Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16]

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 6-K

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 OR 15d-16

UNDER THE SECURITIES EXCHANGE ACT OF 1934

For the month of August 2023

Commission File Number: 001-36765

Hello Group Inc.

20^th Floor, Block B

Tower 2, Wangjing SOHO

No.1 Futongdong Street

Chaoyang District, Beijing 100102

People’s Republic of China

(Address of principal executive offices)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

Form 20-F ☒ Form 40-F ☐

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.


Hello Group Inc.

By:		/s/ Cathy Hui Peng
Name:		Cathy Hui Peng
Title:		Chief Financial Officer

Date: August 31, 2023

Exhibit Index

Exhibit 99.1—Press Release

Exhibit 99.1

Hello Group Inc. Announces Unaudited Financial Results for the Second Quarter of 2023

BEIJING, CHINA, August 31, 2023 – Hello Group Inc. (NASDAQ: MOMO) (“Hello Group” or the “Company”), a leading mobile social and entertainment platform in China, today announced its unaudited financial results for the second quarter of 2023.

Second Quarter of 2023 Highlights

•

Net revenues increased by 0.9% year over year to RMB3,137.7 million (US$432.7 million^*) in the second quarter of 2023.

•

Net income attributable to Hello Group Inc. increased to RMB568.4 million (US$78.4 million) in the second quarter of 2023, from RMB345.6 million in the same period of 2022.

•

Non-GAAP net income attributable to Hello Group Inc. (note 1) increased to RMB632.1 million (US$87.2 million) in the second quarter of 2023, from RMB463.5 million in the same period of 2022.

•

Diluted net income per American Depositary Share (“ADS”) was RMB2.82 (US$0.39) in the second quarter of 2023, compared to RMB1.68 in the same period of 2022.

•

Non-GAAP diluted net income per ADS (note 1) was RMB3.14 (US$0.43) in the second quarter of 2023, compared to RMB2.22 in the same period of 2022.

•

Monthly Active Users (“MAU”) on Tantan application were 17.3 million in June 2023, compared to 24.8 million in June 2022.

•

For the Momo app total paying users was 7.9 million for the second quarter of 2023, compared to 8.6 million for the same period last year. Tantan had 1.4 million paying users for the second quarter of 2023 compared to 2.2 million from the year ago period.

First Half of 2023 Highlights

•

Net revenues decreased by 4.8% year over year to RMB5,956.5 million (US$821.4 million) for the first half of 2023.

•

Net income attributable to Hello Group Inc. was RMB958.7 million (US$132.2 million) for the first half of 2023, compared to RMB635.5 million during the same period of 2022.

•

Non-GAAP net income attributable to Hello Group Inc. (note 1) was RMB1,104.1 million (US$152.3 million) for the first half of 2023, compared to RMB862.0 million during the same period of 2022.

•

Diluted net income per ADS was RMB4.78 (US$0.66) for the first half of 2023, compared to RMB3.11 during the same period of 2022.

•

Non-GAAP diluted net income per ADS (note 1) was RMB5.49 (US$0.76) for the first half of 2023, compared to RMB4.16 during the same period of 2022.

“We delivered solid results in the second quarter, with strong financial performance and good progress on the execution of our various strategic priorities.” Commented Yan Tang, Chairman and CEO of Hello Group.

This press release contains translations of certain Renminbi amounts into U.S. dollars at specified rates solely for the convenience of readers. Unless otherwise noted, all translations from Renminbi to U.S. dollars, in this press release, were made at a rate of RMB7.2513 to US$1.00, the effective noon buying rate for June 30, 2023 as set forth in the H.10 statistical release of the Federal Reserve Board.

“We celebrated Momo’s 12th anniversary recently. I am glad to see how we have grown from a single-function app to a multi-brand listed company with a presence in several countries and regions. In Q2 we achieved the first year on year topline growth since the beginning of the pandemic three years ago, thanks to the stabilization and recovery of Momo’s cash cow business. The Group level profitability improved significantly both year on year and from the previous quarter, mainly due to our effective cost control initiatives, which led to Tantan’s break-even and the stable performance of Momo.” Commented Sichuan Zhang, COO of Hello Group.

Second Quarter of 2023 Financial Results

Net revenues

Total net revenues were RMB3,137.7 million (US$432.7 million) in the second quarter of 2023, an increase of 0.9% from RMB3,110.4 million in the second quarter of 2022.

Live video service revenues were RMB1,588.8 million (US$219.1 million) in the second quarter of 2023, an increase of 4.5% from RMB1,520.0 million during the same period of 2022. The increase was primarily attributable to the increase in average revenues per paying user (“ARPPU”) driven by new operational events and gamified features.

Value-added service revenues mainly include virtual gift revenues and membership subscription revenues. Total value-added service revenues were RMB1,499.5 million (US$206.8 million) in the second quarter of 2023, a decrease of 2.4% from RMB1,536.4 million during the same period of 2022. The decrease was mainly due to a decline in Momo and Tantan’s paying user, which put pressure on respective businesses value-added service revenues. However, the decrease was partially offset by the rapid revenue growth from the new standalone apps.

Mobile marketing revenues were RMB37.0 million (US$5.1 million) in the second quarter of 2023, an increase of 3.0% from RMB35.9 million during the same period of 2022.

Mobile games revenues were RMB2.6 million (US$0.4 million) in the second quarter of 2023, a decrease of 84.8% from RMB17.2 million in the second quarter of 2022. The decrease in mobile game revenues was mainly due to the Company’s strategic decision to pivot away from game distribution business.

