GUANGZHOU, China, Aug. 13, 2018 /PRNewswire/ -- HUYA Inc. ("Huya"
or the "Company") (NYSE: HUYA), a leading game live streaming
platform in China, today announced
its unaudited financial results for the second quarter ended
June 30, 2018.
Second Quarter 2018 Financial and Operating
Highlights
- Total net revenues[1] for the second quarter of 2018
increased by 125.1% to RMB1,038.3
million (US$156.9 million),
from RMB461.4 million in the same
period of 2017.
- Non-GAAP net income attributable to Huya[2] was
RMB105.4 million (US$15.9 million) for the second quarter of 2018,
compared with a non-GAAP net loss attributable to Huya of
RMB9.3 million in the same period of
2017.
- Average mobile MAUs[3] in the second quarter of 2018
reached 42.7 million, representing an increase of 24.7% from 34.2
million in the second quarter of 2017.
- Average MAUs[4] in the second quarter of 2018 reached
91.5 million, representing an increase of 10.8% from 82.5 million
in the second quarter of 2017.
- Total number of paying users[5] in the second quarter of
2018 reached 3.4 million, representing an increase of 40.7% from
2.4 million in the second quarter of 2017.
Mr. Rongjie Dong, Chief Executive
Officer of Huya, commented, "We are pleased to continue our strong
growth momentum in the second quarter of 2018, recording revenue
growth of 125.1% year-over-year, mainly driven by our fast-growing
mobile user base that reached 42.7 million, representing nearly 50%
of our total user base. We will focus on enhancing the user
experience on our mobile applications to capitalize on user
migration to mobile engagement.
"As the leading player in the game live streaming market in
China, we are devoted to building
a vibrant content ecosystem that empowers a vast number of
broadcasters and content creators across our scalable and advanced
technology platform, aiming to attract and engage a larger user
base. Thrilled with the growth opportunities in the e-sports area,
we will also continue to expand and deepen partnerships with a
variety of key players in the e-sports sector in China and across the globe to maximize our
content coverage, and in turn further enhance user engagement
within our ecosystem."
Mr. Dong concluded, "The second quarter of 2018 was a
constructive quarter for Huya as we successfully carried out our
core business strategy. With our commitment to enriching content
offerings and advancing technological capabilities, we are
confident that we are well positioned to capture new monetization
opportunities in the long run."
Mr. Henry Sha, Chief Financial
Officer of Huya, commented, "Our second quarter financial
performance underscores our robust growth trajectory. Notably, our
total net revenues reached a record high of RMB1,038.3 million, an increase of 125.1% from
same period one year ago. This strong growth demonstrates our
improving monetization capabilities and thriving market
opportunities. We are also pleased to see gross margin expansion of
approximately 50 basis points quarter-over-quarter as a result of
strong topline growth and improvement in our operating leverage
during the second quarter. In the near term, our expansion will
remain focused on growing the user base and enhancing user
engagement which might require incremental investment in content
and technologies. Our robust performance in the quarter reinforces
our confidence to execute our user growth strategy through
collaborations in the content ecosystem centered around the Huya
platform."
[1]
|
On January 1, 2018,
the Company adopted ASC 606, "Revenue from Contracts with
Customers" using the modified retrospective method applied to those
contracts which were not completed as of January 1, 2018. Based on
the Company's assessment, the adoption of ASC 606 did not have any
material impact on Huya's consolidated financial
statements.
|
|
|
[2]
|
"Non-GAAP net (loss)
income attributable to Huya" is defined as net (loss) income
attributable to Huya before share-based compensation expenses, fair
value loss on derivative liabilities, and gain on fair value change
of investments and equity investee's investments. These adjustments
amounted to RMB2,230.8 million (US337.1 million) and RMB5.7 million
in the second quarter of 2018 and 2017, respectively. For more
information, refer to "Use of Non-GAAP Financial Measures" and
"Reconciliations of GAAP and Non-GAAP Results" at the end of this
press release.
