First Quarter Revenues of RMB 315.1 million
First Quarter GMV of RMB 731.5 million
SHANGHAI, Sept. 15,
2022 /PRNewswire/ -- Boqii Holding Limited
("Boqii" or the "Company") (NYSE: BQ), a leading pet-focused
platform in China, today announced
its unaudited financial results for the first quarter of fiscal
year 2023 (the quarter ended June 30,
2022).
Fiscal Q1 2023 Operational and Financial Highlights
- Total revenues were RMB315.1
million (US$47.0 million),
compared to RMB321.8 million in the
same quarter of fiscal year 2022.
- Operating loss was RMB9.8
million (US$1.5 million),
representing a decrease of 76.4% compared to RMB41.5 million in the same quarter of fiscal
year 2022.
- Net loss was RMB12.4
million (US$1.9 million),
representing a decrease of 66.8% from net loss of RMB37.4 million in the same quarter of fiscal
year 2022.
- Non-GAAP net loss was RMB10.5
million (US$1.6 million),
representing a decrease of 66.7% from non-GAAP net loss of
RMB31.5 million in the same quarter
of fiscal year 2022.
- EBITDA[1] was a loss
of RMB9.0 million (US$1.3 million), representing a decrease of 74.6%
from a loss of RMB35.6 million in the
same quarter of fiscal year 2022.
- Total GMV[2] was
RMB731.5 million (US$109.2 million), compared to RMB792.1 million in the same quarter of fiscal
year 2022.
- Active buyers were 1.8 million, representing an increase
of 11.4% from 1.6 million in the same quarter of fiscal year
2022.
[1]EBITDA refers to net loss
excluding income tax expenses, interest expense, interest income,
depreciation and amortization expenses. EBITDA is a Non-GAAP
financial measurement. Please refer to "Non-GAAP financial
measurement".
|
[2]GMV refers to gross merchandise
volume, which is the total value of confirmed orders placed with us
and sold through distribution model or drop shipping model where we
act as a principal in the transaction regardless of whether the
products are delivered or returned, calculated based on the listed
prices of the ordered products without taking into consideration
any discounts. The total GMV amount (i) includes GMV of products
sold by Xingmu, (ii) excludes products sold through consignment
model and (iii) excludes the value of services offered by us. GMV
is subject to future adjustments (such as refunds) and represents
only one measure of the Company's performance and should not be
relied on as an indicator of our financial results, which depend on
a variety of factors.
|
CEO & CFO Quote
Mr. Hao Liang, Boqii's Founder, Chairman and Chief Executive
Officer commented, We maintained solid growth in the first quarter
of fiscal 2023 despite the ongoing impact of COVID-19. By further
integrating upstream and downstream industry chain resources, we
optimized product categories and adjusted product mix to accelerate
the gross margin growth and user engagement. Gross margin continued
to see strong growth, which increased by 490 basis points to 22.4%
compared to the same period last year. Active buyers rose 11.4% YOY
to 1.8million. We are glad that we were able to deliver encouraging
results and remain optimistic in our future development.
Ms. Yingzhi (Lisa) Tang, Boqii's
Co-Founder, Co-CEO and CFO commented: Supported by our proven
business model,engaging community, and expansive outreaching
channel, we delivered outstanding results under the challenging
circumstances. In this quarter, our non-GAAP net loss narrowed down
to RMB10.5million, representing a
decrease of 66.7% from non-GAAP net loss of RMB31.5 million in the same period last year,
which shows our potential to reach profitability. We are committed
to enhance our value chain position as an end-to-end connector,
while continuously improving profitability, creating values for
both our users and shareholders.
Fiscal Q1 2023 Financial Results
Total revenues were RMB315.1
million (US$47.0 million),
compared to RMB321.8 million in the
same quarter of fiscal year 2022.