Net revenues from the Momo segment increased from RMB2,779.5 million in the second quarter of 2022 to RMB2,816.6 million (US$388.4 million) in the second quarter of 2023, primarily due to the increase in net revenues from live video service and the new standalone apps. The increase completely offset the decrease of value-added service on Momo application. Net revenues from the Tantan segment decreased from RMB330.8 million in the second quarter of 2022 to RMB320.7 million (US$44.2 million) in the second quarter of 2023, due to the decrease in net revenues from membership subscription.

Cost and expenses

Cost and expenses were RMB2,515.5 million (US$346.9 million) in the second quarter of 2023, a decrease of 10.3% from RMB2,804.8 million in the second quarter of 2022. The decrease was primarily attributable to: (a) a decrease in sales and marketing expenses due to our initiatives to control cost and optimize Tantan’s channel marketing strategy and our reduction of marketing costs of new apps; (b) a decrease in salary expenses and share-based compensation expenses, due to our continuous optimization in personnel costs and the decreased fair value of newly granted share options. The decrease was partially offset by the increase in revenue sharing with broadcasters related to our live video service and with virtual gift recipients for new standalone apps.

Non-GAAP cost and expenses (note 1) were RMB2,451.8 million (US$338.1 million) in the second quarter of 2023, a decrease of 8.7% from RMB2,686.9 million during the same period of 2022.

Other operating income

Other operating income was RMB22.9 million (US$3.2 million) in the second quarter of 2023, a decrease from RMB40.6 million during the second quarter of 2022. The other operating income mainly consisted of government incentives and additional input VAT deduction.

Income from operations

Income from operations was RMB645.1 million (US$89.0 million) in the second quarter of 2023, compared to RMB346.2 million during the same period of 2022. Income from operations of the Momo segment was RMB618.8 million (US$85.3 million) in the second quarter of 2023, which increased from RMB483.5 million in the second quarter of 2022. Income from operations of the Tantan segment was RMB30.2 million (US$4.2 million) in the second quarter of 2023, compared to a loss from operations of RMB131.3 million in the second quarter of 2022.

Non-GAAP income from operations (note 1) was RMB708.8 million (US$97.8 million) in the second quarter of 2023, compared to RMB464.1 million during the same period of 2022. Non-GAAP income from operations of the Momo segment was RMB680.8 million (US$93.9 million) in the second quarter of 2023, which increased from RMB589.2 million in the second quarter of 2022. Non-GAAP income from operations of the Tantan segment was RMB31.9 million (US$4.4 million) in the second quarter of 2023, compared to a non-GAAP loss from operations of RMB119.0 million in the second quarter of 2022.

Income tax expenses

Income tax expenses were RMB166.0 million (US$22.9 million) in the second quarter of 2023, compared to RMB146.0 million in the second quarter of 2022. The increase was primarily due to the higher profit from Momo segment in the second quarter of 2023.

Net income

Net income was RMB567.6 million (US$78.3 million) in the second quarter of 2023, compared to RMB344.3 million during the same period of 2022. Net income from the Momo segment was RMB542.4 million (US$74.8 million) in the second quarter of 2023, compared to RMB482.0 million in the same period of 2022. Net income from the Tantan segment was RMB29.1 million (US$4.0 million) in the second quarter of 2023, compared to a net loss of RMB131.7 million in the second quarter of 2022.

Non-GAAP net income (note 1) was RMB631.3 million (US$87.1 million) in the second quarter of 2023, compared to RMB462.3 million during the same period of 2022. Non-GAAP net income from the Momo segment was RMB604.4 million (US$83.4million) in the second quarter of 2023, which increased from RMB587.6 million in the second quarter of 2022. Non-GAAP net income of the Tantan segment was RMB30.8 million (US$4.3 million) in the second quarter of 2023, compared to a non-GAAP net loss of RMB119.4 million in the second quarter of 2022.

Net income attributable to Hello Group Inc.

Net income attributable to Hello Group Inc. was RMB568.4 million (US$78.4 million) in the second quarter of 2023, compared to RMB345.6 million during the same period of 2022.

Non-GAAP net income (note 1) attributable to Hello Group Inc. was RMB632.1 million (US$87.2 million) in the second quarter of 2023, compared to RMB463.5 million during the same period of 2022.

Net income per ADS

Diluted net income per ADS was RMB2.82 (US$0.39) in the second quarter of 2023, compared to RMB1.68 in the second quarter of 2022.

Non-GAAP diluted net income per ADS (note 1) was RMB3.14 (US$0.43) in the second quarter of 2023, compared to RMB2.22 in the second quarter of 2022.

Cash and cash flow

As of June 30, 2023, the Company’s cash, cash equivalents, short-term deposits, long-term deposits, short-term investments, short-term restricted cash and long-term restricted cash totaled RMB11,267.4 million (US$1,553.9 million), compared to RMB13,398.8 million as of December 31, 2022. In the second quarter of 2023, we paid an equivalent of RMB937.2 million (US$129.3 million) cash dividend to our shareholders, and in late June we prepaid an equivalent of RMB2,258.5 million (US$322.1 million) cash to repurchase our convertible senior notes, which was settled in early July.

Net cash provided by operating activities in the second quarter of 2023 was RMB827.7 million (US$114.2 million), compared to RMB200.3 million in the second quarter of 2022.

First Half of 2023 Financial Results

Net revenues for the first half of 2023 were RMB5,956.5 million (US$821.4 million), a decrease of 4.8% from RMB6,258.5 million in the same period of 2022.

Net income attributable to Hello Group Inc. was RMB958.7 million (US$132.2 million) for the first half of 2023, compared to RMB635.5 million during the same period of 2022.

Non-GAAP net income attributable to Hello Group Inc. (note 1) was RMB1,104.1 million (US$152.3 million) for the first half of 2023, compared to RMB862.0 million during the same period of 2022.

