KE Holdings Inc. (“
Beike” or the
“
Company”) (NYSE: BEKE and HKEX: 2423), a leading
integrated online and offline platform for housing transactions and
services, today announced its unaudited financial results for the
third quarter ended September 30, 2024.
Business and Financial Highlights for the Third Quarter
2024
- Gross transaction value
(GTV)1 was RMB736.8
billion (US$105.0 billion), an increase of 12.5%
year-over-year. GTV of existing home
transactions was RMB477.8 billion (US$68.1
billion), an increase of 8.8% year-over-year. GTV of
new home transactions was RMB227.6
billion (US$32.4 billion), an increase of 18.4%
year-over-year. GTV of home renovation and
furnishing was RMB4.1 billion (US$0.6
billion), an increase of 24.6% year-over-year. GTV of
emerging and other services was RMB27.3
billion (US$3.9 billion), an increase of 31.9%
year-over-year.
- Net
revenues were RMB22.6 billion (US$3.2
billion), an increase of 26.8% year-over-year.
- Net income was
RMB1,168 million (US$167 million). Adjusted net
income2 was RMB1,782 million (US$254 million).
- Number of stores
was 48,230 as of September 30, 2024, a 12.1% increase from one year
ago. Number of active stores3 was 46,857 as of
September 30, 2024, a 14.6% increase from one year ago.
- Number of agents
was 476,420 as of September 30, 2024, a 11.0% increase from one
year ago. Number of active agents4 was 423,400 as
of September 30, 2024, a 6.1% increase from one year ago.
- Mobile monthly active users
(MAU)5 averaged 46.2 million in the third quarter of 2024,
compared to 49.2 million in the same period of 2023.
Mr. Stanley Yongdong Peng, Chairman of the Board
and Chief Executive Officer of Beike, commented, “In the third
quarter of 2024, we continued to demonstrate proactive and
sustainable growth momentum. Against the backdrop of market
adjustments, each of our business lines achieved solid results. In
our housing transaction services, we are actively pursuing growth
while also committed to fostering a more harmonious ecosystem.
Through initiatives such as the ‘store point-based system’, we’re
helping store owners achieve better returns and benefit from the
platform’s value, ultimately enhancing their level of satisfaction
with the platform. In our home renovation and furnishing and home
rental services, we are also continuously strengthening our
foundational capabilities across product development, process
restructuring, and supply chain improvements. Meanwhile, we have
officially upgraded our management governance framework, adopting a
mechanism of clear responsibilities and collective leadership to
deliberate and plan key strategies and matters, ensuring steady and
sustainable growth for the Company.”
“All above initiatives are centered around our
steadfast commitment to a long-term vision. By focusing on 'doing
the right thing even if it’s difficult' and continuously exploring
innovations, we aim to build our business with a long-term
perspective, ensuring sustainable growth and vitality. We are also
pleased to see that the supportive policy packages introduced by
the government at the end of September have already shown promising
initial results. In October, transaction volumes on our platform
rebounded significantly, signaling the start of the market
recovery. With an improving external environment, we will stay true
to our long-term vision, remaining optimistic, persistent, and
united as we move toward a brighter future,” concluded Mr.
Peng.
Mr. Tao Xu, Executive Director and Chief
Financial Officer of Beike, added, “The market in the third quarter
of this year gradually retreated following the pulse-like rebound
fueled by the intensive supportive policies released in May. The
existing home market was relatively stable, while the new home
market was still in a bottoming stage with weak supply and
demand.
For performance in the third quarter, our net
revenues reached RMB22.6 billion, gross margin stood at 22.7%; net
income reached RMB1,168 million, and adjusted net income was
RMB1,782 million. Home transaction services demonstrated a stable
revenue performance. The monetization capability of our new home
transaction services has been further strengthened. We are actively
advancing our ‘one body, three wings’ strategy, with revenues of
home renovation and furnishing, home rental services, and emerging
and other services growing by 54.3% year-over-year in the third
quarter. They accounted for an increasing portion of our total net
revenues at 38.3%, increasing by 6.8 percentage points from the
same period of 2023. Among these, revenue from home renovation and
furnishing reached RMB4.21 billion, rising by 32.6% year-over-year,
while revenue from home rental services reached RMB3.94 billion, up
118.4% year-over-year.
With robust cash reserves, we continued to
reward our shareholders who have grown with us, sharing the value
created by the Company. In the third quarter, we allocated
approximately US$200 million to share repurchases.
As our businesses become more diverse, we have
elevated our standards for resource allocation and prudent
management. Moving forward, we will continue to focus on the
fundamentals of our business, ensuring strict adherence to risk
controls and maintaining healthy cash flow, while fully supporting
the growth of our ‘one body, three wings’ businesses.”
_____________________________
1 GTV for a given period is calculated as the
total value of all transactions which the Company facilitated on
the Company’s platform and evidenced by signed contracts as of the
end of the period, including the value of the existing home
transactions, new home transactions, home renovation and furnishing
and emerging and other services (excluding home rental services),
and including transactions that are contracted but pending closing
at the end of the relevant period. For the avoidance of doubt, for
transactions that failed to close afterwards, the corresponding GTV
represented by these transactions will be deducted accordingly.2
Adjusted net income (loss) is a non-GAAP financial measure, which
is defined as net income (loss), excluding (i) share-based
compensation expenses, (ii) amortization of intangible assets
resulting from acquisitions and business cooperation agreement,
(iii) changes in fair value from long-term investments, loan
receivables measured at fair value and contingent consideration,
(iv) impairment of goodwill, intangible assets and other long-lived
assets, (v) impairment of investments, and (vi) tax effects of the
above non-GAAP adjustments. Please refer to the section titled
“Unaudited reconciliation of GAAP and non-GAAP results” for
details. 3 Based on our accumulated operational experience, we have
introduced the operating metrics of number of active stores and
number of active agents on our platform, which can better reflect
the operational activeness of stores and agents on our
platform.“Active stores” as of a given date is defined as stores on
our platform excluding the stores which (i) have not facilitated
any housing transaction during the preceding 60 days, (ii) do not
have any agent who has engaged in any critical steps in housing
transactions (including but not limited to introducing new
properties, attracting new customers and conducting property
showings) during the preceding seven days, or (iii) have not been
visited by any agent during the preceding 14 days. The number of
active stores was 40,903 as of September 30, 2023.4 “Active agents”
as of a given date is defined as agents on our platform excluding
the agents who (i) delivered notice to leave but have not yet
completed the exit procedures, (ii) have not engaged in any
critical steps in housing transactions (including but not limited
to introducing new properties, attracting new customers and
conducting property showings) during the preceding 30 days, or
(iii) have not participated in facilitating any housing transaction
during the preceding three months. The number of active agents was
399,048 as of September 30, 2023.5 “Mobile monthly active users” or
“mobile MAU” are to the sum of (i) the number of accounts that have
accessed our platform through our Beike or Lianjia mobile app (with
duplication eliminated) at least once during a month, and (ii) the
number of Weixin users that have accessed our platform through our
Weixin Mini Programs at least once during a month. Average mobile
MAU for any period is calculated by dividing (i) the sum of the
Company’s mobile MAUs for each month of such period, by (ii) the
number of months in such period.
Third Quarter 2024 Financial
Results
Net Revenues
Net revenues increased by 26.8%
to RMB22.6 billion (US$3.2 billion) in the third quarter of 2024
from RMB17.8 billion in the same period of 2023, primarily
attributable to the increase of net revenues from new home
transaction services and the expansion of home renovation and
furnishing and home rental business. Total GTV increased by 12.5%
to RMB736.8 billion (US$105.0 billion) in the third quarter of 2024
from RMB655.2 billion in the same period of 2023, primarily
attributable to the recovery of existing home transaction market
and the Company’s proactive growth strategy and improved market
coverage capabilities.