|
|
|
[3]
|
Refers to average
monthly active users on the Huya Live mobile app. Average mobile
MAU for any period is calculated by dividing (i) the sum of active
users on the Huya Live mobile app for each month of such period, by
(ii) the number of months in such period.
|
|
|
[4]
|
Refers to average
monthly active users. Average MAU for any period is calculated by
dividing (i) the sum of active users for each month of such period,
by (ii) the number of months in such period.
|
|
|
[5]
|
Refers to a
registered user that has purchased virtual items on Huya's platform
at least once during the period presented.
|
Second Quarter 2018 Financial Results
Total net revenues for the second quarter of 2018
increased by 125.1% to RMB1,038.3
million (US$156.9 million),
from RMB461.4 million in the same
period of 2017.
Live streaming revenues increased by 124.5% to
RMB991.8 million (US$149.9 million) in the second quarter of 2018,
from RMB441.8 million in the same
period of 2017, primarily due to the increase in spending per
paying user and the increase in the number of paying users on
Huya's platform. The increase in the number of paying users was
primarily driven by the Company's mobilization strategy,
diversification of content offerings on Huya's platform and
continuous efforts in converting active users into paying
users.
Advertising and other revenues increased by 138.1% to
RMB46.5 million (US$7.0 million) in the second quarter of 2018,
from RMB19.5 million in the same
period of 2017. This increase reflected the Company's continuous
efforts to expand the advertising services business and monetize
the traffic and streaming content with its business partners.
Cost of revenues increased by 115.9% to RMB872.0 million (US$131.8
million) in the second quarter of 2018, from RMB403.9 million in the same period of 2017,
primarily attributable to the increase in revenue sharing fees and
content costs as well as bandwidth costs. Revenue sharing fees and
content costs increased by 130.3% to RMB661.2 million (US$99.9
million) in the second quarter of 2018 from RMB287.1 million in the same period of 2017,
primarily due to the increase in sales of virtual items on Huya's
platform and continued spending in e-sports content and content
creators. Bandwidth costs increased by 78.4% to RMB161.0 million (US$24.3
million) in the second quarter of 2018 from RMB90.3 million in the same period of 2017,
primarily due to an increase in bandwidth usage as a result of
increased average MAUs on Huya's platform and enhanced live
streaming video quality improvement, partially offset by improved
efficiency in bandwidth utilization by deploying new technologies
in content distribution.
Gross profit increased by 189.5% to RMB166.4 million (US$25.1
million) in the second quarter of 2018 from RMB57.5 million in the same period of 2017.
Gross margin increased to 16.0% in the second quarter of
2018 from 12.5% in the same period of 2017, primarily due to Huya's
enhanced monetization efforts and continued leverage on economies
of scale.
Research and development expenses increased by 70.7% to
RMB60.0 million (US$9.1 million) for the second quarter of 2018
from RMB35.1 million for the second
quarter of 2017, mainly attributable to the increase in the
salaries and welfare of research and development personnel.
Sales and marketing expenses increased by 95.6% to
RMB41.7 million (US$6.3 million) for the second quarter of 2018
from RMB21.3 million for the second
quarter of 2017, mainly attributable to the increase of marketing
and promotion expenses due to enhanced efforts in promoting Huya's
brand awareness and cooperating with various marketing
channels.
General and administrative expenses increased by 395.2%
to RMB88.5 million (US$13.4 million) for the second quarter of 2018
from RMB17.9 million for the second
quarter of 2017, mainly due to the increase in stock-based
compensation expenses related to the share awards newly granted in
the first quarter of 2018 and salaries and welfare of management
personnel.
Operating loss was RMB17.3
million (US$2.6 million) for
the second quarter of 2018, compared with an operating loss of
RMB16.8 million in the same period of
2017.
Non-GAAP operating income, which excludes share-based
compensation expenses, was RMB56.8
million (US$8.6 million) for
the second quarter of 2018, compared with a non-GAAP operating loss
of RMB11.1 million in the same period
of 2017.
