UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 UNDER
THE SECURITIES EXCHANGE ACT OF 1934
For the month of May 2024
Commission File Number: 001-38369
Zepp Health Corporation
(Registrant’s Name)
Huami Global Innovation Center
Building B2, Zhong’an Chuanggu
Technology Park
No. 900 Wangjiang West Road
Hefei, 230088
People’s Republic of China
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual
reports under cover of Form 20-F or Form 40-F.
Form 20-F x
Form 40-F ¨
Exhibit Index
Exhibit 99.1 – Press Release
SIGNATURE
Pursuant to the requirements of the Securities
Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| |
Zepp Health Corporation |
| |
|
| |
By: |
/s/ Leon Deng |
| |
Name: |
Leon Deng |
| |
Title: |
Chief Financial Officer |
Date: May 22, 2024
Exhibit 99.1
Zepp
Health Corporation Reports First Quarter 2024 Unaudited Financial Results
MILPITAS,
Calif., May 20, 2024 /PRNewswire/ -- Zepp Health Corporation (“Zepp” or the “Company”) (NYSE: ZEPP)
today reported revenues of US$39.8 million; a basic and diluted net loss per share of US$0.06; and a basic and diluted net loss per ADS
of US$0.23 for the first quarter ended March 31, 2024; adjusted basic and diluted net loss per share of US$0.05; and adjusted basic
and diluted net loss per ADS of US$0.19. Each ADS represents four Class A ordinary shares.
Mr. Wang
'Wayne' Huang, Chairman and CEO of Zepp, commented, “In the first quarter of 2024, our revenue came broadly in line with
our guidance. Our gross margin performance reached a record high, and our self-branded product sales contributed over 85% of total revenues.
Notably, the MAU of our Zepp application has exceeded 10 million, marking an early success of our transformation journey.”
Wayne continued: “On
the products front, we offer a diverse range of series tailored to various market needs. Each series is strategically positioned with
a thorough understanding of its competitors and targeted price ranges. We are delighted to observe that our Balance and Active product
line has gained more popularity among consumers and KOLs due to the attractive designs and innovative functionalities such as cutting-edge
AI functions, a wide range of health services and a diverse selection of watch faces and app ecosystems. This has enabled us to position
this product line to a more premium market than before and generate better gross margins. In May, we unveiled the new Amazfit Bip 5 Unity.
Through the stainless-steel appearance and bigger screen, we have brought many user-favorite software functions from our mid-to-high-end
product lines to Unity, and brought richer apps and watch faces through Zepp OS 3.0 to unity, strengthening our sub-$100 market competitiveness
and further expand our market share in emerging markets. We also launched a new product line in May, Helio Ring, which allows users who
prefer not to wear watches while sleeping to obtain 24-hour comprehensive health data monitoring. This enhances recovery for athletes
and provides readiness analysis for general users, ensuring a holistic user experience with both smartwatches and smart rings. We are
the first smartwatch brand to offer such a solution, placing us ahead of our competitors. Our software, especially the proprietary operating
system, Zepp OS, has been upgraded to version 3.5, integrating the large-model-based Zepp Flow AI system. This brings large model AI
interaction and messaging capabilities to our entire product line. The rapid application and innovation of large model AI technology
provides our smartwatch products with opportunities to surpass competitors, showcasing our company's execution and creativity capabilities.
Simultaneously, we've strategically invested in our marketing initiatives, prioritizing digital campaigns and outdoor advertising in
influential global hubs. This includes prominent placements like the Madrid airport advertising campaign and sponsorship of events such
as the recent Rotterdam Marathon. We will launch more advertisements in major global markets to amplify our market presence in coming
quarters and collaborate with major global channels like Decathlon, bringing our innovative full-range products to users during this
summer sports craze to increase our sales for the second half of the year. With exciting new product launches on the horizon, and supported
by our globalized research and management team, our confidence in our roadmap and future opportunities has never been stronger. We are
confident that our strategic investments in expanding our brand, enhancing our retail presence, and diversifying our product line will
drive growth and contribute to our long-term success.”
