JOYY Inc. (NASDAQ: YY) (“JOYY” or the “Company,” formerly known as
YY Inc.), a global technology company, today announced its
unaudited financial results for the first quarter of 2023.
First Quarter 2023 Financial Highlights1
- Net revenues were US$583.6 million, compared
to US$623.8 million in the corresponding period of 2022.
- Net income attributable to controlling interest of
JOYY2 was US$28.0 million, compared to net loss of US$27.5
million in the corresponding period of 2022.
- Non-GAAP net income attributable to controlling
interest and common shareholders of JOYY3 was US$49.9
million, compared to US$20.9 million in the corresponding period of
2022.
First Quarter 2023 Operational Highlights
- Average mobile MAUs of Bigo Live increased by
19.0% to 37.7 million from 31.7 million in the corresponding period
of 2022.
- Average mobile MAUs of Likee decreased by
27.4% to 44.9 million from 61.8 million in the corresponding period
of 2022, primarily due to reduced spending on user acquisition via
advertisement.
- Average mobile MAUs of Hago decreased by 36.5%
to 5.9 million from 9.3 million in the corresponding period of
2022, primarily due to reduced spending on user acquisition via
advertisement.
- Global average mobile MAUs4 decreased by 0.7%
to 272.9 million from 274.7 million in the corresponding period of
2022, primarily due to the decrease in average mobile MAUs of Likee
and Hago, partially offset by the continued MAUs growth of Bigo
Live.
- Total number of paying users of BIGO
(including Bigo Live, Likee and imo)5 increased by 7.8% to 1.57
million from 1.45 million in the corresponding period of 2022.
- Average revenue per paying user of BIGO
(including Bigo Live, Likee and imo)6 decreased to US$244.8 from
US$305.7 in the corresponding period of 2022.
Mr. David Xueling Li, Chairman and Chief Executive Officer of
JOYY, commented, “Despite near-term uncertainties in macro
environments, we remain committed to our strategic priorities and
delivered solid results in the first quarter. Continued cultivation
of diverse, premium content and effective localized operational
activities boosted user engagement and drove progress in user base
expansion. In the first quarter, our global average mobile MAUs
resumed sequential growth, increasing by 1.9% quarter over quarter
to 272.9 million. Notably, Bigo Live sustained double-digit user
growth for the fourth consecutive quarter and grew its MAUs by
19.0% year over year. At the same time, we continued to prioritize
high-quality growth and improve our operating efficiency, and
further improved our profitability at the group level.”
“Harnessing our global technological and localized operational
capabilities continues to be our top priority and fundamental to
our global business success. We will continue to cultivate our
global user community and provide exceptional interactive
experiences to our users through product innovation, diverse
content and localized offerings. With our robust financial
position, we are confident that we are well-placed to seize
long-term growth opportunities and generate sustainable shareholder
value.”
First Quarter 2023 Financial Results
NET REVENUES
Net revenues were US$583.6 million in the first quarter of 2023,
compared to US$623.8 million in the corresponding period of
2022.
Live streaming revenues were US$520.4 million in the first
quarter of 2023, compared to US$590.1 million in the corresponding
period of 2022, primarily due to the decrease in the average
revenue per paying user of BIGO, as global macroeconomic
uncertainties and the appreciation of U.S. dollars against certain
other local currencies negatively affected users’ paying
activities.
Other revenues increased by 87.7% to US$63.2 million in the
first quarter of 2023 from US$33.7 million in the corresponding
period of 2022.
COST OF REVENUES AND GROSS PROFIT
Cost of revenues decreased by 10.3% to US$379.0 million in the
first quarter of 2023 from US$422.6 million in the corresponding
period of 2022. Revenue-sharing fees and content costs were
US$248.1 million in the first quarter of 2023, compared to US$279.9
million in the corresponding period of 2022.
Gross profit was US$204.6 million in the first quarter of 2023,
compared to US$201.2 million in the corresponding period of 2022.
Gross margin improved to 35.1% in the first quarter of 2023 from
32.2% in the corresponding period of 2022, primarily due to
optimization of revenue sharing cost and other operational
costs.
OPERATING EXPENSES AND INCOME
Operating expenses were US$205.3 million in the first quarter of
2023, compared to US$200.6 million in the corresponding period of
2022. Among the operating expenses, sales and marketing expenses
decreased to US$97.6 million in the first quarter of 2023 from
US$104.4 million in the corresponding period of 2022, primarily due
to the Company’s effective control over marketing expenses and
optimization of overall sales and marketing strategies, as the
Company reduced spending on user acquisition via advertisement and
focused on monetization for Likee and Hago. Research and
development expenses increased to US$75.8 million in the first
quarter of 2023 from US$64.1 million in the corresponding period of
2022, primarily due to increased personnel-related expenses.
Operating income was US$2.5 million in the first quarter of
2023, compared to operating income of US$6.3 million in the
corresponding period of 2022. Operating income margin was 0.4% in
the first quarter of 2023, compared to operating income margin of
1.0% in the corresponding period of 2022.
Non-GAAP operating income7 was US$27.8 million in the first
quarter of 2023, compared to US$33.3 million in the corresponding
period of 2022. Non-GAAP operating income margin8 was 4.8% in the
first quarter of 2023, compared to 5.3% in the corresponding period
of 2022.
NET INCOME
Net income attributable to controlling interest of JOYY was
US$28.0 million in the first quarter of 2023, compared to net loss
of US$27.5 million in the corresponding period of 2022. Net income
margin was 4.8% in the first quarter of 2023, compared to net loss
margin of 4.4% in the corresponding period of 2022.
Non-GAAP net income attributable to controlling interest and
common shareholders of JOYY was US$49.9 million in the first
quarter of 2023, compared to US$20.9 million in the corresponding
period of 2022. Non-GAAP net income margin9 was 8.5% in the first
quarter of 2023, compared to non-GAAP net income margin of 3.3% in
the corresponding period of 2022.
NET INCOME PER ADS
Diluted net income per ADS10 was US$0.35 in the first quarter of
2023, compared to diluted net loss per ADS of US$0.41 in the
corresponding period of 2022.
Non-GAAP diluted net income per ADS11 was US$0.64 in the first
quarter of 2023, compared to US$0.28 in the corresponding period of
2022.
BALANCE SHEET AND CASH FLOWS
As of March 31, 2023, the Company had cash and cash equivalents,
restricted cash and cash equivalents, short-term deposits,
restricted short-term deposits and short-term investments of
US$4,290.8 million. For the first quarter of 2023, net cash from
operating activities was US$67.5 million.
SHARES OUTSTANDING
As of March 31, 2023, the Company had a total of 1,382.9 million
common shares outstanding, representing the equivalent of 69.1
million ADSs assuming the conversion of all common shares into
ADSs.
Business Outlook
For the second quarter of 2023, the Company expects net revenues
to be between US$520 million and US$541 million. This forecast
reflects the Company’s current and preliminary views on the market
and operational conditions, which are subject to changes,
particularly as to the potential impact from increasing
macroeconomic uncertainties.
