SHANGHAI, Aug. 18, 2020 /PRNewswire/ -- CooTek (Cayman)
Inc. (NYSE: CTK) ("CooTek" or the "Company"), a fast-growing global
mobile internet company, today reported unaudited financial results
for the second quarter ended June 30,
2020.
Second Quarter 2020 Highlights
- Net revenue was US$126.4 million,
an increase of 236% from US$37.6
million during the same period last year.
- Gross profit was US$120.7
million, an increase of 259% from US$33.6 million during the same period last
year.
- Gross profit margin was 95.5%, an increase of 6.1%
year-over-year.
- Net income was US$3.1 million,
compared with net loss US$14.1
million during the same period last year.
- Adjusted net income[1] (Non-GAAP) was US$4.5 million, compared with adjusted net
loss1 (Non-GAAP) of US$12.9
million during the same period last year.
- The Company's portfolio products[2] contributed
approximately 99% of total revenues, with a focus on three main
categories: online literature, scenario-based content apps, and
casual games.
June 2020 Operational
Highlights
- Average daily active users ("DAUs") of the Company's portfolio
products[2] were 23.9
million, a decrease of 13% from 27.6 million in June 2019. Average DAUs of the Company's online
literature were 8.1 million, increased significantly from 0.3
million in June 2019. The key product
of the Company's online literature app is Fengdu Novel (original
name: Crazy Reading Novel). The average daily reading
time[3] of Fengdu Novel users exceeded 110 minutes in
June 2020. Average DAUs of the
Company's scenario-based content apps were 13.3 million, a decrease
of 51% from 27.3 million in June
2019. Average DAUs of the Company's casual games were 2.5
million, a decrease of 4% from 2.6 million in March 2020.
- Monthly active users ("MAUs") of the Company's portfolio
products were 83.5 million, an increase of 28% from 65.1 million in
June 2019. MAUs of the Company's
online literature were 28.4 million, increased significantly from
1.6 million in June 2019. MAUs of the
Company's scenario-based content apps were 34.9 million, a decrease
of 45% from 63.5 million in June
2019. MAUs of the Company's casual games were 20.2 million,
a decrease of 18% from 24.5 million in March
2020.
- Average DAUs of TouchPal Smart Input were 133.3 million, a
decrease of 7% from 143.7 million in June
2019.
- MAUs of TouchPal Smart Input were 174.3 million, a decrease of
8% from 190.4 million in June
2019
- Average DAUs of the Company's global products[4]
were 157.2 million, a decrease of 8% from 171.3 million in
June 2019.
- MAUs of the Company's global products were 257.8 million, an
increase of 1% from 255.5 million in June
2019.
[1] "Adjusted net income (loss)"
(Non-GAAP) is a non-GAAP measure, which is defined as net income
(loss) excluding share-based compensation. For further information,
please see "Non-GAAP Financial Measures" and "Reconciliations of
GAAP and non-GAAP results" at the bottom of this
release.
|
[2] "portfolio products" is to the
mobile applications that we develop and provide to our users and
business partners, which exclude TouchPal Smart Input and TouchPal
Phonebook.
|
[3] "average daily reading time" for
any day is calculated by dividing (i) the sum of time spent on
reading books on our Fengdu Novel for such day, by (ii) the number
of Fengdu Novel users who spent time on reading books for such day.
The average daily reading time for any month is calculated by
dividing (i) the sum of average daily reading time for each day in
such month, by (ii) the number of days in such month.
|
[4] "global products" is to the
mobile applications that we develop and provide to our users and
business partners, which excludes TouchPal Phonebook. TouchPal
Phonebook targets the Chinese domestic market and is different from
TouchPal Smart Input and portfolio products that are designed for
the global market (including China).
|
"I am pleased to report a strong second quarter with revenue of
US$126 million compared to
US$37.6 million a year ago, and a
return to profitability with non-GAAP income of US$4.5 million," commented Mr. Karl Zhang, CooTek's Co-Founder and Chairman.
"We reached a major milestone in the execution of our strategic
transition to content-rich apps and content
ecosystem. Ninety-nine percent of our revenue was
generated from our content-rich portfolio apps and our core content
app, Fengdu Novel, ranked 3rd in terms of MAUs in free
online literature market according to Quest Mobile, a professional
business intelligence services provider in China's mobile internet market. These results
demonstrate the soundness of our content strategic transition and
our execution capabilities."
