss) before loss from equity in |
(22,432) |
2,111 |
(161,827) |
(12,773) |
||||
Loss from equity in affiliates |
(28) |
(9) |
(216) |
(79) |
||||
Net income (loss) |
(22,460) |
2,102 |
(162,043) |
(12,852) |
||||
Less: net income (loss) attributable to non- |
(158) |
681 |
(1,142) |
629 |
||||
Income (loss) attributable to Leju Holdings |
(22,302) |
1,421 |
(160,901) |
(13,481) |
||||
Earnings (loss) per ADS: |
||||||||
Basic/ Diluted |
(0.16) |
0.01 |
(1.19) |
(0.10) |
||||
Shares used in computation of earnings (loss) per |
||||||||
Basic/ Diluted |
135,763,962 |
135,763,962 |
135,708,350 |
135,763,962 |
||||
Note 1 |
The conversion of functional currency Renminbi ("RMB") amounts into reporting |
LEJU HOLDINGS LIMITED |
||||||||
UNAUDITED CONSOLIDATED STATEMENT OF COMPREHENSIVE LOSS |
||||||||
(In thousands of U.S. dollars) |
||||||||
Three months ended |
Year ended |
|||||||
December 31, |
December 31, |
|||||||
2017 |
2018 |
2017 |
2018 |
|||||
Net income (loss) |
(22,460) |
2,102 |
(162,043) |
(12,852) |
||||
Other comprehensive income (loss), net of tax of nil |
||||||||
Foreign currency translation adjustment |
3,516 |
(2,662) |
9,137 |
(6,678) |
||||
Comprehensive loss |
(18,944) |
(560) |
(152,906) |
(19,530) |
||||
Less: Comprehensive income (loss) attributable to |
(187) |
650 |
(1,249) |
721 |
||||
Comprehensive loss attributable to Leju |
(18,757) |
(1,210) |
(151,657) |
(20,251) |
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 |
Year ended |
|||||||
December 31, |
December 31, |
|||||||
2017 |
2018 |
2017 |
2018 |
|||||
GAAP loss from operations |
(25,371) |
(782) |
(183,949) |
(10,974) |
||||
Share-based compensation expense |
151 |
925 |
3,525 |
4,058 |
||||
Amortization of intangible assets resulting from business |
3,485 |
3,205 |
13,333 |
13,064 |
||||
Goodwill impairment |
- |
- |
41,223 |
- |
||||
Non-GAAP income (loss) from operations |
(21,735) |
3,348 |
(125,868) |
6,148 |
||||
GAAP net income (loss) |
(22,460) |
2,102 |
(162,043) |
(12,852) |
||||
Share-based compensation expense |
151 |
925 |
3,525 |
4,058 |
||||
Amortization of intangible assets resulting from |
3,485 |
3,205 |
13,333 |
13,064 |
||||
Goodwill impairment |
- |
- |
41,223 |
- |
||||
Income tax benefit: |
||||||||
Current |
- |
- |
- |
- |
||||
Deferred[2] |
(574) |
(801) |
(2,144) |
(3,266) |
||||
Non-GAAP net income (loss) |
(19,398) |
5,431 |
(106,106) |
1,004 |
||||
Net income (loss) attributable to Leju Holdings Limited |
(22,302) |
1,421 |
(160,901) |
(13,481) |
||||
Share-based compensation expense |
142 |
925 |
3,491 |
4,038 |
||||
Amortization of intangible assets resulting from business |
3,485 |
3,205 |
13,333 |
13,064 |
||||
Goodwill impairment |
- |
- |
41,223 |
- |
||||
Income tax benefit: |
||||||||
Current |
- |
- |
- |
- |
||||
Deferred |
(574) |
(801) |
(2,144) |
(3,266) |
||||
Non-GAAP net income (loss) attributable to Leju |
(19,249) |
4,750 |
(104,998) |
355 |
||||
GAAP net income (loss) per ADS -- basic/diluted |
(0.16) |
0.01 |
(1.19) |
(0.10) |
||||
Non-GAAP net income(loss) per ADS -- basic/diluted |
(0.14) |
0.03 |
(0.77) |
0.00 |
||||
Shares used in calculating basic GAAP/non-GAAP net |
135,763,962 |
135,763,962 |
135,708,350 |
135,763,962 |
||||
[2] Amount represents the realization of deferred tax liabilities recognized for the temporary difference between the tax |
LEJU HOLDINGS LIMITED |
||||||||
SELECTED OPERATING DATA |
||||||||
Three months ended |
Year ended |
|||||||
December 31, |
December 31, |
|||||||
2017 |
2018 |
2017 |
2018 |
|||||
Operating data for e-commerce services |
||||||||
Number of discount coupons issued to |
47,419 |
34,562 |
246,318 |
144,046 |
||||
Number of discount coupons redeemed (number |
31,046 |
24,144 |
113,420 |
89,638 |
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