GUANGZHOU, China, May 14, 2018 /PRNewswire/ -- Vipshop Holdings
Limited (NYSE: VIPS), a leading online discount retailer for brands
in China ("Vipshop" or the
"Company"), today announced its unaudited financial results for the
first quarter ended March 31,
2018.
First Quarter 2018 Highlights
- Total net revenue for the first quarter of 2018
increased by 24.6% year over year to RMB19.9
billion (US$3.2 billion) from
RMB16.0 billion in the prior year
period.
- The number of active customers[1] for the
trailing twelve months ended March 31,
2018 was 56.6 million, as compared with 55.5 million in the
prior year period.
- Total orders[2] for the first quarter of 2018
increased by 25% year over year to 90.2 million from 72.1 million
in the prior year period.
- Gross profit for the first quarter of 2018 increased by
8.5% year over year to RMB4.0 billion
(US$639.2 million) from RMB3.7 billion in the prior year period.
- Net income attributable to Vipshop's shareholders for
the first quarter of 2018 was RMB529.7
million (US$84.5 million), as
compared with RMB551.9 million in the
prior year period.
- Non-GAAP net income attributable to Vipshop's
shareholders[3] for the first quarter of
2018 was RMB727.7 million
(US$116.0 million), as compared with
RMB799.4 million in the prior year
period.
Mr. Eric Shen, Chairman and Chief
Executive Officer of Vipshop, stated, "In the first quarter of
2018, we delivered solid operational results as demonstrated by the
continued improvement in customer stickiness and loyalty. We made
further progress with our strategic collaboration with Tencent and JD.com, opening up the entry on JD's
app homepage in mid-March and the WeChat wallet entry in early
April. Looking ahead, we will continue to work closely with
Tencent and JD.com in order to
improve the traffic flow and conversion rates, which will
contribute meaningfully to our long-term customer and revenue
growth."
Mr. Donghao Yang, Chief Financial
Officer of Vipshop, further commented, "We finished the first
quarter of 2018 with a solid 25% year-over-year increase in
topline, which was at the high-end of our guidance range. Our
average revenue per customer increased by 25% year over year,
driven by improved customer shopping frequency. Leveraging the
support from Tencent and JD.com, we
will continue to grow our topline and expand our market share."
Recent Business Highlights
- Vipshop launched its JD flagship store on March 3, 2018 and opened up its entry on the
homepage of JD's app to all customers on March 14, 2018. Vipshop's JD flagship store
attracted approximately half a million followers within the first
two months of launching. The majority of customers from the JD
channel are new customers, and male apparel is the strongest
category. The Company opened access of its WeChat wallet entry to
all traffic on April 8, 2018 and
conducted a round of promotions with red dots prompting users to
click into Vipshop's WeChat mini-program in mid-April, 2018.
Comparing to the Company's app users, customers from its
mini-program are younger and more male-concentrated.
- In the first quarter of 2018, Vipshop's average revenue per
customer increased by approximately 25% year over year, driven by
the robust 25% year-over-year increase in average number of orders
per customer. During this quarter, 86% of customers were repeat
customers, up from 77% in the prior year period, and approximately
96% of orders were placed by repeat customers, up from 92% in the
prior year period.
- Vipshop's Board of Directors appointed Mr. Martin Lau, President and Executive Director of
Tencent Holdings Limited (SEHK:
0700), as a Director of the Company's Board, effective December 29, 2017. In addition, Mr. Bin Wu
resigned from the Company's Board of Directors, effective
January 30, 2018.
- On May 8, 2018, L'Oréal
Paris launched its official WeChat
mini-program, which was developed and operated by
Vipshop. Vipshop is actively
exploring more opportunities within the WeChat ecosystem with its
brand partners, empowering brands to grow their business leveraging
the robust traffic within WeChat.
- In the first quarter of 2018, Vipshop added an overseas
warehouse in Frankfurt, Germany,
bringing the Company's total international warehousing capacity to
approximately 59,000 square meters. Vipshop currently has overseas
warehouses in nine locations, including Hong Kong, New
York, Paris, Milan, London, Seoul, Tokyo,
Sydney, and Frankfurt. As of March
31, 2018, the Company has approximately 2.8 million square
meters of total warehousing space, of which around 1.8 million
square meters is owned by Vipshop.
- During the first quarter of 2018, Vipshop delivered
approximately 99% of its orders through its in-house last mile
delivery network, up from 93% in the prior year period. More than
81% of customer returns were handled directly by Vipshop's in-house
last mile delivery network, up from 67% in the prior year
period.