(in
millions)
|
|
Portfolio
Products
|
|
TouchPal Smart
Input
|
|
|
Online
literature
|
|
Scenario-based
content apps
|
|
Casual
Games
|
|
All Portfolio
Products
|
|
|
|
|
|
DAUs
|
MAUs
|
|
DAUs
|
MAUs
|
|
DAUs
|
MAUs
|
|
DAUs
|
MAUs
|
|
DAUs
|
MAUs
|
Jun'
18
|
|
-
|
-
|
|
7.3
|
22.2
|
|
-
|
-
|
|
7.3
|
22.2
|
|
125.4
|
171.7
|
Sep'
18
|
|
-
|
-
|
|
11.0
|
33.7
|
|
-
|
-
|
|
11.0
|
33.7
|
|
132.9
|
180.0
|
Dec'
18
|
|
-
|
-
|
|
16.9
|
46.1
|
|
-
|
-
|
|
16.9
|
46.1
|
|
140.8
|
190.5
|
Mar'
19
|
|
0.3
|
0.9
|
|
22.8
|
58.9
|
|
-
|
-
|
|
23.1
|
59.8
|
|
145.9
|
192.3
|
Jun'
19
|
|
0.3
|
1.6
|
|
27.3
|
63.5
|
|
-
|
-
|
|
27.6
|
65.1
|
|
143.7
|
190.4
|
Sep'
19
|
|
2.0
|
11.0
|
|
21.6
|
53.8
|
|
0.3
|
2.7
|
|
23.9
|
67.5
|
|
140.8
|
185.1
|
Dec'
19
|
|
4.8
|
19.3
|
|
18.6
|
44.9
|
|
1.3
|
10.4
|
|
24.7
|
74.6
|
|
137.6
|
182.8
|
Mar'
20
|
|
7.3
|
29.1
|
|
15.3
|
35.6
|
|
2.6
|
24.5
|
|
25.2
|
89.2
|
|
136.5
|
178.8
|
Jun'
20
|
|
8.1
|
28.4
|
|
13.3
|
34.9
|
|
2.5
|
20.2
|
|
23.9
|
83.5
|
|
133.3
|
174.3
|
Second Quarter 2020 Financial Results
Net Revenues
(in US$ thousands,
except percentage)
|
2Q
2020
|
|
1Q
2020
|
|
2Q
2019
|
|
QoQ %
Change
|
|
YoY %
Change
|
|
|
|
|
|
|
|
|
|
|
Mobile Advertising
Revenue
|
125,774
|
|
106,423
|
|
36,651
|
|
18%
|
|
243%
|
Other
Revenue
|
622
|
|
590
|
|
942
|
|
5%
|
|
(34)%
|
Total Net
Revenues
|
126,396
|
|
107,013
|
|
37,593
|
|
18%
|
|
236%
|
Net revenues were US$126.4
million, an increase of 236% from US$37.6 million during the second quarter of 2019
and an increase of 18% from US$107.0
million in the last quarter. The increase was primarily due
to an increase in mobile advertising revenue.
Mobile advertising revenue was US$125.8 million, an increase of 243% from
US$36.7 million during the second
quarter of 2019 and an increase of 18% from US$106.4 million last quarter.
Portfolio products accounted for approximately 99% of total net
revenues. Our portfolio products focus on three categories: online
literature, scenario-based content apps and casual games. Online
literature and scenario-based content apps accounted for
approximately 54%, and casual games accounted for approximately 45%
of total net revenue.
