Kingsoft Cloud Holdings Limited (“Kingsoft Cloud” or the “Company”)
(NASDAQ: KC and HKEX: 3896), a leading independent cloud service
provider in China, today announced its unaudited financial results
for the second quarter ended June 30, 2023.
Mr. Tao Zou, Chief Executive Officer of Kingsoft Cloud,
commented, “With our top priority remaining to achieve high-quality
and sustainable development, we keep our focus on selected
verticals and invest in core technologies to build our competencies
and improve our efficiencies. Our execution of these strategies is
well reflected in the sustained robust growth momentum of our gross
profit and Non-GAAP EBITDA in the second quarter of 2023.
Meanwhile, we are maintaining a high level of agility and quick
response to AI trends. This quarter, we launched our
Model-as-a-Service solutions to serve AI customers by providing
turn-key solutions and to build secure and trusted structures to
better connect Large Language Model companies and model usage
companies. Looking forward, we will leverage and amplify the
synergy with Xiaomi and Kingsoft Corporation ecosystem to fully
embrace the opportunities in the AI trend.”
Mr. Henry He, Chief Financial Officer of Kingsoft Cloud, added,
“Our gross margin continued its upward trend and recorded a
historical high of 11.3%, increasing for another consecutive
quarter and rising by a significant 7.9 percentage points
year-over-year. Within that, gross margin of public cloud services
increased to 5.2% from negative 2.4% in the same period last year
and gross margin of enterprise cloud services reached 21.7% from
15.3% in the same period last year. Our adjusted EBITDA margin
narrowed down largely from -8.6% in the second quarter of 2022 and
-7.0% last quarter to -3.3% in this quarter, demonstrating our
revenue quality improvement as well as effective expense control.
This quarter, we once again recorded operating cash inflow of
RMB65.2 million, resulting from our enhanced management of accounts
receivables and cash usage. We believe we are directing to a more
balanced and healthy business structure and improving financial
performance.”
Second Quarter 2023 Financial Results
Total Revenues reached RMB1,835.4 million
(US$253.11 million), representing a decrease of 3.7% from
RMB1,906.5 million in the same period of 2022. The decrease was
mainly due to our proactive scale-down of services for two largest
CDN customers, and phasing-out of loss-making clients.
- Revenues from public cloud
services decreased by 10.1% to RMB1,159.5 million (US$159.9
million), compared with RMB1,289.1 million in the same quarter of
2022. The year-over-year decrease was mainly due to the
above-mentioned scale-down of our CDN services.
- Revenues from enterprise cloud
services were RMB675.2 million (US$93.1 million), representing an
increase of 9.5% from RMB616.6 million in the same quarter of 2022.
The year-over-year increase was mainly driven by our focus on
selected verticals and high-quality projects, recovery from
Covid-19 impact and more smooth and standard delivery process.
- Other revenues were RMB0.7 million
(US$0.1 million).
Cost of revenues was RMB1,628.8 million
(US$224.6 million), representing a significant decrease of 11.5%
from RMB1,841.3 million in the same quarter of 2022. We continue to
enhance our cost control measures. IDC costs decreased
significantly by 16.4% year-over-year from RMB1,029.1 million to
RMB860.7 million this quarter. Depreciation and amortization costs
decreased by 18.8% from RMB249.1 million to RMB202.1 million.
Solution development and services costs decreased by 7.4% from
RMB489.1 million to RMB452.9 million this quarter. Fulfillment
costs and other costs were RMB71.7 million and RMB41.3 million this
quarter, which is in line with our enterprise cloud projects’
quality control strategy.
_______________________
1 This announcement contains translations of certain Renminbi
(RMB) amounts into U.S. dollars (US$) at a specified rate solely
for the convenience of the reader. Unless otherwise noted, the
translation of RMB into US$ has been made at RMB7.2513 to US$1.00,
the noon buying rate in effect on June 30, 2023 as certified for
customs purposes by the Federal Reserve Bank of New York.
