BEIJING, Nov. 9, 2016 /PRNewswire/ -- Bitauto Holdings
Limited ("Bitauto" or the "Company") (NYSE: BITA), a leading
provider of internet content and marketing services for
China's fast-growing automotive
industry, today announced its unaudited financial results for the
third quarter ended September 30,
2016[1].
Third Quarter 2016 Highlights[2]
- Revenue in the third quarter of 2016 was RMB1.50 billion (US$224.9
million), a 33.1% increase from the corresponding period in
2015.
- Gross profit in the third quarter of 2016 was
RMB958.5 million (US$143.7 million), a 33.2% increase from the
corresponding period in 2015.
- Operating loss in the third quarter of 2016 was
RMB14.0 million (US$2.1 million), compared to an operating loss of
RMB53.2 million (US$8.0 million) in the corresponding period in
2015.
- Non-GAAP operating profit in the third quarter of 2016
was RMB158.8 million (US$23.8 million), a 14.1% increase from the
corresponding period in 2015.
- Net loss in the third quarter of 2016 was RMB48.1 million (US$7.2
million), compared to a net loss of RMB77.7 million (US$11.7
million) in the corresponding period in 2015.
- Non-GAAP net profit in the third quarter of 2016
was RMB129.3 million (US$19.4 million), a 12.5% increase from the
corresponding period in 2015.
- Basic and diluted net loss per ADS in the third quarter
of 2016 was RMB1.48 (US$0.22) and RMB1.48 (US$0.22),
respectively.
- Non-GAAP basic and diluted net profit per ADS in the
third quarter of 2016 was RMB1.07
(US$0.16) and RMB1.03 (US$0.15),
respectively.
Mr. William Li, chief executive
officer and chairman of Bitauto, commented, "We are pleased to have
achieved a set of healthy results in the third quarter of 2016. In
particular, our transaction services revenue grew by 78.8%
year-over-year, with over 90,000
revenue-generating transactions executed in the quarter, as we
continued to make solid progress in our online automotive financial
platform services business."
"Bitauto has spent the past year strengthening our ecosystem,
including our organic content and marketing and transaction
capabilities, to provide consumers with the best possible
automobile purchasing experience while enabling automakers and
dealers to better target consumer needs. Through collaboration with
our strategic partners Tencent, Baidu and JD.com, we also continue
to accumulate comprehensive big data resources that will make our
marketing solutions and transaction services more targeted and
efficient for both buyers and sellers."
Mr. Andy Zhang, president of
Bitauto, said, "Bitauto will continue to execute on our core
business strategies to enhance our long-term competitiveness.
First, we will further develop our automobile transaction platform,
including e-commerce, financial services, and after-sales services,
with better purchasing experience as well as greater efficiency of
our service infrastructure, both online and offline. Second, we
will strive to further increase our mobile monetization capability
by further incorporating the use of big data analytics to offer
more robust result-driven marketing solutions. Third, we will
continue to strengthen our dealer services offerings on mobile
devices and social media."
Ms. Cynthia He, chief financial
officer of Bitauto, said, "Bitauto maintained strong top-line
growth in the third quarter of 2016, primarily driven by the
continued rapid expansion of our transaction services business
coupled with steady growth in our more traditional business
segments. We are encouraged by the momentum we are seeing in the
auto finance and used car markets, both of which will be important
drivers of our future growth. At the same time, our efforts in
enhancing our internal capabilities will enable us to reap market
benefits more efficiently."
Third Quarter 2016 Results
Bitauto reported revenue of RMB1.50 billion (US$224.9
million) for the third quarter of 2016, representing a 33.1%
increase from the corresponding period in 2015. The increase in
revenue was primarily attributable to the growth of the Company's
transaction services business and digital marketing solutions
business.
- Revenue from the advertising and subscription business
for the third quarter of 2016 was RMB898.3
million (US$134.7 million),
representing a 9.8% increase from RMB818.2
million (US$122.7 million) in
the corresponding period in 2015.
- Revenue from the transaction services business for the
third quarter of 2016 was RMB403.7
million (US$60.5 million),
representing a 78.8% increase from RMB225.7
million (US$33.8 million) in
the corresponding period in 2015. The increase was attributable to
a higher volume of transaction services.