Mr. Leon
Deng, Zepp's Chief Financial Officer, added, “The first quarter is traditionally a slower season of us, with a significant
decline of Xiaomi products sales plus a more subdued new product launch window of our self-branded products, leading to a revenue decline
of this quarter compared with last year. However, we continue to achieve a historically high gross margin of 37%, a testament to the
superior performance of our self-branded products and a well-calibrated product mix that included a higher proportion of new offerings
and reduced clearances. This accomplishment distinctly embodies our strategic intent to prioritize profitability over scale. We judiciously
maintained our GAAP and adjusted operational expenses at or below US$30 and US$28 million per quarter, consistent with since the second
quarter of last year and in line with our financial forecasts. Our commitment to stringent discretionary spending controls remains unwavering.
We persistently pursued a cost-conscious approach while continuing to invest strategically in R&D and marketing initiatives to uphold
our competitive edge.”
Leon
continued, “We have also maintained vigilant oversight of our working capital throughout the first quarter. Despite a P&L
loss, we successfully sustained a positive operating cash flow for the seventh consecutive quarter. In the first quarter of 2023, we
initiated a retirement of portions of our short and long-term debt portfolio. Since the first quarter of 2023, we have successfully retired
US$46.7 million of debt. As our operating cash flow continues to strengthen,
we intend to do more in the coming quarters. With a robust cash reserve of US$132.3 million, we are exceptionally well-positioned to
seize strategic investment opportunities and capitalize on potential market expansions. As we progress through 2024, our dedication to
operational excellence and strategic foresight remains steadfast. We are resolute in our commitment to enhancing the engagement and satisfaction
of our users through continuous innovation in product features and applications. In the interim, we'll persist in our share repurchase
program, a tangible demonstration of management's unwavering confidence in the company's trajectory.”
First
Quarter of 2024 Financial Summary
| | |
For the
Three Months Ended | |
| Number in millions, except for percentages and
per- share/ADS amounts | |
Mar. 31,
2024 | | |
Mar. 31,
20231 | |
| Revenue RMB | |
| 287.2 | | |
| 645.2 | |
| Revenue US$ | |
| 39.8 | | |
| 93.9 | |
| Gross margin | |
| 36.8 | % | |
| 15.9 | % |
| Net loss RMB | |
| (105.8 | ) | |
| (136.9 | ) |
| Net loss US$ | |
| (14.6 | ) | |
| (19.9 | ) |
| Adjusted
EBIT RMB4 | |
| (86.4 | ) | |
| (128.5 | ) |
| Adjusted EBIT US$ | |
| (12.0 | ) | |
| (18.7 | ) |
| Net loss attributable to Zepp Health Corporation RMB | |
| (105.5 | ) | |
| (136.7 | ) |
| Adjusted
net loss attributable to Zepp Health Corporation RMB2 | |
| (89.7 | ) | |
| (112.7 | ) |
| Net loss attributable to Zepp Health Corporation US$ | |
| (14.6 | ) | |
| (19.9 | ) |
| Adjusted net loss attributable to Zepp Health Corporation
US$ | |
| (12.4 | ) | |
| (16.4 | ) |
| Basic/diluted net loss per share RMB | |
| (0.41 | ) | |
| (0.56 | ) |
| Basic/diluted net loss per ADS US$ | |
| (0.23 | ) | |
| (0.32 | ) |
| Adjusted
basic/diluted net loss per share RMB3 | |
| (0.35 | ) | |
| (0.46 | ) |
| Adjusted basic/diluted net loss per ADS US$ | |
| (0.19 | ) | |
| (0.27 | ) |
| Units shipped in millions | |
| 1.2 | | |
| 3.5 | |
1 The US$ numbers in 2023 are referenced
with the prior 6-K disclosures, where translations from RMB to US$ are made at a rate of RMB6.8676 to US$1.00, the effective noon buying
rate on March 31, 2023 as set forth in the H.10 statistical release of the Federal Reserve Board.
2
Adjusted net income/(loss) attributable to Zepp Health Corporation is a non-GAAP measure, which excludes share-based compensation
expenses. The tax effect from the adjustment of the Share-based compensation expenses is nil. See “Reconciliation of GAAP and Non-GAAP
Results” at the end of this press release.
