BEIJING, June 7, 2024
/PRNewswire/ -- Cheetah Mobile Inc. (NYSE: CMCM) ("Cheetah Mobile"
or the "Company"), a China-based IT company, today announced its
unaudited consolidated financial results for the first quarter
ended March 31, 2024.
Management Commentary
Mr. Sheng Fu, Cheetah Mobile's
Chairman and Chief Executive Officer, remarked, "Cheetah Mobile is
transforming from a consumer-facing company to an enterprise-facing
company. Our acquisition of Beijing OrionStar Technology Co.,
Ltd. ("Beijing OrionStar") was an important step in our
transformation, bringing us an experienced 2B sales team, strong connections with business
customers, and comprehensive large language model (LLM)
capabilities. We are strategically focused on developing customized
LLM-based apps for enterprises and using these apps to further
enhance our enterprise-facing service robots. Our robust AI
capabilities and proven success in product development position us
well to commercialize the once-in-a-generation opportunity
presented by LLMs."
Mr. Thomas Ren, Cheetah Mobile's
Chief Financial Officer, commented, "We are pleased with our
financial performance for the first quarter of 2024, which was
largely driven by the successful integration of Beijing OrionStar
and robust growth in the AI and others segment. Total revenues
increased by 11.6% year over year, reaching RMB190.3 million,
with a 62.1% increase in the AI and others segment. Our strategic
investments in LLMs and enhancements in operational efficiencies
position us well for continued revenue growth and improved
margins in the coming quarters."
First Quarter 2024 Consolidated Financial Results
Total revenues increased by 11.6% year over year and
13.7% quarter over quarter to RMB190.3
million (US$26.4 million) in
the first quarter of 2024.
- Revenues from the Company's internet business decreased
by 9.4% year over year but increased by 1.2% quarter-over-quarter
to RMB109.0 million (US$15.1 million) in the first quarter of 2024.
The year-over-year decrease was mainly due to the Company's
proactive approach to shifting its focus from the internet business
to enterprise-facing large language-related business. As a result,
the Company continued to review its consumer-facing product
portfolio and removed products and product features that did not
address user's pain points in the quarter. In the first quarter of
2024, revenues generated from the internet business accounted for
57.3% of total revenues, compared to 70.6% in the same period last
year and 64.4% in the previous quarter.
- Revenues from AI and others increased by 62.1% year over
year and 36.3% quarter over quarter to RMB81.3 million (US$11.3
million) in the first quarter of 2024. The growth was
primarily driven by an increase in the delivery of the Company's
service robots, following the acquisition of a controlling stake in
Beijing OrionStar. In the first quarter of 2024, revenues generated
from AI and others accounted for 42.7% of total revenues, compared
to 29.4% in the same period last year and 35.6% in the previous
quarter.
Cost of revenues increased by 37.0% year over
year and 12.8% quarter over quarter to RMB77.0 million (US$10.7 million) in the first quarter of
2024. The increases were primarily attributable to the
rise in the hardware-related costs for the Company's
service robots. Non-GAAP cost of revenues increased by
37.1% year over year and 12.7% quarter over quarter to RMB76.9 million (US$10.6 million) in the first quarter of
2024.
Total operating expenses increased by 23.9% year
over year and 21.2% quarter over quarter to RMB193.9 million (US$26.9 million) in the first quarter of
2024. The increases primarily resulted from the acquisition of
a controlling stake in Beijing OrionStar. Total non-GAAP operating
expenses increased by 15.3% year over year and 21.3%
quarter over quarter to RMB179.8 million (US$24.9 million) in the first quarter of
2024.
- Research and development expenses increased by 26.2%
year over year and 44.8% quarter over quarter to RMB57.3 million (US$7.9
million) in the first quarter of 2024, primarily due to
higher personnel-related expenses as the Company expanded its
R&D team following the acquisition of a controlling stake in
Beijing OrionStar. Non-GAAP research and development expenses
increased by 11.8% year over year and 41.7% quarter over quarter to
RMB50.9 million (US$7.0 million) in the first quarter of
2024.
