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 August 2023
Commission File Number: 001-38198
BEST Inc.
(Registrant’s name)
2nd
Floor, Block A, Huaxing Modern Industry Park
No. 18 Tangmiao Road, Xihu District, Hangzhou
Zhejiang Province 310013
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.
Indicate
by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1) :¨
Indicate
by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7) :¨
SIGNATURES
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.
| |
BEST
Inc. |
| |
|
| |
By: |
/s/ Shao-Ning Johnny Chou |
| |
|
Name: Shao-Ning Johnny Chou |
| |
|
Title: Chairman and Chief Executive Officer |
Date: August 25, 2023
EXHIBIT INDEX
Exhibit 99.1
BEST
Inc. Announces Unaudited Second Quarter 2023 Financial Results
HANGZHOU, China,
August 24, 2023 -- BEST Inc. (NYSE: BEST) (“BEST” or the “Company”), a leading integrated smart supply
chain solutions and logistics services provider in China and Southeast Asia (“SEA”), today announced its unaudited financial
results for the second quarter ended June 30, 2023.
Johnny Chou, Founder,
Chairman and CEO of BEST, commented, “We outperformed in the second quarter by achieving both top-line growth and bottom-line improvements.
At the Group level, our gross margin turned positive to 4.2% for the quarter compared with negative 4.6% for the same period of last
year and we narrowed our net loss by 48.7% year over year. BEST Supply Chain Management achieved its second consecutive quarter of profitability
and reached a record high gross margin of 10.9% while BEST Freight delivered a non-GAAP profitability in the second quarter. Both business
lines generated positive operating cash flow for the quarter.”
“BEST Freight’s
growth momentum has quickly accelerated. Its second-quarter volume and revenue grew by 7.2% and 15.2% year over year, respectively, with
gross margin improving to 5.3%. We will continue to focus on service quality, operating efficiency, digital transformation and synergy
with BEST Supply Chain Management and we expect BEST Freight to be profitable in both the third and fourth quarters, with positive operating
cash flow for the year.”
“BEST Supply
Chain Management continued to benefit from the market’s increased demand for third-party integrated logistics service partners
with higher-level service offerings. With our capabilities in technology, we are becoming more efficient and are further differentiating
BEST across the market. In the second quarter, revenue from BEST Supply Chain Management increased by 6.7% and gross margin increased
by 2.7%, both year over year. We expect BEST Supply Chain Management to continue its profitability in the second half of the year and
generate positive operating cash flow in 2023.”
“For BEST
Global, as we continue to optimize our organization and integrated logistics service capabilities, we are improving our service quality
and network coverage, as well as expanding our reach in cross-border opportunities. In the second quarter, BEST Global’s total
volume for the cross-border business increased by approximately 54.1% quarter-over-quarter. Looking ahead, we expect Global’s parcel
volume to continue to increase and its operating margin and bottom-line to show steady improvements.”
“In summary,
we saw remarkable improvements across our business lines in the second quarter. Our primary focus remains on delivering best-in-class
service quality, digital transformation and synergies among our business units. With this focus, we can drive sustainable growth and
profitability in the near future.” concluded Mr. Chou.
Gloria Fan, BEST’s
Chief Financial Officer, added, “As we continue to benefit from our effective strategic refocusing plan to achieve cost reductions
and better operating efficiency, Group’s selling, general and administrative expenses in the second quarter decreased by 31.4%
year over year. Our balance of cash and cash equivalents, restricted cash, and short-term investments remained strong at RMB3.2 billion
at end of the second quarter. As we further strengthen our service capabilities, optimize our organizational structure and generate synergies
among our business lines, we can capture growth opportunities and create long-term value.”
FINANCIAL HIGHLIGHTS(1)
For the Second
Quarter Ended June 30, 2023:(2)
| ● | Revenue
was RMB2,137.7 million (US$294.8 million), compared to RMB1,931.0 million in the second
quarter of 2022. The increase was primarily due to increased revenue of BEST Freight and
BEST Supply Chain Management. |
| ● | Gross
profit was RMB88.8 million (US$12.2 million), compared to a gross loss of RMB89.3 million
in the second quarter of 2022. The increase was primarily due to further improvements in
operating efficiency for both Freight and Supply Chain Management. Gross profit margin
was 4.2%, compared to a gross loss margin of 4.6% in the second quarter of 2022. |
| ● | Net
Loss from continuing operations was RMB174.4 million (US$24.1 million), compared to RMB340.1
million in the second quarter of 2022. Non-GAAP net loss from continuing operations(3)(4)
was RMB161.2 million (US$22.2 million), compared to RMB320.2 million in the second
quarter of 2022. |
| ● | Diluted
loss per ADS(5) from continuing operations was RMB8.12 (US$1.12),
compared to a loss of RMB16.57 in the second quarter of 2022. Non-GAAP diluted loss per
ADS(3)(4) from continuing operations was RMB7.46 (US$1.03), compared
to a loss of RMB15.56 in the second quarter of 2022. |
(1) All numbers presented
have been rounded to the nearest integer, tenth, or hundredth, and year over year comparisons are based on figures before rounding.
(2)In December 2022, BEST sold its China express business,
the principal terms of which were previously announced. As a result, China express business has been deconsolidated from the Company
and its historical financial results are reflected in the Company’s consolidated financial statements as discontinued operations
accordingly. The financial information and non-GAAP financial information disclosed in this press release is presented on a continuing
operations basis, unless otherwise specifically stated.
(3)
Non-GAAP net income/loss represents net income/loss excluding share-based compensation expenses, amortization of intangible assets
resulting from business acquisitions, and fair value change of equity investments (if any).
(4)
See the sections entitled “Use of Non-GAAP Financial Measures” and “Reconciliations of Non-GAAP Measures to the
Nearest Comparable GAAP Measures” for more information about the non-GAAP measures referred to within this results announcement.
