Maintaining margin expansion and
profitability
SHANGHAI, March 22, 2017 /PRNewswire/ -- eHi Car Services
Limited ("eHi" or the "Company") (NYSE: EHIC), a leading car
rental and car services provider in
China, today announced its
unaudited financial results for the fourth quarter and full year
ended December 31, 2016.
Mr. Ray Zhang, eHi's Chairman and
Chief Executive Officer, said, "2016 was a successful year for eHi
both operationally and financially, as we increased our fleet size
significantly and achieved robust topline growth, profitability and
margin improvement. We also enhanced our partnerships with leading
companies in the automobile industry, aimed at establishing an
ecosystem from vehicle procurement to car services and used car
sales. Looking ahead, we will continue to explore strategic
cooperation and investment opportunities to enhance our operating
synergies, and to capture the technology-driven demand in the car
rental and sharing economy, while maintaining growth and
profitability in our car rental and car services business. We are
also looking forward to the close cooperation with our marketing
partner NBA China and our renowned brand ambassador NBA All-Star
Stephen Curry. Recently we were
recognized by the China-NPS (China Net Promoter Score) as the most
recommended car rental brand by Chinese customers, and we will
continue our efforts to bring the best-in-class services as well as
freer and healthier life styles to our Chinese
customers."
Mr. Colin Sung, eHi's Chief
Financial Officer, said, "We are pleased to finish a strong 2016 by
delivering year-over-year net revenues growth of 34.1% and 45.4% in the
fourth quarter and full year, respectively, while achieving net
income of RMB13.7 million in the
fourth quarter and RMB33.1 million in
the full year of 2016. Benefiting from stringent cost control
measures, we have also realized broad-based margin expansion,
resulting in record-high full year gross profit margin of 28.1%, non-GAAP adjusted
EBIT margin of 12.9% and non-GAAP adjusted EBITDA margin of 44.6%.
With a healthy balance sheet, we also added additional vehicles in
the fourth quarter to capture the growing travel demand during the
2017 Chinese New Year holidays. In
2017, our goal remains to improve profitability with an emphasis on
margin expansion through increased operating efficiencies."
Fourth Quarter 2016 Highlights
- Net revenues increased by 34.1% year-over-year to RMB565.0 million (US$81.4
million[1]) for
the fourth quarter of 2016, from RMB421.5
million for the fourth quarter of 2015.
|
Three
months ended December 31,
|
|
Year-Over-Year
|
(RMB '000)
|
2015
|
|
2016
|
|
Comparison
|
Car
rentals
|
321,508
|
|
446,489
|
|
38.9%
|
Car
services
|
99,963
|
|
118,552
|
|
18.6%
|
Total Net
Revenues
|
421,471
|
|
565,041
|
|
34.1%
|
- Gross profit[2]
increased by 53.6% year-over-year to RMB156.7 million (US$22.6
million) for the fourth quarter of 2016, from RMB102.0 million for the fourth quarter of 2015.
Gross profit margin[2]
increased to 27.7% for the fourth quarter of 2016, from 24.2% for
the fourth quarter of 2015.
- Net income was RMB13.7 million
(US$2.0 million) for the fourth
quarter of 2016, compared with a net loss of RMB12.3 million for the fourth quarter of 2015.
Net income margin was 2.4% for the fourth quarter of 2016.
- Non-GAAP adjusted EBIT[3] increased by 166.8% year-over-year
to RMB76.7 million (US$11.1 million) for the fourth quarter of 2016,
from RMB28.8 million for the fourth
quarter of 2015. Non-GAAP adjusted EBIT margin[3] increased to 13.6% for the fourth
quarter of 2016, from 6.8% for the fourth quarter of 2015.
- Non-GAAP adjusted EBITDA[4] increased by 53.6% year-over-year
to RMB256.0 million (US$36.9 million) for the fourth quarter of 2016,
from RMB166.7 million for the fourth
quarter of 2015. Non-GAAP adjusted EBITDA margin[4] increased to 45.3% for the fourth
quarter of 2016, from 39.6% for the fourth quarter of 2015.
- Total average available fleet size[5] increased by 32.4% year-over-year
to 42,712 vehicles for the fourth quarter of 2016, from 32,255
vehicles for the fourth quarter of 2015. Total fleet
RevPAC[6] increased to
RMB144 for the fourth quarter of
2016, from RMB142 for the fourth
quarter of 2015.
|
Average Available
Fleet Size
|
|
|
|
RevPAC
(RMB)
|
|
|
|
2015Q4
|
|
2016Q4
|
|
Year-Over-Year
Comparison
|
|
2015Q4
|
|
2016Q4
|
|
Year-Over-Year
Comparison
|
Car
rentals
|
30,000
|
|
40,073
|
|
33.6%
|
|
116
|
|
121
|
|
4.3%
|
Car
services
|
2,255
|
|
2,639
|
|
17.0%
|
|
482
|
|
488
|
|
1.2%
|
Total
|
32,255
|
|
42,712
|
|
32.4%
|
|
142
|
|
144
|
|
1.4%
|
- Fleet utilization rate[7] for car rentals was 71.2% for
the fourth quarter of 2016, compared with 70.4% for the fourth
quarter of 2015.