- Net revenues from existing
home transaction services were RMB6.2 billion (US$0.9
billion) in the third quarter of 2024, relatively flat compared
with RMB6.3 billion in the same period of 2023. GTV of existing
home transactions increased by 8.8% to RMB477.8 billion (US$68.1
billion) in the third quarter of 2024 from RMB439.0 billion in the
same period of 2023. The different trend between net revenues and
GTV of existing home transaction services was primarily
attributable to a higher contribution from GTV of existing home
transaction services served by connected agents on the Company’s
platform, for which revenue is recorded on a net basis from
platform service, franchise service and other value-added services,
while for GTV served by Lianjia brand, the revenue is recorded on a
gross commission revenue basis.Among that, (i) commission
revenue was RMB5.1 billion (US$0.7 billion) in the third
quarter of 2024, relatively flat compared with RMB5.1 billion in
the same period of 2023, while the GTV of existing home
transactions served by Lianjia stores increased by 1.7% to RMB194.5
billion (US$27.7 billion) in the third quarter of 2024 from
RMB191.2 billion in the same period of 2023; and(ii)
revenues derived from platform service, franchise service and other
value-added services, which are mostly charged to
connected stores and agents on the Company’s platform were RMB1.2
billion (US$0.2 billion) in the third quarter of 2024, relatively
flat compared with RMB1.2 billion in the same period of 2023,
mainly due to an increase of GTV of existing home transactions
served by connected agents on the Company’s platform of 14.3% to
RMB283.3 billion (US$40.4 billion) in the third quarter of 2024
from RMB247.8 billion in the same period of 2023, offset by the
decrease in revenues from certain value-added services which were
not directly driven by GTV of existing home transactions served by
connected agents.
- Net revenues from new home
transaction services increased by 30.9% to RMB7.7 billion
(US$1.1 billion) in the third quarter of 2024 from RMB5.9 billion
in the same period of 2023, primarily due to the increase of GTV of
new home transactions of 18.4% to RMB227.6 billion (US$32.4
billion) in the third quarter of 2024 from RMB192.1 billion in the
same period of 2023, and the improved monetization capability.
Among that, the GTV of new home transactions facilitated on Beike
platform through connected agents, dedicated sales team with the
expertise on new home transaction services and other sales channels
increased by 20.5% to RMB183.0 billion (US$26.1 billion) in the
third quarter of 2024 from RMB151.9 billion in the same period of
2023, and the GTV of new home transactions served by Lianjia brand
increased by 10.5% to RMB44.5 billion (US$6.3 billion) in the third
quarter of 2024 from RMB40.3 billion in the same period of
2023.
- Net revenues from home
renovation and furnishing increased by 32.6% to RMB4.2
billion (US$0.6 billion) in the third quarter of 2024 from RMB3.2
billion in the same period of 2023, primarily attributable to a)
the increase of orders driven by the synergetic effects from
customer acquisition and conversion between home transaction
services and home renovation and furnishing business, b) a larger
contribution from furniture and home furnishing sales (in
categories such as customized furniture, soft furnishings, and
electrical appliances), and c) the shortened lead time driven by
enhanced delivery capabilities.
- Net revenues from home
rental services increased by 118.4% to RMB3.9 billion
(US$0.6 billion) in the third quarter of 2024 from RMB1.8 billion
in the same period of 2023, primarily attributable to the increase
of the number of rental units under the Carefree Rent model.
- Net revenues from emerging
and other services were RMB0.5 billion (US$0.1 billion) in
the third quarter of 2024, compared to RMB0.6 billion in the same
period of 2023.
Cost of Revenues
Total cost of revenues
increased by 35.0% to RMB17.4 billion (US$2.5 billion) in the third
quarter of 2024 from RMB12.9 billion in the same period of
2023.
- Commission –
split. The Company’s cost of revenues for commissions to
connected agents and other sales channels was RMB5.2 billion
(US$0.7 billion) in the third quarter of 2024, compared to RMB4.0
billion in the same period of 2023, primarily due to the increase
in net revenues from new home transaction services derived from
transactions facilitated through connected agents and other sales
channels.
- Commission and compensation
– internal. The Company’s cost of revenues for internal
commission and compensation increased by 17.2% to RMB4.4 billion
(US$0.6 billion) in the third quarter of 2024 from RMB3.7 billion
in the same period of 2023, primarily due to an increase in the net
revenues from new home transactions derived from transactions
facilitated through Lianjia agents and the increase in fixed
compensation costs mainly driven by the increased number of Lianjia
agents and improved welfare for them.
- Cost of home renovation and
furnishing. The Company’s cost of revenues for home
renovation and furnishing increased by 28.6% to RMB2.9 billion
(US$0.4 billion) in the third quarter of 2024 from RMB2.3 billion
in the same period of 2023, which was in line with the growth of
net revenues from home renovation and furnishing.
- Cost of home rental
services. The Company’s cost of revenues for home rental
services increased by 115.5% to RMB3.8 billion (US$0.5 billion) in
the third quarter of 2024 from RMB1.7 billion in the same period of
2023, primarily attributable to the growth of net revenues from
home rental services.
- Cost related to
stores. The Company’s cost related to stores was RMB0.7
billion (US$0.1 billion) in the third quarter of 2024, relatively
flat compared with RMB0.7 billion in the same period of 2023.
- Other costs. The
Company’s other costs increased to RMB502 million (US$72 million)
in the third quarter of 2024 from RMB480 million in the same period
of 2023, mainly due to the increased tax and surcharges in line
with the increased net revenues.
Gross Profit
Gross profit increased by 5.2%
to RMB5.1 billion (US$0.7 billion) in the third quarter of 2024
from RMB4.9 billion in the same period of 2023. Gross margin was
22.7% in the third quarter of 2024, compared to 27.4% in the same
period of 2023, primarily due to a) a lower contribution from net
revenues from existing home transaction services with a relatively
higher margin than other revenue streams; b) a lower contribution
margin of existing home transaction services led by the increased
fix compensation costs as percentage of net revenues from existing
home transaction services.
Income from Operations
Total operating expenses
increased by 11.0% to RMB4.4 billion (US$0.6 billion) in the third
quarter of 2024 from RMB4.0 billion in the same period of 2023.
- General and administrative
expenses were RMB1.9 billion (US$0.3 billion) in the third
quarter of 2024, relatively flat compared with RMB1.9 billion in
the same period of 2023.
- Sales and marketing
expenses increased by 18.6% to RMB1.9 billion (US$0.3
billion) in the third quarter of 2024 from RMB1.6 billion in the
same period of 2023, mainly due to the increase in sales and
marketing expenses for home renovation and furnishing business
which was in line with the growth of net revenues from home
renovation and furnishing and increased expenses on marketing and
promotion activities for business development of new connected
brands and stores.
- Research and development
expenses increased by 21.5% to RMB573 million (US$82
million) in the third quarter of 2024 from RMB472 million in the
same period of 2023, primarily due to the increased headcount of
research and development personnel and the increased technical
service costs.
Income from operations was
RMB727 million (US$104 million) in the third quarter of 2024,
compared to income from operations of RMB911 million in the same
period of 2023. Operating margin decreased to 3.2%
in the third quarter of 2024 from 5.1% in the same period of 2023,
primarily due to a lower gross margin partially offset by the
improved operating leverage in the third quarter of 2024, compared
to the same period of 2023.
Adjusted income from
operations6 was RMB1,363 million (US$194 million) in the
third quarter of 2024, compared to RMB1,886 million in the same
period of 2023. Adjusted operating margin7 was
6.0% in the third quarter of 2024, compared to 10.6% in the same
period of 2023. Adjusted EBITDA8 was RMB2,154
million (US$307 million) in the third quarter of 2024, compared to
RMB2,515 million in the same period of 2023.