(5)
Diluted earnings/loss per ADS, is calculated by dividing net income/loss attributable to ordinary shareholders as adjusted for
the effect of dilutive ordinary equivalent shares, if any, by the weighted average number of ordinary and dilutive ordinary equivalent
shares expressed in ADS outstanding during the period.
| ● | EBITDA(6)
from continuing operations was negative RMB138.1 million (US$19.0 million),
compared to negative RMB290.3 million in the second quarter of 2022. Adjusted EBITDA(6) from
continuing operations was negative RMB124.9 million (US$17.2 million), compared to negative
RMB270.3 million in the second quarter of 2022. |
BEST Freight
– As the market was gradually recovering and Freight continued to improve its service quality, its volume increased by 7.2%
in the second quarter of 2023 year over year. BEST Freight’s non-GAAP net income of the quarter was RMB1.4 million, compared with
a non-GAAP net loss of RMB54.6 million in the same period of 2022, primarily due to increased volume, higher average selling price per
tonne and improved operating efficiency. As service quality remains the cornerstone of Freight’s service, its focus moving forward
will be on further improving its operating efficiency and ability to provide the key account customers with high-quality services. In
addition, Freight will continue to synergize with BEST Supply Chain Management to capitalize additional business opportunities.
BEST Supply
Chain Management – Driven by its superb service quality and enhanced digital transformation capabilities, BEST Supply Chain
Management continued its robust growth momentum in the second quarter. Its revenue increased by 6.7% while its distribution volume increased
by 52.5% both year over year. BEST Supply Chain Management’s gross margin hit a record high of 10.9%, which led to a net profit
of RMB9.4 million in the second quarter of 2023. Highlighting BEST Supply Chain Management as the solid foundation of our synergistic
logistics ecosystem, we will continue to invest in and improve BEST Supply Chain’s digital transformation capabilities and drive
synergies across our business lines.
BEST Global
– In the second quarter, BEST Global continued its recovery post COVID. BEST Global’s volume increased by 5.5% year over
year, while total volume of the cross-border business in the second quarter increased by approximately 54.1% quarter-over-quarter. BEST
Global also continued its efforts to further reduce costs and improve its operating efficiency as well as expand the coverage for small-
and medium-sized enterprises. As this momentum continues and incremental gains are made, the Company expects that BEST Global’s
volume will continue to grow, and its operating margin and bottom line will continue to improve in the second half of 2023.
Others –
The Company continued to wind down its Capital business line and expects to complete the wind-down by the end of 2023.
(6) EBITDA represents
net income/loss excluding depreciation, amortization, interest expense and income tax expense and minus interest income. Adjusted EBITDA
represents EBITDA excluding share-based compensation expenses and fair value change of equity investments (if any).
Key Operational Metrics
| | |
Three Months Ended | | |
% Change YOY | |
| | |
June 30, 2021 | | |
June 30, 2022 | | |
June 30, 2023 | | |
2022 vs 2021 | | |
2023 vs 2022 | |
| Freight Volume (Tonne in ‘000) | |
| 2,438 | | |
| 2,223 | | |
| 2,383 | | |
| (8.8 | %) | |
| 7.2 | % |
| Supply Chain Management volume (Tonne in ‘000) | |
| 310 | | |
| 400 | | |
| 610 | | |
| 29.0 | % | |
| 52.5 | % |
| Global Parcel Volume in SEA (in ‘000) | |
| 38,761 | | |
| 30,782 | | |
| 32,480 | | |
| (20.6 | %) | |
| 5.5 | % |
FINANCIAL RESULTS(7)
For the Second
Quarter Ended June 30, 2023:
Revenue
The following table
sets forth a breakdown of revenue by business segment for the periods indicated.
Table 1 –
Breakdown of Revenue by Business Segment
| | |
Three Months Ended | | |
| |
| | |
June 30, 2022 | | |
June 30, 2023 | | |
| |
| (In ‘000, except for %) | |
RMB | | |
% of
Revenue | | |
RMB | | |
US$ | | |
% of
Revenue | | |
% Change
YOY | |
| Total Freight | |
| 1,208,435 | | |
| 62.6 | % | |
| 1,392,625 | | |
| 192,052 | | |
| 65.2 | % | |
| 15.2 | % |
| Supply Chain Management | |
| 450,984 | | |
| 23.4 | % | |
| 481,206 | | |
| 66,361 | | |
| 22.5 | % | |
| 6.7 | % |
| Global | |
| 241,171 | | |
| 12.5 | % | |
| 239,381 | | |
| 33,012 | | |
| 11.2 | % | |
| (0.7 | )% |
| Others(8) | |
| 30,378 | | |
| 1.5 | % | |
| 24,463 | | |
| 3,374 | | |
| 1.1 | % | |
| (19.5 | )% |
| Total Revenue | |
| 1,930,968 | | |
| 100.0 | % | |
| 2,137,675 | | |
| 294,799 | | |
| 100.0 | % | |
| 10.7 | % |
| · | Freight
Service Revenue was RMB1,392.6 million (US$192.1 million) for the second quarter of 2023,
compared with RMB1,208.4 million in the same period last year. Freight service revenue increased
by 15.2% year over year, primarily resulting from increases in both freight volume and average
selling price per tonne. |
| · | Supply
Chain Management Service Revenue increased by 6.7% year over year to RMB481.2 million (US$66.4
million) for the second quarter of 2023, up from RMB451.0 million in the same period of last
year, primarily attributable to an expanded customer base and increased volume from existing
customers. |
(7)
All numbers
represented the financial results from continuing operations, unless otherwise stated.
(8)“Others”
Segment primarily represents Capital business unit.
| · | Global
Service Revenue decreased by 0.7% year over year to RMB239.4 million (US$33.0 million) for
the second quarter of 2023 from RMB241.2 million in the same period last year primarily due
to lower parcel volume in Thailand, which was partially offset by steady increases in parcel
volume in Vietnam and Malaysia. |
Cost of Revenue
The following table
sets forth a breakdown of cost of revenue by business segment for the periods indicated.