- As of December 31, 2016, total
period-end fleet size[8]
was 56,916 vehicles.
Full Year 2016 Highlights
- Net revenues increased by 45.4% to RMB2,108.9 million (US$303.8 million[1]) for the full year of 2016, from
RMB1,450.6 million for the full year
of 2015.
|
Year
ended December 31,
|
|
Year-Over-Year
|
(RMB '000)
|
2015
|
|
2016
|
|
Comparison
|
Car
rentals
|
1,100,579
|
|
1,663,546
|
|
51.2%
|
Car
services
|
350,051
|
|
445,398
|
|
27.2%
|
Total Net
Revenues
|
1,450,630
|
|
2,108,944
|
|
45.4%
|
- Gross profit[2]
increased by 89.9% year-over-year to RMB593.7 million (US$85.5
million) for the full year of 2016, from RMB312.7 million for the full year of 2015. Gross
profit margin[2]
increased to 28.1% for the full year of 2016, from 21.6% for the
full year of 2015.
- Net income for the full year of 2016 was RMB33.1 million (US$4.8
million), compared with RMB696.3
million for the full year of 2015 (including a net gain of
RMB736.8 million related to sales of
investment assets after transaction costs and tax provision). Net
income margin was 1.6% for the full year of 2016.
- Non-GAAP adjusted EBIT[3] increased by 175.1% year-over-year
to RMB272.3 million (US$39.2 million) for the full year of 2016, from
RMB99.0 million for the full year of
2015. Non-GAAP adjusted EBIT margin[3] increased to 12.9% for the full
year of 2016, from 6.8% for the full year of 2015.
- Non-GAAP adjusted EBITDA[4] increased by 63.9% to RMB940.4 million (US$135.4
million) for the full year of 2016, from RMB573.7 million for the full year of 2015.
Non-GAAP adjusted EBITDA margin[4] was 44.6% for the full year of
2016, compared with 39.5% for the full year of 2015.
- Total average available fleet size[5] increased by 47.2% to 38,944
vehicles for the full year of 2016, from 26,460 vehicles for the
full year of 2015. Total fleet RevPAC[6] decreased to RMB148 for the full year of 2016, from
RMB150 for the full year of
2015.
|
Average Available
Fleet Size
|
|
|
|
RevPAC
(RMB)
|
|
|
|
2015
|
|
2016
|
|
Year-Over-Year
Comparison
|
|
2015
|
|
2016
|
|
Year-Over-Year
Comparison
|
Car
rentals
|
24,573
|
|
36,455
|
|
48.4%
|
|
123
|
|
125
|
|
1.6%
|
Car
services
|
1,887
|
|
2,489
|
|
31.9%
|
|
508
|
|
490
|
|
(3.5%)
|
Total
|
26,460
|
|
38,944
|
|
47.2%
|
|
150
|
|
148
|
|
(1.3%)
|
- Fleet utilization rate[7] for car rentals was 72.4% for
the full year of 2016, compared with 71.4% for the full year of
2015.
Fourth Quarter 2016 Financial Results
Net revenues for the fourth quarter of 2016 were
RMB565.0 million (US$81.4 million), up 34.1% year-over-year,
attributable to increased net revenues from both car rentals and
car services.
Net revenues from car rentals for the fourth
quarter of 2016 were RMB446.5 million
(US$64.3 million), up 38.9%
year-over-year, primarily driven by the growing average available
fleet size for car rentals in response to customer demand.
Net revenues from car services for the fourth
quarter of 2016 were RMB118.6 million
(US$17.1 million), up 18.6%
year-over-year, primarily driven by increased demand from existing
and new customers for car services.
Cost of revenues (vehicle operating expenses) for
the fourth quarter of 2016 was RMB408.3
million (US$58.8 million), up
27.8% year-over-year, primarily driven by increased depreciation
and labor costs.
