UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 UNDER
THE SECURITIES EXCHANGE ACT OF 1934
For the month of November 2024
Commission File Number: 001-39436
KE Holdings Inc.
(Registrant’s Name)
Oriental Electronic Technology Building,
No. 2 Chuangye Road, Haidian District,
Beijing 100086
People’s Republic of China
(Address of Principal Executive Offices)
Indicate by check mark whether the registrant files or will file annual
reports under cover Form 20-F or Form 40-F.
Form 20-F x Form 40-F ¨
EXHIBIT INDEX
SIGNATURES
Pursuant to the requirements of the Securities
Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
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KE Holdings Inc. |
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By |
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/s/ XU Tao |
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Name |
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XU Tao |
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Title |
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Chief Financial Officer |
Date:
November 25, 2024
Exhibit 99.1
KE
Holdings Inc. Announces Third Quarter 2024 Unaudited Financial Results
BEIJING,
China, November 21, 2024 - 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. |
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.
| · | 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.
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.
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.”
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.
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.
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.
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$1,493.4 million under this share repurchase program since its launch.
Conference
Call Information
The
Company will hold an earnings conference call at 7:00 A.M. U.S. Eastern Time on Thursday, November 21, 2024 (8:00 P.M. Beijing/Hong
Kong Time on Thursday, November 21, 2024) to discuss the financial results.
For
participants who wish to join the conference call using dial-in numbers, please complete online registration using the link provided
below at least 20 minutes prior to the scheduled call start time. Dial-in numbers, passcode and unique access PIN would be provided upon
registering.
11
Adjusted net income (loss) per ADS attributable to KE Holdings Inc.’s ordinary shareholders is a non-GAAP financial measure, which
is defined as adjusted net income (loss) attributable to KE Holdings Inc.’s ordinary shareholders divided by weighted average number
of ADS outstanding during the periods used in calculating adjusted net income (loss) per ADS, basic and diluted. Please refer to the section
titled “Unaudited reconciliation of GAAP and non-GAAP results” for details.
Participant
Online Registration:
English
Line: https://s1.c-conf.com/diamondpass/10042784-y6whdt.html
Chinese
Simultaneous Interpretation Line (listen-only mode): https://s1.c-conf.com/diamondpass/10042787-mwq6c3.html
A
replay of the conference call will be accessible through November 28, 2024, by dialing the following numbers:
| United
States: |
+1-855-883-1031 |
| Mainland,
China: |
400-1209-216 |
| Hong
Kong, China: |
800-930-639 |
| International: |
+61-7-3107-6325 |
| Replay
PIN (English line): |
10042784 |
| Replay
PIN (Chinese simultaneous interpretation line): |
10042787 |
A
live and archived webcast of the conference call will also be available at the Company’s investor relations website at https://investors.ke.com.
Exchange
Rate
This
press release contains translations of certain RMB amounts into U.S. dollars (“US$”) 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
Relations
Siting
Li
E-mail:
ir@ke.com
Piacente
Financial Communications
Jenny
Cai
Tel:
+86-10-6508-0677
E-mail:
ke@tpg-ir.com
In
the United States:
Piacente
Financial Communications
Brandi
Piacente
Tel:
+1-212-481-2050
E-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
December 31, | | |
As of
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 | |
KE
Holdings Inc.
UNAUDITED
CONDENSED CONSOLIDATED BALANCE SHEETS (Continued)
(All
amounts in thousands, except for share, per share data)
| | |
As of
December 31, | | |
As of
September 30, | |
| | |
2023 | | |
2024 | |
| | |
RMB | | |
RMB | | |
US$ | |
| 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 | |
KE
Holdings Inc.
UNAUDITED
CONDENSED CONSOLIDATED BALANCE SHEETS (Continued)
(All
amounts in thousands, except for share, per share data)
| | |
As of December 31, | | |
As of September 30, | |
| | |
2023 | | |
2024 | |
| | |
RMB | | |
RMB | | |
US$ | |
| 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 | |
KE
Holdings Inc.
UNAUDITED
CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS (Continued)
(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 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 | |
KE
Holdings Inc.
UNAUDITED
CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS (Continued)
(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$ | |
| 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 | |
KE
Holdings Inc.
UNAUDITED
RECONCILIATION OF GAAP AND NON-GAAP RESULTS (Continued)
(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$ | |
| 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