Gross profit was RMB206.6 million (US$28.5
million), which is a record-high quarterly gross profit,
representing a significant increase of 216.9% from RMB65.2 million
in the same period in 2022. Gross margin was
11.3%, compared with 3.4% in the same period in 2022.
Non-GAAP gross profit2 was
RMB206.8 million (US$28.5 million), compared with RMB68.4 million
in the same period in 2022. Non-GAAP gross
margin2 was 11.3%, compared with 3.6% in
the same period in 2022. The significant improvement in our gross
profit and margin was mainly due to our strategic adjustment of
revenue mix, optimized enterprise cloud project selection and
efficient cost control measures, showing our strong commitment to
improving our profitability and delivering high-quality and
sustainable development.
Within that, gross profit of public cloud services was RMB59.7
million (US$8.2 million), which was significantly improved from the
gross loss of RMB30.7 million in the same period last year. Gross
margin of public cloud services was 5.2%, which improved
significantly from negative 2.4% in the same period last year. The
improvement was mainly due to our proactive scale-down of CDN
services and adjustment of our clients’ structure. Gross profit of
enterprise cloud services was RMB146.7 million (US$20.2 million),
compared with RMB94.6 million in the same period last year. Gross
margin of enterprise cloud services was 21.7%, improved from 15.3%
in the same period last year. The improvement was mainly due to our
more stringent enterprise cloud project selection.
Total operating expenses were RMB569.7 million
(US$78.6 million), compared with RMB792.1 million last quarter and
RMB617.2 million in the same period in 2022. Among which:
Selling and marketing expenses were RMB129.3
million (US$17.8 million), compared with RMB88.1 million last
quarter and RMB146.2 million in the same period in 2022. The
year-over-year decrease was mainly due to our strict expense
control and the quarter-over-quarter increase was caused by
share-based compensation.
General and administrative expenses were
RMB246.5 million (US$34.0 million), further decreased from RMB488.6
million last quarter and RMB250.1 million in the same period in
2022. The quarter-over-quarter decrease was mainly attributable to
the high comparison base of the first quarter, which was due to
long-lived assets impairment loss of public cloud asset group of
RMB185.1 million and loss on disposal of property and equipment of
RMB20.2 million therein, as well as our continued expense control
this quarter.
Research and development expenses were RMB193.9
million (US$26.7 million), slightly decreased from RMB215.4 million
last quarter and RMB220.9 million in the same period in 2022, which
was mainly due to the enhanced research and development efficiency
and the region re-allocation of personnel in Beijing and Wuhan.
Operating loss was RMB363.1 million (US$50.1
million), compared with operating loss of RMB597.9 million last
quarter and RMB552.0 million in the same quarter of 2022.
Net loss was RMB498.3 million (US$68.7
million), compared with net loss of RMB608.8 million last quarter
and RMB810.5 million in the same quarter of 2022.
Non-GAAP net loss3 was
RMB315.0 million (US$43.4 million), significantly narrowed from net
loss of RMB412.5 million last quarter and RMB467.7 million in the
same quarter of 2022.
_______________________
2 Non-GAAP gross profit is defined as gross profit excluding
share-based compensation allocated in the cost of revenues and we
define Non-GAAP gross margin as Non-GAAP gross profit as a
percentage of revenues. See “Use of Non-GAAP Financial Measures”
set forth at the end of this press release.
3 Non-GAAP net loss is defined as net loss excluding share-based
compensation, foreign exchange loss (gain) and impairment of
long-lived assets, and we define Non-GAAP net loss margin as
adjusted net loss as a percentage of revenues. See “Use of Non-GAAP
Financial Measures” set forth at the end of this press release.
Non-GAAP
EBITDA4 was RMB-61.9 million (US$-8.5
million), compared with RMB-130.5 million last quarter and
RMB-163.7 million in the same quarter of 2022. Non-GAAP
EBITDA margin was -3.3% this quarter, compared with -7.0%
last quarter and -8.6% in the same quarter last year. Excluding
loss on disposal of property and equipment, normalized
Non-GAAP EBITDA was RMB-60.4 million this quarter,
improved from RMB-110.3 million last quarter and RMB-163.7 million
in the same period last year. Normalized Non-GAAP EBITDA
margin was-3.3%, compared with -5.9% last quarter and
-8.6% in the same quarter of 2022.