- Selling and marketing expenses decreased by 0.5% year
over year but increased by 19.7% quarter over quarter to
RMB67.9 million (US$9.4 million) in the first quarter of 2024. The
quarter-over-quarter increase was primarily due to 1) increased
marketing and promotion expenses related to our user acquisition
for certain products of our internet business; and 2) increased
personnel-related expenses as the Company increased its sales
personnel following the acquisition of a controlling stake in
Beijing OrionStar. Non-GAAP selling and marketing expenses
decreased by 0.8% year over year but increased by 19.8% to
RMB67.5 million (US$9.4 million) in the first quarter of
2024.
- General and administrative expenses increased by 56.7%
year over year and 8.9% quarter over quarter to RMB69.1 million (US$9.6
million) in the first quarter of 2024, primarily due to 1)
increased personnel-related expenses as the Company increased the
number of its G&A personnel following the acquisition of a
controlling stake in Beijing OrionStar, 2) increased share-based
compensation expenses for our key employees. Non-GAAP general and
administrative expenses increased by 42.1% year over year and 11.0%
quarter over quarter to RMB61.9
million (US$8.6 million) in
the first quarter of 2024.
Operating loss was RMB80.6
million (US$11.2 million) in
the first quarter of 2024, compared to RMB42.3 million in the same period last year and
RMB60.9 million in the previous
quarter. Non-GAAP operating loss was RMB66.4 million (US$9.2 million) in the first quarter of
2024, compared to RMB41.5 million in the same period last
year and RMB49.1 million in the
previous quarter. The Company widened its operating loss in the
quarter because of: 1) its increased personnel-related expenses,
and 2) hardware-related costs, which in turn resulted from the
acquisition of a controlling stake in Beijing OrionStar.
Share-based compensation expenses were RMB7.6 million (US$1.1 million) in the first quarter of
2024, compared to RMB0.8 million
in the same period last year and RMB7.4
million in the previous quarter.
By segment, operating margin excluding share-based
compensation expense for internet business was 7.9% in the
first quarter of 2024, which improved from 3.1% in the same period
last year, but slightly decreased from 8.8% in the previous
quarter.
Other expenses, net were RMB7.6 million
(US$1.1 million) in the first
quarter of 2024, primarily due to loss from the disposal of
its subsidiary outside of China.
Net loss attributable to Cheetah Mobile
shareholders was RMB80.0 million (US$11.1 million) in the first quarter of
2024, compared to RMB18.6 million in the same period last
year and RMB301.2 million in the
previous quarter. Non-GAAP net loss attributable to Cheetah
Mobile shareholders was RMB65.8 million (US$9.1 million) in the first quarter of
2024, compared to RMB17.8 million in the same period last
year and RMB289.4
million in the previous quarter.
Diluted loss per ADS was RMB2.8 (US$0.4) in the first quarter of
2024, compared to RMB0.6 in the
same period last year and RMB
10.3 in the previous quarter. Non-GAAP diluted loss per
ADS was RMB2.3 (US$0.3) in
the first quarter of 2024, compared to RMB0.6 in the same
period last year and RMB9.9 in
the previous quarter.
Balance Sheet
As of March 31, 2024, the Company had cash and cash
equivalents and short-term investments of RMB1,793.2 million (US$248.4 million).
Conference Call Information
The Company will hold a conference call on June 7th, 2024, at 7:00
a.m. Eastern Time (or 7:00
p.m. Beijing Time) to discuss its financial results.
Listeners may access the call by dialing the following numbers:
Main Line:
International: 1-412-317-6061
United States Toll Free: 1-888-317-6003
Mainland China Toll Free:
4001-206115
Hong Kong Toll Free: 800-963976
Conference ID: 8764416
English Translation:
International: 1-412-317-6061
United States Toll Free: 1-888-317-6003
Mainland China Toll Free:
4001-206115
Hong Kong Toll Free: 800-963976
Conference ID: 0625357
A live and archived webcast of the conference call will also be
available at the Company's investor relations website at
http://ir.cmcm.com.
