JOYY Inc. (NASDAQ: YY) (“JOYY” or the “Company”), a global
technology company, today announced its unaudited financial results
for the fourth quarter and full year of 2023.
Fourth Quarter 2023 Financial
Highlights1
- Net revenues were US$569.8
million, compared to US$604.9 million in the corresponding period
of 2022.
- Net income attributable to controlling
interest of JOYY2 was US$45.8 million, compared to net
loss of US$377.5 million in the corresponding period of 2022.
- Non-GAAP net income attributable to
controlling interest and common shareholders of JOYY3 was
US$64.2 million, compared to US$50.0 million in the corresponding
period of 2022.
Full Year 2023
Highlights
- Net revenues were US$2,267.9 million, compared
to US$2,411.5 million in 2022.
- Net income attributable to controlling interest of
JOYY was US$301.8 million, compared to US$128.9 million in
2022.
- Non-GAAP net income attributable to controlling
interest and common shareholders of JOYY was US$292.5
million, compared to US$199.3 million in 2022.
Fourth Quarter 2023 Operational
Highlights
- Average mobile MAUs of Bigo Live increased by
4.5% to 38.4 million from 36.8 million in the corresponding period
of 2022.
- Average mobile MAUs of Likee was 39.1 million,
compared to 45.3 million in the corresponding period of 2022,
primarily due to reduced spending on user acquisition via
advertisement.
- Average mobile MAUs of Hago was 4.6 million,
compared to 6.7 million in the corresponding period of 2022,
primarily due to reduced spending on user acquisition via
advertisement.
- Global average mobile MAUs4 increased by 2.6%
to 274.9 million from 267.9 million in the corresponding period of
2022.
- Total number of paying users of BIGO
(including Bigo Live, Likee and imo)5 increased by 7.9% to 1.67
million from 1.55 million in the corresponding period of 2022.
- Average revenue per paying user of BIGO
(including Bigo Live, Likee and imo)6 was US$244.8, compared to
US$251.3 in the corresponding period of 2022.
Mr. David Xueling Li, Chairman and Chief Executive Officer of
JOYY, commented, "2023 proved to be a year of progress. Our focus
on continuous product enhancements, nimble operational strategies,
and our strong execution yielded positive results, despite the
prevailing macro challenges. Importantly, global average mobile
MAUs have now resumed year-over-year growth for three consecutive
quarters. Our relentless optimization of operational efficiency led
to enhanced profitability for the third consecutive year. During
the fourth quarter, BIGO sustained its top line recovery, with
revenue increasing by 3.1% on an annual basis, driven by a steady
7.9% year-over-year growth in its number of paying users. As we
move into 2024, globalization through localization remains our
foremost strategy and the cornerstone of our global success. We
will continue to cultivate our content and social ecosystems to
steadily grow our thriving user community and reinforce our
leadership in core geographic regions. We will dedicate our
resources to build our core strengths, and carefully explore
long-term growth opportunities. By driving innovations in both our
products and operations, we expect to further diversify our revenue
stream and capture long-term sustainable growth. We remain
committed to creating and returning value to our shareholders, and
our track record over the past three years is a testament to our
long-term dedication.”
Fourth Quarter 2023 Financial
Results
NET REVENUES
Net revenues were US$569.8 million in the fourth quarter of
2023, compared to US$604.9 million in the corresponding period of
2022.
Live streaming revenues were US$486.2 million in the fourth
quarter of 2023, compared to US$527.4 million in the corresponding
period of 2022, primarily due to our proactive adjustments to
certain non-core products, partially offset by the increase in the
live streaming revenues of BIGO.
Other revenues increased by 7.9% to US$83.6 million in the
fourth quarter of 2023 from US$77.5 million in the corresponding
period of 2022.
COST OF REVENUES AND GROSS PROFIT
Cost of revenues decreased by 6.2% to US$368.4 million in the
fourth quarter of 2023 from US$392.6 million in the corresponding
period of 2022. Revenue-sharing fees and content costs were
US$242.2 million in the fourth quarter of 2023, compared to
US$247.5 million in the corresponding period of 2022.
Gross profit was US$201.5 million in the fourth quarter of 2023,
compared to US$212.3 million in the corresponding period of 2022.
Gross margin was 35.4% in the fourth quarter of 2023, compared to
35.1% in the corresponding period of 2022.
OPERATING EXPENSES AND INCOME
Operating expenses were US$199.4 million in the fourth quarter
of 2023, compared to US$231.2 million in the corresponding period
of 2022. Among the operating expenses, sales and marketing expenses
decreased to US$92.3 million in the fourth quarter of 2023 from
US$100.8 million in the corresponding period of 2022, primarily due
to the Company’s optimization of overall sales and marketing
strategies across various product lines to focus more on
return-on-investment and effectiveness of user acquisition. General
and administrative expenses decreased to US$34.6 million in the
fourth quarter of 2023 from US$41.9 million in the corresponding
period of 2022, mainly due to the Company's efforts in improving
management efficiency during the year.
Operating income was US$4.8 million in the fourth quarter of
2023, compared to operating loss of US$14.2 million in the
corresponding period of 2022. Operating income margin was 0.8% in
the fourth quarter of 2023, compared to operating loss margin of
2.3% in the corresponding period of 2022.
Non-GAAP operating income7 was US$27.9 million in the fourth
quarter of 2023, compared to US$27.8 million in the corresponding
period of 2022. Non-GAAP operating income margin8 was 4.9% in the
fourth quarter of 2023, compared to 4.6% in the corresponding
period of 2022.
NET INCOME
Net income attributable to controlling interest of JOYY was
US$45.8 million in the fourth quarter of 2023, compared to net loss
of US$377.5 million in the corresponding period of 2022. The net
loss in the fourth quarter of 2022 was primarily due to an
impairment loss from an equity method investment recognized in that
quarter. Net income margin was 8.0% in the fourth quarter of 2023,
compared to net loss margin of 62.4% in the corresponding period of
2022.
Non-GAAP net income attributable to controlling interest and
common shareholders of JOYY was US$64.2 million in the fourth
quarter of 2023, compared to US$50.0 million in the corresponding
period of 2022. Non-GAAP net income margin9 was 11.3% in the fourth
quarter of 2023, compared to non-GAAP net income margin of 8.3% in
the corresponding period of 2022.
