BEIJING, March 15, 2021 /PRNewswire/ -- Phoenix New
Media Limited (NYSE: FENG) ("Phoenix New Media", "ifeng" or the
"Company"), a leading new media company in China, today announced its unaudited financial
results for the fourth quarter and fiscal year ended December 31, 2020.
Mr. Shuang Liu, CEO of Phoenix
New Media, commented, "We delivered encouraging results in the
fourth quarter while remaining committed to the sustained growth
and evolution of our business. Despite the industry-wide challenges
caused by COVID-19, we continued to bolster our news leadership
during the quarter and distinctively combined our editorial
expertise and cutting-edge AI algorithms to provide our users with
a consistent supply of up-to-date coverage. Meanwhile, we also
organized several high-profile offline events in the period to
further enhance our brand influence and multifaceted value
propositions for advertisers and users. For our flagship news app,
iFeng, we continued to fuel the development of a more video-focused
content ecosystem through a number of initiatives. Going forward,
this should help us to garner more PUGC creation, expand the depth
and breadth of our short-form video offerings, and stimulate the
social nature of iFeng's community to further boost user
interactions and engagement on the platform."
Mr. Liu continued, "Beyond improving our core business lines, we
also continued to focus on the cultivation of our new product
development capabilities. During the quarter, for example, we
leveraged our leadership in content production to launch our online
e-commerce brand Phoenix Premium Products for our established
massive user base. Going forward, we will continue to focus on the
development of our content ecosystem, optimization of our current
product offerings, and exploration of new business growth drivers.
By advancing our competitive advantages in these key strategic
areas, we will also improve our ability to capitalize on those new
opportunities which may emerge as the economy continues to recover
and people return to their normal ways of life."
Mr. Edward Lu, CFO of Phoenix New
Media, further stated, "Our total revenues reached RMB362.2 million in the fourth quarter of 2020,
which was in line with our previous guidance. More importantly, due
to our strict cost control measures, we achieved a 33.7%
year-over-year reduction in total operating expenses during the
quarter. Meanwhile, we plan to continue focusing on new business
models in the market while also actively exploring the development
of and investment in new products to capture additional growth
opportunities. We expect the combination of our growing brand
influence and deep insights into new product categories will help
us not only navigate the current macro uncertainties, but also
seize more business opportunities with strong potential in
2021."
Fourth Quarter 2020 Financial Results
As disclosed in the second quarter 2020 unaudited financial
results announcement made on August 17,
2020, the Company sold all of its investment in Beijing
Yitian Xindong Network Technology Co., Ltd. ("Yitian Xindong" or
"Tadu") in the second quarter of 2020 and the disposal of Tadu was
qualified for reporting as a "discontinued operation" in the
Company's financial statements. Accordingly, Tadu's results of
operations have been excluded from the Company's results from
continuing operations in the condensed consolidated statements of
comprehensive income/(loss) and are presented in separate line
items as discontinued operations for all prior periods. The related
assets and liabilities associated with the discontinued operations
in the prior year consolidated balance sheets were classified as
assets/liabilities held for sale to provide the comparable
financial information, and the financial information and non-GAAP
financial information disclosed in this press release is presented
on a continuing operations basis, unless otherwise specifically
stated.
REVENUES
Total revenues in the fourth quarter of 2020 decreased by 9.5%
to RMB362.2 million (US$55.5 million) from RMB400.4 million in the same period of 2019,
which was primarily due to the negative impact of the COVID-19
outbreak.
Net advertising revenues in the fourth quarter of 2020 decreased
by 7.3% to RMB336.7 million
(US$51.6 million) from RMB363.1 million in the same period of 2019. The
decrease was primarily attributable to the negative impact of the
COVID-19 outbreak.
Paid services revenues[1] in the
fourth quarter of 2020 decreased by 31.4% to RMB25.5 million (US$3.9
million) from RMB37.3 million
in the same period of 2019. Revenues from paid contents in the
fourth quarter of 2020 decreased by 46.6% to RMB11.2 million (US$1.7
million) from RMB20.9 million
in the same period of 2019, which was mainly due to the tightening
of rules and regulations on digital reading in China and in line with the broader market
conditions reflecting the trend towards free online
reading. Revenues from MVAS and games were small and had been
declining for the past years. Revenues from others in the
fourth quarter of 2020 increased by 31.2% to RMB10.9 million (US$1.7
million) from RMB8.3 million
in the same period of 2019, which was mainly caused by the increase
in revenues from E-commerce and online real estate related
services.
COST OF REVENUES
Cost of revenues in the fourth quarter of 2020 decreased by
5.1% to RMB179.2 million (US$27.5
million) from RMB188.8 million in the same period
of 2019. The decrease in cost of revenues was mainly due to the
following:
- Content and operational costs in the fourth quarter of 2020
decreased to RMB158.4 million
(US$24.3 million) from RMB172.2 million in the same period of
2019, mainly due to the Company's strict cost control measures
taken to enhance its operating efficiency in 2020. Share-based
compensation included in the content and operational costs in
the fourth quarter of 2020 decreased to RMB0.2 million (US$0.03
million) from RMB1.1 million
in the same period of 2019.
Bandwidth costs in the fourth quarter of 2020 decreased to
RMB13.9 million (US$2.1 million) from RMB14.9 million in the same period of 2019,
mainly due to the adoption of more efficient cloud-based servers to
replace local severs in 2020.
The decrease was partially offset by the following:
- Revenue sharing fees in the fourth quarter of 2020 increased to
RMB6.9 million (US$1.1 million) from RMB1.7 million in the same period of 2019,
primarily attributable to the increase in revenue sharing fees paid
to channel partners.
GROSS PROFIT
Gross profit in the fourth quarter of 2020 decreased
to RMB183.0 million (US$28.0 million) from RMB211.6 million in the same period of 2019.
Gross margin in the fourth quarter of 2020 decreased to 50.5% as
compared to 52.8% in the same period of 2019.
To supplement the financial measures presented in accordance
with the United States Generally Accepted Accounting Principles
("GAAP"), the Company has presented certain non-GAAP financial
measures in this press release, which excludes the impact of
certain reconciling items as stated in the "Use of Non-GAAP
Financial Measures" section below. The related
reconciliations to GAAP financial measures are presented in
the accompanying "Reconciliations of Non-GAAP Results of Operation
Measures to the Nearest Comparable GAAP Measures."
Non-GAAP gross margin in the fourth quarter of 2020, which
excluded share-based compensation, decreased to 50.6% from 53.1% in
the same period of 2019.
OPERATING EXPENSES OR GAINS AND LOSS FROM
OPERATIONS
Total operating expenses in the fourth quarter of 2020 decreased
by 33.7% to RMB211.8 million
(US$32.5 million) from RMB319.6 million in the same period of 2019,
primarily attributable to the decrease in the Company's traffic
acquisition expenses and the personnel-related expenses caused by
the strict cost control measures taken to enhance its operating
efficiency, which was partially offset by the impairment of
goodwill for the reporting unit of Beijing Fenghuang Tianbo Network
Technology Co., Ltd. ("Tianbo") recognized in the fourth quarter of
2020. The Company recognized an impairment of goodwill of
RMB22.8 million (US$3.5 million) for the Tianbo reporting unit in
the fourth quarter of 2020, mainly caused by the negative impact on
Tianbo from both the COVID-19 outbreak in 2020 and the tightening
of rules and regulations on real estate market in China as well as intensified industry
competition. The impairment loss of goodwill was determined by
quantitatively comparing the fair value of the Tianbo reporting
unit to its carrying amounts, with the fair value of the Tianbo
reporting unit determined based on the discounted cash flows of
Tianbo. Share-based compensation included in operating expenses in
the fourth quarter of 2020 was RMB2.5
million (US$0.4 million), as
compared to RMB2.8 million in the
same period of 2019.