_____________________________
6 Adjusted income (loss) from operations is a
non-GAAP financial measure, which is defined as income (loss) from
operations, excluding (i) share-based compensation expenses, (ii)
amortization of intangible assets resulting from acquisitions and
business cooperation agreement, and (iii) impairment of goodwill,
intangible assets and other long-lived assets. Please refer to the
section titled “Unaudited reconciliation of GAAP and non-GAAP
results” for details.7 Adjusted operating margin is adjusted income
(loss) from operations as a percentage of net revenues.8 Adjusted
EBITDA is a non-GAAP financial measure, which is defined as net
income (loss), excluding (i) income tax expense, (ii) share-based
compensation expenses, (iii) amortization of intangible assets,
(iv) depreciation of property, plant and equipment, (v) interest
income, net, (vi) changes in fair value from long-term investments,
loan receivables measured at fair value and contingent
consideration, (vii) impairment of goodwill, intangible assets and
other long-lived assets,and (viii) impairment of investments.
Please refer to the section titled “Unaudited reconciliation of
GAAP and non-GAAP results” for details.
Net Income
Net income was RMB1,168 million
(US$167 million) in the third quarter of 2024, compared to RMB1,170
million in the same period of 2023.
Adjusted net income was
RMB1,782 million (US$254 million) in the third quarter of 2024,
compared to RMB2,159 million in the same period of 2023.
Net Income attributable to KE Holdings
Inc.’s Ordinary Shareholders
Net income attributable to KE Holdings
Inc.’s ordinary shareholders was RMB1,171 million (US$167
million) in the third quarter of 2024, compared to RMB1,158 million
in the same period of 2023.
Adjusted net income attributable to KE
Holdings Inc.’s ordinary shareholders9 was RMB1,785
million (US$254 million) in the third quarter of 2024, compared to
RMB2,147 million in the same period of 2023.
Net Income per ADS
Basic and diluted net income per ADS
attributable to KE Holdings Inc.’s ordinary shareholders10
were RMB1.04 (US$0.15) and RMB1.00 (US$0.14) in the third quarter
of 2024, respectively, compared to RMB0.99 and RMB0.97 in the same
period of 2023, respectively.
Adjusted basic and diluted net income
per ADS attributable to KE Holdings Inc.’s ordinary
shareholders11 were RMB1.58 (US$0.23) and RMB1.53
(US$0.22) in the third quarter of 2024, respectively, compared to
RMB1.84 and RMB1.80 in the same period of 2023, respectively.
_____________________________
9 Adjusted net income (loss) attributable to KE
Holdings Inc.’s ordinary shareholders is a non-GAAP financial
measure and defined as net income (loss) attributable to KE
Holdings Inc.’s ordinary shareholders, excluding (i) share-based
compensation expenses, (ii) amortization of intangible assets
resulting from acquisitions and business cooperation agreement,
(iii) changes in fair value from long-term investments, loan
receivables measured at fair value and contingent consideration,
(iv) impairment of goodwill, intangible assets and other long-lived
assets, (v) impairment of investments, (vi) tax effects of the
above non-GAAP adjustments, and (vii) effects of non-GAAP
adjustments on net income (loss) attributable to non-controlling
interests shareholders. Please refer to the section titled
“Unaudited reconciliation of GAAP and non-GAAP results” for
details.10 ADS refers to American Depositary Share. Each ADS
represents three Class A ordinary shares of the Company. Net income
(loss) per ADS attributable to KE Holdings Inc.’s ordinary
shareholders is net income (loss) attributable to ordinary
shareholders divided by weighted average number of ADS outstanding
during the periods used in calculating net income (loss) per ADS,
basic and diluted.11 Adjusted net income (loss) per ADS
attributable to KE Holdings Inc.’s ordinary shareholders is a
non-GAAP financial measure, which is defined as adjusted net income
(loss) attributable to KE Holdings Inc.’s ordinary shareholders
divided by weighted average number of ADS outstanding during the
periods used in calculating adjusted net income (loss) per ADS,
basic and diluted. Please refer to the section titled “Unaudited
reconciliation of GAAP and non-GAAP results” for details.
Cash, Cash Equivalents, Restricted Cash
and Short-Term Investments
As of September 30, 2024, the combined balance
of the Company’s cash, cash equivalents, restricted cash and
short-term investments amounted to RMB59.5 billion (US$8.5
billion).
Share Repurchase Program
As previously disclosed, the Company established
a share repurchase program in August 2022 and upsized and extended
it in August 2023 and August 2024, under which the Company may
purchase up to US$3 billion of its Class A ordinary shares and/or
ADSs until August 31, 2025, subject to obtaining another general
unconditional mandate for the repurchase from the shareholders of
the Company at the next annual general meeting to continue its
share repurchase after the expiry of the existing share repurchase
mandate granted by the annual general meeting held on June 14,
2024. As of September 30, 2024, the Company in aggregate has
purchased approximately 102.2 million ADSs (representing
approximately 306.5 million Class A ordinary shares) on the New
York Stock Exchange with a total consideration of approximately
US$1,493.4 million under this share repurchase program since its
launch.
Conference Call Information
The Company will hold an earnings conference
call at 7:00 A.M. U.S. Eastern Time on Thursday, November 21,
2024 (8:00 P.M. Beijing/Hong Kong Time on Thursday, November
21, 2024) to discuss the financial results.
For participants who wish to join the conference
call using dial-in numbers, please complete online registration
using the link provided below at least 20 minutes prior to the
scheduled call start time. Dial-in numbers, passcode and unique
access PIN would be provided upon registering.
Participant Online Registration:
English Line:
https://s1.c-conf.com/diamondpass/10042784-y6whdt.html
Chinese Simultaneous Interpretation Line (listen-only mode):
https://s1.c-conf.com/diamondpass/10042787-mwq6c3.html
A replay of the conference call will be
accessible through November 28, 2024, by dialing the following
numbers:
|
United States: |
+1-855-883-1031 |
|
Mainland, China: |
400-1209-216 |
|
Hong Kong, China: |
800-930-639 |
|
International: |
+61-7-3107-6325 |
|
Replay PIN (English line): |
10042784 |
|
Replay PIN (Chinese simultaneous interpretation line): |
10042787 |
A live and archived webcast of the conference
call will also be available at the Company’s investor relations
website at https://investors.ke.com.
Exchange Rate
This press release contains translations of
certain RMB amounts into U.S. dollars (“US$”) at
specified rates solely for the convenience of the reader. Unless
otherwise stated, all translations from RMB to US$ were made at the
rate of RMB7.0176 to US$1.00, the noon buying rate in effect on
September 30, 2024, in the H.10 statistical release of the Federal
Reserve Board. The Company makes no representation that the RMB or
US$ amounts referred could be converted into US$ or RMB, as the
case may be, at any particular rate or at all. For analytical
presentation, all percentages are calculated using the numbers
presented in the financial information contained in this earnings
release.
Non-GAAP Financial Measures
The Company uses adjusted income (loss) from
operations, adjusted net income (loss), adjusted net income (loss)
attributable to KE Holdings Inc.’s ordinary shareholders, adjusted
operating margin, adjusted EBITDA and adjusted net income (loss)
per ADS attributable to KE Holdings Inc.’s ordinary shareholders,
each a non-GAAP financial measure, in evaluating its operating
results and formulating its business plan. Beike believes that
these non-GAAP financial measures help identify underlying trends
in the Company’s business that could otherwise be distorted by the
effect of certain expenses that the Company includes in its net
income (loss). Beike also believes that these non-GAAP financial
measures provide useful information about its results of
operations, enhance the overall understanding of its past
performance and future prospects and allow for greater visibility
with respect to key metrics used by its management in formulating
its business plan. A limitation of using these non-GAAP financial
measures is that these non-GAAP financial measures exclude
share-based compensation expenses that have been, and will continue
to be for the foreseeable future, a significant recurring expense
in the Company’s business.
The presentation of these non-GAAP financial
measures should not be considered in isolation or construed as an
alternative to gross profit, net income (loss) or any other measure
of performance or as an indicator of its operating performance.