Revenues
(in million)
|
|
Three Months Ended
June 30
|
|
%
|
|
2022
|
|
2021
|
|
change
|
|
RMB
|
|
RMB
|
|
YoY
|
Product
sales
|
|
303.2
|
|
311.5
|
|
-2.7 %
|
·
Boqii Mall
|
|
130.1
|
|
108.3
|
|
20.0 %
|
·
Third party e-commerce
platforms
|
|
173.1
|
|
203.2
|
|
-14.8 %
|
Online marketing and
information services and other revenue
|
|
11.9
|
|
10.3
|
|
15.8 %
|
Total
|
|
315.1
|
|
321.8
|
|
-2.1 %
|
Gross profit was RMB 70.7
million (US$10.5 million),
representing an increase of 25.3% from RMB56.4 million in the same quarter of fiscal
year 2022.
Gross margin was 22.4%, representing an increase of 490
basis points from 17.5% in the same quarter of fiscal 2022, which
is primarily due to improvement of gross margin of private label
products and increased proportion of pet supplies and health care
products with higher margins.
Operating expenses were RMB80.6million, representing a decrease of 17.7%
from RMB97.9 million in the same
quarter of fiscal year 2022. Operating expenses as a percentage of
total revenues was 25.6%, down from 30.4% in the same quarter of
fiscal year 2022.
Fulfillment Expenses were RMB37.4
million, compared to RMB32.9
million in the same quarter of fiscal year 2022. Fulfillment
expenses as a percentage of total revenues were 11.8%, compared to
10.2% in the same quarter of fiscal year 2022. The increase was
primarily due to increased shipping and handling expenses, which
resulted from temporary logistics price increases and
transportation restrictions due to the outbreak of Covid-19 in
Shanghai starting from
April 2022.
Sales and marketing expenses were RMB31.7 million, representing a decrease of 30.3%
from RMB45.5 million in the same
quarter of fiscal year 2022. The decrease was primarily due to the
decline of advertising expenses amount to RMB14 million resulting from(i) the lower
expenditure for cost saving; (ii) the increased proportion of
revenue generated from more cost-efficient channels. Sales and
marketing expenses as a percentage of total revenue were 10.1%,
down from 14.1% in the same quarter of fiscal year 2022.
General and administrative expenses were RMB11.5 million, representing a decrease of 41.0%
from RMB19.6 million in the same
quarter of fiscal year 2022. The decrease was primarily due
to:(i) the decline of share-based compensation expense of
RMB6.0 million, resulting form the
cancellation of options corresponding to employee departures; (ii)
the decline of professional fees amount to RMB1.2 million compared with the same quarter of
fiscal year 2022, General and administrative expenses as a
percentage of total revenue were 3.7%, down from 6.1% in the same
quarter of fiscal year 2022.
Operating loss was RMB9.8
million (US$1.5 million),
representing a decrease of 76.4% compared to RMB41.5 million in the same quarter of fiscal
year 2022.
Net loss was RMB12.4
million (US$1.9 million),
representing a decrease of 66.8% compared to net loss of
RMB37.4 million in the same quarter
of fiscal year 2022.
EBITDA was a loss of RMB9.0
million (US$1.3 million),
representing a decrease of 74.6% compared to a loss of RMB35.6 million in the same quarter of fiscal
year 2022.
Non-GAAP net loss was RMB10.5
million (US$1.6 million),
representing a decrease of 66.7% compared to non-GAAP net loss of
RMB31.5 million in the same quarter
of fiscal year 2022.
Diluted net loss per share was RMB0.18 (US$0.03),
compared to diluted net loss per share of RMB0.52 in the same quarter of fiscal year
2022.
Total cash and cash equivalents and short-term
investments were RMB247.4 million
(US$36.9 million), compared to
RMB290.9 million as of March 31, 2022.
Conference Call
Boqii's management will hold a conference call to discuss the
financial results at 8:00 AM on
Thursday September 15, 2022, U.S. Eastern Time (8:00 PM
on Thursday, September 15, 2022,
Beijing/Hong Kong Time).