NET INCOME PER ADS
Diluted net income per ADS10 was US$0.74 in the fourth quarter
of 2023, compared to diluted net loss per ADS of US$5.38 in the
corresponding period of 2022.
Non-GAAP diluted net income per ADS11 was US$1.01 in the fourth
quarter of 2023, compared to US$0.65 in the corresponding period of
2022.
BALANCE SHEET AND CASH FLOWS
As of December 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$3,685.6 million. For the fourth quarter of 2023, net cash
from operating activities was US$97.2 million.
SHARES OUTSTANDING
As of December 31, 2023, the Company had a total of 1,217.4
million common shares outstanding, representing the equivalent of
60.9 million ADSs assuming the conversion of all common shares into
ADSs.
Full Year 2023
Financial Results
Net revenues for the full year of 2023 were US$2,267.9 million,
compared to US$2,411.5 million in 2022.
Operating income was US$28.8 million for the full year of 2023,
compared to US$50.7 million in 2022. Operating income margin was
1.3 % in 2023, compared to 2.1% in 2022.
Non-GAAP operating income was US$130.5 million for the full year
of 2023, compared to US$164.0 million in 2022. Non-GAAP operating
income margin was 5.8 % in 2023, compared to 6.8% in 2022.
Net income attributable to controlling interest of JOYY for the
full year of 2023 increased by 134.2% to US$301.8 million from
US$128.9 million in 2022, primarily as a result of disciplined
marketing spending, realized gains from the disposal of certain
investments during the year, and increased interest income driven
by higher market interest rates. Net income margin for the full
year of 2023 was 13.3%, compared to 5.3% in 2022.
Non-GAAP net income attributable to controlling interest and
common shareholders of JOYY for the full year of 2023 increased by
46.8% to US$292.5 million from US$199.3 million in 2022. Non-GAAP
net income margin for the full year of 2023 was 12.9%, compared to
8.3% in 2022.
Diluted net income per ADS for the full year of 2023 was
US$4.90, compared to US$1.59 in 2022. Non-GAAP diluted net income
per ADS was US$4.13 in 2023, compared to US$2.54 in 2022.
Business Outlook
For the first quarter of 2024, the Company expects net revenues
to be between US$543 million and US$560 million. This forecast
reflects the Company’s current and preliminary views on the market,
operational conditions and business strategies, which are subject
to changes, particularly as to the potential impact from increasing
macroeconomic uncertainties.
Recent Developments
Share Repurchase Program
In November 2023, the Company’s board of directors authorized
the continued use of the unutilized quota under the pre-existing
share repurchase program of US$530 million, for another 12-month
period starting from the end of November 2023. As of March 15,
2024, the Company has repurchased US$25 million of its shares on
the open market under this program.
Latest Development in Sale of YY Live
On January 1, 2024, the Company received a written notice from
an affiliate of Baidu, purporting to terminate the share purchase
agreement, dated November 16, 2020, as subsequently amended or
supplemented, in connection with the sale of YY Live to Baidu.
Baidu asserted in the written notice that it has and exercised the
right to terminate the referenced share purchase agreement and
effectively cancel the transaction. The Company is in discussion
with Baidu on the next steps following the termination of the share
purchase agreement. The Company is also seeking legal advice and
will consider all options at its disposal in response to Baidu’s
written notice. From January 1, 2024 to the date of this press
release, the Company has not obtained control over YY Live and has
not consolidated YY Live.
Conference Call Information
The Company will hold a conference call at 9:00 PM U.S. Eastern
Time on Monday, March 18, 2024 (9:00 AM Singapore/Hong Kong Time on
Tuesday, March 19, 2024). Details for the conference call are as
follows:
Event Title: JOYY Inc. Fourth Quarter and Full Year 2023
Earnings Conference CallConference ID: #10037588
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/10037588-4kognc.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 March 26,
2024, by dialing the following numbers:
|
United States: |
1-855-883-1031 |
|
Singapore: |
800-101-3223 |
|
Hong Kong: |
800-930-639 |
|
Conference ID: |
#10037588 |
|
|
|
|
|
|
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; the developments in the sale of YY Live; fluctuations in
global economic and business conditions; and assumptions underlying
or related to any of the foregoing. A more detailed and full
discussion of those risks and other potential 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, all of which are non-GAAP financial measures
adjusted from the most comparable U.S. GAAP results. 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 (referring 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, gain on repurchase of
redeemable convertible preferred shares of a subsidiary 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, accretion, cumulative dividend and deemed dividend to
subsidiaries’ preferred shareholders and gain on repurchase of
redeemable convertible preferred shares of a subsidiary 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 affiliates of 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, 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
January 1, 2024, the Company received a written notice from an
affiliate of Baidu, purporting to terminate the share purchase
agreement, dated November 16, 2020, as subsequently amended or
supplemented, in connection with our sale of YY Live to Baidu.
Baidu asserted in the written notice that it has and exercised the
right to terminate the referenced share purchase agreement and
effectively cancel the transaction. The Company is in discussion
with Baidu on the next steps following the termination of the share
purchase agreement. The Company is also seeking legal advice and
will consider all options at its disposal in response to Baidu’s
written notice. From January 1, 2024 to the date of this press
release, the Company has not obtained control over YY Live and has
not consolidated YY Live. To the date of this press release, the
latest development of the transaction has not affected the
Company’s operating activities or financial results.