Loss from operations in the fourth quarter of 2020 was
RMB28.8 million (US$4.4 million), improved from RMB108.1 million in the same period of 2019.
Operating margin in the fourth quarter of 2020 was negative 8.0%,
improved from negative 27.0% in the same period of 2019.
Non-GAAP loss from operations in the fourth quarter of 2020,
which excluded share-based compensation and impairment of goodwill,
was RMB3.3 million (US$0.5 million), improved from RMB104.2 million in the same period of 2019.
Non-GAAP operating margin in the fourth quarter of 2020, which
excluded share-based compensation and impairment of goodwill, was
negative 0.9%, improved from negative 26.0% in the same period of
2019.
OTHER INCOME OR LOSS
Other income or loss reflects net interest income, foreign
currency exchange gain or loss, loss from equity method
investments, changes in fair value of forward contract in relation
to disposal of investments in Particle, gain on disposal of
available-for-sale debt investments and others, net[2]. Total
net other income in the fourth quarter of 2020 was RMB499.1 million (US$76.5
million), compared to RMB1,016.6
million in the same period of 2019.
- Gain on disposal of available-for-sale debt investments in the
fourth quarter of 2020 was RMB477.3
million (US$73.1 million),
compared to RMB1,001.2 million in the
same period of 2019, which represented the gain from the disposal
of part of the Company's investments in Particle. The transaction
contemplated by the share purchase agreement signed by the Company
and Run Liang Tai Management Limited, or Run Liang Tai, and its
designated entities (the "Buyers") in August
2020 under which the Company agreed to sell a total of
140,248,775 shares of Particle to the Buyers at a total purchase
price of US$150 million and a per
share purchase price of US$1.0695 was
closed on October 19, 2020.
- Net interest income in the fourth quarter of 2020 increased to
RMB9.3 million (US$1.4 million) from RMB6.7 million in the same period of 2019, mainly
caused by more investments in term deposits and short term
investments in the fourth quarter of 2020.
- Foreign currency exchange gain in the fourth quarter of 2020
was RMB3.9 million (US$0.6 million), compared to foreign currency
exchange gain of RMB1.0 million in
the same period of 2019.
- Loss from equity method investments in the fourth quarter of
2020 was RMB0.2 million (US$0.03 million), compared to nil in the same
period of 2019.
- Changes in fair value of forward contract in relation to
disposal of investments in Particle in the first quarter of 2020
was nil, compared to a gain of RMB4.4
million in the same period of 2019.
- Others, net in the fourth quarter of 2020 increased to
RMB8.8 million (US$1.4 million) from RMB3.3 million in the same period of 2019, mainly
attributable to more government subsidies received in the fourth
quarter of 2019.
NET INCOME OR LOSS FROM CONTINUING OPERATIONS ATTRIBUTABLE
TO PHOENIX NEW MEDIA
LIMITED
Net income from continuing operations attributable to Phoenix
New Media Limited in the fourth quarter of 2020 was RMB454.8 million (US$69.7 million), compared to net income
from continuing operations attributable to Phoenix New Media
Limited of RMB902.5 million in
the same period of 2019. Net margin from continuing operations in
the fourth quarter of 2020 was 125.6%, compared to 225.4% in
the same period of 2019. Net income from continuing operations per
ordinary share in the fourth quarter of 2020 was RMB0.78 (US$0.12), compared to net income
from continuing operations per ordinary share of RMB1.55 in the same period of 2019.
Non-GAAP net loss from continuing operations attributable to
Company in the fourth quarter of 2020, which excluded share-based
compensation, changes in fair value of forward contract in relation
to disposal of investments in Particle, loss from equity method
investments, gain on disposal of available-for-sale debt
investments and impairment of goodwill, was RMB8.2 million (US$1.3 million), compared to non-GAAP net
loss from continuing operations attributable to the Company of
RMB99.2 million in the same
period of 2019. Non-GAAP net margin from continuing operations in
the fourth quarter of 2020 was negative 2.3%, compared to negative
24.8% in the same period of 2019. Non-GAAP net loss from
continuing operations per diluted ADS[3] in the fourth quarter of
2020 was RMB0.11 (US$0.02),
compared to non-GAAP net loss from continuing operations per
diluted ADS of RMB1.36 in the
same period of 2019.
For the fourth quarter of 2020, the Company's weighted average
number of ADSs used in the computation of diluted net loss per ADS
was 72,790,541. As of December 31,
2020, the Company had a total of 582,324,325 ordinary shares
outstanding, or the equivalent of 72,790,541 ADSs.
Full Year 2020 Financial Results
REVENUES
Total revenues in 2020 decreased by 9.0% to RMB1.21 billion (US$185.3
million) from RMB1.33 billion
in 2019, primarily attributable to the negative impact of the
COVID-19 outbreak.
Net advertising revenues in 2020 decreased by 6.8% to
RMB1.11 billion (US$170.6 million) from RMB1.20 billion in 2019, primarily due to the
negative impact of the COVID-19 outbreak.
Paid services revenues in 2020 decreased by 28.0% to
RMB95.8 million (US$14.7 million) from RMB133.0 million in 2019, primarily attributable
to the tightening of rules and regulations on digital reading in
China and in line with the broader
market conditions reflecting the trend towards free online
reading.
COST OF REVENUES
Cost of revenues in 2020 decreased by 18.2% to RMB559.3 million (US$85.7
million) from RMB683.3 million
in 2019, primarily attributable to the Company's strict cost
control measures taken to enhance its operating efficiency in 2020.
Share-based compensation included in cost of revenues in 2020 was
RMB2.6 million (US$0.4 million) as compared to RMB5.2 million in 2019.
Gross profit in 2020 increased slightly to RMB649.6 million (US$99.5
million) from RMB644.5 million
in 2019. Gross margin in 2020 increased to 53.7% from 48.5% in
2019, mainly attributable to the Company's strict cost control
measures taken to enhance its operating efficiency in 2020, as
explained above.
OPERATING EXPENSES OR GAINS AND LOSS FROM
OPERATIONS
Total operating expense in 2020 decreased to
RMB752.1million (US$115.3million) from RMB1,000.5 million in 2019, primarily
attributable to the decreases in both the Company's traffic
acquisition expenses and the personnel-related expenses as a result
of the strict cost control measures taken by the Company to enhance
its operating efficiency in 2020. Share-based compensation
included in operating expenses was RMB6.8 million (US$1.0 million) in 2020, compared to RMB6.7
million in 2019.
Loss from operations in 2020 was RMB102.6
million (US$15.7 million),
improved from RMB356.1 million in
2019. Operating margin in 2020 was negative 8.5%, improved from
negative 26.8% in 2019.
Non-GAAP loss from operations in 2020, which excluded
share-based compensation and impairment of goodwill, was
RMB70.4 million (US$10.8 million), improved from RMB344.3 million in 2019. Non-GAAP operating
margin in 2020, which excluded share-based compensation and
impairment of goodwill, was negative 5.8%, improved from negative
25.9% in 2019.