Quarterly Dividend
The Company’s board of directors approved a quarterly dividend
policy in 2020, taking the policies adopted on August 11, 2020 and
November 16, 2020, respectively, as a whole, for three years
commencing in the fourth quarter of 2020. Pursuant to this
quarterly dividend policy, the board of directors has accordingly
declared a dividend of US$0.51 per ADS, or US$0.0255 per common
share, for the first quarter of 2023, which is expected to be paid
on July 5, 2023 to shareholders of record as of the close of
business on June 21, 2023. The ex-dividend date will be June 20,
2023. Under the policy, the board of directors of the Company
reserves the discretion relating to the determination to make
dividend distributions and the amount of such distributions in any
particular quarter, depending on the Company’s operations and
earnings, cash flow, financial condition and other relevant
factors.
Recent Developments
Share Repurchase Program
In November 2021, the Company announced that its board of
directors has authorized a share repurchase plan under which the
Company may repurchase up to US$1 billion of its shares between
November 2021 and November 2022 (the “2021 Share Repurchase
Program”). In November 2022, the Company’s board of directors
authorized the continued usage of the unutilized quota under the
2021 Share Repurchase Program, which amounted to US$800 million
then, for another 12-month period beginning from the end of
November 2022. During the first quarter of 2023, the Company had
repurchased US$15.7 million of its shares pursuant to the 2021
Share Repurchase Program, as amended.
Conference Call Information
The Company will hold a conference call at 9:00 PM U.S. Eastern
Time on Tuesday, May 30, 2023 (9:00 AM Singapore/Hong
Kong Time on Wednesday, May 31, 2023). Details for the
conference call are as follows:
Event Title: JOYY Inc. First Quarter 2023 Earnings Conference
CallConference ID: #10031006
All participants may use the link provided below to complete the
online registration process in advance of the conference call. Upon
registration, each participant will receive a set of participant
dial-in numbers, the Direct Event passcode, and a unique PIN by
email.
PRE-REGISTER
LINK: https://s1.c-conf.com/diamondpass/10031006-jhq2w3.html
A live and archived webcast of the conference call will also be
available at the Company's investor relations website
at https://ir.joyy.com.The replay will be accessible through
June 8, 2023, by dialing the following numbers:
|
United States: |
1-855-883-1031 |
| Singapore: |
800-101-3223 |
| Hong Kong: |
800-930-639 |
| Conference ID: |
#10031006 |
|
|
|
| |
|
About JOYY Inc.
JOYY is a leading global technology company with a mission to
enrich lives through technology. JOYY currently operates several
social products, including Bigo Live for live streaming, Likee for
short-form videos, Hago for multiplayer social networking, an
instant messaging product, and others. The Company has created a
highly engaging and vibrant user community for users across the
globe. JOYY’s ADSs have been listed on the NASDAQ since November
2012.
Safe Harbor Statement
This press release 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 press
release, as well as JOYY’s strategic and operational plans, contain
forward-looking statements. JOYY 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 JOYY’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: JOYY’s goals and strategies; JOYY’s future business
development, results of operations and financial condition; the
expected growth of the global online communication social platform
market; the expectation regarding the rate at which to gain active
users, especially paying users; JOYY’s ability to monetize the user
base; fluctuations in global economic and business conditions; the
impact of the COVID-19 to JOYY’s business operations and the global
economy; and assumptions underlying or related to any of the
foregoing. Further information regarding these and other risks is
included in JOYY’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 JOYY does not undertake any obligation to
update any forward- looking statement, except as required under
applicable law.
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”). JOYY uses
non-GAAP operating income, non-GAAP operating (loss) margin,
non-GAAP net income (loss) attributable to controlling interest of
JOYY, non-GAAP net income (loss) margin attributable to controlling
interest of JOYY, non-GAAP net income (loss) attributable to common
shareholders of JOYY, and basic and diluted non-GAAP net income
(loss) per ADS, which are non-GAAP financial measures. Non-GAAP
operating income (loss) is operating income (loss) excluding
share-based compensation expenses, impairment of goodwill and
investments, amortization of intangible assets from business
acquisitions, and gain (loss) on disposal of subsidiaries and
business. Non-GAAP operating (loss) margin is non-GAAP operating
income as a percentage of net revenues. Non-GAAP net income (loss)
is net income (loss) excluding share-based compensation expenses,
impairment of goodwill and investments, amortization of intangible
assets from business acquisitions, gain (loss) on disposal of
subsidiaries and business, gain (loss) on disposal and deemed
disposal of investments, gain (loss) on fair value change of
investments, reconciling items on the share of equity method
investments(refers to share of income (loss) from equity method
investments resulting from non-recurring or non-cash items of the
equity method investments), gain (loss) on extinguishment of debt
and derivative, interest expenses related to the convertible bonds’
amortization to face value, and income tax effects of the above
non-GAAP reconciling items. Non-GAAP net income (loss) attributable
to controlling interest of JOYY is net income (loss) attributable
to controlling interest of JOYY excluding share-based compensation
expenses, impairment of goodwill and investments, amortization of
intangible assets from business acquisitions, gain (loss) on
disposal of subsidiaries and business, gain (loss) on disposal and
deemed disposal of investments, gain (loss) on fair value change of
investments, reconciling items on the share of equity method
investments, gain (loss) on extinguishment of debt and derivative,
interest expenses related to the convertible bonds’ amortization to
face value, income tax effects of the above non-GAAP reconciling
items and adjustments for non-GAAP reconciling items for the net
(loss) income attributable to non-controlling interest
shareholders. Non-GAAP net income (loss) margin is non-GAAP net
income (loss) attributable to controlling interest of JOYY as a
percentage of net revenues. Non-GAAP net income (loss) attributable
to common shareholders of JOYY is net income (loss) attributable to
common shareholders of JOYY excluding share-based compensation
expenses, impairment of goodwill and investments, amortization of
intangible assets from business acquisitions, gain (loss) on
disposal of subsidiaries and business, gain (loss) on disposal and
deemed disposal of investments, gain (loss) on fair value change of
investments, reconciling items on the share of equity method
investments, gain (loss) on extinguishment of debt and derivative,
interest expenses related to the convertible bonds’ amortization to
face value, accretion, cumulative dividend and deemed dividend to
subsidiaries’ preferred shareholders and income tax effects of
above non-GAAP reconciling items and adjustments for non-GAAP
reconciling items for the net income (loss) attributable to
non-controlling interest shareholders. After the non-GAAP
adjustment, non-GAAP net income (loss) attributable to controlling
interests of JOYY is equal to the non-GAAP net income (loss)
attributable to common shareholders of JOYY. Basic and diluted
non-GAAP net income (loss) per ADS is non-GAAP net income (loss)
attributable to common shareholders of JOYY divided by weighted
average number of ADS used in the calculation of basic and diluted
net income per ADS. The Company believes that separate analysis and
exclusion of the non-cash impact of above reconciling items 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 and amortization of intangible
assets from business acquisitions, gain (loss) on extinguishment of
debt and derivative, interest expenses related to the convertible
bonds’ amortization to face value, which have been and will
continue to be significant recurring expenses in its business, (ii)
impairment of goodwill and investments, gain (loss) on disposal of
subsidiaries and business, gain (loss) on disposal and deemed
disposal of investments, gain (loss) on fair value change of
investments, reconciling items on the share of equity method
investments, and accretion, cumulative dividend and deemed dividend
to subsidiaries’ preferred shareholders, which may not be recurring
in its business, and (iii) income tax expenses and non-GAAP
adjustments for net income (loss) attributable to non-controlling
interest shareholders, which are affected by the above non-GAAP
reconciling items. 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 (loss)
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 “JOYY Inc. Unaudited
Reconciliation of GAAP and Non-GAAP Results” near the end of this
press release.