Exchange Rate
This press release contains translations of certain Renminbi
amounts into U.S. dollars at specified rates solely for the
convenience of readers. Unless otherwise noted, all translations
from Renminbi to U.S. dollars in this press release were made at a
rate of RMB7.2203 to US$1.00, the exchange rate in effect as of
March 29, 2024, as set forth in the
H.10 statistical release of the Federal Reserve Board. Such
translations should not be construed as representations that RMB
amounts could be converted into U.S. dollars at that rate or any
other rate, or to be the amounts that would have been reported
under accounting principles generally accepted in the United States of America ("U.S.
GAAP").
About Cheetah Mobile Inc.
Cheetah Mobile is a China-based IT company with a commitment to
AI innovation. It has attracted hundreds of millions of users
through an array of internet products and services on PCs and
mobile devices. At the same time, it actively engages in the
independent research and development of its AI technologies,
including LLM technologies. Cheetah Mobile provides advertising
services to advertisers worldwide, value-added services including
the sale of premium membership to its users, multi-cloud management
platform to companies globally, as well as service robots to
international clients. Cheetah Mobile is also committed to
leveraging its cutting-edge AI technologies, including LLM
technologies, to empower its products and make the world smarter.
It has been listed on the New York Stock Exchange since
May 2014.
Safe Harbor Statement
This press release contains forward-looking statements. These
statements, including management quotes and business outlook,
constitute forward-looking statements under 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. Such statements involve
inherent risks and uncertainties. A number of factors could cause
actual results to differ materially from those contained in the
forward-looking statements, including but are not limited to the
following: Cheetah Mobile's growth strategies; Cheetah Mobile's
ability to retain and increase its user base and expand its product
and service offerings; Cheetah Mobile's ability to monetize its
platform; Cheetah Mobile's future business development, financial
condition and results of operations; competition with companies in
a number of industries including internet companies that provide
online marketing services and internet value-added services;
expected changes in Cheetah Mobile's revenues and certain cost or
expense items; and general economic and business condition globally
and in China. Further information
regarding these and other risks is included in Cheetah Mobile's
filings with the U.S. Securities and Exchange Commission. Cheetah
Mobile does not undertake any obligation to update any
forward-looking statement as a result of new information, future
events or otherwise, except as required under applicable law.
Use of Non-GAAP Financial Measures
This release contains non-GAAP
financial measures, including but not limited to:
- Non-GAAP cost of revenues excludes share-based compensation
expenses
- Non-GAAP gross profit excludes share-based compensation
expenses
- Non-GAAP gross margin excludes share-based compensation
expenses.
- Total non-GAAP operating expenses exclude share-based
compensation expenses and amortization of intangible assets
resulting from business acquisitions.
- Non-GAAP research and development expenses exclude share-based
compensation expenses and amortization of intangible assets
resulting from business acquisitions.
- Non-GAAP selling and marketing expenses exclude share-based
compensation expenses and amortization of intangible assets
resulting from business acquisitions.
- Non-GAAP general and administrative expenses exclude
share-based compensation expenses.
- Non-GAAP operating profit/loss excludes share-based
compensation expenses and amortization of intangible assets
resulting from business acquisitions.
- Non-GAAP net income/loss attributable to Cheetah Mobile
shareholders excludes share-based compensation expenses and
amortization of intangible assets resulting from business
acquisitions.
- Non-GAAP diluted earnings/losses per ADS excludes share-based
compensation expenses and amortization of intangible assets
resulting from business acquisitions.
- Non-GAAP adjusted EBITDA represents net income/loss
attributable to Cheetah Mobile shareholders excluding share-based
compensation, amortization of intangible assets resulting from
business acquisitions, interest income, depreciation and
amortization, net income attributable to noncontrolling interests,
other income, net and income tax expenses
The Company reviews these non-GAAP financial measures together
with GAAP financial measures to obtain a better understanding of
its operating performance. It uses the non-GAAP financial measures
for planning, forecasting and measuring results against the
forecast. The Company believes that non-GAAP financial measures are
useful supplemental information for investors and analysts to
assess its operating performance without the effect of share-based
compensation expenses and amortization of intangible assets
resulting from business acquisitions, which have been and will
continue to be significant recurring expenses in its business.
