BEIJING, April 24, 2019 /PRNewswire/ -- Gridsum Holding
Inc. ("Gridsum" or the "Company") (NASDAQ:GSUM), a leading provider
of cloud-based big-data analytics and artificial intelligence
("AI") solutions in China, today
reported its audited financial results for the year ended
December 31, 2018.
Highlights
- Net revenues decreased by 8% to RMB431.2
million (US$62.7 million) from
RMB469.5 million in 2017.
- Net loss attributable to Gridsum's ordinary shareholders
increased to RMB521.3 million
(US$75.8 million) from RMB239.0 million in 2017.
Full Year 2018 Financial Results
REVENUES: Net revenues decreased by 8% to
RMB431.2 million (US$62.7 million) from RMB469.5 million in 2017.
Enterprise revenues increased by 3% to RMB387.6 million (US$56.4million) from RMB377.0 million in 2017, mainly due to growth in
sales of Social Listening solutions recorded during the first half
of 2018. However, Enterprise revenues experienced a decline in the
second half of 2018, reflecting customer attrition and prolonged
contract renewal processes as a result of the delayed filing of the
Company's 2017 annual report on Form 20-F with the U.S. Securities
and Exchange Commission (the "SEC") and a slowdown in the Chinese
economy.
E-Government and other revenues decreased by 48% to RMB53.1 million (US$7.7
million) from RMB102.2 million
in 2017, reflecting the challenging business environment associated
with China's government
reorganization in 2018. This decrease was primarily attributable to
the lengthening of the sales cycle, lower budgeted spending for
E-Government solutions in 2018 and a decline in the Company's
e-Government and other customer base from 58 to 43.
COST OF REVENUES: Cost of revenues was
RMB100.9 million (US$14.7 million), compared with RMB94.6 million in 2017. The rise was primarily
due to a RMB5.8 million increase in
outsourcing service fees, mainly related to the Company's search
engine optimization and social media optimization businesses, as
the Company re-assigned more internal resources to research and
development activities.
GROSS PROFIT AND GROSS MARGIN: Gross profit
decreased by 12% to RMB330.4 million
(US$48.1 million) from RMB374.9 million in 2017, while gross margin
decreased to 76.6% from 79.8%.
OPERATING EXPENSES: Total operating expenses were
RMB882.1 million (US$128.3 million), compared with RMB594.1 million in 2017.
- Sales and marketing expenses were RMB166.2 million (US$24.2
million), compared with RMB192.4
million in 2017. The decrease was primarily due to a
RMB27.3 million decrease in industry
reports and analysis purchase expenses and a RMB14.9 million decrease in advertising expenses,
partially offset by a RMB14.9 million
increase in personnel and related costs.
- Research and development expenses were RMB533.6 million (US$77.6
million), compared with RMB257.9
million in 2017. The increase was primarily the result of
substantial foundation investments in the Company's Industrial AI
capabilities, knowledge graph, data warehouse capacity, and IIoT
platform and applications. The Company expects research and
development expenses to decline year over year in absolute amount
(and as a percentage of net revenues) in 2019 and, also decrease
over the longer term as a percentage of net revenues.
- General and administrative expenses were RMB182.3 million (US$26.5
million), compared with RMB143.7
million in 2017. The increase was primarily due to a
RMB22.3 million increase in
professional fees incurred for accounting and legal matters which
were significantly inflated by issues related to the delayed filing
of the Company's 2017 annual report on Form 20-F with the SEC and
associated with the Company's internal investigation and changes of
auditor, and a RMB16.9 million
increase in office leasing expenses, partially offset by a
RMB10.4 million decrease in allowance
for doubtful accounts.
LOSS FROM OPERATIONS: Loss from operations was
RMB551.7 million (US$80.2 million), compared with RMB219.2 million in 2017.
NET LOSS ATTRIBUTABLE TO GRIDSUM'S ORDINARY
SHAREHOLDERS: Net loss attributable to Gridsum's ordinary
shareholders was RMB521.3 million
(US$75.8 million), compared with
RMB239.0 million in 2017. The
increase was primarily due to the declines in net revenues and an
increase in operating expenses, especially research and development
expenses, as the Company aims to capture the opportunities in its
Intelligent CRM, judicial, and IIoT business segments.
