DUBAI, UAE, March 15, 2021
/PRNewswire/ -- Yalla Group Limited ("Yalla" or the "Company")
(NYSE: YALA), the leading voice-centric social networking and
entertainment platform in the Middle
East and North Africa
(MENA), today announced its unaudited financial results for the
fourth quarter and full year ended December
31, 2020.
Fourth Quarter Ended December
31, 2020 Financial and Operating Highlights
- Revenues were US$48.3
million in the fourth quarter of 2020, representing an
increase of 150.9% from the fourth quarter of 2019.
- Revenues generated from chatting
services in the fourth quarter of 2020 were US$42.6 million.
- Revenues generated from games services in the fourth quarter of
2020 were US$5.7 million.
- Net income was US$9.0
million in the fourth quarter and net margin was 18.6%.
- Non-GAAP Net income[1] was US$23.3 million in the fourth quarter,
representing an increase of 181.6% from the fourth quarter of 2019.
Non-GAAP net margin was 48.3% in the fourth quarter of 2020.
- Average MAUs[2] increased by
295.4% to 16.4 million in the fourth quarter from 4.2 million in
the fourth quarter of 2019.
- The number of paying
users[3] on our platform increased by
624.2% to 5.2 million in the fourth quarter of 2020 from 0.7
million in the fourth quarter of 2019.
Full Year 2020 Highlights
- Revenues were US$134.9
million in 2020, representing an increase of 112.6% from
2019.
- Revenues generated from chatting
services were US$123.0 million.
- Revenues generated from games services were US$11.9 million.
- Net income was US$3.2
million in 2020 and net margin was 2.4%.
- Non-GAAP Net
income[4] was
US$64.0 million in 2020, representing
an increase of 121.3% from 2019. Non-GAAP net margin was 47.5% in
2020.
[1]
Non-GAAP net income represents net income (loss) before share-based
compensation. Non-GAAP net income is a non-GAAP financial
measure. See the sections entitled "Non-GAAP Financial
Measures" and "Reconciliations of Non-GAAP Measures to the Nearest
Comparable GAAP Measures" for more information about the non-GAAP
measures referred to in this results announcement.
|
[2] "Average MAUs" refers to the
average monthly active users in a given period calculated by
dividing (i) the sum of active users for each month of such period,
by (ii) the number of months in such period. "Active users" refers
to registered users who accessed any of our mobile applications at
least once during a given period.
|
[3] "Paying users" refers to
registered users who purchased our virtual items or upgrade
services using virtual currencies on our platform at least once in
a given period, except for users who receive all of their virtual
currencies directly or indirectly from us for free. "Registered
users" refers to users who have registered accounts on our platform
as of a given time; a registered user is not necessarily a unique
user, however, as an individual may register multiple accounts on
our platform, and consequently, the number of registered users we
present in this prospectus may not equal the number of unique users
who have registered on our platform as of a given time.
|
[4]
Non-GAAP net income represents net income (loss) before share-based
compensation. Non-GAAP net income is a non-GAAP financial measure.
See the sections entitled "Non-GAAP Financial Measures" and
"Reconciliations of Non-GAAP Measures to the Nearest Comparable
GAAP Measures" for more information about the non-GAAP measures
referred to in this results announcement.
|
Key Operating
Data
|
For the three
months ended
|
|
December 31,
2019
|
|
December 31,
2020
|
|
|
|
|
Average MAUs
(in thousands)
|
4,151
|
|
16,413
|
Yalla
|
3,286
|
|
6,401
|
Yalla Ludo
|
865
|
|
10,012
|
|
|
|
|
Paying users
(in thousands)
|
723
|
|
5,236
|
Yalla
|
549
|
|
1,103
|
Yalla Ludo
|
174
|
|
4,133
|
|
|
|
|
"2020 concluded with an outstanding fourth quarter, as expansion
of our user community and advancement of our monetization
capabilities thrusted growth momentum even further, across the
board," said Mr.Yang Tao, Founder,
Chairman and Chief Executive Officer of Yalla. "Driven by the
better-than-expected performance from our chatting services, we are
pleased to report a sequential quarterly revenue increase of 42.9%,
reaching US$48.3 million in the
fourth quarter and exceeding the upper end of our guidance
range.