Investors are encouraged to review these non-GAAP financial
measures and the reconciliation to the most directly comparable
GAAP measures. The non-GAAP financial measures presented here may
not be comparable to similarly titled measures presented by other
companies. Other companies may calculate similarly titled measures
differently, limiting their usefulness as comparative measures to
the Company’s data. Beike encourages investors and others to review
its financial information in its entirety and not rely on a single
financial measure. Adjusted income (loss) from
operations is defined as income (loss) from operations,
excluding (i) share-based compensation expenses, (ii) amortization
of intangible assets resulting from acquisitions and business
cooperation agreement, and (iii) impairment of goodwill, intangible
assets and other long-lived assets. Adjusted operating
margin is defined as adjusted income (loss) from
operations as a percentage of net revenues. Adjusted net
income (loss) is defined as net income (loss), excluding
(i) share-based compensation expenses, (ii) amortization of
intangible assets resulting from acquisitions and business
cooperation agreement, (iii) changes in fair value from long-term
investments, loan receivables measured at fair value and contingent
consideration, (iv) impairment of goodwill, intangible assets and
other long-lived assets, (v) impairment of investments, and (vi)
tax effects of the above non-GAAP adjustments. Adjusted net
income (loss) attributable to KE Holdings Inc.’s ordinary
shareholders is defined as net income (loss) attributable
to KE Holdings Inc.’s ordinary shareholders, excluding (i)
share-based compensation expenses, (ii) amortization of intangible
assets resulting from acquisitions and business cooperation
agreement, (iii) changes in fair value from long-term investments,
loan receivables measured at fair value and contingent
consideration, (iv) impairment of goodwill, intangible assets and
other long-lived assets, (v) impairment of investments, (vi) tax
effects of the above non-GAAP adjustments, and (vii) effects of
non-GAAP adjustments on net income (loss) attributable to
non-controlling interests shareholders. Adjusted
EBITDA is defined as net income (loss), excluding (i)
income tax expense, (ii) share-based compensation expenses, (iii)
amortization of intangible assets, (iv) depreciation of property,
plant and equipment, (v) interest income, net, (vi) changes in fair
value from long-term investments, loan receivables measured at fair
value and contingent consideration, (vii) impairment of goodwill,
intangible assets and other long-lived assets, and (viii)
impairment of investments. Adjusted net income (loss) per
ADS attributable to KE Holdings Inc.’s ordinary
shareholders is defined as adjusted net income (loss)
attributable to KE Holdings Inc.’s ordinary shareholders divided by
weighted average number of ADS outstanding during the periods used
in calculating adjusted net income (loss) per ADS, basic and
diluted.
Please see the “Unaudited reconciliation
of GAAP and non-GAAP results” included in this press
release for a full reconciliation of each non-GAAP measure to its
respective comparable GAAP measure.
About KE Holdings Inc.
KE Holdings Inc. is a leading integrated online
and offline platform for housing transactions and services. The
Company is a pioneer in building infrastructure and standards to
reinvent how service providers and customers efficiently navigate
and complete housing transactions and services in China, ranging
from existing and new home sales, home rentals, to home renovation
and furnishing, and other services. The Company owns and operates
Lianjia, China’s leading real estate brokerage brand and an
integral part of its Beike platform. With more than 23 years of
operating experience through Lianjia since its inception in 2001,
the Company believes the success and proven track record of Lianjia
pave the way for it to build its infrastructure and standards and
drive the rapid and sustainable growth of Beike.
Safe Harbor Statement
This press release contains statements that may
constitute “forward-looking” statements pursuant to 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,” “aims,”
“future,” “intends,” “plans,” “believes,” “estimates,” “likely to,”
and similar statements. Among other things, the quotations from
management in this press release, as well as Beike’s strategic and
operational plans, contain forward-looking statements. Beike may
also make written or oral forward-looking statements in its
periodic reports to the U.S. Securities and Exchange Commission
(the “SEC”) and The Stock Exchange of Hong Kong
Limited (the “Hong Kong Stock Exchange”), 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 KE Holdings Inc.’s beliefs,
plans, 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: Beike’s
goals and strategies; Beike’s future business development,
financial condition and results of operations; expected changes in
the Company’s revenues, costs or expenditures; Beike’s ability to
empower services and facilitate transactions on Beike platform;
competition in the industry in which Beike operates; relevant
government policies and regulations relating to the industry;
Beike’s ability to protect the Company’s systems and
infrastructures from cyber-attacks; Beike’s dependence on the
integrity of brokerage brands, stores and agents on the Company’s
platform; general economic and business conditions in China and
globally; and assumptions underlying or related to any of the
foregoing. Further information regarding these and other risks is
included in KE Holdings Inc.’s filings with the SEC and the Hong
Kong Stock Exchange. All information provided in this press release
is as of the date of this press release, and KE Holdings Inc. does
not undertake any obligation to update any forward-looking
statement, except as required under applicable law.
For investor and media inquiries, please
contact:
In China:KE Holdings Inc.Investor
RelationsSiting LiE-mail: ir@ke.com
Piacente Financial Communications Jenny CaiTel:
+86-10-6508-0677E-mail: ke@tpg-ir.com
In the United States:Piacente Financial
Communications Brandi PiacenteTel: +1-212-481-2050E-mail:
ke@tpg-ir.com
Source: KE Holdings Inc.
|
KE Holdings Inc.UNAUDITED CONDENSED
CONSOLIDATED BALANCE SHEETS (All amounts in
thousands, except for share, per share data) |
|
|
|
|
|
|
|
|
|
As of |
|
As of |
|
|
December 31, |
September 30, |
|
|
|
2023 |
|
2024 |
|
|
|
RMB |
|
RMB |
|
US$ |
|
|
|
|
|
|
|
|
| ASSETS |
|
|
|
|
|
|
| Current
assets |
|
|
|
|
|
| Cash and cash equivalents |
|
19,634,716 |
|
9,576,948 |
|
1,364,704 |
| Restricted
cash |
6,222,745 |
|
6,243,476 |
|
889,688 |
| Short-term
investments |
34,257,958 |
|
43,654,035 |
|
6,220,650 |
|
Short-term financing receivables, net of allowance for credit
losses of RMB122,482 and RMB118,504 as of December 31, 2023 and
September 30, 2024, respectively |
|
1,347,759 |
|
773,567 |
|
110,232 |
|
Accounts receivable and contract assets, net of allowance for
credit losses of RMB1,681,127 and RMB1,640,694 as of December 31,
2023 and September 30, 2024, respectively |
|
3,176,169 |
|
3,277,775 |
|
467,079 |
| Amounts due from and
prepayments to related parties |
|
419,270 |
|
407,966 |
|
58,135 |
| Loan receivables from related
parties |
|
28,030 |
|
18,030 |
|
2,569 |
| Prepayments, receivables and
other assets |
|
4,666,976 |
|
5,726,438 |
|
816,012 |
| Total
current assets |
69,753,623 |
|
69,678,235 |
|
9,929,069 |
|
Non-current assets |
|
|
|
|
|
| Property, plant and equipment,
net |
|
1,965,098 |
|
2,248,709 |
|
320,438 |
| Right-of-use
assets |
17,617,915 |
|
22,259,923 |
|
3,172,014 |
| Long-term investments,
net |
|
23,570,988 |
|
21,457,347 |
|
3,057,647 |
| Intangible assets,
net |
1,067,459 |
|
948,723 |
|
135,192 |
| Goodwill |
|
4,856,807 |
|
4,839,219 |
|
689,583 |
| Long-term loan receivables
from related parties |
|
27,000 |
|
25,360 |
|
3,614 |
| Other non-current assets |
|
1,473,041 |
|
1,338,196 |
|
190,693 |
| Total non-current
assets |
|
50,578,308 |
|
53,117,477 |
|
7,569,181 |
| TOTAL
ASSETS |
120,331,931 |
|
122,795,712 |
|
17,498,250 |
| |
|
|
|
|
|
|
|
LIABILITIES |
|
|
|
|
|
|
| Current
liabilities |
|
|
|
|
|
|
| Accounts payable |
|
6,328,516 |
|
6,389,882 |
|
910,551 |
| Amounts due to related
parties |
|
430,350 |
|
382,816 |
|
54,551 |
| Employee compensation and
welfare payable |
|
8,145,779 |
|
6,136,481 |
|
874,442 |
| Customer deposits payable |
|
3,900,564 |
|
3,999,101 |
|
569,867 |
| Income taxes payable |
|
698,568 |
|
616,621 |
|
87,868 |
| Short-term borrowings |
|
290,450 |
|
306,610 |
|
43,692 |
| Lease liabilities current
portion |
|
9,368,607 |
|
12,900,946 |
|
1,838,370 |
| Contract liability and
deferred revenue |
|
4,665,201 |
|
5,223,016 |
|
744,274 |
| Accrued expenses and other
current liabilities |
|
5,695,948 |
|
7,191,733 |
|
1,024,813 |
| Total current
liabilities |
|
39,523,983 |
|
43,147,206 |
|
6,148,428 |
| Non-current
liabilities |
|
|
|
|
|
|
| Deferred tax liabilities |
|
279,341 |
|
279,341 |
|
39,806 |
| Lease liabilities non-current
portion |
|
8,327,113 |
|
8,472,711 |
|
1,207,352 |
| Other non-current
liabilities |
|
389 |
|
2,791 |
|
398 |
| Total non-current
liabilities |
|
8,606,843 |
|
8,754,843 |
|
1,247,556 |
| TOTAL
LIABILITIES |
|
48,130,826 |
|
51,902,049 |
|
7,395,984 |
| SHAREHOLDERS’
EQUITY |
|
|
|
|
|
|
| KE Holdings Inc.
