Company News
"I'm glad to announce that we beat our guidance for the quarter and close out a challenging year on solid footing despite of numerous headwinds," stated Mr.
Mr. Ya Li, president of
Fourth Quarter 2015 Financial Results
REVENUES
Total revenues for the fourth quarter of 2015 were
Net advertising revenues (net of advertising agency service fees) for the fourth quarter of 2015 increased by 2.3% to
Paid service revenues for the fourth quarter of 2015 decreased by 15.0% to
COST OF REVENUES AND GROSS PROFIT
Cost of revenues for the fourth quarter of 2015 was
Gross profit for the fourth quarter of 2015 was
OPERATING EXPENSES AND INCOME FROM OPERATIONS
Total operating expenses for the fourth quarter of 2015 were
Adjusted income from operations for the fourth quarter of 2015, which excludes share-based compensation, was
Income from operations for the fourth quarter of 2015 was
OTHER INCOME/(LOSS)
Other income/(loss) reflects interest income, net, foreign currency exchange gain or loss, loss from equity investments, impairment of equity investments and others, net[4]. Total other income for the fourth quarter of 2015 was
NET INCOME ATTRIBUTABLE TO PHOENIX NEW MEDIA LIMITED
Adjusted net income attributable to
Net income attributable to
As of
For the fourth quarter of 2015, the Company's weighted average number of ADSs used in the computation of diluted net income per ADS was 72,328,186. As of
Fiscal Year 2015 Financial Results
REVENUES
Total revenues for fiscal year 2015 were
Net advertising revenues (net of advertising agency service fees) for fiscal year 2015 increased by 3.1% to
Paid service revenues for fiscal year 2015 decreased by 14.5% to
COST OF REVENUES AND GROSS PROFIT
Cost of revenues for fiscal year 2015 were
Gross profit for fiscal year 2015 was
OPERATING EXPENSES AND INCOME FROM OPERATIONS
Total operating expenses for fiscal year 2015 were
Adjusted income from operations, which excludes share-based compensation, for fiscal year 2015 was
Income from operations for fiscal year 2015 was
NET INCOME ATTRIBUTABLE TO PHOENIX NEW MEDIA LIMITED
Adjusted net income attributable to
Net income attributable to
Business Outlook
For the first quarter of 2016, the Company expects its total revenues to be between
Conference Call Information
The Company will hold a conference call at
To participate in the call, please use the dial-in numbers and conference ID below:
International: |
+6567135440 |
Mainland China: |
4001200654 |
Hong Kong: |
+85230186776 |
United States: |
+18456750438 |
Conference ID: |
56586311 |
A replay of the call will be available through
International: |
+61290034211 |
Mainland China: |
4006322162 |
Hong Kong: |
+85230512780 |
United States: |
+16462543697 |
Conference ID: |
56586311 |
A live and archived webcast of the conference call will also be available at the Company's investor relations website at http://ir.ifeng.com.
Use of Non-GAAP Financial Measures
To supplement the consolidated financial statements presented in accordance with the United States Generally Accepted Accounting Principles ("GAAP"),
Exchange Rate
This announcement contains translations of certain RMB amounts into U.S. dollars ("USD") at specified rates solely for the convenience of the reader. Unless otherwise stated, all translations from RMB to USD were made at the rate of
About Phoenix New Media Limited
Safe Harbor Statement
This announcement 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 announcement, as well as