Diluted net income per ADS was RMB4.78 (US$0.66) during the first half of 2023, compared to RMB3.11 in the same period of 2022.

Non-GAAP diluted net income per ADS (note 1) was RMB5.49 (US$0.76) during the first half of 2023, compared to RMB4.16 in the same period of 2022.

Net cash provided by operating activities was RMB1,278.8 million (US$176.4 million) during the first half of 2023, compared to RMB243.7 million in the same period of 2022.

Recent Development

Execution of share repurchase program

On June 7, 2022, Hello Group’s board of directors authorized a share repurchase program under which the Company may repurchase up to US$200 million of its shares over the next 24 months. As of August 31, 2023, the Company has repurchased 12.1 million ADSs for US$57.2 million on the open market under this program, at an average purchase price of US$4.72 per ADS.

Business Outlook

For the third quarter of 2023, the Company expects total net revenues to be between RMB2.9 billion to RMB3.0 billion, representing a decrease of 10.3% to 7.2% year over year. This forecast reflects the Company’s current and preliminary views on the market and operational conditions, which are subject to change.

Note 1: Non-GAAP measures

To supplement our consolidated financial statements presented in accordance with U.S. generally accepted accounting principles (“GAAP”), we, Hello Group, use various non-GAAP financial measures that are adjusted from the most comparable GAAP results to exclude share-based compensation.

Reconciliations of our non-GAAP financial measures to our U.S. GAAP financial measures are shown in tables at the end of this earnings release, which provide more details about the non-GAAP financial measures.

Our non-GAAP financial information is provided as additional information to help investors compare business trends among different reporting periods on a consistent basis and to enhance investors’ overall understanding of the historical and current financial performance of our continuing operations and our prospects for the future. Our non-GAAP financial information should be considered in addition to results prepared in accordance with GAAP, but should not be considered a substitute for or superior to the GAAP results. In addition, our calculation of the non-GAAP financial measures may be different from the calculation used by other companies, and therefore comparability may be limited.

Our non-GAAP information (including non-GAAP cost and operating expenses, income (loss) from operations, net income (loss), net income attributable to Hello Group Inc., and diluted net income per ADS) is adjusted from the most comparable GAAP results to exclude share-based compensation. A limitation of using these non-GAAP financial measures is that share-based compensation has been and will continue to be for the foreseeable future significant recurring expenses in our results of operations. We compensate for such limitation by providing reconciliations of our non-GAAP measures to our U.S. GAAP measures. Please see the reconciliation tables at the end of this earnings release.

Conference Call

Hello Group’s management will host an earnings conference call on Thursday, August 31, 2023, at 8:00 a.m. U.S. Eastern Time (8:00 p.m. Beijing / Hong Kong Time on August 31, 2023).

Participants can register for the conference call by navigating to:

https://s1.c-conf.com/diamondpass/10033114-tr54ev.html

Upon registration, each participant will receive details for the conference call, including dial-in numbers, conference call passcode and a unique access PIN. Please dial in 10 minutes before the call is scheduled to begin.

A telephone replay of the call will be available after the conclusion of the conference call through September 7, 2023. The dial-in details for the replay are as follows:

U.S. / Canada: 1-855-883-1031

Hong Kong: 800-930-639

Passcode: 10033114

Additionally, a live and archived webcast of the conference call will be available on the Investor Relations section of Hello Group’s website at https://ir.hellogroup.com.

About Hello Group Inc.

We are a leading player in China’s online social and entertainment space. Through Momo, Tantan and other properties within our product portfolio, we enable users to discover new relationships, expand their social connections and build meaningful interactions. Momo is a mobile application that connects people and facilitates social interactions based on location, interests and a variety of online recreational activities. Tantan, which was added into our family of applications through acquisition in May 2018, is a leading social and dating application. Tantan is designed to help its users find and establish romantic connections as well as meet interesting people. We also operate a number of other applications to serve different social and entertainment demands from our users.

For investor and media inquiries, please contact:

Hello Group Inc.

Investor Relations

Phone: +86-10-5731-0538

Email: ir@hellogroup.com

Christensen

In China

Mr. Eric Yuan

Phone: +86-10-5900-1548

E-mail: eric.yuan@christensencomms.com

In U.S.

Ms. Linda Bergkamp

Phone: +1-480-614-3004

Email: linda.bergkamp@christensencomms.com

Safe Harbor Statement

This news release contains “forward-looking” statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements include but are not limited to our management quotes, our financial outlook for the third quarter of 2023, as well as the amount of, timing, methods and funding sources for repurchases of our shares under the share repurchase program.

Our forward-looking statements are not historical facts but instead represent only our belief regarding expected results and events, many of which, by their nature, are inherently uncertain and outside of our control. Our actual results and other circumstances may differ, possibly materially, from the anticipated results and events indicated in these forward-looking statements. Announced results for the second quarter of 2023 are preliminary, unaudited and subject to audit adjustment. In addition, we may not meet our financial outlook for the third quarter of 2023 and may be unable to grow our business in the manner planned. We may also modify our strategy for growth. Moreover, there are other risks and uncertainties that could cause our actual results to differ from what we currently anticipate, including those relating to our ability to retain and grow our user base, our ability to attract and retain sufficiently trained professionals to support our operations, our ability to anticipate and develop new services and enhance existing services to meet the demand of our users or customers, the impact of the COVID-19 pandemic on the Company’s business operations and the economy in China, the market price of the Company’s stock prevailing from time to time, the nature of other investment opportunities presented to the Company from time to time, the Company’s cash flows from operations, general economic conditions, and other factors. For additional information on these and other important factors that could adversely affect our business, financial condition, results of operations, and prospects, please see our filings with the U.S. Securities and Exchange Commission.