"With the successful IPO event in Dubai generating extensive brand awareness in
the Middle East and North Africa region, our highly experienced
marketing team maximized this exposure by continually running
innovative and deeply resonating campaigns, specifically tailored
to the local culture. With these efforts, our MAUs increased 15.0%
versus the previous quarter, reaching 16.4 million. In addition,
paying users increased to 5.2 million and our user base
monetization capability advanced in the quarter, demonstrated by
rapid sequential ARPPU growth of 38.5% to reach US$9.2. As we continue ahead in 2021 with the
goal of building the most popular destination for online social
networking and entertainment in MENA, we are focused on three key
priority areas: growing our Yalla community and cultivating a
friendly and engaging environment, providing users with a quality
and localized product experience, and diversifying our platform's
product portfolio to create brand extension and deeper loyalty,"
concluded Mr.Yang.
"Our leadership position as a voice-centric social networking
and entertainment platform in MENA is clearly being demonstrated by
our robust top-line and bottom-line growth that continued in the
quarter," said Ms. Karen Hu, Chief
Financial Officer of Yalla. "Our fourth quarter revenues grew
150.9% year-over-year to US$48.3
million while our non-GAAP net income reached US$23.3 million with growth of 181.6%. Our
non-GAAP net margin remained healthy at 48.3%, reflecting our
unique monetization strategy, market positioning and strong
operating efficiency. With 2021 well underway, we are very
confident we can deliver another year of sturdy growth and
profitability as we continue to execute on our strategic
roadmap."
Fourth Quarter 2020 Financial Results
Revenues
Our revenues were US$48.3 million
in the fourth quarter of 2020, a 150.9% increase from US$19.3 million in the fourth quarter of 2019.
The increase was primarily driven by the widening of Yalla's and
Yalla Ludo's user base and the robust enhancement in Yalla Ludo's
monetization capability. Our average MAUs increased by 295.4% from
4.2 million in the fourth quarter of 2019 to 16.4 million in the
fourth quarter of 2020. Another primary contributor to our solid
revenues growth was the significant growth in the number of paying
users, which increased from 723 thousand in the fourth quarter of
2019 to 5.2 million in the fourth quarter of 2020.
In the fourth quarter of 2020, our revenues generated from
chatting services were US$42.6
million and our revenues generated from the games services
were US$5.7 million.
Costs and expenses
Our total costs and expenses were US$39.0
million in the fourth quarter of 2020, compared with
US$10.9 million in the fourth quarter
of 2019. The increase was primarily due to the recognition of
share-based compensation expenses.
Our cost of revenues was US$18.4
million in the fourth quarter of 2020, compared with
US$5.8 million in the fourth quarter
of 2019.The increase was mainly driven by (i) share-based
compensation expenses of US$2.2
million recognized for the fourth quarter of 2020, and (ii)
other components of cost of revenues of US$16.2 million for the fourth quarter of 2020, a
177.8% increase from US$5.8 million
for the fourth quarter of 2019, which was in line with our revenue
growth and primarily due to our expanding business scale. Other
components of cost of revenues as a percentage of our total
revenues increased from 30.3% in the fourth quarter of 2019 to
33.6% in the same period in 2020, primarily due to (i) an increase
in salaries and benefits for our staff related to the operations,
which was in turn driven by an expansion of our staff related to
the operations due to the increasing user base of our products, and
(ii) an increase in commission fee for third-party payment
platforms.
Our selling and marketing expenses were US$7.6 million in the fourth quarter of 2020,
compared with US$3.1 million in the
same period last year. The increase was mainly driven by (i)
share-based compensation expenses of US$3.2
million recognized for the fourth quarter of 2020, and (ii)
other components of selling and marketing expenses of US$4.4 million for the fourth quarter of 2020, a
43.9% increase from US$3.1 million
for the same quarter last year, which was primarily due to higher
advertising and market promotion expenses as a result of our
continued user acquisition efforts. Other components of selling and
marketing expenses as a percentage of our total revenues decreased
from 16.0% in the fourth quarter of 2019 to 9.2% in the same period
in 2020, primarily due to organic user acquisition through
word-of-mouth referrals and economies of scale.