Table 2 –
Breakdown of Cost of Revenue by Business Segment
| | |
Three Months Ended | | |
| |
| | |
June 30, 2022 | | |
June 30, 2023 | | |
| |
| (In ‘000, except for %) | |
RMB | | |
% of
Revenue | | |
RMB | | |
US$ | | |
% of
Revenue | | |
% of Revenue
Change
YOY | |
| Freight | |
| (1,302,523 | ) | |
| 107.8 | % | |
| (1,319,356 | ) | |
| (181,948 | ) | |
| 94.7 | % | |
| (13.0 | ppt) |
| Supply Chain Management | |
| (413,910 | ) | |
| 91.8 | % | |
| (428,870 | ) | |
| (59,144 | ) | |
| 89.1 | % | |
| (2.7 | ppt) |
| Global | |
| (276,554 | ) | |
| 114.7 | % | |
| (287,726 | ) | |
| (39,679 | ) | |
| 120.2 | % | |
| 5.5 | ppt |
| Others | |
| (27,273 | ) | |
| 89.8 | % | |
| (12,911 | ) | |
| (1,781 | ) | |
| 52.8 | % | |
| (37.0 | ppt) |
| Total Cost of Revenue | |
| (2,020,260 | ) | |
| 104.6 | % | |
| (2,048,863 | ) | |
| (282,551 | ) | |
| 95.8 | % | |
| (8.8 | ppt) |
| · | Cost
of Revenue for Freight was RMB1,319.4 million (US$181.9 million), or 94.7% of revenue in
the second quarter of 2023. The 13.0 percentage point year-over-year decrease in cost of
revenue as a percentage of revenue was mainly due to higher volume and reduced unit cost. |
| · | Cost
of Revenue for Supply Chain Management was RMB428.9 million (US$59.1 million), or 89.1% of
revenue in the second quarter of 2023. The 2.7 percentage point year-over-year decrease in
cost of revenue as a percentage of revenue was primarily due to improved operating efficiency
and optimized customer structure. |
| · | Cost
of Revenue for Global was RMB287.7 million (US$39.7 million), or 120.2% of revenue in the
second quarter of 2023. The 5.5% year-over-year increase in cost of revenue as a percentage
of revenue was primarily due to lower parcel volume in Thailand. |
Gross Profit
was RMB88.8 million (US$12.2 million), compared to a gross loss of RMB89.3 million in the second quarter of 2022; Gross Margin
was positive 4.2%, compared to negative 4.6% in the second quarter of 2022.
Operating Expenses
Selling, General
and Administrative (“SG&A”) Expenses were RMB228.9 million (US$31.6 million), or 10.7% of revenue, in the second
quarter of 2023, compared to RMB333.8 million, or 17.3% of revenue, in the same period of 2022. SG&A expenses in the second quarter
decreased by 31.4% year over year due to reduced headcount and bad debt expense.
Research and
Development Expenses were RMB29.9 million (US$4.1 million) or 1.4% of revenue in the second quarter of 2023, compared to RMB42.1
million or 2.2% of revenue in the second quarter of 2022, primarily due to reduced headcount.
Share-based
Compensation (“SBC”) Expenses included in the cost and expense items above were RMB13.2 million (US$1.8 million) in the
second quarter of 2023, compared to RMB19.9 million in the same period of 2022. Of the total SBC expenses, RMB0.05 million (US$0.01 million)
was allocated to cost of revenue, RMB0.5 million (US$0.1 million) was allocated to selling expenses, RMB11.8 million (US$1.6 million)
was allocated to general and administrative expenses, and RMB0.8 million (US$0.1 million) was allocated to research and development expenses.
Net Loss
and Non-GAAP Net Loss from continuing operations
Net Loss from
continuing operations in the second quarter of 2023 was RMB174.4 million (US$24.1 million), compared to RMB340.1 million in the same
period of 2022. Excluding SBC expenses, non-GAAP net loss from continuing operations in the second quarter of 2023 was RMB161.2
million (US$22.2 million), compared to RMB320.2 million in the second quarter of 2022.
Diluted loss
per ADS and Non-GAAP diluted loss per ADS from continuing operations
Diluted loss
per ADS from continuing operations in the second quarter of 2023 was RMB8.12 (US$1.12), compared to a loss of RMB16.57 in the same
period of 2022. Excluding SBC expenses non-GAAP diluted loss per ADS from continuing operations in the second quarter of 2023
was RMB7.46 (US$1.03), compared to a loss of RMB15.56 in the second quarter of 2022. A reconciliation of non-GAAP diluted loss per ADS
to diluted loss per ADS is included at the end of this results announcement.
Adjusted
EBITDA and Adjusted EBITDA Margin from continuing operations
Adjusted EBITDA
from continuing operations in the second quarter of 2023 was negative RMB124.9 million (US$17.2 million), compared to negative RMB270.3
million in the same period of 2022. Adjusted EBITDA margin from continuing operations in the second quarter of 2023 was negative
5.8%, compared to negative 14.0% in the same period of 2022.
Cash and Cash Equivalents, Restricted
Cash and Short-term Investments
As of June 30,
2023, cash and cash equivalents, restricted cash and short-term investments were RMB3,177.5 million (US$438.2 million), compared to RMB4,413.0
million as of June 30, 2022. In 2022, the Company bought back approximately US$200 million (RMB1.4 billion) aggregate principal
amount of its existing Convertible Senior Notes due 2024.
Net Cash Used In Continuing Operating
Activities
Net cash used in
continuing operating activities in the second quarter of 2023 was RMB158.0 million (US$21.8 million), compared to RMB304.8 million of
net cash used in continuing operating activities in the same period of 2022. The decrease in net cash used in operating activities was
mainly due to the decreased net loss in the second quarter of 2023.
SHARES OUTSTANDING
As of August 11,
2023, the Company had approximately 397.6 million ordinary shares outstanding (9). Each American Depositary Share represents
twenty (20) Class A ordinary shares.
As previously announced, effective
from April 4, 2023, the Company has changed the ratio of its American Depositary Shares to its Class A ordinary shares, par
value US$0.01 per share, from the original ADS ratio of one (1) ADS to five (5) Class A ordinary share, to a new ADS ratio
of one (1) ADS to twenty (20) Class A ordinary shares.