- Revenue from the digital marketing solutions business
for the third quarter of 2016 was RMB197.9
million (US$29.7 million),
representing a 138.6% increase from RMB82.9
million (US$12.4 million) in
the corresponding period in 2015, which was primarily due to an
increase in the number of advertising customers as well as
increased spending from some customers.
Cost of revenue for the third quarter of 2016 was
RMB541.4 million (US$81.2 million), representing a year-over-year
increase of 33.0% from the corresponding period in 2015. Cost of
revenue as a percentage of revenue in the third quarter of 2016 was
36.1%, the same as in the corresponding period in 2015.
Gross profit for the third quarter of 2016 was
RMB958.5 million (US$143.7 million), representing a 33.2% increase
from the corresponding period in 2015, in line with revenue
growth.
Selling and administrative expenses were RMB865.9 million (US$129.9
million) for the third quarter of 2016, representing an
increase of 20.5% from the corresponding period in 2015. This
increase was primarily attributable to the increase in headcount
and related expenses.
Product development expenses were RMB108.3 million (US$16.2
million) for the third quarter of 2016, representing a 25.6%
increase from the corresponding period in 2015. The increase was
primarily due to an increase in product development headcount and
related expenses.
Share-based payment expenses, which were allocated to
related operating expense line items, were RMB16.5 million (US$2.5
million) in the third quarter of 2016, compared to
RMB28.3 million (US$4.2 million) in the corresponding period in
2015.
Operating loss in the third quarter of 2016 was
RMB14.0 million (US$2.1 million), compared to an operating loss of
RMB53.2 million (US$8.0 million) in the corresponding period in
2015.
Non-GAAP operating profit in the third quarter of 2016
was RMB158.8 million (US$23.8 million), representing a 14.1% increase
from the corresponding period in 2015.
Income tax expense in the third quarter of 2016 was
RMB23.2 million (US$3.5 million), compared to an income tax
expense of RMB24.5 million
(US$3.7 million) in the corresponding
period in 2015.
Net loss in the third quarter of 2016 was RMB48.1 million (US$7.2
million), compared to a net loss of RMB77.7 million (US$11.7
million) in the corresponding period in 2015. Basic and
diluted net loss per ADS, each representing one ordinary share, in
the third quarter of 2016 amounted to RMB1.48 (US$0.22)
and RMB1.48 (US$0.22), respectively.
Non-GAAP net profit in the third quarter of 2016 was
RMB129.3 million (US$19.4 million), a 12.5% increase from the
corresponding period in 2015. Non-GAAP basic and diluted net profit
per ADS in the third quarter of 2016 amounted to RMB1.07 (US$0.16)
and RMB1.03 (US$0.15), respectively.
As of September 30, 2016, the
Company had cash and cash equivalents, time deposit and
restricted cash of RMB6.25
billion (US$938.0 million).
Cash used in operating activities, cash used in investing
activities, and cash from financing activities in the third
quarter of 2016 were RMB3.39 billion
(US$508.8 million), RMB3.13 billion (US$469.8
million), and RMB6.00 billion
(US$899.8 million), respectively.
Bills receivables, representing short-term notes
receivable issued by financial institutions that entitle the
Company to receive the full face amount from the financial
institutions at maturity, which generally range from three to six
months from the date of issuance, was RMB135.9 million (US$20.4
million) as of September 30,
2016, compared to RMB147.7
million (US$22.1 million) as
of December 31, 2015.
Trade receivables was RMB2.43
billion (US$365.1 million) as
of September 30, 2016, compared to
RMB1.90 billion (US$284.9 million) as of December 31, 2015. This increase was in line with
revenue growth.
As of September 30, 2016, the
Company's transaction services business had cash and cash
equivalents and restricted cash of RMB3.20
billion (US$480.0 million),
finance leasing receivables of RMB8.53
billion (US$1.28 billion) and
interest-bearing borrowings of RMB5.71
billion (US$855.9
million).
The number of employees totaled 6,261 as of September 30, 2016, including employees of the
entities in which Bitauto acquired and holds controlling interests.
This represented a 31.9% increase from September 30, 2015, which was primarily due to
higher headcount in customer support service teams supporting
Bitauto's transaction services business, including automobile
transactions and automobile finance.
As of September 30, 2016, the
Company had a total of 70,726,025 ordinary shares, with 34,388,244
ADSs issued and outstanding. Each ADS represents one ordinary share
of the Company. Non-GAAP basic and diluted per ADS figures for the
third quarter of 2016 were calculated using a weighted average of
68,633,048 and 74,359,613 ADSs, respectively.
