Adjusted EBITDA increased by $7.2
million to $1.6 million in
2023
Conference Call and Webcast on April 30th at 5
PM ET
NEW YORK, April 29, 2024 /PRNewswire/ -- SunCar Technology
Group Inc. (the "Company" or "SunCar") (NASDAQ: SDA), an innovative
leader in cloud-based B2B auto services and auto e-insurance in
China, today provided a business
update and reported financial results for the year ended
December 31, 2023.
Fiscal Year 2023 Financial Results
- For the fiscal year ended December 31,
2023, total revenues were $364
million, up 29% from $282
million in 2022.
- Our auto service segment reported revenue of $215 million in fiscal year 2023, an increase of
8% from $199 million in fiscal year
2022. The increase was driven by the increase in service orders in
2023. This segment is enabled by SunCar's technology platform,
which facilitates auto services, such as car wash, maintenance,
driving service, and road assistance.
- Our auto eInsurance segment generated $118 million in fiscal year 2023, a 75% increase
over fiscal year 2022. This growth was driven by an increase in
gross premiums written and the number of insurance policies issued
compared to the year ended December 31,
2022. Specifically, we experienced over 100% YoY revenue
growth driven by our strong relationships with electric vehicle
manufacturers, including Tesla (NASDAQ: TSLA), NIO (NYSE: NIO), X
Peng (NYSE: XPEV), and Li Auto (NASDAQ: LI), Xiaomi (HKSE: 01810), BYD (HKSE: 01211),
Seres Group (SHSE: 601127), ZEEKR, Lotus Technology (NASDAQ:
LOT), Leapmotor (HKSE: 09863), JIDU Auto (a joint venture between
Baidu (NASDAQ: BIDU) and Geely (HKSE: 0175), and
others.
- Our technology service business generated revenues of
$31 million for the year ended
December 31, 2023, a 98% increase
over 2022. This increase is due to our continuous expansion in new
business to acquire more market share and to the increasing
adoption of insurance companies of our eInsurance technology.
- Our net losses were $18 million
and $12 million for the year ended
December 31, 2023 and 2022,
respectively. We continue to strategically invest in technology and
business development as we increase our presence with some of the
largest enterprise customers in China.
- Adjusted EBITDA, a non-GAAP metric that excludes certain
non-recurring items and non-cash expenses, is useful in evaluating
our operational performance in addition to the GAAP metrics. Our
Adjusted EBITDA increased by $7.2
million from the year ended December
31, 2022, to a positive $1.6
million in the year ended December
31, 2023.
Fiscal Year 2023 Operational Highlights
- For our auto service business, the Company was working with
over 1,400 enterprise clients and over 47,000 auto service
providers (compared to 45,000 as of December
31, 2022), covering over 350 cities and all 33 provinces of
China.
- Announced auto service agreements and renewals with China
Minsheng Banking Corp., Ltd. (CMBC), Bank of Communications Limited
(BoComm), China CITIC Bank, and the Heilongjiang Branch of the Agricultural Bank
of China.
- For our auto eInsurance business, the Company was working with
85 insurance companies (including the top 10 insurance companies
with a combined over 90% market share), over 900 insurance company
branches, and over 64,000 insurance sales partners (compared to
62,000 in 2022) in China.
- Announced auto eInsurance agreements and renewals with Tesla
(NASDAQ: TSLA), Nio (NYSE: NIO), Li Auto (NASDAQ: LI), XPeng (NYSE:
XPEV).
- Closed our business combination with Goldenbridge Acquisition
Limited and listed our shares on the Nasdaq in May 2023.
- We released Version 7.9.0 of our eInsurance system with
new features, including enhanced automatic storage and management
of insurance image data.
- Currently deployed by 18 leading NEV companies, it aims to
enhance user experience to the best-in-class in the
industry.