Basic and diluted net loss per share was
RMB0.14 (US$0.02), compared with RMB0.17 last quarter and RMB0.22
in the same quarter of 2022.
Cash and cash equivalents and short-term
investments were RMB4,286.7 million (US$591.2 million) as
of June 30, 2023, representing strong and sustainable cash
reserve.
Outstanding ordinary shares were 3,539,136,595
as of June 30, 2023, equivalent to about 235,942,440 ADSs.
Conference Call Information
Kingsoft Cloud’s management will host an earnings conference
call on Tuesday, August 22, 2023 at 8:15 am, U.S. Eastern Time
(8:15 pm, Beijing/Hong Kong Time on the same day).
Participants can register for the conference call by navigating
to
https://register.vevent.com/register/BI579a3b8455434f7c9d9b4cca23824533.
Once preregistration has been completed, participants will receive
dial-in numbers, direct event passcode, and a unique access
PIN.
To join the conference, simply dial the number in the calendar
invite you receive after preregistering, enter the passcode
followed by your PIN, and you will join the conference
instantly.
Additionally, a live and archived webcast of the conference call
will also be available on the Company’s investor relations website
at http://ir.ksyun.com.
_______________________
4 Non-GAAP EBITDA is defined as Non-GAAP net loss excluding
interest income, interest expense, income tax (benefit) expense and
depreciation and amortization, and we define Non-GAAP EBITDA margin
as Non-GAAP EBITDA as a percentage of revenues. See “Use of
Non-GAAP Financial Measures” set forth at the end of this press
release.
Use of Non-GAAP Financial Measures
The unaudited condensed consolidated financial information is
prepared in conformity with accounting principles generally
accepted in the United States of America (“U.S. GAAP”). In
evaluating our business, we consider and use certain non-GAAP
measures, Non-GAAP gross profit, Non-GAAP gross margin, Non-GAAP
EBITDA, Non-GAAP EBITDA margin, Non-GAAP net loss and Non-GAAP net
loss margin, as supplemental measures to review and assess our
operating performance. The presentation of these non-GAAP financial
measures is not intended to be considered in isolation or as a
substitute for the financial information prepared and presented in
accordance with U.S. GAAP. We define Non-GAAP gross profit as gross
profit excluding share-based compensation allocated in the cost of
revenues, and we define Non-GAAP gross margin as Non-GAAP gross
profit as a percentage of revenues. We define Non-GAAP net loss as
net loss excluding share-based compensation, foreign exchange loss
(gain) and impairment of long-lived assets, and we define Non-GAAP
net loss margin as adjusted net loss as a percentage of revenues.
We define Non-GAAP EBITDA as Non-GAAP net loss excluding interest
income, interest expense, income tax (benefit) expense and
depreciation and amortization, and we define Non-GAAP EBITDA margin
as Non-GAAP EBITDA as a percentage of revenues. We present these
non-GAAP financial measures because they are used by our management
to evaluate our operating performance and formulate business plans.
We also believe that the use of these non-GAAP measures facilitates
investors’ assessment of our operating performance.
These non-GAAP financial measures are not defined under U.S.
GAAP and are not presented in accordance with U.S. GAAP. These
non-GAAP financial measures have limitations as analytical tools.
One of the key limitations of using these non-GAAP financial
measures is that they do not reflect all items of income and
expense that affect our operations. Further, these non-GAAP
measures may differ from the non-GAAP information used by other
companies, including peer companies, and therefore their
comparability may be limited.
We compensate for these limitations by reconciling these
non-GAAP financial measures to the nearest U.S. GAAP performance
measure, all of which should be considered when evaluating our
performance. We encourage you to review our financial information
in its entirety and not rely on a single financial measure.