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 December 31, 2022, September 30, 2023 and December 31,
2023 and for the twelve months ended December 31, 2022 and December
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 of the above non-GAAP reconciling items and adjustments for
non-GAAP reconciling items for net (loss) income attributable to
non-controlling interest shareholders. These adjustments amounted
to US$18.4 million and US$427.6 million in the fourth 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 refers to 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) |
| |
|
|
|
|
|
|
|
| |
|
|
December
31, |
|
December
31, |
| |
|
|
2022 |
|
2023 |
| |
|
|
US$ |
|
US$ |
| Assets |
|
|
|
|
|
|
| Current assets |
|
|
|
|
|
|
| |
Cash and cash equivalents |
|
1,214,449 |
|
|
1,063,956 |
|
| |
Restricted cash and cash equivalents |
|
303,370 |
|
|
319,250 |
|
| |
Short-term deposits |
|
2,360,545 |
|
|
1,970,346 |
|
| |
Restricted short-term deposits |
|
47,741 |
|
|
57,243 |
|
| |
Short-term investments |
|
362,640 |
|
|
274,846 |
|
| |
Accounts receivable, net |
|
117,927 |
|
|
130,700 |
|
| |
Amounts due from related parties |
|
1,794 |
|
|
810 |
|
| |
Prepayments and other current assets(1) |
|
236,183 |
|
|
255,489 |
|
| |
|
|
|
|
|
|
|
| Total current assets |
|
4,644,649 |
|
|
4,072,640 |
|
| |
|
|
|
|
|
|
|
| Non-current assets |
|
|
|
|
|
|
| |
Long-term deposits |
|
- |
|
|
130,000 |
|
| |
Investments |
|
660,404 |
|
|
544,542 |
|
| |
Property and equipment, net |
|
343,201 |
|
|
390,681 |
|
| |
Land use rights, net |
|
330,005 |
|
|
316,070 |
|
| |
Intangible assets, net |
|
398,300 |
|
|
333,715 |
|
| |
Right-of-use assets, net |
|
33,196 |
|
|
30,173 |
|
| |
Goodwill |
|
2,649,307 |
|
|
2,649,281 |
|
| |
Other non-current assets |
|
12,591 |
|
|
16,763 |
|
| |
|
|
|
|
|
|
|
| Total non-current assets |
|
4,427,004 |
|
|
4,411,225 |
|
| |
|
|
|
|
|
|
|
| Total assets |
|
9,071,653 |
|
|
8,483,865 |
|
| |
|
|
|
|
|
|
|
| Liabilities, mezzanine equity and
shareholders’ equity |
|
|
|
|
|
|
| |
Short-term loan |
|
37,270 |
|
|
52,119 |
|
| |
Accounts payable |
|
56,000 |
|
|
66,755 |
|
| |
Deferred revenue |
|
86,014 |
|
|
73,673 |
|
| |
Advances from customers |
|
3,532 |
|
|
6,047 |
|
| |
Income taxes payable |
|
78,103 |
|
|
86,100 |
|
| |
Accrued liabilities and other current liabilities(1) |
|
2,360,002 |
|
|
2,381,189 |
|
| |
Amounts due to related parties |
|
3,225 |
|
|
2,533 |
|
| |
Lease liabilities due within one year |
|
12,451 |
|
|
12,388 |
|
| |
Convertible bonds |
|
435,087 |
|
|
405,603 |
|
| |
|
|
|
|
|
|
|
| Total current liabilities |
|
3,071,684 |
|
|
3,086,407 |
|
| |
|
|
|
|
|
|
|
| Non-current liabilities |
|
|
|
|
|
|
| |
Convertible bonds |
|
401,173 |
|
|
- |
|
| |
Lease liabilities |
|
21,601 |
|
|
18,422 |
|
| |
Deferred revenue |
|
9,765 |
|
|
12,932 |
|
| |
Deferred tax liabilities |
|
64,262 |
|
|
53,955 |
|
| |
Other non-current liabilities |
|
436 |
|
|
- |
|
| |
|
|
|
|
|
|
|
| Total non-current liabilities |
|
497,237 |
|
|
85,309 |
|
| |
|
|
|
|
|
|
|
| Total liabilities |
|
3,568,921 |
|
|
3,171,716 |
|
| |
|
|
|
|
|
|
|
| |
| JOYY
INC. |
| UNAUDITED
CONDENSED CONSOLIDATED BALANCE SHEETS (CONTINUED) |
| (All amounts in
thousands, except share, ADS and per ADS data) |
| |
|
|
|
|
|
| |
|
|
December 31, |
|
December 31, |
| |
|
|
2022 |
|
2023 |
| |
|
|
US$ |
|
US$ |
| |
|
|
|
|
|
| Mezzanine equity |
|
91,366 |
|
|
22,133 |
|
| |
|
|
|
|
|
| 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 890,843,639 shares outstanding as of December 31, 2023,
respectively) |
|
13 |
|
|
9 |
|
| |
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 December 31,
2023, respectively) |
|
3 |
|
|
3 |
|
| |
Treasury Shares (US$0.00001 par value; 251,663,436 and
426,996,825 shares held as of December 31, 2022 and December 31,
2023, respectively) |
|
(655,141 |
) |
|
(913,939 |
) |
| |
Additional paid-in capital |
|
3,277,978 |
|
|
3,282,754 |
|
| |
Statutory reserves |
|
32,536 |
|
|
37,709 |
|
| |
Retained earnings |
|
2,685,063 |
|
|
2,947,160 |
|
| |
Accumulated other comprehensive loss |
|
(162,235 |
) |
|
(197,010 |
) |
| |
|
|
|
|
|
| Total JOYY Inc.’s shareholders’
equity |
|
5,178,217 |
|
|
5,156,686 |
|
| |
|
|
|
|
|
| Non-controlling interests |
|
233,149 |
|
|
133,330 |
|
| |
|
|
|
|
|
| Total shareholders’ equity |
|
5,411,366 |
|
|
5,290,016 |
|
| |
|
|
|
|
|
| Total liabilities, mezzanine equity and