shareholders’ equity |
|
|
|
|
|
|
|
Ordinary shares (US$0.00002 par value; 25,000,000,000 ordinary
shares authorized, comprising of 24,114,698,720 Class A ordinary
shares and 885,301,280 Class B ordinary shares. 3,571,960,220 Class
A ordinary shares issued and 3,443,860,844 Class A ordinary shares
outstanding(1) as of December 31, 2023; 3,491,188,042 Class A
ordinary shares issued and 3,357,035,782 Class A ordinary shares
outstanding(1) as of September 30, 2024; and 151,354,549 and
145,897,002 Class B ordinary shares issued and outstanding as of
December 31, 2023 and September 30, 2024, respectively) |
|
475 |
|
|
463 |
|
|
66 |
|
| Treasury shares |
|
(866,198 |
) |
|
(408,535 |
) |
|
(58,216 |
) |
| Additional paid-in
capital |
|
77,583,054 |
|
|
72,274,027 |
|
|
10,298,966 |
|
| Statutory reserves |
|
811,107 |
|
|
811,107 |
|
|
115,582 |
|
| Accumulated other
comprehensive income |
|
244,302 |
|
|
275,516 |
|
|
39,261 |
|
| Accumulated deficit |
|
(5,672,916 |
) |
|
(2,178,008 |
) |
|
(310,364 |
) |
| Total KE Holdings Inc.
shareholders' equity |
|
72,099,824 |
|
|
70,774,570 |
|
|
10,085,295 |
|
| Non-controlling interests |
|
101,281 |
|
|
119,093 |
|
|
16,971 |
|
| TOTAL SHAREHOLDERS'
EQUITY |
|
72,201,105 |
|
|
70,893,663 |
|
|
10,102,266 |
|
| TOTAL LIABILITIES AND
SHAREHOLDERS’ EQUITY |
|
120,331,931 |
|
|
122,795,712 |
|
|
17,498,250 |
|
|
(1) |
Excluding the Class A ordinary shares registered in the name of the
depositary bank for future issuance of ADSs upon the exercise or
vesting of awards granted under our share incentive plans and the
Class A ordinary shares repurchased but not cancelled in the form
of ADSs. |
|
KE Holdings Inc.UNAUDITED CONDENSED
CONSOLIDATED STATEMENT OF OPERATIONS(All amounts
in thousands, except for share, per share data, ADS and per ADS
data) |
|
|
|
|
For the Three Months Ended |
|
For the Nine Months Ended |
|
|
September 30,2023 |
|
September 30,2024 |
|
September 30,2024 |
|
September 30,2023 |
|
September 30,2024 |
|
September 30,2024 |
|
|
RMB |
|
RMB |
|
US$ |
|
RMB |
|
RMB |
|
US$ |
|
|
|
|
|
|
|
|
|
|
|
|
|
| Net
revenues |
|
|
|
|
|
|
|
|
|
|
|
|
Existing home transaction services |
6,307,085 |
|
|
6,217,054 |
|
|
885,923 |
|
|
21,904,172 |
|
|
19,278,973 |
|
|
2,747,232 |
|
| New home transaction
services |
5,901,966 |
|
|
7,726,316 |
|
|
1,100,991 |
|
|
23,001,680 |
|
|
20,576,636 |
|
|
2,932,147 |
|
| Home renovation and
furnishing |
3,176,739 |
|
|
4,213,041 |
|
|
600,354 |
|
|
7,209,569 |
|
|
10,662,113 |
|
|
1,519,339 |
|
| Home rental services |
1,804,374 |
|
|
3,941,234 |
|
|
561,621 |
|
|
3,905,262 |
|
|
9,753,977 |
|
|
1,389,931 |
|
| Emerging and other
services |
620,541 |
|
|
487,002 |
|
|
69,397 |
|
|
1,552,023 |
|
|
2,060,692 |
|
|
293,646 |
|
| Total net
revenues |
17,810,705 |
|
|
22,584,647 |
|
|
3,218,286 |
|
|
57,572,706 |
|
|
62,332,391 |
|
|
8,882,295 |
|
| Cost of
revenues |
|
|
|
|
|
|
|
|
|
|
|
| Commission-split |
(3,982,415 |
) |
|
(5,199,321 |
) |
|
(740,897 |
) |
|
(15,345,975 |
) |
|
(14,057,167 |
) |
|
(2,003,130 |
) |
| Commission and
compensation-internal |
(3,737,715 |
) |
|
(4,381,616 |
) |
|
(624,375 |
) |
|
(13,098,490 |
) |
|
(12,446,905 |
) |
|
(1,773,670 |
) |
| Cost of home renovation and
furnishing |
(2,252,251 |
) |
|
(2,897,013 |
) |
|
(412,821 |
) |
|
(5,077,310 |
) |
|
(7,345,082 |
) |
|
(1,046,666 |
) |
| Cost of home rental
services |
(1,748,021 |
) |
|
(3,766,972 |
) |
|
(536,789 |
) |
|
(3,996,906 |
) |
|
(9,248,794 |
) |
|
(1,317,943 |
) |
| Cost related to stores |
(729,388 |
) |
|
(703,045 |
) |
|
(100,183 |
) |
|
(2,145,039 |
) |
|
(2,069,022 |
) |
|
(294,833 |
) |
| Others |
(479,935 |
) |
|
(501,947 |
) |
|
(71,526 |
) |
|
(1,335,018 |
) |
|
(1,391,552 |
) |
|
(198,295 |
) |
| Total cost of
revenues(1) |
(12,929,725 |
) |
|
(17,449,914 |
) |
|
(2,486,591 |
) |
|
(40,998,738 |
) |
|
(46,558,522 |
) |
|
(6,634,537 |
) |
| Gross
profit |
4,880,980 |
|
|
5,134,733 |
|
|
731,695 |
|
|
16,573,968 |
|
|
15,773,869 |
|
|
2,247,758 |
|
| Operating
expenses |
|
|
|
|
|
|
|
|
|
|
|
| Sales and marketing
expenses(1) |
(1,630,543 |
) |
|
(1,933,878 |
) |
|
(275,575 |
) |
|
(4,573,815 |
) |
|
(5,439,341 |
) |
|
(775,100 |
) |
| General and administrative
expenses(1) |
(1,862,347 |
) |
|
(1,900,959 |
) |
|
(270,884 |
) |
|
(5,588,830 |
) |
|
(5,999,453 |
) |
|
(854,915 |
) |
| Research and development
expenses(1) |
(471,631 |
) |
|
(572,932 |
) |
|
(81,642 |
) |
|
(1,403,160 |
) |
|
(1,544,741 |
) |
|
(220,124 |
) |
| Impairment of goodwill,
intangible assets and other long-lived assets |
(5,201 |
) |
|
- |
|
|
- |
|
|
(37,976 |
) |
|
(36,397 |
) |
|
(5,187 |
) |
| Total operating
expenses |
(3,969,722 |
) |
|
(4,407,769 |
) |
|
(628,101 |
) |
|
(11,603,781 |
) |
|
(13,019,932 |
) |
|
(1,855,326 |
) |
| Income from
operations |
911,258 |
|
|
726,964 |
|
|
103,594 |
|
|
4,970,187 |
|
|
2,753,937 |
|
|
392,432 |
|
| Interest income, net |
349,143 |
|
|
310,493 |
|
|
44,245 |
|
|
951,369 |
|
|
976,746 |
|
|
139,185 |
|
| Share of results of equity