Recent Updates
Bitauto recently announced the appointment of Ms. Cynthia He as chief financial officer. She
succeeds Mr. Andy Zhang, who has
continued in his role as president of Bitauto and has been working
closely with Cynthia to ensure a seamless transition.
Fourth Quarter 2016 Outlook
Bitauto currently expects to generate revenue in the range of
RMB1.58
billion (US$236.9 million) to RMB1.63
billion (US$244.4
million) in the fourth quarter of 2016.
This forecast takes into consideration seasonality factors in
Bitauto's business, and excludes any impact of foreign currency
fluctuation. It reflects management's current and preliminary view,
which is subject to change.
Conference Call Information
Bitauto's management will hold an earnings conference call at
7:00 AM on November 9, 2016 U.S. Eastern Time (8:00 PM on November 9,
2016 Beijing/Hong Kong
time).
Dial-in details for the earnings conference call are as
follows:
US:
|
+1-845-675-0437 or
+1-866-519-4004
|
Hong Kong:
|
+852-3018-6771 or
800-906-601
|
China:
|
800-8190-121 or
400-6208-038
|
International:
|
+65-6713-5090
|
|
|
Conference
ID:
|
98778179
|
A replay of the conference call may be accessed by phone at the
following number until November 17,
2016:
US:
|
+1-855-452-5696 or
+1-646-254-3697
|
International:
|
+61-2-8199-0299
|
|
|
Conference
ID:
|
98778179
|
Additionally, a live and archived webcast of this conference
call will be available at http://ir.bitauto.com.
[1] This announcement
contains translations of certain amounts in Renminbi into U.S.
dollars at specified rates solely for the convenience of the
readers. Unless otherwise noted, all translations from Renminbi to
U.S. dollars are made at a rate of RMB6.6685 to US$1.00, the
effective noon buying rate as of September 30, 2016 in The City of
New York for cable transfers of Renminbi as certified for customs
purposes by the Federal Reserve Bank of New York.
|
[2] The unaudited
condensed consolidated financial information for the year and for
each of the quarters in the year ended December 31, 2015 have been
revised after giving effect to the Company's change in accounting
standards from International Financial Reporting Standards (IFRS)
to accounting principles generally accepted in the United States of
America (U.S. GAAP). The major impacts on unaudited condensed
consolidated statements of operations were related to revenue,
cost of revenue and non-operating income/expenses. In addition, the
accretion of mezzanine equity was considered when calculating basic
and diluted net profit/loss per ADS.
|
|
About Bitauto Holdings Limited
Bitauto Holdings Limited (NYSE: BITA) is a leading provider of
internet content and marketing services for China's fast-growing automotive industry.
Bitauto manages its businesses in three segments: its
advertising and subscription business, transaction services
business and digital marketing solutions business.
Bitauto's advertising and subscription business offers
advertising and digital marketing solutions to automakers and
automobile customers in China.
Bitauto provides a variety of advertising services mainly to
automakers through its bitauto.com and taoche.com websites, which
provide consumers with up-to-date new and used automobile pricing
and promotional information, specifications, reviews and consumer
feedback. Bitauto also offers subscription services via its EP
platform which provides web-based and mobile-based integrated
digital marketing solutions to automobile customers in China. The platform enables dealer subscribers
to create their own online showrooms, list pricing and promotional
information, provide dealer contact information, place
advertisements and manage customer relationships to help them reach
a broad set of purchase-minded customers and effectively market
their automobiles to consumers online. In 2014, Bitauto began
providing automobile customers with transaction services on its EP
platform, including automobile transaction, CRM and online
automotive financial platform services, which are intended to
optimize the automobile purchase experience and facilitate
completion of transactions. Bitauto's digital marketing solutions
business provides automakers with one-stop digital marketing
solutions, including website creation and maintenance, online
public relations, online marketing campaigns and advertising.
For more information, please visit ir.bitauto.com.