FINANCIAL GUIDANCE
The Company confirms
its guidance for total revenue between RMB8.5 billion and RMB9.5 billion for the full year of 2023.
This forecast reflects
the Company’s current and preliminary view based on its current business situation and market conditions, which are subject to
change.
WEBCAST AND
CONFERENCE CALL INFORMATION
The Company will
hold a conference call at 9:00 pm U.S. Eastern Time on August 23, 2023 (9:00 am Beijing Time on August 24, 2023), to discuss
its financial results and operating performance for the second quarter of 2023.
Participants may
access the call by dialing the following numbers:
| United States |
: +1-888-317-6003 |
| Hong Kong |
: 800-963976 or +852-5808-1995 |
(9)
The total
number of shares outstanding excludes shares reserved for future issuances upon exercise
or vesting of awards granted under the Company’s share incentive plans.
| Mainland China |
: 4001-206115 |
| International |
: +1-412-317-6061 |
| Participant Elite Entry Number |
: 5464411 |
A replay of the
conference call will be accessible through August 31, 2023 by dialing the following numbers:
| United States |
: +1-877-344-7529 |
| International |
: +1-412-317-0088 |
| Replay Access Code |
: 9570777 |
Please visit the
Company's investor relations website to view the earnings release prior to the conference call. A live and archived webcast of the conference
call and a corporate presentation will be available at the same site.
ABOUT BEST INC.
BEST Inc. (NYSE:
BEST) is a leading integrated smart supply chain solutions and logistics services provider in China and Southeast Asia. Through its proprietary
technology platform and extensive networks, BEST offers a comprehensive set of logistics and value-added services, including freight
delivery, supply chain management and global logistics services. BEST’s mission is to empower business and enrich life by leveraging
technology and business model innovation to create a smarter, more efficient supply chain. For more information, please visit: http://www.best-inc.com/en/.
For investor and
media inquiries, please contact:
BEST Inc.
Investor relations
team
ir@best-inc.com
Piacente Financial
Communications
Helen Wu
Tel: +86-10-6508-0677
E-mail: best@tpg-ir.com
Piacente Financial Communications
Brandi Piacente
Tel: +1-212-481-2050
E-mail: best@tpg-ir.com
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 BEST's
strategic and operational plans, contain forward-looking statements. BEST may also make written or oral forward-looking statements in
its periodic reports to the U.S. Securities and Exchange Commission (the “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 statements about BEST'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: BEST's goals and strategies; BEST's future business development,
results of operations and financial condition; BEST's ability to maintain and enhance its ecosystem; BEST's ability to compete effectively;
BEST's ability to continue to innovate, meet evolving market trends, adapt to changing customer demands and maintain its culture of innovation;
fluctuations in general economic and business conditions in China and other countries in which BEST operates, and assumptions underlying
or related to any of the foregoing. Further information regarding these and other risks is included in BEST'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 BEST does not undertake
any obligation to update any forward-looking statement, except as required under applicable law.
USE OF NON-GAAP
FINANCIAL MEASURES
In evaluating its
business, BEST considers and uses non-GAAP measures, such as non-GAAP net loss/income, non-GAAP net loss/income margin, adjusted EBITDA,
adjusted EBITDA margin, EBITDA, and non-GAAP Diluted earnings/loss per ADS, as supplemental measures in the evaluation of the Company’s
operating results and in the Company’s financial and operational decision-making. The Company believes these non-GAAP financial
measures that help identify underlying trends in the Company’s business that could otherwise be distorted by the effect of the
expenses and gains that the Company includes in loss from operations and net loss. The Company believes that these non-GAAP financial
measures provide useful information about its operating results, enhance the overall understanding of its past performance and future
prospects and allow for greater visibility with respect to key metrics used by the Company’s management in its financial and operational
decision-making. 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. For more information on these non-GAAP financial measures,
please see the table captioned “Reconciliations of Non-GAAP Measures to the Nearest Comparable GAAP Measures” in the results
announcement.
The non-GAAP financial
measures are provided as additional information to help investors compare business trends among different reporting periods on a consistent
basis and to enhance investors' overall understanding of the Company's current financial performance and prospects for the future. These
non-GAAP financial measures should be considered in addition to results prepared in accordance with U.S. GAAP, but should not be considered
a substitute for, or superior to, U.S. GAAP results. In addition, the Company's calculation of the non-GAAP financial measures may be
different from the calculation used by other companies, and therefore comparability may be limited.