Management Commentary
Ye Zaichang, CEO and Chairman of SunCar commented, "At SunCar,
we're leveraging cutting-edge technology to revolutionize the auto
services and eInsurance sectors in China, the world's largest and rapidly growing
vehicle market. Our cloud-based platform seamlessly connects car
owners with a vast array of services and eInsurance options,
tapping into a network of over 47,000 service providers and more
than 64,000 insurance sales partners nationwide."
"In 2023, we achieved a significant revenue increase to
$364 million, up 29% from the
previous year, demonstrating the strong synergy between our auto
services and eInsurance segments. Our robust technology
infrastructure propels this success, including seamless API
integrations and an AI-powered purchasing process that
significantly enhances customer experience. With our strategic
focus on the burgeoning electric vehicle sector and partnerships
with top EV manufacturers, we are uniquely positioned to drive
continued growth and innovation in this dynamic industry."
"I extend my heartfelt thanks to our team, partners, and
shareholders for their unwavering support as we move forward with
our vision to transform automotive service and insurance in
China."
CONFERENCE CALL & AUDIO WEBCAST
SunCar will host a conference call on Tuesday, April 30, at 5:00
PM ET (2:00 PM PT) with the
investment community to discuss the Company's financial results and
provide a business update.
To access the call by phone, please dial 1-877-407-0752
(international callers please dial 1-201-389-0912) approximately 10
minutes prior to the start of the call. A live audio webcast of the
conference call will be available online at
https://viavid.webcasts.com/starthere.jsp?ei=1668638&tp_key=73879e5f16.
A webcast replay will also be available for a limited time at
the following link:
https://viavid.webcasts.com/starthere.jsp?ei=1668638&tp_key=73879e5f16.
About SunCar Technology Group Inc.
Originally founded in 2007, SunCar is transforming the customer
journey for auto services and auto insurance in China, the largest passenger vehicle market in
the world. SunCar develops and operates cloud-based platforms that
seamlessly connect drivers with a wide range of auto services and
insurance coverage options through a nationwide network of sales
partners. As a result, SunCar has established itself as the leader
in China in the B2B auto services
market and the auto eInsurance market for electric vehicles. The
Company's multi-tenant, cloud-based platform empowers its
enterprise clients to access and manage their customer database and
offerings optimally, and drivers gain access to hundreds of
services from tens of thousands of independent providers in a
single application. For more information, please visit:
https://suncartech.com.
Forward-Looking Statements
This press release contains information about the Company's view
of its future expectations, plans and prospects that constitute
forward-looking statements. Actual results may differ materially
from historical results or those indicated by these forward-looking
statements as a result of a variety of factors including, but not
limited to, risks and uncertainties associated with its ability to
raise additional funding, its ability to maintain and grow its
business, variability of operating results, its ability to maintain
and enhance its brand, its development and introduction of new
products and services, the successful integration of acquired
companies, technologies and assets into its portfolio of products
and services, marketing and other business development initiatives,
competition in the industry, general government regulation,
economic conditions, dependence on key personnel, the ability to
attract, hire and retain personnel who possess the technical skills
and experience necessary to meet the requirements of its clients,
and its ability to protect its intellectual property. The Company
encourages you to review other factors that may affect its future
results in the Company's annual reports and in its other filings
with the Securities and Exchange Commission.