3
Adjusted diluted net income/(loss) is the abbreviation of adjusted net income/(loss) attributable to Zepp Health Corporation,
which is a non-GAAP measure and excludes share-based compensation expenses attributable to Zepp Health Corporation, and is used as the
numerator in computation of adjusted basic and diluted net loss per ADS attributable to Zepp Health Corporation.
4 Adjusted EBIT is a non-GAAP financial
measure, which is defined as net loss, excluding (i) share-based compensation expenses, (ii) income tax (benefit)/ expense, (iii) interest
income, (iv) interest expense.
First Quarter 2024 Financial Results
Revenues
Revenues
for the first quarter of 2024 reached US$39.8 million, a decrease by 55.5% from the first quarter of 2023. The decrease was primarily
due to the decrease in the sales of Xiaomi wearable products, as well as the decrease in sales of our self-branded products as we did
not launch any new self-branded products in the first quarter of 2024.
Total units shipped in the first quarter of 2024
decreased by 65.7% year-over-year to 1.2 million, compared with 3.5 million in the first quarter of 2023.
Gross Margin
Gross
margin in the first quarter of 2024 was 36.8%, compared to 15.9% in the same period of 2023. We reached another record-high quarterly
gross margin since the third quarter of 2023, supported by the strong performance of our self-branded products and a more favourable
product mix, with a higher proportion of new products and a reduction in clearance sales, which typically have lower margins.
Research and Development Expenses
Research
and development expenses in the first quarter of 2024 were US$13.3 million, a decrease by 18.4% year-over-year. This accounted
for 33.5% of revenues, compared to 18.3% for the same period in 2023. The decrease was as a result of our refined research and development
approaches, as we consistently evaluated resource efficiency to ensure maximum return on investment and productivity. We are committed
to investing in new technologies, including AI, to maintain our competitive edge against our peers.
Selling and Marketing Expenses
Selling
and marketing expenses in the first quarter of 2024 were US$10.7 million, a decrease by 10.1% year-over-year. This accounted for
26.9% of revenues, compared to 13.3% for the same period in 2023.
The
decrease was primarily as a result of our consistent push on retail profitability and channel mix improvement, which included meticulous
refinement of our retail channels and strategic staffing arrangements across sales regions. Simultaneously, we've strategically
invested in our marketing initiatives, prioritizing digital campaigns and outdoor advertising in influential global hubs. We are committed
to investing efficiently in marketing and branding to ensure our sustained growth.
General and Administrative Expenses
General
and administrative expenses were US$6.4 million in the first quarter of 2024, a decrease by 7.9% year-over-year. This accounted
for 16.0% of revenues, compared with 7.7% in the same period in 2023. The decrease in absolute value was largely attributable to our
personnel optimization initiative and strict administrative expense control.
Operating Expenses
Total
operating expenses for the first quarter of 2024 were US$30.4 million, a decrease by 13.5% year-over-year. Adjusted operating
expenses, which exclude share-based compensation, were US$28.2 million. In the first quarter of 2024, we incurred one-off expenses of
approximately US$0.5 million. We will maintain our cost-conscious approach in the upcoming quarters. We expect our operating expenses
to either remain at current levels or decrease further. Concurrently, we remain committed to investing in R&D and marketing activities
to ensure our long-term competitiveness.
Operating
Income/(Loss)
Operating
loss for the first quarter of 2024 was US$15.8 million, a decrease by 24.6% year-over-year. The reduced loss was largely due to
the improved gross margin of our self-branded products and reduced operating expenses.
Net
Income/(Loss)
Net
loss attributable to Zepp Health Corporation for the first quarter of 2024 was US$14.6 million, a decrease by 22.8% year-over-year.
The adjusted net loss attributable to Zepp Health Corporation, which excludes share-based compensation expenses attributable to Zepp
Health Corporation, was US$12.4 million, a decrease by 20.4% year-over-year.
Liquidity and Capital Resources
As
of March 31, 2024, the Company had cash and cash equivalents and restricted cash of US$132.3 million, We have generated positive
cash flow from our operating activities for the seventh consecutive quarter. We also successfully reduced our total debt, including short-term
and long-term bank borrowing balance, by US$0.7 million in the first quarter. We anticipate further reductions in our debt level in the
upcoming quarters.