investees |
12,753 |
|
|
7,783 |
|
|
1,109 |
|
|
27,228 |
|
|
4,048 |
|
|
577 |
|
| Impairment loss for equity
investments accounted for equity method |
(6,182 |
) |
|
- |
|
|
- |
|
|
(6,182 |
) |
|
- |
|
|
- |
|
| Fair value changes in
investments, net |
1,187 |
|
|
109,170 |
|
|
15,557 |
|
|
74,193 |
|
|
187,458 |
|
|
26,713 |
|
| Impairment loss for equity
investments accounted for using Measurement Alternative |
(2,882 |
) |
|
(388 |
) |
|
(55 |
) |
|
(12,195 |
) |
|
(8,437 |
) |
|
(1,202 |
) |
| Foreign currency exchange gain
(loss) |
96,336 |
|
|
45,156 |
|
|
6,435 |
|
|
80,503 |
|
|
(27,869 |
) |
|
(3,971 |
) |
| Other income, net |
309,914 |
|
|
472,359 |
|
|
67,311 |
|
|
1,037,197 |
|
|
1,373,969 |
|
|
195,789 |
|
| Income before income
tax expense |
1,671,527 |
|
|
1,671,537 |
|
|
238,196 |
|
|
7,122,300 |
|
|
5,259,852 |
|
|
749,523 |
|
| Income tax expense |
(501,237 |
) |
|
(503,131 |
) |
|
(71,696 |
) |
|
(1,902,759 |
) |
|
(1,758,920 |
) |
|
(250,644 |
) |
| Net
income |
1,170,290 |
|
|
1,168,406 |
|
|
166,500 |
|
|
5,219,541 |
|
|
3,500,932 |
|
|
498,879 |
|
|
Net loss (income) attributable to non-controlling interests
shareholders |
(12,248 |
) |
|
2,667 |
|
|
380 |
|
|
(5,922 |
) |
|
(6,024 |
) |
|
(858 |
) |
| Net income
attributable to KE Holdings Inc. |
1,158,042 |
|
|
1,171,073 |
|
|
166,880 |
|
|
5,213,619 |
|
|
3,494,908 |
|
|
498,021 |
|
| Net income
attributable to KE Holdings Inc.’s ordinary
shareholders |
1,158,042 |
|
|
1,171,073 |
|
|
166,880 |
|
|
5,213,619 |
|
|
3,494,908 |
|
|
498,021 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
| Net
income |
1,170,290 |
|
|
1,168,406 |
|
|
166,500 |
|
|
5,219,541 |
|
|
3,500,932 |
|
|
498,879 |
|
| Currency translation
adjustments |
(180,974 |
) |
|
(252,110 |
) |
|
(35,925 |
) |
|
712,745 |
|
|
(131,660 |
) |
|
(18,761 |
) |
| Unrealized gains (losses) on
available-for-sale investments, net of reclassification |
(49,243 |
) |
|
130,261 |
|
|
18,562 |
|
|
(50,267 |
) |
|
162,874 |
|
|
23,209 |
|
| Total comprehensive
income |
940,073 |
|
|
1,046,557 |
|
|
149,137 |
|
|
5,882,019 |
|
|
3,532,146 |
|
|
503,327 |
|
| Comprehensive loss (income)
attributable to non-controlling interests shareholders |
(12,248 |
) |
|
2,667 |
|
|
380 |
|
|
(5,922 |
) |
|
(6,024 |
) |
|
(858 |
) |
| Comprehensive income
attributable to KE Holdings Inc. |
927,825 |
|
|
1,049,224 |
|
|
149,517 |
|
|
5,876,097 |
|
|
3,526,122 |
|
|
502,469 |
|
| Comprehensive income
attributable to KE Holdings Inc.’s ordinary
shareholders |
927,825 |
|
|
1,049,224 |
|
|
149,517 |
|
|
5,876,097 |
|
|
3,526,122 |
|
|
502,469 |
|
|
Weighted average number of ordinary shares used in
computing net income per share, basic and diluted |
|
|
|
|
|
|
|
|
|
|
|
| —Basic |
3,491,785,849 |
|
3,380,011,519 |
|
3,380,011,519 |
|
3,527,781,652 |
|
3,408,518,304 |
|
3,408,518,304 |
| —Diluted |
3,569,150,049 |
|
3,501,151,763 |
|
3,501,151,763 |
|
3,612,305,297 |
|
3,522,652,156 |
|
3,522,652,156 |
| |
|
|
|
|
|
|
|
|
|
|
|
| Weighted average
number of ADS used in computing net income per ADS, basic and
diluted |
|
|
|
|
|
|
|
|
|
|
|
| —Basic |
1,163,928,616 |
|
1,126,670,506 |
|
1,126,670,506 |
|
1,175,927,217 |
|
1,136,172,768 |
|
1,136,172,768 |
| —Diluted |
1,189,716,683 |
|
1,167,050,588 |
|
1,167,050,588 |
|
1,204,101,766 |
|
1,174,217,385 |
|
1,174,217,385 |
| |
|
|
|
|
|
|
|
|
|
|
|
| Net income per share
attributable to KE Holdings Inc.'s ordinary
shareholders |
|
|
|
|
|
|
|
|
|
|
|
| —Basic |
0.33 |
|
0.35 |
|
0.05 |
|
1.48 |
|
1.03 |
|
0.15 |
| —Diluted |
0.32 |
|
0.33 |
|
0.05 |
|
1.44 |
|
0.99 |
|
0.14 |
| |
|
|
|
|
|
|
|
|
|
|
|
| Net income per ADS
attributable to KE Holdings Inc.'s ordinary
shareholders |
|
|
|
|
|
|
|
|
|
|
|
| —Basic |
0.99 |
|
1.04 |
|
0.15 |
|
4.43 |
|
3.08 |
|
0.44 |
| —Diluted |
0.97 |
|
1.00 |
|
0.14 |
|
4.33 |
|
2.98 |
|
0.42 |
| |
|
|
|
|
|
|
|
|
|
|
|
| (1)
Includes share-based compensation expenses as
follows: |
|
| Cost of revenues |
136,990 |
|
136,101 |
|
19,394 |
|
363,556 |
|
385,935 |
|
54,995 |
| Sales and marketing
expenses |
51,637 |
|
53,149 |
|
7,574 |
|
129,118 |
|
143,910 |
|
20,507 |
| General and administrative
expenses |
576,635 |
|
370,106 |
|
52,740 |
|
1,765,532 |
|
1,461,016 |
|
208,193 |
| Research and development
expenses |
48,867 |
|
47,220 |
|
6,729 |
|
138,905 |
|
140,146 |
|
19,971 |
| |
|
|
|
|
|
|
|
|
|
|
|
|
KE Holdings Inc.UNAUDITED RECONCILIATION
OF GAAP AND NON-GAAP RESULTS(All amounts in
thousands, except for share, per share data, ADS and per ADS
data) |
| |
|
|
|
| |
For the Three Months Ended |
|
For the Nine Months Ended |
| |
September 30,2023 |
|
September 30,2024 |
|
September 30,2024 |
|
September 30,2023 |
|
September 30,2024 |
|
September 30,2024 |
| |
RMB |
|
RMB |
|
US$ |
|
RMB |
|
RMB |
|
US$ |
| |
|
|
|
|
|
|
|
|
|
|
|
|
Income from operations |
911,258 |
|
|
726,964 |
|
|
103,594 |
|
|
4,970,187 |
|
|
2,753,937 |
|
|
392,432 |
|
| Share-based compensation
expenses |
814,129 |
|
|
606,576 |
|
|
86,437 |
|
|
2,397,111 |
|
|
2,131,007 |