Our general and administrative expenses were US$11.3 million in the fourth quarter of 2020,
compared with US$1.6 million in the
same period last year. The increase was mainly driven by (i)
share-based compensation expenses of US$8.8
million recognized for the fourth quarter of 2020, and (ii)
other components of general and administrative expenses of
US$2.6 million for the fourth quarter
of 2020, a 66.6% increase from US$1.6
million for the same quarter last year, which was primarily
due to an increase in salaries and other benefits for our general
and administrative staff, which was in turn driven by an expansion
of our general and administrative staff. Other components of
general and administrative expenses as a percentage of our total
revenues decreased from 8.1% in the fourth quarter of 2019 to 5.4%
in the fourth quarter of 2020 due to economies of scale.
Our technology and product development expenses were
US$1.6 million in the fourth quarter
of 2020, compared with US$0.4 million
in the same period last year. The increase was mainly driven by (i)
share-based compensation expenses of US$0.2
million recognized for the fourth quarter of 2020, and (ii)
other components of technology and product development expenses of
US$1.4 million for the fourth quarter
of 2020, a 223.0% increase from US$0.4
million for the same quarter last year, which was primarily
due to an increase in salaries and benefits for our technology and
product development staff, which was in turn driven by an expansion
of our technology and product development staff due to our
increased investment in new products and services. As a result of
these reasons, other components of technology and product
development expenses as a percentage of our total revenues also
increased from 2.3% in the fourth quarter of 2019 to 2.9% in the
same period of 2020.
Operating income
Operating income was
US$9.3 million in the fourth quarter
of 2020, compared with an operating income of US$8.3 million in the fourth quarter of 2019.
Non-GAAP Operating income
Non-GAAP operating income (which
exclude share-based compensation expenses) for the fourth quarter
of 2020 was US$23.7 million, a 183.4%
increase from US$8.3 million for the
same quarter last year.
Income tax expense
Our income tax expense was US$0.33
million in the fourth quarter of 2020, compared with
US$0.13 million in the fourth quarter
of 2019.
Net income
As a result of the foregoing, our net income was US$9.0 million in the fourth quarter of 2020,
compared with net income of US$8.3
million in the fourth quarter of 2019.
Non-GAAP Net income
Non-GAAP net income (which
exclude share-based compensation expenses) for the fourth quarter
of 2020 was US$23.3 million, a 181.6%
increase from US$8.3 million for the
same quarter last year.
Net Income Per Share
Basic and diluted net income per
ordinary share were US$0.06 for the
fourth quarter of 2020, while basic and diluted net income per
ordinary share was US$0.06 in the same period of 2019.
Non-GAAP basic and diluted net income per ordinary
share (which exclude share-based compensation expenses)
were US$0.16 and US$0.15 respectively, compared
to US$0.06 in the same period of 2019.
Cash and cash equivalents
As of December 31, 2020, we had
cash and cash equivalents of US$236.9
million, as compared to cash and cash equivalents of
US$75.7 million as of September 30, 2020.
Full Year 2020 Financial Results
Revenues
Our revenues were US$134.9 million
in 2020, a 112.6% increase from US$63.5
million in 2019. The increase was primarily driven by the
widening of Yalla's and Yalla Ludo's user base and the robust
enhancement in Yalla Ludo's monetization capability.
Our revenues generated from chatting services were US$123.0 million in 2020, and our revenues
generated from the games services were US$11.9 million in 2020.
Costs and expenses
Our total costs and expenses were US$131.2 million in 2020, compared with
US$34.5 million in last year. The
increase was primarily due to the recognition of share-based
compensation expenses upon the listing of our ADSs on the New York
Stock Exchange.
