BEIJING, Nov. 24, 2014 /PRNewswire/ -- Qihoo 360
Technology Co. Ltd. ("Qihoo 360" or the "Company") (NYSE:
QIHU), a leading Internet company in China, today reported its
unaudited financial results for the third quarter ended
September 30, 2014.
Third Quarter Financial Highlights[1]
- Revenues were $376.4 million, a
100.3% increase from $187.9
million in the third quarter of 2013.
- Net income attributable to Qihoo 360 was $57.7 million, compared to $44.5 million in the third quarter of 2013.
- Non-GAAP net income attributable to Qihoo 360[1] was $89.5
million, compared to $61.5
million in the third quarter of 2013.
- Diluted earnings per ADS[2]
("EPADS") attributable to Qihoo 360 was $0.44, compared to $0.35 in the same period last year.
- Non-GAAP diluted EPADS attributable to Qihoo 360[1] was $0.63,
compared to $0.47 in the same period
last year.
Third Quarter Operating Metrics
- Total monthly active users of Qihoo 360's PC-based products and
services reached 495 million in September
2014, compared to 465 million in September 2013[3].
- User penetration of Qihoo 360's PC-based products was 94% in
September 2014, compared to 94% in
September 2013[3].
- Total smartphone users of Qihoo 360's primary mobile security
product[4] reached a record of 673
million in September 2014, compared
to 408 million in September
2013[5].
- Monthly active users of Qihoo 360's PC browsers were 357
million in September 2014, compared
to 342 million in September
2013[3].
- User penetration of Qihoo 360's PC browsers was 68% in
September 2014, compared to 69% in
September 2013[3].
- Average daily unique visitors to the 360 Personal Start-up Page
and its sub-pages were 129 million in the third quarter of 2014,
compared to 126 million in the third quarter of 2013[5].
- Average daily clicks on Qihoo 360's Personal Start-up Page and
its sub-pages were approximately 723 million in the third quarter
of 2014, compared to 681 million in the third quarter of
2013[5].
"We are pleased to deliver another quarter of strong growth and
solid operational metrics," said Mr. Hongyi
Zhou, Chairman and Chief Executive Officer of Qihoo
360. "Not only did we maintain our leadership position in key
PC-related product categories during the quarter, but we continued
to make a significant transition to the important mobile Internet
market. The number of Chinese smartphone users of our key mobile
security product, 360 Mobile Safe, reached 673 million in the third
quarter, further strengthening our leading position in Internet
security in China. In addition,
our Android-based app store, 360 Mobile Assistant, continues to
lead the market with the largest Android app distribution market
share despite intense competition. Our goal is to maintain our
leadership position in this market in the future."
"As we take 30% of PC search traffic share and continue to
gain more, we have started to allocate significantly more resources
to support product development for and market penetration of our
mobile search. We already made noticeable progress in this area in
the third quarter and are confident that we can achieve our
near-term and long-term targets in mobile search. Strategically, we
are proactively strengthening our mobile platform and our position
in the Chinese mobile Internet ecosystem through both internal
development and external strategic partnerships.
Mr. Xiangdong Qi, President of
Qihoo 360, added, "We are excited to see continued robust growth in
key areas of our business. Online advertising grew 67%
year-over-year, supported by strong contributions from both search
and mobile monetization and deepening monetization of our user
traffic. Internet value-added services continue to show strong
momentum with revenue growth of 158%, driven by strength in both PC
and mobile games. Since we began monetizing our search and mobile
products at the beginning of 2013 we have made significant
progress, and are encouraged by the results. While search and
mobile monetization are still in their early stages, we believe
they represent a substantial long-term growth opportunity for our
company. At the end of the third quarter, we launched a few
advertising platforms that are designed to help us better monetize
our display and search advertising inventories, as well as target
the increasing demand in mobile O2O market. We have received very
encouraging responses to these new platforms from our customers. We
will continue to make significant investments in the coming
quarters to strengthen our brand and market position, and to
improve our products and technology, particularly in mobile
Internet-related areas."
Third Quarter 2014 Results
Revenues
Revenues were $376.4 million,
representing an increase of 100.3% from $187.9 million in
the third quarter of 2013 and an increase of 18.4% from
$317.9 million in the second quarter
of 2014. The robust year-over-year growth was due to strong
performance in both online advertising and Internet value-added
services, driven by continued strong ramp in search and mobile
monetization.