The
Company continued to manage its working capital and inventory efficiently and recorded inventory levels of US$72.8 million as
of March 31, 2024. This reached the lowest level since June 30, 2019, marking a decrease by 12.8% and 34.3% compared with December 31,
2023 and March 31, 2023, respectively. We will continue to manage working capital tightly.
Share Repurchase Program Update
The
Company announced in its third quarter 2021 earnings release that the board had authorized a share repurchase program of up to US$20
million through November 2022. On November 21, 2022, the board authorized a 12-month extension of the Company’s
share repurchase program. On November 20, 2023, the board further authorized the Company to extend its share repurchase program
for another 12 months. Pursuant to the extended share repurchase program, the Company may repurchase its shares in the form of American
depositary shares and/or ordinary shares through November 2024 with an aggregate value equal to the remaining balance under the
share repurchase program. As of March 31, 2024, the Company had used US$13.4 million to repurchase 5,497,137 ADSs. The Company expects
to fund the repurchases under the extended share repurchase program out of its existing cash balance.
Outlook
For
the second quarter of 2024, the Company’s management currently expects net revenues to be between US$40 million and US$55
million, out of which more than 90% are expected to be generated from self-branded products. The new product Amazfit Helio Ring has just
been launched, and its contribution to revenues is uncertain.
This outlook is based
on current market conditions and reflects the Company’s current and preliminary estimates of market, operating conditions and customer
demand, which are all subject to change.
Conference Call
The
Company’s management team will hold a conference call at 7:00 p.m. Eastern Time on Monday, May 20, 2024 (7:00
a.m. Beijing Time on May 21, 2024) to discuss financial results and answer questions from investors and analysts. Listeners
may access the call by dialing:
| US
(Toll Free): |
+1-888-346-8982 |
| International: |
+1-412-902-4272 |
| Mainland
China (Toll Free): |
400-120-1203 |
| Hong
Kong (Toll Free): |
800-905-945 |
| Hong
Kong: |
+852-3018-4992 |
Participants should dial in at least 10 minutes
before the scheduled start time and ask to be connected to the call for “Zepp Health Corporation”.
Additionally, a live and archived webcast of
the conference call will be available at http://ir.zepp.com.
A
telephone replay will be available one hour after the call until March 27, 2024 by dialing:
| US
Toll Free: |
+1-877-344-7529 |
| International:
|
+1-412-317-0088 |
| Replay
Passcode: |
9164265 |
About
Zepp Health Corporation
Zepp
Health Corporation (NYSE: ZEPP) is a global smart wearable and health technology leader, empowering users to live their healthiest lives
by optimizing their health, fitness, and wellness journeys through its leading consumer brands, Amazfit, Zepp Clarity and Zepp Aura.
Powered by its proprietary Zepp Digital Management Platform, which includes the Zepp OS, AI chips, biometric sensors and data algorithms,
Zepp delivers cloud-based 24/7 actionable insights and guidance to help users attain their wellness goals. To date, Zepp has shipped
over 200 million units, and its products are available in more than 90 countries and regions. Founded in 2013 as Huami Corp., the Company
changed its name to Zepp Health Corporation in February 2021 to emphasize its health focus with a name that resonates across
languages and cultures globally. Zepp has team members and offices across globe, especially in Europe and USA regions.
Use of Non-GAAP Measures
We
use adjusted net income/(loss), a non-GAAP financial measure, in evaluating our operating results and for financial and operational
decision-making purposes. Adjusted operating expenses represent operating expenses excluding share-based compensation expenses. Adjusted
operating income/(loss) represents operating income/(loss) excluding share-based compensation expenses. Adjusted EBIT represents net
income/(loss) excluding share-based compensation expenses, income tax (benefit)/expense, interest income and interest expense. Adjusted
net income/(loss) represents net income/(loss) excluding share-based compensation expenses, and such adjustment has no impact on income
tax. Adjusted net income/(loss) attributable to Zepp Health Corporation is a non-GAAP measure, which excludes share-based compensation
expenses attributable to Zepp Health Corporation, and is used as the numerator in computation of adjusted net income/(loss) per share
and per ADS attributable to Zepp Health Corporation.