Contact Information:
SunCar:
Investor
Relations: Ms. Hui Jiang
Email: IR@suncartech.com
Legal: Ms. Li Chen
Email: chenli@suncartech.com
U.S. Investor Relations
Matthew Abenante, IRC
President
Strategic Investor Relations, LLC
Tel: 347-947-2093
Email: matthew@strategic-ir.com
*** tables follow ***
|
SUNCAR TECHNOLOGY
GROUP INC
|
|
|
CONSOLIDATED BALANCE
SHEETS
|
|
|
(In U.S. Dollar
thousands, except for share and per share data, or otherwise
noted)
|
|
|
|
|
|
As of December
31,
|
|
|
|
2022
|
|
|
2023
|
|
|
|
|
|
|
|
|
|
ASSETS
|
|
|
|
|
|
|
|
Current
assets
|
|
|
|
|
|
|
|
Cash
|
|
$
|
21,200
|
|
|
$
|
30,854
|
|
|
Restricted
cash
|
|
|
2,717
|
|
|
|
2,741
|
|
|
Short-term
investments
|
|
|
26,544
|
|
|
|
21,596
|
|
|
Accounts receivable,
net
|
|
|
85,619
|
|
|
|
56,043
|
|
|
Prepaid expenses and
other current assets, net
|
|
|
9,270
|
|
|
|
63,963
|
|
|
Total current
assets
|
|
|
145,350
|
|
|
|
175,197
|
|
|
|
|
|
|
|
|
|
|
|
Non-current
assets
|
|
|
|
|
|
|
|
|
|
Long-term
investment
|
|
|
290
|
|
|
|
282
|
|
|
Software and equipment,
net
|
|
|
18,491
|
|
|
|
22,466
|
|
|
Deferred tax assets,
net
|
|
|
13,070
|
|
|
|
11,998
|
|
|
Other non-current
assets
|
|
|
14,423
|
|
|
|
12,012
|
|
|
Right-of-use
assets
|
|
|
344
|
|
|
|
1,280
|
|
|
Total non-current
assets
|
|
|
46,618
|
|
|
|
48,038
|
|
|
TOTAL
ASSETS
|
|
$
|
191,968
|
|
|
$
|
223,235
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND
SHAREHOLDERS' EQUITY
|
|
|
|
|
|
|
|
|
|
Current
liabilities
|
|
|
|
|
|
|
|
|
|
Short-term
loan
|
|
$
|
74,653
|
|
|
$
|
83,029
|
|
|
Accounts
payable
|
|
|
24,200
|
|
|
|
26,641
|
|
|
Deferred
revenue
|
|
|
3,569
|
|
|
|
3,050
|
|
|
Tax payables
|
|
|
2,042
|
|
|
|
1,364
|
|
|
Accrued expenses and
other current liabilities
|
|
|
4,849
|
|
|
|
4,809
|
|
|
Amount due to a related
party, current
|
|
|
45,564
|
|
|
|
4,751
|
|
|
Operating lease
liability, current
|
|
|
315
|
|
|
|
748
|
|
|
Total current
liabilities
|
|
|
155,192
|
|
|
|
124,392
|
|
|
|
|
|
|
|
|
|
|
|
Non-current
liabilities
|
|
|
|
|
|
|
|
|
|
Operating lease
liability, non-current
|
|
|
-
|
|
|
|
504
|
|
|
Amount due to a related
party, non-current
|
|
|
-
|
|
|
|
29,688
|
|
|
Warrant
liabilities
|
|
|
-
|
|
|
|
661
|
|
|
Total non-current
liabilities
|
|
|
-
|
|
|
|
30,853
|
|
|
Total
liabilities
|
|
$
|
155,192
|
|
|
$
|
155,245
|
|
|
|
|
|
|
|
|
|
|
|
Shareholders'(deficit)/equity
|
|
|
|
|
|
|
|
|
|
Class A Ordinary
shares* (par value of US$0.0001 per share;
400,000,000 Class A Ordinary shares authorized as of December
31,
2022 and 2023, respectively; 31,971,435 and 39,876,493 Class A
Ordinary shares issued and outstanding as of December 31, 2022
and
2023, respectively)
|
|
$
|
3
|
|
|
$
|
4
|
|
|
Class B Ordinary
shares* (par value of US$0.0001 per share;
100,000,000 Class B Ordinary shares authorized as of December
31,
2022 and 2023, respectively; 49,628,565 and 49,628,565 Class B
Ordinary shares issued and outstanding as of December 31, 2022
and
2023, respectively)
|
|
|
5
|
|
|
|
5
|
|
|
Additional paid in
capital
|
|
|
95,764
|
|
|
|
144,160
|
|
|
Accumulated
deficit
|
|
|
(99,580)
|
|
|
|
(129,724)
|
|
|
Accumulated other
comprehensive loss
|