Our cost of revenues was US$61.3
million in 2020, compared with US$20.6 million in last year. The increase was
mainly driven by (i) share-based compensation expenses of
US$16.3 million recognized for 2020,
and (ii) other components of cost of revenues of US$45.0 million for 2020, a 119.0% increase from
US$20.5 million for 2019, which was
in line with our revenue growth and primarily due to our expanding
business scale. Other components of cost of revenues as a
percentage of our total revenues slightly increased from 32.4% in
2019 to 33.4% in 2020, primarily due to an increase in commission
fee for third-party payment platforms.
Our selling and marketing expenses were US$21.7 million in 2020, compared with
US$8.3 million in 2019. The increase
was mainly driven by (i) share-based compensation expenses of
US$7.7 million recognized for 2020,
and (ii) other components of selling and marketing expenses of
US$14.0 million for 2020, a 70.1%
increase from US$8.3 million for 2019
that was primarily due to higher advertising and market promotion
expenses as a result of our continued user acquisition efforts.
Other components of selling and marketing expenses as a percentage
of our total revenues decreased from 13.0% in 2019 to 10.4% in
2020, primarily due to (i) free promotion from Apple's and Google's
app stores as a result of the high quality and localization of our
products, and (ii) our increasing brand awareness and brand loyalty
across the region.
Our general and administrative expenses were US$43.0 million in 2020, compared with
US$4.1 million in 2019. The increase
was mainly driven by (i) share-based compensation expenses of
US$35.9 million recognized for 2020,
and (ii) other components of general and administrative expenses of
US$7.1 million for 2020, a 72.6%
increase from US$4.1 million for
2019. The increase for other components of general and
administrative expenses was primarily due to (i) an increase in
salaries and other benefits for our general and administrative
staff, which was in turn driven by an expansion of our general and
administrative staff, and (ii) an increase in IPO listing expenses.
Other components of general and administrative expenses as a
percentage of our total revenues decreased from 6.5% in 2019 to
5.3% in 2020 due to economies of scale.
Our technology and product development expenses were
US$5.2 million in 2020, compared with
US$1.6 million in 2019. The increase
was mainly driven by (i) share-based compensation expenses of
US$1.0 million recognized in 2020,
and (ii) other components of technology and product development
expenses of US$4.2 million for 2020,
a 163.2% increase from US$1.6million
for 2019, primarily due to an increase in salaries and benefits for
our technology and product development staff, which was in turn
driven by an expansion of our technology and product development
staff due to our increased investment in developing new products
and services. As a result of these reasons, other components of
technology and product development expenses as a percentage of our
total revenues also increased from 2.5% in 2019 to 3.1% in
2020.
Operating income
Operating income was US$3.8
million in 2020, compared with an operating income of
US$29.0 million in 2019.
Non-GAAP Operating income
Non-GAAP operating income (which exclude share-based
compensation expenses) for 2020 was US$64.6
million, a 123.1% increase from US$28.9 million for 2019.
Income tax expense
Our income tax expense was US$0.86
million in 2020, compared with US$0.44 million in 2019.
Net income
Our net income was US$3.2 million
in 2020, compared with net income of US$28.9
million in 2019.
Non-GAAP Net income
Non-GAAP net income (which
exclude share-based compensation expenses) for 2020 was
US$64.0 million, a 121.3% increase
from US$28.9 million for the 2019.
Net Loss and Income Per Share
Basic and diluted net loss per
ordinary share were US$0.02 for 2020,
while basic and diluted net income per ordinary share
was US$0.22 in 2019. Non-GAAP basic and diluted net income per
ordinary share (which exclude share-based compensation
expenses) were US$0.64 and
US$0.57 respectively, compared
to US$0.22 in 2019.
Outlook
For the first quarter of 2021, the management of the Company
currently expects revenues to be between US$60.0 million and US$63.0 million, which would represent an
increase of approximately 184.7% to 198.9% from US$21.1
million for the first quarter of 2020.
The above outlook is based on the current market conditions and
reflects the Company management's current and preliminary estimates
of market and operating conditions and customer demand, which are
all subject to change.
Conference Call
The Company's management will host an earnings conference call
on Monday, March 15, 2021 at
8:00 A.M. U.S. Eastern Time or
8:00 P.M. Beijing/Hong
Kong time on the same day.