We believe that adjusted net income/(loss), adjusted
EBIT and adjusted net income/(loss) attributable to Zepp Health Corporation help identify underlying trends in our business that could
otherwise be distorted by the effect of certain expenses that we include in net income/(loss) and net income/(loss) attributable to Zepp
Health Corporation. We believe that adjusted net income/(loss), adjusted EBIT and adjusted net income/(loss) attributable to Zepp Health
Corporation provides useful information about our operating results, enhances the overall understanding of our past performance and future
prospects and allows for greater visibility with respect to key metrics used by our management in its financial and operational decision-making.
Adjusted net income/(loss), adjusted EBIT and
adjusted net income/(loss) attributable to Zepp Health Corporation, should not be considered in isolation or construed as an alternative
to net income/(loss), basic and diluted net income/(loss) per share and per ADS attributable to Zepp Health Corporation or any other
measure of performance or as an indicator of our operating performance. Investors are encouraged to review the historical non-GAAP financial
measures to the most directly comparable GAAP measures. Adjusted net income/(loss), adjusted EBIT and adjusted net income/(loss) attributable
to ordinary shareholders, presented here may not be comparable to similarly titled measures presented by other companies. Other companies
may calculate similarly titled measures differently, limiting their usefulness as comparative measures to our data. We encourage investors
and others to review our financial information in its entirety and not rely on a single financial measure.
Exchange Rate
The
Company’s business is primarily conducted in China. This announcement contains currency conversions of RMB amounts into US$ solely
for the convenience of the reader. Unless otherwise noted, all translations from RMB to US$ are made at a rate of RMB7.2203 to
US$1.00, the effective noon buying rate on March 29, 2024 as set forth in the H.10 statistical release of the Federal Reserve Board.
No representation is made that the RMB amounts could have been, or could be, converted, realized or settled into US$ at that rate on
March 29, 2024, or at any other rate.
Safe Harbor Statement
This announcement contains forward-looking statements.
These statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995.
These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,”
“future,” “intends,” “plans,” “believes,” “estimates,” “confident”
and similar statements. 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. 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 cooperation with Xiaomi, the recognition of the Company’s self-branded products; the Company’s growth strategies; trends
and competition in global wearable technology market; changes in the Company’s revenues and certain cost or expense accounting
policies; governmental policies relating to the Company’s industry and general economic conditions in China and the global. Further
information regarding these and other risks is included in the Company’s filings with the United States Securities and Exchange
Commission. All information provided in this press release and in the attachments is as of the date of this press release, and the Company
undertakes no obligation to update any forward-looking statement, except as required under applicable law.