Online advertising revenues were $201.9
million, up 67.2% from the same period last year and 17.9%
from the prior quarter. The strong year-over-year increase was
primarily driven by incremental contribution from search and mobile
advertising and increased monetization of user activities on 360
Personalized Start-up Pages. Strong momentum in search also
supported solid sequential growth, partially offset by the impact
from a shift in certain customer's spending priority in
Personalized Start-up Pages.
Internet value-added service revenues, which are mainly derived
from game platform operations, were $172.8
million, up 157.7% from the same period last year and 18.2%
from the prior quarter. The robust year-over-year and sequential
growth was mainly driven by the strong ramp in mobile games, and
solid growth in PC games and other Internet value-added
services.
Cost of Revenues
Cost of revenues were $85.4
million, compared to $25.9
million in the third quarter of 2013 and $66.6 million in the second quarter of 2014,
representing increases of 229.6% and 28.2%, respectively.
Operating Expenses
Operating expenses were $225.5
million, compared to $111.2
million in the third quarter of 2013 and $208.3 million in the second quarter of 2014.
Non-GAAP operating expenses[1] were $200.1
million, compared to $95.3
million in the third quarter of 2013 and $182.6 million in the prior quarter.
Operating Income
Operating income was $68.0
million, compared to $50.8
million in the third quarter of 2013 and $43.9 million in the prior quarter.
Non-GAAP operating income[1] was
$93.3 million, compared to
$66.7 million in the third quarter of
2013 and $69.7 million in the prior
quarter.
Operating margin was 18.1%, compared to 27.0% in the third
quarter of 2013 and 13.8% in the prior quarter.
Non-GAAP operating margin[1] was
24.8%, compared to 35.5% in the third quarter of 2013 and 21.9% in
the prior quarter.
The year-over-year decline in non-GAAP operating margin[1] was mainly due to increased marketing
and promotional expenses, personnel-related costs, and bandwidth
and equipment depreciation expenses. The sequential improvement in
non-GAAP operating margin[1] was
mainly due to leverage from strong revenue growth and improved cost
efficiency.
Net Income
attributable to Qihoo 360
Net income attributable to Qihoo 360 was $57.7 million,
compared to $44.5 million in the
third quarter of 2013 and $39.1
million in the prior quarter.
Non-GAAP net income[1]
attributable to Qihoo 360 was $89.5
million, compared to $61.5
million in the third quarter of 2013 and $69.2 million in the prior quarter.
Net Margin
Net margin was 15.3%, compared to 23.7% in the same period last
year, and 12.3% in the prior quarter.
Non-GAAP net margin[1] was
23.8%, compared to 32.7% in the same period last year and 21.8% in
the prior quarter.
Diluted Earnings per ADS
Diluted EPADS for the third quarter of 2014 was $0.44, and non-GAAP diluted EPADS[1] for the third quarter of 2014 was
$0.63. The non-GAAP weighted average
ADS(1) used in computing diluted non-GAAP diluted
EPADS[1] was approximately 142
million.
Cash Flows and Balance Sheet
Net cash generated from operations in the third quarter of 2014
was $91.4 million, compared to
$75.0 million in the same period
last year and $57.7 million in the
prior quarter. Cash capital expenditures were $21.8 million. As of September 30, 2014, the Company had cash and cash
equivalents of approximately $1.68
billion.
Business Outlook
For the fourth quarter of 2014, the Company expects revenues to
be between $410 million and $415
million, representing a year-over-year increase of 85% to
87% and quarter-over-quarter increase of 9% to 10%. These estimates
reflect the Company's current and preliminary view, which is
subject to possible material changes.
Conference Call
Qihoo 360's management will host a conference call to discuss
the results at 7:30 a.m. Eastern Time
on Tuesday, November 25, 2014
(8:30 p.m. Beijing time on November 25, 2014).
The dial-in details for the live conference call are:
US Toll Free Dial
In:
|
+1
866-519-4004
|
International Dial
In:
|
+65 6723 9381
|
Hong Kong Dial
In:
|
+852-3018-6771
|
Passcode:
|
33982392
|
A telephone replay of the call will be available after the
conclusion of the conference call at 10:30
a.m. Eastern Time on November 25,
2014 through 10:30 p.m. Eastern
Time on December 3, 2014. The
dial-in details for the replay are:
International Dial
In:
|
+61 2 8199 0299
|
US Dial
In:
|
+1
646-254-3697
|
Passcode:
|
33982392
|
A live webcast of the conference call will be available on the
investor relations section of Qihoo 360's website at:
http://corp.360.cn.