Dial-in details for the earnings conference call are as
follows:
United States Toll
Free:
|
+1-888-317-6003
|
International:
|
+1-412-317-6061
|
Mainland China Toll
Free:
|
400-120-6115
|
Hong Kong Toll
Free:
|
800-963-976
|
Access
Code:
|
2117306
|
Additionally, a live and archived webcast of the conference call
will be available on the Company's investor relations website at
http://ir.yallatech.ae/.
A replay of the conference call will be accessible until
March 22, 2021, by dialing the
following telephone numbers:
United States Toll
Free:
|
+1-877-344-7529
|
International:
|
+1-412-317-0088
|
Access
Code:
|
10152895
|
Non-GAAP Financial Measures
To supplement the financial measures prepared in accordance with
generally accepted accounting principles in the United States, or GAAP, this press release
presents non-GAAP financial measures, such as non-GAAP operating
income, non-GAAP net income and non-GAAP basic and diluted net
income per ordinary share, as supplemental measures to review and
assess the Company's operating performance. The presentation of the
non-GAAP financial measures is not intended to be considered in
isolation or as a substitute for the financial information prepared
and presented in accordance with U.S. GAAP. We define non-GAAP
operating income as operating income excluding share-based
compensation. We define non-GAAP net income as net income (loss)
excluding share-based compensation. We define non-GAAP net income
attributable to ordinary shareholders as net income (loss)
attributable to ordinary shareholders excluding share-based
compensation. We define non-GAAP net income (loss) per ordinary
share as non-GAAP net income (loss) attributable to ordinary
shareholders of Yalla Group Limited, using the two-class method,
divided by weighted average number of basic and diluted share
outstanding. We define non-GAAP basic and diluted net income (loss)
per ADS as non-GAAP basic and diluted net income (loss) per
ordinary share as one ADS represent one ordinary share.
By excluding the impact of share-based compensation expenses,
the Company believes that the non-GAAP financial measures help
identify underlying trends in its business and enhance the overall
understanding of the Company's past performance and future
prospects. The Company also believes that the non-GAAP financial
measures allow for greater visibility with respect to key metrics
used by the Company's management in its financial and operational
decision-making.
The non-GAAP financial measure is not defined under U.S. GAAP
and are not presented in accordance with U.S. GAAP. The non-GAAP
financial measure has limitations as analytical tools. One of the
key limitations of using the non-GAAP financial measures is that
they do not reflect all items of income and expense that affect the
Company's operations. Share-based compensation has been and may
continue to be incurred in the Company's business and is not
reflected in the presentation of non-GAAP financial measures.
Further, the non-GAAP financial measure may differ from the
non-GAAP information used by other companies, including peer
companies, and therefore their comparability may be limited.
The Company compensate for these limitations by reconciling the
non-GAAP financial measure to the nearest U.S. GAAP performance
measure, all of which should be considered when evaluating its
performance. The Company encourages investors and others to review
its financial information in its entirety and not rely on a single
financial measure.
Reconciliation of each of these non-GAAP financial measures to
the most directly comparable GAAP financial measure is set forth at
the end of this release.
About Yalla Group Limited
Yalla Group Limited is the leading voice-centric social
networking and entertainment platform in the Middle East and Northern Africa (MENA). The Company's flagship
mobile application, Yalla, is specifically tailored for the people
and local cultures of the region and primarily features Yalla
rooms, a mirrored online version of the majlis or cafés where
people spend their leisure time in casual chats. Voice chats are
more suitable to the cultural norms in MENA compared to video
chats. The Company strives to maintain users' equal status on its
platform, thereby encouraging all of them to freely communicate and
interact with each other. The Company also operates Yalla Ludo, a
mobile application featuring online versions of board games that
are highly popular in MENA, such as Ludo and Domino. In-game
real-time chats and Ludo chat room functions are popular social
networking features among users. Through close attention to detail
and localized appeal that deeply resonates with users, Yalla's
mobile applications deliver a seamless user experience that fosters
a loyal sense of belonging, creating a highly devoted and engaged
user community.