Summary of Unaudited
Condensed Consolidated Income Statements
(In Thousands)
| | |
|
Three Monmths Ended June 30, |
|
|
Six Months Ended June 30, | |
| | |
2022 | | |
2023 | | |
2022 | | |
2023 | |
| | |
RMB | | |
RMB | | |
US$ | | |
RMB | | |
RMB | | |
US$ | |
| Revenue | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Freight | |
| 1,208,435 | | |
| 1,392,625 | | |
| 192,052 | | |
| 2,301,249 | | |
| 2,444,498 | | |
| 337,112 | |
| Supply Chain Management | |
| 450,984 | | |
| 481,206 | | |
| 66,361 | | |
| 859,946 | | |
| 921,460 | | |
| 127,075 | |
| Global | |
| 241,171 | | |
| 239,381 | | |
| 33,012 | | |
| 509,880 | | |
| 436,409 | | |
| 60,184 | |
| Others | |
| 30,378 | | |
| 24,463 | | |
| 3,374 | | |
| 62,478 | | |
| 50,570 | | |
| 6,974 | |
| Total Revenue | |
| 1,930,968 | | |
| 2,137,675 | | |
| 294,799 | | |
| 3,733,553 | | |
| 3,852,937 | | |
| 531,344 | |
| Cost of Revenue | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Freight | |
| (1,302,523 | ) | |
| (1,319,356 | ) | |
| (181,948 | ) | |
| (2,472,837 | ) | |
| (2,373,991 | ) | |
| (327,388 | ) |
| Supply Chain Management | |
| (413,910 | ) | |
| (428,870 | ) | |
| (59,144 | ) | |
| (805,117 | ) | |
| (833,220 | ) | |
| (114,906 | ) |
| Global | |
| (276,554 | ) | |
| (287,726 | ) | |
| (39,679 | ) | |
| (562,232 | ) | |
| (536,930 | ) | |
| (74,046 | ) |
| Others | |
| (27,273 | ) | |
| (12,911 | ) | |
| (1,781 | ) | |
| (59,498 | ) | |
| (28,449 | ) | |
| (3,923 | ) |
| Total Cost of Revenue | |
| (2,020,260 | ) | |
| (2,048,863 | ) | |
| (282,551 | ) | |
| (3,899,684 | ) | |
| (3,772,590 | ) | |
| (520,264 | ) |
| Gross (Loss)/Profit | |
| (89,292 | ) | |
| 88,812 | | |
| 12,248 | | |
| (166,131 | ) | |
| 80,347 | | |
| 11,080 | |
| Selling Expenses | |
| (66,130 | ) | |
| (62,670 | ) | |
| (8,643 | ) | |
| (121,056 | ) | |
| (116,487 | ) | |
| (16,064 | ) |
| General and Administrative Expenses | |
| (267,632 | ) | |
| (166,199 | ) | |
| (22,920 | ) | |
| (467,686 | ) | |
| (360,089 | ) | |
| (49,659 | ) |
| Research and Development Expenses | |
| (42,127 | ) | |
| (29,928 | ) | |
| (4,127 | ) | |
| (75,302 | ) | |
| (58,625 | ) | |
| (8,085 | ) |
| Other operating income/(expense), net | |
| 116,975 | | |
| 476 | | |
| 66 | | |
| 119,615 | | |
| (890 | ) | |
| (123 | ) |
| Loss from Operations | |
| (348,206 | ) | |
| (169,509 | ) | |
| (23,376 | ) | |
| (710,560 | ) | |
| (455,744 | ) | |
| (62,850 | ) |
| Interest Income | |
| 25,554 | | |
| 26,001 | | |
| 3,586 | | |
| 41,172 | | |
| 47,679 | | |
| 6,575 | |
| Interest Expense | |
| (25,738 | ) | |
| (16,998 | ) | |
| (2,344 | ) | |
| (52,160 | ) | |
| (34,619 | ) | |
| (4,774 | ) |
| Foreign Exchange Loss | |
| (107,265 | ) | |
| (46,661 | ) | |
| (6,435 | ) | |
| (102,420 | ) | |
| (31,937 | ) | |
| (4,404 | ) |
| Other Income | |
| 19,426 | | |
| 5,243 | | |
| 723 | | |
| 21,108 | | |
| 10,467 | | |
| 1,443 | |
| Other Expense | |
| 20,422 | | |
| (3,065 | ) | |
| (423 | ) | |
| 20,042 | | |
| (3,716 | ) | |
| (512 | ) |
| Gain
on changes in the fair value of derivative assets/liabilities | |
| 75,757 | | |
| 30,765 | | |
| 4,243 | | |
| 63,088 | | |
| 36,157 | | |
| 4,986 | |
| Loss before Income Tax and Share of Net Loss of Equity Investees | |
| (340,050 | ) | |
| (174,224 | ) | |
| (24,027 | ) | |
| (719,730 | ) | |
| (431,713 | ) | |
| (59,536 | ) |
| Income Tax Expense | |
| (93 | ) | |
| (186 | ) | |
| (26 | ) | |
| (312 | ) | |
| (324 | ) | |
| (45 | ) |
| Loss before Share of Net loss of Equity Investees | |
| (340,143 | ) | |
| (174,410 | ) | |
| (24,052 | ) | |
| (720,042 | ) | |
| (432,037 | ) | |
| (59,581 | ) |
| Net Loss from continuing operations | |
| (340,143 | ) | |
| (174,410 | ) | |
| (24,052 | ) | |
| (720,042 | ) | |
| (432,037 | ) | |
| (59,581 | ) |
| Net income from discontinued operations | |
| 2,511 | | |
| 15,222 | | |
| 2,099 | | |
| 2,227 | | |
| 15,222 | | |
| 2,099 | |
| Net Loss | |
| (337,632 | ) | |
| (159,188 | ) | |
| (21,953 | ) | |
| (717,815 | ) | |
| (416,815 | ) | |
| (57,481 | ) |
| Net Loss from continuing operations attributable to non-controlling interests | |
| (8,929 | ) | |
| (13,801 | ) | |
| (1,903 | ) | |
| (16,949 | ) | |
| (27,229 | ) | |
| (3,755 | ) |
| Net Loss attributable to BEST Inc. | |
| (328,703 | ) | |
| (145,387 | ) | |
| (20,050 | ) | |
| (700,866 | ) | |
| (389,586 | ) | |
| (53,726 | ) |
Summary of Unaudited
Condensed Consolidated Balance Sheets
(In Thousands)
| | |
As of December 31,2022 | | |
As of June 30, 2023 | |
| | |
RMB | | |
RMB | | |
US$ | |
| Assets | |
| | |
| | |
| |
| Current Assets | |
| | | |
| | | |
| | |
| Cash and Cash Equivalents | |
| 533,481 | | |
| 1,228,532 | | |
| 169,422 | |
| Restricted Cash | |
| 399,337 | | |
| 250,002 | | |
| 34,477 | |
| Accounts and Notes Receivables | |
| 691,324 | | |
| 786,753 | | |
| 108,498 | |
| Inventories | |
| 16,480 | | |
| 12,093 | | |
| 1,668 | |
| Prepayments and Other Current Assets | |
| 777,842 | | |
| 686,845 | | |
| 94,720 | |