Investor Relations Contact
JOYY Inc.Jane Xie/Maggie YanEmail: joyy-ir@joyy.com
ICR, Inc.Robin YangEmail: joyy@icrinc.com
1 On November 16, 2020, the Company entered into definitive
agreements with Baidu, Inc. (“Baidu”). Pursuant to the agreements,
Baidu would acquire JOYY’s domestic video-based entertainment live
streaming business (“YY Live”), which includes YY mobile app,
YY.com website and PC YY, among others, for an aggregate purchase
price of approximately US$3.6 billion in cash, subject to certain
adjustments. Subsequently, the sale was substantially completed on
February 8, 2021, with certain matters remaining to be completed in
the future, including necessary regulatory approvals from
government authorities. As a result, the historical financial
results of YY Live are reflected in the Company’s consolidated
financial statements as discontinued operations and the Company
ceased consolidation of YY Live business since February 8, 2021. On
August 22, 2022, the Company announced that it has entered into a
share subscription agreement with Shopline Corporation Limited
(“Shopline”). As a result of and upon the closing of the
transaction, the financial results of Shopline have been fully
consolidated by the Company since September 6, 2022. The financial
information and non-GAAP financial information disclosed in this
press release is presented on a continuing operations basis, unless
otherwise specifically stated.
For the avoidance of confusion, the continuing operations for
the three months ended March 31, 2022, December 31, 2022 and March
31, 2023, as presented in this press release primarily consisted of
BIGO, excluding YY Live.
2 Net income (loss) attributable to controlling
interest of JOYY, is net income (loss) less net (loss) income
attributable to the non-controlling interest shareholders and the
mezzanine equity classified as non-controlling interest
shareholders.
3 Non-GAAP net income (loss) attributable to controlling
interest of JOYY is a non-GAAP financial measure, which is defined
as net income (loss) attributable to controlling interest of JOYY
excluding share-based compensation expenses, impairment of goodwill
and investment, amortization of intangible assets from business
acquisitions, gain (loss) on disposal of subsidiaries and business,
gain (loss) on disposal and deemed disposal of investments, gain
(loss) on fair value change of investments, reconciling items on
the share of equity method investments which refer to those similar
non-GAAP reconciling items of the Company, gain (loss) on
extinguishment of debt and derivative, interest expenses related to
the convertible bonds amortization to face value, income tax
effects on non-GAAP adjustments and non-GAAP adjustments for net
(loss) income attributable to non-controlling interest
shareholders. These adjustments amounted to US$21.9 million and
US$48.4 million in the first quarter of 2023 and 2022,
respectively. Please refer to the section titled “Use of Non-GAAP
Financial Measures” and the table captioned “JOYY Inc. Unaudited
Reconciliation of GAAP and Non-GAAP Results” near the end of this
press release for details.
4 Refers to mobile average monthly active users of the social
entertainment platforms operated by the Company, including Bigo
Live, Likee, imo and Hago. Average mobile MAU for any period is
calculated by dividing (i) the sum of the Company’s mobile active
users for each month of such period, by (ii) the number of months
in such period.
5 The number of paying users during a given period is calculated
as the cumulative number of registered user accounts that have
purchased virtual items or other products and services on platforms
including Bigo Live, Likee and imo at least once during the
relevant period.
6 Average revenue per user is calculated by dividing our total
revenues from live streaming on platforms including Bigo Live,
Likee and imo during a given period by the number of paying users
for the Company’s live streaming services on these platforms for
that period.
7 Non-GAAP operating income (loss) is a non-GAAP financial
measure, which is defined as operating income (loss) excluding
share-based compensation expenses, amortization of intangible
assets from business acquisitions, impairment of goodwill and
investments and gain on disposal of subsidiaries and business.
Please refer to the section titled “Use of Non-GAAP Financial
Measures” and the table captioned “JOYY Inc. Unaudited
Reconciliation of GAAP and Non-GAAP Results” near the end of this
press release for details.
8 Non-GAAP operating income (loss) margin is a non-GAAP
financial measure, which is defined as non-GAAP operating income
(loss) as a percentage of net revenues. Please refer to the section
titled “Use of Non-GAAP Financial Measures” and the table captioned
“JOYY Inc. Unaudited Reconciliation of GAAP and Non-GAAP Results”
near the end of this press release for details.
9 Non-GAAP net income (loss) margin is non-GAAP net income
(loss) attributable to controlling interest of JOYY as a percentage
of net revenues.
10 ADS is American Depositary Share. Each ADS represents twenty
Class A common shares of the Company. Diluted net income (loss) per
ADS is net income (loss) attributable to common shareholders of
JOYY divided by weighted average number of diluted ADS.
11 Non-GAAP diluted net income (loss) per ADS is a non-GAAP
financial measure, which is defined as non-GAAP net income (loss)
attributable to common shareholders of JOYY divided by weighted
average number of ADS used in the calculation of diluted net income
(loss) per ADS. Please refer to the section titled “Use of Non-GAAP
Financial Measures” and the table captioned “JOYY Inc. Unaudited
Reconciliation of GAAP and Non-GAAP Results” near the end of this
press release for details.