In the fourth quarter of 2016, 1,823 used vehicles were disposed
of, and 1,871 used vehicles were under sales contracts pending
title transfer. The Company recognized a disposal gain of
RMB2.8 million (US$0.4 million) in aggregate for these 3,694
vehicles[9]. In
addition, a disposal gain of RMB1.4
million (US$0.2 million) was
recognized in the fourth quarter of 2016 as a result of the
completion of title transfer during such period. These disposal
gains were both recognized as adjustments to the vehicle-related
depreciation expense as part of the cost of revenues.
Gross profit for the fourth quarter of 2016 was
RMB156.7 million (US$22.6 million), up 53.6%
year-over-year. Gross profit margin for the fourth
quarter of 2016 was 27.7%, compared with 24.2% for the fourth
quarter of 2015. Gross profit margin improvement was primarily due
to a percentage decrease of labor costs in terms of net revenues,
which was benefited from economies of scale and improved operating
efficiency.
Selling and marketing expenses for the fourth
quarter of 2016 were RMB19.5 million
(US$2.8 million), decreased by 22.7%
year-over-year, as the Company focused more on the planning of the
2017 branding and marketing activities in the fourth quarter of
2016.
General and administrative expenses for the fourth
quarter of 2016 were RMB72.6 million
(US$10.5 million), up 29.1%
year-over-year, primarily due to increased employee-related costs
including salaries and welfare expenses as a result of increased
headcount, as well as increased foreign exchange loss in the fourth
quarter of 2016 caused by the utilization of the US dollar
denominated debts.
Profit from operations for the fourth quarter of
2016 was RMB71.5 million
(US$10.3 million), up 204.2%
year-over-year.
Interest expense for the fourth quarter of 2016
was RMB56.7 million (US$8.2 million), up 54.2% year-over-year,
primarily attributable to the interest expense associated with the
Company's US$200 million senior
unsecured notes.
Net income for the fourth quarter of
2016 was RMB13.7 million
(US$2.0 million), compared with a net
loss of RMB12.3 million for the
fourth quarter of 2015. Net income margin for the
fourth quarter of 2016 was 2.4%.
Basic and diluted earnings per ADS for the fourth
quarter of 2016 were RMB0.20
(US$0.03) each, compared with basic
and diluted loss per ADS of RMB0.18
each for the fourth quarter of 2015.
Non-GAAP adjusted EBIT for the fourth quarter of
2016 was RMB76.7 million
(US$11.1 million), up 166.8%
year-over-year. Non-GAAP adjusted EBIT margin for the
fourth quarter of 2016 was 13.6%, compared with 6.8% for the fourth
quarter of 2015.
Non-GAAP adjusted EBITDA for the fourth quarter of
2016 was RMB256.0 million
(US$36.9 million), up 53.6%
year-over-year. Non-GAAP adjusted EBITDA margin for
the fourth quarter of 2016 was 45.3%, compared with 39.6% for the
fourth quarter of 2015.
Full Year 2016 Financial Results
Net revenues for the full year of 2016 were
RMB2,108.9 million (US$303.8 million), up 45.4% compared with the
full year of 2015, attributable to increases in net revenues from
both car rentals and car services.
Revenues from car rentals for the full year of
2016 were RMB1,663.5 million
(US$239.6 million), up 51.2% compared
with the full year of 2015, primarily driven by the growing average
available fleet size for car rentals in response to customer
demand.
Revenues from car services for the full year of
2016 were RMB445.4 million
(US$64.2 million), up 27.2% compared
with the full year of 2015, primarily driven by increased demand
from existing and new customers for car services.
Cost of revenues (vehicle operating expenses) for
the full year of 2016 were RMB1,515.3
million (US$218.2 million), up
33.2% compared with the full year of 2015, primarily due to
increased depreciation and labor costs.
In 2016, 4,775 used vehicles were disposed of, and 1,890 used
vehicles were under sales contracts pending title transfer. The
Company recorded a disposal gain of RMB1.8
million (US$0.3 million) in
aggregate for these 6,665 vehicles[10]. The gain was recognized as an
adjustment to the vehicle related depreciation expense as part of
the cost of revenues.
Gross profit for the full year of 2016 was
RMB593.7 million (US$85.5 million), up 89.9% year-over-year.
Gross profit margin for the full year of 2016 was
28.1%, compared with 21.6% for the full year of 2015. Gross profit
margin improvement was due to certain cost controls primarily in
vehicle insurance, and to a lesser extent, in vehicle repair and
maintenance, which were benefited from enhanced economies of scale
and operating efficiency.
Selling and marketing expenses for
the full year of 2016 were RMB97.2
million (US$14.0 million), up
49.4% compared with the full year of 2015, primarily due to
increased sales and promotion activities in 2016.