- As of March 31, 2018, close to
1.5 million customers enrolled in Vipshop's Super VIP Paid
Membership Program, representing a 54% increase sequentially.
- Vipshop's cross-border business was particularly strong during
this year's 4.19 promotional event, with sales increasing by 43%
year over year.
- Vipshop recently added a number of popular domestic and
international brands to its platform, including Furla, Stella McCartney, and Dodo.
First Quarter 2018 Financial Results
REVENUE
Total net revenue for the first quarter of 2018 increased by
24.6% year over year to RMB19.9
billion (US$3.2 billion) from
RMB16.0 billion in the prior year
period, primarily driven by the improvement in average revenue per
customer.
GROSS PROFIT
Gross profit for the first quarter of 2018 increased by 8.5% to
RMB4.0 billion (US$639.2 million) from RMB3.7 billion in the prior year period. Gross
margin for the first quarter of 2018 was 20.2% as compared with
23.2% in the prior year period. In the first quarter of 2018, the
Company reclassified costs related to third-party logistics from
fulfillment expenses into cost of revenues, which had a 0.9% impact
on the gross margin for the quarter. The Company continues to
balance investment in promotional activities with its broader
marketing efforts to drive growth.
OPERATING INCOME AND EXPENSES
Total operating expenses for the first quarter of 2018 were
RMB3.5 billion (US$551.4 million), as compared with RMB3.1 billion in the prior year period. As a
percentage of total net revenue, total operating expenses for the
first quarter of 2018 decreased to 17.4% from 19.6% in the prior
year period.
- Fulfillment expenses for the first quarter of
2018 were RMB1.7 billion
(US$276.4 million), as compared with
RMB1.4 billion in the prior year
period, primarily reflecting an increase in sales volume and number
of orders fulfilled. As a percentage of total net revenue,
fulfillment expenses for the first quarter of 2018 decreased to
8.7% from 9.0% in the prior year period.
- Marketing expenses for the first quarter of 2018
were RMB645.3 million (US$102.9 million), as compared with RMB729.5 million in the prior year period. As a
percentage of total net revenue, marketing expenses for the first
quarter of 2018 decreased to 3.2% from 4.6% in the prior year
period.
- Technology and content expenses for the first
quarter of 2018 were RMB466.4 million
(US$74.3 million), as compared with
RMB419.5 million in the prior year
period. As a percentage of total net revenue, technology and
content expenses for the first quarter of 2018 decreased to 2.3%
from 2.6% in the prior year period.
- General and administrative expenses for the first
quarter of 2018 were RMB613.6 million
(US$97.8 million), as compared with
RMB542.2 million in the prior year
period. As a percentage of total net revenue, general and
administrative expenses for the first quarter of 2018 decreased to
3.1% from 3.4% in the prior year period.
Income from operations for the first quarter of 2018 was
RMB662.7 million (US$105.6 million), as compared with RMB736.6 million in the prior year period.
Operating margin for the first quarter of 2018 was 3.3% as compared
with 4.6% in the prior year period.
Non-GAAP income from operations[4], which excludes
share-based compensation expenses and amortization of intangible
assets resulting from business acquisitions, was RMB878.1 million (US$140.0
million) as compared with RMB1.0
billion in the prior year period. Non-GAAP operating income
margin[5] for the first quarter of 2018 was 4.4% as
compared with 6.3% in the prior year period.
NET INCOME
Net income attributable to Vipshop's shareholders for the first
quarter of 2018 was RMB529.7 million
(US$84.5 million), as compared with
RMB551.9 million in the prior year
period. Net margin attributable to Vipshop's shareholders for the
first quarter of 2018 was 2.7% as compared with 3.5% in the prior
year period, primarily attributable to the Company's investment in
promotional activities to drive growth. Net income attributable to
Vipshop's shareholders per diluted ADS[6] was
RMB0.77 (US$0.12) as compared with RMB0.92 in the prior year period.
Non-GAAP net income attributable to Vipshop's shareholders,
which excludes share-based compensation expenses, impairment loss
of investments, and amortization of intangible assets resulting
from business acquisitions and equity method investments, was
RMB727.7 million (US$116.0 million) as compared with RMB799.4 million in the prior year period.
Non-GAAP net margin attributable to Vipshop's
shareholders[7] for the first quarter of 2018 was 3.7%
as compared with 5.0% in the prior year period. Non-GAAP net income
attributable to Vipshop's shareholders per diluted
ADS[8] was RMB1.05
(US$0.17) as compared with
RMB1.31 in the prior year period.