NON-GAAP NET LOSS ATTRIBUTABLE TO GRIDSUM'S ORDINARY
SHAREHOLDERS: Non-GAAP net loss attributable to Gridsum's
ordinary shareholders, which is defined as net loss attributable to
Gridsum's ordinary shareholders before share-based compensation
expense, was RMB482.3 million
(US$70.1 million), compared with
RMB216.1 million in 2017.
EBITDA: Loss before interest, income tax,
depreciation and amortization was RMB493.1
million (US$71.7 million),
compared with RMB197.9 million in
2017. The increase was mainly due to an increase in loss from
operations of RMB332.5 million.
ADJUSTED EBITDA: Adjusted loss before interest,
income tax, depreciation and amortization, which excludes
share-based compensation expenses, was RMB454.1 million (US$66.0
million), compared with RMB175.0
million in 2017.
NET LOSS PER ADS ATTRIBUTABLE TO GRIDSUM'S ORDINARY
SHAREHOLDERS: Net loss per ADS attributable to Gridsum's
ordinary shareholders was RMB16.91
(US$2.46), compared with RMB7.90 in 2017.
NON-GAAP NET LOSS PER ADS ATTRIBUTABLE TO GRIDSUM'S
ORDINARY SHAREHOLDERS: Non-GAAP net loss per ADS
attributable to Gridsum's ordinary shareholders was RMB15.65 (US$2.28),
compared with RMB7.14 in 2017.
Each ADS represents one Class B ordinary share. For purposes of
determining net loss per ADS attributable to Gridsum's ordinary
shareholders, the weighted average number of ordinary shares for
the full year 2018 was 30,827,600. As of December 31, 2018, the total number of ordinary
shares outstanding was 30,833,390.
Balance Sheet
As of December 31, 2018, the
Company had cash and cash equivalents of RMB92.7 million (US$13.5
million), and restricted cash of RMB1.3 million (US$0.2
million).
2018 Review
2018 was a very challenging year for the Company. The delayed
filing of its 2017 annual report on Form 20-F was accompanied by a
number of events and issues that negatively impacted the Company's
performance. Revenue and growth momentum were further impacted by
the slowdown in the Chinese economy.
As part of the Company's strategic evolution to achieve a more
optimal revenue mix, revenues from Search Engine Marketing (SEM)
solutions reflected a smaller percentage of total revenues compared
with 2017. Additionally, the Company restructured its sales and
service functions during 2018 to encourage more effective
cross-sell and upsell of additional products and solutions to its
client base. This restructuring is beginning to bear fruit, as
evidenced by early indications of additional cross-sell and upsell
of products and solutions to our clients, and is expected to be
important in helping drive our financial performance in the coming
months and years.
The Company believes that many of the setbacks experienced
during 2018 are now largely behind it, and that continued
investments in research and development will be key to creating new
opportunities over the medium and longer term.
Outlook
The Company expects to continue to stabilize its core businesses
and regain growth momentum in 2019, with higher Enterprise revenues
and substantial revenue growth in the judicial and IIoT verticals.
On the back of front-end investment in its IIoT and related
platform and solutions in 2018, the Company is showing early signs
of potentially emerging as a leader in certain verticals in this
nascent but high-opportunity industry segment in China.
Based on its current estimates and business trajectory, the
Company expects a return to double-digit growth in net revenues in
2019.
Exchange Rate
This announcement contains translations of certain RMB amounts
into U.S. Dollars ("US$") at specified rates solely for the
convenience of the reader. Unless otherwise stated, all
translations from RMB to US$ were made at the rate of RMB6.8755 to US$1.00, the noon buying rate in effect on
December 31, 2018 in the H.10
statistical release of the Federal Reserve Board. The Company makes
no representation that the RMB or US$ amounts referred could be
converted into US$ or RMB, as the case may be, at any particular
rate or at all.
Use of Non-GAAP Financial Measures
In evaluating the Company's business, the Company considers and
uses the following non-GAAP financial measures as supplemental
measures to review and assess the Company's operating performance:
non-GAAP net loss attributable to Gridsum's ordinary shareholders,
non-GAAP net loss per share attributable to Gridsum's ordinary
shareholders, non-GAAP net loss per ADS attributable to Gridsum's
ordinary shareholders, EBITDA and adjusted EBITDA. The presentation
of these non-GAAP financial measures is not intended to be
considered in isolation or as a substitute for the financial
information prepared in accordance with U.S. GAAP. Non-GAAP net
loss attributable to Gridsum's ordinary shareholders is net loss
attributable to Gridsum's ordinary shareholders before share-based
compensation, non-GAAP net loss per share attributable to Gridsum's
ordinary shareholders is the per share equivalent and non-GAAP net
loss per ADS attributable to Gridsum's ordinary shareholders is the
per ADS equivalent, EBITDA is net loss before interest income and
expenses, income tax expenses and depreciation expenses, and
adjusted EBITDA is EBITDA before share-based compensation.