Cost and Operating Expenses
|
2Q
2020
|
1Q
2020
|
2Q
2019
|
QoQ %
Change
|
YoY
%
change
|
(in US$ thousands,
except percentage)
|
US$
|
% of
revenue
|
US$
|
% of
revenue
|
US$
|
% of
revenue
|
|
|
|
|
|
|
|
|
|
|
|
Cost of
revenues
|
5,691
|
5%
|
4,582
|
4%
|
3,982
|
11%
|
24%
|
43%
|
Sales and
marketing
|
105,999
|
84%
|
102,436
|
96%
|
32,693
|
87%
|
3%
|
224%
|
Research and
development
|
8,103
|
6%
|
6,847
|
6%
|
7,649
|
20%
|
18%
|
6%
|
General and
administrative
|
4,136
|
3%
|
3,301
|
3%
|
7,773
|
21%
|
25%
|
(47)%
|
Other operating
income, net
|
(446)
|
(0)%
|
(390)
|
(0)%
|
(103)
|
(0)%
|
14%
|
333%
|
Total Cost and
Expenses
|
123,483
|
98%
|
116,776
|
109%
|
51,994
|
139%
|
6%
|
137%
|
|
|
|
|
|
|
|
|
|
Share-based
compensation expenses by function
|
Cost of
revenues
|
71
|
0.1%
|
53
|
0.0%
|
23
|
0.1%
|
34%
|
209%
|
Sales and
marketing
|
61
|
0.0%
|
48
|
0.0%
|
61
|
0.2%
|
27%
|
0%
|
Research and
development
|
862
|
0.7%
|
481
|
0.4%
|
946
|
2.5%
|
79%
|
(9)%
|
General and
administrative
|
430
|
0.3%
|
359
|
0.3%
|
158
|
0.4%
|
20%
|
172%
|
Total share-based
compensation expenses
|
1,424
|
1.1%
|
941
|
0.9%
|
1,188
|
3.2%
|
51%
|
20%
|
Cost of revenues was US$5.7
million, an increase of 43% from US$4.0 million during the same period last year,
and an increase of 24% from US$4.6
million last quarter. The sequential and year-over-year
increase was mainly due to an increase in content costs paid to
freelancers and third-party content distributors.
Gross profit was US$120.7
million, an increase of 259% from US$33.6 million during the same period last year,
and an increase of 18% from US$102.4
million last quarter. Gross profit margin was 95.5%,
compared with 89.4% in the same period last year and 95.7% last
quarter.
Sales and marketing expenses were US$106.0 million, an increase of 224% from
US$32.7 million during the same
period last year, and an increase of 3% from US$102.4 million last quarter. As a percentage of
total revenue, sales and marketing expenses accounted for 84%,
compared with 87% during the same period last year, and 96% last
quarter. The sequential and year-over-year increases in sales and
marketing expenses was primarily due to increased investment in
user acquisition.
Research and development expenses were US$8.1 million, an increase of 6% from
US$7.6 million during the same period
last year and an increase of 18% from US$6.8
million last quarter. The sequential increase was primarily
due to an increase in costs associated with technology R&D
staff and share-based compensation expenses. As a percentage of
total net revenue, research and development expenses accounted for
6%, compared with 20% during the same period last year and 6% last
quarter.
General and administrative expenses were US$4.1 million, a decrease of 47% from
US$7.8 million during the same period
last year and an increase of 25% from US$3.3
million last quarter. The year-over-year decrease was mainly
due to the decline of accrued provision for bad debts. The
sequential increase was mainly due to general and administrative
payroll and professional services and administrative expenses. As a
percentage of total net revenue, general and administrative
expenses accounted for 3%, compared with 21% during the same period
last year and 3% last quarter.
Other operating income, net was US$0.4 million, compared with other operating
income, net US$0.1 million during the
same period last year and other operating income, net US$0.4 million last quarter.
Net income was US$3.1
million, compared with net loss of US$14.1 million during the same period last year
and a net loss of US$9.7 million last
quarter.
Adjusted net income was US$4.5 million, compared with adjusted net loss
of US$12.9 million in the same period
last year and adjusted net loss of US$8.8
million last quarter.
In US$ thousands,
except percentage
|
2Q
2020
|
1Q
2020
|
2Q
2019
|
QoQ %
Change
|
YoY %
change
|
|
|
|
|
|
|
Net income
(loss)
|
3,119
|
(9,738)
|
(14,126)
|
(132)%
|
(122)%
|
Add: Share-based
Compensation related to share
options and
restricted share units
|
1,424
|
941
|
1,188
|
51%
|
20%
|
Adjusted Net Income
(Loss) (Non-GAAP)
|
4,543
|
(8,797)
|
(12,938)
|
(152)%
|
(135)%
|
Basic and diluted net income per ADS were US$0.05 and US$0.05, and basic and diluted adjusted net income (Non-GAAP) per ADS were
US$0.07 and US$0.07.
Balance Sheet and Cash Flows
As of June 30, 2020, cash, cash
equivalents and restricted cash were US$64.9
million, compared with US$70.0
million as of March 31,
2020.
Net cash inflow from operating activities during the second
quarter of 2020 was US$5.4 million,
compared with net cash outflow from operating activities of
US$8.9 million for the same period in
2019 and net cash inflow from operating activities of US$15.0 million during the last quarter. Cash
inflow from operating activities during the second quarter of 2020
was mainly due to the income from operations.