|
|
(1,476)
|
|
|
|
(1,367)
|
|
|
Total SUNCAR
TECHNOLOGY GROUP INC's shareholders'
(deficit)/equity
|
|
|
(5,284)
|
|
|
|
16,078
|
|
|
Non-controlling
interests
|
|
|
42,060
|
|
|
|
51,912
|
|
|
Total
equity
|
|
|
36,776
|
|
|
|
67,990
|
|
|
TOTAL LIABILITIES
AND EQUITY
|
|
$
|
191,968
|
|
|
$
|
223,235
|
|
|
SUNCAR TECHNOLOGY
GROUP INC
|
|
|
CONSOLIDATED
STATEMENTS OF OPERATIONS AND COMPREHENSIVE
INCOME (LOSS)
|
|
|
(In U.S. Dollar
thousands, except for share and per share data, or otherwise
noted)
|
|
|
|
|
|
For the year
ended December 31,
|
|
|
|
2021
|
|
|
2022
|
|
|
2023
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
|
|
|
|
|
|
|
|
|
|
Auto service
|
|
$
|
187,880
|
|
|
$
|
199,294
|
|
|
$
|
214,979
|
|
|
Auto
eInsurance
|
|
|
56,766
|
|
|
|
67,640
|
|
|
|
118,109
|
|
|
Technology
service
|
|
|
4,589
|
|
|
|
15,479
|
|
|
|
30,658
|
|
|
Total
revenues
|
|
|
249,235
|
|
|
|
282,413
|
|
|
|
363,746
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating cost and
expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Integrated service
cost
|
|
|
(156,852)
|
|
|
|
(166,793)
|
|
|
|
(209,553)
|
|
|
Promotional service
expenses
|
|
|
(55,222)
|
|
|
|
(65,500)
|
|
|
|
(112,504)
|
|
|
Selling
expenses
|
|
|
(12,731)
|
|
|
|
(16,477)
|
|
|
|
(20,578)
|
|
|
General and
administrative expenses
|
|
|
(10,420)
|
|
|
|
(37,742)
|
|
|
|
(22,462)
|
|
|
Research and
development expenses
|
|
|
(3,651)
|
|
|
|
(8,478)
|
|
|
|
(14,111)
|
|
|
Total operating
costs and expenses
|
|
|
(238,876)
|
|
|
|
(294,990)
|
|
|
|
(379,208)
|
|
|
Operating
profit/(loss)
|
|
|
10,359
|
|
|
|
(12,577)
|
|
|
|
(15,462)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other
income/(expenses)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Financial expenses,
net
|
|
|
(3,045)
|
|
|
|
(3,659)
|
|
|
|
(4,435)
|
|
|
Investment
income
|
|
|
759
|
|
|
|
441
|
|
|
|
518
|
|
|
Change of fair value of
warrant liabilities
|
|
|
-
|
|
|
|
-
|
|
|
|
(629)
|
|
|
Other income,
net
|
|
|
2,457
|
|
|
|
5,121
|
|
|
|
5,001
|
|
|
Total other income,
net
|
|
|
171
|
|
|
|
1,903
|
|
|
|
455
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income/(loss) before
income tax expense
|
|
|
10,530
|
|
|
|
(10,674)
|
|
|
|
(15,007)
|
|
|
Income tax
expense
|
|
|
(938)
|
|
|
|
(231)
|
|
|
|
(2,572)
|
|
|
Income/(Loss) from
continuing operations, net of
tax
|
|
|
9,592
|
|
|
|
(10,905)
|
|
|
|
(17,579)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Discontinued
operations:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss from the
operations of the discontinued
operations, net of tax
|
|
|
(27,682)
|
|
|
|
(994)
|
|
|
|
-
|
|
|
Net
loss
|
|
|
(18,090)
|
|
|
|
(11,899)
|
|
|
|
(17,579)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income/(loss) from
continuing operations
|
|
|
9,592
|
|
|
|
(10,905)
|
|
|
|
(17,579)
|
|
|
Less: Net
income/(loss) attributable to non-controlling
interests of continuing
operations
|
|
|
5,650
|
|
|
|
(5,230)
|
|
|
|
9,333
|
|
|
Net income/(loss)
from continuing operations
attributable to the Company's ordinary
shareholders
|
|
|
3,942
|
|
|
|
(5,675)
|
|
|
|
(26,912)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss from discontinued