Exchange Rate
Information
This press release contains translations of certain RMB amounts
into U.S. dollars at specified rates solely for the convenience of
readers. Unless otherwise noted, all translations from RMB to U.S.
dollars, in this press release, were made at a rate of RMB7.2513 to
US$1.00, the noon buying rate in effect on June 30, 2023 as
certified for customs purposes by the Federal Reserve Bank of New
York.
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 Kingsoft Cloud’s strategic and operational
plans, contain forward-looking statements. Kingsoft Cloud may also
make written or oral forward-looking statements in its periodic
reports to the U.S. Securities and Exchange Commission (“SEC”), 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 but not limited to statements about
Kingsoft Cloud’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: Kingsoft
Cloud’s goals and strategies; Kingsoft Cloud’s future business
development, results of operations and financial condition;
relevant government policies and regulations relating to Kingsoft
Cloud’s business and industry; the expected growth of the cloud
service market in China; the expectation regarding the rate at
which to gain customers, especially Premium Customers; Kingsoft
Cloud’s ability to monetize the customer base; fluctuations in
general economic and business conditions in China; the impact of
the COVID-19 to Kingsoft Cloud’s business operations and the
economy in China and elsewhere generally; China’s political or
social conditions and assumptions underlying or related to any of
the foregoing. Further information regarding these and other risks
is included in Kingsoft Cloud’s filings with the SEC. All
information provided in this press release and in the attachments
is as of the date of this press release, and Kingsoft Cloud does
not undertake any obligation to update any forward-looking
statement, except as required under applicable law.
About Kingsoft Cloud Holdings Limited
Kingsoft Cloud Holdings Limited (NASDAQ: KC and HKEX:3896) is a
leading independent cloud service provider in China. With extensive
cloud infrastructure, cutting-edge cloud-native products based on
vigorous cloud technology research and development capabilities,
well-architected industry-specific solutions and end-to-end
fulfillment and deployment, Kingsoft Cloud offers comprehensive,
reliable and trusted cloud service to customers in strategically
selected verticals.
For more information, please visit: http://ir.ksyun.com.
For investor and media
inquiries,
please contact:
Kingsoft Cloud Holdings LimitedNicole ShanTel: +86 (10)
6292-7777 Ext. 6300Email: ksc-ir@kingsoft.com
KINGSOFT CLOUD HOLDINGS LIMITED |
UNAUDITED CONDENSED CONSOLIDATED BALANCE
SHEETS |
(All amounts in thousands) |
|
Dec 31, 2022 |
Jun 30, 2023 |
Jun 30, 2023 |
|
RMB |
RMB |
US$ |
ASSETS |
|
|
|