shareholders’ equity |
|
9,071,653 |
|
|
8,483,865 |
|
| |
|
|
|
|
|
|
(1) |
JOYY has ceased consolidation of YY Live business since February 8,
2021 and classified and presented all the related assets and
liabilities related to YY Live business on a net basis within
prepayments and other current assets. The consideration received by
the Company to date has been recorded as advance payments received
within accrued liabilities and other current liabilities. |
| |
| |
| JOYY
INC. |
| UNAUDITED
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS |
| (All amounts in
thousands, except share, ADS and per ADS data) |
| |
|
|
|
|
|
|
|
|
|
|
| |
|
Three Months Ended |
|
Twelve Months Ended |
| |
|
December 31, |
|
September 30, |
|
December 31, |
|
December 31, |
|
December 31, |
| |
|
2022 |
|
2023 |
|
2023 |
|
2022 |
|
2023 |
| |
|
US$ |
|
US$ |
|
US$ |
|
US$ |
|
US$ |
| Net revenues |
|
|
|
|
|
|
|
|
|
|
| Live
streaming(1) |
|
527,423 |
|
|
495,801 |
|
|
486,196 |
|
|
2,225,518 |
|
|
1,979,371 |
|
| Others |
|
77,486 |
|
|
71,268 |
|
|
83,643 |
|
|
185,998 |
|
|
288,499 |
|
| |
|
|
|
|
|
|
|
|
|
|
| Total net revenues |
|
604,909 |
|
|
567,069 |
|
|
569,839 |
|
|
2,411,516 |
|
|
2,267,870 |
|
| |
|
|
|
|
|
|
|
|
|
|
| Cost of revenues(2) |
|
(392,579 |
) |
|
(357,914 |
) |
|
(368,360 |
) |
|
(1,559,388 |
) |
|
(1,454,842 |
) |
| |
|
|
|
|
|
|
|
|
|
|
| Gross profit |
|
212,330 |
|
|
209,155 |
|
|
201,479 |
|
|
852,128 |
|
|
813,028 |
|
| |
|
|
|
|
|
|
|
|
|
|
| Operating expenses(2) |
|
|
|
|
|
|
|
|
|
|
| Research and development expenses |
|
(73,626 |
) |
|
(71,608 |
) |
|
(72,580 |
) |
|
(261,807 |
) |
|
(295,503 |
) |
| Sales and marketing expenses |
|
(100,812 |
) |
|
(92,515 |
) |
|
(92,258 |
) |
|
(400,435 |
) |
|
(369,577 |
) |
| General and administrative expenses |
|
(41,886 |
) |
|
(27,139 |
) |
|
(34,587 |
) |
|
(141,826 |
) |
|
(122,661 |
) |
| Goodwill impairment |
|
(14,830 |
) |
|
- |
|
|
- |
|
|
(14,830 |
) |
|
- |
|
| |
|
|
|
|
|
|
|
|
|
|
| Total operating expenses |
|
(231,154 |
) |
|
(191,262 |
) |
|
(199,425 |
) |
|
(818,898 |
) |
|
(787,741 |
) |
| |
|
|
|
|
|
|
|
|
|
|
| Loss on deconsolidation and disposal of subsidiaries |
|
- |
|
|
(6,177 |
) |
|
- |
|
|
- |
|
|
(6,177 |
) |
| Other income |
|
4,653 |
|
|
333 |
|
|
2,742 |
|
|
17,505 |
|
|
9,705 |
|
| |
|
|
|
|
|
|
|
|
|
|
| Operating (loss) income |
|
(14,171 |
) |
|
12,049 |
|
|
4,796 |
|
|
50,735 |
|
|
28,815 |
|
| |
|
|
|
|
|
|
|
|
|
|
| Interest expenses |
|
(3,182 |
) |
|
(2,139 |
) |
|
(2,115 |
) |
|
(12,770 |
) |
|
(10,420 |
) |
| Interest income and investment income |
|
32,020 |
|
|
47,330 |
|
|
47,145 |
|
|
93,148 |
|
|
185,212 |
|
| Foreign currency exchange (losses) gains, net |
|
(13,043 |
) |
|
(5,143 |
) |
|
(8,158 |
) |
|
11,666 |
|
|
(2,906 |
) |
| Gain (loss) on disposal and deemed disposal of investments |
|
2,365 |
|
|
(2,673 |
) |
|
- |
|
|
4,113 |
|
|
74,851 |
|
| Gain on fair value change of investments |
|
12,532 |
|
|
7,112 |
|
|
6,263 |
|
|
424,304 |
|
|
12,425 |
|
| Gain on extinguishment of debt and derivative |
|
1,087 |
|
|
- |
|
|
- |
|
|
63,378 |
|
|
- |
|
| |
|
|
|
|
|
|
|
|
|
|
| Income before income tax expenses |
|
17,608 |
|
|
56,536 |
|
|
47,931 |
|
|
634,574 |
|
|
287,977 |
|
| |
|
|
|
|
|
|
|
|
|
|
| Income tax expenses |
|
(4,555 |
) |
|
(3,001 |
) |
|
(2,315 |
) |
|
(34,575 |
) |
|
(18,856 |
) |
| |
|
|
|
|
|
|
|
|
|
|
| Income before share of (loss) income in equity method
investments, net of income taxes |
|
13,053 |
|
|
53,535 |
|
|
45,616 |
|
|
599,999 |
|
|
269,121 |
|
| |
|
|
|
|
|
|
|
|
|
|
| Share of (loss) income in equity method investments, net of
income taxes |
|
(403,105 |
) |
|
11,545 |
|
|
(5,527 |
) |
|
(498,431 |
) |
|
3,297 |
|
| |
|
|
|
|
|
|
|
|
|
|
| Net (loss) income |
|
(390,052 |
) |
|
65,080 |
|
|
40,089 |
|
|
101,568 |
|
|
272,418 |
|
| |
|
|
|
|
|
|
|
|
|
|
| Net loss attributable to the non-controlling interest
shareholders and the mezzanine equity classified as non-controlling
interest shareholders |
|
12,516 |
|
|
7,812 |
|
|
5,746 |
|
|
27,323 |
|
|
29,398 |
|
| |
|
|
|
|
|
|
|
|
|
|
| Net (loss) income attributable to controlling interest
of JOYY Inc. |
|
(377,536 |
) |
|
72,892 |
|
|
45,835 |
|
|
128,891 |
|
|
301,816 |
|
| |
|
|
|
|
|
|
|
|
|
|
| Accretion of subsidiaries’ redeemable convertible preferred
shares to redemption value |
|
(1,530 |
) |
|
(1,566 |
) |
|
(350 |
) |
|
(5,426 |
) |
|