For the quarter ended March 31,
2018, the Company's weighted average number of ADSs used in
computing diluted income per ADS was 702,451,555.
BALANCE SHEET AND CASH FLOW
As of March 31, 2018, the Company
had cash and cash equivalents and restricted cash of RMB7.4 billion (US$1.2
billion) and short term investments of RMB1.8 billion (US$288.1
million).
For the quarter ended March 31,
2018, net cash from operating activities was RMB171.2 million (US$27.3
million), and free cash flow[9], a non-GAAP
measurement of liquidity, was as follows:
For the three months
ended
|
|
Mar 31,
2017
RMB'000
|
Mar 31,
2018
RMB'000
|
Mar 31,
2018
US$'000
|
Net cash from
operating activities
|
736,744
|
171,245
|
27,300
|
Add: Impact from
Internet financing activities[10]
|
277,524
|
(718,952)
|
(114,618)
|
Less: Capital
expenditures
|
(585,462)
|
(816,167)
|
(130,116)
|
Free cash flow
in/(out)
|
428,806
|
(1,363,874)
|
(217,434)
|
For the trailing twelve months ended
|
Mar 31,
2017
RMB'000
|
Mar 31,
2018
RMB'000
|
Mar 31,
2018
US$'000
|
Net cash from
operating activities
|
3,414,946
|
415,752
|
66,281
|
Add: Impact from
Internet financing activities[10]
|
2,557,169
|
2,304,275
|
367,356
|
Less: Capital
expenditures
|
(2,715,495)
|
(2,705,155)
|
(431,265)
|
Free cash flow
in
|
3,256,620
|
14,872
|
2,372
|
Accounting Pronouncements Adopted During the Quarter
Ended March 31, 2018
In May 2014, the Financial
Accounting Standards Board ("FASB") issued an Accounting Standards
Update ("ASU") amending revenue recognition guidance and requiring
more detailed disclosures to enable users of financial statements
to understand the nature, amount, timing and uncertainty of revenue
and cash flows arising from customer contracts. The Company adopted this ASU on
January 1, 2018 for all revenue
contracts with our customers using the modified retrospective
approach and increased retained earnings by approximately
RMB176.4 million (US$28.1 million). In addition, the impact of
applying this ASU for the three months ended March 31, 2018 primarily resulted in an increase
in product sales and a change in deferred revenue driven by the
Weipin Coins that are now accounted as a single performance
obligation and identified as variable consideration.
The Company offers customers with an unconditional right of
return for a period of 7 days upon receipt of products on sales
from its platforms. Under the previous revenue standard, revenue
was deferred until the 7 days return period expired. However, under the new revenue
standard, revenue is recognized at the point of time when the
control of goods has been passed to the customers upon the receipt
of goods by the customers. The Company makes accrual on the
expected sales returns in relation to the 7 day unconditional
return policy.
Business Outlook
For the second quarter of 2018, the Company expects its total
net revenue to be between RMB20.5
billion and RMB21.3 billion,
representing a year-over-year growth rate of approximately 17% to
22%. These forecasts reflect the Company's current and preliminary
view on the market and operational conditions, which is subject to
change.
Exchange Rate
The Company's business is primarily conducted in China and the significant majority of revenues
generated are denominated in Renminbi ("RMB"). This announcement contains currency
conversions of RMB amounts into U.S. dollars ("US$") solely for the
convenience of the reader. Unless otherwise noted, all translations
from RMB to US$ are made at a rate of RMB6.2726 to US$1.00, the effective noon buying rate for
March 30, 2018 as set forth in the
H.10 statistical release of the Federal Reserve Board. No
representation is made that the RMB amounts could have been, or
could be, converted, realized or settled into US$ at that rate on
March 30, 2018, or at any other
rate.
Conference Call Information
The Company will hold a conference call on Tuesday, May 15, 2018 at 8:00 am Eastern Time or 8:00 pm Beijing Time to discuss its financial
results and operating performance for the first quarter of
2018.
United
States:
|
+1-845-675-0438
|
International Toll
Free:
|
+1-855-500-8701
|
China
Domestic:
|
400-1200-654
|
Hong Kong:
|
+852-3018-6776
|
Conference
ID:
|
#1856707
|
The replay will be accessible through May
23, 2018 by dialing the following numbers:
United States Toll
Free:
|
+1-855-452-5696
|
International:
|
+61-2-9003-4211
|
Conference
ID:
|
#1856707
|
A live and archived webcast of the conference call will also be
available at the Company's investor relations website at
http://ir.vip.com.