| Short-term Investments | |
| 725,043 | | |
| 108,883 | | |
| 15,016 | |
| Amounts Due from Related Parties | |
| 76,368 | | |
| 61,721 | | |
| 8,512 | |
| Lease Rental Receivables | |
| 43,067 | | |
| 55,815 | | |
| 7,697 | |
| Total Current Assets | |
| 3,262,942 | | |
| 3,190,644 | | |
| 440,010 | |
| Non-current Assets | |
| | | |
| | | |
| | |
| Property and Equipment, Net | |
| 784,732 | | |
| 735,465 | | |
| 101,425 | |
| Intangible Assets, Net | |
| 75,553 | | |
| 85,836 | | |
| 11,837 | |
| Long-term Investments | |
| 156,859 | | |
| 156,859 | | |
| 21,632 | |
| Goodwill | |
| 54,135 | | |
| 54,135 | | |
| 7,466 | |
| Non-current Deposits | |
| 50,767 | | |
| 69,712 | | |
| 9,614 | |
| Other Non-current Assets | |
| 75,666 | | |
| 91,474 | | |
| 12,615 | |
| Restricted Cash | |
| 1,545,605 | | |
| 1,590,047 | | |
| 219,278 | |
| Lease Rental Receivables | |
| 40,188 | | |
| 1,700 | | |
| 234 | |
| Operating Lease Right-of-use Assets | |
| 1,743,798 | | |
| 1,493,970 | | |
| 206,028 | |
| Total non-current Assets | |
| 4,527,303 | | |
| 4,279,198 | | |
| 590,128 | |
| Total Assets | |
| 7,790,245 | | |
| 7,469,842 | | |
| 1,030,138 | |
| Liabilities and Shareholders’ Equity | |
| | | |
| | | |
| | |
| Current Liabilities | |
| | | |
| | | |
| | |
| Long-term borrowings-current | |
| 79,148 | | |
| 26,738 | | |
| 3,687 | |
| Convertible Senior Notes held by related parties | |
| 522,744 | | |
| 541,935 | | |
| 74,736 | |
| Convertible Senior Notes held by third parties | |
| 77 | | |
| 79 | | |
| 11 | |
| Short-term Bank Loans | |
| 183,270 | | |
| 492,203 | | |
| 67,878 | |
| Accounts and Notes Payable | |
| 1,430,004 | | |
| 1,528,489 | | |
| 210,788 | |
| Income Tax Payable | |
| 1,563 | | |
| 1,985 | | |
| 274 | |
| Customer Advances and Deposits and Deferred Revenue | |
| 277,737 | | |
| 293,294 | | |
| 40,447 | |
| Accrued Expenses and Other Liabilities | |
| 1,145,654 | | |
| 1,057,385 | | |
| 145,820 | |
| Financing Lease Liabilities | |
| 11,873 | | |
| 1,404 | | |
| 194 | |
| Operating Lease Liabilities | |
| 544,262 | | |
| 529,305 | | |
| 72,994 | |
| Amounts Due to Related Parties | |
| 1,315 | | |
| 1,812 | | |
| 250 | |
| Total Current Liabilities | |
| 4,197,647 | | |
| 4,474,629 | | |
| 617,080 | |
Summary of Unaudited
Condensed Consolidated Balance Sheets (Cont’d)
(In Thousands)
| | |
As of December 31, 2022 | | |
As of June 30, 2023 | |
| | |
RMB | | |
RMB | | |
US$ | |
| Non-current Liabilities | |
| | | |
| | | |
| | |
| Convertible senior notes held by related parties | |
| 522,744 | | |
| 541,935 | | |
| 74,736 | |
| Long-term borrowings | |
| 381 | | |
| - | | |
| - | |
| Operating Lease Liabilities | |
| 1,292,057 | | |
| 1,068,432 | | |
| 147,344 | |
| Financing Lease Liabilities | |
| 26,024 | | |
| 1,431 | | |
| 197 | |
| Other Non-current Liabilities | |
| 18,752 | | |
| 25,329 | | |
| 3,493 | |
| Long-term Bank Loans | |
| 928,894 | | |
| 967,880 | | |
| 133,477 | |
| Total Non-current Liabilities | |
| 2,788,852 | | |
| 2,605,007 | | |
| 359,247 | |
| Total Liabilities | |
| 6,986,499 | | |
| 7,079,636 | | |
| 976,327 | |
| Mezzanine Equity: | |
| | | |
| | | |
| | |
| Convertible Non-controlling Interests | |
| 191,865 | | |
| 191,865 | | |
| 26,459 | |
| Total mezzanine equity | |
| 191,865 | | |
| 191,865 | | |
| 26,459 | |
| Shareholders’ Equity | |
| | | |
| | | |
| | |
| Ordinary Shares | |
| 25,988 | | |
| 25,988 | | |
| 3,584 | |
| Treasury Shares | |
| - | | |
| (13,256 | ) | |
| (1,828 | ) |
| Additional Paid-In Capital | |
| 19,481,417 | | |
| 19,506,687 | | |
| 2,690,095 | |
| Accumulated Deficit | |
| (18,934,860 | ) | |
| (19,324,447 | ) | |
| (2,664,963 | ) |
| Accumulated Other Comprehensive Income | |
| 124,464 | | |
| 115,238 | | |
| 15,892 | |
| BEST Inc. Shareholders’ Equity | |
| 697,009 | | |
| 310,210 | | |
| 42,780 | |
| Non-controlling Interests | |
| (85,128 | ) | |
| (111,869 | ) | |
| (15,427 | ) |
| Total Shareholders’ Equity | |
| 611,881 | | |
| 198,341 | | |
| 27,352 | |
| Total Liabilities, Mezzanine Equity and Shareholders’ Equity | |
| 7,790,245 | | |
| 7,469,842 | | |
| 1,030,138 | |
Summary of Unaudited
Condensed Consolidated Statements of Cash Flows
(In
Thousands)
| | |
Three Months Ended June 30, | | |
Six Months Ended June 30, | |
| | |
2022 | | |
2023 | | |
2022 | | |
2023 | |
| | |
RMB | | |
RMB | | |
US$ | | |
RMB | | |
RMB | | |
US$ | |
| Net cash used in continuing operating activities | |
| (304,799 | ) | |
| (157,992 | ) | |
| (21,788 | ) | |
| (559,397 | ) | |
| (321,180 | ) | |
| (44,293 | ) |
| Net cash used in discontinued operating activities | |
| (8,759 | ) | |
| - | | |
| - | | |
| (58,257 | ) | |
| - | | |
| - | |
| Net cash used in operating activities | |
| (313,558 | ) | |
| (157,992 | ) | |
| (21,788 | ) | |
| (617,654 | ) | |
| (321,180 | ) | |
| (44,293 | ) |
| Net cash (used in)/generated from continuing investing activities | |
| (100,994 | ) | |
| (46,514 | ) | |
| (6,415 | ) | |
| (980,536 | ) | |