Current assets: |
|
|
|
Cash and cash equivalents |
3,419,166 |
|
3,708,696 |
|
511,453 |
|
Restricted cash |
114,560 |
|
114,391 |
|
15,775 |
|
Accounts receivable, net |
2,402,430 |
|
2,048,327 |
|
282,477 |
|
Short-term investments |
1,253,670 |
|
578,035 |
|
79,715 |
|
Prepayments and other assets |
1,612,022 |
|
1,695,582 |
|
233,832 |
|
Amounts due from related parties |
246,505 |
|
295,134 |
|
40,701 |
|
Total current assets |
9,048,353 |
|
8,440,165 |
|
1,163,953 |
|
Non-current assets: |
|
|
|
Property and equipment, net |
2,132,994 |
|
1,681,361 |
|
231,870 |
|
Intangible assets, net |
1,008,020 |
|
926,081 |
|
127,712 |
|
Prepayments and other assets |
21,263 |
|
22,260 |
|
3,070 |
|
Equity investments |
273,580 |
|
277,984 |
|
38,336 |
|
Goodwill |
4,605,724 |
|
4,605,724 |
|
635,158 |
|
Amounts due from related parties |
5,758 |
|
6,389 |
|
881 |
|
Operating lease right-of-use assets |
220,539 |
|
173,910 |
|
23,983 |
|
Total non-current assets |
8,267,878 |
|
7,693,709 |
|
1,061,010 |
|
Total assets |
17,316,231 |
|
16,133,874 |
|
2,224,963 |
|
LIABILITIES AND SHAREHOLDERS’ EQUITY |
|
|
|
Current liabilities: |
|
|
|
Short-term bank loans |
909,500 |
|
989,331 |
|
136,435 |
|
Accounts payable |
2,301,958 |
|
2,200,719 |
|
303,493 |
|
Accrued expenses and other current liabilities |
2,830,826 |
|
2,994,006 |
|
412,892 |
|
Income tax payable |
51,892 |
|
59,675 |
|
8,230 |
|
Amounts due to related parties |
427,727 |
|
427,640 |
|
58,974 |
|
Current operating lease liabilities |
136,723 |
|
78,610 |
|
10,841 |
|
Total current liabilities |
6,658,626 |
|
6,749,981 |
|
930,865 |
|
Non-current liabilities: |
|
|
|
Deferred tax liabilities |
167,052 |
|
147,083 |
|
20,284 |
|
Amounts due to related parties |
413,464 |
|
260,390 |
|
35,909 |
|
Other liabilities |
370,531 |
|
591,044 |
|
81,509 |
|
Non-current operating lease liabilities |
123,059 |
|
96,608 |
|
13,323 |
|
Total non-current liabilities |
1,074,106 |
|
1,095,125 |
|
151,025 |
|
Total liabilities |
7,732,732 |
|
7,845,106 |
|
1,081,890 |
|
Shareholders’ equity: |
|
|
|
Ordinary shares |
25,062 |
|
25,280 |
|
3,486 |
|
Treasury stock |
(208,385 |
) |
(208,385 |
) |
(28,738 |
) |
Additional paid-in capital |
18,648,205 |
|
18,677,487 |
|
2,575,743 |
|
Statutory reserves funds |
(14,700 |
) |
(14,700 |
) |
(2,027 |
) |
Accumulated deficit |
(10,102,236 |
) |
(11,208,569 |
) |
(1,545,732 |
) |
Accumulated other comprehensive income |
453,074 |
|
661,870 |
|
91,276 |
|
Total Kingsoft Cloud Holdings Limited shareholders’
equity |
8,801,020 |
|
7,932,983 |
|
1,094,008 |
|
Non-controlling interests |
782,479 |
|
355,785 |
|
49,065 |
|
Total equity |
9,583,499 |
|
8,288,768 |
|
1,143,073 |
|
Total liabilities, non-controlling interests and
shareholders’ equity |
17,316,231 |
|
16,133,874 |
|
2,224,963 |
|
|
|
|
|
KINGSOFT CLOUD HOLDINGS LIMITED |