NET INCOME OR LOSS FROM CONTINUING OPERATIONS ATTRIBUTABLE
TO PHOENIX NEW MEDIA
LIMITED
Net income from continuing operations attributable to the
Company in 2020 was RMB418.0 million
(US$64.1 million), compared to net
income from continuing operations attributable to the Company of
RMB664.2 million in 2019. Net margin
from continuing operations in 2020 was 34.6%, compared to 50.0% in
2019. Net income from continuing operations per diluted ordinary
share in 2020 was RMB0.72
(US$0.11), compared to a net income
from continuing operations per diluted ordinary share of
RMB1.14 in 2019.
Non-GAAP net loss from continuing operations attributable to the
Company in the fiscal year of 2020, which excluded share-based
compensation, loss/(income) from equity method investments, changes
in fair value of forward contract in relation to disposal of
investments in Particle, changes in fair value of
loan related to co-sale of Particle shares,
gain on disposal of available-for-sale debt investments, impairment
of available-for-sale debt investment and impairment of goodwill,
was RMB33.7 million (US$5.2 million), compared to non-GAAP net loss
from continuing operations attributable to the Company of
RMB326.1 million in 2019. Non-GAAP
net margin from continuing operations in the fiscal year of 2020
was negative 2.8%, improved from negative 24.6% in 2019. Non-GAAP
net loss from continuing operations per diluted ADS in 2020 was
RMB0.46 (US$0.07), improved from non-GAAP net loss from
continuing operations per diluted ADS of RMB4.48 in 2019.
CERTAIN BALANCE SHEET ITEMS
As of December 31, 2020, the
Company's cash and cash equivalents, term deposits and short term
investments and restricted cash were RMB1.67
billion (US$255.8
million).
The Company's investments in Particle were recorded as
available-for sale debt investments in the balance sheet. The fair
value of the Company's available-for-sale debt investments in
Particle decreased from RMB1,061.3
million as of September 30,
2020 to RMB30.7 million
(US$4.7 million) as of December 31, 2020, as the share transfer
transaction between the Company and the Buyers was closed on
October 19, 2020 and the
available-for-sale debt investments as of December 31, 2020 only included the 4,584,209
series D1 preferred shares of Particle still held by the Company.
The fair value of the investments in Particle as of December 31, 2020 was determined based on a
valuation technique under the market approach, known as the
guideline company method.
Business Outlook
For the first quarter of 2021, the Company expects its
total revenues to be between RMB210.2
million and RMB230.2 million;
net advertising revenues are expected to be between RMB192.0 million and RMB207.0 million; and paid services revenues are
expected to be between RMB18.2
million and RMB23.2
million.
All of the above forecasts reflect the Company's management's
current and preliminary view, which is subject to change and
substantial uncertainty, particularly in view of the potential
impact of the COVID-19, the effects of which are difficult to
analyse and predict.
Conference Call Information
The Company will hold a conference call at 9:00 p.m. U.S. Eastern Time on March 15, 2021, (March
16, 2021 at 9:00 a.m.
Beijing/Hong Kong time) to discuss its fourth
quarter and fiscal year 2020 unaudited financial
results and operating performance.
To participate in the call, please use the dial-in numbers and
conference ID below:
International:
|
+65
67135090
|
Mainland
China:
|
4006208038
|
Hong Kong:
|
+852
30186771
|
United
States:
|
+1
8456750437
|
United
Kingdom:
|
+44
2036214779
|
Australia:
|
+61
290833212
|
Conference
ID:
|
8338423
|
A replay of the call will be available through March 23, 2021, by using the dial-in numbers and
conference ID below:
International:
|
+61 2 8199
0299
|
Mainland
China:
|
4006322162
|
Hong Kong:
|
+852
30512780
|
United
States:
|
+1 646 254
3697
|
Conference
ID:
|
8338423
|
A live and archived webcast of the conference call will also be
available at the Company's investor relations website at
http://ir.ifeng.com.
Use of Non-GAAP Financial Measures
To supplement the consolidated financial statements presented in
accordance with the United States Generally Accepted
Accounting Principles ("GAAP"), Phoenix New Media Limited uses
non-GAAP gross profit, non-GAAP gross margin, non-GAAP income or
loss from operations, non-GAAP operating margin, non-GAAP net
income or loss attributable to Phoenix New Media Limited,
non-GAAP net margin and non-GAAP net income or loss per
diluted ADS, each of which is a non-GAAP financial measure.
Non-GAAP gross profit is gross profit excluding share-based
compensation. Non-GAAP gross margin is non-GAAP gross profit
divided by total revenues. Non-GAAP income or loss from
operations is income or loss from operations excluding
share-based compensation and impairment of goodwill. Non-GAAP
operating margin is non-GAAP income or loss from operations divided
by total revenues. Non-GAAP net income or loss attributable to
Phoenix New Media Limited is net income or loss
attributable to Phoenix New Media Limited excluding share-based
compensation, income or loss from equity method investments, net of
impairments, gain on disposal of available-for-sale debt
investments, changes in fair value of forward contract in
relation to disposal of investments in Particle, impairment of
goodwill, impairment of available-for-sale debt investments and
changes in fair value of loan related to co-sale of Particle
shares. Non-GAAP net margin is non-GAAP net income or loss
attributable to Phoenix New Media Limited divided by total
revenues. Non-GAAP net income or loss per diluted ADS is
non-GAAP net income or loss attributable to Phoenix New Media
Limited divided by weighted average number of diluted ADSs. The
Company believes that separate analysis and exclusion of the
aforementioned non-GAAP to GAAP reconciling items add clarity to
the constituent parts of its performance. The Company reviews these
non-GAAP financial measures together with the related GAAP
financial measures to obtain a better understanding of its
operating performance. It uses these non-GAAP financial measures
for planning, forecasting and measuring results against the
forecast. The Company believes that using these non-GAAP financial
measures to evaluate its business allows both management and
investors to assess the Company's performance against its
competitors and ultimately monitor its capacity to generate returns
for investors. The Company also believes that these non-GAAP
financial measures are useful supplemental information for
investors and analysts to assess its operating performance without
the effect of items like share-based compensation, income or loss
from equity method investments, net of impairments, which have been
and will continue to be significant recurring items, and without
the effect of gain on disposal of available-for-sale debt
investments, changes in fair value of forward contract in relation
to disposal of investments in Particle, impairment of
goodwill, impairment of available-for-sale debt investments and
changes in fair value of loan related to co-sale of Particle
shares, which have been significant and one-time items. However,
the use of these non-GAAP financial measures has material
limitations as an analytical tool. One of the limitations of using
these non-GAAP financial measures is that they do not include all
items that impact the Company's gross profit, income or loss from
operations and net income or loss attributable to Phoenix New Media
Limited for the period. In addition, because these non-GAAP
financial measures are not calculated in the same manner by all
companies, they may not be comparable to other similarly titled
measures used by other companies. In light of the foregoing
limitations, you should not consider these non-GAAP financial
measures in isolation from, or as an alternative to, the financial
measures prepared in accordance with GAAP.
Exchange Rate
This announcement 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 RMB6.5250 to US$1.00, the noon buying rate in effect on
December 31, 2020, in the H.10
statistical release of the Federal Reserve Board. The Company makes
no representation that the RMB or USD amounts referred could be
converted into USD or RMB, as the case may be, at any particular
rate or at all. For analytical presentation, all percentages are
calculated using the numbers presented in the financial statements
contained in this earnings release.