The Company presents these non-GAAP financial measures because
they are used by the Company's management to evaluate the Company's
operating performance and formulate the Company's business plans.
These non-GAAP financial measures enable the Company's management
to assess the Company's operating results without considering the
impact of non-cash charges, including depreciation expenses and
share-based compensation, and without considering the impact of
non-operating items such as interest income and expenses and income
tax expenses. The Company also believes that the use of these
non-GAAP measures facilitates investors' assessment of the
Company's operating performance.
These non-GAAP financial measures are not defined under U.S.
GAAP and are not presented in accordance with U.S. GAAP. These
non-GAAP financial measures have limitations as analytical tools.
One of the key limitations of using these non-GAAP financial
measures is that they do not reflect all items of income and
expense that affect the Company's operations. Interest income and
expenses, income tax expenses, depreciation expenses and
share-based compensation have been and may continue to be incurred
in the Company's business and are not reflected in the presentation
of adjusted EBITDA. Further, these non-GAAP financial measures may
differ from the non-GAAP financial measures used by other
companies, including Gridsum's peer companies, so their utility for
comparison purposes may be limited.
The Company compensates for these limitations by reconciling the
Company's non-GAAP financial measures to the most directly
comparable U.S. GAAP financial measures, which should be considered
when evaluating the Company's performance. Investors are encouraged
to review our financial information in its entirety and not rely on
a single financial measure. A reconciliation of these non-GAAP
financial measures to their closest U.S. GAAP financial measures
appears at the end of this release.
About Gridsum
Gridsum Holding Inc. (NASDAQ: GSUM) is a leading provider of
cloud-based big-data analytics and AI solutions for multinational
and domestic enterprises and government agencies in China. Gridsum's core technology, the
Gridsum Big Data Platform and the Gridsum Prophet:
Enterprise AI Engine, is built on a distributed computing
framework and performs real-time multi-dimensional correlation
analysis of both structured and unstructured data. This enables
Gridsum's customers to identify complex relationships within their
data and gain new insights that help them make better business
decisions. The Company is named "Gridsum" to symbolize the
combination of distributed computing (Grid) and analytics (sum). As
a digital intelligence pioneer, the Company's mission is to help
enterprises and government organizations in China use data in new and powerful ways to
make better informed decisions and be more productive.
For more information, please visit http://www.gridsum.com/.
Safe Harbor Statement
This announcement contains forward-looking statements. These
forward-looking statements are made under the "safe harbor"
provisions of the U.S. Private Securities Litigation Reform Act of
1995. These statements can be identified by terminology such as
"may," "will," "expects," "anticipates," "aims," "future,"
"intends," "plans," "believes," "estimates," "likely to" and
similar statements. Forward-looking statements in this release
include our stated expectations of future trends in our business.
Forward-looking statements involve inherent risks and
uncertainties. Many factors could cause actual results to differ
materially from those contained in any forward-looking statement,
including but not limited to unexpected difficulties in pursuit of
our goals and strategies, unpredictability of demand for new
solutions we have developed, difficulties keeping and strengthening
relationships with customers, potential difficult expanding our
customer base or securing new orders from existing customers,
potentially costly research and development activities, liquidity
and the availability of additional capital when needed, and
weaknesses of our internal controls, competition in the digital
intelligence market, PRC governmental policies relating to media,
software, big data, the internet, internet content providers and
online advertising; and general economic and business conditions .
Further information regarding these and other risks is included in
Gridsum's annual report on Form 20-F and other reports filed with,
or furnished to, the U.S. Securities and Exchange Commission. All
information provided in this press release is as of the date of
this press release, and Gridsum undertakes no duty to update such
information except as required under applicable law.
Investor Relations
Gridsum
ir@gridsum.com
Christensen
In China
Mr. Christian Arnell
Phone: +86-10-5900-1548
Email: carnell@christensenir.com
In U.S.