operations, net of tax
|
|
|
(27,682)
|
|
|
|
(994)
|
|
|
|
-
|
|
|
Less: Net loss
attributable to non-controlling interests of
discontinue operations
|
|
|
(19)
|
|
|
|
-
|
|
|
|
-
|
|
|
Net
loss from discontinued operations attributable
to the Company's ordinary
shareholders
|
|
|
(27,663)
|
|
|
|
(994)
|
|
|
|
-
|
|
|
Net loss
attributable to the Company's ordinary
shareholders
|
|
|
(23,721)
|
|
|
|
(6,669)
|
|
|
|
(26,912)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income/(loss) per
ordinary share from continuing
operations:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and
diluted
|
|
$
|
0.05
|
|
|
$
|
(0.07)
|
|
|
$
|
(0.31)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss per ordinary
share from discontinued
operations:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and
diluted
|
|
$
|
(0.34)
|
|
|
$
|
(0.01)
|
|
|
$
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss attributable
to the Company's ordinary
shareholders per ordinary share
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and
diluted
|
|
$
|
(0.29)
|
|
|
$
|
(0.08)
|
|
|
$
|
(0.31)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted
average shares outstanding used in
calculating basic and diluted loss per
share
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and
diluted
|
|
|
81,600,000
|
|
|
|
81,600,000
|
|
|
|
85,441,057
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income/ (loss) from
continuing operations before non-
controlling interests
|
|
$
|
9,592
|
|
|
$
|
(10,905)
|
|
|
$
|
(17,579)
|
|
|
Loss from discontinued
operations, net of tax
|
|
|
(27,682)
|
|
|
|
(994)
|
|
|
|
-
|
|
|
Net
loss
|
|
|
(18,090)
|
|
|
|
(11,899)
|
|
|
|
(17,579)
|
|
|
Other comprehensive
income/(loss)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Foreign currency
translation difference
|
|
|
907
|
|
|
|
(2,410)
|
|
|
|
(1,137)
|
|
|
Total other
comprehensive income/(loss)
|
|
|
907
|
|
|
|
(2,410)
|
|
|
|
(1,137)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total comprehensive
loss
|
|
|
(17,183)
|
|
|
|
(14,309)
|
|
|
|
(18,716)
|
|
|
Less: total
comprehensive income/(loss) attributable to
non-controlling interest
|
|
|
6,839
|
|
|
|
(9,801)
|
|
|
|
8,087
|
|
|
Total
comprehensive loss attributable to the
SUNCAR TECHNOLOGY GROUP INC's
shareholders
|
|
$
|
(24,022)
|
|
|
$
|
(4,508)
|
|
|
$
|
(26,803)
|
|
|
SUNCAR TECHNOLOGY
GROUP INC
|
|
|
CONSOLIDATED
STATEMENTS OF CASH FLOWS
|
|
|
(In U.S. Dollar
thousands, except for share and per share data, or otherwise
noted)
|
|
|
|
|
|
For the years
ended
December
31,
|
|
|
|
2021
|
|
|
2022
|
|
|
2023
|
|
|
CASH FLOWS FROM
OPERATING ACTIVITIES:
|
|
|
|
|
|
|
|
|
|
|
Net income/(loss) from
continuing operations
|
|
$
|
9,592
|
|
|
$
|
(10,905)
|
|
|
$
|
(17,579)
|
|
|
Net loss from
discontinued operations
|
|
|
(27,682)
|
|
|
|
(994)
|
|
|
|
-
|
|
|
Net loss
|
|
|
(18,090)
|
|
|
|
(11,899)
|
|
|
|
(17,579)
|
|
|
Adjustments to
reconcile net income (loss) to net cash
provided by (used in) operating
activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Provision (Reversal)
for credit losses
|
|
|
148
|
|
|
|
25,981
|