| |
|
JOYY INC.UNAUDITED CONDENSED CONSOLIDATED
BALANCE SHEETS(All amounts in thousands, except share, ADS
and per ADS data) |
|
|
|
|
|
|
| |
|
December31,2022 |
|
March31,2023 |
| |
|
US$ |
|
US$ |
| Assets |
|
|
|
|
| Current
assets |
|
|
|
|
|
Cash and cash equivalents |
|
1,214,449 |
|
1,401,305 |
|
Restricted cash and cash equivalents |
|
303,370 |
|
308,712 |
|
Short-term deposits |
|
2,360,545 |
|
2,227,295 |
|
Restricted short-term deposits |
|
47,741 |
|
61,772 |
|
Short-term investments |
|
362,640 |
|
291,710 |
|
Accounts receivable, net |
|
117,927 |
|
120,387 |
|
Amounts due from related parties |
|
1,794 |
|
1,151 |
|
Prepayments and other current assets(1) |
|
236,183 |
|
229,996 |
| |
|
|
|
|
| Total current
assets |
|
4,644,649 |
|
4,642,328 |
| |
|
|
|
|
| Non-current
assets |
|
|
|
|
|
Long-term deposits |
|
- |
|
40,000 |
|
Investments |
|
660,404 |
|
657,672 |
|
Property and equipment, net |
|
343,201 |
|
351,864 |
|
Land use rights, net |
|
330,005 |
|
332,293 |
|
Intangible assets, net |
|
398,300 |
|
382,239 |
|
Right-of-use assets, net |
|
33,196 |
|
37,503 |
|
Goodwill |
|
2,649,307 |
|
2,649,328 |
|
Other non-current assets |
|
12,591 |
|
13,249 |
| |
|
|
|
|
| Total non-current
assets |
|
4,427,004 |
|
4,464,148 |
| |
|
|
|
|
|
Total assets |
|
9,071,653 |
|
9,106,476 |
| |
|
|
|
|
| Liabilities, mezzanine
equity and shareholders’ equity |
|
|
|
|
| Current
liabilities |
|
|
|
|
|
Accounts payable |
|
56,000 |
|
54,815 |
|
Deferred revenue |
|
86,014 |
|
88,001 |
|
Advances from customers |
|
3,532 |
|
5,049 |
|
Income taxes payable |
|
78,103 |
|
87,680 |
|
Accrued liabilities and other current liabilities(1) |
|
2,360,002 |
|
2,376,481 |
|
Amounts due to related parties |
|
3,225 |
|
3,218 |
|
Lease liabilities due within one year |
|
12,451 |
|
13,319 |
|
Short-term loan |
|
37,270 |
|
37,798 |
|
Convertible bonds |
|
435,087 |
|
431,938 |
| |
|
|
|
|
| Total current
liabilities |
|
3,071,684 |
|
3,098,299 |
| |
|
|
|
|
| Non-current
liabilities |
|
|
|
|
|
Convertible bonds |
|
401,173 |
|
404,899 |
|
Lease liabilities |
|
21,601 |
|
24,989 |
|
Deferred revenue |
|
9,765 |
|
10,646 |
|
Deferred tax liabilities |
|
64,262 |
|
61,001 |
|
Other non-current liabilities |
|
436 |
|
442 |
| |
|
|
|
|
| Total non-current
liabilities |
|
497,237 |
|
501,977 |
| |
|
|
|
|
| Total
liabilities |
|
3,568,921 |
|
3,600,276 |
| |
|
|
|
|
|
|
|
JOYY INC.UNAUDITED CONDENSED CONSOLIDATED
BALANCE SHEETS (CONTINUED)(All amounts in thousands,
except share, ADS and per ADS data) |
|
|
|
|
|
|
|
|
| |
|
December312022 |
|
|
March312023 |
|
| |
|
US$ |
|
|
US$ |
|
| |
|
|
|
|
| Mezzanine
equity |
|
91,366 |
|
|
93,016 |
|
| |
|
|
|
|
| Shareholders’
equity |
|
|
|
|
| Class A common shares
(US$0.00001 par value; 10,000,000,000 and 10,000,000,000 shares
authorized, 1,317,840,464 shares issued and 1,066,177,028 shares
outstanding as of December 31, 2022; 1,317,840,464 shares issued
and 1,056,409,017 shares outstanding as of March 31, 2023,
respectively) |
|
13 |
|
|
13 |
|
| Class B common shares
(US$0.00001 par value; 1,000,000,000 and 1,000,000,000 shares
authorized, 326,509,555 and 326,509,555 shares issued and
outstanding as of December 31, 2022 and March 31, 2023,
respectively) |
|
3 |
|
|
3 |
|
| Treasury Shares (US$0.00001
par value; 251,663,436 and 261,431,447 shares held as of December
31, 2022 and March 31, 2023, respectively) |
|
(655,141 |
) |
|
(668,137 |
) |
| Additional paid-in
capital |
|
3,277,978 |
|
|
3,273,811 |
|
| Statutory reserves |
|
32,536 |
|
|
32,139 |
|
| Retained earnings |
|
2,685,063 |
|
|
2,676,351 |
|
| Accumulated other
comprehensive loss |
|
(162,235 |
) |
|
(134,738 |
) |
| |
|
|
|
|
| Total JOYY Inc.’s
shareholders’ equity |
|
5,178,217 |
|
|
5,179,442 |
|
| |
|
|
|
|
| Non-controlling interests |
|
233,149 |
|
|
233,742 |
|
| |
|
|
|
|
| Total shareholders’
equity |
|
5,411,366 |
|
|
5,413,184 |
|
| |
|
|
|
|
| Total liabilities,
mezzanine equity and shareholders’ equity |
|
9,071,653 |
|
|
9,106,476 |
|
| |
|
|
|
|
| |
|
|
|
|
(1) JOYY has ceased consolidation of YY Live
business since February 8, 2021 and classified and presented all
the related assets and liabilities related to YY Live business on a
net basis within prepayments and other current assets. The
consideration received by the Company to date has recorded as
advance payments received within accrued liabilities and other
current liabilities.
| |
| JOYY
INC.UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF
OPERATIONS(All amounts in thousands, except share, ADS and
per ADS data) |
| |
|
|
| |
|
Three Months Ended |
| |
|
March31,2022 |
|
December31,2022 |
|
March31,2023 |
|
| |
|
US$ |
|
US$ |
|
US$ |
|
| |
|
|
|
|
| Net
revenues |
|
|
|
|
| Live streaming(1) |
|
590,099 |
|
527,423 |
|
520,393 |
|
|
Others |
|
33,681 |
|
77,486 |
|
63,235 |
|
| |
|
|
|
|
| Total net
revenues |
|
623,780 |
|
604,909 |
|
583,628 |
|
| |
|
|
|
|
| Cost of revenues(2) |
|
(422,624 |
) |
(392,579 |
) |
(379,002 |
) |
| |
|
|
|
|
| Gross
profit |
|
201,156 |
|
212,330 |
|
204,626 |
|
| |
|
|
|
|
| Operating
expenses(2) |
|
|
|
|
| Research and development
expenses |
|
(64,098 |
) |
(73,626 |
) |