About Phoenix New Media Limited
Phoenix New Media Limited (NYSE: FENG) is a leading new media
company providing premium content on an integrated Internet
platform, including PC and mobile, in China. Having originated from a leading global
Chinese language TV network based in Hong
Kong, Phoenix TV, the Company enables consumers to access
professional news and other quality information and share
user-generated content on the Internet through their PCs and mobile
devices. Phoenix New Media's platform includes its PC channel,
consisting of ifeng.com website, which comprises interest-based
verticals and interactive services; its mobile channel, consisting
of mobile news applications, mobile video application, digital
reading applications and mobile Internet website; and its
operations with the telecom operators that provides mobile
value-added services.
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" and similar statements. Among other things,
the business outlook and quotations from management in this
announcement, as well as Phoenix New Media's strategic and
operational plans, contain forward−looking statements. Phoenix New
Media may also make written or oral forward−looking statements in
its periodic reports to the U.S. Securities and Exchange Commission
("SEC") on Forms 20−F and 6−K, 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 Phoenix New Media'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: the Company's goals and strategies; the Company's future
business development, financial condition and results of
operations; the expected growth of online and mobile advertising,
online video and mobile paid services markets in China; the Company's reliance on online and
mobile advertising and MVAS for a majority of its total revenues;
the Company's expectations regarding demand for and market
acceptance of its services; the Company's expectations regarding
maintaining and strengthening its relationships with advertisers,
partners and customers; the Company's investment plans and
strategies, fluctuations in the Company's quarterly operating
results; the Company's plans to enhance its user experience,
infrastructure and services offerings; the Company's reliance on
mobile operators in China to
provide most of its MVAS; changes by mobile operators in
China to their policies for MVAS;
competition in its industry in China; relevant government policies and
regulations relating to the Company; and the effects of the
COVID-19 on the economy in China
in general and on the Company's business in particular. Further
information regarding these and other risks is included in the
Company's filings with the SEC, including its registration
statement on Form F−1, as amended, and its annual reports on Form
20−F. All information provided in this press release and in the
attachments is as of the date of this press release, and Phoenix
New Media does not undertake any obligation to update any
forward−looking statement, except as required under applicable
law.
For investor and media inquiries please contact:
Phoenix New Media Limited
Qing Liu
Email: investorrelations@ifeng.com
ICR, Inc.
Jack Wang
Tel: +1 (646) 405-4883
Email: investorrelations@ifeng.com
Phoenix New Media
Limited Condensed Consolidated Balance
Sheets (Amounts in thousands)
|
|
|
December 31,
|
|
|
December
31,
|
|
|
December
31,
|
|
|
|
2019
|
|
|
2020
|
|
|
2020
|
|
|
|
RMB
|
|
|
RMB
|
|
|
US$
|
|
|
|
Audited
|
|
|
Unaudited
|
|
|
Unaudited
|
|
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
|
310,876
|
|
|
|
357,796
|
|
|
|
54,835
|
|
Term deposits and
short term investments
|
|
|
1,271,889
|
|
|
|
1,280,033
|
|
|
|
196,174
|
|
Restricted
cash
|
|
|
66,234
|
|
|
|
31,039
|
|
|
|
4,757
|
|
Accounts receivable,
net
|
|
|
609,627
|
|
|
|
675,616
|
|
|
|
103,543
|
|
Amounts due from
related parties
|
|
|
56,653
|
|
|
|
32,587
|
|
|
|
4,994
|
|
Prepayment and other
current assets
|
|
|
57,391
|
|
|
|
42,846
|
|
|
|
6,565
|
|
Assets held for
sale
|
|
|
184,032
|
|
|
|
-
|
|
|
|
-
|
|
Total current
assets
|
|
|
2,556,702
|
|
|
|
2,419,917
|
|
|
|
370,868
|
|
Non-current
assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
Property and
equipment, net
|
|
|
97,357
|
|
|
|
62,649
|
|
|
|
9,601
|
|
Intangible assets,
net
|
|
|
13,633
|
|
|
|
12,396
|
|
|
|
1,900
|
|
Goodwill
|
|
|
22,786
|
|
|
|
-
|
|
|
|
-
|
|
Available-for-sale
debt investments
|
|
|
2,014,537
|
|
|
|
36,662
|
|
|
|
5,619
|
|
Equity investments,
net
|
|
|
13,237
|
|
|
|
94,821
|
|
|
|
14,532
|
|
Deferred tax
assets
|
|
|
73,688
|
|
|
|
86,867
|
|
|
|
13,313
|
|
Operating lease
right-of- use assets, net
|
|
|
84,550
|
|
|
|
49,487
|
|
|
|
7,584
|
|
Other non-current
assets
|
|
|
19,859
|
|
|
|
9,753
|
|
|
|
1,495
|
|
Assets held for
sale
|
|
|
429,468
|
|
|
|
-
|
|
|
|
-
|
|
Total non-current
assets
|
|
|
2,769,115
|
|
|
|
352,635
|
|
|
|
54,044
|
|
Total
assets
|
|
|
5,325,817
|
|
|
|
2,772,552
|
|
|
|
424,912
|
|
LIABILITIES AND
SHAREHOLDERS' EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounts
payable
|
|
|
249,018
|
|
|
|
221,203
|
|
|
|
33,901
|
|
Amounts due to related
parties
|
|
|
34,155
|
|
|
|
34,420
|
|
|
|
5,275
|
|
Advances from
customers
|
|
|
46,172
|
|
|
|
38,835
|
|
|
|
5,952
|
|
Taxes
payable
|
|
|
287,765
|
|
|
|
402,610
|
|
|
|
61,703
|
|
Salary and welfare
payable
|
|
|
157,784
|
|
|
|
156,599
|
|
|
|
24,000
|
|
Deposits in relation
to future disposal of investment in
Particle
|
|
|
355,212
|
|
|
|
-
|
|
|
|
-
|
|
Accrued expenses and
other current liabilities
|
|
|
274,122
|
|
|
|
172,376
|
|
|
|
26,417
|
|
Operating
lease liabilities
|
|
|
37,874
|
|
|
|
36,370
|
|
|
|
5,574
|
|
Liabilities held for
sale
|
|
|
63,341
|
|
|
|
-
|
|
|
|
-
|
|
Total current
liabilities
|
|
|
1,505,443
|
|
|
|
1,062,413
|
|
|
|
162,822
|
|
Non-current
liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