To join the conference, please dial in 15 minutes before the
conference is scheduled to begin using below numbers.
|
Phone Number
|
International
|
1-412-317-6061
|
United
States
|
1-888-317-6003
|
Hong Kong
|
852 800
963-976
|
Mainland
China
|
86
4001-206115
|
Passcode
|
2677482
|
A replay of the conference call may be accessed by phone at the
following numbers until September 15, 2022.
|
Phone
Number
|
International
|
1-412-317-0088
|
United
States
|
1-877-344-7529
|
Replay Access
Code
|
5007119
|
A live and archived webcast of the conference call will be
available on the Company's investor relations website at
http://ir.boqii.com/.
About Boqii Holding Limited
Boqii Holding Limited (NYSE: BQ) is a leading pet-focused
platform in China. We are the
leading online destination for pet products and supplies in
China with our broad selection of
high-quality products including global leading brands, local
emerging brands, and our own private label, Yoken and Mocare,
offered at competitive prices. Our online sales platforms,
including Boqii Mall and our flagship stores on third-party
e-commerce platforms, provide customers with convenient access to a
wide selection of high-quality pet products and an engaging and
personalized shopping experience. Our Boqii Community provides an
informative and interactive content platform for users to share
their knowledge and love for pets.
Safe Harbor Statement
This press release contains forward-looking statements. These
statements are made under the "safe harbor" provisions of the U.S.
Private Securities Litigation Reform Act of 1995. Statements that
are not historical facts, including statements about the Company's
beliefs and expectations, are forward-looking statements.
Forward-looking statements involve inherent risks and
uncertainties, and a number of factors could cause actual results
to differ materially from those contained in any forward-looking
statement. In some cases, forward-looking statements can be
identified by words or phrases such as "may," "will," "expect,"
"anticipate," "target," "aim," "estimate," "intend," "plan,"
"believe," "potential," "continue," "is/are likely to" or other
similar expressions. The Company may also make written or oral
forward-looking statements in its reports filed with, or furnished
to, the U.S. Securities and Exchange Commission, in its annual
reports 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 the Company's beliefs and
expectations, are forward-looking statements. Forward- looking
statements involve inherent risks and uncertainties. Further
information regarding such risks, uncertainties or factors is
included in the Company's filings with the SEC. All information
provided in this press release is as of the date of this press
release, and the Company does not undertake any duty to update such
information, except as required under applicable law.
Non-GAAP Financial Measures
The Company uses non-GAAP financial measures, namely non-GAAP
net loss, non-GAAP net loss margin, EBITDA and EBITDA margin, in
evaluating its operating results and for financial and operational
decision-making purposes. The Company defines (i) non-GAAP net loss
as net loss excluding fair value change of derivative liabilities
and share-based compensation expenses, (ii) non-GAAP net loss
margin as non-GAAP net loss as a percentage of total revenues,
(iii) EBITDA as net loss excluding income tax expenses, interest
expense, interest income, depreciation and amortization expenses,
(iv) EBITDA margin as EBITDA as a percentage of total revenues. The
Company believes non-GAAP net loss, non-GAAP net loss margin,
EBITDA and EBITDA margin enhance investors' overall understanding
of its financial performance and allow for greater visibility with
respect to key metrics used by its management in its financial and
operational decision-making.
These non-GAAP financial measures are not defined under U.S.
GAAP and are not presented in accordance with U.S. GAAP. As these
non-GAAP financial measures have limitations as analytical tools
and may not be calculated in the same manner by all companies, they
may not be comparable to other similarly titled measures used by
other companies. The Company compensates for these limitations by
reconciling the non-GAAP financial measures to the nearest U.S.