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF
COMPREHENSIVE LOSS |
(All amounts in thousands, except for share and per share
data) |
|
Three Months Ended |
Six Months Ended |
|
Jun 30, 2022 |
Mar 31, 2023 |
Jun 30, 2023 |
Jun 30, 2023 |
Jun 30, 2022 |
Jun 30, 2023 |
Jun 30, 2023 |
|
RMB |
RMB |
RMB |
US$ |
RMB |
RMB |
US$ |
Revenues: |
|
|
|
|
|
|
|
Public cloud services |
1,289,144 |
|
1,153,674 |
|
1,159,509 |
|
159,904 |
|
2,669,951 |
|
2,313,183 |
|
319,003 |
|
Enterprise cloud services |
616,574 |
|
709,976 |
|
675,176 |
|
93,111 |
|
1,409,083 |
|
1,385,152 |
|
191,021 |
|
Others |
780 |
|
750 |
|
718 |
|
99 |
|
1,273 |
|
1,468 |
|
202 |
|
Total revenues |
1,906,498 |
|
1,864,400 |
|
1,835,403 |
|
253,114 |
|
4,080,307 |
|
3,699,803 |
|
510,226 |
|
Cost of revenues |
(1,841,294 |
) |
(1,670,215 |
) |
(1,628,797 |
) |
(224,621 |
) |
(3,935,145 |
) |
(3,299,012 |
) |
(454,955 |
) |
Gross profit |
65,204 |
|
194,185 |
|
206,606 |
|
28,493 |
|
145,162 |
|
400,791 |
|
55,271 |
|
Operating expenses: |
|
|
|
|
|
|
|
Selling and marketing expenses |
(146,210 |
) |
(88,053 |
) |
(129,253 |
) |
(17,825 |
) |
(290,615 |
) |
(217,306 |
) |
(29,968 |
) |
General and administrative expenses |
(250,073 |
) |
(488,628 |
) |
(246,549 |
) |
(34,001 |
) |
(471,836 |
) |
(735,177 |
) |
(101,386 |
) |
Research and development expenses |
(220,946 |
) |
(215,370 |
) |
(193,920 |
) |
(26,743 |
) |
(467,579 |
) |
(409,290 |
) |
(56,444 |
) |
Total operating expenses |
(617,229 |
) |
(792,051 |
) |
(569,722 |
) |
(78,569 |
) |
(1,230,030 |
) |
(1,361,773 |
) |
(187,798 |
) |
Operating loss |
(552,025 |
) |
(597,866 |
) |
(363,116 |
) |
(50,076 |
) |
(1,084,868 |
) |
(960,982 |
) |
(132,527 |
) |
Interest income |
17,490 |
|
14,068 |
|
25,568 |
|
3,526 |
|
38,647 |
|
39,636 |
|
5,466 |
|
Interest expense |
(34,207 |
) |
(27,927 |
) |
(30,307 |
) |
(4,180 |
) |
(68,273 |
) |
(58,234 |
) |
(8,031 |
) |
Foreign exchange (loss) gain |
(229,237 |
) |
93 |
|
(151,515 |
) |
(20,895 |
) |
(247,978 |
) |
(151,422 |
) |
(20,882 |
) |
Other loss, net |
(15,931 |
) |
(7,946 |
) |
(11,841 |
) |
(1,633 |
) |
(27,966 |
) |
(19,787 |
) |
(2,729 |
) |
Other (expense) income, net |
(37 |
) |
12,286 |
|
37,781 |
|
5,210 |
|
20,001 |
|
50,067 |
|
6,905 |
|
Loss before income taxes |
(813,947 |
) |
(607,292 |
) |
(493,430 |
) |
(68,048 |
) |
(1,370,437 |
) |
(1,100,722 |
) |
(151,798 |
) |
Income tax benefit (expense) |
3,483 |
|
(1,529 |
) |
(4,842 |
) |
(668 |
) |
5,153 |
|
(6,371 |
) |
(879 |
) |
Net loss |
(810,464 |
) |
(608,821 |
) |
(498,272 |
) |
(68,716 |
) |
(1,365,284 |
) |
(1,107,093 |
) |
(152,677 |
) |
Less: net (loss) income attributable to non-controlling
interests |
(7,467 |
) |
(1,833 |
) |
1,073 |
|
148 |
|
(9,038 |
) |
(760 |
) |
(105 |
) |
Net loss attributable to Kingsoft Cloud Holdings
Limited |
(802,997 |
) |
(606,988 |
) |
(499,345 |