Deferred tax
liabilities
|
|
|
192,142
|
|
|
|
1,312
|
|
|
|
201
|
|
Long-term
liabilities
|
|
|
27,612
|
|
|
|
28,182
|
|
|
|
4,319
|
|
Operating
lease liabilities
|
|
|
49,929
|
|
|
|
16,672
|
|
|
|
2,555
|
|
Liabilities held for
sale
|
|
|
5,676
|
|
|
|
-
|
|
|
|
-
|
|
Total non-current
liabilities
|
|
|
275,359
|
|
|
|
46,166
|
|
|
|
7,075
|
|
Total
liabilities
|
|
|
1,780,802
|
|
|
|
1,108,579
|
|
|
|
169,897
|
|
Shareholders'
equity:
|
|
|
|
|
|
|
|
|
|
|
|
|
Phoenix New Media
Limited shareholders' equity:
|
|
|
|
|
|
|
|
|
|
|
|
|
Class A ordinary
shares
|
|
|
17,499
|
|
|
|
17,499
|
|
|
|
2,682
|
|
Class B ordinary
shares
|
|
|
22,053
|
|
|
|
22,053
|
|
|
|
3,380
|
|
Additional paid-in
capital
|
|
|
1,611,484
|
|
|
|
1,620,580
|
|
|
|
248,365
|
|
Statutory
reserves
|
|
|
88,583
|
|
|
|
92,017
|
|
|
|
14,102
|
|
Retained
earnings
|
|
|
186,324
|
|
|
|
(88,191)
|
|
|
|
(13,516)
|
|
Accumulated other
comprehensive income
|
|
|
1,405,808
|
|
|
|
(28,214)
|
|
|
|
(4,324)
|
|
Total Phoenix New
Media Limited shareholders' equity
|
|
|
3,331,751
|
|
|
|
1,635,744
|
|
|
|
250,689
|
|
Noncontrolling
interests
|
|
|
213,264
|
|
|
|
28,229
|
|
|
|
4,326
|
|
Total
shareholders' equity
|
|
|
3,545,015
|
|
|
|
1,663,973
|
|
|
|
255,015
|
|
Total liabilities
and shareholders' equity
|
|
|
5,325,817
|
|
|
|
2,772,552
|
|
|
|
424,912
|
|
Phoenix New Media
Limited Condensed Consolidated Statements of
Comprehensive Income/(loss) (Amounts in thousands, except
for number of shares and per share (or ADS)
data)
|
|
Three Months
Ended
|
|
|
Twelve Months
Ended
|
|
|
December
31,
|
|
|
September
30,
|
|
|
December
31,
|
|
|
December
31,
|
|
|
December
31,
|
|
|
December
31,
|
|
|
December
31,
|
|
|
2019
|
|
|
2020
|
|
|
2020
|
|
|
2020
|
|
|
2019
|
|
|
2020
|
|
|
2020
|
|
|
RMB
|
|
|
RMB
|
|
|
RMB
|
|
|
US$
|
|
|
RMB
|
|
|
RMB
|
|
|
US$
|
|
Revenues:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
advertising revenues
|
|
363,114
|
|
|
|
281,308
|
|
|
|
336,653
|
|
|
|
51,594
|
|
|
|
1,194,761
|
|
|
|
1,113,017
|
|
|
|
170,577
|
|
Paid
service revenues
|
|
37,259
|
|
|
|
21,681
|
|
|
|
25,546
|
|
|
|
3,915
|
|
|
|
133,020
|
|
|
|
95,828
|
|
|
|
14,686
|
|
Total
revenues
|
|
400,373
|
|
|
|
302,989
|
|
|
|
362,199
|
|
|
|
55,509
|
|
|
|
1,327,781
|
|
|
|
1,208,845
|
|
|
|
185,263
|
|
Cost
of revenues
|
|
(188,819)
|
|
|
|
(150,036)
|
|
|
|
(179,224)
|
|
|
|
(27,467)
|
|
|
|
(683,330)
|
|
|
|
(559,286)
|
|
|
|
(85,714)
|
|
Gross
profit
|
|
211,554
|
|
|
|
152,953
|
|
|
|
182,975
|
|
|
|
28,042
|
|
|
|
644,451
|
|
|
|
649,559
|
|
|
|
99,549
|
|
Operating
expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales and marketing expenses
|
|
(160,581)
|
|
|
|
(64,899)
|
|
|
|
(75,660)
|
|
|
|
(11,595)
|
|
|
|
(541,772)
|
|
|
|
(279,429)
|
|
|
|
(42,824)
|
|
General and administrative expenses
|
|
(103,241)
|
|
|
|
(74,782)
|
|
|
|
(70,716)
|
|
|
|
(10,838)
|
|
|
|
(242,047)
|
|
|
|
(277,931)
|
|
|
|
(42,595)
|
|
Technology and product development expenses
|
|
(55,816)
|
|
|
|
(41,706)
|
|
|
|
(42,617)
|
|
|
|
(6,531)
|
|
|
|
(216,741)
|
|
|
|
(171,989)
|
|
|
|
(26,358)
|
|
Impairment of goodwill
|
|
-
|
|
|
|
-
|
|
|
|
(22,786)
|
|
|
|
(3,492)
|
|
|
|
-
|
|
|
|
(22,786)
|
|
|
|
(3,492)
|
|
Total operating
expenses
|
|
(319,638)
|
|
|
|
(181,387)
|
|
|
|
(211,779)
|
|
|
|
(32,456)
|
|
|
|
(1,000,560)
|
|
|
|
(752,135)
|
|
|
|
(115,269)
|
|
Loss from
operations
|
|
(108,084)
|
|
|
|
(28,434)
|
|
|
|
(28,804)
|
|
|
|
(4,414)
|
|
|
|
(356,109)
|
|
|
|
(102,576)
|
|
|
|
(15,720)
|
|
Other
income/(loss):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income, net
|
|
6,673
|
|
|
|
14,792
|
|
|
|
9,309
|
|
|
|
1,427
|
|
|
|
22,721
|
|
|
|
35,421
|
|
|
|
5,429
|
|
Foreign currency exchange gain
|
|
1,003
|
|
|
|
3,218
|
|
|
|
3,921
|
|
|
|
601
|
|
|
|
7,892
|
|
|
|
5,494
|
|
|
|
842
|
|
Income/(loss) from equity method investments
|
|
-
|
|
|
|
6,013
|
|
|
|
(179)
|
|
|
|
(27)
|
|
|
|
(3,447)
|
|
|
|
5,598
|
|
|
|
858
|
|
Impairment of available-for-sale debt investments
|
|
-
|
|
|
|
(2,000)
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
(2,000)
|
|
|
|
(307)
|
|
Gain
on disposal of available-for-sale debt investments*
|
|
1,001,181
|
|
|
|
-
|
|
|
|
477,254
|
|
|
|
73,142
|
|
|
|
1,001,181
|
|
|
|
477,254
|
|
|
|
73,142
|
|
Changes in fair value of loan related to
co-sale of Particle shares
|
|
-
|
|
|
|
(4,486)
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
(24,535)
|
|
|
|
(3,760)
|
|
Changes in fair value of forward contract in
relation to disposal of investments in Particle
|
|
4,441
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
4,441
|
|
|
|
16,085
|
|
|
|
2,465
|
|
Others, net
|
|
3,351
|
|
|
|
13,360
|
|
|
|
8,770
|
|
|
|
1,343
|
|
|
|
15,031
|
|
|
|
35,881
|
|
|
|
5,499
|
|
Income from
continuing operations before income
taxes
|
|
908,565
|
|
|
|
2,463
|
|
|
|
470,271
|
|
|
|
72,072
|
|
|
|
691,710
|
|
|
|
446,622
|
|
|
|
68,448
|
|
Income tax expense
|
|
(3,349)
|
|
|
|
(1,725)
|
|
|
|
(14,793)
|
|
|
|
(2,267)
|
|
|
|
(21,950)
|
|
|
|
(18,977)
|
|
|
|
(2,909)
|
|
Net income from
continuing operations
|
|
905,216
|
|
|
|
738
|
|
|
|
455,478
|
|
|
|
69,805
|
|
|
|
669,760
|
|
|
|
427,645
|
|
|
|
65,539
|
|
Net income/(loss)
from discontinued operations, net of income taxes
|
|
15,360
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
54,242
|
|
|
|
(62,366)
|
|
|
|
(9,558)
|
|
Net
income
|
|
920,576
|
|
|
|
738
|
|
|
|
455,478
|
|
|
|
69,805
|
|
|
|
724,002
|
|
|
|
365,279
|
|
|
|
55,981
|
|
Net (income)/loss
attributable to noncontrolling
interests:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
(income) from continuing operations
attributable to noncontrolling interests
|
|
(2,692)
|
|
|
|
(1,687)
|
|
|
|
(700)
|
|
|
|
(107)
|
|
|
|
(5,564)
|
|
|
|
(9,669)
|
|
|
|
(1,482)
|
|
Net
(income)/loss from discontinued operations