Share Repurchase Plan
On November 20, 2019, the Company
announced a share repurchase program (the "2019 Program") whereby
the Company is authorized to repurchase its class A ordinary shares
in the form of American depository shares ("ADSs") with an
aggregate value of up to US$6 million
during the 6-month period starting from November 20, 2019. The 2019 Program was
terminated on May 18, 2020. The
Company had used an aggregate of US$5.9
million to repurchase 1.0 million ADSs under the 2019
Program and recorded as treasury stock as of June 30, 2020.
On May 18, 2020, the Company
announced a new share repurchase program (the "2020 Program") on
the same day. In the new share repurchase program, the Company is
authorized to repurchase its class A ordinary shares in the form of
ADSs with an aggregate value of up to US$20
million during the 12-month period starting from
May 18, 2020. The Company expects to
fund the repurchases under this program with its existing cash
balance. As of June 30, 2020, the
Company had used an aggregate of US$1.0
million to repurchase 0.2 million ADSs under the 2020
Program and recorded as treasury stock.
Effects of COVID-19
The outbreak of COVID-19 could cause the Company's advertising
and marketing customers to reduce their advertising budgets because
these customers experienced various degrees of temporary shutdowns
in the second quarter of 2020. In addition, the extent of the
disruption and the related impact on the Company's financial
results and business outlook depends on the future developments of
the global pandemic.
As of June 30, 2020, CooTek had
US$64.9 million in cash, cash
equivalents, and restricted cash. Cash and cash equivalents
primarily consist of cash on hand, demand deposits and short-term
floating rate financial instruments which can be freely withdrawn
or used and have original maturities of three months or less when
purchased. Restricted cash consists of bank deposits used to
guarantee payment processing services provided by banks. The
Company believes this level of liquidity is sufficient to navigate
an extended period of uncertainty.
Appointment of Chief Financial Officer
The Company also announced the appointment of Mr. Robert Cui as its Chief Financial Officer,
effective August 24, 2020.
Prior to joining CooTek, Mr. Cui worked in the Hong Kong office of Investment Banking Asia
Pacific of BNP Paribas from 2014 to 2020 with his last position
held as a director. Before that, Mr. Cui worked in the Hong Kong office of the Investment Banking
Division of Bank of China International, in the Hong Kong office of the Investment Banking
Division of Daiwa Capital Markets and in the Paris office of HSBC Global Investment Banking
from 2007 to 2014. Mr. Cui received his bachelor's degree of arts
in French studies from Shanghai International Studies University in
2004 and master's degree of science in management (Diplôme Grande
École) from HEC Paris in 2007. Mr. Cui speaks fluent English,
French and Mandarin.
Mr. Karl Zhang, CooTek's
Co-Founder and Chairman, commented, "We are very pleased to welcome
Robert to our senior management team. He brings with him extensive
finance and capital markets experience. I look forward to working
closely with him and have no doubt that he will be a substantial
contributor to the future of our business."
Business Outlook
For the third quarter of 2020, CooTek
expects total revenue to be around US$112
million, representing a year-over-year increase of around
258%. For the fiscal year of 2020, CooTek expects total revenue to
be around US$500 million,
representing a year-over-year increase of around 181%.This outlook
is based on information available as of the date of this press
release and reflects the Company's current and preliminary
expectations, which are subject to change in light of various
uncertainties, including those related to the ongoing COVID-19
pandemic.
Conference Call and Webcast
CooTek's management team will host a conference call at
8:00 AM U.S. Eastern Time on
Tuesday, August 18, 2020
(8:00 PM Beijing Time on the same
day), following the results announcement.
The dial-in details for the live conference call are:
United States:
1-888-346-8982
Hong Kong: 800-905-945
Mainland China: 4001-201-203
International: 1-412-902-4272
Please dial in 15 minutes before the call is scheduled to begin.
When prompted, ask to be connected to the CooTek (Cayman)
Inc. call.
A live webcast and archive of the conference call will be
available on the Investor Relations section of CooTek's website at
https://ir.cootek.com/.
About CooTek (Cayman) Inc.
CooTek is a fast-growing mobile internet company with a global
vision, offering mobile applications. Our mission is to empower
everyone to enjoy relevant content seamlessly. The Company's
user-centric and data-driven approach has enabled it to release
appealing products to capture mobile internet users' ever-evolving
content needs and helps it rapidly attract targeted users. CooTek
has developed and brought to market content-rich mobile
applications, focusing on three categories: online literature,
scenario-based content apps and casual games.