|
|
303,666 |
|
| Amortization of intangible
assets resulting from acquisitions and business cooperation
agreement |
155,495 |
|
|
29,883 |
|
|
4,258 |
|
|
458,268 |
|
|
214,167 |
|
|
30,519 |
|
| Impairment of goodwill,
intangible assets and other long-lived assets |
5,201 |
|
|
- |
|
|
- |
|
|
37,976 |
|
|
36,397 |
|
|
5,187 |
|
| Adjusted income from
operations |
1,886,083 |
|
|
1,363,423 |
|
|
194,289 |
|
|
7,863,542 |
|
|
5,135,508 |
|
|
731,804 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
| Net
income |
1,170,290 |
|
|
1,168,406 |
|
|
166,500 |
|
|
5,219,541 |
|
|
3,500,932 |
|
|
498,879 |
|
| Share-based compensation
expenses |
814,129 |
|
|
606,576 |
|
|
86,437 |
|
|
2,397,111 |
|
|
2,131,007 |
|
|
303,666 |
|
| Amortization of intangible
assets resulting from acquisitions and business cooperation
agreement |
155,495 |
|
|
29,883 |
|
|
4,258 |
|
|
458,268 |
|
|
214,167 |
|
|
30,519 |
|
| Changes in fair value from
long-term investments, loan receivables measured at fair value and
contingent consideration |
11,720 |
|
|
(16,867 |
) |
|
(2,404 |
) |
|
(26,861 |
) |
|
(3,589 |
) |
|
(511 |
) |
| Impairment of goodwill,
intangible assets and other long-lived assets |
5,201 |
|
|
- |
|
|
- |
|
|
37,976 |
|
|
36,397 |
|
|
5,187 |
|
| Impairment of investments |
9,064 |
|
|
388 |
|
|
55 |
|
|
18,377 |
|
|
8,437 |
|
|
1,202 |
|
| Tax effects on non-GAAP
adjustments |
(6,560 |
) |
|
(6,494 |
) |
|
(925 |
) |
|
(19,682 |
) |
|
(19,904 |
) |
|
(2,836 |
) |
| Adjusted net
income |
2,159,339 |
|
|
1,781,892 |
|
|
253,921 |
|
|
8,084,730 |
|
|
5,867,447 |
|
|
836,106 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
| Net
income |
1,170,290 |
|
|
1,168,406 |
|
|
166,500 |
|
|
5,219,541 |
|
|
3,500,932 |
|
|
498,879 |
|
| Income tax expense |
501,237 |
|
|
503,131 |
|
|
71,696 |
|
|
1,902,759 |
|
|
1,758,920 |
|
|
250,644 |
|
| Share-based compensation
expenses |
814,129 |
|
|
606,576 |
|
|
86,437 |
|
|
2,397,111 |
|
|
2,131,007 |
|
|
303,666 |
|
| Amortization of intangible
assets |
158,893 |
|
|
36,125 |
|
|
5,148 |
|
|
468,807 |
|
|
230,643 |
|
|
32,866 |
|
| Depreciation of property,
plant and equipment |
193,791 |
|
|
166,373 |
|
|
23,708 |
|
|
578,606 |
|
|
505,232 |
|
|
71,995 |
|
| Interest income, net |
(349,143 |
) |
|
(310,493 |
) |
|
(44,245 |
) |
|
(951,369 |
) |
|
(976,746 |
) |
|
(139,185 |
) |
| Changes in fair value from
long-term investments, loan receivables measured at fair value and
contingent consideration |
11,720 |
|
|
(16,867 |
) |
|
(2,404 |
) |
|
(26,861 |
) |
|
(3,589 |
) |
|
(511 |
) |
| Impairment of goodwill,
intangible assets and other long-lived assets |
5,201 |
|
|
- |
|
|
- |
|
|
37,976 |
|
|
36,397 |
|
|
5,187 |
|
| Impairment of investments |
9,064 |
|
|
388 |
|
|
55 |
|
|
18,377 |
|
|
8,437 |
|
|
1,202 |
|
| Adjusted
EBITDA |
2,515,182 |
|
|
2,153,639 |
|
|
306,895 |
|
|
9,644,947 |
|
|
7,191,233 |
|
|
1,024,743 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
| Net income
attributable to KE Holdings Inc.’s ordinary
shareholders |
1,158,042 |
|
|
1,171,073 |
|
|
166,880 |
|
|
5,213,619 |
|
|
3,494,908 |
|
|
498,021 |
|
| Share-based compensation
expenses |
814,129 |
|
|
606,576 |
|
|
86,437 |
|
|
2,397,111 |
|
|
2,131,007 |
|
|
303,666 |
|
| Amortization of intangible
assets resulting from acquisitions and business cooperation
agreement |
155,495 |
|
|
29,883 |
|
|
4,258 |
|
|
458,268 |
|
|
214,167 |
|
|
30,519 |
|
| Changes in fair value from
long-term investments, loan receivables measured at fair value and
contingent consideration |
11,720 |
|
|
(16,867 |
) |
|
(2,404 |
) |
|
(26,861 |
) |
|
(3,589 |
) |
|
(511 |
) |
| Impairment of goodwill,
intangible assets and other long-lived assets |
5,201 |
|
|
- |
|
|
- |
|
|
37,976 |
|
|
36,397 |
|
|
5,187 |
|
| Impairment of investments |
9,064 |
|
|
388 |
|
|
55 |
|
|
18,377 |
|
|
8,437 |
|
|
1,202 |
|
| Tax effects on non-GAAP
adjustments |
(6,560 |
) |
|
(6,494 |
) |
|
(925 |
) |
|
(19,682 |
) |
|
(19,904 |
) |
|
(2,836 |
) |
| Effects of non-GAAP
adjustments on net income attributable to non-controlling interests
shareholders |
(7 |
) |
|
(7 |
) |
|
(1 |
) |
|
(21 |
) |
|
(21 |
) |
|
(3 |
) |
| Adjusted net income
attributable to KE Holdings Inc.’s ordinary
shareholders |
2,147,084 |
|
|
1,784,552 |
|
|
254,300 |
|
|
8,078,787 |
|
|
5,861,402 |
|
|
835,245 |
|
|
Weighted average number of ADS used in computing net income
per ADS, basic and diluted |
|
|
|
|
|
|
|
|
|
|
|
| —Basic |
1,163,928,616 |
|
1,126,670,506 |
|
1,126,670,506 |
|
1,175,927,217 |
|
1,136,172,768 |
|
1,136,172,768 |
| —Diluted |
1,189,716,683 |
|
1,167,050,588 |
|
1,167,050,588 |
|
1,204,101,766 |
|
1,174,217,385 |
|
1,174,217,385 |
| |
|
|
|
|
|
|
|
|
|
|
|
| Weighted average
number of ADS used in calculating adjusted net income per ADS,
basic and diluted |
|
|
|
|
|
|
|
|
|
|
|
| —Basic |
1,163,928,616 |
|
1,126,670,506 |
|
1,126,670,506 |
|
1,175,927,217 |
|
1,136,172,768 |
|
1,136,172,768 |
| —Diluted |
1,189,716,683 |
|
1,167,050,588 |
|
1,167,050,588 |
|
1,204,101,766 |