About Vipshop Holdings Limited
Vipshop Holdings Limited is a leading online discount retailer
for brands in China. Vipshop
offers high quality and popular branded products to consumers
throughout China at a significant
discount to retail prices. Since it was founded in August 2008, the Company has rapidly built a
sizeable and growing base of customers and brand partners. For more
information, please visit www.vip.com.
Safe Harbor Statement
This announcement contains forward-looking statements. These
statements are made under the "safe harbor" provisions of the U.S.
Private Securities Litigation Reform Act of 1995. These
forward-looking statements can be identified by terminology such as
"will," "expects," "anticipates," "future," "intends," "plans,"
"believes," "estimates" and similar statements. Among other things,
the business outlook and quotations from management in this
announcement, as well as Vipshop's strategic and operational plans,
contain forward-looking statements. Vipshop may also make written
or oral forward-looking statements in its periodic reports to the
U.S. Securities and Exchange Commission (the "SEC"), in its annual
report to shareholders, in press releases and other written
materials and in oral statements made by its officers, directors or
employees to third parties. Statements that are not historical
facts, including statements about Vipshop's beliefs and
expectations, are forward-looking statements. Forward-looking
statements involve inherent risks and uncertainties. A number of
factors could cause actual results to differ materially from those
contained in any forward-looking statement, including but not
limited to the following: Vipshop's goals and strategies; Vipshop's
future business development, results of operations and financial
condition; the expected growth of the online discount retail market
in China; Vipshop's ability to
attract customers and brand partners and further enhance its brand
recognition; Vipshop's expectations regarding demand for and market
acceptance of flash sales products and services; competition in the
discount retail industry; fluctuations in general economic and
business conditions in China and
assumptions underlying or related to any of the foregoing. Further
information regarding these and other risks is included in
Vipshop's filings with the SEC. All information provided in this
press release and in the attachments is as of the date of this
press release, and Vipshop does not undertake any obligation to
update any forward-looking statement, except as required under
applicable law.
Use of Non-GAAP Financial Measures
The condensed consolidated financial information is derived from
the Company's unaudited interim condensed consolidated financial
statements prepared in conformity with accounting principles
generally accepted in the United States
of America ("U.S. GAAP"), except that the consolidated
statements of cash flows, and the detailed footnote disclosure
required by Accounting Standards Codification 270, Interim
Reporting ("ASC270"), have not been omitted. Vipshop uses non-GAAP
net income attributable to Vipshop's shareholders, non-GAAP net
income attributable to Vipshop's shareholders per diluted ADS,
non-GAAP income from operations, non-GAAP operating income margin,
non-GAAP net margin attributable to Vipshop's shareholders, and
free cash flow, each of which is a non-GAAP financial measure.
Non-GAAP net income attributable to Vipshop's shareholders is net
income attributable to Vipshop's shareholders excluding share-based
compensation expenses, impairment loss of investments, and
amortization of intangible assets resulting from business
acquisitions and equity method investments. Non-GAAP net income
attributable to Vipshop's shareholders per diluted ADS is computed
using non-GAAP net income attributable to Vipshop's shareholders
divided by weighted average number of diluted ADS outstanding for
computing diluted earnings per ADS. Non-GAAP income from operations
is income from operations excluding share-based compensation
expenses and amortization of intangible assets resulting from
business acquisitions. Non-GAAP operating income margin is non-GAAP
income from operations as a percentage of total net revenue.