) |
(68,864 |
) |
(1,356,246 |
) |
(1,106,333 |
) |
(152,572 |
) |
|
|
|
|
|
|
|
|
Net loss per share: |
|
|
|
|
|
|
|
Basic and diluted |
(0.22 |
) |
(0.17 |
) |
(0.14 |
) |
(0.02 |
) |
(0.37 |
) |
(0.31 |
) |
(0.04 |
) |
Shares used in the net loss per share
computation: |
|
|
|
|
|
|
|
Basic and diluted |
3,654,629,480 |
|
3,546,512,621 |
|
3,554,529,097 |
|
3,554,529,097 |
|
3,651,473,415 |
|
3,547,111,168 |
|
3,547,111,168 |
|
Other comprehensive income (loss), net of tax of
nil: |
|
|
|
|
|
|
|
Foreign currency translation adjustments |
392,389 |
|
(29,833 |
) |
238,614 |
|
32,906 |
|
382,625 |
|
208,781 |
|
28,792 |
|
Comprehensive loss |
(418,075 |
) |
(638,654 |
) |
(259,658 |
) |
(35,810 |
) |
(982,659 |
) |
(898,312 |
) |
(123,885 |
) |
Less: Comprehensive income (loss) attributable to non-controlling
interests |
(9,799 |
) |
(1,834 |
) |
1,058 |
|
146 |
|
(9,391 |
) |
(776 |
) |
(107 |
) |
Comprehensive loss attributable to Kingsoft Cloud Holdings
Limited |
(408,276 |
) |
(636,820 |
) |
(260,716 |
) |
(35,956 |
) |
(973,268 |
) |
(897,536 |
) |
(123,778 |
) |
|
|
|
|
|
|
|
|
KINGSOFT CLOUD HOLDINGS LIMITED |
RECONCILIATION OF GAAP AND NON-GAAP RESULTS |
(All amounts in thousands, except for
percentage) |
|
Three Months Ended |
Six Months Ended |
|
Jun 30, 2022 |
Mar 31, 2023 |
Jun 30, 2023 |
Jun 30, 2023 |
Jun 30, 2022 |
Jun 30, 2023 |
Jun 30, 2023 |
|
RMB |
RMB |
RMB |
US$ |
RMB |
RMB |
US$ |
Gross profit |
65,204 |
194,185 |
206,606 |
28,493 |
145,162 |
400,791 |
55,271 |
Adjustments: |
|
|
|
|
|
|
|
– Share-based compensation expenses |
3,209 |
224 |
169 |
23 |
6,828 |
393 |
54 |
Adjusted gross profit |
68,413 |
194,409 |
206,775 |
28,516 |
151,990 |
401,184 |
55,325 |
|
|
|
|
|
|
|
|
KINGSOFT CLOUD HOLDINGS LIMITED |
RECONCILIATION OF GAAP AND NON-GAAP RESULTS |
(All amounts in thousands, except for
percentage) |
|
Three Months Ended |
Six Months Ended |
|
Jun 30, 2022 |
Mar 31, 2023 |
Jun 30, 2023 |
Jun 30, 2022 |
Jun 30, 2023 |
Gross margin |
3.4 |
% |
10.4 |
% |
11.3 |
% |
3.6 |
% |
10.8 |
% |
Adjusted gross margin |
3.6 |
% |
10.4 |
% |
11.3 |
% |
3.7 |
% |
10.8 |
% |
KINGSOFT CLOUD HOLDINGS LIMITED |
RECONCILIATION OF GAAP AND NON-GAAP RESULTS |
(All amounts in thousands, except for
percentage) |
|
Three Months Ended |
Six Months Ended |
|
Jun 30, 2022 |
Mar 31, 2023 |
Jun 30, 2023 |
Jun 30, 2023 |
Jun 30, 2022 |
Jun 30, 2023 |
Jun 30, 2023 |
|
RMB |
RMB |
RMB |
US$ |
RMB |
RMB |
US$ |
Net Loss |
(810,464 |
) |
(608,821 |
) |
(498,272 |
) |
(68,716 |
) |
(1,365,284 |
) |
(1,107,093 |
) |
(152,677 |
) |
Adjustments: |
|
|
|
|
|
|
|
– Share-based compensation expenses |
113,557 |
|
11,309 |
|
31,797 |
|
4,385 |
|
206,739 |
|
43,106 |
|
5,945 |
|
– Foreign exchange loss (gain) |
229,237 |
|
(93 |
) |
151,515 |
|
20,895 |
|
247,978 |
|
151,422 |
|
20,882 |
|
– Impairment of long-lived assets |