attributable to noncontrolling interests
|
|
(6,130)
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
9,391
|
|
|
|
24,759
|
|
|
|
3,795
|
|
Net (income)/loss
attributable to noncontrolling
interests
|
|
(8,822)
|
|
|
|
(1,687)
|
|
|
|
(700)
|
|
|
|
(107)
|
|
|
|
3,827
|
|
|
|
15,090
|
|
|
|
2,313
|
|
Net income/(loss)
attributable to Phoenix New
Media
Limited:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
income/(loss) from continuing operations
attributable to Phoenix New Media Limited
|
|
902,524
|
|
|
|
(949)
|
|
|
|
454,778
|
|
|
|
69,698
|
|
|
|
664,196
|
|
|
|
417,976
|
|
|
|
64,058
|
|
Net
income/(loss) from discontinued operations
attributable to Phoenix New Media Limited
|
|
9,230
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
63,633
|
|
|
|
(37,607)
|
|
|
|
(5,764)
|
|
Net income/(loss)
attributable to Phoenix New
Media
Limited
|
|
911,754
|
|
|
|
(949)
|
|
|
|
454,778
|
|
|
|
69,698
|
|
|
|
727,829
|
|
|
|
380,369
|
|
|
|
58,294
|
|
Net
income
|
|
920,576
|
|
|
|
738
|
|
|
|
455,478
|
|
|
|
69,805
|
|
|
|
724,002
|
|
|
|
365,279
|
|
|
|
55,981
|
|
Other comprehensive income/(loss), net of tax: fair
value remeasurement for available-for-sale
investments
|
|
191,511
|
|
|
|
1,598
|
|
|
|
(2,736)
|
|
|
|
(419)
|
|
|
|
1,188,762
|
|
|
|
(887,248)
|
|
|
|
(135,977)
|
|
Other comprehensive loss, net of tax: reclassification
adjustment
for disposal of available-for-sale debt
investments
|
|
(1,008,795)
|
|
|
|
-
|
|
|
|
(491,197)
|
|
|
|
(75,279)
|
|
|
|
(1,008,795)
|
|
|
|
(491,197)
|
|
|
|
(75,279)
|
|
Other comprehensive (loss)/income, net of tax:
foreign currency translation adjustment
|
|
(31,312)
|
|
|
|
(43,077)
|
|
|
|
(41,326)
|
|
|
|
(6,333)
|
|
|
|
37,483
|
|
|
|
(55,577)
|
|
|
|
(8,517)
|
|
Comprehensive
income/(loss)
|
|
71,980
|
|
|
|
(40,741)
|
|
|
|
(79,781)
|
|
|
|
(12,226)
|
|
|
|
941,452
|
|
|
|
(1,068,743)
|
|
|
|
(163,792)
|
|
Comprehensive (income)/loss attributable to
noncontrolling interests
|
|
(8,822)
|
|
|
|
(1,687)
|
|
|
|
(700)
|
|
|
|
(107)
|
|
|
|
3,827
|
|
|
|
15,090
|
|
|
|
2,313
|
|
Comprehensive
income/(loss) attributable to
Phoenix New
Media Limited
|
|
63,158
|
|
|
|
(42,428)
|
|
|
|
(80,481)
|
|
|
|
(12,333)
|
|
|
|
945,279
|
|
|
|
(1,053,653)
|
|
|
|
(161,479)
|
|
Basic net
income/(loss) per Class A and Class B
ordinary
share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
-Continuing operations
|
|
1.55
|
|
|
|
-
|
|
|
|
0.78
|
|
|
|
0.12
|
|
|
|
1.14
|
|
|
|
0.72
|
|
|
|
0.11
|
|
-Discontinued operations
|
|
0.02
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
0.11
|
|
|
|
(0.07)
|
|
|
|
(0.01)
|
|
Basic
net income/(loss) per Class A and
Class B ordinary share
|
|
1.57
|
|
|
|
-
|
|
|
|
0.78
|
|
|
|
0.12
|
|
|
|
1.25
|
|
|
|
0.65
|
|
|
|
0.10
|
|
Diluted net
income/(loss) per Class A
and Class B
ordinary share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
-Continuing operations
|
|
1.55
|
|
|
|
-
|
|
|
|
0.78
|
|
|
|
0.12
|
|
|
|
1.14
|
|
|
|
0.72
|
|
|
|
0.11
|
|
-Discontinued operations
|
|
0.02
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
0.11
|
|
|
|
(0.07)
|
|
|
|
(0.01)
|
|
Diluted net
income/(loss) per Class A
and Class B
ordinary share
|
|
1.57
|
|
|
|
-
|
|
|
|
0.78
|
|
|
|
0.12
|
|
|
|
1.25
|
|
|
|
0.65
|
|
|
|
0.10
|
|
Basic
income/(loss) per ADS (1 ADS
represents
8 Class A ordinary shares):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
-Continuing operations
|
|
12.40
|
|
|
|
(0.01)
|
|
|
|
6.25
|
|
|
|
0.96
|
|
|
|
9.13
|
|
|
|
5.74
|
|
|
|
0.88
|
|
-Discontinued operations
|
|
0.13
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
0.87
|
|
|
|
(0.51)
|
|
|
|
(0.08)
|
|
Basic
net income/(loss) per ADS (1 ADS
represents 8 Class A ordinary shares)
|
|
12.53
|
|
|
|
(0.01)
|
|
|
|
6.25
|
|
|
|
0.96
|
|
|
|
10.00
|
|
|
|
5.23
|
|
|
|
0.80
|
|
Diluted net
income/(loss) per ADS (1 ADS
represents
8 Class A ordinary shares):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
-Continuing operations
|
|
12.40
|
|
|
|
(0.01)
|
|
|
|
6.25
|
|
|
|
0.96
|
|
|
|
9.13
|
|
|
|
5.74
|
|
|
|
0.88
|
|
-Discontinued operations
|
|
0.13
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
0.87
|
|
|
|
(0.51)
|
|
|
|
(0.08)
|
|
Diluted net income/(loss) per ADS (1 ADS
represents 8 Class A ordinary shares)
|
|
12.53
|
|
|
|
(0.01)
|
|
|
|
6.25
|
|
|
|
0.96
|
|
|
|
10.00
|
|
|
|
5.23
|
|
|
|
0.80
|
|
Weighted average
number of Class A and Class B
ordinary
shares used in computing net income/(loss) per
share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
582,324,325
|
|
|
|
582,324,325
|
|
|
|
582,324,325
|
|
|
|
582,324,325
|
|
|
|
582,275,800
|
|
|
|
582,324,325
|
|
|
|
582,324,325
|
|
Diluted
|
|
582,324,325
|
|
|
|
582,324,325
|
|
|
|
582,324,325
|
|
|
|
582,324,325
|
|
|
|
582,275,800
|
|
|
|
582,324,325
|
|
|
|
582,324,325
|
|
* The gain on disposal of available-for-sale debt investments
had been net of accrued PRC withholding tax, which was calculated
based on 10% of the gain recognized from the disposal of
available-for-sale debt investments in Particle, with any relevant
tax adjustments if applicable, as regulated by the Public Notice on
Several Issues regarding Enterprise Income Tax for Indirect
Property Transfer by Non-resident Enterprises, or SAT Circular 7,
issued on February 3, 2015, and the
Public Notice Regarding Issues Concerning the Withholding of
Non-resident Enterprise Income Tax at Source, or SAT Public Notice
37, issued on October 17, 2017. The
accrued withholding tax may vary with the actual withholding tax to
be paid in the future. The difference between the currently
calculated withholding tax and the actual withholding tax to be
paid will be recognized as gain or loss on disposal of
available-for-sale debt investments in the period when the Company
actually settles the withholding tax with the tax authorities in
PRC.