General and administrative expenses
for the full year of 2016 were RMB251.9
million (US$36.3 million), up
37.3% compared with the full year of 2015, primarily due to
increases in employee-related costs such as salaries and welfare
expenses as a result of increased headcount, as well as a foreign
exchange loss in 2016 compared with a foreign exchange gain in
2015.
Profit from operations for the full year of 2016
was RMB254.8 million (US$36.7 million), up 240.7% compared with the
full year of 2015.
Interest expense for the full year of 2016 was
RMB225.0 million (US$32.4 million), up 81.8% compared with the full
year of 2015, primarily attributable to the interest expense
associated with the Company's US$200
million senior unsecured notes.
Net income for the full year of 2016 was
RMB33.1 million (US$4.8 million), compared with RMB696.3 million for the full year of 2015
(including a net gain of RMB736.8
million related to sales of investment assets after
transaction costs and tax provision). Net income
margin for the full year of 2016 was 1.6%.
Basic and diluted earnings per ADS for the full
year of 2016 were RMB0.48
(US$0.07) each, compared with basic
and diluted earnings per ADS of RMB10.99 and RMB10.85, respectively, for the full year of
2015.
Non-GAAP adjusted EBIT for the full year of 2016
was RMB272.3 million (US$39.2 million), up 175.1% compared with the
full year of 2015. Non-GAAP adjusted EBIT margin for
the full year of 2016 was 12.9%, compared with 6.8% for the full
year of 2015.
Non-GAAP adjusted EBITDA for the full year of 2016
was RMB940.4 million (US$135.4 million), up 63.9% compared with the
full year of 2015. Non-GAAP adjusted EBITDA
margin for the full year of 2016 was 44.6%, compared with
39.5% for the full year of 2015.
As of December 31, 2016, the
Company's cash, cash equivalents and restricted cash
balance was RMB786.6 million
(US$113.3 million).
Recent Developments
On December 13, 2016, the Company
announced a multiyear marketing partnership that will make eHi the
Official Marketing Partner and Car Rental Services Partner of the
NBA in China. The new partnership
marked NBA China's first relationship in the car rental and
chauffeured car services category and eHi's first association with
a professional sports league. Throughout the years, eHi will have
the opportunity to promote its car rental services to NBA fans
across the country along with being integrated into NBA China's
marquee events. Concurrently, the Company also announced that
two-time NBA MVP and three-time NBA All-Star Stephen Curry will serve as the Company's new
brand ambassador.
On February 16, 2017, the Company
entered into a strategic partnership with China Yongda Automobiles
Services Holdings Limited (03669.HK, "Yongda Auto"), a leading
passenger vehicle retailer and comprehensive services provider in
China. The strategic partnership
will enable comprehensive collaboration between eHi and Yongda Auto
in multiple areas and formats, including vehicle procurement, used
car sales, automobile financing, customer services and network
expansion. In particular, eHi and Yongda Auto will explore various
channels for used car sales, repurchase programs and outlet
marketing, as well as establishing an ecosystem from vehicle
procurement, to car services, to used car sales.
Outlook
The Company estimates that net revenues for the first quarter of
2017 will range from RMB600 million to
RMB615 million, and for full year of 2017 will range from
RMB2.9 billion to RMB3.0 billion.
This outlook reflects the Company's current and preliminary view,
which is subject to change.
Conference Call Information
The Company's management will host an earnings conference call
at 8:00 PM U.S. Eastern Time on
March 22, 2017 (8:00 AM Beijing/Hong
Kong time on March 23,
2017).
Dial-in details for the earnings conference call are as
follows:
United States (toll
free):
|
1-888-346-8982
|
International:
|
1-412-902-4272
|
Hong Kong (toll
free):
|
800-905-945
|
Hong Kong:
|
852-3018-4992
|
China:
|
400-120-1203
|
Participants should dial-in at least 5 minutes before the
scheduled start time and ask to be connected to the "eHi Car
Services call."
Additionally, a live and archived webcast of the conference call
will be available on the investor relations section of eHi's
website at http://ir.ehi.com.cn.
A replay of the conference call will be accessible by phone at
the following numbers until March 29,
2017:
United States (toll
free):
|
1-877-344-7529
|
International:
|
1-412-317-0088
|
Replay Access
Code:
|
10103299
|
About eHi Car Services Limited
eHi Car Services Limited (NYSE: EHIC) is one of the leading car
rental and car services providers in China. The Company's mission is to provide
comprehensive mobility solutions as an alternative to car ownership
by best utilizing existing resources and sharing economy to create
optimal value. eHi distinguishes itself in China's fast-growing car rental and car
services market through its complementary business model,
customer-centric corporate culture, broad geographic coverage,
efficient fleet management, leading brand name, and commitment to
technological innovation. eHi is the exclusive strategic partner in
China of Enterprise, the largest
car rental company in the world, and is the designated and
preferred business partner of Ctrip, a leader in the online travel
agency industry in China. For more
information regarding eHi, please visit http://en.1hai.cn.