For investor and media inquiries please contact:
Email: investorrelations@ifeng.com
In
In
Tel: +1 (646) 277-1215
Email: investorrelations@ifeng.com
[1] MVAS includes wireless value-added services, or WVAS, mobile video, mobile digital reading, mobile games and other paid services through China's three telecom operators' platforms. |
Phoenix New Media Limited |
|||||
Condensed Consolidated Balance Sheets |
|||||
(Amounts in thousands) |
|||||
December 31, |
December 31, |
December 31, |
|||
2014 |
2015 |
2015 |
|||
RMB |
RMB |
US$ |
|||
Audited* |
Unaudited |
Unaudited |
|||
ASSETS |
|||||
Current assets: |
|||||
Cash and cash equivalents |
1,285,847 |
310,669 |
47,959 |
||
Term deposits and short term investments |
40,000 |
769,681 |
118,818 |
||
Restricted cash |
- |
125,000 |
19,297 |
||
Accounts receivable, net |
493,569 |
506,351 |
78,167 |
||
Amounts due from related parties |
176,224 |
124,677 |
19,247 |
||
Prepayment and other current assets |
42,703 |
58,574 |
9,042 |
||
Deferred tax assets |
24,565 |
35,963 |
5,552 |
||
Total current assets |
2,062,908 |
1,930,915 |
298,082 |
||
Non-current assets: |
|||||
Property and equipment, net |
89,694 |
80,537 |
12,433 |
||
Intangible assets, net |
14,913 |
12,404 |
1,915 |
||
Available-for-sale investment |
77,093 |
513,994 |
79,347 |
||
Equity investments, net |
68,880 |
11,610 |
1,792 |
||
Other non-current assets |
13,342 |
17,746 |
2,739 |
||
Total non-current assets |
263,922 |
636,291 |
98,226 |
||
Total assets |
2,326,830 |
2,567,206 |
396,308 |
||
LIABILITIES AND SHAREHOLDERS' EQUITY |
|||||
Current liabilities: |
|||||
Short-term loan |
- |
131,046 |
20,230 |
||
Accounts payable |
271,599 |
289,148 |
44,637 |
||
Amounts due to related parties |
22,489 |
19,368 |
2,990 |
||
Advances from customers |
17,587 |
15,239 |
2,352 |
||
Taxes payable |
88,938 |
93,120 |
14,375 |
||
Salary and welfare payable |
105,073 |
114,028 |
17,603 |
||
Accrued expenses and other current liabilities |
86,307 |
80,891 |
12,487 |
||
Total current liabilities |
591,993 |
742,840 |
114,674 |
||
Non-current liabilities: |
|||||
Deferred tax liabilities |
1,312 |
1,312 |
203 |
||
Long-term liabilities |
16,867 |
18,368 |
2,836 |
||
Total non-current liabilities |
18,179 |
19,680 |
3,039 |
||
Total liabilities |
610,172 |
762,520 |
117,713 |
||
Shareholders' equity: |
|||||
Phoenix New Media Limited shareholders' equity: |
|||||
Class A ordinary shares |
17,278 |
16,733 |
2,583 |
||
Class B ordinary shares |
22,053 |
22,053 |
3,404 |
||
Additional paid-in capital |
1,587,227 |
1,551,104 |
239,449 |
||
Treasury stock |
(13,379) |
- |
- |
||
Statutory reserves |
65,968 |
70,311 |
10,854 |
||
Retained earnings |
52,852 |
122,093 |
18,848 |
||
Accumulated other comprehensive (loss)/income |
(15,341) |
23,341 |
3,604 |
||
Total Phoenix New Media Limited shareholders' equity |
1,716,658 |
1,805,635 |
278,742 |
||
Noncontrolling interests |
- |
(949) |
(147) |
||
Total shareholders' equity |
1,716,658 |
1,804,686 |
278,595 |
||
Total liabilities and shareholders' equity |
2,326,830 |
2,567,206 |
396,308 |
||
* Derived from audited financial statements included in the Company's Form 20-F dated April 30, 2015. |
Phoenix New Media Limited |
||||||||||||||
Condensed Consolidated Statements of Comprehensive Income |
||||||||||||||
(Amounts in thousands, except for number of shares and per share (or ADS) data) |
||||||||||||||
Three Months Ended |
Twelve Months Ended |
|||||||||||||
December 31, |
September 30, |
December 31, |