However, the use of non-GAAP financial measures has material
limitations as an analytical tool. One of the limitations of using
non-GAAP financial measures is that they do not include all items
that impact the Company's net income for the period. In addition,
because non-GAAP financial measures are not measured in the same
manner by all companies, they may not be comparable to other
similarly titled measures used by other companies. In light of the
foregoing limitations, you should not consider non-GAAP financial
measure in isolation from or as an alternative to the financial
measure prepared in accordance with U.S. GAAP. For more information
on these non-GAAP financial measures, please see the tables
captioned "Cheetah Mobile Inc. Reconciliation of GAAP and Non-GAAP
Results".
|
CHEETAH MOBILE
INC.
|
|
Condensed
Consolidated Balance Sheets
|
|
(Unaudited, amounts
in thousands of Renminbi ("RMB") and US dollars
("US$"))
|
|
|
|
As of
|
|
|
December 31,
2023
|
|
|
March 31,
2024
|
|
|
RMB
|
|
|
RMB
|
|
|
USD
|
|
|
ASSETS
|
|
|
|
|
|
|
|
|
|
Current
assets:
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
2,020,191
|
|
|
|
1,792,907
|
|
|
|
248,315
|
|
|
Short-term
investments
|
|
1,023
|
|
|
|
328
|
|
|
|
45
|
|
|
Accounts receivable,
net
|
|
401,064
|
|
|
|
438,596
|
|
|
|
60,745
|
|
|
Prepayments and other
current assets, net
|
|
973,127
|
|
|
|
1,231,793
|
|
|
|
170,601
|
|
|
Due from related
parties, net
|
|
71,505
|
|
|
|
77,408
|
|
|
|
10,721
|
|
|
Total current
assets
|
|
3,466,910
|
|
|
|
3,541,032
|
|
|
|
490,427
|
|
|
|
|
|
|
|
|
|
|
|
Non-current
assets:
|
|
|
|
|
|
|
|
|
|
Property and equipment,
net
|
|
53,884
|
|
|
|
49,531
|
|
|
|
6,860
|
|
|
Operating lease
right-of-use assets
|
|
30,451
|
|
|
|
27,636
|
|
|
|
3,828
|
|
|
Intangible assets,
net
|
|
218,559
|
|
|
|
211,376
|
|
|
|
29,275
|
|
|
Goodwill
|
|
576,989
|
|
|
|
576,989
|
|
|
|
79,912
|
|
|
Long-term
investments
|
|
937,460
|
|
|
|
933,011
|
|
|
|
129,221
|
|
|
Deferred tax
assets
|
|
188,503
|
|
|
|
189,775
|
|
|
|
26,284
|
|
|
Other non-current
assets
|
|
160,428
|
|
|
|
89,950
|
|
|
|
12,458
|
|
|
Total non-current
assets
|
|
2,166,274
|
|
|
|
2,078,268
|
|
|
|
287,838
|
|
|
|
|
|
|
|
|
|
|
|
Total
assets
|
|
5,633,184
|
|
|
|
5,619,300
|
|
|
|
778,265
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES,
MEZZANINE EQUITY
AND SHAREHOLDERS' EQUITY
|
|
|
|
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
|
|
|
|
Bank loans
|
|
5,000
|
|
|
|
5,000
|
|
|
|
692
|
|
|
Accounts
payable
|
|
170,185
|
|
|
|
172,150
|
|
|
|
23,842
|
|
|
Accrued expenses and
other current liabilities
