iQIYI Announces First Quarter 2019 Financial Results
First Quarter 2019 Highlights
- Total revenues were
RMB7.0 billion (US$1.0 billion 1), representing a 43% increase from the same period in 2018. - Operating loss was
RMB2.0 billion (US$301.9 million ) and operating loss margin was 29%, compared to operating loss ofRMB1.1 billion and operating loss margin of 22% in the same period in 2018. - Net loss attributable to iQIYI was
RMB1.8 billion (US$270.3 million ), compared to net loss attributable to iQIYI ofRMB395.7 million in the same period in 2018. Diluted net loss attributable to iQIYI per ADS wasRMB2.52 (US$0.35) . - The number of total subscribing members was 96.8 million as of
March 31, 2019 , 98.6% of whom were paying subscribing members. This compares to 61.3 million of total subscribing members as ofMarch 31, 2018 , up 58% year over year.
“We started off 2019 with a solid quarter of results, especially in membership business driven by our rapidly growing subscriber base of 96.8 million at quarter end,” commented Dr.
“We delivered another quarter of decent top-line growth with total revenues increasing 43% year-over-year to
___________________________________________________________
Footnotes:
[1] This announcement contains translations of certain RMB amounts into U.S. dollars at specified rates solely for the convenience of the reader. Unless otherwise noted, all translations from RMB to U.S. dollars are made at a rate of
First Quarter 2019 Financial Results
Total revenues reached
Membership services revenue was
Online advertising services revenue was
Content distribution revenue was
Other revenues were
Cost of revenues was
Selling, general and administrative expenses were
Research and development expenses were
Operating loss was
Total other income was
Loss before income taxes was
Income tax expense was
Net loss attributable to iQIYI was
As of
Financial Guidance
For the second quarter of 2019, iQIYI expects total net revenues to be between
Conference Call Information
iQIYI's management will hold an earnings conference call at
International | +65 67135090 |
China | 4006 208038 |
US |
+1 845 675 0437 |
UK | +44 2036 214779 |
Hong Kong | +852 3018 6771 |
Passcode: | 6672348 |
A telephone replay of the call will be available two hours after the conclusion of the conference call through
Dial-in numbers for the replay are as follows:
International Dial-in | +61 2 8199 0299 |
Passcode: | 6672348 |
A live and archived webcast of this conference call will be available at http://ir.iqiyi.com.
About iQIYI, Inc.
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. Among other things, the Financial Guidance and quotations from management in this announcement, as well as iQIYI's strategic and operational plans, contain forward-looking statements. iQIYI may also make written or oral forward-looking statements in its periodic reports to the
For more information, please contact:
Investor Relations
+ 86 10 8264 6585
ir@qiyi.com
iQIYI, INC. | |||||||||||
Condensed Consolidated Statements of Income | |||||||||||
(In RMB thousands, except for number of shares and per share data) | |||||||||||
Three Months Ended | |||||||||||
March 31, | December 31, | March 31, | |||||||||
2018 | 2018 | 2019 | |||||||||
RMB | RMB | RMB | |||||||||
(Unaudited) | (Unaudited) | (Unaudited) | |||||||||
Revenues: | |||||||||||
Membership services | 2,094,985 | 3,200,981 | 3,445,343 | ||||||||
Online advertising services | 2,110,670 | 2,203,637 | 2,119,433 | ||||||||
Content distribution | 266,670 | 522,038 | 442,620 | ||||||||
Others | 404,980 | 1,100,666 | 982,523 | ||||||||
Total revenues | 4,877,305 | 7,027,322 | 6,989,919 | ||||||||
Operating costs and expenses: | |||||||||||
Cost of revenues | (4,848,219 | ) | (8,522,761 | ) | (7,277,196 | ) | |||||
Selling, general and administrative | (704,237 | ) | (1,221,681 | ) | (1,140,611 | ) | |||||
Research and development | (387,329 | ) | (607,468 | ) | (598,072 | ) | |||||
Total operating costs and expenses | (5,939,785 | ) | (10,351,910 | ) | (9,015,879 | ) | |||||
Operating loss | (1,062,480 | ) | (3,324,588 | ) | (2,025,960 | ) | |||||
Other expense | |||||||||||
Interest income | 4,726 | 118,025 | 65,097 | ||||||||
Interest expenses | (8,325 | ) | (61,238 | ) | (135,247 | ) | |||||