December 31, |
December 31, |
December 31, |
December 31, |
||||||||
2014 |
2015 |
2015 |
2015 |
2014 |
2015 |
2015 |
||||||||
RMB |
RMB |
RMB |
US$ |
RMB |
RMB |
US$ |
||||||||
Unaudited |
Unaudited |
Unaudited |
Unaudited |
Audited* |
Unaudited |
Unaudited |
||||||||
Revenues: |
||||||||||||||
Net advertising revenues |
338,509 |
300,042 |
346,190 |
53,443 |
1,190,158 |
1,226,516 |
189,342 |
|||||||
Paid service revenues |
99,556 |
90,377 |
84,579 |
13,057 |
447,702 |
382,680 |
59,076 |
|||||||
Total revenues |
438,065 |
390,419 |
430,769 |
66,500 |
1,637,860 |
1,609,196 |
248,418 |
|||||||
Cost of revenues |
(207,371) |
(209,841) |
(207,028) |
(31,960) |
(781,632) |
(829,386) |
(128,035) |
|||||||
Gross profit |
230,694 |
180,578 |
223,741 |
34,540 |
856,228 |
779,810 |
120,383 |
|||||||
Operating expenses: |
||||||||||||||
Sales and marketing expenses |
(100,680) |
(83,568) |
(82,756) |
(12,776) |
(330,777) |
(346,133) |
(53,434) |
|||||||
General and administrative expenses |
(41,747) |
(45,715) |
(60,020) |
(9,265) |
(137,818) |
(183,989) |
(28,403) |
|||||||
Technology and product development expenses |
(44,819) |
(42,992) |
(43,958) |
(6,786) |
(149,996) |
(170,714) |
(26,354) |
|||||||
Total operating expenses |
(187,246) |
(172,275) |
(186,734) |
(28,827) |
(618,591) |
(700,836) |
(108,191) |
|||||||
Income from operations |
43,448 |
8,303 |
37,007 |
5,713 |
237,637 |
78,974 |
12,192 |
|||||||
Other income/(loss): |
||||||||||||||
Interest income, net |
9,465 |
5,858 |
6,754 |
1,043 |
46,535 |
27,906 |
4,308 |
|||||||
Foreign currency exchange gain/(loss) |
901 |
2,711 |
743 |
115 |
(6,059) |
(1,054) |
(163) |
|||||||
Gain on disposition of subsidiaries and acquisition of equity investments |
7,309 |
- |
- |
- |
29,660 |
- |
- |
|||||||
Loss from equity investments |
(7,116) |
(2,703) |
(149) |
(23) |
(18,538) |
(32,239) |
(4,977) |
|||||||
Gain on disposal of an equity investment and acquisition of available-for- sale securities |
- |
- |
- |
- |
- |
4,643 |
717 |
|||||||
Impairment of equity investments |
- |
- |
(9,622) |
(1,485) |
- |
(9,622) |
(1,485) |
|||||||
Others, net |
3,213 |
10,965 |
13,066 |
2,016 |
21,261 |
29,294 |
4,522 |
|||||||
Income before tax |
57,220 |
25,134 |
47,799 |
7,379 |
310,496 |
97,902 |
15,114 |
|||||||
Income tax expense |
(10,294) |
(4,271) |
(7,158) |
(1,105) |
(48,377) |
(25,517) |
(3,939) |
|||||||
Net income |
46,926 |
20,863 |
40,641 |
6,274 |
262,119 |
72,385 |
11,175 |
|||||||
Net (income)/loss attributable to noncontrolling interests |
(19) |
332 |
422 |
65 |
972 |
1,199 |
185 |
|||||||
Net income attributable to Phoenix New Media Limited |
46,907 |
21,195 |
41,063 |
6,339 |
263,091 |
73,584 |
11,360 |
|||||||
Net income |
46,926 |
20,863 |
40,641 |
6,274 |
262,119 |
72,385 |
11,175 |
|||||||
Other comprehensive income/(loss), net of tax: fair value remeasurement for available- for-sale securities |
40,283 |
(3,008) |
13,376 |
2,065 |
40,283 |
15,869 |
2,450 |
|||||||
Other comprehensive (loss)/ income, net of tax: foreign currency translation adjustment |
(1,844) |
(4,026) |
27,220 |
4,202 |
4,503 |
22,813 |
3,522 |
|||||||
Comprehensive income |
85,365 |
13,829 |
81,237 |
12,541 |
306,905 |
111,067 |
17,147 |
|||||||
Comprehensive (income)/loss attributable to noncontrolling interests |
(19) |
332 |
442 |
65 |
972 |
1,199 |
185 |
|||||||
Comprehensive income attributable to Phoenix New Media Limited |
85,346 |
14,161 |
81,659 |
12,606 |
307,877 |
112,266 |
17,332 |
|||||||