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," "confident" and similar statements. Among
other things, the business outlook of the Company and the
quotations from management in this announcement, as well as
Bitauto's strategic and operational plans, contain forward-looking
statements. Bitauto may also make written or oral forward-looking
statements in its periodic reports to the U.S. Securities and
Exchange Commission, in its annual report to shareholders, in press
releases and other written materials and in oral statements made by
its officers, directors or employees to third parties. Statements
that are not historical facts, including statements about Bitauto's
beliefs 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: our goals
and strategies; our future business development, financial
condition and results of operations; the expected growth of the
automobile industry and the internet marketing industry in
China; our expectations regarding
demand for and market acceptance of our services and service
delivery model; our expectations regarding enhancing our brand
recognition; our expectations regarding keeping and strengthening
our relationships with major customers, partner websites and media
vendors; relevant government policies and regulations relating to
our businesses, automobile purchases and ownership in China; our ability to attract and retain
quality employees; our ability to stay abreast of market trends and
technological advances; competition in our industry in China and internationally; general economic
and business conditions in China;
and our ability to effectively protect our intellectual property
rights and not infringe on the intellectual property rights of
others. Further information regarding these and other risks is
included in Bitauto's filings with the Securities and Exchange
Commission, including its annual report on Form 20-F. Bitauto does
not undertake any obligation to update any forward-looking
statement as a result of new information, future events or
otherwise, except as required under applicable law. All information
provided in this press release and in the attachments is as of the
date of this press release, and Bitauto undertakes no duty to
update such information, except as required under applicable
law.
Use of Non-GAAP Financial Measures
To supplement Bitauto's consolidated financial results presented
in accordance with U.S. GAAP, Bitauto uses Non-GAAP operating
profit, Non-GAAP net profit and Non-GAAP basic and diluted net
profit per ADS as non-GAAP financial measures. Non-GAAP operating
profit is defined as operating profit excluding (i) share-based payments
and (ii) amortization of intangible assets resulting from asset and
business acquisitions. Non-GAAP net profit is defined as net
profit excluding (i) share-based
payments; (ii) amortization of intangible assets resulting from
asset and business acquisitions; (iii) fair value adjustment of
contingent considerations; (iv) share of amortization of equity
investments' intangible assets not on their books; (v) investment
income associated with non-cash investment matters; and (vi)
amortization of the BCF discount on the convertible notes. Non-GAAP
basic and diluted net profit per ADS is defined as Non-GAAP net
profit attributable to ordinary shareholders of the parent company
divided by basic and diluted weighted average number of ADS. These
non-GAAP financial measures provide Bitauto's management with the
ability to assess its operating results by excluding certain items
that may not be indicative of the performance of its business such
as non-cash and non-recurring items. Bitauto believes these
non-GAAP financial measures are useful to investors by
understanding supplemental information used by management in its assessment of operating results.
The use of non-GAAP financial measures has certain limitations.
These non-GAAP measures exclude certain items that have been and
will continue to be incurred in the future and are not reflected in
the presentation of the non-GAAP financial measures. These non-GAAP
financial measures should be considered in addition to results
prepared in accordance with U.S. GAAP, and should not be considered
a substitute for or superior to U.S. GAAP results. In addition,
these non-GAAP financial measures may not be comparable to
similarly titled measures utilized by other companies since such
other companies may not calculate such measures in the same manner
as Bitauto does.
Reconciliation of these non-GAAP financial measures to the most
directly comparable U.S. GAAP financial measure is set forth at the
end of this release.