| 636,486 | | |
| 87,775 | |
| Net cash (used in)/generated from discontinued Investing activities | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | |
| Net cash generated from/(used in) investing activities | |
| (100,994 | ) | |
| (46,514 | ) | |
| (6,415 | ) | |
| (980,536 | ) | |
| 636,486 | | |
| 87,775 | |
| Net cash (used in)/generated from continuing financing activities | |
| (821,512 | ) | |
| 109,316 | | |
| 15,075 | | |
| (966,796 | ) | |
| 226,935 | | |
| 31,296 | |
| Net cash (used in)/generated from discontinued financing activities | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | |
| Net cash (used in)/generated from financing activities | |
| (821,512 | ) | |
| 109,316 | | |
| 15,075 | | |
| (966,796 | ) | |
| 226,935 | | |
| 31,296 | |
| Exchange Rate Effect on Cash and Cash Equivalents, and Restricted Cash | |
| 71,659 | | |
| 61,139 | | |
| 8,431 | | |
| 48,104 | | |
| 47,917 | | |
| 6,608 | |
| Net （decrease）/increase in Cash and Cash Equivalents, and Restricted Cash | |
| (1,164,405 | ) | |
| (34,051 | ) | |
| (4,696 | ) | |
| (2,516,882 | ) | |
| 590,158 | | |
| 81,387 | |
| Cash and Cash Equivalents, and Restricted Cash at Beginning of Period | |
| 3,963,671 | | |
| 3,102,633 | | |
| 427,873 | | |
| 5,316,148 | | |
| 2,478,423 | | |
| 341,790 | |
| Cash and Cash Equivalents, and Restricted Cash at End of Period | |
| 2,799,266 | | |
| 3,068,582 | | |
| 423,177 | | |
| 2,799,266 | | |
| 3,068,581 | | |
| 423,177 | |
| Less: Cash and Cash Equivalents, and Restricted Cash held for sales at end of the Period | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | |
| Cash and Cash Equivalents, and Restricted Cash from continuing operations at End of Period | |
| 2,799,266 | | |
| 3,068,582 | | |
| 423,177 | | |
| 2,799,266 | | |
| 3,068,581 | | |
| 423,177 | |
RECONCILIATIONS OF NON-GAAP MEASURES
TO THE NEAREST COMPARABLE GAAP MEASURES
For the Company’s
continuing operations, the table below sets forth a reconciliation of the Company’s net (loss)/income to EBITDA, adjusted EBITDA
and adjusted EBITDA margin for the periods indicated:
Table 3 –
Reconciliation of EBITDA, Adjusted EBITDA and Adjusted EBITDA Margin
| | |
Three Months Ended June 30, 2023 | |
| (In RMB‘000) | |
Freight | | |
Supply Chain | | |
Global | | |
Others | | |
Unallocated(10) | | |
Total | |
| Net (Loss)/Income | |
| (369 | ) | |
| 9,363 | | |
| (113,099 | ) | |
| (11,002 | ) | |
| (59,303 | ) | |
| (174,410 | ) |
| Add | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Depreciation & Amortization | |
| 18,966 | | |
| 8,441 | | |
| 12,610 | | |
| 417 | | |
| 4,720 | | |
| 45,154 | |
| Interest Expense | |
| - | | |
| - | | |
| - | | |
| - | | |
| 16,998 | | |
| 16,998 | |
| Income Tax Expense | |
| 20 | | |
| 39 | | |
| - | | |
| 139 | | |
| (12 | ) | |
| 186 | |
| Subtract | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Interest Income | |
| - | | |
| - | | |
| - | | |
| - | | |
| (26,001 | ) | |
| (26,001 | ) |
| EBITDA | |
| 18,617 | | |
| 17,843 | | |
| (100,489 | ) | |
| (10,446 | ) | |
| (63,598 | ) | |
| (138,073 | ) |
| Add | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Share-based Compensation Expenses | |
| 1,750 | | |
| 872 | | |
| 522 | | |
| 4 | | |
| 10,025 | | |
| 13,173 | |
| Adjusted EBITDA | |
| 20,367 | | |
| 18,715 | | |
| (99,967 | ) | |
| (10,442 | ) | |
| (53,573 | ) | |
| (124,900 | ) |
| Adjusted EBITDA Margin | |
| 1.5 | % | |
| 3.9 | % | |
| (41.8 | )% | |
| (42.7 | )% | |
| - | | |
| (5.8 | )% |
| | |
Three Months Ended June 30, 2022 | |
| (In RMB‘000) | |
Freight | | |
Supply Chain | | |
Global | | |
Others | | |
Unallocated | | |
Total | |
| Net Income/(Loss) | |
| (57,418 | ) | |
| 12,094 | | |
| (105,085 | ) | |
| (82,439 | ) | |
| (107,295 | ) | |
| (340,143 | ) |
| Add | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Depreciation & Amortization | |
| 20,188 | | |
| 9,416 | | |
| 5,977 | | |
| 6,706 | | |
| 7,315 | | |
| 49,602 | |
| Interest Expense | |
| - | | |
| - | | |
| - | | |
| - | | |
| 25,738 | | |
| 25,738 | |
| Income Tax Expense | |
| - | | |
| 45 | | |
| 12 | | |
| 24 | | |
| 12 | | |
| 93 | |
| Subtract | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Interest Income | |
| - | | |
| - | | |
| - | | |
| - | | |
| (25,554 | ) | |
| (25,554 | ) |
| EBITDA | |
| (37,230 | ) | |
| 21,555 | | |
| (99,096 | ) | |
| (75,709 | ) | |
| (99,784 | ) | |
| (290,264 | ) |
| Add | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Share-based Compensation Expenses | |
| 2,777 | | |
| 1,686 | | |
| 1,415 | | |
| 128 | | |
| 13,934 | | |
| 19,940 | |
| Adjusted EBITDA | |
| (34,453 | ) | |
| 23,241 | | |
| (97,681 | ) | |
| (75,581 | ) | |
| (85,850 | ) | |
| (270,324 | ) |
| Adjusted EBITDA Margin | |
| (1.8 | )% | |
| 1.2 | % | |
| (5.1 | )% | |
| (3.9 | )% | |
| - | | |
| (14.0 | )% |
(10) Unallocated
expenses are primarily related to corporate administrative expenses and other miscellaneous items that are not allocated to individual
segments.