Net income attributable to Phoenix New Media Limited |
46,907 |
21,195 |
41,063 |
6,339 |
263,091 |
73,584 |
11,360 |
|||||||
Net income per Class A and Class B ordinary share: |
||||||||||||||
Basic |
0.08 |
0.04 |
0.07 |
0.01 |
0.44 |
0.13 |
0.02 |
|||||||
Diluted |
0.08 |
0.04 |
0.07 |
0.01 |
0.43 |
0.13 |
0.02 |
|||||||
Net income per ADS (1 ADS represents 8 Class A ordinary shares): |
||||||||||||||
Basic |
0.64 |
0.30 |
0.57 |
0.09 |
3.52 |
1.03 |
0.16 |
|||||||
Diluted |
0.63 |
0.29 |
0.57 |
0.09 |
3.42 |
1.01 |
0.16 |
|||||||
Weighted average number of Class A and Class B ordinary shares used in computing net income per share: |
||||||||||||||
Basic |
582,018,815 |
571,085,620 |
572,175,288 |
572,175,288 |
597,616,623 |
571,247,723 |
571,247,723 |
|||||||
Diluted |
595,974,339 |
579,594,405 |
578,625,484 |
578,625,484 |
614,620,110 |
580,785,256 |
580,785,256 |
|||||||
* Derived from audited financial statements included in the Company's Form 20-F dated April 30, 2015. |
Phoenix New Media Limited |
|||||||||||||
Condensed Segments Information |
|||||||||||||
(Amounts in thousands) |
|||||||||||||
Three Months Ended |
Twelve Months Ended |
||||||||||||
December 31, |
September 30, |
December 31, |
December 31, |
December 31, |
December 31, |
December 31, |
|||||||
2014 |
2015 |
2015 |
2015 |
2014 |
2015 |
2015 |
|||||||
RMB |
RMB |
RMB |
US$ |
RMB |
RMB |
US$ |
|||||||
Unaudited |
Unaudited |
Unaudited |
Unaudited |
Audited* |
Unaudited |
Unaudited |
|||||||
Revenues: |
|||||||||||||
Net advertising service |
338,509 |
300,042 |
346,190 |
53,443 |
1,190,158 |
1,226,516 |
189,342 |
||||||
Paid service |
99,556 |
90,377 |
84,579 |
13,057 |
447,702 |
382,680 |
59,076 |
||||||
Total revenues |
438,065 |
390,419 |
430,769 |
66,500 |
1,637,860 |
1,609,196 |
248,418 |
||||||
Cost of revenues |
|||||||||||||
Net advertising service |
150,515 |
142,043 |
143,144 |
22,098 |
522,553 |
557,421 |
86,051 |
||||||
Paid service |
56,856 |
67,798 |
63,884 |
9,862 |
259,079 |
271,965 |
41,984 |
||||||
Total cost of revenues |
207,371 |
209,841 |
207,028 |
31,960 |
781,632 |
829,386 |
128,035 |
||||||
Gross profit |
|||||||||||||
Net advertising service |
187,994 |
157,999 |
203,046 |
31,345 |
667,605 |
669,095 |
103,291 |
||||||
Paid service |
42,700 |
22,579 |
20,695 |
3,195 |
188,623 |
110,715 |
17,092 |
||||||
Total gross profit |
230,694 |
180,578 |
223,741 |
34,540 |
856,228 |
779,810 |
120,383 |
||||||
* Derived from audited financial statements included in the Company's Form 20-F dated April 30, 2015. |
Reconciliations of Non-GAAP Results of Operations Measures to the Nearest Comparable GAAP Measures |
|||||||||||||||||
(Amounts in thousands, except for number of ADSs and per ADS data) |
|||||||||||||||||
Three Months Ended December 31, 2014 |
Three Months Ended September 30, 2015 |
Three Months Ended December 31, 2015 |
|||||||||||||||
Non-GAAP |
Non-GAAP |
Non-GAAP |
|||||||||||||||
GAAP |
Adjustments |
Non-GAAP |
GAAP |
Adjustments |
Non-GAAP |
GAAP |
Adjustments |
Non-GAAP |
|||||||||
RMB |
RMB |
RMB |
RMB |
RMB |
RMB |
RMB |
RMB |
RMB |
|||||||||
Unaudited |
Unaudited |
Unaudited |
Unaudited |
Unaudited |
Unaudited |
Unaudited |
Unaudited |
Unaudited |
|||||||||
Gross profit |
230,694 |
5,225 |
(1) |
235,919 |
180,578 |
4,139 |
(1) |
184,717 |
223,741 |
(7,289) |
(1) |
216,452 |
|||||
Gross margin |
52.7% |
53.9% |
46.3% |
47.3% |
51.9% |
50.2% |
|||||||||||
Income from operations |
43,448 |
15,972 |
(1) |
59,420 |
8,303 |
12,045 |
(1) |