About Non-GAAP Financial Measures
To supplement its unaudited condensed consolidated financial
statements which are presented in accordance with U.S. GAAP, the
Company uses adjusted EBIT and adjusted EBITDA as non-GAAP
financial measures. Adjusted EBIT represents net income or loss
before share-based compensation, interest expense, interest income,
provision for income taxes, gains from waiver of warrants and gains
from sale of cost method investment. Adjusted EBITDA represents net
income or loss before depreciation and amortization, share-based
compensation, interest expense, interest income, provision for
income taxes, gains from waiver of warrants and gains from sale of
cost method investment. The Company's management believes that
adjusted EBIT and adjusted EBITDA facilitate a better understanding
of operating results from quarter to quarter and provide management
with a better capability to plan and forecast future periods. For
more information on the non-GAAP financial measures, please see the
table captioned "Reconciliation of GAAP and Non-GAAP Results" set
forth at the end of this press release.
Non-GAAP information is not prepared in accordance with GAAP and
may be different from non-GAAP methods of accounting and reporting
used by other companies. The presentation of this additional
information should not be considered a substitute for GAAP results.
A limitation of using these Non-GAAP financial measures excludes
depreciation and amortization, share-based compensation, interest
expense, interest income and provision for income taxes, as
applicable, that have been and will continue to be significant
recurring portions of the Company's business for the foreseeable
future.
Safe Harbor Statement
This press release contains forward-looking statements made
under the "safe harbor" provisions of Section 21E of the Securities
Exchange Act of 1934, as amended, and 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," "confident" and similar statements. eHi may also make
written or oral forward-looking statements in its reports filed
with or furnished to 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. Any statements that are not historical facts, including
statements about eHi's beliefs and expectations, are
forward-looking statements that involve factors, risks and
uncertainties that could cause actual results to differ materially
from those in the forward-looking statements. Such factors and
risks include, but not limited to the following: eHi's goals and
strategies; its future business development, financial condition
and results of operations; its ability to achieve and sustain
profitability; its heavy reliance on its proprietary technology
platform; its ability to compete successfully against current and
future competitors; the expected growth of China's car rentals and car services market;
its ability to sustain its growth rates and manage its expansion
plan; its ability to dispose used vehicles at desirable prices or
timing or through appropriate channels; its ability to raise
sufficient capital to fund and expand its operations at a
reasonable cost; various government policies on automobile control
and purchase restrictions in certain Chinese cities; its ability to
enhance its brand recognition and maintain a high level of customer
satisfaction; its ability to control the losses resulting from
customer violation of traffic rules; and its ability to obtain all
of the requisite permits, licenses or making all of the requisite
filings or registrations or meeting other regulatory requirements
for operating car rentals and car services business in China. Further information regarding these and
other risks, uncertainties or factors is included in the Company's
filings with the SEC. All information provided in this press
release is current as of the date of the press release, and eHi
does not undertake any obligation to update such information,
except as required under applicable law.
[1] The Company's
business is conducted in China and
substantially all of its revenues are denominated in Renminbi
(RMB). However, this earnings announcement contains translations of
RMB amounts into U.S. dollars (US$) 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
RMB6.9430 to US$1.00, the effective noon buying rate as of
December 31, 2016 in The City of New York for cable transfers of RMB as
certified for customs purposes by the Federal Reserve Bank of
New York.
[2] Gross profit is defined as net revenues less cost
of net revenues (vehicle operating expenses). Gross profit
margin is defined as the percentage representing gross profit
divided by net revenues.
[3] Non-GAAP adjusted EBIT is defined as net income
before share-based compensation, interest expense, interest income,
provision for income taxes, gains from waiver of warrants and gains
from sale of cost method investment. For more information, refer to
"About Non-GAAP Financial Measures" and "Reconciliation of GAAP and
Non-GAAP Results" at the end of this press release. Non-GAAP
adjusted EBIT margin is defined as the percentage representing
Non-GAAP adjusted EBIT divided by net revenues.
[4] Non-GAAP adjusted EBITDA is defined as net
income before depreciation and amortization, share-based
compensation, interest expense, interest income, provision for
income taxes, gains from waiver of warrants and gains from sale of
cost method investment. For more information, refer to "About
Non-GAAP Financial Measures" and "Reconciliation of GAAP and
Non-GAAP Results" at the end of this press release. Non-GAAP
adjusted EBITDA margin is defined as the percentage representing
Non-GAAP adjusted EBITDA divided by net revenues.