|
|
|
(4,112)
|
|
|
Depreciation and
amortization
|
|
|
4,055
|
|
|
|
5,078
|
|
|
|
4,114
|
|
|
Amortization of
right-of-use assets
|
|
|
-
|
|
|
|
619
|
|
|
|
754
|
|
|
Share-based
compensation of subsidiary
|
|
|
1,668
|
|
|
|
1,599
|
|
|
|
1,519
|
|
|
Share-based
compensation of the Group
|
|
|
-
|
|
|
|
-
|
|
|
|
9,776
|
|
|
Loss/(gain) on disposal
of software and equipment
|
|
|
27
|
|
|
|
-
|
|
|
|
(27)
|
|
|
Deferred income tax
(benefit) expense
|
|
|
(1,124)
|
|
|
|
(1,951)
|
|
|
|
701
|
|
|
Fair value changes of
warrant liabilities
|
|
|
-
|
|
|
|
-
|
|
|
|
629
|
|
|
Financing expense
related to issuance of GEM Warrants
|
|
|
-
|
|
|
|
-
|
|
|
|
377
|
|
|
Changes in operating
assets and liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounts
receivable
|
|
|
(35,071)
|
|
|
|
(32,640)
|
|
|
|
30,822
|
|
|
Prepaid expenses and
other current assets
|
|
|
3,181
|
|
|
|
(3,850)
|
|
|
|
(55,908)
|
|
|
Accounts
payable
|
|
|
13,608
|
|
|
|
(5,019)
|
|
|
|
3,140
|
|
|
Deferred
revenue
|
|
|
813
|
|
|
|
1,858
|
|
|
|
(418)
|
|
|
Accrued expenses and
other current liabilities
|
|
|
(14,976)
|
|
|
|
2,548
|
|
|
|
(288)
|
|
|
Tax payable
|
|
|
(1,026)
|
|
|
|
(280)
|
|
|
|
(621)
|
|
|
Operating lease
liabilities
|
|
|
-
|
|
|
|
(615)
|
|
|
|
(680)
|
|
|
Amount due to a related
party
|
|
|
-
|
|
|
|
1,485
|
|
|
|
150
|
|
|
Net cash used in
operating activities of continuing
operations
|
|
|
(19,105)
|
|
|
|
(16,092)
|
|
|
|
(27,651)
|
|
|
Net cash used in
operating activities of discontinued
operations
|
|
|
(6,462)
|
|
|
|
(52)
|
|
|
|
-
|
|
|
Total net cash used
in operating activities
|
|
|
(25,567)
|
|
|
|
(16,144)
|
|
|
|
(27,651)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CASH FLOWS FROM
INVESTING ACTIVITIES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Purchase of software
and equipment
|
|
|
(1,284)
|
|
|
|
(4,351)
|
|
|
|
(4,928)
|
|
|
Proceeds from disposal
of software and equipment
|
|
|
-
|
|
|
|
-
|
|
|
|
54
|
|
|
Purchase of short-term
investment
|
|
|
(9,839)
|
|
|
|
-
|
|
|
|
(518)
|
|
|
Proceeds from the
redemption of short-term investment
|
|
|
-
|
|
|
|
149
|
|
|
|
4,719
|
|
|
Purchase of other
non-current assets
|
|
|
(8,968)
|
|
|
|
(1,200)
|
|
|
|
(1,721)
|
|
|
Net cash (used in)
provided by investing activities of
continuing operations
|
|
|
(20,091)
|
|
|
|
(5,402)
|
|
|
|
(2,394)
|
|
|
Net cash used in
investing activities of discontinued
operations
|
|
|
(591)
|
|
|
|
(517)
|
|
|
|
-
|
|
|
Total net cash (used
in) provided by investing activities
|
|
|
(20,682)
|
|
|
|
(5,919)
|
|
|
|
(2,394)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CASH FLOWS FORM
FINANCING ACTIVITIES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Proceeds from
short-term loan
|
|
|
76,812
|
|
|
|
122,249
|
|
|
|
104,506
|
|
|
Repayments of
short-term loan
|
|
|
(70,193)
|
|
|
|
(111,103)
|
|
|
|
(93,970)
|
|
|
Repayments of payables
to a related party
|
|
|
-
|
|
|
|
-
|
|
|
|
(10,000)
|
|
|
Proceeds from issuance
of ordinary shares, net of issuance
cost
|
|
|
-
|
|
|
|
-
|
|
|
|
18,468
|
|
|
Cash required on
reverse recapitalization
|
|
|
-
|
|
|
|
-
|
|
|
|
68
|
|
|
Proceeds from Private