20,348 |
37,007 |
(5,957) |
(1) |
31,050 |
|||||
Operating margin |
9.9% |
13.6% |
2.1% |
5.2% |
8.6% |
7.2% |
|||||||||||
15,972 |
(1) |
(5,957) |
(1) |
||||||||||||||
7,116 |
(2) |
12,045 |
(1) |
149 |
(2) |
||||||||||||
(7,309) |
(3) |
2,703 |
(2) |
9,622 |
(5) |
||||||||||||
Net income attributable to Phoenix New Media Limited |
46,907 |
15,779 |
62,686 |
21,195 |
14,748 |
35,943 |
41,063 |
3,814 |
44,877 |
||||||||
Net margin |
10.7% |
14.3% |
5.4% |
9.2% |
9.5% |
10.4% |
|||||||||||
Net income per ADS—diluted |
0.63 |
0.84 |
0.29 |
0.50 |
0.57 |
0.62 |
|||||||||||
Weighted average number of ADSs used in computing diluted net income per ADS |
74,496,792 |
74,496,792 |
72,449,301 |
72,449,301 |
72,328,186 |
72,328,186 |
Twelve Months Ended December 31, 2014 |
Twelve Months Ended December 31, 2015 |
|||||||||||||
Non-GAAP |
Non-GAAP |
|||||||||||||
GAAP |
Adjustments |
Non-GAAP |
GAAP |
Adjustments |
Non-GAAP |
|||||||||
RMB |
RMB |
RMB |
RMB |
RMB |
RMB |
|||||||||
Unaudited |
Unaudited |
Unaudited |
Unaudited |
Unaudited |
Unaudited |
|||||||||
Gross profit |
856,228 |
16,295 |
(1) |
872,523 |
779,810 |
6,335 |
(1) |
786,145 |
||||||
Gross margin |
52.3% |
53.3% |
48.5% |
48.9% |
||||||||||
Income from operations |
237,637 |
53,181 |
(1) |
290,818 |
78,974 |
34,354 |
(1) |
113,328 |
||||||
Operating margin |
14.5% |
17.8% |
4.9% |
7.0% |
||||||||||
34,354 |
(1) |
|||||||||||||
53,181 |
(1) |
32,239 |
(2) |
|||||||||||
18,538 |
(2) |
(4,643) |
(4) |
|||||||||||
(29,660) |
(3) |
9,622 |
(5) |
|||||||||||
Net income attributable to Phoenix New Media Limited |
263,091 |
42,059 |
305,150 |
73,584 |
71,572 |
145,156 |
||||||||
Net margin |
16.1% |
18.6% |
4.6% |
9.0% |
||||||||||
Net income per ADS—diluted |
3.42 |
3.97 |
1.01 |
2.00 |
||||||||||
Weighted average number of ADSs used in computing diluted net income per ADS |
76,827,514 |
76,827,514 |
72,598,157 |
72,598,157 |
||||||||||
(1) Excludes share-based compensation (2) Excludes loss from equity investments (3) Excludes gain on disposition of subsidiaries and acquisition of equity investments (4) Excludes gain on disposal of an equity investment and acquisition of available for sales securities (5) Excludes impairment of equity investments |
Details of cost of revenues are as follows: |
|||||||||||||
Three Months Ended |
Twelve Months Ended |
||||||||||||
December 31, |
September 30, |
December 31, |
December 31, |
December 31, |
December 31, |
December 31, |
|||||||
2014 |
2015 |
2015 |
2015 |
2014 |
2015 |
2015 |
|||||||
RMB |
RMB |
RMB |
US$ |
RMB |
RMB |
US$ |
|||||||
(Amounts in thousands) |
Unaudited |
Unaudited |
Unaudited |
Unaudited |
Audited* |
Unaudited |
Unaudited |
||||||
Revenue sharing fees |
35,304 |
51,576 |
46,603 |
7,194 |
192,076 |
216,973 |
33,495 |
||||||
Content and operational costs |
114,400 |
107,812 |
106,585 |
16,454 |
376,555 |
406,741 |
62,790 |
||||||
Bandwidth costs |
21,738 |
20,696 |
19,662 |
3,035 |
83,233 |
83,170 |
12,839 |
||||||
Sales taxes and surcharges |
35,929 |
29,757 |
34,178 |
5,277 |
129,768 |
122,502 |
18,911 |
||||||
Total cost of revenues |
207,371 |
209,841 |
207,028 |
31,960 |
781,632 |
829,386 |
128,035 |
||||||
* Derived from audited financial statements included in the Company's Form 20-F dated April 30, 2015. |
To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/phoenix-new-media-reports-fourth-quarter-and-fiscal-year-2015-unaudited-financial-results-300232458.html
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