|
|
2,437,210
|
|
|
|
2,400,597
|
|
|
|
332,479
|
|
|
Due to related
parties
|
|
84,147
|
|
|
|
84,508
|
|
|
|
11,704
|
|
|
Income tax
payable
|
|
31,603
|
|
|
|
34,417
|
|
|
|
4,767
|
|
|
Total current
liabilities
|
|
2,728,145
|
|
|
|
2,696,672
|
|
|
|
373,484
|
|
|
|
|
|
|
|
|
|
|
|
Non-current
liabilities:
|
|
|
|
|
|
|
|
|
|
Deferred tax
liabilities
|
|
54,540
|
|
|
|
53,281
|
|
|
|
7,379
|
|
|
Other non-current
liabilities
|
|
189,943
|
|
|
|
180,297
|
|
|
|
24,971
|
|
|
Total non-current
liabilities
|
|
244,483
|
|
|
|
233,578
|
|
|
|
32,350
|
|
|
|
|
|
|
|
|
|
|
|
Total
liabilities
|
|
2,972,628
|
|
|
|
2,930,250
|
|
|
|
405,834
|
|
|
|
|
|
|
|
|
|
|
|
Mezzanine
equity:
|
|
|
|
|
|
|
|
|
|
Redeemable
noncontrolling interests
|
|
105,978
|
|
|
|
183,690
|
|
|
|
25,441
|
|
|
|
|
|
|
|
|
|
|
|
Shareholders'
equity:
|
|
|
|
|
|
|
|
|
|
Ordinary
shares
|
|
244
|
|
|
|
244
|
|
|
|
34
|
|
|
Additional paid-in
capital
|
|
2,711,875
|
|
|
|
2,716,181
|
|
|
|
376,187
|
|
|
Accumulated
deficit
|
|
(613,102)
|
|
|
|
(693,137)
|
|
|
|
(95,998)
|
|
|
Accumulated other
comprehensive income
|
|
356,854
|
|
|
|
380,940
|
|
|
|
52,760
|
|
|
Total Cheetah Mobile
shareholders' equity
|
|
2,455,871
|
|
|
|
2,404,228
|
|
|
|
332,983
|
|
|
Noncontrolling
interests
|
|
98,707
|
|
|
|
101,132
|
|
|
|
14,007
|
|
|
|
|
|
|
|
|
|
|
|
Total
equity
|
|
2,554,578
|
|
|
|
2,505,360
|
|
|
|
346,990
|
|
|
|
|
|
|
|
|
|
|
|
Total liabilities,
mezzanine equity and equity
|
|
5,633,184
|
|
|
|
5,619,300
|
|
|
|
778,265
|
|
|
CHEETAH MOBILE
INC.
|
|
Condensed
Consolidated Statements of Comprehensive Income
(Loss)
|
|
(Unaudited, amounts
in thousands of Renminbi ("RMB") and US dollars ("US$"), except for
number of shares and per
share(or ADS) data)
|
|
|
|
|
For The Three Months
Ended
|
|
|
March 31,
2023
|
|
December 31,
2023
|
|
March 31,
2024
|
|
March 31,
2024
|
|
|
RMB
|
|
RMB
|
|
RMB
|
|
USD
|
|
Revenues
|
|
170,434
|
|
167,314
|
|
190,288
|
|
26,354
|
|
Internet business
|
|
120,309
|
|
107,711
|
|
109,020
|
|
15,099
|
|
AI and others
|
|
50,125
|
|
59,603
|
|
81,268
|
|
11,255
|
|
Cost of revenues
(a)
|
|
(56,163)
|
|
(68,243)
|
|
(76,952)
|
|
(10,658)
|
|
Gross
profit
|
|
114,271
|
|
99,071
|
|
113,336
|
|
15,696
|
|
|
|
|
|
|
|
|
|
|
Operating income and
expenses:
|
|
|
|
|
|
|
|
|
|
Research and
development (a)
|
|
(45,428)
|
|
(39,583)
|
|
(57,331)
|
|
(7,940)
|
|
Selling and marketing
(a)
|
|
(68,266)
|
|
(56,746)
|
|
(67,940)
|
|
(9,410)
|
|
General and
administrative (a)
|
|
(44,126)
|
|
(63,502)
|
|
(69,145)
|
|
(9,576)
|
|
Other operating
income/(expense), net
|
|
1,271
|
|