Placement
|
|
|
-
|
|
|
|
-
|
|
|
|
21,737
|
|
|
Payment for offering
cost related to Business Combination
|
|
|
-
|
|
|
|
-
|
|
|
|
(588)
|
|
|
Shares
repurchase
|
|
|
-
|
|
|
|
-
|
|
|
|
(2,000)
|
|
|
Exercise of
warrants
|
|
|
-
|
|
|
|
-
|
|
|
|
2,213
|
|
|
Repurchase of
non-controlling interests
|
|
|
(1,184)
|
|
|
|
(510)
|
|
|
|
-
|
|
|
Dividend paid to
non-controlling shareholders
|
|
|
(6,620)
|
|
|
|
-
|
|
|
|
-
|
|
|
Net cash (used in)
provided by financing activities of
continuing operations
|
|
|
(1,185)
|
|
|
|
10,636
|
|
|
|
40,434
|
|
|
Net cash provided by
financing activities of discontinued
operations
|
|
|
1,119
|
|
|
|
-
|
|
|
|
-
|
|
|
Total net cash (used
in) provided by financing activities
|
|
|
(66)
|
|
|
|
10,636
|
|
|
|
40,434
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Effect of exchange rate
changes
|
|
|
1,827
|
|
|
|
(2,573)
|
|
|
|
(711)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net change in cash and
restricted cash
|
|
|
(44,488)
|
|
|
|
(14,000)
|
|
|
|
9,678
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and restricted
cash, beginning of the year
|
|
$
|
82,405
|
|
|
$
|
37,917
|
|
|
$
|
23,917
|
|
|
Cash and restricted
cash, end of the year
|
|
$
|
37,917
|
|
|
$
|
23,917
|
|
|
$
|
33,595
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Less: cash of
discontinued operations at end of year
|
|
|
570
|
|
|
|
-
|
|
|
|
-
|
|
|
Cash and restricted
cash at end of year for continuing
operations
|
|
$
|
37,347
|
|
|
$
|
23,917
|
|
|
$
|
33,595
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of
cash and restricted cash to the
consolidated balance sheets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash
|
|
$
|
34,517
|
|
|
$
|
21,200
|
|
|
$
|
30,854
|
|
|
Restricted
cash
|
|
$
|
2,830
|
|
|
$
|
2,717
|
|
|
$
|
2,741
|
|
|
Total cash and
restricted cash
|
|
$
|
37,347
|
|
|
$
|
23,917
|
|
|
$
|
33,595
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Supplemental
disclosures of cash flow information:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income tax
paid
|
|
$
|
3,472
|
|
|
$
|
2,459
|
|
|
$
|
-
|
|
|
Interest expense
paid
|
|
$
|
3,087
|
|
|
$
|
3,780
|
|
|
$
|
2,577
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Supplemental
disclosures of non-cash activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Disposal of Shengda
Group
|
|
|
-
|
|
|
|
23,222
|
|
|
|
-
|
|
|
Decrease of accrued
expenses and other current liabilities due
to vest of restricted shares
|
|
$
|
311
|
|
|
$
|
311
|
|
|
$
|
-
|
|
|
Purchase of software
and equipment by using accrued
expenses and other current liabilities
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
Obtaining right-of-use
assets in exchange for operating lease
liabilities and prepaid expenses
|
|
$
|
-
|
|
|
$
|
972
|
|
|
$
|
1,702
|
|
|
Software and equipment
transferred from other non-current
assets
|
|
$
|
-
|
|
|
$
|
12,150
|
|
|
$
|
3,727,781
|
|
|
Prepaid financing
expense related to issuance of GEM
Warrants
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
1,441,826
|
|
Non-GAAP Financial Measures
In addition to our results determined in accordance with GAAP,