(75,775 |
) |
| Sales and marketing expenses |
|
(104,367 |
) |
(100,812 |
) |
(97,599 |
) |
| General and administrative
expenses |
|
(32,095 |
) |
(41,886 |
) |
(31,969 |
) |
| Goodwill impairment |
|
- |
|
(14,830 |
) |
- |
|
| |
|
|
|
|
| Total operating
expenses |
|
(200,560 |
) |
(231,154 |
) |
(205,343 |
) |
| |
|
|
|
|
| Other income |
|
5,741 |
|
4,653 |
|
3,248 |
|
| |
|
|
|
|
| Operating income
(loss) |
|
6,337 |
|
(14,171 |
) |
2,531 |
|
| |
|
|
|
|
| Interest expenses |
|
(3,069 |
) |
(3,182 |
) |
(3,109 |
) |
| Interest income and investment income |
|
18,219 |
|
32,020 |
|
44,135 |
|
| Foreign currency exchange losses, net |
|
(3,364 |
) |
(13,043 |
) |
(9,921 |
) |
| Gain (loss) on disposal and deemed disposal of investments |
|
1,918 |
|
2,365 |
|
(213 |
) |
| (Loss) gain on fair value change of investments |
|
(20,132 |
) |
12,532 |
|
1,285 |
|
| Gain on extinguishment of debt
and derivative |
|
2,115 |
|
1,087 |
|
- |
|
| |
|
|
|
|
| Income before income tax
benefits (expenses) |
|
2,024 |
|
17,608 |
|
34,708 |
|
| |
|
|
|
|
| Income tax benefits
(expenses) |
|
805 |
|
(4,555 |
) |
(8,158 |
) |
| |
|
|
|
|
| Income before share of
loss in equity method investments, net of income
taxes |
|
2,829 |
|
13,053 |
|
26,550 |
|
| |
|
|
|
|
| Share of loss in equity method
investments, net of income taxes |
|
(35,689 |
) |
(403,105 |
) |
(6,606 |
) |
| |
|
|
|
|
| Net (loss) income |
|
(32,860 |
) |
(390,052 |
) |
19,944 |
|
| |
|
|
|
|
| Net loss attributable to the non-controlling interest
shareholders and the mezzanine equity classified as non-controlling
interest shareholders |
|
5,383 |
|
12,516 |
|
8,042 |
|
| |
|
|
|
|
| Net (loss) income attributable to controlling interest
of JOYY Inc. |
|
(27,477 |
) |
(377,536 |
) |
27,986 |
|
| |
|
|
|
|
| Accretion of subsidiaries’
redeemable convertible preferred shares to redemption value |
|
(1,250 |
) |
(1,530 |
) |
(1,566 |
) |
| Cumulative dividend on
subsidiary’s Series A Preferred Shares |
|
(1,000 |
) |
(1,000 |
) |
(1,000 |
) |
| |
|
|
|
|
| Net (loss) income
attributable to common shareholders of JOYY Inc. |
|
(29,727 |
) |
(380,066 |
) |
25,420 |
|
| |
|
|
|
|
|
|
|
| |
|
JOYY INC.UNAUDITED CONDENSED CONSOLIDATED
STATEMENTS OF OPERATIONS (CONTINUED)(All amounts in
thousands, except share, ADS and per ADS data) |
| |
|
|
| |
|
Three Months Ended |
|
|
|
March31,2022 |
|
December31,2022 |
|
March31,2023 |
| |
|
US$ |
|
US$ |
|
US$ |
| |
|
|
|
|
| Net (loss) income per
ADS |
|
|
|
|
|
—Basic |
|
(0.41 |
) |
(5.38 |
) |
0.36 |
|
—Diluted |
|
(0.41 |
) |
(5.38 |
) |
0.35 |
| |
|
|
|
|
| Weighted average number of ADS
used in calculating net (loss) income per ADS |
|
|
|
|
|
—Basic |
|
72,881,330 |
|
70,629,666 |
|
70,451,631 |
|
—Diluted |
|
72,881,330 |
|
70,629,666 |
|
80,846,062 |
|
|
|
|
|
|
|
|
(1) Live streaming revenues by geographical areas were as
follows:
| |
|
Three Months Ended |
|
|
|
March31,2022 |
|
December31,2022 |
|
March31,2023 |
| |
|
US$ |
|
US$ |
|
US$ |
| |
|
|
|
|
|
|
| Mainland China |
|
116,028 |
|
107,448 |
|
108,773 |
| Others |
|
474,071 |
|
419,975 |
|
411,620 |
| |
|
|
|
|
|
|
(2) Share-based compensation was allocated in cost of revenues
and operating expenses as follows:
| |
|
Three Months Ended |
|
|
|
March31,2022 |
|
December31,2022 |
|
March31,2023 |
| |
|
US$ |
|
US$ |
|
US$ |
| |
|
|
|
|
|
|
| Cost of revenues |
|
4,545 |
|
1,240 |
|
1,236 |
| Research and development
expenses |
|
6,410 |
|
7,018 |
|
5,761 |
| Sales and marketing expenses |
|
251 |
|
306 |
|
234 |
| General and administrative
expenses |
|
3,330 |
|
2,426 |
|
2,108 |
| |
|
|
|
|
|
|
| |
|
JOYY INC.UNAUDITED RECONCILIATION OF GAAP
AND NON-GAAP RESULTS(All amounts in thousands, except
share, ADS and per ADS data) |
| |
|
|
| |
|
Three Months Ended |
|
|
|
March31,2022 |
|
December31,2022 |
|
March31,2023 |
|
| |
|
US$ |
|
US$ |
|
US$ |
|
| |
|
|
|
|
|
Operating income (loss) |
|
6,337 |
|
(14,171 |
) |
2,531 |
|
|
Share-based compensation expenses |
|
14,536 |
|
10,990 |
|
9,339 |
|
|
Amortization of intangible assets from business acquisitions |
|
12,409 |
|
16,108 |
|
15,890 |
|
|
Impairment of goodwill and investments |
|
- |
|
14,830 |
|
- |
|
| |
|
|
|
|
|
Non-GAAP operating income |
|
33,282 |
|
27,757 |
|
27,760 |
|
|
|
|
|
|
|
| Net (loss) income |
|
(32,860 |
) |
(390,052 |
) |
19,944 |
|
| Share-based compensation
expenses |
|
14,536 |
|
10,990 |
|
9,339 |
|
| Amortization of intangible assets
from business acquisitions |
|
12,409 |
|
16,108 |
|
15,890 |
|
| Impairment of goodwill and
investments |
|
- |
|
14,830 |
|
- |
|
| (Gain) loss on disposal and
deemed disposal of investments |
|
(1,918 |
) |
(2,365 |
) |
213 |
|
| Loss (gain) on fair value change
of investments |
|
20,132 |
|
(12,532 |
) |
(1,285 |
) |
| Reconciling items on the share of
equity method investments |
|
11,143 |
|
406,073 |
|
724 |
|
| Gain on extinguishment of debt
and derivative |
|
(2,115 |
) |
(1,087 |
) |
- |
|
| Interest expenses related to the
convertible bonds’ amortization to face value |
|
629 |
|
601 |
|
578 |
|
| Income tax effects on non-GAAP
adjustments |
|
(4,518 |
) |
72 |
|
(2,311 |
) |
| |
|
|
|
|
| Non-GAAP net
income |
|