GAAP performance measures, which should be considered when
evaluating the Company's performance. For reconciliation of these
non-GAAP financial measures to the most directly comparable GAAP
financial measures, please see the section of the accompanying
tables titled, "Reconciliation of GAAP and non-GAAP Results." The
Company encourages investors and others to review its financial
information in its entirety and not rely on any single financial
measure.
Exchange Rate
This press release contains translations of certain RMB amounts
into U.S. dollars ("USD") at specified rates solely for the
convenience of the reader. Unless otherwise stated, all
translations from RMB to USD were made at the rate of RMB6.6981 to US$1.00, the noon buying rate in effect on
June 30, 2022 in the H.10 statistical
release of the Federal Reserve Board. The Company makes no
representation that the RMB or USD amounts referred to could be
converted into USD or RMB, as the case may be, at any particular
rate or at all.
For investor and media inquiries, please contact:
In China:
Boqii Holding Limited
Investor Relations
Tel: +86-21-6882-6051
Email: ir@boqii.com
DLK Advisory Limited
Tel: +852-2857-7101
Email: ir@dlkadvisory.com
BOQII HOLDING LIMITED
|
UNAUDITED CONDENSED CONSOLIDATED
BALANCE SHEETS
|
(All amounts in thousands, except for share and per
share data, unless otherwise noted)
|
|
|
|
|
|
|
|
As of
March 31,
2022
|
|
As of
June 30,
2022
|
|
As of
June
30,
2022
|
|
RMB
|
|
RMB
|
|
US$
|
|
|
|
|
|
|
ASSETS
|
|
|
|
|
|
Current
assets:
|
|
|
|
|
|
Cash and cash
equivalents
|
162,855
|
|
128,772
|
|
19,225
|
Short-term
investments
|
128,084
|
|
118,598
|
|
17,706
|
Accounts receivable,
net
|
49,231
|
|
93,183
|
|
13,912
|
Inventories,
net
|
109,921
|
|
128,691
|
|
19,213
|
Prepayments and other
current assets
|
116,738
|
|
110,228
|
|
16,457
|
Amounts due from
related parties
|
11,726
|
|
11,640
|
|
1,738
|
Total current
assets
|
578,555
|
|
591,112
|
|
88,251
|
Non-current
assets:
|
|
|
|
|
|
Property and
equipment, net
|
7,779
|
|
7,138
|
|
1,066
|
Intangible
assets
|
25,544
|
|
24,569
|
|
3,668
|
Operating lease
right-of-use assets
|
38,567
|
|
39,818
|
|
5,945
|
Long-term
investments
|
82,319
|
|
81,863
|
|
12,222
|
Goodwill
|
40,684
|
|
40,684
|
|
6,074
|
Other non-current
asset
|
4,861
|
|
4,177
|
|
624
|
Total non-current
assets
|
199,754
|
|
198,249
|
|
29,599
|
Total
assets
|
778,309
|
|
789,361
|
|
117,850
|
LIABILITIES,
MEZZANINE EQUITY AND SHAREHOLDERS' DEFICIT
|
|
|
|
|
|
Current
liabilities
|
|
|
|
|
|
Short-term
borrowings
|
161,126
|
|
153,456
|
|
22,910
|
Accounts
payable
|
94,224
|
|
108,931
|
|
16,263
|
Salary and welfare
payable
|
6,871
|
|
7,267
|
|
1,085
|
Accrued liabilities
and other current liabilities
|
27,324
|
|
31,195
|
|
4,657
|
Amounts due to related
parties, current
|
219
|
|
142
|