All information provided in this press release and in the attachments is as of the date of the press release. We undertake no obligation to update any forward-looking statement, whether as a result of new information, future events or otherwise, after the date of this release, except as required by law. Such information speaks only as of the date of this release.

Hello Group Inc.

Unaudited Condensed Consolidated Statement of Operations

(All amounts in thousands, except share and per share data)


	Three months Ended June 30									First half year Ended June 30
	2022 RMB			2023 RMB			2023 US$			2022 RMB			2023 RMB			2023 US$
Net revenues:
Live video service		1,519,978			1,588,849			219,112			3,128,701			3,018,189			416,227
Value-added service		1,536,384			1,499,482			206,788			3,019,815			2,860,951			394,543
Mobile marketing		35,913			36,986			5,101			63,786			58,057			8,006
Mobile games		17,200			2,606			359			42,697			6,305			869
Other services		940			9,763			1,347			3,494			13,042			1,800

Total net revenues		3,110,415			3,137,686			432,707			6,258,493			5,956,544			821,445
Cost and expenses:
Cost of revenues		(1,797,846	)		(1,819,559	)		(250,929	)		(3,619,234	)		(3,483,747	)		(480,431	)
Research and development		(238,262	)		(214,649	)		(29,601	)		(488,457	)		(451,452	)		(62,258	)
Sales and marketing		(610,953	)		(356,525	)		(49,167	)		(1,199,530	)		(736,311	)		(101,542	)
General and administrative		(157,746	)		(124,787	)		(17,209	)		(317,581	)		(263,085	)		(36,281	)

Total cost and expenses		(2,804,807	)		(2,515,520	)		(346,906	)		(5,624,802	)		(4,934,595	)		(680,512	)
Other operating income, net		40,570			22,919			3,161			64,501			59,313			8,180

Income from operations		346,178			645,085			88,962			698,192			1,081,262			149,113
Interest income		93,630			115,321			15,903			191,487			215,108			29,665
Interest expense		(28,231	)		(11,963	)		(1,650	)		(47,565	)		(22,378	)		(3,086	)
Other gain or loss, net		66,303			4,565			630			77,922			4,565			630

Income before income tax and share of income on equity method investments		477,880			753,008			103,845			920,036			1,278,557			176,322
Income tax expenses		(146,045	)		(165,969	)		(22,888	)		(296,819	)		(288,582	)		(39,797	)

Income before share of income on equity method investments		331,835			587,039			80,957			623,217			989,975			136,525
Share of income (loss) on equity method investments		12,513			(19,439	)		(2,681	)		9,913			(32,914	)		(4,539	)

Net income		344,348			567,600			78,276			633,130			957,061			131,986

Less: net loss attributable to non-controlling interest		(1,221	)		(795	)		(110	)		(2,324	)		(1,623	)		(224	)

Net income attributable to the shareholders of Hello Group Inc.		345,569			568,395			78,386			635,454			958,684			132,210

Net income per share attributable to ordinary shareholders		0.87			1.50			0.21			1.60			2.54			0.35
Basic
Diluted		0.84			1.41			0.19			1.56			2.39			0.33
Weighted average shares used in calculating net income per ordinary share		396,777,496			377,920,901			377,920,901			396,013,164			377,471,487			377,471,487
Basic
Diluted		434,212,413			409,201,815			409,201,815			432,896,998			409,151,850			409,151,850

Hello Group Inc.

Unaudited Condensed Consolidated Statement of Comprehensive Income

(All amounts in thousands, except share and per share data)

Three months
Ended June 30

First half year
Ended June 30

2022

2023

2022

2023

RMB

US$

RMB

US$

Net income

344,348

567,600

78,276

633,130

957,061

131,986

Other comprehensive (loss) income, net of tax:

Foreign currency translation adjustment

(151,539

)

107,975

14,890

(140,489

)

110,156

15,191

Comprehensive income

192,809

675,575

93,166

492,641

1,067,217

147,177

Less: comprehensive income attributed to the non-controlling interest

8,915

10,188

1,405

6,879

8,518

1,175

Comprehensive income attributable to Hello Group Inc.

183,894

665,387

91,761

485,762

1,058,699

146,002

Hello Group Inc.

Unaudited Condensed Consolidated Balance Sheets

(All amounts in thousands, except share and per share data)


	December 31 2022 RMB		June 30 2023 RMB		June 30 2023 US$
Assets
Current assets
Cash and cash equivalents		5,018,129		4,615,319		636,482
Short-term deposits		5,300,000		3,250,000		448,195
Restricted cash		97,706		9,379		1,293
Short-term investments		300,240		305,730		42,162
Accounts receivable, net of allowance for doubtful accounts of RMB5,870 and RMB13,498 as of December 31, 2022 and June 30, 2023, respectively		188,711		203,239		28,028
Amounts due from related parties		55		—		—
Prepaid expenses and other current assets		819,706		2,953,856		407,355

Total current assets		11,724,547		11,337,523		1,563,515
Long-term deposits		2,600,000		3,000,000		413,719
Long-term restricted cash		82,766		87,016		12,000
Right-of-use assets, net		115,520		78,302		10,798
Property and equipment, net		172,984		141,230		19,477
Intangible assets, net		22,203		19,645		2,709
Rental deposits		20,737		19,786		2,729
Long-term investments		893,988		874,202		120,558
Other non-current assets		162,499		176,777		24,379
Deferred tax assets		34,343		33,885		4,673