Net loss attributable to HUYA Inc. was
RMB2,125.4 million (US$321.2 million) for the second quarter of 2018,
compared with a net loss attributable to HUYA Inc. of RMB15.0 million in the same period of 2017. The
Company recorded a fair value loss of RMB2,273.4 million (US$343.6 million) on derivative liabilities of
preferred shares that existed before the Company's initial public
offering, resulting from the increase in HUYA Inc.'s enterprise
value as indicated by the price of its initial public offering.
Such fair value loss on derivative liabilities is related to the
conversion features, which needed to be bifurcated and accounted
for as derivative liabilities in the second quarter of 2018. Upon
completion of the initial public offering, the derivative
liabilities were derecognized and all of the balances were
reclassified to additional paid-in capital.
Non-GAAP net income attributable to HUYA Inc. in the
second quarter of 2018, which excludes share-based compensation
expenses, fair value loss on derivative liabilities and gain on
fair value change of investments and equity investee's investments,
was RMB105.4 million (US$15.9 million), compared with a non-GAAP net
loss attributable to HUYA Inc. of RMB9.3
million in the same period of 2017.
Diluted net loss per American Depositary Share ("ADS")
was RMB13.70 (US$2.07) for the second quarter of 2018,
compared with diluted net loss per ADS of RMB0.15 for the same period of 2017. Each ADS
represents one Class A ordinary share.
Non-GAAP diluted net income per ADS was RMB0.37 (US$0.06)
for the second quarter of 2018, compared with non-GAAP diluted net
loss per ADS of RMB0.09 for the same
period of 2017.
Balance Sheets and Cash Flows
As of June 30, 2018, the Company
had cash, cash equivalents, short-term deposits and short-term
investments of RMB5,514.7 million
(US$833.4 million), compared with
RMB1,035.8 million as of December 31, 2017. The increase was primarily due
to net proceeds raised in the Company's initial public offering in
May 2018 and from the Series B
financing in March 2018.
Net cash provided by operating activities was RMB105.6 million (US$16.0
million) for the second quarter of 2018, compared with net
cash provided by operating activities of RMB79.8 million in the same period of 2017.
Business Outlook
For the third quarter of 2018, Huya currently expects total net
revenues to be in the range of RMB1,190
million to RMB1,220 million,
representing a year-over-year growth of 103.9% to 109.1%. This
forecast reflects the Company's current and preliminary views on
the market and operational conditions, which are subject to
change.
Conference Call
The Company's management will host an earnings conference call
at 8:00 PM U.S. Eastern Time on
August 13, 2018 (8:00 AM Beijing/Hong
Kong time on August 14,
2018).
Dial-in details for the earnings conference call are as
follows:
United States (toll
free):
|
+1-888-317-6003
|
International:
|
+1-412-317-6061
|
Hong Kong (toll
free):
|
800-963-976
|
Hong Kong:
|
+852-5808-1995
|
China (toll
free)
|
400-120-6115
|
Elite Entry
Number:
|
7810485
|
Participants should dial-in at least 10 minutes before the
scheduled start time and ask to be connected to the call for "HUYA
Inc" with the Elite Entry number as set forth above.
Additionally, a live and archived webcast of the conference call
will be available on the Company's investor relations website at
http://ir.huya.com.
A replay of the conference call will be accessible approximately
one hour after the conclusion of the live call until August 20, 2018, by dialing the following
telephone numbers:
United States (toll
free):
|
+1-877-344-7529
|
International:
|
+1-412-317-0088
|
Replay Access
Code:
|
10122916
|
About HUYA Inc.
HUYA Inc. is a leading game live streaming platform in
China with a large and active game
live streaming community. The Company cooperates with e-sports
event organizers, as well as major game developers and publishers,
and has developed e-sports live streaming as one of the most
popular content genres on its platform. The Company has created an
engaged, interactive and immersive community for game enthusiasts
of China's young generation.