17,438 |
|
42,638 |
|
43,092 |
|
|
|
|
|
|
|
| Net (loss) income attributable to
common shareholders of JOYY Inc. |
|
(29,727 |
) |
(380,066 |
) |
25,420 |
|
| Share-based compensation
expenses |
|
14,536 |
|
10,990 |
|
9,339 |
|
| Amortization of intangible assets
from business acquisitions |
|
12,409 |
|
16,108 |
|
15,890 |
|
| Impairment of goodwill and
investments |
|
- |
|
14,830 |
|
- |
|
| (Gain) loss on disposal and
deemed disposal of investments |
|
(1,918 |
) |
(2,365 |
) |
213 |
|
| Loss (gain) on fair value change
of investments |
|
20,132 |
|
(12,532 |
) |
(1,285 |
) |
| Reconciling items on the share of
equity method investments |
|
11,143 |
|
406,073 |
|
724 |
|
| Gain on extinguishment of debt
and derivative |
|
(2,115 |
) |
(1,087 |
) |
- |
|
| Interest expenses related to the
convertible bonds’ amortization to face value |
|
629 |
|
601 |
|
578 |
|
| Accretion, cumulative dividend
and deemed dividend to subsidiaries’ preferred shareholders |
|
2,250 |
|
2,530 |
|
2,566 |
|
| Income tax effects on non-GAAP
adjustments |
|
(4,518 |
) |
72 |
|
(2,311 |
) |
| Non-GAAP adjustments for net loss
attributable to the non-controlling interest shareholders |
|
(1,930 |
) |
(5,134 |
) |
(1,267 |
) |
| |
|
|
|
|
| Non-GAAP net income
attributable tocontrolling interest and common
shareholders of JOYY Inc. |
|
20,891 |
|
50,020 |
|
49,867 |
|
|
Non-GAAP net income per ADS |
|
|
|
|
|
|
|
|
—Basic |
|
0.29 |
|
0.71 |
|
0.71 |
|
|
—Diluted |
|
0.28 |
|
0.65 |
|
0.64 |
|
| Weighted average number of ADS
used in calculating Non-GAAP net income per ADS |
|
|
|
|
|
|
|
|
—Basic |
|
72,881,330 |
|
70,629,666 |
|
70,451,631 |
|
|
—Diluted |
|
83,897,416 |
|
80,812,793 |
|
80,846,062 |
|
| |
|
|
|
|
|
|
|
|
|
|
JOYY INC.UNAUDITED SEGMENT
REPORT(All amounts in thousands, except share, ADS and per
ADS data) |
|
|
|
|
|
|
|
Three Months Ended |
|
|
|
March 31, 2023 |
|
|
|
|
|
|
|
|
|
|
BIGO |
|
All other |
|
Elimination(1) |
|
Total |
|
| |
|
US$ |
|
US$ |
|
US$ |
|
US$ |
|
| |
|
|
|
|
|
|
Net revenues |
|
|
|
|
|
|
Live streaming |
|
446,586 |
|
73,807 |
|
- |
|
520,393 |
|
|
Others |
|
21,356 |
|
41,909 |
|
(30 |
) |
63,235 |
|
|
|
|
|
|
|
|
|
Total net revenues |
|
467,942 |
|
115,716 |
|
(30 |
) |
583,628 |
|
|
|
|
|
|
|
|
|
Cost of revenues(2) |
|
(293,705 |
) |
(85,327 |
) |
30 |
|
(379,002 |
) |
|
|
|
|
|
|
|
|
Gross profit |
|
174,237 |
|
30,389 |
|
- |
|
204,626 |
|
|
Operating expenses(2) |
|
|
|
|
|
|
Research and development expenses |
|
(41,212 |
) |
(34,563 |
) |
- |
|
(75,775 |
) |
|
Sales and marketing expenses |
|
(74,084 |
) |
(23,515 |
) |
- |
|
(97,599 |
) |
|
General and administrative expenses |
|
(13,701 |
) |
(18,268 |
) |
- |
|
(31,969 |
) |
|
|
|
|
|
|
|
|
Total operating expenses |
|
(128,997 |
) |
(76,346 |
) |
- |
|
(205,343 |
) |
|
|
|
|
|
|
|
|
Other income |
|
2,950 |
|
298 |
|
- |
|
3,248 |
|
|
|
|
|
|
|
|
|
Operating income (loss) |
|
48,190 |
|
(45,659 |
) |
- |
|
2,531 |
|
|
|
|
|
|
|
|
|
Interest expenses |
|
(1,463 |
) |
(2,797 |
) |
1,151 |
|
(3,109 |
) |
|
Interest income and investment income |
|
9,216 |
|
36,070 |
|
(1,151 |
) |
44,135 |
|
|
Foreign currency exchange losses, net |
|
(9,680 |
) |
(241 |
) |
- |
|
(9,921 |
) |
|
Loss on disposal and deemed disposal of investments |
|
- |
|
(213 |
) |
- |
|
(213 |
) |
|
Gain on fair value change of investments |
|
688 |
|
597 |
|
- |
|
1,285 |
|
|
|
|
|
|
|
|
|
Income (loss) before income tax expenses |
|
46,951 |
|
(12,243 |
) |
- |
|
34,708 |
|
|
|
|
|
|
|
|
|
Income tax expenses |
|
(3,569 |
) |
(4,589 |
) |
- |
|
(8,158 |
) |
|
|
|
|
|
|
|
|
Income (loss) before share of loss in equity method
investments, net of income taxes |
|
43,382 |
|
(16,832 |
) |
- |
|
26,550 |
|
|
|
|
|
|
|
|
|
Share of loss in equity method investments, net of income
taxes |
|
- |
|
(6,606 |
) |
- |
|
(6,606 |
) |
|
|
|
|
|
|
|
|
Net income (loss) |
|
43,382 |
|
(23,438 |
) |
- |
|
19,944 |
|
|
|
|
|
|
|
|
(1) The elimination mainly consists of revenues and expenses
generated from services among BIGO and all other segments, and
interest income and interest expenses generated from the loan
between BIGO and all other segments.
(2) Share-based compensation was allocated in cost of revenues
and operating expenses as follows:
| |
|
Three Months Ended |
| |
|
March 31, 2023 |
| |
|
|
|
|
|
BIGO |
|
All other |
|
Total |
|
| |
|
US$ |
|
US$ |
|
US$ |
|
|
|
|
|
|
|
|
|
|
|
Cost of revenues |
|
650 |
|
586 |
|
1,236 |
|
|
Research and development expenses |
|
2,827 |
|
2,934 |
|
5,761 |
|
|
Sales and marketing expenses |
|
96 |
|
138 |
|
234 |
|
|
General and administrative expenses |
|
758 |
|
1,350 |
|
2,108 |
|
|
|
|
|
|
|
|
|
|
| |
|
JOYY INC.UNAUDITED RECONCILIATION OF GAAP
AND NON-GAAP RESULTS OF UNAUDITED SEGMENT REPORT(All
amounts in thousands, except share, ADS and per ADS data) |
| |
|
|
| |
|
Three Months Ended |
| |
|
March 31, 2023 |
| |
|
|
|
|
|
BIGO |
|
All other |
|
Total |
|
| |
|
US$ |
|
US$ |
|
US$ |
|
|
|
|
|
|
|
|
Operating income (loss) |
|
48,190 |
|
(45,659 |
) |
2,531 |
|
|
Share-based compensation expenses |
|
4,331 |
|
5,008 |
|
9,339 |
|
|
Amortization of intangible assets from business acquisitions |
|