Total assets		15,829,587		15,768,366		2,174,557

Liabilities and equity
Current liabilities
Accounts payable		617,022		638,944		88,116
Deferred revenue		484,775		462,636		63,800
Accrued expenses and other current liabilities		797,504		657,012		90,606
Amounts due to related parties		9,178		12,076		1,665
Lease liabilities due within one year		88,352		46,121		6,360
Income tax payable		68,765		65,048		8,971
Dividends payable		—		20,884		2,879
Deferred consideration in connection with business acquisitions		26,483		27,842		3,840
Convertible senior notes-current		2,646,168		2,425,857		334,541

Total current liabilities		4,738,247		4,356,420		600,778
Deferred tax liabilities		22,011		103,994		14,341
Lease liabilities		33,281		31,106		4,290
Other non-current liabilities		105,410		103,817		14,317

Total liabilities		4,898,949		4,595,337		633,726
Shareholder’s equity (i)		10,930,638		11,173,029		1,540,831

Total liabilities and shareholder’s equity		15,829,587		15,768,366		2,174,557

(i):	As of June 30, 2023, the number of ordinary shares outstanding was 379,047,992.

Hello Group Inc.

Unaudited Condensed Consolidated Statement of Cash Flows

(All amounts in thousands, except share and per share data)


	Three months Ended June 30									First half year Ended June 30
	2022 RMB			2023 RMB			2023 US$			2022 RMB			2023 RMB			2023 US$
Cash flows from operating activities:
Net income		344,348			567,600			78,276			633,130			957,061			131,986
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation of property and equipment		28,081			18,787			2,591			56,060			41,631			5,741
Amortization of intangible assets		1,279			1,279			176			2,558			2,558			353
Share-based compensation		117,948			63,748			8,792			226,564			145,405			20,053
Share of (income) loss on equity method investments		(12,513	)		19,439			2,681			(9,913	)		32,914			4,539
Gain on repurchase of convertible senior notes		(66,303	)		(4,565	)		(630	)		(77,922	)		(4,565	)		(630	)
Cash received on distributions from equity method investments		1,708			1,349			186			1,708			1,349			186
Gain or loss on disposal of property and equipment		180			(527	)		(73	)		140			(460	)		(63	)
Provision of loss on receivable and other assets		365			1,022			141			367			10,204			1,407
Changes in operating assets and liabilities:
Accounts receivable		(9,927	)		(20,117	)		(2,774	)		(7,278	)		(20,665	)		(2,850	)
Prepaid expenses and other current assets		(13,584	)		170,514			23,515			(57,562	)		194,866			26,873
Amounts due from related parties		—			—			—			—			55			8
Rental deposits		3,136			951			131			683			951			131
Deferred tax assets		—			17			2			(1,576	)		457			63
Other non-current assets		19,075			30,424			4,196			60,690			22,939			3,163
Accounts payable		(16,996	)		11,459			1,580			(105,954	)		31,838			4,391
Income tax payable		(30,714	)		2,674			369			(35,288	)		(3,719	)		(513	)
Deferred revenue		(11,921	)		(14,062	)		(1,939	)		(54,535	)		(22,873	)		(3,154	)
Accrued expenses and other current liabilities		(63,615	)		(54,827	)		(7,561	)		(195,833	)		(187,560	)		(25,866	)
Amount due to related parties		(3,240	)		(272	)		(38	)		(3,397	)		2,897			400
Deferred tax liabilities		(61,942	)		48,397			6,674			(157,327	)		82,517			11,380
Other non-current liabilities		(25,016	)		(15,548	)		(2,144	)		(31,656	)		(8,984	)		(1,239	)

Net cash provided by operating activities		200,349			827,742			114,151			243,659			1,278,816			176,359
Cash flows from investing activities:
Purchase of property and equipment		(21,694	)		(11,010	)		(1,518	)		(43,341	)		(21,244	)		(2,930	)
Payment for long-term investments		(55,343	)		(9,000	)		(1,241	)		(55,343	)		(9,000	)		(1,241	)
Purchase of short-term deposits		—			—			—			—			(497,342	)		(68,587	)
Cash received on maturity of short-term deposits		100,000			2,609,820			359,911			1,010,000			3,509,820			484,026
Cash received on investment income distribution		—			1,517			209			3,523			1,517			209
Purchase of long-term deposits		(400,000	)		(1,350,000	)		(186,174	)		(1,550,000	)		(1,350,000	)		(186,174	)
Cash received on maturity of long—term deposits		1,200,000			—			—			1,200,000			—			—
Other investing activities		318			947			131			322			1,685			232

Net cash provided by investing activities		823,281			1,242,274			171,318			565,161			1,635,436			225,535
Cash flows from financing activities:
Deferred payment for business acquisition		—			—			—			(5,563	)		—			—
Proceeds from exercise of share options		2			16			2			33			19			3
Repurchase of ordinary shares		(2,335	)		—			—			(2,335	)		(3,237	)		(446	)
Repurchase of subsidiary’s share options		(21,110	)		(2,557	)		(353	)		(25,537	)		(4,096	)		(565	)
Dividends payment		(840,997	)		(937,249	)		(129,253	)		(840,997	)		(937,249	)		(129,253	)
Payment in relation to redemption of convertible bonds		(1,002,537	)		(2,114,224	)		(291,565	)		(1,112,544	)		(2,593,010	)		(357,592	)

Net cash used in financing activities		(1,866,977	)		(3,054,014	)		(421,169	)		(1,986,943	)		(3,537,573	)		(487,853	)
Effect of exchange rate changes		93,897			145,860			20,115			78,286			136,434			18,814

Net decrease in cash and cash equivalents		(749,450	)		(838,138	)		(115,585	)		(1,099,837	)		(486,887	)		(67,145	)
Cash, cash equivalents and restricted cash at the beginning of period		5,296,647			5,549,852			765,360			5,647,034			5,198,601			716,920
Cash, cash equivalents and restricted cash at the end of period		4,547,197			4,711,714			649,775			4,547,197			4,711,714			649,775

Hello Group Inc.