Building on its success in game live streaming, Huya has also
extended its content to other entertainment content genres. Huya's
open platform also functions as a marketplace for broadcasters and
talent agencies to congregate and closely collaborate with the
Company.
Use of Non-GAAP Financial Measures
The unaudited condensed consolidated financial information is
prepared in conformity with accounting principles generally
accepted in the United States of
America ("U.S. GAAP"), except that the consolidated
statement of changes in shareholders' equity (deficit),
consolidated statements of cash flows, and the detailed notes have
not been presented. Huya uses non-GAAP operating (loss) income,
non-GAAP net (loss) income attributable to HUYA Inc.,
non-GAAP net (loss) income attributable to ordinary shareholders,
and non-GAAP basic and diluted net (loss) income per ADS, which are
non-GAAP financial measures. Non-GAAP operating (loss) income is
operating (loss) income excluding share-based compensation
expenses. Non-GAAP net (loss) income attributable to HUYA Inc. is
net (loss) income attributable to HUYA Inc. excluding share-based
compensation expenses, fair value loss on derivative liabilities
and gain on fair value change of investments and equity investee's
investments. Non-GAAP net (loss) income attributable to ordinary
shareholders is net loss attributable to ordinary shareholders
excluding share-based compensation expenses, fair value loss on
derivative liabilities, gain on fair value change of investments
and equity investee's investments and deemed dividend to Series A
redeemable convertible preferred shareholders. Non-GAAP basic and
diluted net (loss) income per ADS is non-GAAP net (loss) income
attributable to ordinary shareholders divided by weighted average
number of ordinary shares used in the calculation of non-GAAP basic
and diluted net (loss) income per ADS. The Company believes that
separate analysis and exclusion of the non-cash impact of (i)
share-based compensation expenses, (ii) fair value loss on
derivative liabilities, (iii) gain on fair value change of
investments and equity investee's investments and (iv) deemed
dividend to Series A redeemable convertible preferred shareholders
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 the non-GAAP financial measure for
planning, forecasting and measuring results against the forecast.
The Company believes that non-GAAP financial measure is useful
supplemental information for investors and analysts to assess its
operating performance without the non-cash effect of (i)
share-based compensation expenses, which have been and will
continue to be significant recurring expenses in its business, (ii)
fair value loss on derivative liabilities and gain on fair value
change of investments and equity investee's investments, which may
not recur in the future, and (iii) deemed dividend to Series A
redeemable convertible preferred shareholders, which may recur when
Huya and its affiliates enter into equity transactions. 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 (loss) 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. In light of the
foregoing limitations, you should not consider non-GAAP financial
measure in isolation from or as an alternative to the financial
measure prepared in accordance with U.S. GAAP.
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 "HUYA Inc. Reconciliations
of GAAP and Non-GAAP Results" near the end of this release.
Exchange Rate Information
This announcement contains translations of certain RMB amounts
into U.S. dollars at a specified rate solely for the convenience of
the reader. Unless otherwise noted, all translations from RMB to
U.S. dollars are made at a rate of RMB6.6171 to US$1.00, the rate in effect as of June 29, 2018 as certified for customs purposes
by the Federal Reserve Bank of New
York.
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 Huya's strategic and operational plans,
contain forward-looking statements. Huya may also make written or
oral forward-looking statements in its periodic reports to the U.S.
Securities and Exchange Commission ("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 Huya'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: Huya's goals and strategies; Huya's future business
development, results of operations and financial condition; the
expected growth of the game live streaming market the expectation
regarding the rate at which to gain active users, especially
paying users; Huya's ability to monetize the user base;
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 Huya'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 Huya does
not undertake any obligation to update any forward-looking
statement, except as required under applicable law.
For investor and media inquiries, please contact:
In China:
HUYA Inc.
Investor Relations
Tel: +86-20-8212-0509
E-mail: ir@huya.com
The Piacente Group, Inc.
Ross Warner
Tel: +86-10-5730-6202
E-mail: huya@tpg-ir.com
In the United States:
The Piacente Group, Inc.