For more information, please visit: http://ir.yallatech.ae/
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. Statements that are not historical facts,
including statements about Yalla Group Limited's beliefs, plans,
and expectations, are forward-looking statements. Forward-looking
statements involve inherent risks and uncertainties. Further
information regarding these and other risks is included in Yalla
Group Limited's filings with the SEC. All information provided in
this press release is as of the date of this press release, and
Yalla Group Limited does not undertake any obligation to update any
forward-looking statement, except as required under applicable
law.
For investor and media inquiries, please contact:
Yalla Group Limited
Investor Relations
Yuwei Gao - IR Director
Tel: +86-571-8980-7962
Email: ir@yallatech.ae
The Piacente Group, Inc.
Yang Song
Tel: +86-10-6508-0677
Email: yalla@tpg-ir.com
In the United States:
The Piacente Group, Inc.
Brandi Piacente
Tel: +1-212-481-2050
Email: yalla@tpg-ir.com
YALLA GROUP
LIMITED
|
UNAUDITED
CONDENSED CONSOLIDATED BALANCE SHEETS
|
|
|
|
As
of
|
|
|
December 31,
2019
|
December 31,
2020
|
|
|
US$
|
US$
|
ASSETS
|
|
|
|
Current
assets
|
|
|
|
Cash and cash
equivalents
|
|
45,302,622
|
236,883,282
|
Term
deposits
|
|
2,722,941
|
-
|
Short-term
investments
|
|
1,506,985
|
766,295
|
Prepayments and other
current assets
|
|
3,930,306
|
15,725,424
|
Total current
assets
|
|
53,462,854
|
253,375,001
|
Non‑current assets
|
|
|
|
Property and
equipment, net
|
|
453,923
|
1,241,756
|
Other
assets
|
|
200,000
|
-
|
Total
assets
|
|
54,116,777
|
254,616,757
|
LIABILITIES
|
|
|
|
Current
liabilities
|
|
|
|
Accounts
payable
|
|
724,487
|
1,573,784
|
Deferred
revenue
|
|
6,010,874
|
13,359,827
|
Accrued expenses and
other current
liabilities
|
|
1,576,530
|
6,148,486
|
Total current
liabilities
|
|
8,311,891
|
21,082,097
|
Total
liabilities
|
|
8,311,891
|
21,082,097
|
YALLA GROUP
LIMITED
|
UNAUDITED
CONDENSED CONSOLIDATED BALANCE SHEETS
(CONTINUED)
|
|
|
|
As
of
|
|
|
December 31,
2019
|
December 31,
2020
|
|
|
US$
|
US$
|
|
|
|
|
MEZZANINE
EQUITY
|
|
|
|
Series Angel
Redeemable Convertible Preferred Shares
|
|
263,608
|
-
|
Series Pre-A
Redeemable Convertible Preferred Shares
|
|
3,570,201
|
-
|
Series A Redeemable
Convertible Preferred Shares
|
|
22,068,901
|
-
|
Total mezzanine
equity
|
|
25,902,710
|
-
|
SHAREHOLDERS'
EQUITY
|
|
|
|
Ordinary
Shares
|
|
7,339
|
-
|
Subscriptions
receivable
|
|
(7,339)
|
-
|
Class A Ordinary
shares
|
|
-
|
11,920
|
Class B Ordinary
shares
|
|
-
|
2,473
|
Additional paid-in
capital
|
|
-
|
220,623,005
|
Accumulated other
comprehensive income
|
|
5,218
|
373,989
|
Retained
earnings
|
|
19,896,958
|
12,523,273
|
Total
shareholders' equity
|
|
19,902,176
|
233,534,660
|
Total liabilities,
mezzanine equity and shareholders'
equity
|
|