Mr. Tip Fleming
Phone: +1 917 412 3333
Email: tfleming@christensenir.com
GRIDSUM
HOLDING INC.
CONSOLIDATED BALANCE SHEETS
(All amounts in thousands)
|
|
|
|
|
|
|
|
|
|
As of December
31,
|
|
2017
|
2018
|
2018
|
|
RMB
|
RMB
|
US$
|
|
Audited
|
Audited
|
Audited
|
Assets
|
|
|
|
Current
assets:
|
|
|
|
Cash and cash
equivalents
|
166,690
|
92,684
|
13,480
|
Time
deposit
|
-
|
-
|
-
|
Restricted
cash
|
245,320
|
1,334
|
194
|
Notes
receivable
|
6,000
|
-
|
-
|
Accounts receivable,
net
|
599,280
|
397,969
|
57,882
|
Prepayments and other
current assets
|
306,092
|
294,904
|
42,892
|
Total current
assets
|
1,323,382
|
786,891
|
114,448
|
Non-current
assets:
|
|
|
|
Investment in
associates
|
-
|
5,000
|
727
|
Property and
equipment, net
|
50,873
|
62,328
|
9,065
|
Intangible assets,
net
|
9,426
|
13,840
|
2,013
|
Goodwill
|
537
|
537
|
78
|
Deferred tax
assets
|
18,392
|
46,359
|
6,742
|
Other non-curernt
assets
|
487
|
435
|
63
|
Total non-current
assets
|
79,715
|
128,499
|
18,688
|
Total
assets
|
1,403,097
|
915,390
|
133,136
|
|
|
|
|
Liabilities and
Shareholders' Equity
|
|
|
|
Current
liabilities:
|
|
|
|
Short-term bank
loans
|
266,019
|
5,000
|
727
|
Accounts
payable
|
208,152
|
97,293
|
14,150
|
Salary and welfare
payables
|
60,696
|
65,451
|
9,519
|
Taxes
payable
|
103,331
|
110,529
|
16,076
|
Deferred
revenues
|
13,391
|
36,126
|
5,254
|
Advances from
customers
|
116,847
|
154,731
|
22,504
|
Accrued expenses and
other current liabilities
|
90,721
|
147,940
|
21,517
|
Derivative
liabilities
|
-
|
596
|
87
|
Convertible
note
|
-
|
242,702
|
35,300
|
Total current
liabilities
|
859,157
|
860,368
|
125,134
|
Non-current
liabilities:
|
|
|
|
Deferred tax
liabilities
|
249
|
212
|
30
|
Total non-current
liabilities
|
249
|
212
|
30
|
Total
liabilities
|
859,406
|
860,580
|
125,164
|
|
|
|
|
Shareholders'
equity:
|
|
|
|
Ordinary shares—Class
A (US$0.001 par value; 20,000,000 shares authorized, 4,543,461
shares issued and
outstanding as of December 31, 2017 and 2018)
|
31
|
31
|
5
|
Ordinary shares—Class
B (US$0.001 par value; 180,000,000 shares authorized; 26,280,367
and 26,289,929
shares issued and outstanding as of December 31, 2017 and 2018,
respectively)
|
176
|
177
|
26
|
Additional paid-in
capital
|
1,107,201
|
1,146,253
|
166,715
|
Statutory
reserve
|
6,730
|
12,903
|
1,877
|
Accumulated other
comprehensive loss
|
(30,539)
|
(35,496)
|
(5,163)
|
Accumulated
deficit
|
(549,911)
|
(1,077,409)
|
(156,703)
|
Total Gridsum's
shareholders' equity
|
533,688
|
46,459
|
6,757
|
Non-controlling
interests
|
10,003
|
8,351
|
1,215
|
Total
shareholders' equity
|
543,691
|
54,810
|
7,972
|
Total liabilities
and shareholders' equity
|
1,403,097
|
915,390
|
133,136
|
GRIDSUM HOLDING
INC.