About Qihoo 360
Qihoo 360 Technology Co. Ltd. (NYSE: QIHU) is a leading Internet
company in China. The Company is
also the number one provider of Internet and mobile security
products in China as measured by
its user base, according to iResearch. Qihoo 360 also provides
users with secure access points to the Internet via its market
leading web browsers and application stores. The Company has built
one of the largest open Internet platforms in China and monetizes its massive user base
primarily through online advertising and through Internet
value-added services on its open platform.
Forward-looking Statements
This press release contains statements of a forward-looking
nature. These statements are made under the "safe harbor"
provisions of the U.S. Private Securities Litigation Reform Act of
1995. You can identify these forward- looking statements by
terminology such as "will," "expects," "believes," "anticipates,"
"intends," "estimates" and similar statements. Among other things,
the management's quotations and the "Business Outlook" section
contain forward-looking statements. These forward-looking
statements involve known and unknown risks and uncertainties and
are based on current expectations, assumptions, estimates and
projections about Qihoo 360 and the industry. Potential risks and
uncertainties include, but are not limited to: the Company's
ability to continue to innovate and provide attractive products and
services to attract and retain users; the Company's ability to keep
up with rapid changes in technologies and Internet-enabled devices;
the Company's ability to leverage its user base to attract
customers for our revenue-generating services; and the Company's
dependence on online advertising for a substantial portion of our
revenues; and the Company's ability to compete effectively. All
information provided in this press release is as of the date of the
press release, and Qihoo 360 undertakes no obligation to update any
forward-looking statements to reflect subsequent occurring events
or circumstances, or changes in its expectations, except as may be
required by law. Although Qihoo 360 believes that the expectations
expressed in these forward-looking statements are reasonable, it
cannot assure you that its expectations will turn out to be
correct, and investors are cautioned that actual results may differ
materially from the anticipated results. Further information
regarding risks and uncertainties faced by Qihoo 360 is included in
Qihoo 360's filings with the U.S. Securities and Exchange
Commission, including its annual report on Form 20-F dated
April 25, 2014.
About Non-GAAP Financial Measures
To supplement our financial results presented in accordance with
U.S. GAAP, we use non-GAAP financial measure, which is adjusted
from results based on U.S. GAAP to exclude share-based compensation
expenses and interest expense of Convertible Senior Notes.
Reconciliations of our non-GAAP financial measures to our U.S. GAAP
financial measures are set forth in tables at the end of this
earnings release, which provide more details on the non-GAAP
financial measures.
Our non-GAAP financial information is provided as additional
information to help our investors compare business trends among
different reporting periods on a consistent basis and to enhance
investors' overall understanding of the historical and current
financial performance of our continuing operations and our
prospects for the future. Our non-GAAP financial information should
be considered in addition to results prepared in accordance with
U.S. GAAP, but should not be considered a substitute for or
superior to U.S. GAAP results. In addition, our calculation of this
non-GAAP financial information may be different from the
calculation used by other companies, and therefore comparability
may be limited.
[1]
|
Non-GAAP measures and
related reconciliations to GAAP measures are described in the
accompanying sections titled "About Non-GAAP Financial Measures"
and "Reconciliations of Non-GAAP Financial Measures to Comparable
GAAP Measures" at the end of the press release.
|
[2]
|
American Depositary
Shares, which are traded on the NYSE. Every two ADSs represent
three Class A ordinary shares of the Company.
|
[3]
|
User and market
penetration data is based on data from iResearch as of September
2014 and September 2013.
|
[4]
|
360 Mobile Safe is
the Company's primary mobile security product.
|
[5]
|
Company data as of
September 2014 and September 2013.
|
For investor and media inquiries, please contact:
Qihoo 360 Technology Co. Ltd.
In China:
Tel: +86
10-5878-1574
E-mail:
ir@360.cn
In the U.S.:
The Piacente Group, Inc.