54,116,777
|
254,616,757
|
YALLA GROUP
LIMITED
|
UNAUDITED
CONDENSED CONSOLIDATED STATEMENTS OF
OPERATIONS
|
|
|
|
Three Months
Ended
|
|
Year
Ended
|
|
|
December
31, 2019
|
September,
30
2020
|
December
31, 2020
|
|
December
31, 2019
|
December
31, 2020
|
|
|
US$
|
US$
|
US$
|
|
US$
|
US$
|
Revenues
|
|
19,271,374
|
33,826,313
|
48,343,470
|
|
63,464,574
|
134,927,410
|
Costs and
expenses
|
|
|
|
|
|
|
|
Cost of
revenues
|
|
(5,842,647)
|
(25,608,476)
|
(18,429,067)
|
|
(20,553,319)
|
(61,270,887)
|
Selling and marketing
expenses
|
|
(3,080,448)
|
(8,533,096)
|
(7,621,296)
|
|
(8,250,130)
|
(21,701,852)
|
General and
administrative expenses
|
|
(1,559,652)
|
(28,891,880)
|
(11,349,102)
|
|
(4,120,693)
|
(42,974,825)
|
Technology and
product development
expenses
|
|
(440,403)
|
(1,698,495)
|
(1,634,465)
|
|
(1,597,658)
|
(5,221,124)
|
Total costs and
expenses
|
|
(10,923,150)
|
(64,731,947)
|
(39,033,930)
|
|
(34,521,800)
|
(131,168,688)
|
Operating income
(loss)
|
|
8,348,224
|
(30,905,634)
|
9,309,540
|
|
28,942,774
|
3,758,722
|
Interest
income
|
|
65,420
|
22,199
|
13,343
|
|
390,227
|
202,474
|
Government
grant
|
|
-
|
8,325
|
5,627
|
|
-
|
99,277
|
Investment
income
|
|
8,783
|
3,946
|
1,947
|
|
27,568
|
13,994
|
Income (loss)
before income taxes
|
|
8,422,427
|
(30,871,164)
|
9,330,457
|
|
29,360,569
|
4,074,467
|
Income tax
expense
|
|
(133,139)
|
(109,112)
|
(331,427)
|
|
(435,766)
|
(861,081)
|
Net income
(loss)
|
|
8,289,288
|
(30,980,276)
|
8,999,030
|
|
28,924,803
|
3,213,386
|
Accretion of
redeemable
convertible preferred shares
|
|
(505,812)
|
(541,568)
|
-
|
|
(1,940,252)
|
(1,577,026)
|
Dividends distributed
to
redeemable convertible
preferred shareholders
|
|
-
|
-
|
-
|
|
-
|
(3,704,083)
|
Net income (loss)
attributable to
ordinary shareholders
|
|
7,783,476
|
(31,521,844)
|
8,999,030
|
|
26,984,551
|
(2,067,723)
|
YALLA GROUP
LIMITED
|
UNAUDITED
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(CONTINUED)
|
|
|
|
Three Months
Ended
|
|
Year
Ended
|
|
|
December
31, 2019
|
September,
30
2020
|
December
31, 2020
|
|
December
31, 2019
|
December
31, 2020
|
|
|
US$
|
US$
|
US$
|
|
US$
|
US$
|
Net income
(loss) per ordinary
share
|
|
|
|
|
|
|
|
——Basic
|
|
0.06
|
(0.43)
|
0.06
|
|
0.22
|
(0.02)
|
——Diluted
|
|
0.06
|
(0.43)
|
0.06
|
|
0.22
|
(0.02)
|
|
|
|
|
|
|
|
|
Net income
(loss) per ADS*
|
|
|
|
|
|
|
|
——Basic
|
|
0.06
|
(0.43)
|
0.06
|
|
0.22
|
(0.02)
|
——Diluted
|
|
0.06
|
(0.43)
|
0.06
|
|
0.22
|
(0.02)
|
|
|
|
|
|
|
|
|
Weighted average
number of
ordinary shares and ordinary
shares equivalents outstanding
used in computing earnings per
ordinary share
|
|
|
|
|
|
|
|
——Basic
|
|
73,393,941
|
74,153,030
|
144,267,234
|
|
73,393,941
|
91,755,810
|
——Diluted
|
|
73,393,941
|
74,153,030
|
157,062,018
|
|
73,393,941
|
91,755,810
|
|
* Each ADS represents
one Class A ordinary share.