(5,048 |
) |
| Cumulative dividend on subsidiary’s Series A Preferred
Shares |
|
(1,000 |
) |
|
- |
|
|
- |
|
|
(4,000 |
) |
|
(2,000 |
) |
| Gain on repurchase of redeemable convertible preferred shares
of a subsidiary |
|
- |
|
|
52,583 |
|
|
- |
|
|
- |
|
|
52,583 |
|
| |
|
|
|
|
|
|
|
|
|
|
| Net (loss) income attributable to common shareholders
of JOYY Inc. |
|
(380,066 |
) |
|
123,909 |
|
|
45,485 |
|
|
119,465 |
|
|
347,351 |
|
| |
|
|
|
|
|
|
|
|
|
|
| |
| JOYY
INC. |
| UNAUDITED
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(CONTINUED) |
| (All amounts in
thousands, except share, ADS and per ADS data) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
Three Months Ended |
|
Twelve Months Ended |
| |
|
December 31, |
|
September 30, |
|
December 31, |
|
December 31, |
|
December 31, |
| |
|
2022 |
|
2023 |
|
2023 |
|
2022 |
|
2023 |
| |
|
US$ |
|
US$ |
|
US$ |
|
US$ |
|
US$ |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Net (loss) income per ADS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
——Basic |
|
(5.38 |
) |
|
1.99 |
|
|
0.78 |
|
|
1.66 |
|
|
5.35 |
|
|
——Diluted |
|
(5.38 |
) |
|
1.86 |
|
|
0.74 |
|
|
1.59 |
|
|
4.90 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Weighted average number of ADS used in calculating net
(loss) income per ADS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
——Basic |
|
70,629,666 |
|
|
62,266,339 |
|
|
61,876,261 |
|
|
71,969,510 |
|
|
65,434,782 |
|
|
——Diluted |
|
70,629,666 |
|
|
67,669,387 |
|
|
67,384,074 |
|
|
82,272,422 |
|
|
73,148,827 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| (1) Live streaming revenues by
geographical areas were as follows: |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
Three Months Ended |
|
Twelve Months Ended |
| |
|
December 31, |
|
September 30, |
|
December 31, |
|
December 31, |
|
December 31, |
| |
|
2022 |
|
2023 |
|
2023 |
|
2022 |
|
2023 |
| |
|
US$ |
|
US$ |
|
US$ |
|
US$ |
|
US$ |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Mainland China |
|
107,448 |
|
|
59,525 |
|
|
48,928 |
|
|
464,919 |
|
|
284,761 |
|
| Others |
|
419,975 |
|
|
436,276 |
|
|
437,268 |
|
|
1,760,599 |
|
|
1,694,610 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| (2) Share-based compensation was
allocated in cost of revenues and operating expenses as
follows: |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
Three Months Ended |
|
Twelve Months Ended |
| |
|
December 31, |
|
September 30, |
|
December 31, |
|
December 31, |
|
December 31, |
| |
|
2022 |
|
2023 |
|
2023 |
|
2022 |
|
2023 |
| |
|
US$ |
|
US$ |
|
US$ |
|
US$ |
|
US$ |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Cost of revenues |
|
1,240 |
|
|
493 |
|
|
821 |
|
|
8,185 |
|
|
3,575 |
|
| Research and development expenses |
|
7,018 |
|
|
4,108 |
|
|
4,020 |
|
|
25,170 |
|
|
19,415 |
|
| Sales and marketing expenses |
|
306 |
|
|
110 |
|
|
133 |
|
|
777 |
|
|
797 |
|
| General and administrative expenses |
|
2,426 |
|
|
1,586 |
|
|
2,271 |
|
|
9,964 |
|
|
8,192 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
| JOYY
INC. |
| UNAUDITED
RECONCILIATION OF GAAP AND NON-GAAP RESULTS |
| (All amounts in
thousands, except share, ADS and per ADS data) |
| |
|
|
|
|
|
|
|
|
|
|
| |
|
Three Months Ended |
|
Twelve Months Ended |
| |
|
December 31, |
|
September 30, |
|
December 31, |
|
December 31, |
|
December 31, |
| |
|
2022 |
|
2023 |
|
2023 |
|
2022 |
|
2023 |
| |
|
US$ |
|
US$ |
|
US$ |
|
US$ |
|
US$ |
| |
|
|
|
|
|
|
|
|
|
|
| Operating
(loss) income |
|
(14,171 |
) |
|
12,049 |
|
|
4,796 |
|
|
50,735 |
|
|
28,815 |
|
| Share-based compensation expenses |
|
10,990 |
|
|
6,297 |
|
|
7,245 |
|
|
44,096 |
|
|
31,979 |
|
| Amortization of intangible assets from business
acquisitions |
|
16,108 |
|
|
15,890 |
|
|
15,890 |
|
|
54,356 |
|
|
63,560 |
|
| Impairment of goodwill and investments |
|
14,830 |
|
|
- |
|
|
- |
|
|
14,830 |
|
|
- |
|
| Loss on deconsolidation and disposal of subsidiaries |
|
- |
|
|
6,177 |
|
|
- |
|
|
- |
|
|
6,177 |
|
| |
|
|
|
|
|
|
|
|
|
|
| Non-GAAP operating income |
|
27,757 |
|
|
40,413 |
|
|
27,931 |
|
|
164,017 |
|
|
130,531 |
|
| |
|
|
|
|
|
|
|
|
|
|
| Net (loss) income |
|
(390,052 |
) |
|
65,080 |
|
|
40,089 |
|
|
101,568 |
|
|
272,418 |
|
| Share-based compensation expenses |
|
10,990 |
|
|
6,297 |
|
|
7,245 |
|
|
44,096 |
|
|
31,979 |
|
| Amortization of intangible assets from business
acquisitions |
|
16,108 |
|
|
15,890 |