[5] "Average available fleet size" is calculated by
dividing the aggregate number of days in which the Company's fleet
was in operation during a given period by the total number of days
during the same period. In determining the size of the Company's
fleet in operation, eHi includes all vehicles in its car rentals
and/or car services fleets except for vehicles that have been
written off in accordance with its accounting policy and vehicles
that have not been consistently made available for rent and that it
may consider to dispose of when appropriate opportunities
arise.
[6] "RevPAC" refers to average daily net revenue per
available car, which is calculated by dividing the net revenues
during a given period by the aggregate number of days in which the
Company's fleet was in operation during the same period.
[7] "Fleet utilization rate" refers to the
aggregate transaction days for the Company's car rental fleet
during a given period divided by the aggregate days the car rental
fleet was in operation during the same period.
[8] "Period-end fleet size" refers to the aggregate
number of vehicles in the Company's car rentals and car services
fleets as of the last day of a given period which the Company holds
legal title to and reflects in its balance sheet, including
vehicles that are currently missing but have not been written off
in accordance with its accounting policy. The period-end fleet size
as of December 31, 2016 excluded 162
vehicles which the Company had written off from its balance sheet
in accordance with its accounting policy.
[9] The gain of RMB2.8
million is a net amount of (i) the disposal gain and loss of
the 1,823 used vehicles which were disposed of, and (ii) the
disposal loss of the 1,871 used vehicles which were under sales
contracts pending title transfer. If there is any disposal gain for
the vehicles pending title transfer, such a gain will be recognized
in the next period when the title transfer has been completed.
[10] The gain of
RMB1.8 million is a net amount of (i)
the disposal gain and loss of the 4,775 used vehicles which were
disposed of, and (ii) the disposal loss of the 1,890 used vehicles
which were under sales contracts pending title transfer. If there
is any disposal gain for the vehicles pending title transfer, such
a gain will be recognized in the next period when the title
transfer has been completed.
For investor and media inquiries, please contact:
eHi Car Services Limited
Tel: +86 (21) 6468-7000 ext. 8742
E-mail: ir@ehic.com.cn
The Piacente Group, Inc.
Ms. Brandi Piacente
Tel: +1-212-481-2050
E-mail: ehi@tpg-ir.com
eHi Car Services
Limited
|
Unaudited
Condensed Consolidated Balance Sheets
|
|
|
|
|
|
|
|
|
|
December 31,
|
|
December 31,
|
|
December 31,
|
|
|
2015
|
|
2016
|
|
2016
|
|
|
RMB
|
|
RMB
|
|
USD
|
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
|
|
|
|
|
|
|
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
assets:
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
2,610,088,382
|
|
529,518,517
|
|
76,266,530
|
Restricted
cash
|
|
206,944,000
|
|
257,059,302
|
|
37,024,241
|
Accounts receivable,
net
|
|
185,418,831
|
|
214,767,818
|
|
30,933,000
|
Prepayments and other
current assets
|
|
379,344,970
|
|
727,787,345
|
|
104,823,181
|
Short term loans
receivable
|
|
-
|
|
50,000,000
|
|
7,201,498
|
Assets held for
sale
|
|
45,467,038
|
|
160,732,289
|
|
23,150,264
|
Deferred tax assets,
current
|
|
-
|
|
1,839,973
|
|
265,011
|
Total current
assets
|
|
3,427,263,221
|
|
1,941,705,244
|
|
279,663,725
|
|
|
|
|
|
|
|
Property and
equipment, net
|
|
4,096,617,720
|
|
5,723,569,175
|
|
824,365,429
|
Intangible
assets
|
|
45,367,164
|
|