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS
(All amounts in thousands, except for share, per share and per ADS
data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1Q
2017
|
2Q
2017
|
3Q
2017
|
4Q
2017
|
1Q
2018
|
2Q
2018
|
3Q
2018
|
4Q
2018
|
|
For the year ended December 31,
|
|
|
2017
|
2018
|
2018
|
|
RMB
|
RMB
|
RMB
|
RMB
|
RMB
|
RMB
|
RMB
|
RMB
|
|
RMB
|
RMB
|
US$
|
|
Unaudited
|
Unaudited
|
Unaudited
|
Unaudited
|
Unaudited
|
Unaudited
|
Unaudited
|
Unaudited
|
|
Audited
|
Audited
|
Audited
|
Revenues:
|
|
|
|
|
|
|
|
|
|
|
|
|
Enterprise
|
64,199
|
83,208
|
108,215
|
121,391
|
119,804
|
100,676
|
67,815
|
99,279
|
|
377,013
|
387,574
|
56,370
|
e-Government and
other
|
13,766
|
22,758
|
25,258
|
40,434
|
17,254
|
13,204
|
13,701
|
8,958
|
|
102,216
|
53,117
|
7,726
|
Less: Business tax
and surcharges
|
(1,970)
|
(3,014)
|
(3,179)
|
(1,533)
|
(4,625)
|
(1,487)
|
(1,062)
|
(2,271)
|
|
(9,696)
|
(9,444)
|
(1,374)
|
Net
revenues
|
75,995
|
102,952
|
130,294
|
160,292
|
132,433
|
112,393
|
80,454
|
105,966
|
|
469,533
|
431,247
|
62,722
|
Cost of
revenues
|
(11,773)
|
(20,206)
|
(26,275)
|
(36,386)
|
(16,343)
|
(22,812)
|
(23,630)
|
(38,082)
|
|
(94,640)
|
(100,867)
|
(14,670)
|
Gross
profit
|
64,223
|
82,746
|
104,019
|
123,905
|
116,090
|
89,581
|
56,824
|
67,884
|
|
374,893
|
330,380
|
48,052
|
Operating
expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales and marketing
expenses
|
(46,657)
|
(41,317)
|
(39,434)
|
(65,005)
|
(35,957)
|
(40,102)
|
(45,565)
|
(44,552)
|
|
(192,413)
|
(166,176)
|
(24,169)
|
Research and
development expenses
|
(51,033)
|
(58,031)
|
(69,039)
|
(79,818)
|
(109,196)
|
(119,907)
|
(158,348)
|
(146,135)
|
|
(257,921)
|
(533,586)
|
(77,607)
|
General and
administrative expenses
|
(21,739)
|
(28,466)
|
(41,614)
|
(51,924)
|
(30,138)
|
(43,296)
|
(50,454)
|
(58,401)
|
|
(143,743)
|
(182,289)
|
(26,513)
|
Total operating
expenses
|
(119,429)
|
(127,814)
|
(150,087)
|
(196,747)
|
(175,291)
|
(203,305)
|
(254,367)
|
(249,088)
|
|
(594,077)
|
(882,051)
|
(128,289)
|
Losses from
operations
|
(55,206)
|
(45,068)
|
(46,068)
|
(72,842)
|
(59,201)
|
(113,724)
|
(197,543)
|
(181,204)
|
|
(219,184)
|
(551,671)
|
(80,237)
|
Foreign currency
exchange loss
|
(1,235)
|
(2,147)
|
(2,911)
|
(2,259)
|
(1,937)
|
(3,462)
|
(3,644)
|
(675)
|
|
(8,552)
|
(9,719)
|
(1,414)
|
Interest
income/(expense), net
|
(2,697)
|
(400)
|
(1,612)
|
(721)
|
(2,429)
|
(2,332)
|
(2,795)
|
(2,323)
|
|
(5,430)
|
(9,878)
|
(1,437)
|
Other
income/(expense), net
|
(105)
|
(794)
|
1,117
|
(1,901)
|
482
|
2,058
|
3,297
|
(4,833)
|
|
(1,683)
|
1,005
|
146
|
Amortization of debt
discount
|
-
|
-
|
-
|
-
|
-
|
(5,995)
|
(9,593)
|
(9,748)
|
|
-
|
(25,337)
|
(3,685)
|
Gain on change in
fair value of derivative liabilities
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
57,890
|
|
-
|
57,890
|
8,420
|
Loss before income
tax
|
(59,244)
|
(48,409)
|
(49,474)
|
(77,723)
|
(63,084)
|
(123,455)
|
(210,278)
|
(140,893)
|
|
(234,849)
|
(537,710)
|
(78,207)
|
Income tax
(expense)/benefit
|
(4,780)
|
(1,542)
|
(166)
|
2,213
|
437
|
(8,873)
|
15,783
|
7,818
|
|
(4,275)
|
15,165
|
2,206
|
Net
loss
|
(64,024)
|
(49,951)
|
(49,639)
|
(75,509)
|
(62,648)
|
(132,327)
|
(194,495)
|
(133,075)
|
|
(239,124)
|
(522,545)
|
(76,001)
|
Less: Net loss
attributable to non-controlling interests
|
(16)
|
(19)
|
(19)
|
(74)
|
(140)
|
(142)
|
(597)
|
(340)
|
|
(128)
|
(1,220)
|
(177)
|
Net loss
attributable to Gridsum Holding Inc.