|
Share-based
compensation was allocated in cost of revenues, selling and
marketing expenses, general and administrative
expenses and
technology and product development expenses as
follows:
|
|
|
Three Months
Ended
|
|
Year
Ended
|
|
|
December
31, 2019
|
September,
30
2020
|
December
31, 2020
|
|
December
31, 2019
|
December
31, 2020
|
|
|
US$
|
US$
|
US$
|
|
US$
|
US$
|
|
|
|
|
|
|
|
|
Cost of
revenues
|
|
-
|
14,058,822
|
2,196,453
|
|
-
|
16,255,275
|
Selling and marketing
expenses
|
|
-
|
4,484,516
|
3,187,921
|
|
-
|
7,672,437
|
General and
administrative expenses
|
|
-
|
27,111,157
|
8,750,756
|
|
-
|
35,861,913
|
Technology and
product development
expenses
|
|
-
|
803,977
|
211,881
|
|
-
|
1,015,858
|
|
|
|
|
|
|
|
|
YALLA GROUP
LIMITED
|
RECONCILIATIONS OF
NON-GAAP MEASURES
|
TO THE NEAREST
COMPARABLE GAAP MEASURES
|
|
|
|
Three Months
Ended
|
|
Year
Ended
|
|
|
December
31, 2019
|
September,
30
2020
|
December
31, 2020
|
|
December 31,
2019
|
December 31,
2020
|
|
|
US$
|
US$
|
US$
|
|
US$
|
US$
|
|
|
|
|
|
|
|
|
Operating income
(loss)
|
|
8,348,224
|
(30,905,634)
|
9,309,540
|
|
28,942,774
|
3,758,722
|
Share-based
compensation expenses
|
|
-
|
46,458,472
|
14,347,011
|
|
-
|
60,805,483
|
Non-GAAP operating
income
|
|
8,348,224
|
15,552,838
|
23,656,551
|
|
28,942,774
|
64,564,205
|
|
|
|
|
|
|
|
|
Net income
(loss)
|
|
8,289,288
|
(30,980,276)
|
8,999,030
|
|
28,924,803
|
3,213,386
|
Share-based
compensation expenses
|
|
-
|
46,458,472
|
14,347,011
|
|
-
|
60,805,483
|
Non-GAAP
Net income
|
|
8,289,288
|
15,478,196
|
23,346,041
|
|
28,924,803
|
64,018,869
|
|
|
|
|
|
|
|
|
Net income (loss)
attributable to
ordinary shareholders
|
|
7,783,476
|
(31,521,844)
|
8,999,030
|
|
26,984,551
|
(2,067,723)
|
Share-based
compensation expenses
|
|
-
|
46,458,472
|
14,347,011
|
|
-
|
60,805,483
|
Non-GAAP
Net income attributable
to ordinary shareholders
|
|
7,783,476
|
14,936,628
|
23,346,041
|
|
26,984,551
|
58,737,760
|
|
|
|
|
|
|
|
|
Non-GAAP Net
income per ordinary
share
|
|
|
|
|
|
|
|
——Basic
|
|
0.06
|
0.20
|
0.16
|
|
0.22
|
0.64
|
——Diluted
|
|
0.06
|
0.20
|
0.15
|
|
0.22
|
0.57
|
|
|
|
|
|
|
|
|
Non-GAAP Net
income per ADS
|
|
|
|
|
|
|
|
——Basic
|
|
0.06
|
0.20
|
0.16
|
|
0.22
|
0.64
|
——Diluted
|
|
0.06
|
0.20
|
0.15
|
|
0.22
|
0.57
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
number of
ordinary shares and ordinary shares
equivalents outstanding used in
computing earnings per ordinary
share
|
|
|
|
|
|
|
|
——Basic
|
|
73,393,941
|
74,153,030
|
144,267,234
|
|
73,393,941
|
91,755,810
|
——Diluted
|
|
73,393,941
|
74,153,030
|
157,062,018
|
|
73,393,941
|
102,806,360
|
View original
content:http://www.prnewswire.com/news-releases/yalla-group-limited-announces-unaudited-fourth-quarter-and-full-year-2020-financial-results-301247172.html
SOURCE Yalla Group Limited