64,101,470
|
|
9,232,532
|
Vehicle purchase
deposits
|
|
216,727,900
|
|
420,922,908
|
|
60,625,509
|
Deferred tax assets,
non-current
|
|
-
|
|
649,675
|
|
93,573
|
Other non-current
assets
|
|
14,943,879
|
|
10,010,628
|
|
1,441,831
|
Total
assets
|
|
7,800,919,884
|
|
8,160,959,100
|
|
1,175,422,599
|
|
|
|
|
|
|
|
LIABILITIES AND
SHAREHOLDERS' EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
|
Accounts
payable
|
|
785,898,613
|
|
179,877,847
|
|
25,907,799
|
Accrued expenses and
other current liabilities
|
|
203,742,878
|
|
284,574,997
|
|
40,987,327
|
Income tax
payable
|
|
89,220,792
|
|
5,436,989
|
|
783,089
|
Short-term
debt
|
|
803,131,683
|
|
926,219,333
|
|
133,403,332
|
Total current
liabilities
|
|
1,881,993,966
|
|
1,396,109,166
|
|
201,081,547
|
|
|
|
|
|
|
|
Long-term
debt
|
|
1,969,452,640
|
|
2,767,822,989
|
|
398,649,429
|
Deferred tax
liabilities, non-current
|
|
-
|
|
1,061,542
|
|
152,894
|
Other non-current
liabilities
|
|
1,400,000
|
|
4,835,862
|
|
696,508
|
Total
liabilities
|
|
3,852,846,606
|
|
4,169,829,559
|
|
600,580,378
|
|
|
|
|
|
|
|
Shareholders'
equity:
|
|
|
|
|
|
|
Common
shares
|
|
867,001
|
|
878,463
|
|
126,525
|
Additional paid-in
capital
|
|
4,433,439,156
|
|
4,474,702,198
|
|
644,491,171
|
Accumulated other
comprehensive income
|
|
74,554,822
|
|
43,201,464
|
|
6,222,305
|
Accumulated
deficits
|
|
(560,787,701)
|
|
(527,652,584)
|
|
(75,997,780)
|
Total
shareholders' equity
|
|
3,948,073,278
|
|
3,991,129,541
|
|
574,842,221
|
Total liabilities
and shareholders' equity
|
|
7,800,919,884
|
|
8,160,959,100
|
|
1,175,422,599
|
eHi Car Services
Limited
|
Unaudited
Condensed Consolidated Statements of Comprehensive
Income/(Loss)
|
|
|
|
For the Three Months Ended December 31,
|
|
For the Year Ended December 31,
|
|
|
2015
|
|
2016
|
|
2016
|
|
2015
|
|
2016
|
|
2016
|
|
|
RMB
|
|
RMB
|
|
USD
|
|
RMB
|
|
RMB
|
|
USD
|
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
Net
revenues:
|
|
|
|
|
|
|
|
|
|
|
|
|
Car
rentals
|
|
321,507,816
|
|
446,488,625
|
|
64,307,738
|
|
1,100,578,473
|
|
1,663,546,502
|
|
239,600,533
|
Car
services
|
|
99,963,434
|
|
118,552,601
|
|
17,075,126
|
|
350,051,279
|
|
445,397,923
|
|
64,150,644
|
Total net
revenues
|
|
421,471,250
|
|
565,041,226
|
|
81,382,864
|
|
1,450,629,752
|
|
2,108,944,425
|
|
303,751,177
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of
revenues
|
|
(319,421,553)
|
|
(408,314,730)
|
|
(58,809,554)
|
|
(1,137,978,490)
|
|
(1,515,281,510)
|
|
(218,245,933)
|
Gross
profit
|
|
102,049,697
|
|
156,726,496
|
|
22,573,310
|
|
312,651,262
|
|
593,662,915
|
|
85,505,244
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling and marketing
expenses
|
|
(25,204,922)
|
|
(19,487,220)
|
|
(2,806,743)
|
|
(65,058,917)
|
|
(97,187,525)
|
|
(13,997,915)
|
General and
administrative expenses
|
|
(56,227,900)
|
|
(72,611,361)
|
|
(10,458,211)
|
|
(183,548,522)
|
|
(251,938,077)
|
|
(36,286,631)
|
Other operating
income
|
|
2,901,849
|
|
6,919,767
|
|
996,654
|
|
10,763,962
|
|
10,310,089
|
|
1,484,962
|
Total operating
expenses
|
|
(78,530,973)
|
|
(85,178,814)
|
|
(12,268,300)
|
|
(237,843,477)
|
|
(338,815,513)
|
|
(48,799,584)
|
Profit from
operations
|
|
23,518,724
|
|
71,547,682
|
|
10,305,010
|
|
74,807,785
|
|
254,847,402
|
|
36,705,660
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest
income
|
|
808,671
|
|
1,939,744
|
|
279,381
|
|
2,652,636
|
|
8,413,945
|
|
1,211,860
|
Interest
expense
|
|
(36,782,903)
|
|
(56,708,992)
|
|
(8,167,794)
|
|
(123,768,564)
|
|
(224,959,389)
|
|
(32,400,891)
|
Gains from waiver of
warrants
|
|
-
|
|
-
|
|
-
|
|
16,869,935
|
|
-
|
|
-
|
Gains from sale of
cost method investment