|
(64,008)
|
(49,932)
|
(49,620)
|
(75,436)
|
(62,507)
|
(132,185)
|
(193,898)
|
(132,735)
|
|
(238,996)
|
(521,325)
|
(75,824)
|
Net loss
attributable to Gridsum's ordinary shareholders
|
(64,008)
|
(49,932)
|
(49,620)
|
(75,436)
|
(62,507)
|
(132,185)
|
(193,898)
|
(132,735)
|
|
(238,996)
|
(521,325)
|
(75,824)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss
|
(64,024)
|
(49,951)
|
(49,639)
|
(75,509)
|
(62,648)
|
(132,327)
|
(194,495)
|
(133,075)
|
|
(239,124)
|
(522,545)
|
(76,001)
|
Foreign currency
translation adjustment, net of tax
|
(11,066)
|
2,544
|
(6,429)
|
(5,501)
|
(7,634)
|
4,853
|
(2,567)
|
390
|
|
(20,452)
|
(4,957)
|
(721)
|
Comprehensive
loss
|
(75,090)
|
(47,407)
|
(56,068)
|
(81,010)
|
(70,282)
|
(127,474)
|
(197,062)
|
(132,685)
|
|
(259,576)
|
(527,502)
|
(76,722)
|
Less: Comprehensive
loss attributable to non-controlling interests
|
(16)
|
(19)
|
(19)
|
(74)
|
(140)
|
(142)
|
(597)
|
(340)
|
|
(128)
|
(1,220)
|
(177)
|
Comprehensive loss
attributable to Gridsum Holding Inc.
|
(75,074)
|
(47,388)
|
(56,049)
|
(80,936)
|
(70,141)
|
(127,332)
|
(196,464)
|
(132,345)
|
|
(259,448)
|
(526,282)
|
(76,545)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
number of ordinary shares used in per share
calculations:
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and
diluted
|
29,735,166
|
29,751,812
|
29,739,866
|
29,756,081
|
30,824,550
|
30,825,645
|
30,827,609
|
30,833,239
|
|
30,243,250
|
30,827,600
|
30,827,600
|
Net loss per
ordinary share attributable to Gridsum's ordinary
shareholders:
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and
diluted
|
(2.15)
|
(1.68)
|
(1.67)
|
(2.54)
|
(2.03)
|
(4.29)
|
(6.29)
|
(4.30)
|
|
(7.90)
|
(16.91)
|
(2.46)
|
Net loss per ADS
attributable to Gridsum's ordinary shareholders:
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and
diluted
|
(2.15)
|
(1.68)
|
(1.67)
|
(2.54)
|
(2.03)
|
(4.29)
|
(6.29)
|
(4.30)
|
|
(7.90)
|
(16.91)
|
(2.46)
|
GRIDSUM HOLDING
INC.