Reconciliation of Non-GAAP financial measures to comparable GAAP measures

(All amounts in thousands, except per share data)

Reconciliation of Non-GAAP cost and operating expenses, income from operations, and net income to comparable GAAP measures.


	Three months								Three months								Three months
	Ended June 30, 2022								Ended June 30, 2023								Ended June 30, 2023
	GAAP RMB			Share-based compensation RMB		Non-GAAP RMB			GAAP RMB			Share-based compensation RMB		Non-GAAP RMB			GAAP US$			Share-based compensation US$		Non-GAAP US$
Cost of revenues		(1,797,846	)		7,914		(1,789,932	)		(1,819,559	)		1,552		(1,818,007	)		(250,929	)		214		(250,715	)
Research and development		(238,262	)		23,965		(214,297	)		(214,649	)		13,821		(200,828	)		(29,601	)		1,906		(27,695	)
Sales and marketing		(610,953	)		10,894		(600,059	)		(356,525	)		6,813		(349,712	)		(49,167	)		940		(48,227	)
General and administrative		(157,746	)		75,175		(82,571	)		(124,787	)		41,562		(83,225	)		(17,209	)		5,732		(11,477	)

Cost and operating expenses		(2,804,807	)		117,948		(2,686,859	)		(2,515,520	)		63,748		(2,451,772	)		(346,906	)		8,792		(338,114	)
Income from operations		346,178			117,948		464,126			645,085			63,748		708,833			88,962			8,792		97,754
Net income attributable to Hello Group Inc.		345,569			117,948		463,517			568,395			63,748		632,143			78,386			8,792		87,178

Hello Group Inc.

Reconciliation of Non-GAAP financial measures to comparable GAAP measures

(All amounts in thousands, except per share data)

Reconciliation of Non-GAAP cost and operating expenses, income from operations, and net income to comparable GAAP measures-continued.


	First half year								First half year								First half year
	Ended June 30, 2022								Ended June 30, 2023								Ended June 30, 2023
	GAAP RMB			Share-based compensation RMB		Non-GAAP RMB			GAAP RMB			Share-based compensation RMB		Non-GAAP RMB			GAAP US$			Share-based compensation US$		Non-GAAP US$
Cost of revenues		(3,619,234	)		10,992		(3,608,242	)		(3,483,747	)		3,187		(3,480,560	)		(480,431	)		440		(479,991	)
Research and development		(488,457	)		44,939		(443,518	)		(451,452	)		36,193		(415,259	)		(62,258	)		4,991		(57,267	)
Sales and marketing		(1,199,530	)		21,499		(1,178,031	)		(736,311	)		14,559		(721,752	)		(101,542	)		2,008		(99,534	)
General and administrative		(317,581	)		149,134		(168,447	)		(263,085	)		91,466		(171,619	)		(36,281	)		12,614		(23,667	)

Cost and operating expenses		(5,624,802	)		226,564		(5,398,238	)		(4,934,595	)		145,405		(4,789,190	)		(680,512	)		20,053		(660,459	)
Income from operations		698,192			226,564		924,756			1,081,262			145,405		1,226,667			149,113			20,053		169,166
Net income attributable to Hello Group Inc.		635,454			226,564		862,018			958,684			145,405		1,104,089			132,210			20,053		152,263

Hello Group Inc.

Unaudited Condensed Segment Report

(All amounts in thousands, except share and per share data)


	Three months
	Ended June 30, 2023
	Momo RMB			Tantan RMB			QOOL RMB			Total RMB			Total US$
Net revenues:
Live video service		1,443,602			145,247			—			1,588,849			219,112
Value-added service		1,329,310			170,172			—			1,499,482			206,788
Mobile marketing		31,670			5,316			—			36,986			5,101
Mobile games		2,606			—			—			2,606			359
Other services		9,459			—			304			9,763			1,347

Total net revenues		2,816,647			320,735			304			3,137,686			432,707
Cost and expenses (ii):
Cost of revenues		(1,658,335	)		(160,651	)		(573	)		(1,819,559	)		(250,929	)
Research and development		(163,040	)		(51,609	)		—			(214,649	)		(29,601	)
Sales and marketing		(282,903	)		(72,378	)		(1,244	)		(356,525	)		(49,167	)
General and administrative		(116,197	)		(6,198	)		(2,392	)		(124,787	)		(17,209	)

Total cost and expenses		(2,220,475	)		(290,836	)		(4,209	)		(2,515,520	)		(346,906	)
Other operating income, net		22,648			271			—			22,919			3,161

Income (loss) from operations		618,820			30,170			(3,905	)		645,085			88,962
Interest income		114,946			358			17			115,321			15,903
Interest expense		(11,963	)		—			—			(11,963	)		(1,650	)
Other gain or loss, net		4,565			—			—			4,565			630

Income (loss) before income tax and share of income on equity method investments		726,368			30,528			(3,888	)		753,008			103,845
Income tax expenses		(164,541	)		(1,428	)		—			(165,969	)		(22,888	)

Income (loss) before share of income on equity method investments		561,827			29,100			(3,888	)		587,039			80,957
Share of loss on equity method investments		(19,439	)		—			—			(19,439	)		(2,681	)

Net income (loss)		542,388			29,100			(3,888	)		567,600			78,276

(ii)	Share-based compensation was allocated in cost of revenues and operating expenses as follows:


	Three months
	Ended June 30, 2023
	Momo RMB		Tantan RMB		QOOL RMB		Total RMB		Total US$
Cost of revenues		1,437		115		—		1,552		214
Research and development		12,222		1,599		—		13,821		1,906
Sales and marketing		6,813		—		—		6,813		940
General and administrative		41,554		8		—		41,562		5,732

Total cost and expenses		62,026		1,722		—		63,748		8,792

Hello Group Inc.