Brandi Piacente
Tel: +1-212-481-2050
E-mail: huya@tpg-ir.com
HUYA
INC.
|
UNAUDITED
CONDENSED CONSOLIDATED BALANCE SHEETS
|
(All amounts in
thousands, except share, ADS, per share and per ADS
data)
|
|
|
As of
December 31,
|
|
As of
June 30,
|
|
2017
|
|
2018
|
|
2018
|
|
RMB
|
|
RMB
|
|
US$
|
|
|
|
|
|
|
Assets
|
|
|
|
|
|
Current
assets
|
|
|
|
|
|
Cash and
cash equivalents
|
442,532
|
|
593,788
|
|
89,735
|
Short-term deposits
|
593,241
|
|
4,772,611
|
|
721,254
|
Short-term investments
|
-
|
|
148,252
|
|
22,404
|
Accounts
receivable, net
|
29,847
|
|
38,420
|
|
5,806
|
Amounts
due from related parties
|
113,311
|
|
100,420
|
|
15,176
|
Prepayments and other current assets
|
71,376
|
|
171,845
|
|
25,970
|
|
|
|
|
|
|
Total current
assets
|
1,250,307
|
|
5,825,336
|
|
880,345
|
|
|
|
|
|
|
Non-current
assets
|
|
|
|
|
|
Deferred
tax assets
|
-
|
|
10,534
|
|
1,592
|
Investments
|
10,299
|
|
211,727
|
|
31,997
|
Property
and equipment, net
|
32,315
|
|
69,532
|
|
10,508
|
Intangible assets, net
|
5,620
|
|
36,568
|
|
5,526
|
Other
non-current assets
|
2,000
|
|
4,647
|
|
702
|
|
|
|
|
|
|
Total non-current
assets
|
50,234
|
|
333,008
|
|
50,325
|
|
|
|
|
|
|
Total
assets
|
1,300,541
|
|
6,158,344
|
|
930,670
|
|
|
|
|
|
|
Liabilities,
mezzanine equity and shareholders' equity
|
|
|
|
|
|
Current
liabilities
|
|
|
|
|
|
Accounts
payable
|
5,796
|
|
6,774
|
|
1,024
|
Deferred
revenue
|
243,419
|
|
289,075
|
|
43,686
|
Advances
from customers
|
3,962
|
|
9,378
|
|
1,417
|
Accrued
liabilities and other current liabilities
|
424,078
|
|
573,338
|
|
86,644
|
Amounts
due to related parties
|
8,395
|
|
24,993
|
|
3,777
|
|
|
|
|
|
|
Total current
liabilities
|
685,650
|
|
903,558
|
|
136,548
|
|
|
|
|
|
|
Non-current
liabilities
|
|
|
|
|
|
Deferred
revenue
|
45,024
|
|
57,887
|
|
8,748
|
Deferred
tax liabilities
|
-
|
|
16,665
|
|
2,518
|
|
|
|
|
|
|
Total non-current
liabilities
|
45,024
|
|
74,552
|
|
11,266
|
|
|
|
|
|
|
Total
liabilities
|
730,674
|
|
978,110
|
|
147,814
|
|
|
|
|
|
|
Mezzanine
equity
|
|
|
|
|
|
Series
A-1 redeemable convertible preferred shares ("Preferred Shares")
(US$0.0001 par value; 17,647,058 shares authorized, issued and
outstanding as of December 31, 2017, and none outstanding as of
June 30, 2018)
|
407,734
|
|
-
|
|
-
|
Series
A-2 Preferred Shares (US$0.0001 par value; 4,411,765 shares
authorized, issued and outstanding as of December 31, 2017, and
none outstanding as of June 30, 2018)
|
101,934
|
|
-
|
|
-
|
|
|
|
|
|
|
Total mezzanine
equity
|
509,668
|
|
-
|
|
-
|
|
|
|
|
|
|
Shareholders'
equity
|
|
|
|
|
|
Class A
ordinary shares (US$0.0001 par value; 249,957,163 and 750,000,000
shares authorized, 992,456 and 44,639,737 shares issued and
outstanding as of December 31, 2017 and June 30, 2018,
respectively)
|
1
|
|
29
|
|
4
|
Class B
ordinary shares (US$0.0001 par value; 99,007,544 and 200,000,000
shares authorized, 99,007,544 and 159,157,321 shares issued and
outstanding as of December 31, 2017 and June 30, 2018,
respectively)
|
66
|
|
104
|
|
16
|
Additional paid-in capital
|
140,792
|
|
7,539,631
|
|
1,139,416
|
Accumulated deficit
|
(80,968)
|
|
(2,545,899)
|
|
(384,745)
|
Accumulated other comprehensive income
|
308
|
|
186,369
|
|
28,165
|
|
|
|
|
|
|
Total
shareholders' equity
|
60,199
|
|
5,180,234
|
|
782,856
|
|
|
|
|
|
|
Total liabilities,
mezzanine equity and shareholders' equity
|
1,300,541
|
|
6,158,344
|
|
930,670
|
HUYA
INC.