11,225 |
|
4,665 |
|
15,890 |
|
|
|
|
|
|
|
|
Non-GAAP operating income (loss) |
|
63,746 |
|
(35,986 |
) |
27,760 |
|
| |
|
|
|
|
|
Net income (loss) |
|
43,382 |
|
(23,438 |
) |
19,944 |
|
|
Share-based compensation expenses |
|
4,331 |
|
5,008 |
|
9,339 |
|
|
Amortization of intangible assets from business acquisitions |
|
11,225 |
|
4,665 |
|
15,890 |
|
|
Gain on fair value change of investments |
|
(688 |
) |
(597 |
) |
(1,285 |
) |
|
Loss on disposal and deemed disposal of investments |
|
- |
|
213 |
|
213 |
|
|
Reconciling items on the share of equity method investments |
|
- |
|
724 |
|
724 |
|
|
Interest expenses related to the convertible bonds’ amortization to
face value |
|
- |
|
578 |
|
578 |
|
|
Income tax effects on non-GAAP adjustments |
|
(1,415 |
) |
(896 |
) |
(2,311 |
) |
|
|
|
|
|
|
|
Non-GAAP net income (loss) |
|
56,835 |
|
(13,743 |
) |
43,092 |
|
|
|
|
|
|
|
|
|
|
JOYY INC.UNAUDITED
SEGMENTREPORT(All amounts in thousands,
except share, ADS and per ADS data) |
|
|
|
|
|
|
|
Three Months Ended |
|
|
|
December 31, 2022 |
|
|
|
|
|
|
|
|
|
|
BIGO |
|
All other |
|
Elimination(1) |
|
Total |
|
| |
|
US$ |
|
US$ |
|
US$ |
|
US$ |
|
| |
|
|
|
|
|
|
Net revenues |
|
|
|
|
|
|
Live streaming |
|
452,425 |
|
74,998 |
|
- |
|
527,423 |
|
|
Others |
|
24,038 |
|
53,480 |
|
(32 |
) |
77,486 |
|
|
|
|
|
|
|
|
|
Total net revenues |
|
476,463 |
|
128,478 |
|
(32 |
) |
604,909 |
|
|
|
|
|
|
|
|
|
Cost of revenues(2) |
|
(296,865 |
) |
(95,746 |
) |
32 |
|
(392,579 |
) |
|
|
|
|
|
|
|
|
Gross profit |
|
179,598 |
|
32,732 |
|
- |
|
212,330 |
|
|
|
|
|
|
|
|
|
Operating expenses(2) |
|
|
|
|
|
|
Research and development expenses |
|
(39,927 |
) |
(33,699 |
) |
- |
|
(73,626 |
) |
|
Sales and marketing expenses |
|
(75,458 |
) |
(25,354 |
) |
- |
|
(100,812 |
) |
|
General and administrative expenses |
|
(12,394 |
) |
(29,492 |
) |
- |
|
(41,886 |
) |
|
Goodwill impairment |
|
- |
|
(14,830 |
) |
- |
|
(14,830 |
) |
|
|
|
|
|
|
|
|
Total operating expenses |
|
(127,779 |
) |
(103,375 |
) |
- |
|
(231,154 |
) |
|
|
|
|
|
|
|
|
Other income |
|
3,904 |
|
749 |
|
- |
|
4,653 |
|
|
|
|
|
|
|
|
|
Operating income (loss) |
|
55,723 |
|
(69,894 |
) |
- |
|
(14,171 |
) |
|
|
|
|
|
|
|
|
Interest expenses |
|
(1,311 |
) |
(2,884 |
) |
1,013 |
|
(3,182 |
) |
|
Interest income and investment income |
|
4,400 |
|
28,633 |
|
(1,013 |
) |
32,020 |
|
|
Foreign currency exchange losses, net |
|
(12,250 |
) |
(793 |
) |
- |
|
(13,043 |
) |
|
Gain on extinguishment of debt and derivative |
|
- |
|
1,087 |
|
- |
|
1,087 |
|
|
Gain on disposal and deemed disposal of investments |
|
- |
|
2,365 |
|
- |
|
2,365 |
|
|
Gain on fair value change of investments |
|
1,612 |
|
10,920 |
|
- |
|
12,532 |
|
|
|
|
|
|
|
|
|
Income (loss)before
income tax expenses |
|
48,174 |
|
(30,566 |
) |
- |
|
17,608 |
|
|
|
|
|
|
|
|
|
Income tax expenses |
|
(3,523 |
) |
(1,032 |
) |
- |
|
(4,555 |
) |
|
|
|
|
|
|
|
|
Income (loss) before share of loss in equity method
investments, net of income taxes |
|
44,651 |
|
(31,598 |
) |
- |
|
13,053 |
|
|
|
|
|
|
|
|
|
Share of loss in equity method investments, net of income
taxes |
|
- |
|
(403,105 |
) |
- |
|
(403,105 |
) |
|
|
|
|
|
|
|
|
Net income (loss) |
|
44,651 |
|
(434,703 |
) |
- |
|
(390,052 |
) |
|
|
|
|
|
|
|
(1) The elimination mainly consists of revenues and expenses
generated from services among BIGO and all other segments, and
interest income and interest expenses generated from the loan
between BIGO and all other segments.
(2) Share-based compensation was allocated in cost of revenues
and operating expenses as follows:
| |
|
Three Months Ended |
| |
|
December 31, 2022 |
| |
|
|
|
|
|
BIGO |
|
All other |
|
Total |
|
| |
|
US$ |
|
US$ |
|
US$ |
|
|
|
|
|
|
|
|
|
|
|
Cost of revenues |
|
680 |
|
560 |
|
1,240 |
|
|
Research and development expenses |
|
3,158 |
|
3,860 |
|
7,018 |
|
|
Sales and marketing expenses |
|
122 |
|
184 |
|
306 |
|
|
General and administrative expenses |
|
850 |
|
1,576 |
|
2,426 |
|
|
|
|
|
|
|
|
|
|
| |
|
JOYY INC.UNAUDITED RECONCILIATION OF GAAP
AND NON-GAAP RESULTS OF UNAUDITED SEGMENT REPORT(All
amounts in thousands, except share, ADS and per ADS data) |
| |
|
|
| |
|
Three Months Ended |
| |
|
December 31, 2022 |
| |
|
|
|
|
|
BIGO |
|
All other |
|
Total |
|
| |
|
US$ |
|
US$ |
|
US$ |
|
|
|
|
|
|
|
|
Operating income (loss) |
|
55,723 |
|
(69,894 |
) |
(14,171 |
) |
|
Share-based compensation expenses |
|
4,810 |
|
6,180 |
|
10,990 |
|
|
Amortization of intangible assets from business acquisitions |
|
11,225 |
|
4,883 |
|
16,108 |
|
|
Impairment of goodwill and investments |
|
- |
|
14,830 |
|
14,830 |
|
|
|
|
|
|
|
|
Non-GAAP operating income (loss) |
|
71,758 |
|
(44,001 |
) |
27,757 |
|
| |
|
|
|
|
|
Net income (loss) |
|
44,651 |
|
(434,703 |
) |
(390,052 |
) |
|
Share-based compensation expenses |
|
4,810 |
|
6,180 |
|
10,990 |
|
|
Amortization of intangible assets from business acquisitions |
|
11,225 |
|
4,883 |
|
16,108 |
|
|
Impairment of goodwill and investments |
|
- |
|
14,830 |
|
14,830 |
|
|
Gain on fair value change of investments |
|
(1,612 |
) |
(10,920 |
) |
(12,532 |
) |
|
Gain on disposal and deemed disposal of investments |