Non-GAAP Financial Measure
To supplement the unaudited consolidated financial information
prepared in accordance with generally accepted accounting
principles in the United States of
America ("GAAP"), the Company uses non-GAAP financial
measure of adjusted net (loss) income that is adjusted from results
based on GAAP to exclude the impact of share-based compensation,
and Adjusted EBITDA that is net (loss) income excluding interest
income and expense, income taxes, depreciation and amortization,
and share-based compensation. The measure should be considered in
addition to results prepared in accordance with GAAP, but should
not be considered a substitute for, or superior to, GAAP
results.
The Company believes that the non-GAAP measure help identify
underlying financial and business trends relating to the Company's
results of operations that could otherwise be distorted by the
effect of certain expenses that the Company include in (loss)
income from operations and net (loss) income. By making the
Company's financial results comparable period over period, the
Company believes adjusted net (loss) income and Adjusted EBITDA
provides useful information to better understand the Company's
historical business operations and future prospects and allows for
greater visibility with respect to key metrics used by the
management in financial and operational decision-making. In order
to mitigate these limitations, the Company has provided specific
information regarding the GAAP amounts excluded from the non-GAAP
measure. The table at the bottom of this press release includes
details on the reconciliation between GAAP financial measure that
is most directly comparable to the non-GAAP financial measure the
Company has presented.
Safe Harbor Statement
This press release contains forward-looking statements made
under the "safe harbor" provisions of Section 21E of the Securities
Exchange Act of 1934, as amended, and 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," "confident" and similar statements. CooTek may also
make written or oral forward-looking statements in its reports
filed with or furnished to the U.S. Securities and Exchange
Commission, 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. Any statements
that are not historical facts, including statements about CooTek's
beliefs and expectations, are forward-looking statements that
involve factors, risks and uncertainties that could cause actual
results to differ materially from those in the forward-looking
statements. Such factors and risks include, but not limited to the
following: CooTek's mission and strategies; future business
development, financial conditions and results of operations; the
expected growth of the mobile internet industry and mobile
advertising industry; the expected growth of mobile advertising;
expectations regarding demand for and market acceptance of our
products and services; competition in mobile application and
advertising industry; relevant government policies and regulations
relating to the industry and the development and impacts of
COVID-19. Further information regarding these and other risks,
uncertainties or factors is included in the Company's filings with
the U.S. Securities and Exchange Commission. All information
provided in this press release is current as of the date of the
press release, and CooTek does not undertake any obligation to
update such information, except as required under applicable
law.
For investor enquiries, please contact:
CooTek
(Cayman) Inc.
Mr. Jacky Lin
Email: IR@cootek.com
Christensen
In China
Mr. Rene Vanguestaine
+86-10-5900-1548
rvanguestaine@ChristensenIR.com
In US
Ms. Linda Bergkamp
+1-480-614-3004
lbergkamp@christensenir.com
CooTek (Cayman) INC.