Foreign exchange gain/(loss), net | 474,155 | (73,836 | ) | 328,035 | |||||||
Loss from equity method investments | (99 | ) | (16,016 | ) | (34,535 | ) | |||||
Other income/(expense), net | 195,780 | (1,686 | ) | (12,224 | ) | ||||||
Total other income /(expense), net | 666,237 | (34,751 | ) | 211,126 | |||||||
Loss before income taxes | (396,243 | ) | (3,359,339 | ) | (1,814,834 | ) | |||||
Income tax expense | (509 | ) | (79,492 | ) | (7,443 | ) | |||||
Net loss | (396,752 | ) | (3,438,831 | ) | (1,822,277 | ) | |||||
Less: Net (loss) income attributable to noncontrolling interests | (1,059 | ) | 37,888 | (8,301 | ) | ||||||
Net loss attributable to iQIYI, Inc. | (395,693 | ) | (3,476,719 | ) | (1,813,976 | ) | |||||
Accretion of redeemable convertible preferred shares | (289,363 | ) | - | - | |||||||
Net loss attributable to ordinary shareholders | (685,056 | ) | (3,476,719 | ) | (1,813,976 | ) | |||||
Net loss per Class A and Class B ordinary share: | |||||||||||
Basic | (1.97 | ) | (0.69 | ) | (0.36 | ) | |||||
Diluted | (1.97 | ) | (0.69 | ) | (0.36 | ) | |||||
Net loss per ADS (1 ADS equals 7 Class A ordinary shares): | |||||||||||
Basic | - | (4.83 | ) | (2.52 | ) | ||||||
Diluted | - | (4.83 | ) | (2.52 | ) | ||||||
Weighted average number of Class A and Class B ordinary shares used in net loss per share computation: | |||||||||||
Basic | 347,381,732 | 5,069,616,758 | 5,083,030,810 | ||||||||
Diluted | 347,381,732 | 5,069,616,758 | 5,083,030,810 | ||||||||
iQIYI, INC. | ||||||
Condensed Consolidated Balance Sheets | ||||||
(In RMB thousands, except for number of shares and per share data) | ||||||
December 31, | March 31, | |||||
2018 | 2019 | |||||
RMB | RMB | |||||
(Audited) | (Unaudited) | |||||
ASSETS | ||||||
Current assets: | ||||||
Cash and cash equivalents | 4,586,405 | 11,874,293 | ||||
Restricted cash | 2,174,042 | 2,151,245 | ||||
Short-term investments | 6,061,832 | 3,886,002 | ||||
Accounts receivable | 2,889,234 | 3,021,171 | ||||
Prepayments and other assets | 2,696,381 | 2,928,591 | ||||
Amounts due from related parties | 281,710 | 495,501 | ||||
Licensed copyrights, net | 1,163,839 | 1,261,760 | ||||
Total current assets | 19,853,443 | 25,618,563 | ||||
Non-current assets: | ||||||
Fixed assets, net | 1,618,147 | 1,746,679 | ||||
Long-term investments | 2,572,040 | 2,568,368 | ||||
Deferred tax assets, net | 23,873 | 23,873 | ||||
Licensed copyrights, net | 6,640,910 | 6,327,855 | ||||
Intangible assets, net | 1,678,193 | 1,559,022 | ||||
Produced content, net | 3,736,063 | 4,213,078 | ||||
Prepayments and other assets | 4,695,883 | 5,151,044 | ||||
Goodwill | 3,888,346 | 3,888,346 | ||||
Amounts due from related parties | 52,800 | 64,800 | ||||
Total non-current assets | 24,906,255 | 25,543,065 | ||||
Total assets | 44,759,698 | 51,161,628 | ||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||
Current liabilities: | ||||||
Accounts and notes payable | 10,162,366 | 10,351,228 | ||||
Amounts due to related parties | 692,390 | 940,117 | ||||
Customer advances and deferred revenue | 2,195,283 | 1,960,719 | ||||
Short-term loans | 3,046,449 | 3,586,155 | ||||
Long-term loans, current portion | 83,720 | 79,066 | ||||
Accrued expenses and other liabilities | 3,632,148 | 3,763,934 | ||||
Total current liabilities | 19,812,356 | 20,681,219 | ||||
Non-current liabilities: | ||||||
Long-term loans | 644,169 | 651,276 | ||||
Convertible senior notes | 4,712,284 | 11,553,301 | ||||
Deferred tax liabilities | 96,405 | 83,530 | ||||
Amounts due to related parties | 1,281,370 | 1,260,504 | ||||
Other non-current liabilities | 57,551 | 291,001 | ||||
Total non-current liabilities | 6,791,779 | 13,839,612 | ||||
Total liabilities | 26,604,135 | 34,520,831 | ||||
Shareholders’ equity: | ||||||
Class A ordinary shares | 138 | 140 | ||||
Class B ordinary shares | 183 | 183 | ||||
Additional paid-in capital | 39,666,150 | 40,401,567 | ||||
Accumulated deficit | (23,509,486 | ) | (25,323,462 | ) | ||
Accumulated other comprehensive income | 1,879,946 | 1,452,078 | ||||
Non-controlling interests | 118,632 | 110,291 | ||||
Total iQIYI, Inc. shareholders’ equity | 18,155,563 | 16,640,797 | ||||
Total liabilities, mezzanine equity and shareholders’ equity | 44,759,698 | 51,161,628 |
Source: iQIYI, Inc.