Don Markley or Glenn Garmont
Tel: (212) 481-2050
E-mail: qihu@tpg-ir.com
Qihoo 360
Technology Co. Ltd.
|
|
Condensed
Consolidated Balance Sheets
|
|
(U.S. dollars in
thousands, except for shares and per share data)
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
December
31, 2013
|
September
30, 2014
|
ASSETS
|
|
|
Current
assets:
|
|
|
Cash and cash
equivalents
|
1,013,465
|
1,683,890
|
Restricted
cash
|
2,368
|
623
|
Short-term
investments
|
748
|
21,897
|
Accounts
receivable (net of allowance for doubtful accounts of $145 and
$1,011 as of
December 31, 2013 and September 30, 2014,
respectively)
|
54,598
|
118,761
|
Prepaid
expenses and other current assets
|
83,409
|
317,840
|
Deferred tax
assets – current
|
3,129
|
3,990
|
Total current
assets
|
1,157,717
|
2,147,001
|
Property and
equipment, net
|
163,864
|
265,450
|
Land use rights,
net
|
75,698
|
140,395
|
Acquired intangible
assets, net
|
17,248
|
39,179
|
Goodwill
|
29,509
|
203,462
|
Long-term
investments
|
84,293
|
287,366
|
Other noncurrent
assets
|
39,621
|
45,087
|
Deferred tax assets –
noncurrent
|
946
|
1,691
|
TOTAL
ASSETS
|
1,568,896
|
3,129,631
|
LIABILITIES
|
|
|
|
Current
liabilities:
|
|
|
|
Short-term loan
(including short-term loan of the consolidated
|
|
|
|
VIEs without recourse
to Qihoo 360 Technology Co. Ltd of
|
|
|
|
$1,322 and $2,004 as
of December 31, 2013 and September 30, 2014,
respectively)
|
|
1,322
|
2,004
|
Accounts
payable (including accounts payable of the consolidated
|
|
|
|
VIEs without recourse
to Qihoo 360 Technology Co. Ltd. of
|
|
|
|
$22,856 and
$94,088 as of December 31, 2013 and September 30, 2014,
respectively)
|
25,030
|
109,072
|
Accrued
expenses and other current liabilities (including
accrued
|
|
|
|
expenses and other
current liabilities of the consolidated VIEs
|
|
|
|
without recourse
to Qihoo 360 Technology Co. Ltd. of
|
|
|
|
$77,170 and
$148,063 as of December 31, 2013 and September 30, 2014,
respectively)
|
120,935
|
249,516
|
Deferred
revenue-current (including deferred revenue-current of
the
|
|
|
|
consolidated VIEs
without recourse to Qihoo 360 Technology Co. Ltd. of $30,717 and
$47,038 as of December 31, 2013 and September 30, 2014,
respectively)
|
|
46,632
|
73,557
|
Income tax payable
(including income tax payable of the consolidated VIEs without
recourse to Qihoo 360 Technology Co. Ltd. of $5,546 and $15,099 as
of December 31, 2013 and September 30, 2014,
respectively)
|
|
14,679
|
16,337
|
Total current
liabilities
|
208,598
|
450,486
|
Deferred tax
liabilities – noncurrent
|
2,676
|
6,004
|
Deferred
revenue-noncurrent (including deferred revenue-noncurrent of the
consolidated VIEs without recourse to Qihoo 360 Technology Co. Ltd.
of $664 and $744 as of December 31, 2013 and September 30, 2014,
respectively)
|
|
3,544
|
2,604
|
Long-term
debt
|
|
600,000
|
1,635,000
|
|
|
|
|
TOTAL
LIABILITIES
|
814,818
|
2,094,094
|
EQUITY
|
|
|
|
Total Qihoo 360
Technology Co. Ltd. Shareholders' equity
|
736,893
|
952,488
|
Noncontrolling
interest
|
17,185
|
83,049
|
Total
equity
|
754,078
|
1,035,537
|
TOTAL LIABILITIES AND
EQUITY
|
1,568,896
|
3,129,631
|
|
|
|
|
|
|
|
|
Qihoo 360
Technology Co. Ltd.