For the Company’s
continuing operations, the table below sets forth a reconciliation of the Company’s net (loss)/income to non-GAAP net Income/(loss),
non-GAAP net Income/(loss) margin for the periods indicated:
Table
4 – Reconciliation of Non-GAAP Net (Loss)/Income and Non-GAAP Net (Loss)/Income Margin
| | |
Three Months Ended June 30, 2023 | |
| (In RMB‘000) | |
Freight | | |
Supply Chain | | |
Global | | |
Others | | |
Unallocated | | |
Total | |
| Net (Loss)/Income | |
| (369 | ) | |
| 9,363 | | |
| (113,099 | ) | |
| (11,002 | ) | |
| (59,303 | ) | |
| (174,410 | ) |
| Add | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Share-based Compensation Expenses | |
| 1,750 | | |
| 872 | | |
| 522 | | |
| 4 | | |
| 10,025 | | |
| 13,173 | |
| Non-GAAP Net (Loss)/Income | |
| 1,381 | | |
| 10,235 | | |
| (112,577 | ) | |
| (10,998 | ) | |
| (49,278 | ) | |
| (161,237 | ) |
| Non-GAAP Net (Loss)/Income Margin | |
| 0.1 | % | |
| 2.1 | % | |
| (47.0 | )% | |
| (45.0 | )% | |
| - | | |
| (7.5 | )% |
| | |
Three Months Ended June 30, 2022 | |
| (In RMB‘000) | |
Freight | | |
Supply Chain | | |
Global | | |
Others | | |
Unallocated | | |
Total | |
| Net Income/(Loss) | |
| (57,418 | ) | |
| 12,094 | | |
| (105,085 | ) | |
| (82,439 | ) | |
| (107,295 | ) | |
| (340,143 | ) |
| Add | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Share-based Compensation Expenses | |
| 2,777 | | |
| 1,686 | | |
| 1,415 | | |
| 128 | | |
| 13,934 | | |
| 19,940 | |
| Non-GAAP Net Income/(Loss) | |
| (54,641 | ) | |
| 13,780 | | |
| (103,670 | ) | |
| (82,311 | ) | |
| (93,361 | ) | |
| (320,203 | ) |
| Non-GAAP Net Income/(Loss) Margin | |
| (2.8 | )% | |
| 0.7 | % | |
| (5.4 | )% | |
| (4.3 | )% | |
| - | | |
| (16.6 | )% |
For the Company’s
continuing operations, the table below sets forth a reconciliation of the Company’s diluted loss per ADS to Non-GAAP diluted loss
per ADS for the periods indicated:
Table 5 –
Reconciliation of diluted loss per ADS and Non-GAAP diluted loss per ADS
| | |
Three Months Ended June 30, | | |
Six Months Ended June 30, | |
| | |
2023 | | |
2023 | |
| (In ‘000) | |
RMB | | |
US$ | | |
RMB | | |
US$ | |
| Net Loss Attributable to Ordinary Shareholders | |
| (160,609 | ) | |
| (22,149 | ) | |
| (404,808 | ) | |
| (55,826 | ) |
| Add | |
| | | |
| | | |
| | | |
| | |
| Share-based Compensation Expenses | |
| 13,173 | | |
| 1,817 | | |
| 25,266 | | |
| 3,484 | |
| Non-GAAP Net Loss Attributable to Ordinary Shareholders | |
| (147,436 | ) | |
| (20,332 | ) | |
| (379,542 | ) | |
| (52,341 | ) |
| Weighted Average Diluted Ordinary Shares Outstanding During the Quarter | |
| | | |
| | | |
| | | |
| | |
| Diluted | |
| 395,518,481 | | |
| 395,518,481 | | |
| 394,952,425 | | |
| 394,952,425 | |
| Diluted (Non-GAAP) | |
| 395,518,481 | | |
| 395,518,481 | | |
| 394,952,425 | | |
| 394,952,425 | |
| Diluted loss per ordinary share | |
| (0.41 | ) | |
| (0.06 | ) | |
| (1.02 | ) | |
| (0.14 | ) |
| Add | |
| | | |
| | | |
| | | |
| | |
| Non-GAAP adjustment to net loss per ordinary share | |
| 0.04 | | |
| 0.01 | | |
| 0.06 | | |
| 0.01 | |
| Non-GAAP diluted loss per ordinary share | |
| (0.37 | ) | |
| (0.05 | ) | |
| (0.96 | ) | |
| (0.13 | ) |
| | |
| | | |
| | | |
| | | |
| | |
| Diluted loss per ADS | |
| (8.12 | ) | |
| (1.12 | ) | |
| (20.50 | ) | |
| (2.83 | ) |
| Add | |
| | | |
| | | |
| | | |
| | |
| Non-GAAP adjustment to net loss per ADS | |
| 0.66 | | |
| 0.09 | | |
| 1.28 | | |
| 0.18 | |
| Non-GAAP diluted loss per ADS | |
| (7.46 | ) | |
| (1.03 | ) | |
| (19.22 | ) | |
| (2.65 | ) |
BEST (NYSE:BEST)
Historical Stock Chart
From Jan 2025 to Feb 2025
BEST (NYSE:BEST)
Historical Stock Chart
From Feb 2024 to Feb 2025