Non-GAAP net margin attributable to Vipshop's shareholders is
non-GAAP net income attributable to Vipshop's shareholders as a
percentage of total net revenue. Free cash flow is the operating
cash flow adding back the impact from Internet financing activities
and less capital expenditures, which include purchase of property
and equipment, purchase and deposits of land use rights, and
purchase of other assets. Impact from Internet financing activities
added back or deducted from free
cash flow contains changes in the balances of financial products,
which are primarily consumer financing, supplier financing and
cooperative lending that the Company provides to customers,
suppliers and individuals respectively. The Company believes that
separate analysis and exclusion of the non-cash impact of
share-based compensation, impairment loss of investments and
amortization of intangible assets adds clarity to the constituent
parts of its performance. The Company reviews these non-GAAP
financial measures together with GAAP financial measures to obtain
a better understanding of its operating performance. It uses these
non-GAAP financial measures for planning, forecasting and measuring
results against the forecast. The Company believes that non-GAAP
financial measures are useful supplemental information for
investors and analysts to assess its operating performance without
the effect of non-cash share-based compensation expenses,
impairment loss of investments, and amortization of intangible
assets. Free cash flow enables the Company to assess liquidity and
cash flow, taking into account the impact from Internet financing
activities and the financial resources needed for the expansion of
fulfillment infrastructure and technology platform. Share-based
compensation expenses and amortization of intangible assets have
been and will continue to be significant recurring expenses in its
business. However, the use of non-GAAP financial measures has
material limitations as an analytical tool. One of the limitations
of using non-GAAP financial measures is that they do not include
all items that impact the Company's net income for the period. In
addition, because non-GAAP financial measures are not measured in
the same manner by all companies, they may not be comparable to
other similar titled measures used by other companies. One of the
key limitations of free cash flow is that it does not represent the
residual cash flow available for discretionary expenditures.
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 U.S. GAAP. For more information on these non-GAAP financial
measures, please see the table captioned "Vipshop Holdings Limited
Reconciliations of GAAP and Non-GAAP Results" at the end of this
release.
Investor Relations Contact
Jessie Fan
Tel: +86 (20) 2233-0732
Email: IR@vipshop.com
[1]
"Active customers" are defined as registered members who have
purchased from the Company or the Company's online marketplace
platforms at least once during the relevant period.
|
[2] "Total
orders" are defined as the total number of orders placed during the
relevant period, including the orders for products and services
sold in the Company's online sales business and on the Company's
online marketplace platforms, net of orders returned.
|
[3] Non-GAAP net income
attributable to Vipshop's shareholders is a non-GAAP financial
measure, which is defined as net income attributable to Vipshop's
shareholders excluding share-based compensation expenses,
impairment loss of investments, and amortization of intangible
assets resulting from business acquisitions and equity method
investments.
|
[4]
Non-GAAP income from operations is a non-GAAP financial measure,
which is defined as income from operations excluding share-based
compensation expenses and amortization of intangible assets
resulting from business acquisitions.
|
[5]
Non-GAAP operating income margin is a non-GAAP financial measure,
which is defined as non-GAAP income from operations as a percentage
of total net revenues.
|
[6] "ADS"
means American depositary share, each of which represents 0.2 Class
A ordinary share.
|
[7]
Non-GAAP net margin attributable to Vipshop's shareholders is a
non-GAAP financial measure, which is defined as non-GAAP net income
attributable to Vipshop's shareholders, as a percentage of total
net revenues.
|
[8]
Non-GAAP net income attributable to Vipshop's shareholders per
diluted ADS is a non-GAAP financial measure, which is defined as
non-GAAP net income attributable to Vipshop's shareholders, divided
by weighted average number of diluted ADS outstanding for computing
diluted earnings per ADS.
|
[9] Free
cash flow is a non-GAAP financial measure, which means the
operating cash flow adding back the impact from Internet financing
activities and less capital expenditures, which include purchase of
property and equipment, purchase and deposits of land use rights,
and purchase of other assets.
|
[10]
Impact from Internet financing activities added back to (deducted
from) free cash flow contains changes in the balances of financial
products, which are primarily consumer financing, supplier
financing and cooperative lending that the Company provides to
customers, suppliers and individuals respectively.