- |
|
185,135 |
|
- |
|
- |
|
- |
|
185,135 |
|
8,031 |
|
Adjusted net loss |
(467,670 |
) |
(412,470 |
) |
(314,960 |
) |
(43,436 |
) |
(910,567 |
) |
(727,430 |
) |
(117,819 |
) |
Adjustments: |
|
|
|
|
|
|
|
– Interest income |
(17,490 |
) |
(14,068 |
) |
(25,568 |
) |
(3,526 |
) |
(38,647 |
) |
(39,636 |
) |
(5,466 |
) |
– Interest expense |
34,207 |
|
27,927 |
|
30,307 |
|
4,180 |
|
68,273 |
|
58,234 |
|
8,031 |
|
– Income tax (benefit) expense |
(3,483 |
) |
1,529 |
|
4,842 |
|
668 |
|
(5,153 |
) |
6,371 |
|
879 |
|
– Depreciation and amortization |
290,756 |
|
266,535 |
|
243,984 |
|
33,647 |
|
578,237 |
|
510,519 |
|
70,404 |
|
Adjusted EBITDA |
(163,680 |
) |
(130,547 |
) |
(61,395 |
) |
(8,467 |
) |
(307,857 |
) |
(191,942 |
) |
(43,971 |
) |
– Loss on disposal of property and equipment |
- |
|
20,216 |
|
1,456 |
|
201 |
|
- |
|
21,672 |
|
2,989 |
|
Excluding loss on disposal of property and equipment, normalized
Adjusted EBITDA |
(163,680 |
) |
(110,331 |
) |
(59,939 |
) |
(8,266 |
) |
(307,857 |
) |
(170,270 |
) |
(40,982 |
) |
|
|
|
|
|
|
|
|
KINGSOFT CLOUD HOLDINGS LIMITED |
RECONCILIATION OF GAAP AND NON-GAAP RESULTS |
(All amounts in thousands, except for
percentage) |
|
Three Months Ended |
Six Months Ended |
|
Jun 30, 2022 |
Mar 31, 2023 |
Jun 30, 2023 |
Jun 30, 2022 |
Jun 30, 2023 |
Net loss margin |
-42.5 |
% |
-32.7 |
% |
-27.1 |
% |
-33.5 |
% |
-29.9 |
% |
Adjusted net loss margin |
-24.5 |
% |
-22.1 |
% |
-17.2 |
% |
-22.3 |
% |
-19.7 |
% |
Adjusted EBITDA Margin |
-8.6 |
% |
-7.0 |
% |
-3.3 |
% |
-7.5 |
% |
-5.2 |
% |
Normalized Adjusted EBITDA |
-8.6 |
% |
-5.9 |
% |
-3.3 |
% |
-7.5 |
% |
-4.6 |
% |
|
|
|
|
|
|
KINGSOFT CLOUD HOLDINGS LIMITED |
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CASH
FLOWS |
(All amounts in thousands) |
|
Three Months Ended |
|
Jun 30, 2022 |
Mar 31, 2023 |
Jun 30, 2023 |
Jun 30, 2023 |
|
RMB |
RMB |
RMB |
US$ |
Net cash generated from (used in) operating
activities |
343,607 |
|
(271,387 |
) |
65,230 |
|
8,995 |
|
Net cash (used in) generated from investing
activities |
(732,804 |
) |
319,670 |
|
256,816 |
|
35,417 |
|
Net cash (used in) generated from financing
activities |
(312,405 |
) |
103,994 |
|
(222,767 |
) |
(30,721 |
) |
Effect of exchange rate changes on cash, cash equivalents and
restricted cash |
95,933 |
|
(19,818 |
) |
57,623 |
|
7,947 |
|
Net (decrease) increase in cash, cash equivalents and restricted
cash |
(701,602 |
) |
152,277 |
|
99,279 |
|
13,691 |
|
Cash, cash equivalents and restricted cash at beginning of
period |
3,382,439 |
|
3,533,726 |
|
3,666,185 |
|
505,590 |
|
Cash, cash equivalents and restricted cash at end of
period |
2,776,770 |
|
3,666,185 |
|
3,823,087 |
|
527,228 |
|
Kingsoft Cloud (NASDAQ:KC)
Historical Stock Chart
From Apr 2024 to May 2024
Kingsoft Cloud (NASDAQ:KC)
Historical Stock Chart
From May 2023 to May 2024