UNAUDITED
CONDENSED CONSOLIDATED STATEMENTS OF
(LOSS)
INCOME
(All amounts in
thousands, except share, ADS, per share and per ADS
data)
|
|
|
Three Months
Ended
|
|
Six Months
Ended
|
|
June
30, 2017
|
|
March
31, 2018
|
|
June
30, 2018
|
|
June
30, 2018
|
|
June
30, 2017
|
|
June
30, 2018
|
|
June
30, 2018
|
|
RMB
|
|
RMB
|
|
RMB
|
|
US$
|
|
RMB
|
|
RMB
|
|
US$
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
revenues
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Live
streaming
|
441,828
|
|
792,784
|
|
991,812
|
|
149,886
|
|
824,469
|
|
1,784,596
|
|
269,695
|
Advertising and
others
|
19,536
|
|
50,798
|
|
46,520
|
|
7,030
|
|
35,794
|
|
97,318
|
|
14,707
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total net
revenues
|
461,364
|
|
843,582
|
|
1,038,332
|
|
156,916
|
|
860,263
|
|
1,881,914
|
|
284,402
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of
revenues(1)
|
(403,891)
|
|
(712,533)
|
|
(871,965)
|
|
(131,774)
|
|
(786,653)
|
|
(1,584,498)
|
|
(239,455)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross
profit
|
57,473
|
|
131,049
|
|
166,367
|
|
25,142
|
|
73,610
|
|
297,416
|
|
44,947
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
expenses(1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Research and
development expenses
|
(35,136)
|
|
(51,458)
|
|
(59,964)
|
|
(9,062)
|
|
(77,528)
|
|
(111,422)
|
|
(16,838)
|
Sales and marketing
expenses
|
(21,315)
|
|
(25,940)
|
|
(41,682)
|
|
(6,299)
|
|
(36,546)
|
|
(67,622)
|
|
(10,219)
|
General and
administrative expenses
|
(17,867)
|
|
(35,783)
|
|
(88,473)
|
|
(13,370)
|
|
(28,057)
|
|
(124,256)
|
|
(18,778)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total operating
expenses
|
(74,318)
|
|
(113,181)
|
|
(190,119)
|
|
(28,731)
|
|
(142,131)
|
|
(303,300)
|
|
(45,835)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other
income
|
10
|
|
10,283
|
|
6,459
|
|
976
|
|
9,531
|
|
16,742
|
|
2,530
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating (loss)
income
|
(16,835)
|
|
28,151
|
|
(17,293)
|
|
(2,613)
|
|
(58,990)
|
|
10,858
|
|
1,642
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest and
short-term investment income
|
1,872
|
|
10,584
|
|
42,444
|
|
6,414
|
|
2,348
|
|
53,028
|
|
8,013
|
Fair value loss on
derivative liabilities
|
-
|
|
(11,868)
|
|
(2,273,355)
|
|
(343,558)
|
|
-
|
|
(2,285,223)
|
|
(345,351)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Loss)
income before income tax benefits
|
(14,963)
|
|
26,867
|
|
(2,248,204)
|
|
(339,757)
|
|
(56,642)
|
|
(2,221,337)
|
|
(335,696)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income tax
benefits
|
-
|
|
4,464
|
|
6,070
|
|
917
|
|
-
|
|
10,534
|
|
1,592
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Loss) income
before share of income in equity method investments, net of
income taxes
|
(14,963)
|
|
31,331
|
|
(2,242,134)
|
|
(338,840)
|
|
(56,642)
|
|
(2,210,803)
|
|
(334,104)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Share of income in
equity method investments, net of income taxes
|
-
|
|
76
|
|
116,687
|
|
17,634
|
|
-
|
|
116,763
|
|
17,645
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net (loss) income
attributable to HUYA Inc.