|
21
|
Contract
liabilities
|
7,007
|
|
4,280
|
|
639
|
Operating lease
liabilities, current
|
10,001
|
|
13,322
|
|
1,989
|
Derivative
liabilities
|
9,086
|
|
10,591
|
|
1,581
|
Total current
liabilities
|
315,858
|
|
329,184
|
|
49,145
|
Non-current
liabilities
|
|
|
|
|
|
Deferred tax
liabilities
|
4,847
|
|
4,516
|
|
674
|
Operating lease
liabilities, non-current
|
28,197
|
|
26,678
|
|
3,983
|
Other debts,
non-current
|
181,062
|
|
184,189
|
|
27,499
|
Total non-current
liabilities
|
214,106
|
|
215,383
|
|
32,156
|
Total
liabilities
|
529,964
|
|
544,567
|
|
81,301
|
|
|
|
|
|
|
Mezzanine
equity
|
|
|
|
|
|
Redeemable
non-controlling interests
|
6,522
|
|
6,677
|
|
997
|
Total mezzanine
equity
|
6,522
|
|
6,677
|
|
997
|
Stockholders'
equity:
|
|
|
|
|
|
Class A ordinary
shares (US$0.001 par value; 129,500,000 shares
authorized,
55,709,591 and 55,713,340 shares
issued and outstanding as of March
31 ,2022 and June 30, 2022, respectively)
|
372
|
|
372
|
|
57
|
Class B ordinary
shares (US$0.001 par value; 15,000,000 shares authorized,
13,037,729 shares issued and outstanding as of March
31,2022 and June 30,
2022, respectively)
|
82
|
|
82
|
|
13
|
Additional paid-in
capital
|
3,295,336
|
|
3,295,089
|
|
491,944
|
Statutory
reserves
|
3,433
|
|
3,665
|
|
547
|
Accumulated other
comprehensive loss
|
(46,069)
|
|
(34,649)
|
|
(5,173)
|
Accumulated
deficit
|
(2,889,233)
|
|
(2,902,020)
|
|
(433,260)
|
Receivable for
issuance of ordinary shares
|
(164,746)
|
|
(167,054)
|
|
(24,941)
|
Total Boqii Holding
Limited shareholders' equity
|
199,175
|
|
195,485
|
|
29,187
|
Non-controlling
interests
|
42,648
|
|
42,632
|
|
6,365
|
Total shareholders'
equity
|
241,823
|
|
238,117
|
|
35,552
|
Total liabilities,
mezzanine equity and shareholders' equity
|
778,309
|
|
789,361
|
|
117,850
|
BOQII HOLDING LIMITED
|
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF
COMPREHENSIVE LOSS
|
(All amounts in thousands, except for share and per
share data, unless otherwise noted)
|
|
|
Three Months Ended
June 30,
|
|
2021
|
|
2022
|
|
2022
|
|
RMB
|
|
RMB
|
|
US$
|
|
|
|
|
|
|
Net
revenues:
|
|
|
|
|
|
Product
sales
|
311,493
|
|
303,188
|
|
45,265
|
Online marketing and
information services and other revenue
|
10,353
|
|
11,872
|
|
1,772
|
Total
revenues
|
321,846
|
|
315,060
|
|
47,037
|
Total cost of
revenue
|
(265,465)
|
|
(244,407)
|
|
(36,489)
|
Gross
profit
|
56,381
|
|
70,653
|
|
10,548
|
Operating
expenses:
|
|
|
|
|
|
Fulfillment
expenses
|
(32,887)
|
|
(37,373)
|
|
(5,580)
|
Sales and marketing
expenses
|
(45,485)
|
|
(31,713)
|
|
(4,735)
|
General and
administrative expenses
|
(19,571)
|
|
(11,543)
|
|
(1,723)
|
Other income,
net
|
12
|
|
176
|
|
26
|
Loss from
operations
|
(41,550)
|
|
(9,800)
|
|
(1,464)
|
Interest
income
|
5,187
|
|
2,442
|
|
365
|
Interest
expense
|
(6,062)
|
|
(4,089)