Phoenix New Media
Limited Condensed Segments Information (Amounts
in thousands)
|
|
Three Months
Ended
|
|
|
Twelve Months
Ended
|
|
|
December
31,
|
|
|
September
30,
|
|
|
December
31,
|
|
|
December
31,
|
|
|
December
31,
|
|
|
December
31,
|
|
|
December
31,
|
|
|
2019
|
|
|
2020
|
|
|
2020
|
|
|
2020
|
|
|
2019
|
|
|
2020
|
|
|
2020
|
|
|
RMB
|
|
|
RMB
|
|
|
RMB
|
|
|
US$
|
|
|
RMB
|
|
|
RMB
|
|
|
US$
|
|
|
Unaudited
|
|
|
Unaudited
|
|
|
Unaudited
|
|
|
Unaudited
|
|
|
Audited*
|
|
|
Unaudited
|
|
|
Unaudited
|
|
Revenues:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net advertising
service
|
|
363,114
|
|
|
|
281,308
|
|
|
|
336,653
|
|
|
|
51,594
|
|
|
|
1,194,761
|
|
|
|
1,113,017
|
|
|
|
170,577
|
|
Paid
services
|
|
37,259
|
|
|
|
21,681
|
|
|
|
25,546
|
|
|
|
3,915
|
|
|
|
133,020
|
|
|
|
95,828
|
|
|
|
14,686
|
|
Total
revenues
|
|
400,373
|
|
|
|
302,989
|
|
|
|
362,199
|
|
|
|
55,509
|
|
|
|
1,327,781
|
|
|
|
1,208,845
|
|
|
|
185,263
|
|
Cost of
revenues
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net advertising
service
|
|
181,057
|
|
|
|
143,463
|
|
|
|
165,581
|
|
|
|
25,376
|
|
|
|
623,787
|
|
|
|
523,813
|
|
|
|
80,278
|
|
Paid
services
|
|
7,762
|
|
|
|
6,573
|
|
|
|
13,643
|
|
|
|
2,091
|
|
|
|
59,543
|
|
|
|
35,473
|
|
|
|
5,436
|
|
Total cost of
revenues
|
|
188,819
|
|
|
|
150,036
|
|
|
|
179,224
|
|
|
|
27,467
|
|
|
|
683,330
|
|
|
|
559,286
|
|
|
|
85,714
|
|
Gross
profit
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net advertising
service
|
|
182,057
|
|
|
|
137,845
|
|
|
|
171,072
|
|
|
|
26,218
|
|
|
|
570,974
|
|
|
|
589,204
|
|
|
|
90,299
|
|
Paid
services
|
|
29,497
|
|
|
|
15,108
|
|
|
|
11,903
|
|
|
|
1,824
|
|
|
|
73,477
|
|
|
|
60,355
|
|
|
|
9,250
|
|
Total gross
profit
|
|
211,554
|
|
|
|
152,953
|
|
|
|
182,975
|
|
|
|
28,042
|
|
|
|
644,451
|
|
|
|
649,559
|
|
|
|
99,549
|
|
Phoenix New Media
Limited Condensed Information of Cost of
Revenues (Amounts in thousands)
|
|
Three Months
Ended
|
|
|
Twelve Months
Ended
|
|
|
December
31,
|
|
|
September
30,
|
|
|
December
31,
|
|
|
December
31,
|
|
|
December
31,
|
|
|
December
31,
|
|
|
December
31,
|
|
|
2019
|
|
|
2020
|
|
|
2020
|
|
|
2020
|
|
|
2019
|
|
|
2020
|
|
|
2020
|
|
|
RMB
|
|
|
RMB
|
|
|
RMB
|
|
|
US$
|
|
|
RMB
|
|
|
RMB
|
|
|
US$
|
|
|
Unaudited
|
|
|
Unaudited
|
|
|
Unaudited
|
|
|
Unaudited
|
|
|
Audited*
|
|
|
Unaudited
|
|
|
Unaudited
|
|
Revenue sharing
fees
|
|
1,761
|
|
|
|
6,026
|
|
|
|
6,897
|
|
|
|
1,057
|
|
|
|
25,157
|
|
|
|
19,550
|
|
|
|
2,996
|
|
Content and
operational costs
|
|
172,152
|
|
|
|
129,749
|
|
|
|
158,458
|
|
|
|
24,284
|
|
|
|
603,573
|
|
|
|
482,641
|
|
|
|
73,968
|
|
Bandwidth
costs
|
|
14,906
|
|
|
|
14,261
|
|
|
|
13,869
|
|
|
|
2,126
|
|
|
|
54,600
|
|
|
|
57,095
|
|
|
|
8,750
|
|
Total cost of
revenues
|
|
188,819
|
|
|
|
150,036
|
|
|
|
179,224
|
|
|
|
27,467
|
|
|
|
683,330
|
|
|
|
559,286
|
|
|
|
85,714
|
|
Reconciliations of
Non-GAAP Results of Operations Measures to the Nearest Comparable
GAAP Measures
|
(Amounts in
thousands, except for number of ADSs and per ADS
data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December 31, 2019
|
|
Three Months Ended
September 30, 2020
|
|
Three Months Ended
December 31, 2020
|
|
GAAP
|
|
Non-GAAP
Adjustments
|
|
Non-
GAAP
|
|
GAAP
|
|
Non-GAAP
Adjustments
|
|
Non-
GAAP
|
|
GAAP
|
|
Non-GAAP
Adjustments
|
|
Non-
GAAP
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
Gross
profit
|
211,554
|
|
1,074
|
(1)
|
212,628
|
|
152,953
|
|
401
|
(1)
|
153,354
|
|
182,975
|
|
229
|
(1)
|
183,204
|
Gross
margin
|
52.8%
|
|
|
|
53.1%
|
|
50.5%
|
|
|
|
50.6%
|
|
50.5%
|
|
|
|
50.6%
|
|
|
|
3,928
|
(1)
|
|
|
|
|
1,758
|
(1)
|
|
|
|
|
2,734
|
(1)
|
|
|
|
|
-
|
(2)
|
|
|
|
|
-
|
(2)
|
|
|
|
|
22,786
|
(2)
|
|
Loss from
operations
|
(108,084)
|
|
3,928
|
|
(104,156)
|
|
(28,434)
|
|
1,758
|
|
(26,676)
|
|
(28,804)
|
|
25,520
|
|
(3,284)
|
Operating
margin
|
(27.0)%
|
|
|
|
(26.0)%
|
|
(9.4)%
|
|
|
|
(8.8)%
|
|
(8.0)%
|
|
|
|
(0.9)%
|
|
|
|
3,928
|
(1)
|
|
|
|
|
1,758
|
(1)
|
|
|
|
|
2,734
|
(1)
|
|
|
|
|
-
|
(2)
|
|
|
|
|
-
|
(2)
|
|
|
|
|
22,786
|
(2)
|
|
|
|
|
-
|
(3)
|
|
|
|
|
(6,013)
|
(3)
|
|
|
|
|
179
|
(3)
|
|
|
|
|
(1,143,755)
|
(4)
|
|
|
|
|
-
|
(4)
|
|
|
|
|
(573,860)
|
(4)
|
|
|
|
|
(4,441)
|
(5)
|
|
|
|
|
-
|
(5)
|
|
|
|
|
-
|
(5)
|
|
|
|
|
-
|
(6)
|
|
|
|
|
4,486
|
(6)
|
|
|
|
|
-
|
(6)
|
|
|
|
|