For investor and media inquiries, please contact:
In China:
Zepp
Health Corporation
Grace Yujia Zhang
Email: ir@zepp.com
Piacente Financial Communications
Tel: +86-10-6508-0677
Email:
zepp@tpg-ir.com
Zepp
Health Corporation
UNAUDITED
CONDENSED CONSOLIDATED BALANCE SHEETS
(Amounts
in thousands of Renminbi ("RMB") and U.S. dollars ("US$")
except for number of
shares and per share data, or otherwise noted)
| | |
As
of December 31, | | |
As
of March 31, | |
| | |
2023 | | |
2024 | |
| | |
RMB | | |
RMB | | |
US$ | |
| Assets | |
| | |
| | |
| |
| Current assets: | |
| | | |
| | | |
| | |
| Cash and cash equivalents | |
| 949,036 | | |
| 895,823 | | |
| 124,070 | |
| Restricted cash | |
| 48,282 | | |
| 59,265 | | |
| 8,208 | |
| Accounts receivable, net | |
| 431,159 | | |
| 300,813 | | |
| 41,662 | |
| Amounts due from related parties | |
| 61,098 | | |
| 23,841 | | |
| 3,302 | |
| Inventories, net | |
| 602,688 | | |
| 525,785 | | |
| 72,820 | |
| Short-term investments | |
| 36,586 | | |
| 43,169 | | |
| 5,979 | |
| Prepaid expenses and other current assets | |
| 119,931 | | |
| 132,620 | | |
| 18,369 | |
| Total current assets | |
| 2,248,780 | | |
| 1,981,316 | | |
| 274,410 | |
| | |
| | | |
| | | |
| | |
| Property, plant and equipment, net | |
| 63,397 | | |
| 61,981 | | |
| 8,584 | |
| Intangible asset, net | |
| 70,061 | | |
| 66,440 | | |
| 9,202 | |
| Goodwill | |
| 68,023 | | |
| 69,177 | | |
| 9,581 | |
| Long-term investments | |
| 1,693,611 | | |
| 1,686,434 | | |
| 233,568 | |
| Deferred tax assets | |
| 230,041 | | |
| 229,464 | | |
| 31,780 | |
| Amount due from related parties, non-current | |
| 20,954 | | |
| 23,564 | | |
| 3,264 | |
| Other non-current assets | |
| 68,852 | | |
| 59,629 | | |
| 8,259 | |
| Operating lease right-of-use assets | |
| 48,412 | | |
| 34,292 | | |
| 4,749 | |
| Total assets | |
| 4,512,131 | | |
| 4,212,297 | | |
| 583,397 | |
Zepp
Health Corporation
UNAUDITED
CONDENSED CONSOLIDATED BALANCE SHEETS - CONTINUED
(Amounts
in thousands of Renminbi ("RMB") and U.S. dollars ("US$")
except for number of
shares and per share data, or otherwise noted)
| | |
As of December 31, | | |
As of March 31, | |
| | |
2023 | | |
2024 | |
| | |
RMB | | |
RMB | | |
US$ | |
| Liabilities | |
| | |
| | |
| |
| Current liabilities: | |
| | | |
| | | |
| | |
| Accounts payable | |
| 264,726 | | |
| 152,587 | | |
| 21,133 | |
| Advance from customers | |
| 1,653 | | |
| 1,661 | | |
| 230 | |
| Amount due to related parties | |
| 24,671 | | |
| 13,797 | | |
| 1,911 | |
| Accrued expenses and other current liabilities | |
| 315,592 | | |
| 271,200 | | |
| 37,561 | |
| Income tax payables | |
| 7,003 | | |
| 7,337 | | |
| 1,016 | |
| Notes payable | |
| 475,629 | | |
| 434,099 | | |
| 60,122 | |
| Short-term bank borrowings | |
| 12,000 | | |
| 275,000 | | |
| 38,087 | |
| Total current liabilities | |
| 1,101,274 | | |
| 1,155,681 | | |
| 160,060 | |
| Deferred tax liabilities | |
| 29,601 | | |
| 29,448 | | |
| 4,079 | |
| Long-term borrowings | |
| 852,133 | | |
| 583,820 | | |
| 80,858 | |
| Other non-current liabilities | |
| 1,916 | | |
| 1,916 | | |
| 265 | |
| Non-current operating lease liabilities | |
| 22,697 | | |
| 21,513 | | |
| 2,980 | |
| Total liabilities | |
| 2,007,621 | | |
| 1,792,378 | | |
| 248,242 | |
Zepp
Health Corporation
UNAUDITED
CONDENSED CONSOLIDATED BALANCE SHEETS - CONTINUED
(Amounts
in thousands of Renminbi (“RMB”) and U.S. dollars (“US$”)
except
for number of shares and per share data, or otherwise noted)