|
|
15,890 |
|
|
54,356 |
|
|
63,560 |
|
| Impairment of goodwill and investments |
|
14,830 |
|
|
- |
|
|
- |
|
|
14,830 |
|
|
- |
|
| Loss on deconsolidation and disposal of subsidiaries |
|
- |
|
|
6,177 |
|
|
- |
|
|
- |
|
|
6,177 |
|
| (Gain) loss on disposal and deemed disposal of investments |
|
(2,365 |
) |
|
2,673 |
|
|
- |
|
|
(4,113 |
) |
|
(74,851 |
) |
| Gain on fair value change of investments |
|
(12,532 |
) |
|
(7,112 |
) |
|
(6,263 |
) |
|
(424,304 |
) |
|
(12,425 |
) |
| Gain on extinguishment of debt and derivative |
|
(1,087 |
) |
|
- |
|
|
- |
|
|
(63,378 |
) |
|
- |
|
| Interest expenses related to the convertible bonds’
amortization to face value |
|
601 |
|
|
238 |
|
|
239 |
|
|
2,450 |
|
|
1,583 |
|
| Income tax effects on non-GAAP adjustments |
|
72 |
|
|
(4,070 |
) |
|
(2,095 |
) |
|
(3,204 |
) |
|
(11,604 |
) |
| Reconciling items on the share of equity method
investments |
|
406,073 |
|
|
(10,521 |
) |
|
4,278 |
|
|
456,669 |
|
|
(9,091 |
) |
| |
|
|
|
|
|
|
|
|
|
|
| Non-GAAP net income |
|
42,638 |
|
|
74,652 |
|
|
59,383 |
|
|
178,970 |
|
|
267,746 |
|
| |
|
|
|
|
|
|
|
|
|
|
| Net (loss) income attributable to common shareholders of JOYY
Inc. |
|
(380,066 |
) |
|
123,909 |
|
|
45,485 |
|
|
119,465 |
|
|
347,351 |
|
| Share-based compensation expenses |
|
10,990 |
|
|
6,297 |
|
|
7,245 |
|
|
44,096 |
|
|
31,979 |
|
| Amortization of intangible assets from business
acquisitions |
|
16,108 |
|
|
15,890 |
|
|
15,890 |
|
|
54,356 |
|
|
63,560 |
|
| Impairment of goodwill and investments |
|
14,830 |
|
|
- |
|
|
- |
|
|
14,830 |
|
|
- |
|
| Loss on deconsolidation and disposal of subsidiaries |
|
- |
|
|
6,177 |
|
|
- |
|
|
- |
|
|
6,177 |
|
| (Gain) loss on disposal and deemed disposal of investments |
|
(2,365 |
) |
|
2,673 |
|
|
- |
|
|
(4,113 |
) |
|
(74,851 |
) |
| Gain on fair value change of investments |
|
(12,532 |
) |
|
(7,112 |
) |
|
(6,263 |
) |
|
(424,304 |
) |
|
(12,425 |
) |
| Gain on extinguishment of debt and derivative |
|
(1,087 |
) |
|
- |
|
|
- |
|
|
(63,378 |
) |
|
- |
|
| Interest expenses related to the convertible bonds’
amortization to face value |
|
601 |
|
|
238 |
|
|
239 |
|
|
2,450 |
|
|
1,583 |
|
| Accretion, cumulative dividend and deemed dividend to
subsidiaries’ preferred shareholders |
|
2,530 |
|
|
1,566 |
|
|
350 |
|
|
9,426 |
|
|
7,048 |
|
| Gain on repurchase of redeemable convertible preferred shares
of a subsidiary |
|
- |
|
|
(52,583 |
) |
|
- |
|
|
- |
|
|
(52,583 |
) |
| Income tax effects on non-GAAP adjustments |
|
72 |
|
|
(4,070 |
) |
|
(2,095 |
) |
|
(3,204 |
) |
|
(11,604 |
) |
| Reconciling items on the share of equity method
investments |
|
406,073 |
|
|
(10,521 |
) |
|
4,278 |
|
|
456,669 |
|
|
(9,091 |
) |
| Non-GAAP adjustments for net loss attributable to the
non-controlling interest shareholders |
|
(5,134 |
) |
|
(1,311 |
) |
|
(929 |
) |
|
(6,995 |
) |
|
(4,622 |
) |
| |
|
|
|
|
|
|
|
|
|
|
| Non-GAAP net income attributable to controlling
interest and common shareholders of JOYY Inc. |
|
50,020 |
|
|
81,153 |
|
|
64,200 |
|
|
199,298 |
|
|
292,522 |
|
| |
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
| Non-GAAP net income per ADS |
|
|
|
|
|
|
|
|
|
|
|
——Basic |
|
0.71 |
|
|
1.30 |
|
|
1.08 |
|
|
2.77 |
|
|
4.51 |
|
|
——Diluted |
|
0.65 |
|
|
1.22 |
|
|
1.01 |
|
|
2.54 |
|
|
4.13 |
|
| |
|
|
|
|
|
|
|
|
|
|
| Weighted average number of ADS used in calculating
Non-GAAP net income per ADS |
|
|
|
|
|
|
|
|
|
|
|
——Basic |
|
70,629,666 |
|
|
62,266,339 |
|
|
61,876,261 |
|
|
71,969,510 |
|
|
65,434,782 |
|
|
——Diluted |
|
80,812,793 |
|
|
67,669,387 |
|
|
67,384,074 |
|
|
82,272,422 |
|
|
73,148,827 |
|
| |
|
|
|
|
|
|
|
|
|
|
| |
| JOYY
INC. |
| UNAUDITED
SEGMENT REPORT |
| (All amounts in
thousands, except share, ADS and per ADS data) |
| |
|
|
|
|
|
|
|
| |
Three Months Ended |
| |
December 31, 2023 |
| |
|
|
|
|
|
|
|
| |
BIGO |
|
All other |
|
Elimination(1) |
|
Total |
| |
US$ |
|
US$ |
|
US$ |
|
US$ |
| Net revenues |
|
|
|
|
|
|
|
| Live
streaming |
459,152 |
|
|
27,044 |
|
|
- |
|
|
486,196 |
|
| Others |
32,109 |
|
|
51,992 |
|
|
(458 |
) |
|
83,643 |
|
| |
|
|
|
|
|
|
|
| Total net revenues |
491,261 |
|
|
79,036 |
|
|
(458 |
) |
|
569,839 |
|
| |
|
|
|
|
|
|
|
| Cost of revenues(2) |
(308,977 |
) |
|
(59,481 |
) |
|
98 |
|
|
(368,360 |
) |
| |
|
|
|
|
|
|
|
| Gross profit |
182,284 |
|
|
19,555 |
|
|
(360 |
) |
|
201,479 |
|
| |
|
|
|
|
|
|
|