Unaudited Condensed
Consolidated Statement of
Operations
(in thousands, except for share and per share data)
|
|
Three Months
Ended
|
|
Six Months
Ended
|
|
|
|
June
30,
|
|
March
31,
|
|
June
30,
|
|
June
30,
|
|
|
|
2019
|
|
2020
|
|
2020
|
|
2019
|
|
2020
|
|
|
|
US$
|
|
US$
|
|
US$
|
|
US$
|
|
US$
|
|
|
|
|
|
|
|
|
Net revenues
|
|
37,593
|
|
107,013
|
|
126,396
|
|
77,630
|
|
233,409
|
|
Cost of
revenues
|
|
(3,982)
|
|
(4,582)
|
|
(5,691)
|
|
(7,523)
|
|
(10,273)
|
|
Gross
Profit
|
|
33,611
|
|
102,431
|
|
120,705
|
|
70,107
|
|
223,136
|
|
Operating
expenses:
|
|
|
|
|
|
|
|
|
|
|
|
Sales and marketing
expenses
|
|
(32,693)
|
|
(102,436)
|
|
(105,999)
|
|
(60,071)
|
|
(208,435)
|
|
Research and
development expenses
|
|
(7,649)
|
|
(6,847)
|
|
(8,103)
|
|
(14,265)
|
|
(14,950)
|
|
General and
administrative expenses
|
|
(7,773)
|
|
(3,301)
|
|
(4,136)
|
|
(10,117)
|
|
(7,437)
|
|
Other operating
income, net
|
|
103
|
|
390
|
|
446
|
|
171
|
|
836
|
|
Total operating
expenses
|
|
(48,012)
|
|
(112,194)
|
|
(117,792)
|
|
(84,282)
|
|
(229,986)
|
|
(Loss) income from
operations
|
|
(14,401)
|
|
(9,763)
|
|
2,913
|
|
(14,175)
|
|
(6,850)
|
|
Interest income,
net
|
|
229
|
|
23
|
|
211
|
|
591
|
|
234
|
|
Foreign exchange gain
(loss)
|
|
48
|
|
2
|
|
(2)
|
|
(368)
|
|
—
|
|
(Loss) income before
income taxes
|
|
(14,124)
|
|
(9,738)
|
|
3,122
|
|
(13,952)
|
|
(6,616)
|
|
Income tax
expense
|
|
(2)
|
|
—
|
|
(3)
|
|
(2)
|
|
(3)
|
|
Net (loss)
income
|
|
(14,126)
|
|
(9,738)
|
|
3,119
|
|
(13,954)
|
|
(6,619)
|
|
Net (loss) income per
ordinary share
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
(0.004)
|
|
(0.003)
|
|
0.001
|
|
(0.004)
|
|
(0.002)
|
|
Diluted
|
|
(0.004)
|
|
(0.003)
|
|
0.001
|
|
(0.004)
|
|
(0.002)
|
|
Weighted average shares
used in calculating net (loss) income per ordinary share
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
3,163,372,938
|
|
3,104,677,914
|
|
3,084,894,043
|
|
3,171,199,334
|
|
3,094,780,922
|
|
Diluted
|
|
3,163,372,938
|
|
3,104,677,914
|
|
3,222,716,303
|
|
3,171,199,334
|
|
3,094,780,922
|
|
Non-GAAP Financial
Data
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted Net (Loss)
income
|
|
(12,938)
|
|
(8,797)
|
|
4,543
|
|
(11,623)
|
|
(4,254)
|
|
Adjusted
EBITDA
|
|
(12,547)
|
|
(8,068)
|
|
5,123
|
|
(11,125)
|
|
(2,945)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unaudited Condensed Consolidated Balance Sheets
(in thousands, except for share and per share data)
|
|
As of
|
|
|
|
March 31,
2020
|
|
June 30,
2020
|
|
|
|
US$
|
|
US$
|
|
|
|
|
|
|
|
ASSETS
|
|
|
|
|
|
Current
assets:
|
|
|
|
|
|
Cash and cash
equivalents
|
|
69,966
|
|
64,861
|
|
Restricted
cash
|
|
60
|
|
60
|
|
Short-term
investment
|
|
571
|
|
13,550
|
|
Accounts receivable,
net of allowance for doubtful accounts of $1,931 as of
March 31, 2020 and $2,262 as of June 30,
2020, respectively
|
|
36,537
|
|
34,043
|
|
Prepaid expenses and
other current assets
|
|
8,191
|
|
9,900
|
|
Total current
assets
|
|
115,325
|
|
122,414
|
|
Long-term
investments
|
|
—
|
|
141
|
|
Property and
equipment, net
|
|
5,573
|
|
5,544
|
|
Intangible assets,
net
|
|
308
|
|
352
|
|
Other non-current
assets
|
|
304
|
|
787
|
|
TOTAL
ASSETS
|
|
121,510
|
|
129,238
|
|
LIABILITIES AND
SHAREHOLDERS' EQUITY
|
|
|
|
|
|
Current
liabilities
|
|
|
|
|
|
Accounts
payable
|
|
66,441
|
|
64,408
|
|
Short-term bank
borrowings
|
|
8,923