|
1,174,217,385 |
|
1,174,217,385 |
| |
|
|
|
|
|
|
|
|
|
|
|
| Net income per ADS
attributable to KE Holdings Inc.'s ordinary
shareholders |
|
|
|
|
|
|
|
|
|
|
|
| —Basic |
0.99 |
|
1.04 |
|
0.15 |
|
4.43 |
|
3.08 |
|
0.44 |
| —Diluted |
0.97 |
|
1.00 |
|
0.14 |
|
4.33 |
|
2.98 |
|
0.42 |
| |
|
|
|
|
|
|
|
|
|
|
|
| Non-GAAP adjustments
to net income per ADS attributable to KE Holdings Inc.'s ordinary
shareholders |
|
|
|
|
|
|
|
|
|
|
|
| —Basic |
0.85 |
|
0.54 |
|
0.08 |
|
2.44 |
|
2.08 |
|
0.30 |
| —Diluted |
0.83 |
|
0.53 |
|
0.08 |
|
2.38 |
|
2.01 |
|
0.29 |
| |
|
|
|
|
|
|
|
|
|
|
|
| Adjusted net income
per ADS attributable to KE Holdings Inc.'s ordinary
shareholders |
|
|
|
|
|
|
|
|
|
|
|
| —Basic |
1.84 |
|
1.58 |
|
0.23 |
|
6.87 |
|
5.16 |
|
0.74 |
| —Diluted |
1.80 |
|
1.53 |
|
0.22 |
|
6.71 |
|
4.99 |
|
0.71 |
| |
|
|
|
|
|
|
|
|
|
|
|
|
KE Holdings Inc.UNAUDITED CONDENSED
CONSOLIDATED STATEMENT OF CASH FLOWS(All amounts
in thousands) |
|
|
|
|
For the Three Months Ended |
|
For the Nine Months Ended |
|
|
September 30,2023 |
|
September 30,2024 |
|
September 30,2024 |
|
September 30,2023 |
|
September 30,2024 |
|
September 30,2024 |
|
|
RMB |
|
RMB |
|
US$ |
|
RMB |
|
RMB |
|
US$ |
| |
|
|
|
|
|
|
|
|
|
|
|
|
Net cash provided by operating activities |
1,956,650 |
|
|
448,890 |
|
|
63,971 |
|
|
9,388,339 |
|
|
4,306,568 |
|
|
613,680 |
|
| Net cash used in investing
activities |
(15,323,257 |
) |
|
(518,848 |
) |
|
(73,936 |
) |
|
(7,689,643 |
) |
|
(7,362,441 |
) |
|
(1,049,140 |
) |
| Net cash used in financing
activities |
(2,614,917 |
) |
|
(1,589,390 |
) |
|
(226,486 |
) |
|
(5,484,524 |
) |
|
(6,966,444 |
) |
|
(992,710 |
) |
| Effect of exchange rate change
on cash, cash equivalents and restricted cash |
164,808 |
|
|
(46,881 |
) |
|
(6,685 |
) |
|
186,945 |
|
|
(14,720 |
) |
|
(2,097 |
) |
| Net decrease in cash
and cash equivalents and restricted cash |
(15,816,716 |
) |
|
(1,706,229 |
) |
|
(243,136 |
) |
|
(3,598,883 |
) |
|
(10,037,037 |
) |
|
(1,430,267 |
) |
| Cash, cash equivalents and
restricted cash at the beginning of the period |
37,812,092 |
|
|
17,526,653 |
|
|
2,497,528 |
|
|
25,594,259 |
|
|
25,857,461 |
|
|
3,684,659 |
|
| Cash, cash equivalents
and restricted cash at the end of the period |
21,995,376 |
|
|
15,820,424 |
|
|
2,254,392 |
|
|
21,995,376 |
|
|
15,820,424 |
|
|
2,254,392 |
|
|
KE Holdings Inc.UNAUDITED SEGMENT
CONTRIBUTION MEASURE(All amounts in
thousands) |
|
|
|
|
|
For the Three Months Ended |
|
For the Nine Months Ended |
|
|
|
September 30,2023 |
|
September 30,2024 |
|
September 30,2024 |
|
September 30,2023 |
|
September 30,2024 |
|
September 30,2024 |
|
|
|
RMB |
|
RMB |
|
US$ |
|
RMB |
|
RMB |
|
US$ |
| Existing home
transaction services |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net revenues |
|
6,307,085 |
|
|
6,217,054 |
|
|
885,923 |
|
|
21,904,172 |
|
|
19,278,973 |
|
|
2,747,232 |
|
| Less: Commission and
compensation |
|
(3,237,237 |
) |
|
(3,667,827 |
) |
|
(522,661 |
) |
|
(11,407,196 |
) |
|
(10,700,539 |
) |
|
(1,524,815 |
) |
| Contribution |
|
3,069,848 |
|
|
2,549,227 |
|
|
363,262 |
|
|
10,496,976 |
|
|
8,578,434 |
|
|
1,222,417 |
|
| New home transaction
services |
|
|
|
|
|
|
|
|
|
|
|
|
| Net revenues |
|
5,901,966 |
|
|
7,726,316 |
|
|
1,100,991 |
|
|
23,001,680 |
|
|
20,576,636 |
|
|
2,932,147 |
|
| Less: Commission and
compensation |
|
(4,418,771 |
) |
|
(5,812,384 |
) |
|
(828,258 |
) |
|
(16,880,830 |
) |
|
(15,581,327 |
) |
|
(2,220,321 |
) |
| Contribution |
|
1,483,195 |
|
|
1,913,932 |
|
|
272,733 |
|
|
6,120,850 |
|
|
4,995,309 |
|
|
711,826 |
|
| Home renovation and
furnishing |
|
|
|
|
|
|
|
|
|
|
|
|
| Net revenues |
|
3,176,739 |
|
|
4,213,041 |
|
|
600,354 |
|
|
7,209,569 |
|
|
10,662,113 |
|
|
1,519,339 |
|
| Less: Material costs,
commission and compensation |
|
(2,252,251 |
) |
|
(2,897,013 |
) |
|
(412,821 |
) |
|
(5,077,310 |
) |
|
(7,345,082 |
) |
|
(1,046,666 |
) |
| Contribution |
|
924,488 |
|
|
1,316,028 |
|
|
187,533 |
|
|
2,132,259 |
|
|
3,317,031 |
|
|
472,673 |
|
| Home rental
services |
|
|
|
|
|
|
|
|
|
|
|
|
| Net revenues |
|
1,804,374 |
|
|
3,941,234 |
|
|
561,621 |
|
|
3,905,262 |
|
|
9,753,977 |
|
|
1,389,931 |
|
| Less: Property leasing costs,
commission and compensation |
|
(1,748,021 |
) |
|
(3,766,972 |
) |
|
(536,789 |
) |
|
(3,996,906 |
) |
|
(9,248,794 |
) |
|
(1,317,943 |
) |
| (Deficit)/Contribution |
|
56,353 |
|
|
174,262 |
|
|
24,832 |
|
|
(91,644 |
) |
|
505,183 |
|
|
71,988 |
|
| Emerging and other
services |
|
|
|
|
|
|
|
|
|
|
|
|
| Net revenues |
|
620,541 |
|
|
487,002 |
|
|
69,397 |
|
|
1,552,023 |
|
|
2,060,692 |
|
|
293,646 |
|
| Less: Commission and
compensation |
|
(64,122 |
) |
|
(100,726 |
) |
|
(14,353 |
) |
|
(156,439 |
) |
|
(222,206 |
) |
|
(31,664 |
) |
| Contribution |
|
556,419 |
|
|
386,276 |
|
|
55,044 |
|
|
1,395,584 |
|
|
1,838,486 |
|
|
261,982 |
|
KE (NYSE:BEKE)
Historical Stock Chart
From Oct 2024 to Nov 2024
KE (NYSE:BEKE)
Historical Stock Chart
From Nov 2023 to Nov 2024