|
|
(610)
|
Other gain/ (losses),
net
|
3,128
|
|
912
|
|
136
|
Fair value change of
derivative liabilities
|
162
|
|
(2,156)
|
|
(322)
|
Loss before income
tax expenses
|
(39,135)
|
|
(12,691)
|
|
(1,895)
|
Income taxes
expenses
|
1,009
|
|
188
|
|
28
|
Share of results of
equity investees
|
766
|
|
87
|
|
13
|
Net
loss
|
(37,360)
|
|
(12,416)
|
|
(1,854)
|
Less: Net income
attributable to the non-controlling interest
shareholders
|
(2,467)
|
|
(16)
|
|
(2)
|
Net loss
attributable to Boqii Holding Limited
|
(34,893)
|
|
(12,400)
|
|
(1,852)
|
Accretion on redeemable
non-controlling interests to
redemption value
|
(140)
|
|
(155)
|
|
(23)
|
Net
loss attributable to Boqii Holding
Limited's ordinary
shareholders
|
(35,033)
|
|
(12,555)
|
|
(1,875)
|
|
|
|
|
|
|
Net loss
|
(37,360)
|
|
(12,416)
|
|
(1,854)
|
Other comprehensive
income/(loss):
|
|
|
|
|
|
Foreign currency
translation adjustment, net of nil tax
|
(8,712)
|
|
15,094
|
|
2,253
|
Unrealized securities
holding loss
|
-
|
|
(249)
|
|
(37)
|
Total comprehensive
loss
|
(46,072)
|
|
2,429
|
|
362
|
Less: Total
comprehensive income attributable to non-
controlling interest shareholders
|
(2,467)
|
|
(16)
|
|
(2)
|
Total comprehensive
loss attributable to Boqii Holding
Limited
|
(43,605)
|
|
2,445
|
|
364
|
|
|
|
|
|
|
Net loss per share
attributable to Boqii Holding Limited's
ordinary shareholders
|
|
|
|
|
|
— basic
|
(0.52)
|
|
(0.18)
|
|
(0.03)
|
— diluted
|
(0.52)
|
|
(0.18)
|
|
(0.03)
|
Weighted average
number of ordinary shares
|
|
|
|
|
|
— basic
|
67,640,952
|
|
68,837,320
|
|
68,837,320
|
— diluted
|
67,640,952
|
|
68,837,320
|
|
68,837,320
|
Boqii Holding Limited
|
Reconciliation of GAAP and Non-GAAP
Results
|
(In thousands)
|
|
|
Three Months Ended
June 30,
|
|
2021
|
|
2022
|
|
RMB
|
|
RMB
|
|
|
|
|
Net loss
|
(37,360)
|
|
(12,416)
|
Fair value change of
derivative liabilities
|
(162)
|
|
2,156
|
Share-based
compensation
|
5,986
|
|
(250)
|
Non-GAAP net
loss
|
(31,536)
|
|
(10,510)
|
Non-GAAP net loss
Margin
|
(9.8 %)
|
|
(3.3 %)
|
|
|
|
|
|
|
|
|
|
Three Months Ended
June 30,
|
|
2021
|
|
2022
|
|
RMB
|
|
RMB
|
|
|
|
|
Net loss
|
(37,360)
|
|
(12,416)
|
Income tax
expenses
|
(1,009)
|
|
(188)
|
Interest
expenses
|
6,062
|
|
4,089
|
Interest
income
|
(5,187)
|
|
(2,442)
|
Depreciation and
amortization
|
1,928
|
|
1,922
|
EBITDA
|
(35,566)
|
|
(9,035)
|
EBITDA
Margin
|
(11.1 %)
|
|
(2.9 %)
|
Notes for all the
condensed consolidated financial schedules presented:
|
Note 1: The conversion
of Renminbi (RMB) into U.S. dollars (USD) is based on the certified
exchange rate of USD1.00=RMB6.6981 on 30 June,
2022 published by the Federal Reserve Board.
|
View original
content:https://www.prnewswire.com/news-releases/boqii-announces-fiscal-2023-first-quarter-unaudited-financial-results-301625123.html
SOURCE Boqii Holding Limited