-
|
(7)
|
|
|
|
|
2,000
|
(7)
|
|
|
|
|
-
|
(7)
|
|
|
|
|
-
|
(8)
|
|
|
|
|
-
|
(8)
|
|
|
|
|
(11,393)
|
(8)
|
|
|
|
|
142,574
|
(9)
|
|
|
|
|
-
|
(9)
|
|
|
|
|
96,606
|
(9)
|
|
Net income/(loss)
attributable
to Phoenix New
Media Limited
|
902,524
|
|
(1,001,694)
|
|
(99,170)
|
|
(949)
|
|
2,231
|
|
1,282
|
|
454,778
|
|
(462,948)
|
|
(8,170)
|
Net margin
|
225.4%
|
|
|
|
(24.8)%
|
|
(0.3)%
|
|
|
|
0.4%
|
|
125.6%
|
|
|
|
(2.3)%
|
Net income/(loss)
per
ADS-diluted
|
12.40
|
|
|
|
(1.36)
|
|
(0.01)
|
|
|
|
0.02
|
|
6.25
|
|
|
|
(0.11)
|
Weighted average
number
of ADSs used in computing
diluted net income/(loss) per ADS
|
72,790,541
|
|
|
|
72,790,541
|
|
72,790,541
|
|
|
|
72,790,541
|
|
72,790,541
|
|
|
|
72,790,541
|
(1) Share-based compensation
(2) Impairment of goodwill
(3) (Income)/loss from equity method investments
(4) Gain on disposal of available-for-sale debt
investments
(5) Changes in fair value of forward contract in relation to
disposal of investments in Particle
(6) Changes in fair value of loan related to co-sale of
Particle shares
(7) Impairment of available-for-sale debt investments
(8) Loss attributable to noncontrolling interest related to
item (2)
(9) Accrued withholding taxes of item (4). Other non-GAAP to
GAAP reconciling items have no income tax effect.
Reconciliations of
Non-GAAP Results of Operations Measures to the Nearest Comparable
GAAP Measures
|
(Amounts in
thousands, except for number of ADSs and per ADS
data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months
Ended December 31, 2019
|
|
Twelve Months
Ended December 31, 2020
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP
|
|
Non-GAAP
Adjustments
|
|
Non-
GAAP
|
|
GAAP
|
|
Non-GAAP
Adjustments
|
|
Non-
GAAP
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
Gross
profit
|
644,451
|
|
5,173
|
(1)
|
649,624
|
|
649,559
|
|
2,613
|
(1)
|
652,172
|
Gross
margin
|
48.5%
|
|
|
|
48.9%
|
|
53.7%
|
|
|
|
54.0%
|
|
|
|
11,859
|
(1)
|
|
|
|
|
9,383
|
(1)
|
|
|
|
|
-
|
(2)
|
|
|
|
|
22,786
|
(2)
|
|
Loss from
operations
|
(356,109)
|
|
11,859
|
|
(344,250)
|
|
(102,576)
|
|
32,169
|
|
(70,407)
|
Operating
margin
|
(26.8)%
|
|
|
|
(25.9)%
|
|
(8.5)%
|
|
|
|
(5.8)%
|
|
|
|
11,859
|
(1)
|
|
|
|
|
9,383
|
(1)
|
|
|
|
|
-
|
(2)
|
|
|
|
|
22,786
|
(2)
|
|
|
|
|
3,447
|
(3)
|
|
|
|
|
(5,598)
|
(3)
|
|
|
|
|
(1,143,755)
|
(4)
|
|
|
|
|
(573,860)
|
(4)
|
|
|
|
|
(4,441)
|
(5)
|
|
|
|
|
(16,085)
|
(5)
|
|
|
|
|
-
|
(6)
|
|
|
|
|
24,535
|
(6)
|
|
|
|
|
-
|
(7)
|
|
|
|
|
2,000
|
(7)
|
|
|
|
|
-
|
(8)
|
|
|
|
|
(11,393)
|
(8)
|
|
|
|
|
142,574
|
(9)
|
|
|
|
|
96,606
|
(9)
|
|
Net income/(loss)
attributable to Phoenix New
Media
Limited
|
664,196
|
|
(990,316)
|
|
(326,120)
|
|
417,976
|
|
(451,626)
|
|
(33,650)
|
Net margin
|
50.0%
|
|
|
|
(24.6)%
|
|
34.6%
|
|
|
|
(2.8)%
|
Net income/(loss) per
ADS-diluted
|
9.13
|
|
|
|
(4.48)
|
|
5.74
|
|
|
|
(0.46)
|
Weighted average
number of ADSs used in computing diluted net income/(loss) per
ADS
|
72,784,475
|
|
|
|
72,784,475
|
|
72,790,541
|
|
|
|
72,790,541
|
(1) Share-based compensation
(2) Impairment of goodwill
(3) Loss/(income) from equity
method investments
(4) Gain on disposal of available-for-sale debt
investments
(5) Changes in fair value of forward contract in relation to
disposal of investments in Particle
(6) Changes in fair value of loan related to co-sale of
Particle shares
(7) Impairment of available-for-sale debt investments
(8) Loss attributable to noncontrolling interest related to
item (2)
(9) Accrued withholding taxes of item (4). Other non-GAAP to
GAAP reconciling items have no income tax effect.
[1] Paid services revenues
comprise of (i) revenues from paid contents excluding those from
Tadu, which includes digital reading, audio books, paid videos, and
other content-related sales activities, (ii) revenues from games,
which includes web-based games and mobile games, (iii) revenues
from MVAS, and (iv) revenues from others.
[2] "Others, net" primarily consists of government subsidies and
litigation loss provisions.
[3] "ADS" means American Depositary Share of the Company. Each
ADS represents eight Class A ordinary shares of the Company.
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content:http://www.prnewswire.com/news-releases/phoenix-new-media-reports-fourth-quarter-and-fiscal-year-2020-unaudited-financial-results-301247532.html
SOURCE Phoenix New Media Limited