|
(14,963)
|
|
31,407
|
|
(2,125,447)
|
|
(321,206)
|
|
(56,642)
|
|
(2,094,040)
|
|
(316,459)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accretion to Preferred
Shares redemption value
|
-
|
|
(30,581)
|
|
(41,047)
|
|
(6,203)
|
|
-
|
|
(71,628)
|
|
(10,824)
|
Deemed dividend to
Series A Preferred Shareholders
|
-
|
|
(496,995)
|
|
-
|
|
-
|
|
-
|
|
(496,995)
|
|
(75,108)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss
attributable to ordinary shareholders
|
(14,963)
|
|
(496,169)
|
|
(2,166,494)
|
|
(327,409)
|
|
(56,642)
|
|
(2,662,663)
|
|
(402,391)
|
HUYA
INC.
|
UNAUDITED
CONDENSED CONSOLIDATED STATEMENTS OF
|
(LOSS)
INCOME
|
(All amounts in
thousands, except share, ADS, per share and per ADS
data)
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Six Months
Ended
|
|
June
30,
|
March
31,
|
June
30,
|
June
30,
|
|
June
30,
|
June
30,
|
June
30,
|
|
2017
|
2018
|
2018
|
2018
|
|
2017
|
2018
|
2018
|
|
RMB
|
RMB
|
RMB
|
US$
|
|
RMB
|
RMB
|
US$
|
Net loss per
ADS*
|
|
|
|
|
|
|
|
|
Basic
and diluted
|
(0.15)
|
(4.96)
|
(13.70)
|
(2.07)
|
|
(0.57)
|
(20.60)
|
(3.11)
|
Net loss per
ordinary share
|
|
|
|
|
|
|
|
|
Basic
and diluted
|
(0.15)
|
(4.96)
|
(13.70)
|
(2.07)
|
|
(0.57)
|
(20.60)
|
(3.11)
|
|
|
|
|
|
|
|
|
|
* Each ADS
represents one Class A ordinary share.
|
(1) Share-based
compensation was allocated in cost of revenues and operating
expenses as follows:
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Six Months
Ended
|
|
June
30,
|
March
31,
|
June
30,
|
June
30,
|
|
June
30,
|
June
30,
|
June
30,
|
|
2017
|
2018
|
2018
|
2018
|
|
2017
|
2018
|
2018
|
|
RMB
|
RMB
|
RMB
|
US$
|
|
RMB
|
RMB
|
US$
|
|
|
|
|
|
|
|
|
|
Cost of
revenues
|
649
|
255
|
2,653
|
401
|
|
1,892
|
2,908
|
439
|
Research and
development expenses
|
2,263
|
1,790
|
5,841
|
883
|
|
5,318
|
7,631
|
1,153
|
Sales and marketing
expenses
|
21
|
418
|
732
|
111
|
|
225
|
1,150
|
174
|
General and
administrative expenses
|
2,777
|
21,904
|
64,878
|
9,805
|
|
5,266
|
86,782
|
13,115
|
HUYA
INC.