|
Vipshop Holdings
Limited
|
Unaudited
Condensed Consolidated Statements of Income and Comprehensive
Income
|
(In thousands,
except per share data)
|
|
Three Months
Ended
|
|
March
31,2017
|
March
31,2018
|
March
31,2018
|
|
RMB'000
|
RMB'000
|
USD'000
|
|
|
|
|
Product
revenues
|
15,606,804
|
19,367,515
|
3,087,637
|
Other revenues
(1)
|
346,141
|
503,113
|
80,208
|
Total net
revenues
|
15,952,945
|
19,870,628
|
3,167,845
|
Cost of
revenues
|
(12,258,473)
|
(15,861,214)
|
(2,528,651)
|
Gross
profit
|
3,694,472
|
4,009,414
|
639,194
|
Operating
expenses:
|
|
|
|
Fulfillment expenses
(2)
|
(1,436,200)
|
(1,733,697)
|
(276,392)
|
Marketing
expenses
|
(729,549)
|
(645,342)
|
(102,883)
|
Technology and
content expenses
|
(419,533)
|
(466,354)
|
(74,348)
|
General and
administrative expenses (3)
|
(542,172)
|
(613,602)
|
(97,823)
|
Total operating
expenses
|
(3,127,454)
|
(3,458,995)
|
(551,446)
|
Other operating
income
|
169,578
|
112,273
|
17,899
|
Income from
operations
|
736,596
|
662,692
|
105,647
|
Interest
expenses
|
(25,113)
|
(28,945)
|
(4,615)
|
Interest
income
|
25,860
|
60,334
|
9,619
|
Exchange
loss
|
(10,437)
|
(63,738)
|
(10,161)
|
Income before income
taxes and share of result of affiliates
|
726,906
|
630,343
|
100,490
|
Income tax expenses
(4)
|
(165,911)
|
(106,481)
|
(16,975)
|
Share of (loss) gain
of affiliates
|
(17,686)
|
737
|
118
|
Net income
|
543,309
|
524,599
|
83,633
|
Net loss attributable
to noncontrolling interests
|
8,608
|
5,129
|
818
|
Net income
attributable to Vipshop's shareholders
|
551,917
|
529,728
|
84,451
|
|
|
|
|
Shares used in
calculating earnings per share (5):
|
|
|
|
Class A and Class B
ordinary shares:
|
|
|
|
—Basic
|
116,819,173
|
131,605,256
|
131,605,256
|
—Diluted
|
125,067,816
|
140,490,311
|
140,490,311
|
|
|
|
|
Net earnings per
Class A and Class B share
|
|
|
|
Net income
attributable to Vipshop's shareholders--Basic
|
4.72
|
4.03
|
0.64
|
Net income
attributable to Vipshop's shareholders--Diluted
|
4.59
|
3.86
|
0.62
|
|
|
|
|
Net earnings per ADS
(1 ordinary share equals to 5 ADSs)
|
|
|
|
Net income
attributable to Vipshop's shareholders--Basic
|
0.94
|
0.81
|
0.13
|
Net income
attributable to Vipshop's shareholders--Diluted
|
0.92
|
0.77
|
0.12
|
(1) Other revenues
primarily consist of revenues from third-party logistics services,
product
promotion and online advertising, fees charged to third-party
merchants which the Company
provides platform access for sales of their products,and inventory
and warehouse management
services to certain suppliers.
|
(2) Fulfillment
expenses include shipping and handling expenses, which amounted RMB
771
million and RMB 1.01 billion in the three month periods ended
March 31,2017 and March 31,2018,
respectively.
|
(3) General and
administrative expenses include amortization of intangible assets
resulting from
business acquisitions, which amounted to RMB 87 million and RMB 44
million in the three months
period ended March 31,2017 and March 31,2018,
respectively.
|
(4) Income tax
expenses include income tax benefits of RMB 22 million and RMB 11
million related
to the reversal of deferred tax liabilities, which was recognized
on business acquisitions for the
three months period ended March 31,2017 and March 31,2018,
respectively.
|
(5) Authorized
share capital is re-classified and re-designated into Class A
ordinary shares and
Class B ordinary shares, with each Class A ordinary share being
entitled to one vote and each
Class B ordinary share being entitled to ten votes on all matters
that are subject to shareholder
vote.
|
|
|
|
|
|
|
|
|
Net income
|
543,309
|
524,599
|
83,633
|
Other comprehensive
income, net of tax:
|
|
|
|
Foreign currency
translation adjustments
|
25,243
|
(20,868)
|
(3,327)
|
Unrealized gain from
available-for-sale investments
|
22,451
|
0
|
0
|
Comprehensive
income
|