Reconciliation of GAAP and NON-GAAP Results of Unaudited Segment Report

(All amounts in thousands, except share and per share data)


	Three months
	Ended June 30, 2023
	Momo RMB		Tantan RMB		QOOL RMB			Total RMB		Total US$
Income (loss) from operations		618,820		30,170		(3,905	)		645,085		88,962
Share-based compensation		62,026		1,722		—			63,748		8,792

Non-GAAP income (loss) from operations		680,846		31,892		(3,905	)		708,833		97,754
Net income (loss)		542,388		29,100		(3,888	)		567,600		78,276
Share-based compensation		62,026		1,722		—			63,748		8,792

Non-GAAP net income (loss)		604,414		30,822		(3,888	)		631,348		87,068

Hello Group Inc.

Unaudited Condensed Segment Report

(All amounts in thousands, except share and per share data)


	Three months
	Ended June 30, 2022
	Momo RMB			Tantan RMB			QOOL RMB			Total RMB			Total US$¹
Net revenues:
Live video service		1,403,596			116,382			—			1,519,978			226,927
Value-added service		1,321,967			214,417			—			1,536,384			229,376
Mobile marketing		35,913			—			—			35,913			5,362
Mobile games		17,200			—			—			17,200			2,568
Other services		782			—			158			940			140

Total net revenues		2,779,458			330,799			158			3,110,415			464,373
Cost and expenses (iii):
Cost of revenues		(1,631,584	)		(165,696	)		(566	)		(1,797,846	)		(268,411	)
Research and development		(171,614	)		(66,648	)		—			(238,262	)		(35,572	)
Sales and marketing		(386,496	)		(223,311	)		(1,146	)		(610,953	)		(91,213	)
General and administrative		(144,574	)		(8,685	)		(4,487	)		(157,746	)		(23,551	)

Total cost and expenses		(2,334,268	)		(464,340	)		(6,199	)		(2,804,807	)		(418,747	)
Other operating income		38,344			2,225			1			40,570			6,057

Income (loss) from operations		483,534			(131,316	)		(6,040	)		346,178			51,683
Interest income		93,506			52			72			93,630			13,979
Interest expense		(28,231	)		—			—			(28,231	)		(4,215	)
Other gain or loss, net		66,303			—			—			66,303			9,899

Income (loss) before income tax and share of income on equity method investments		615,112			(131,264	)		(5,968	)		477,880			71,346
Income tax expenses		(145,628	)		(417	)		—			(146,045	)		(21,804	)

Income (loss) before share of income on equity method investments		469,484			(131,681	)		(5,968	)		331,835			49,542
Share of income on equity method investments		12,513			—			—			12,513			1,868

Net income (loss)		481,997			(131,681	)		(5,968	)		344,348			51,410

(iii)

Share-based compensation was allocated in cost of revenues and operating expenses as follows:


	Three months
	Ended June 30, 2022
	Momo RMB		Tantan RMB		QOOL RMB		Total RMB		Total US$
Cost of revenues		2,152		5,762		—		7,914		1,182
Research and development		17,659		6,306		—		23,965		3,578
Sales and marketing		10,693		201		—		10,894		1,626
General and administrative		75,134		41		—		75,175		11,223

Total cost and expenses		105,638		12,310		—		117,948		17,609

¹	All translations from RMB to U.S. dollars are made at a rate of RMB6. 6981 to US$1.00, the effective noon buying rate for June 30, 2022 as set forth in the H.10 statistical release of the Federal Reserve Board.

Hello Group Inc.

Reconciliation of GAAP and NON-GAAP Results of Unaudited Segment Report

(All amounts in thousands, except share and per share data)


	Three months Ended June 30, 2022
	Momo RMB		Tantan RMB			QOOL RMB			Total RMB		Total US$
Income (loss) from operations		483,534		(131,316	)		(6,040	)		346,178		51,683
Share-based compensation		105,638		12,310			—			117,948		17,609

Non-GAAP income (loss) from operations		589,172		(119,006	)		(6,040	)		464,126		69,292
Net income (loss)		481,997		(131,681	)		(5,968	)		344,348		51,410
Share-based compensation		105,638		12,310			—			117,948		17,609

Non-GAAP net income (loss)		587,635		(119,371	)		(5,968	)		462,296		69,019

Hello Group Inc.

Unaudited Condensed Segment Report

(All amounts in thousands, except share and per share data)


	First half year Ended June 30, 2023
	Momo RMB			Tantan RMB			QOOL RMB			Total RMB			Total US$
Net revenues:
Live video service		2,733,320			284,869			—			3,018,189			416,227
Value-added service		2,522,854			338,097			—			2,860,951			394,543
Mobile marketing		51,691			6,366			—			58,057			8,006
Mobile games		6,305			—			—			6,305			869
Other services		12,596			—			446			13,042			1,800

Total net revenues		5,326,766			629,332			446			5,956,544			821,445
Cost and expenses (iv):
Cost of revenues		(3,158,866	)		(323,765	)		(1,116	)		(3,483,747	)		(480,431	)
Research and development		(332,348	)		(119,104	)		—			(451,452	)		(62,258	)
Sales and marketing		(595,543	)		(138,230	)		(2,538	)		(736,311	)		(101,542	)
General and administrative		(244,275	)		(13,944	)		(4,866	)		(263,085	)		(36,281	)