|
|
14,686
|
|
Accrued salary and
benefits
|
|
3,549
|
|
6,618
|
|
Accrued expenses and
other current liabilities
|
|
7,146
|
|
8,433
|
|
Deferred
revenue
|
|
8,410
|
|
6,160
|
|
Total current
liabilities
|
|
94,469
|
|
100,305
|
|
Other non-current
liabilities
|
|
562
|
|
562
|
|
TOTAL
LIABILITIES
|
|
95,031
|
|
100,867
|
|
Unaudited Condensed Consolidated Balance Sheets
(continued):(in thousands, except for share and per share data)
|
|
As of
|
|
|
March 31,
2020
|
|
June 30,
2020
|
|
|
US$
|
|
US$
|
|
|
|
|
|
Shareholders'
Equity:
|
|
|
|
|
Ordinary
shares
|
|
31
|
|
31
|
Treasury
Stock
|
|
(5,081)
|
|
(6,935)
|
Additional paid-in
capital
|
|
196,076
|
|
196,750
|
Accumulated
deficit
|
|
(163,336)
|
|
(160,217)
|
Accumulated other
comprehensive loss
|
|
(1,211)
|
|
(1,258)
|
Total Shareholders'
Equity
|
|
26,479
|
|
28,371
|
TOTAL LIABILITIES
AND SHAREHOLDERS' EQUITY
|
|
121,510
|
|
129,238
|
Unaudited Condensed Consolidated Statement of Cash
Flows
(in thousands, except for share and per share data)
|
|
Three Months
Ended
|
|
Six Months
Ended
|
|
|
|
June
30,
|
|
March
31,
|
|
June
30,
|
|
June
30,
|
|
|
|
2019
|
|
2020
|
|
2020
|
|
2019
|
|
2020
|
|
|
|
US$
|
|
US$
|
|
US$
|
|
US$
|
|
US$
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash (used in)
provided by operating activities
|
|
(8,876)
|
|
14,960
|
|
5,402
|
|
(12,210)
|
|
20,362
|
|
Net cash used in
investing activities
|
|
(2,798)
|
|
(769)
|
|
(13,859)
|
|
(3,322)
|
|
(14,628)
|
|
Net cash (used in)
provided by financing activities
|
|
(2,678)
|
|
(3,854)
|
|
3,100
|
|
(6,727)
|
|
(754)
|
|
Net (decrease) increase
in cash and cash equivalents
|
|
(14,352)
|
|
10,337
|
|
(5,357)
|
|
(22,259)
|
|
4,980
|
|
Cash, cash
equivalents, and restricted cash at beginning
of period
|
|
77,283
|
|
59,966
|
|
70,026
|
|
84,860
|
|
59,966
|
|
Effect of exchange rate
changes on cash and cash equivalents
|
|
(157)
|
|
(277)
|
|
252
|
|
173
|
|
(25)
|
|
Cash, cash
equivalents, and restricted cash at end
of period
|
|
62,774
|
|
70,026
|
|
64,921
|
|
62,774
|
|
64,921
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliations of GAAP and Non-GAAP
Results
(in thousands, except for share and per share data)
|
|
Three Months
Ended
|
|
Six Months
Ended
|
|
|
|
June 30,
|
|
March
31,
|
|
June 30,
|
|
June 30,
|
|
|
|
2019
|
|
2020
|
|
2020
|
|
2019
|
|
2020
|
|
|
|
US$
|
|
US$
|
|
US$
|
|
US$
|
|
US$
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net (loss)
income
|
|
(14,126)
|
|
(9,738)
|
|
3,119
|
|
(13,954)
|
|
(6,619)
|
|
Add:
|
|
|
|
|
|
|
|
|
|
|
|
Share-based
compensation related to share options and
restricted share units
|
|
1,188
|
|
941
|
|
1,424
|
|
2,331
|
|
2,365
|
|
Adjusted Net
(Loss) Income (Non-GAAP)*
|
|
(12,938)
|
|
(8,797)
|
|
4,543
|
|
(11,623)
|
|
(4,254)
|
|
Add:
|
|
|
|
|
|
|
|
|
|
|
|
Interest income,
net
|
|
(229)
|
|
(23)
|
|
(211)
|
|
(591)
|
|
(234)
|
|
Income
taxes
|
|
2
|
|
—
|
|
3
|
|
2
|
|
3
|
|
Depreciation and
amortization
|
|
618
|
|
752
|
|
788
|
|
1,087
|
|
1,540
|
|
Adjusted EBITDA
(Non-GAAP)*
|
|
(12,547)
|
|
(8,068)
|
|
5,123
|
|
(11,125)
|
|
(2,945)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
* The tax impact to the non-GAAP adjustments is zero.
View original
content:http://www.prnewswire.com/news-releases/cootek-announces-second-quarter-2020-unaudited-results-and-appointment-of-chief-financial-officer-301113641.html
SOURCE CooTek