the Company's management believes that Adjusted EBITDA, which is a
non-GAAP measure that excludes certain non-recurring items such as
costs and expenses related to the Business Combination and prior
and subsequent capital raises, is useful in evaluating our
operational performance. The Company uses this non-GAAP financial
information to evaluate our ongoing operations and for internal
planning, budgeting and forecasting purposes. We believe that this
non-GAAP financial information, when taken collectively with GAAP
measures, may be helpful to investors in assessing our operating
performance and comparing our performance with competitors and
other comparable companies, which may or may not present similar
non-GAAP financial measures to investors. Our computation of these
non-GAAP measures may not be comparable to other similarly titled
measures computed by other companies, because all companies may not
calculate these measures in the same fashion. We endeavor to
compensate for the limitation of the non-GAAP measure presented by
also providing the most directly comparable GAAP measure and a
description of the reconciling items and adjustments to derive the
non-GAAP measure. This non-GAAP measure should be considered in
addition to results prepared in accordance with GAAP, but should
not be considered in isolation or as a substitute for performance
measures calculated in accordance with GAAP. We compensate for
these limitations by relying primarily on our GAAP results and
using non-GAAP measures on a supplemental basis.
Adjusted EBITDA
We believe that Adjusted EBITDA, as defined below, is useful in
evaluating our operational performance distinct and apart from
certain expenses that may not be indicative of our recurring core
business operating results and non-operational expenses. Adjusted
EBITDA is defined as Operating profit (loss) adjusted for
depreciation and amortization, share-based compensation and
non-recurring expenses related to the Business Combination and
prior and subsequent capital raises. Adjusted EBITDA Margin is
defined as Adjusted EBITDA divided by Total revenues.
|
Reconciliation of
Operating Profit (Loss) to Adjusted EBITDA
|
|
(In
thousands)
|
|
|
|
For the years ended
December 31,
|
|
|
2022
|
|
2023
|
|
Operating profit
(loss)
|
|
$
|
(12,577)
|
|
$
|
(15,462)
|
|
Depreciation and
amortization (1)
|
|
|
5,078
|
|
|
4,114
|
|
Share-based
compensation (2)
|
|
|
1,599
|
|
|
11,295
|
|
Transaction fees
(3)
|
|
|
357
|
|
|
1,702
|
|
Adjusted
EBITDA
|
|
$
|
(5,543)
|
|
$
|
1,649
|
|
|
|
|
|
|
|
|
Adjusted EBITDA
Margin
|
|
|
(2.0) %
|
|
|
0.5 %
|
|
|
(1) Non-cash expenses
related to depreciation and amortization
|
|
(2) Non-cash expense
related to compensation costs for equity classified awards (both
for the
subsidiary and the Group)
|
|
(3) Includes
non-recurring transaction related fees and expenses associated with
the Company's
Business Combination and prior and subsequent capital
raises
|
View original
content:https://www.prnewswire.com/news-releases/suncar-technology-reports-29-revenue-growth-including-79-increase-in-auto-e-insurance-business-in-fy-2023-302129856.html
SOURCE SunCar Technology Group Inc.