| Operating expenses(2) |
|
|
|
|
|
|
|
| Research and development expenses |
(41,011 |
) |
|
(31,839 |
) |
|
270 |
|
|
(72,580 |
) |
| Sales and marketing expenses |
(74,944 |
) |
|
(17,343 |
) |
|
29 |
|
|
(92,258 |
) |
| General and administrative expenses |
(15,321 |
) |
|
(19,327 |
) |
|
61 |
|
|
(34,587 |
) |
| |
|
|
|
|
|
|
|
| Total operating expenses |
(131,276 |
) |
|
(68,509 |
) |
|
360 |
|
|
(199,425 |
) |
| |
|
|
|
|
|
|
|
| Other income |
2,003 |
|
|
739 |
|
|
- |
|
|
2,742 |
|
| |
|
|
|
|
|
|
|
| Operating income (loss) |
53,011 |
|
|
(48,215 |
) |
|
- |
|
|
4,796 |
|
| |
|
|
|
|
|
|
|
| Interest expenses |
(1,803 |
) |
|
(1,652 |
) |
|
1,340 |
|
|
(2,115 |
) |
| Interest income and investment income |
13,262 |
|
|
35,223 |
|
|
(1,340 |
) |
|
47,145 |
|
| Foreign currency exchange (losses) gains, net |
(8,176 |
) |
|
18 |
|
|
- |
|
|
(8,158 |
) |
| Gain on fair value change of investments |
1,060 |
|
|
5,203 |
|
|
- |
|
|
6,263 |
|
| |
|
|
|
|
|
|
|
| Income (loss) before income tax (expenses)
benefits |
57,354 |
|
|
(9,423 |
) |
|
- |
|
|
47,931 |
|
| |
|
|
|
|
|
|
|
| Income tax (expenses) benefits |
(5,334 |
) |
|
3,019 |
|
|
- |
|
|
(2,315 |
) |
| |
|
|
|
|
|
|
|
| Income (loss) before share of loss in equity method
investments, net of income taxes |
52,020 |
|
|
(6,404 |
) |
|
- |
|
|
45,616 |
|
| |
|
|
|
|
|
|
|
| Share of loss in equity method investments, net of income
taxes |
- |
|
|
(5,527 |
) |
|
- |
|
|
(5,527 |
) |
| |
|
|
|
|
|
|
|
| Net income (loss) |
52,020 |
|
|
(11,931 |
) |
|
- |
|
|
40,089 |
|
| |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
| (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, 2023 |
| |
|
|
|
|
|
|
|
|
|
| |
|
BIGO |
|
All other |
|
Total |
| |
|
US$ |
|
US$ |
|
US$ |
| |
|
|
|
|
|
|
|
|
|
| Cost of revenues |
|
492 |
|
|
329 |
|
|
821 |
|
| Research and development expenses |
|
1,856 |
|
|
2,164 |
|
|
4,020 |
|
| Sales and marketing expenses |
|
38 |
|
|
95 |
|
|
133 |
|
| General and administrative expenses |
|
351 |
|
|
1,920 |
|
|
2,271 |
|
| |
|
|
|
|
|
|
|
|
|
| |
| 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, 2023 |
| |
|
|
|
|
|
|
| |
|
BIGO |
|
All other |
|
Total |
| |
|
US$ |
|
US$ |
|
US$ |
| |
|
|
|
|
|
|
| Operating
income (loss) |
|
53,011 |
|
|
(48,215 |
) |
|
4,796 |
|
| Share-based compensation expenses |
|
2,737 |
|
|
4,508 |
|
|
7,245 |
|
| Amortization of intangible assets from business
acquisitions |
|
11,225 |
|
|
4,665 |
|
|
15,890 |
|
| |
|
|
|
|
|
|
| Non-GAAP operating income (loss) |
|
66,973 |
|
|
(39,042 |
) |
|
27,931 |
|
| |
|
|
|
|
|
|
| |
|
|
|
|
|
|
| Net income (loss) |
|
52,020 |
|
|
(11,931 |
) |
|
40,089 |
|
| Share-based compensation expenses |
|
2,737 |
|
|
4,508 |
|
|
7,245 |
|
| Amortization of intangible assets from business
acquisitions |
|
11,225 |
|
|
4,665 |
|
|
15,890 |
|
| Gain on fair value change of investments |
|
(1,060 |
) |
|
(5,203 |
) |
|
(6,263 |
) |
| Interest expenses related to the convertible bonds’
amortization to face value |
|
- |
|
|
239 |
|
|
239 |
|
| Income tax effects on non-GAAP adjustments |
|
(1,415 |
) |
|
(680 |
) |
|
(2,095 |
) |
| Reconciling items on the share of equity method
investments |
|
- |
|
|
4,278 |
|
|
4,278 |
|
| |
|
|
|
|
|
|
| Non-GAAP net income (loss) |
|
63,507 |
|
|
(4,124 |
) |
|
59,383 |
|
| |
|
|
|
|
|
|
| |
| JOYY
INC. |
| UNAUDITED
SEGMENT REPORT |
| (All amounts in
thousands, except share, ADS and per ADS data) |
| |
|
|
|
|
|
|
|
| |
Three Months Ended |
| |
September 30, 2023 |
| |
|
|
|
|
|
|
|
| |
BIGO |
|
All other |
|
Elimination(1) |
|
Total |
| |
US$ |
|
US$ |
|
US$ |
|
US$ |
| Net revenues |
|
|
|
|
|
|
|
| Live
streaming |
468,577 |
|
|
27,224 |
|
|
- |
|
|
495,801 |
|
| Others |
25,486 |
|
|
46,241 |
|
|
(459 |
) |
|
71,268 |
|
| |
|
|
|
|
|
|
|
| Total net revenues |
494,063 |
|
|
73,465 |
|
|
(459 |
) |
|
567,069 |
|
| |
|
|
|
|
|
|
|
| Cost of revenues(2) |
(299,231 |
) |
|
(58,785 |
) |
|
102 |
|
|
(357,914 |
) |
| |
|
|
|
|
|
|
|
| Gross profit |
194,832 |
|
|
14,680 |
|
|
(357 |
) |
|
209,155 |
|
| |
|
|
|
|
|
|
|
| Operating expenses(2) |
|
|
|
|
|
|
|
| Research and development expenses |
(39,684 |
) |
|
(32,191 |
) |
|
267 |
|
|
(71,608 |
) |
| Sales and marketing expenses |
(75,715 |
) |
|
(16,828 |
) |
|
28 |
|
|
(92,515 |
) |
| General and administrative expenses |
(11,297 |
) |
|
(15,904 |
) |
|
62 |
|
|
(27,139 |
) |
| |
|
|
|
|
|
|
|
| Total operating expenses |