| | |
As of December 31, | | |
As of March 31, | |
| | |
2023 | | |
2024 | |
| | |
RMB | | |
RMB | | |
US$ | |
| Equity | |
| | | |
| | | |
| | |
| Ordinary shares | |
| 164 | | |
| 164 | | |
| 23 | |
| Additional paid-in capital | |
| 1,750,580 | | |
| 1,766,355 | | |
| 244,637 | |
| Treasury stock | |
| (85,217 | ) | |
| (89,338 | ) | |
| (12,373 | ) |
| Accumulated retained earnings | |
| 730,731 | | |
| 625,207 | | |
| 86,590 | |
| Accumulated other comprehensive income | |
| 96,318 | | |
| 105,828 | | |
| 14,657 | |
| Total Zepp Health Corporation shareholders’
equity | |
| 2,492,576 | | |
| 2,408,216 | | |
| 333,534 | |
| Noncontrolling interest | |
| 11,934 | | |
| 11,703 | | |
| 1,621 | |
| Total equity | |
| 2,504,510 | | |
| 2,419,919 | | |
| 335,155 | |
| Total liabilities and equity | |
| 4,512,131 | | |
| 4,212,297 | | |
| 583,397 | |
Zepp
Health Corporation
UNAUDITED
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Amounts
in thousands of Renminbi (“RMB”) and U.S. dollars (“US$”)
except
for number of shares and per share data, or otherwise noted)
| |
|
For the Three
Months Ended March 31, |
|
| |
|
2023 |
|
|
2024 |
|
| |
|
RMB |
|
|
RMB |
|
|
US$ |
|
| Revenues |
|
|
645,183 |
|
|
|
287,231 |
|
|
|
39,781 |
|
| Cost of revenues |
|
|
(542,338 |
) |
|
|
(181,557 |
) |
|
|
(25,145 |
) |
| Gross profit |
|
|
102,845 |
|
|
|
105,674 |
|
|
|
14,636 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
| Operating expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
| Selling and marketing |
|
|
(85,978 |
) |
|
|
(77,313 |
) |
|
|
(10,708 |
) |
| General and administrative |
|
|
(49,901 |
) |
|
|
(45,961 |
) |
|
|
(6,366 |
) |
| Research and development |
|
|
(117,874 |
) |
|
|
(96,136 |
) |
|
|
(13,315 |
) |
| Total operating expenses |
|
|
(253,753 |
) |
|
|
(219,410 |
) |
|
|
(30,389 |
) |
| Operating loss |
|
|
(150,908 |
) |
|
|
(113,736 |
) |
|
|
(15,753 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
| Other income and expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
| Interest income |
|
|
4,133 |
|
|
|
7,277 |
|
|
|
1,008 |
|
| Interest expense |
|
|
(13,318 |
) |
|
|
(10,371 |
) |
|
|
(1,436 |
) |
| Other (expense)/income, net |
|
|
(1,985 |
) |
|
|
489 |
|
|
|
68 |
|
| Gain from fair value change of long-term investments |
|
|
3,127 |
|
|
|
15,118 |
|
|
|
2,094 |
|
| Investment income |
|
|
234 |
|
|
|
- |
|
|
|
- |
|
| Loss before income tax and loss from equity method investments |
|
|
(158,717 |
) |
|
|
(101,223 |
) |
|
|
(14,019 |
) |
| Income tax benefits/(expenses) |
|
|
24,734 |
|
|
|
(514 |
) |
|
|
(71 |
) |
| Loss before income from equity method investments |
|
|
(133,983 |
) |
|
|
(101,737 |
) |
|
|
(14,090 |
) |
| Net loss from equity method investments |
|
|
(2,931 |
) |
|
|
(4,018 |
) |
|
|
(556 |
) |
| Net loss |
|
|
(136,914 |
) |
|
|
(105,755 |
) |
|
|
(14,646 |
) |
| Less: Net loss attributable to noncontrolling
interest |
|
|
(194 |
) |
|
|
(231 |
) |
|
|
(32 |
) |
| Net loss attributable to Zepp Health
Corporation |
|
|
(136,720 |
) |
|
|
(105,524 |
) |
|
|
(14,614 |
) |
| Net loss per share attributable to Zepp Health Corporation |
|
|
|
|
|
|
|
|
|
|
|
|
| Basic loss per ordinary share |
|
|
(0.56 |
) |
|
|
(0.41 |
) |
|
|
(0.06 |
) |
| Diluted loss per ordinary share |
|
|
(0.56 |
) |
|
|
(0.41 |
) |
|
|
(0.06 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
| Net loss per ADS (4 ordinary shares equal to 1 ADS) |
|
|
|
|
|
|
|
|
|