591,003
|
503,731
|
80,306
|
Less: Comprehensive
loss attributable to noncontrolling interests
|
(8,608)
|
(5,129)
|
(818)
|
Comprehensive income
attributable to Vipshop's shareholders
|
599,611
|
508,860
|
81,124
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
March
31,2017
|
March
31,2018
|
March
31,2018
|
|
RMB'000
|
RMB'000
|
USD'000
|
Share-based
compensation expenses included are as follows
|
|
|
|
Fulfillment
expenses
|
18,096
|
19,130
|
3,050
|
Marketing
expenses
|
10,298
|
10,834
|
1,727
|
Technology and
content expenses
|
51,832
|
54,233
|
8,646
|
General and
administrative expenses
|
100,147
|
87,117
|
13,888
|
Total
|
180,373
|
171,314
|
27,311
|
|
|
|
|
|
|
|
|
|
|
|
|
Vipshop Holdings
Limited
|
|
Unaudited
Condensed Consolidated Balance Sheets
|
|
(In thousands,
except per share data)
|
|
|
December
31,2017
|
March
31,2018
|
March
31,2018
|
|
RMB'000
|
RMB'000
|
USD'000
|
ASSETS
|
|
|
|
CURRENT
ASSETS
|
|
|
|
Cash and cash
equivalents
|
9,973,891
|
7,008,102
|
1,117,256
|
Restricted
cash
|
248,101
|
348,476
|
55,555
|
Short term
investments
|
245,981
|
1,806,977
|
288,075
|
Accounts receivable,
net
|
4,803,527
|
4,520,362
|
720,652
|
Amounts due from
related parties
|
10,191
|
9,641
|
1,537
|
Other receivables and
prepayments,net
|
3,674,196
|
3,468,664
|
552,987
|
Loan
Receivables,net
|
0
|
164,458
|
26,218
|
Inventories
|
6,960,251
|
5,081,878
|
810,171
|
Total current
assets
|
25,916,138
|
22,408,558
|
3,572,451
|
NON-CURRENT
ASSETS
|
|
|
|
Property and
equipment, net
|
6,660,825
|
6,701,593
|
1,068,392
|
Deposits for property
and equipment
|
307,859
|
441,270
|
70,349
|
Land use rights,
net
|
3,077,770
|
3,309,546
|
527,620
|
Intangible assets,
net
|
400,994
|
355,776
|
56,719
|
Investment in
affiliates
|
66,334
|
65,634
|
10,464
|
Other
investments
|
387,640
|
376,613
|
60,041
|
Available-for-sale
investments
|
146,282
|
142,571
|
22,729
|
Other long-term
assets
|
366,760
|
415,464
|
66,235
|
Goodwill
|
367,106
|
367,106
|
58,525
|
Deferred tax
assets
|
285,112
|
355,739
|
56,713
|
Total non-current
assets
|
12,066,682
|
12,531,312
|
1,997,787
|
TOTAL
ASSETS
|
37,982,820
|
34,939,870
|
5,570,238
|
|
|
|
|
LIABILTIES
AND EQUITY
|
|
|
|
CURRENT
LIABILITIES
|
|
|
|
Short term loans
(Including short term loans of the VIE without recourse to
the Company of nil and nil as of December 31, 2017 and March
31, 2018,
respectively)
|
907,310
|
751,000
|
119,727
|
Accounts payable
(Including accounts payable of the VIE without recourse
to the Company of RMB 87,926 and RMB 25,917 as of
December 31, 2017
and March 31, 2018, respectively)
|
11,445,109
|
9,569,787
|
1,525,649
|
Advance from
customers (Including advance from customers of the VIE
without recourse to the Company of RMB 965,275 and RMB
720,916 as of
December 31, 2017 and March 31, 2018,
respectively)
|
2,339,914
|
1,157,942
|
184,603
|
Accrued expenses and
other current liabilities (Including accrued expenses
and other current liabilities of the VIE without recourse to the
Company of
RMB 1,618,716 and RMB 1,379,548 as of December
31, 2017 and March
31, 2018, respectively)
|
3,537,151
|
3,284,473
|
523,622
|
Amounts due to
related parties (Including amounts due to related parties of
the VIE without recourse to the Company of RMB 616 and RMB 276 as
of
December 31, 2017 and March 31, 2018,
respectively)
|
65,022
|
46,799
|
7,461
|
Deferred income
(Including deferred income of the VIE without recourse to
the Company of RMB 54,543 and RMB 79,651 as of December 31,
2017
and March 31, 2018, respectively)
|
203,179
|
237,003
|
37,784
|
Securitization debt
(Including securitization debt of the VIE without recourse to
the Company of nil and nil as of December 31, 2017
and March 31, 2018,
respectively)
|
760,000
|
475,000
|
75,726
|
Convertible senior
notes
|
0
|
3,947,818
|
629,375
|
Total current
liabilities
|
19,257,685