(126,696 |
) |
|
(64,923 |
) |
|
357 |
|
|
(191,262 |
) |
| |
|
|
|
|
|
|
|
| Loss on deconsolidation and disposal of subsidiaries |
- |
|
|
(6,177 |
) |
|
- |
|
|
(6,177 |
) |
| Other income (expenses) |
373 |
|
|
(40 |
) |
|
- |
|
|
333 |
|
| |
|
|
|
|
|
|
|
| Operating income (loss) |
68,509 |
|
|
(56,460 |
) |
|
- |
|
|
12,049 |
|
| |
|
|
|
|
|
|
|
| Interest expenses |
(1,768 |
) |
|
(1,667 |
) |
|
1,296 |
|
|
(2,139 |
) |
| Interest income and investment income |
11,158 |
|
|
37,468 |
|
|
(1,296 |
) |
|
47,330 |
|
| Foreign currency exchange losses, net |
(4,349 |
) |
|
(794 |
) |
|
- |
|
|
(5,143 |
) |
| Loss on disposal and deemed disposal of investments |
- |
|
|
(2,673 |
) |
|
- |
|
|
(2,673 |
) |
| Gain on fair value change of investments |
312 |
|
|
6,800 |
|
|
- |
|
|
7,112 |
|
| |
|
|
|
|
|
|
|
| Income (loss) before income tax (expenses)
benefits |
73,862 |
|
|
(17,326 |
) |
|
- |
|
|
56,536 |
|
| |
|
|
|
|
|
|
|
| Income tax (expenses) benefits |
(3,626 |
) |
|
625 |
|
|
- |
|
|
(3,001 |
) |
| |
|
|
|
|
|
|
|
| Income (loss) before share of income in equity method
investments, net of income taxes |
70,236 |
|
|
(16,701 |
) |
|
- |
|
|
53,535 |
|
| |
|
|
|
|
|
|
|
| Share of income in equity method investments, net of income
taxes |
- |
|
|
11,545 |
|
|
- |
|
|
11,545 |
|
| |
|
|
|
|
|
|
|
| Net income (loss) |
70,236 |
|
|
(5,156 |
) |
|
- |
|
|
65,080 |
|
| |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
| (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 |
| |
|
September 30, 2023 |
| |
|
|
|
|
|
|
|
|
|
| |
|
BIGO |
|
All other |
|
Total |
| |
|
US$ |
|
US$ |
|
US$ |
| |
|
|
|
|
|
|
|
|
|
| Cost of revenues |
|
406 |
|
|
87 |
|
|
493 |
|
| Research and development expenses |
|
1,752 |
|
|
2,356 |
|
|
4,108 |
|
| Sales and marketing expenses |
|
37 |
|
|
73 |
|
|
110 |
|
| General and administrative expenses |
|
20 |
|
|
1,566 |
|
|
1,586 |
|
| |
|
|
|
|
|
|
|
|
|
| |
| 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 |
| |
|
September 30, 2023 |
| |
|
|
|
|
|
|
| |
|
BIGO |
|
All other |
|
Total |
| |
|
US$ |
|
US$ |
|
US$ |
| |
|
|
|
|
|
|
| Operating
income (loss) |
|
68,509 |
|
|
(56,460 |
) |
|
12,049 |
|
| Share-based compensation expenses |
|
2,215 |
|
|
4,082 |
|
|
6,297 |
|
| Amortization of intangible assets from business
acquisitions |
|
11,225 |
|
|
4,665 |
|
|
15,890 |
|
| Loss on deconsolidation and disposal of subsidiaries |
|
- |
|
|
6,177 |
|
|
6,177 |
|
| |
|
|
|
|
|
|
| Non-GAAP operating income (loss) |
|
81,949 |
|
|
(41,536 |
) |
|
40,413 |
|
| |
|
|
|
|
|
|
| Net income (loss) |
|
70,236 |
|
|
(5,156 |
) |
|
65,080 |
|
| Share-based compensation expenses |
|
2,215 |
|
|
4,082 |
|
|
6,297 |
|
| Amortization of intangible assets from business
acquisitions |
|
11,225 |
|
|
4,665 |
|
|
15,890 |
|
| Loss on deconsolidation and disposal of subsidiaries |
|
- |
|
|
6,177 |
|
|
6,177 |
|
| Loss on disposal and deemed disposal of investments |
|
- |
|
|
2,673 |
|
|
2,673 |
|
| Gain on fair value change of investments |
|
(312 |
) |
|
(6,800 |
) |
|
(7,112 |
) |
| Interest expenses related to the convertible bonds’
amortization to face value |
|
- |
|
|
238 |
|
|
238 |
|
| Income tax effects on non-GAAP adjustments |
|
(1,415 |
) |
|
(2,655 |
) |
|
(4,070 |
) |
| Reconciling items on the share of equity method
investments |
|
- |
|
|
(10,521 |
) |
|
(10,521 |
) |
| |
|
|
|
|
|
|
| Non-GAAP net income (loss) |
|
81,949 |
|
|
(7,297 |
) |
|
74,652 |
|
| |
|
|
|
|
|
|
| |
| JOYY
INC. |
| UNAUDITED
SEGMENT REPORT |
| (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 disposal and deemed disposal of investments |
- |
|
|
2,365 |
|
|
- |
|
|
2,365 |
|
| Gain on fair value change of investments |
1,612 |
|
|
10,920 |
|
|
- |
|
|
12,532 |
|
| Gain on extinguishment of debt and derivative |
- |
|
|
1,087 |
|
|
- |
|
|
1,087 |
|
| |
|
|
|
|
|
|
|
| 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 disposal and deemed disposal of investments |
|
- |
|
|
(2,365 |
) |
|
(2,365 |
) |
| Gain on fair value change of investments |
|
(1,612 |
) |
|
(10,920 |
) |
|
(12,532 |
) |
| 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 |
|
| Reconciling items on the share of equity method
investments |
|
- |
|
|
406,073 |
|
|
406,073 |
|
| |
|
|
|
|
|
|
| Non-GAAP net income (loss) |
|
57,659 |
|
|
(15,021 |
) |
|
42,638 |
|
| |
|
|
|
|
|
|
JOYY (NASDAQ:YY)
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