|
|
-
|
|
-
|
|
-
|
|
803,059,728
|
|
-
|
|
-
|
Other income /
(expense), net
|
|
925,067
|
|
(28,491)
|
|
(4,104)
|
|
10,205,275
|
|
1,444,129
|
|
207,998
|
Income / (loss)
before income taxes
|
|
(11,530,441)
|
|
16,749,943
|
|
2,412,493
|
|
783,826,795
|
|
39,746,087
|
|
5,724,627
|
Provision for income
taxes
|
|
(815,475)
|
|
(3,005,010)
|
|
(432,811)
|
|
(87,487,990)
|
|
(6,610,971)
|
|
(952,178)
|
Net
income/(loss)
|
|
(12,345,916)
|
|
13,744,933
|
|
1,979,682
|
|
696,338,805
|
|
33,135,116
|
|
4,772,449
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income /
(loss) attributable to common shareholders
|
|
(12,345,916)
|
|
13,744,933
|
|
1,979,682
|
|
696,338,805
|
|
33,135,116
|
|
4,772,449
|
Changes in cumulative
foreign currency translation adjustment, net of tax of
nil
|
|
19,987,770
|
|
(46,510,931)
|
|
(6,698,967)
|
|
73,410,193
|
|
(31,353,358)
|
|
(4,515,823)
|
Comprehensive
income / (loss)
|
|
7,641,854
|
|
(32,765,998)
|
|
(4,719,285)
|
|
769,748,998
|
|
1,781,758
|
|
256,626
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
number of common shares used in computing net income / (loss) per
share
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
136,817,619
|
|
138,631,287
|
|
138,631,287
|
|
126,758,363
|
|
137,621,702
|
|
137,621,702
|
Diluted
|
|
136,817,619
|
|
139,362,927
|
|
139,362,927
|
|
128,403,877
|
|
138,552,031
|
|
138,552,031
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income /
(loss) per share attributable to common shareholders
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
(0.09)
|
|
0.10
|
|
0.01
|
|
5.49
|
|
0.24
|
|
0.03
|
Diluted
|
|
(0.09)
|
|
0.10
|
|
0.01
|
|
5.42
|
|
0.24
|
|
0.03
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings /
(loss) per ADS*
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
(0.18)
|
|
0.20
|
|
0.03
|
|
10.99
|
|
0.48
|
|
0.07
|
Diluted
|
|
(0.18)
|
|
0.20
|
|
0.03
|
|
10.85
|
|
0.48
|
|
0.07
|
* Each ADS represents
two Class A common shares
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
eHi Car Services
Limited
|
Reconciliation of
GAAP and Non-GAAP Results
|
|
|
|
For the Three Months Ended December
31,
|
|
For the Year Ended December 31,
|
|
|
2015
|
|
2016
|
|
2016
|
|
2015
|
|
2016
|
|
2016
|
|
|
RMB
|
|
RMB
|
|
USD
|
|
RMB
|
|
RMB
|
|
USD
|
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
Net Income /
(loss)
|
|
(12,345,916)
|
|
13,744,933
|
|
1,979,682
|
|
696,338,805
|
|
33,135,116
|
|
4,772,449
|
Add /
(subtract):
|
|
|
|
|
|
|
|
|
|
|
|
|
Share-based
compensation
|
|
4,318,091
|
|
5,219,714
|
|
751,795
|
|
13,983,246
|
|
16,040,947
|
|
2,310,377
|
Interest
income
|
|
(808,671)
|
|
(1,939,744)
|
|
(279,381)
|
|
(2,652,636)
|
|
(8,413,945)
|
|
(1,211,860)
|
Interest
expense
|
|
36,782,903
|
|
56,708,992
|
|
8,167,794
|
|
123,768,564
|
|
224,959,389
|
|
32,400,891
|
Provision for income
taxes
|
|
815,475
|
|
3,005,010
|
|
432,811
|
|
87,487,990
|
|
6,610,971
|
|
952,178
|
Gains from waiver of
warrants
|
|
-
|
|
-
|
|
-
|
|
(16,869,935)
|
|
-
|
|
-
|
Gains from sale of
cost method investment
|
|
-
|
|
-
|
|
-
|
|
(803,059,728)
|
|
-
|
|
-
|
Adjusted
EBIT
|
|
28,761,882
|
|
76,738,905
|
|
11,052,701
|
|
98,996,306
|
|
272,332,478
|
|
39,224,035
|
Depreciation and
amortization
|
|
137,959,429
|
|
179,307,332
|
|
25,825,628
|
|
474,721,487
|
|
668,018,252
|
|
96,214,641
|
Adjusted
EBITDA
|
|
166,721,311
|
|
256,046,237
|
|
36,878,329
|
|
573,717,793
|
|
940,350,730
|
|
135,438,676
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/ehi-car-services-announces-fourth-quarter-and-full-year-2016-results-300428100.html
SOURCE eHi Car Services Limited
Copyright . 22 PR Newswire