|
19,469,822
|
3,103,947
|
NON-CURRENT
LIABILITIES
|
|
|
|
Deferred tax
liability (Including deferred tax of the VIE without recourse to
the
Company of RMB 4,224 and nil as of December
31, 2017 and March 31,
2018, respectively)
|
17,007
|
6,329
|
1,009
|
Deferred income-non
current (Including deferred income-non current of the
VIE without recourse to the Company of RMB 838 and RMB
480 as of
December 31, 2017 and March 31, 2018,
respectively)
|
362,649
|
360,872
|
57,532
|
Convertible senior
notes
|
4,094,903
|
0
|
0
|
Total non-current
liabilities
|
4,474,559
|
367,201
|
58,541
|
Total
liabilities
|
23,732,244
|
19,837,023
|
3,162,488
|
|
|
|
|
EQUITY:
|
|
|
|
Class A ordinary
shares (US$0.0001 par value, 483,489,642 shares
authorized, and 114,716,587 and 115,293,345 shares issued and
outstanding as of December 31, 2017 and March 31, 2018,
respectively)
|
74
|
75
|
12
|
Class B ordinary
shares (US$0.0001 par value, 16,510,358 shares
authorized, and 16,510,358 and 16,510,358 shares issued and
outstanding as of December 31, 2017 and March 31, 2018,
respectively)
|
11
|
11
|
2
|
Additional paid-in
capital
|
8,715,995
|
8,887,813
|
1,416,927
|
Retained
earnings
|
5,602,681
|
6,309,130
|
1,005,824
|
Accumulated other
comprehensive loss
|
(24,242)
|
(45,109)
|
(7,192)
|
Noncontrolling
interests
|
(43,943)
|
(49,073)
|
(7,823)
|
Total shareholders'
equity
|
14,250,576
|
15,102,847
|
2,407,750
|
TOTAL LIABILITIES AND
SHAREHOLDERS' EQUITY
|
37,982,820
|
34,939,870
|
5,570,238
|
|
|
|
|
|
|
|
|
Vipshop Holdings
Limited
|
|
Reconciliations of GAAP and Non-GAAP
Results
|
|
|
Three Months
Ended
|
|
March
31,2017
|
March
31,2018
|
March
31,2018
|
|
RMB'000
|
RMB'000
|
USD'000
|
Income from
operations
|
736,596
|
662,692
|
105,647
|
Share-based
compensation expenses
|
180,373
|
171,314
|
27,311
|
Amortization of
intangible assets resulting from business acquisitions
|
87,186
|
44,055
|
7,023
|
Non-GAAP income from
operations
|
1,004,155
|
878,061
|
139,981
|
|
|
|
|
|
|
|
|
Net income
|
543,309
|
524,599
|
83,633
|
Share-based
compensation expenses
|
180,373
|
171,314
|
27,311
|
Amortization of
intangible assets resulting from business acquisitions
and equity method investments
|
101,615
|
44,055
|
7,023
|
Tax effect of
amortization of intangible assets resulting from business
acquisitions
|
(21,797)
|
(11,014)
|
(1,756)
|
Non-GAAP net
income
|
803,500
|
728,954
|
116,211
|
|
|
|
|
|
|
|
|
Net income
attributable to Vipshop's shareholders
|
551,917
|
529,728
|
84,451
|
Share-based
compensation expenses
|
180,373
|
171,314
|
27,311
|
Amortization of
intangible assets resulting from business acquisitions and
equity method investments
|
84,721
|
35,573
|
5,671
|
Tax effect of
amortization of intangible assets resulting from business
acquisitions
|
(17,573)
|
(8,893)
|
(1,418)
|
|
|
|
|
Non-GAAP net income
attributable to Vipshop's shareholders
|
799,438
|
727,722
|
116,015
|
|
|
|
|
|
|
|
|
Shares used in
calculating earnings per share:
|
|
|
|
Basic ordinary
shares:
|
|
|
|
Class A and Class B
ordinary shares:
|
|
|
|
--Basic
|
116,819,173
|
131,605,256
|
131,605,256
|
--Diluted
|
125,067,816
|
140,490,311
|
140,490,311
|
|
|
|
|
Non-GAAP net income
per Class A and Class B share
|
|
|
|
Non-GAAP net income
attributable to Vipshop's shareholders--Basic
|
6.84
|
5.53
|
0.88
|
Non-GAAP net income
attributable to Vipshop's shareholders--Diluted
|
6.57
|
5.27
|
0.84
|
|
|
|
|
|
|
|
|
Non-GAAP net income
per ADS (1 ordinary share equal to 5 ADSs)
|
|
|
|
Non-GAAP net income
attributable to Vipshop's shareholders--Basic
|
1.37
|
1.11
|
0.18
|
Non-GAAP net income
attributable to Vipshop's shareholders--Diluted
|
1.31
|
1.05
|
0.17
|
View original
content:http://www.prnewswire.com/news-releases/vipshop-reports-unaudited-first-quarter-2018-financial-results-300647578.html
SOURCE Vipshop Holdings Limited