|
Condensed
Consolidated Statements of Income
|
(U.S. dollars in
thousands, except for shares and per share data)
|
(Unaudited)
|
|
Three Months
Ended
|
|
Nine Months
Ended
|
|
September
30, 2013
|
June 30,
2014
|
September
30, 2014
|
|
September
30, 2013
|
September 30,
2014
|
Revenues:
|
187,928
|
317,914
|
376,397
|
|
449,471
|
959,453
|
Cost of
revenues:
|
25,906
|
66,626
|
85,399
|
|
57,658
|
202,415
|
Subsidy
income
|
2
|
920
|
2,493
|
|
5
|
3,413
|
Operating
expenses:
|
|
|
|
|
|
|
Selling and
marketing
|
28,057
|
84,907
|
91,547
|
|
79,116
|
245,187
|
General and
administrative
|
14,707
|
22,511
|
26,356
|
|
39,520
|
70,633
|
Product and
development
|
68,458
|
100,931
|
107,631
|
|
179,000
|
293,205
|
Total operating
expenses
|
111,222
|
208,349
|
225,534
|
|
297,636
|
609,025
|
|
|
|
|
|
|
|
Income from
operations
|
50,802
|
43,859
|
67,957
|
|
94,182
|
151,426
|
Interest
income
|
2,155
|
4,999
|
5,689
|
|
5,370
|
15,608
|
Interest
expenses
|
(1,186)
|
(4,462)
|
(6,498)
|
|
(1,186)
|
(15,275)
|
Other
income
|
334
|
247
|
361
|
|
451
|
859
|
Exchange gain
(loss)
|
418
|
564
|
3,952
|
|
2,203
|
(7,773)
|
Impairment loss on
long-term investments
|
-
|
(1,956)
|
(361)
|
|
(1,301)
|
(2,317)
|
Loss on disposal of a
subsidiary
|
(1,144)
|
-
|
-
|
|
(1,144)
|
-
|
Gain on sales
of short-term and long-term investments
|
999
|
8,445
|
2,958
|
|
999
|
39,055
|
Income before income
tax expense and loss from equity method
investments
|
52,378
|
51,696
|
74,058
|
|
99,574
|
181,583
|
Income tax
expense
|
(7,798)
|
(10,991)
|
(13,492)
|
|
(14,293)
|
(30,372)
|
Loss on equity method
investments
|
(656)
|
(3,730)
|
(5,098)
|
|
(2,582)
|
(10,846)
|
Net income
|
43,924
|
36,975
|
55,468
|
|
82,699
|
140,365
|
|
|
|
|
|
|
|
Add: Net loss
attributable to noncontrolling interest
|
532
|
2,149
|
2,235
|
|
305
|
5,583
|
|
|
|
|
|
|
|
Net income
attributable to Qihoo 360 Technology Co. Ltd
|
44,456
|
39,124
|
57,703
|
|
83,004
|
145,948
|
|
|
|
|
|
|
|
Net income per
ordinary share-basic
|
0.25
|
0.21
|
0.31
|
|
0.46
|
0.79
|
Net income per
ordinary share-diluted
|
0.23
|
0.20
|
0.29
|
|
0.44
|
0.74
|
|
|
|
|
|
|
|
Weighted average
shares used in calculating net income per ordinary share- basic (in
millions)
|
181
|
185
|
186
|
|
180
|
185
|
Weighted average
shares used in calculating net income per ordinary share-diluted
(in millions)
|
197
|
198
|
198
|
|
192
|
198
|
|
|
|
|
|
|
|
(a): 3 Ordinary
Shares = 2 ADSs
|
|
|
|
|
|
|
Qihoo 360
Technology Co. Ltd.
|
Condensed
Consolidated Statements of Cash Flows
|
(U.S. dollars in
thousands)
|
(Unaudited)
|
|
|
|
|
|
Three-months
period ended
|
|
|
September 30,
2013
|
September 30,
2014
|
Cash flows from
operating activities:
|
|
|
Net income
|
43,924
|
55,468
|
Share-based
compensation
|
15,874
|
25,388
|
Depreciation and
amortization
|
11,349
|
21,388
|
Amortization of land
use right
|
435
|
564
|
Loss (gain) on
disposal of fixed assets
|
1
|
(9)
|
Loss on disposal of a
subsidiary
|
1,144
|
-
|
Loss on equity method
investments
|
656
|
5,098
|
Impairment loss on
long-term investments
|
-
|
361
|
Gain on sales of
short-term and long-term investments
|
(999)
|
(2,958)
|
(Gain) loss resulting
from nonoperating activities
|
(68)
|
31
|
Provision of
allowance for doubtful accounts
|
-
|
873
|
Changes in operating
assets and liabilities
|
2,657
|
(14,784)
|
Net cash provided
by operating activities
|
74,973
|
91,420
|
Cash flows from
investing activities:
|
|
|
Decrease in
restricted cash
|
-
|
3,388
|
Purchase of property
and equipment and intangible assets
|