Total cost and expenses		(4,331,032	)		(595,043	)		(8,520	)		(4,934,595	)		(680,512	)
Other operating income		58,126			1,125			62			59,313			8,180

Income (loss) from operations		1,053,860			35,414			(8,012	)		1,081,262			149,113
Interest income		214,477			562			69			215,108			29,665
Interest expense		(22,378	)		—			—			(22,378	)		(3,086	)
Other gain or loss, net		4,565			—			—			4,565			630

Income (loss) before income tax and share of income on equity method investments		1,250,524			35,976			(7,943	)		1,278,557			176,322
Income tax expenses		(286,183	)		(2,399	)		—			(288,582	)		(39,797	)

Income (loss) before share of income on equity method investments		964,341			33,577			(7,943	)		989,975			136,525
Share of income on equity method investments		(32,914	)		—			—			(32,914	)		(4,539	)

Net income (loss)		931,427			33,577			(7,943	)		957,061			131,986

(iv)	Share-based compensation was allocated in cost of revenues and operating expenses as follows:


	First half year Ended June 30, 2023
	Momo RMB		Tantan RMB		QOOL RMB		Total RMB		Total US$
Cost of revenues		3,055		132		—		3,187		440
Research and development		25,392		10,801		—		36,193		4,991
Sales and marketing		14,554		5		—		14,559		2,008
General and administrative		91,450		16		—		91,466		12,614

Total cost and expenses		134,451		10,954		—		145,405		20,053

Hello Group Inc.

Reconciliation of GAAP and NON-GAAP Results of Unaudited Segment Report

(All amounts in thousands, except share and per share data)


	First half year ended June 30, 2023
	Momo RMB		Tantan RMB		QOOL RMB			Total RMB		Total US$
Operating income (loss)		1,053,860		35,414		(8,012	)		1,081,262		149,113
Share-based compensation		134,451		10,954		—			145,405		20,053

Non-GAAP operating income (loss)		1,188,311		46,368		(8,012	)		1,226,667		169,166
Net income (loss)		931,427		33,577		(7,943	)		957,061		131,986
Share-based compensation		134,451		10,954		—			145,405		20,053

Non-GAAP net income (loss)		1,065,878		44,531		(7,943	)		1,102,466		152,039

Hello Group Inc.

Unaudited Condensed Segment Report

(All amounts in thousands, except share and per share data)


	First half year Ended June 30, 2022
	Momo RMB			Tantan RMB			QOOL RMB			Total RMB			Total US$
Net revenues:
Live video service		2,887,119			241,582			—			3,128,701			467,103
Value-added service		2,581,559			438,256			—			3,019,815			450,847
Mobile marketing		63,786			—			—			63,786			9,523
Mobile games		42,697			—			—			42,697			6,374
Other services		3,172			—			322			3,494			521

Total net revenues		5,578,333			679,838			322			6,258,493			934,368
Cost and expenses (v):
Cost of revenues		(3,276,411	)		(341,911	)		(912	)		(3,619,234	)		(540,337	)
Research and development		(359,913	)		(128,544	)		—			(488,457	)		(72,925	)
Sales and marketing		(704,176	)		(493,458	)		(1,896	)		(1,199,530	)		(179,085	)
General and administrative		(291,770	)		(16,761	)		(9,050	)		(317,581	)		(47,414	)

Total cost and expenses		(4,632,270	)		(980,674	)		(11,858	)		(5,624,802	)		(839,761	)
Other operating income		56,690			7,769			42			64,501			9,630

Income (loss) from operations		1,002,753			(293,067	)		(11,494	)		698,192			104,237
Interest income		191,249			104			134			191,487			28,588
Interest expense		(47,565	)		—			—			(47,565	)		(7,101	)
Other gain or loss, net		77,922			—			—			77,922			11,633

Income (loss) before income tax and share of income on equity method investments		1,224,359			(292,963	)		(11,360	)		920,036			137,357
Income tax expenses		(295,733	)		(1,086	)		—			(296,819	)		(44,314	)

Income (loss) before share of income on equity method investments		928,626			(294,049	)		(11,360	)		623,217			93,043
Share of income on equity method investments		9,913			—			—			9,913			1,480

Net income (loss)		938,539			(294,049	)		(11,360	)		633,130			94,523

(v)	Share-based compensation was allocated in cost of revenues and operating expenses as follows:


	First half year Ended June 30, 2022
	Momo RMB		Tantan RMB		QOOL RMB		Total RMB		Total US$
Cost of revenues		3,999		6,993		—		10,992		1,641
Research and development		36,112		8,827		—		44,939		6,709
Sales and marketing		21,283		216		—		21,499		3,210
General and administrative		149,047		87		—		149,134		22,265

Total cost and expenses		210,441		16,123		—		226,564		33,825

Hello Group Inc.

Reconciliation of GAAP and NON-GAAP Results of Unaudited Segment Report

(All amounts in thousands, except share and per share data)


	First half year ended June 30, 2022
	Momo RMB		Tantan RMB			QOOL RMB			Total RMB		Total US$
Operating income (loss)		1,002,753		(293,067	)		(11,494	)		698,192		104,237
Share-based compensation		210,441		16,123			—			226,564		33,825

Non-GAAP operating income (loss)		1,213,194		(276,944	)		(11,494	)		924,756		138,062
Net income (loss)		938,539		(294,049	)		(11,360	)		633,130		94,523
Share-based compensation		210,441		16,123			—			226,564		33,825

Non-GAAP net income (loss)		1,148,980		(277,926	)		(11,360	)		859,694		128,348