Reconciliations of
GAAP And Non-GAAP Results
(All amounts in
thousands, except share, ADS, per share and per ADS
data)
|
|
|
Three Months
Ended
|
|
Six Months
Ended
|
|
June
30, 2017
|
|
March
31, 2018
|
|
June
30, 2018
|
|
June
30, 2018
|
|
June
30, 2017
|
|
June
30, 2018
|
|
June
30, 2018
|
|
RMB
|
|
RMB
|
|
RMB
|
|
US$
|
|
RMB
|
|
RMB
|
|
US$
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating (loss)
income
|
(16,835)
|
|
28,151
|
|
(17,293)
|
|
(2,613)
|
|
(58,990)
|
|
10,858
|
|
1,642
|
Share-based
compensation expenses
|
5,710
|
|
24,367
|
|
74,104
|
|
11,200
|
|
12,701
|
|
98,471
|
|
14,881
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP operating
(loss) income
|
(11,125)
|
|
52,518
|
|
56,811
|
|
8,587
|
|
(46,289)
|
|
109,329
|
|
16,523
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net (loss) income
attributable to HUYA Inc.
|
(14,963)
|
|
31,407
|
|
(2,125,447)
|
|
(321,206)
|
|
(56,642)
|
|
(2,094,040)
|
|
(316,459)
|
Gain on fair value
change of investments and equity investee's investments
|
-
|
|
-
|
|
(116,654)
|
|
(17,629)
|
|
-
|
|
(116,654)
|
|
(17,629)
|
Fair value loss on
derivative liabilities
|
-
|
|
11,868
|
|
2,273,355
|
|
343,558
|
|
-
|
|
2,285,223
|
|
345,351
|
Share-based
compensation expenses
|
5,710
|
|
24,367
|
|
74,104
|
|
11,200
|
|
12,701
|
|
98,471
|
|
14,881
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP net (loss)
income attributable to HUYA Inc.
|
(9,253)
|
|
67,642
|
|
105,358
|
|
15,923
|
|
(43,941)
|
|
173,000
|
|
26,144
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss attributable
to ordinary shareholders
|
(14,963)
|
|
(496,169)
|
|
(2,166,494)
|
|
(327,409)
|
|
(56,642)
|
|
(2,662,663)
|
|
(402,391)
|
Gain on fair value
change of investments and equity investee's investments
|
-
|
|
-
|
|
(116,654)
|
|
(17,629)
|
|
-
|
|
(116,654)
|
|
(17,629)
|
Fair value loss on
derivative liabilities
|
-
|
|
11,868
|
|
2,273,355
|
|
343,558
|
|
-
|
|
2,285,223
|
|
345,351
|
Share-based
compensation expenses
|
5,710
|
|
24,367
|
|
74,104
|
|
11,200
|
|
12,701
|
|
98,471
|
|
14,881
|
Deemed dividend to
Series A Preferred Shareholders
|
-
|
|
496,995
|
|
-
|
|
-
|
|
-
|
|
496,995
|
|
75,108
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP net
income(loss) attributable to ordinary shareholders
|
(9,253)
|
|
37,061
|
|
64,311
|
|
9,720
|
|
(43,941)
|
|
101,372
|
|
15,320
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP net (loss)
income per ordinary share
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
(0.09)
|
|
0.37
|
|
0.41
|
|
0.06
|
|
(0.44)
|
|
0.78
|
|
0.12
|
Diluted
|
(0.09)
|
|
0.35
|
|
0.37
|
|
0.06
|
|
(0.44)
|
|
0.73
|
|
0.11
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP net (loss)
income per ADS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
(0.09)
|
|
0.37
|
|
0.41
|
|
0.06
|
|
(0.44)
|
|
0.78
|
|
0.12
|
Diluted
|
(0.09)
|
|
0.35
|
|
0.37
|
|
0.06
|
|
(0.44)
|
|
0.73
|
|
0.11
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
View original
content:http://www.prnewswire.com/news-releases/huya-reports-second-quarter-2018-unaudited-financial-results-300696305.html
SOURCE HUYA Inc.