For investor and media inquiries, please contact:
China
IR Department
Bitauto Holdings Limited
Tel: +86-10-6849-2145
ir@bitauto.com
SELECTED
CONSOLIDATED FINANCIAL DATA
|
Unaudited
Condensed Consolidated Statements of Operations
|
|
|
|
For the Three
Months Ended
|
|
|
September 30,
2015
|
|
September 30,
2016
|
|
|
RMB
|
|
RMB
|
|
|
|
|
|
|
|
|
|
|
Revenue
|
|
1,126,888,302
|
|
1,499,888,704
|
Cost of
revenue
|
|
(407,124,656)
|
|
(541,402,181)
|
Gross
profit
|
|
719,763,646
|
|
958,486,523
|
|
|
|
|
|
Selling and
administrative expenses
|
|
(718,534,377)
|
|
(865,903,860)
|
Product development
expenses
|
|
(86,237,499)
|
|
(108,305,562)
|
Other gains,
net
|
|
31,843,868
|
|
1,745,413
|
Operating
loss
|
|
(53,164,362)
|
|
(13,977,486)
|
|
|
|
|
|
Interest
income
|
|
4,055,943
|
|
9,419,425
|
Interest
expense
|
|
(2,598,641)
|
|
(16,429,377)
|
Share of losses of
associates and joint ventures
|
|
(2,198,232)
|
|
(8,161,904)
|
Investment
income
|
|
666,471
|
|
4,280,689
|
Loss before
tax
|
|
(53,238,821)
|
|
(24,868,653)
|
|
|
|
|
|
Income tax
expense
|
|
(24,481,836)
|
|
(23,188,324)
|
Net loss for the
period
|
|
(77,720,657)
|
|
(48,056,977)
|
Total
comprehensive income for the period
|
|
167,971,679
|
|
8,122,744
|
|
|
|
|
|
Net loss for the
period attributable to:
|
|
|
|
|
Ordinary shareholders of the parent
company
|
|
(78,714,791)
|
|
(49,701,144)
|
|
|
|
|
|
|
|
|
|
|
Total comprehensive
income for the period attributable to:
|
|
|
|
|
Ordinary shareholders of the parent
company
|
|
166,977,545
|
|
6,478,577
|
|
|
|
|
|
|
|
|
|
|
Other financial
data
|
|
|
|
|
Non-GAAP net profit
for the period
|
|
114,886,612
|
|
129,259,584
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation
of GAAP to Non-GAAP results
|
|
|
|
|
|
|
|
|
|
|
|
For the Three
Months Ended
|
|
|
September 30,
2015
|
|
September 30,
2016
|
|
|
RMB
|
|
RMB
|
|
|
|
|
|
Operating loss for
the period
|
|
(53,164,362)
|
|
(13,977,486)
|
Share-based
payments
|
|
28,250,141
|
|
16,468,286
|
Amortization of
intangible assets resulting from asset and business
acquisitions
|
|
164,103,705
|
|
156,343,732
|
Non-GAAP operating
profit for the period
|
|
139,189,484
|
|
158,834,532
|
|
|
|
|
|
|
|
|
|
|
Net loss for the
period
|
|
(77,720,657)
|
|
(48,056,977)
|
Share-based
payments
|
|
28,250,141
|
|
16,468,286
|
Amortization of
intangible assets resulting from asset and business
acquisitions
|
|
164,103,705
|
|
156,343,732
|
Fair value adjustment
of contingent considerations
|
|
888,627
|
|
-
|
Share of amortization
of equity investments' intangible assets not on their
books
|
|
31,267
|
|
626,308
|
Investment income
associated with non-cash investment matters
|
|
(666,471)
|
|
(1,281,575)
|
Amortization of the
BCF discount on the convertible notes
|
|
-
|
|
5,159,810
|
Non-GAAP net
profit for the period
|
|
114,886,612
|
|
129,259,584
|
|
|
|
|
|
SELECTED
CONSOLIDATED FINANCIAL DATA
|
Unaudited
Condensed Consolidated Balance Sheets
|
|
|
|
|
|
|
|
December 31,
2015
|
|
September 30,
2016
|
|
|
RMB
|
|
RMB
|
|
|
|
|
|
Assets
|
|
|
|
|
Cash and cash equivalents
|
|
2,940,874,390
|
|
1,782,045,354
|
Time deposit
|
|
100,000,000
|
|
2,000,000
|
Restricted cash
|
|
350,654,400
|
|
4,470,709,732
|
Trade receivables
|
|
1,899,789,400
|
|
2,434,697,522
|
Bills receivables
|
|
147,660,156
|
|
135,880,837
|
Other current assets
|
|
2,446,069,562
|
|
4,572,005,344
|
Non-current assets
|
|
5,185,965,139
|
|
9,617,300,412
|
Total assets
|
|
13,071,013,047
|
|
23,014,639,201
|
|
|
|
|
|
Liabilities
|
|
|
|
|
Trade payables
|
|
987,424,361
|
|
1,625,934,088
|
Other current liabilities
|
|
1,673,076,585
|
|
6,495,019,400
|
Non-current liabilities
|
|
88,222,874
|
|
1,922,901,520
|
Total liabilities
|
|
2,748,723,820
|
|
10,043,855,008
|
Mezzanine
equity
|
|
1,697,717,536
|
|
3,265,755,433
|
Total
equity
|
|
8,624,571,691
|
|
9,705,028,760
|
Total liabilities,
mezzanine equity and equity
|
|
13,071,013,047
|
|
23,014,639,201
|
|
|
|
|
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/bitauto-announces-third-quarter-2016-results-300359723.html
SOURCE Bitauto Holdings Limited