RECONCILIATION OF GAAP AND NON-GAAP RESULTS
(All amounts in thousands, except for share, per share and per ADS
data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1Q
2017
|
2Q
2017
|
3Q
2017
|
4Q
2017
|
1Q
2018
|
2Q
2018
|
3Q
2018
|
4Q
2018
|
|
For the year ended December 31,
|
|
|
2017
|
2018
|
2018
|
|
RMB
|
RMB
|
RMB
|
RMB
|
RMB
|
RMB
|
RMB
|
RMB
|
|
RMB
|
RMB
|
US$
|
|
Unaudited
|
Unaudited
|
Unaudited
|
Unaudited
|
Unaudited
|
Unaudited
|
Unaudited
|
Unaudited
|
|
Audited
|
Audited
|
Audited
|
|
Reconciliation of
net loss attributable to Gridsum's ordinary shareholders
to non-GAAP net loss attributable to Gridsum's ordinary
shareholders
|
Net loss attributable
to Gridsum's ordinary shareholders
|
(64,008)
|
(49,932)
|
(49,620)
|
(75,436)
|
(62,507)
|
(132,185)
|
(193,898)
|
(132,735)
|
|
(238,996)
|
(521,325)
|
(75,823)
|
Share-based
compensation
|
5,012
|
4,974
|
4,747
|
8,195
|
7,555
|
9,091
|
11,081
|
11,299
|
|
22,927
|
39,026
|
5,676
|
Non-GAAP net
loss attributable to Gridsum's ordinary shareholders
|
(58,997)
|
(44,958)
|
(44,874)
|
(67,240)
|
(54,952)
|
(123,094)
|
(182,817)
|
(121,436)
|
|
(216,069)
|
(482,299)
|
(70,148)
|
Weighted average
number of ordinary shares used in net loss per share attributable
to Gridsum's ordinary shareholders and non-GAAP net loss
per share attributable to Gridsum's ordinary shareholders
calculations:
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and
diluted
|
29,735,166
|
29,751,812
|
29,739,866
|
29,756,081
|
30,824,550
|
30,825,645
|
30,827,609
|
30,833,239
|
|
30,243,250
|
30,827,600
|
30,827,600
|
Net loss per ordinary
share attributable to Gridsum's ordinary shareholders:
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and
diluted
|
(2.15)
|
(1.68)
|
(1.67)
|
(2.54)
|
(2.03)
|
(4.29)
|
(6.29)
|
(4.30)
|
|
(7.90)
|
(16.91)
|
(2.46)
|
Net loss per ADS
attributable to Gridsum's ordinary shareholders:
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and
diluted
|
(2.15)
|
(1.68)
|
(1.67)
|
(2.54)
|
(2.03)
|
(4.29)
|
(6.29)
|
(4.30)
|
|
(7.90)
|
(16.91)
|
(2.46)
|
Non-GAAP net loss per
ordinary share attributable to Gridsum's ordinary
shareholders:
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and
diluted
|
(1.98)
|
(1.51)
|
(1.51)
|
(2.26)
|
(1.78)
|
(3.99)
|
(5.93)
|
(3.94)
|
|
(7.14)
|
(15.65)
|
(2.28)
|
Non-GAAP net loss per
ADS attributable to Gridsum's ordinary shareholders:
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and
diluted
|
(1.98)
|
(1.51)
|
(1.51)
|
(2.26)
|
(1.78)
|
(3.99)
|
(5.93)
|
(3.94)
|
|
(7.14)
|
(15.65)
|
(2.28)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of
net loss to EBITDA and adjusted EBITDA
|
Net loss
|
(64,024)
|
(49,951)
|
(49,639)
|
(75,509)
|
(62,648)
|
(132,327)
|
(194,495)
|
(133,075)
|
|
(239,124)
|
(522,545)
|
(76,001)
|
Interest
(income)/expense, net
|
2,697
|
400
|
1,612
|
721
|
2,429
|
2,332
|
2,795
|
2,323
|
|
5,430
|
9,878
|
1,437
|
Income tax
expenses
|
4,780
|
1,542
|
166
|
(2,213)
|
(437)
|
8,873
|
(15,783)
|
(7,818)
|
|
4,275
|
(15,165)
|
(2,206)
|
Depreciation and
amortization expenses
|
7,322
|
7,675
|
7,760
|
8,717
|
9,012
|
8,032
|
7,922
|
9,736
|
|
31,474
|
34,701
|
5,047
|
EBITDA
|
(49,226)
|
(40,333)
|
(40,102)
|
(68,284)
|
(51,644)
|
(113,091)
|
(199,561)
|
(128,834)
|
|
(197,945)
|
(493,131)
|
(71,723)
|
Share-based
compensation
|
5,012
|
4,974
|
4,747
|
8,195
|
7,555
|
9,091
|
11,081
|
11,299
|
|
22,927
|
39,026
|
5,676
|
Adjusted
EBITDA
|
(44,214)
|
(35,359)
|
(35,355)
|
(60,089)
|
(44,089)
|
(104,000)
|
(188,480)
|
(117,536)
|
|
(175,018)
|
(454,105)
|
(66,047)
|
View original
content:http://www.prnewswire.com/news-releases/gridsum-reports-audited-full-year-2018-financial-results-300837838.html
SOURCE Gridsum Holding Inc.