(32,195)
|
(21,780)
|
Proceeds from
disposal of property and equipment and intangible assets
|
-
|
63
|
Payment for
short-term and long-term investments
|
(3,028)
|
(122,627)
|
Proceeds from sales
of short-term and long-term investments
|
2,365
|
8,470
|
Net cash paid in
connection with business acquisitions
|
(8,591)
|
(84,233)
|
Deconsolidation of a
subsidiary
|
(3,306)
|
-
|
Net cash used in
investing activities
|
(44,755)
|
(216,719)
|
|
|
|
|
|
Cash flows from
financing activities:
|
|
|
Capital contribution
from noncontrolling interest
|
653
|
-
|
Cash paid
for purchase of noncontrolling interest in a
subsidiary
|
-
|
(650)
|
Proceeds from
issuance of Convertible Bonds(net of issuance cost of $12,150 and
$18,630 as of September 30, 2013 and September 30, 2014,
respectively)
|
587,850
|
1,016,370
|
Proceeds from
exercise of share option
|
6,234
|
6,602
|
Payment for
short-term loans
|
-
|
(2,554)
|
|
|
|
Net cash provided
by financing activities
|
594,737
|
1,019,768
|
|
|
|
|
|
Effect of exchange
rate changes
|
647
|
2,600
|
INCREASE IN
CASH
|
625,602
|
897,069
|
CASH, BEGINNING OF
PERIOD
|
377,981
|
786,821
|
CASH, END OF
PERIOD
|
1,003,583
|
1,683,890
|
Reconciliations of
Non-GAAP Financial Measures to Comparable GAAP
Measures
|
|
|
|
|
|
Three Months Ended
September 30, 2013
|
Three Months Ended
June 30, 2014
|
Three Months Ended September 30, 2014
|
|
GAAP
|
Adjustment
(a)
|
Adjustment
(b)
|
Non-GAAP
|
GAAP
|
Adjustment
(a)
|
Adjustment
(b)
|
Non-GAAP
|
GAAP
|
Adjustment
(a)
|
Adjustment
(b)
|
Non-GAAP
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
expenses
|
$111,222
|
($15,874)
|
-
|
$95,348
|
$208,349
|
($25,798)
|
-
|
$182,551
|
$225,534
|
($25,388)
|
-
|
$200,146
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income from
operations
|
$50,802
|
$15,874
|
-
|
$66,676
|
$43,859
|
$25,798
|
-
|
$69,657
|
$67,957
|
$25,388
|
-
|
$93,345
|
Operating
margin
|
27.0%
|
|
|
35.5%
|
13.8%
|
|
|
21.9%
|
18.1%
|
|
|
24.8%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
attributable to Qihoo 360 Technology Co. Ltd.
|
$44,456
|
$15,874
|
$1,186
|
$61,516
|
$39,124
|
$25,798
|
$4,325
|
$69,247
|
$57,703
|
$25,388
|
$6,434
|
$89,525
|
Net margin
|
23.7%
|
|
|
32.7%
|
12.3%
|
|
|
21.8%
|
15.3%
|
|
|
23.8%
|
Diluted earnings per
ADS
|
$0.35
|
|
|
$0.47
|
$0.30
|
|
|
$0.50
|
$0.44
|
|
|
$0.63
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended
September 30, 2013
|
|
Nine Months Ended
September 30, 2014
|
|
|
GAAP
|
Adjustment
(a)
|
Adjustment
(b)
|
Non-GAAP
|
|
GAAP
|
Adjustment
(a)
|
Adjustment
(b)
|
Non-GAAP
|
|
|
|
|
|
|
|
|
|
|
Operating
expenses
|
$297,636
|
($45,803)
|
-
|
$251,833
|
|
$609,025
|
($71,118)
|
-
|
$537,907
|
|
|
|
|
|
|
|
|
|
|
Income from
operations
|
$94,182
|
$45,803
|
-
|
$139,985
|
|
$151,426
|
$71,118
|
-
|
$222,544
|
Operating
margin
|
21.0%
|
|
|
31.1%
|
|
15.8%
|
|
|
23.2%
|
|
|
|
|
|
|
|
|
|
|
Net income
attributable to Qihoo 360 Technology Co. Ltd.
|
$83,004
|
$45,803
|
$1,186
|
$129,993
|
|
$145,948
|
$71,118
|
$15,038
|
$232,104
|
Net margin
|
18.5%
|
|
|
28.9%
|
|
15.2%
|
|
|
24.2%
|
Diluted earnings per
ADS
|
$0.66
|
|
|
$1.01
|
|
$1.11
|
|
|
$1.67
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(a): Adjustment to
exclude the share-based compensation expense of each
period.
|
(b): Adjustment to
exclude the interest expense of Convertible Senior Notes of each
period.
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/qihoo-360-reports-third-quarter-2014-unaudited-financial-results-300000416.html
SOURCE Qihoo 360 Technology Co. Ltd.