|
- |
|
(2,365 |
) |
(2,365 |
) |
|
Reconciling items on the share of equity method investments |
|
- |
|
406,073 |
|
406,073 |
|
|
Gain on extinguishment of debt and derivative |
|
- |
|
(1,087 |
) |
(1,087 |
) |
|
Interest expenses related to the convertible bonds’ amortization to
face value |
|
- |
|
601 |
|
601 |
|
|
Income tax effects on non-GAAP adjustments |
|
(1,415 |
) |
1,487 |
|
72 |
|
|
|
|
|
|
|
|
Non-GAAP net income (loss) |
|
57,659 |
|
(15,021 |
) |
42,638 |
|
|
|
|
|
|
|
|
|
|
JOYY INC.UNAUDITED SEGMENT
REPORT(All amounts in thousands, except share, ADS and per
ADS data) |
|
|
|
|
|
|
|
Three Months Ended |
|
|
|
March 31, 2022 |
|
|
|
|
|
|
|
|
|
|
BIGO |
|
All other |
|
Elimination(1) |
|
Total |
|
| |
|
US$ |
|
US$ |
|
US$ |
|
US$ |
|
| |
|
|
|
|
|
|
Net revenues |
|
|
|
|
|
|
Live streaming |
|
513,154 |
|
76,945 |
|
- |
|
590,099 |
|
|
Others |
|
21,429 |
|
12,283 |
|
(31 |
) |
33,681 |
|
|
|
|
|
|
|
|
|
Total net revenues |
|
534,583 |
|
89,228 |
|
(31 |
) |
623,780 |
|
|
|
|
|
|
|
|
|
Cost of revenues(2) |
|
(350,563 |
) |
(72,092 |
) |
31 |
|
(422,624 |
) |
|
|
|
|
|
|
|
|
Gross profit |
|
184,020 |
|
17,136 |
|
- |
|
201,156 |
|
|
Operating expenses(2) |
|
|
|
|
|
|
Research and development expenses |
|
(46,606 |
) |
(17,492 |
) |
- |
|
(64,098 |
) |
|
Sales and marketing expenses |
|
(81,937 |
) |
(22,430 |
) |
- |
|
(104,367 |
) |
|
General and administrative expenses |
|
(14,634 |
) |
(17,461 |
) |
- |
|
(32,095 |
) |
|
|
|
|
|
|
|
|
Total operating expenses |
|
(143,177 |
) |
(57,383 |
) |
- |
|
(200,560 |
) |
|
|
|
|
|
|
|
|
Other income |
|
4,351 |
|
1,390 |
|
- |
|
5,741 |
|
|
|
|
|
|
|
|
|
Operating income (loss) |
|
45,194 |
|
(38,857 |
) |
- |
|
6,337 |
|
|
|
|
|
|
|
|
|
Interest expenses |
|
(788 |
) |
(3,069 |
) |
788 |
|
(3,069 |
) |
|
Interest income and investment income |
|
1,003 |
|
18,004 |
|
(788 |
) |
18,219 |
|
|
Foreign currency exchange losses, net |
|
(2,857 |
) |
(507 |
) |
- |
|
(3,364 |
) |
|
Gain on extinguishment of debt and derivative |
|
- |
|
2,115 |
|
- |
|
2,115 |
|
|
Gain on disposal and deemed disposal of investments |
|
- |
|
1,918 |
|
- |
|
1,918 |
|
|
Loss on fair value change of investments |
|
- |
|
(20,132 |
) |
- |
|
(20,132 |
) |
|
|
|
|
|
|
|
|
Income (loss) before income tax expenses |
|
42,552 |
|
(40,528 |
) |
- |
|
2,024 |
|
|
|
|
|
|
|
|
|
Income tax benefits (expenses) |
|
2,108 |
|
(1,303 |
) |
- |
|
805 |
|
|
|
|
|
|
|
|
|
Income (loss) before share of loss in equity method
investments, net of income taxes |
|
44,660 |
|
(41,831 |
) |
- |
|
2,829 |
|
|
|
|
|
|
|
|
|
Share of loss in equity method investments, net of income
taxes |
|
- |
|
(35,689 |
) |
- |
|
(35,689 |
) |
|
|
|
|
|
|
|
|
Net income (loss) |
|
44,660 |
|
(77,520 |
) |
- |
|
(32,860 |
) |
|
|
|
|
|
|
|
(1) The elimination mainly consists of revenues and expenses
generated from services among BIGO and all other segments, and
interest income and interest expenses generated from the loan
between BIGO and all other segments.
(2) Share-based compensation was allocated in cost of revenues
and operating expenses as follows:
| |
|
Three Months Ended |
| |
|
March 31, 2022 |
| |
|
|
|
|
|
BIGO |
|
All other |
|
Total |
|
| |
|
US$ |
|
US$ |
|
US$ |
|
|
|
|
|
|
|
|
|
|
|
Cost of revenues |
|
1,386 |
|
3,159 |
|
4,545 |
|
|
Research and development expenses |
|
4,629 |
|
1,781 |
|
6,410 |
|
|
Sales and marketing expenses |
|
77 |
|
174 |
|
251 |
|
|
General and administrative expenses |
|
1,443 |
|
1,887 |
|
3,330 |
|
|
|
|
|
|
|
|
|
|
| |
|
JOYY INC.UNAUDITED RECONCILIATION OF GAAP
AND NON-GAAP RESULTS OF UNAUDITED SEGMENT REPORT(All
amounts in thousands, except share, ADS and per ADS data) |
| |
|
|
| |
|
Three Months Ended |
| |
|
March 31, 2022 |
| |
|
|
|
|
|
BIGO |
|
All other |
|
Total |
|
| |
|
US$ |
|
US$ |
|
US$ |
|
|
|
|
|
|
|
|
Operating income (loss) |
|
45,194 |
|
(38,857 |
) |
6,337 |
|
|
Share-based compensation expenses |
|
7,535 |
|
7,001 |
|
14,536 |
|
|
Amortization of intangible assets from business acquisitions |
|
11,225 |
|
1,184 |
|
12,409 |
|
|
|
|
|
|
|
|
Non-GAAP operating income (loss) |
|
63,954 |
|
(30,672 |
) |
33,282 |
|
| |
|
|
|
|
|
Net income (loss) |
|
44,660 |
|
(77,520 |
) |
(32,860 |
) |
|
Share-based compensation expenses |
|
7,535 |
|
7,001 |
|
14,536 |
|
|
Amortization of intangible assets from business acquisitions |
|
11,225 |
|
1,184 |
|
12,409 |
|
|
Loss on fair value change of investments |
|
- |
|
20,132 |
|
20,132 |
|
|
Gain on disposal and deemed disposal of investments |
|
- |
|
(1,918 |
) |
(1,918 |
) |
|
Reconciling items on the share of equity method investments |
|
- |
|
11,143 |
|
11,143 |
|
|
Gain on extinguishment of debt and derivative |
|
- |
|
(2,115 |
) |
(2,115 |
) |
|
Interest expenses related to the convertible bonds’ amortization to
face value |
|
- |
|
629 |
|
629 |
|
|
Income tax effects on non-GAAP adjustments |
|
(3,517 |
) |
(1,001 |
) |
(4,518 |
) |
|
|
|
|
|
|
|
Non-GAAP net income (loss) |
|
59,903 |
|
(42,465 |
) |
17,438 |
|
|
|
|
|
|
|
JOYY (NASDAQ:YY)
Historical Stock Chart
From Mar 2024 to Apr 2024
JOYY (NASDAQ:YY)
Historical Stock Chart
From Apr 2023 to Apr 2024