|
|
|
| ADS – basic |
|
|
(2.23 |
) |
|
|
(1.63 |
) |
|
|
(0.23 |
) |
| ADS – diluted |
|
|
(2.23 |
) |
|
|
(1.63 |
) |
|
|
(0.23 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
| Weighted average number of shares used in computing net loss per share |
|
|
|
|
|
|
|
|
|
|
|
|
| Ordinary share – basic |
|
|
245,133,616 |
|
|
|
259,525,679 |
|
|
|
259,525,679 |
|
| Ordinary share – diluted |
|
|
245,133,616 |
|
|
|
259,525,679 |
|
|
|
259,525,679 |
|
Zepp
Health Corporation
Reconciliation
of GAAP and Non-GAAP Results
(Amounts
in thousands of Renminbi ("RMB") and U.S. dollars ("US$")
except
for number of shares and per share data, or otherwise noted)
| | |
For the
Three Months Ended March 31, | |
| | |
2023 | | |
2024 | |
| | |
RMB | | |
RMB | | |
US$ | |
| Total operating expenses | |
| (253,753 | ) | |
| (219,410 | ) | |
| (30,389 | ) |
| Share-based
compensation expenses2 | |
| 23,992 | | |
| 15,775 | | |
| 2,186 | |
| Total adjusted operating expenses | |
| (229,761 | ) | |
| (203,635 | ) | |
| (28,203 | ) |
| | |
| | | |
| | | |
| | |
| Operating loss | |
| (150,908 | ) | |
| (113,736 | ) | |
| (15,753 | ) |
| Share-based compensation expenses | |
| 23,992 | | |
| 15,775 | | |
| 2,186 | |
| Adjusted operating loss | |
| (126,916 | ) | |
| (97,961 | ) | |
| (13,567 | ) |
| | |
| | | |
| | | |
| | |
| Net loss | |
| (136,914 | ) | |
| (105,755 | ) | |
| (14,646 | ) |
| Share-based compensation expenses | |
| 23,992 | | |
| 15,775 | | |
| 2,186 | |
| Income tax (benefits)/expenses | |
| (24,734 | ) | |
| 514 | | |
| 71 | |
| Interest income | |
| (4,133 | ) | |
| (7,277 | ) | |
| (1,008 | ) |
| Interest expense | |
| 13,318 | | |
| 10,371 | | |
| 1,436 | |
| Adjusted EBIT | |
| (128,471 | ) | |
| (86,372 | ) | |
| (11,961 | ) |
| | |
| | | |
| | | |
| | |
| Net loss attributable to Zepp Health Corporation | |
| (136,720 | ) | |
| (105,524 | ) | |
| (14,614 | ) |
| Share-based compensation expenses | |
| 23,992 | | |
| 15,775 | | |
| 2,186 | |
| Adjusted
net loss attributable to Zepp Health Corporation2 | |
| (112,728 | ) | |
| (89,749 | ) | |
| (12,428 | ) |
| | |
| | | |
| | | |
| | |
| Adjusted net loss per share attributable to Zepp
Health Corporation | |
| | | |
| | | |
| | |
| Adjusted basic loss per ordinary share | |
| (0.46 | ) | |
| (0.35 | ) | |
| (0.05 | ) |
| Adjusted diluted loss per ordinary share | |
| (0.46 | ) | |
| (0.35 | ) | |
| (0.05 | ) |
| | |
| | | |
| | | |
| | |
| Adjusted net loss per ADS (4 ordinary shares equal
to 1 ADS) | |
| | | |
| | | |
| | |
| ADS – basic | |
| (1.84 | ) | |
| (1.38 | ) | |
| (0.19 | ) |
| ADS – diluted | |
| (1.84 | ) | |
| (1.38 | ) | |
| (0.19 | ) |
| | |
| | | |
| | | |
| | |
| Weighted average number of shares used in computing adjusted net loss
per share | |
| | | |
| | | |
| | |
| Ordinary share – basic | |
| 245,133,616 | | |
| 259,525,679 | | |
| 259,525,679 | |
| Ordinary share – diluted | |
| 245,133,616 | | |
| 259,525,679 | | |
| 259,525,679 | |
| | |
| | | |
| | | |
| | |
| Share-based compensation expenses included are
follows: | |
| | | |
| | | |
| | |
| Selling and marketing | |
| 1,155 | | |
| 1,694 | | |
| 235 | |
| General and administrative | |
| 10,783 | | |
| 7,427 | | |
| 1,029 | |
| Research and development | |
| 12,054 | | |
| 6,654 | | |
| 922 | |
| Total | |
| 23,992 | | |
| 15,775 | | |
| 2,186 | |
Grafico Azioni Zepp Health (NYSE:ZEPP)
Storico
Da Dic 2024 a Gen 2025
Grafico Azioni Zepp Health (NYSE:ZEPP)
Storico
Da Gen 2024 a Gen 2025