(185)
|
|
508
|
|
70
|
|
Total operating
income and expenses
|
|
(156,549)
|
|
(160,016)
|
|
(193,908)
|
|
(26,856)
|
|
|
|
|
|
|
|
|
|
|
Operating
loss
|
|
(42,278)
|
|
(60,945)
|
|
(80,572)
|
|
(11,160)
|
|
Other
income/(expenses):
|
|
|
|
|
|
|
|
|
|
Interest income,
net
|
|
12,342
|
|
15,829
|
|
15,316
|
|
2,121
|
|
Foreign exchange gains/
(losses)
|
|
14,463
|
|
17,407
|
|
(3,277)
|
|
(454)
|
|
Other expense,
net
|
|
(1,801)
|
|
(321,244)
|
|
(7,595)
|
|
(1,052)
|
|
|
|
|
|
|
|
|
|
|
Loss before
taxes
|
|
(17,274)
|
|
(348,953)
|
|
(76,128)
|
|
(10,545)
|
|
Income tax (expenses)/
benefits
|
|
(178)
|
|
47,760
|
|
(198)
|
|
(27)
|
|
Net
loss
|
|
(17,452)
|
|
(301,193)
|
|
(76,326)
|
|
(10,572)
|
|
Less: net income
attributable to noncontrolling interests
|
|
1,147
|
|
18
|
|
3,709
|
|
514
|
|
Net loss
attributable to Cheetah Mobile shareholders
|
|
(18,599)
|
|
(301,211)
|
|
(80,035)
|
|
(11,086)
|
|
|
|
|
|
|
|
|
|
|
Net loss per
share
|
|
|
|
|
|
|
|
|
|
Basic
|
|
(0.0126)
|
|
(0.2056)
|
|
(0.0549)
|
|
(0.0076)
|
|
Diluted
|
|
(0.0129)
|
|
(0.2056)
|
|
(0.0550)
|
|
(0.0076)
|
|
|
|
|
|
|
|
|
|
|
Net loss per
ADS
|
|
|
|
|
|
|
|
|
|
Basic
|
|
(0.6300)
|
|
(10.2800)
|
|
(2.7450)
|
|
(0.3800)
|
|
Diluted
|
|
(0.6450)
|
|
(10.2800)
|
|
(2.7500)
|
|
(0.3800)
|
|
|
|
|
|
|
|
|
|
|
Weighted average
number of shares outstanding
|
|
|
|
|
|
|
|
|
|
Basic
|
|
1,449,518,133
|
|
1,493,550,095
|
|
1,494,213,830
|
|
1,494,213,830
|
|
Diluted
|
|
1,449,518,133
|
|
1,493,550,095
|
|
1,494,213,830
|
|
1,494,213,830
|
|
Weighted average
number of ADSs outstanding
|
|
|
|
|
|
|
|
|
|
Basic
|
|
28,990,363
|
|
29,871,002
|
|
29,884,277
|
|
29,884,277
|
|
Diluted
|
|
28,990,363
|
|
29,871,002
|
|
29,884,277
|
|
29,884,277
|
|
|
|
|
|
|
|
|
|
|
Other comprehensive
(loss)/income , net of tax of nil
|
|
|
|
|
|
|
|
|
|
Foreign currency
translation adjustments
|
|
(40,018)
|
|
(29,112)
|
|
21,031
|
|
2,913
|
|
Unrealized gains on
available-for-sale securities, net
|
|
-
|
|
-
|
|
1,772
|
|
245
|
|
Other comprehensive
(loss)/ income
|
|
(40,018)
|
|
(29,112)
|
|
22,803
|
|
3,158
|
|
Total comprehensive
loss
|
|
(57,470)
|
|
(330,305)
|
|
(53,523)
|
|
(7,414)
|
|
Less: Total
comprehensive income attributable to
noncontrolling interests
|
|
913
|
|
687
|
|
2,426
|
|
336
|
|
Total comprehensive
loss attributable to Cheetah Mobile
shareholders
|
|
(58,383)
|
|
(330,992)
|
|
(55,949)
|
|
(7,750)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For The Three Months
Ended
|
|
|
March 31,
2023
|
|
December 31,
2023
|
|
March 31,
2024
|
|
March 31,
2024
|
|
(a) Share-based
compensation expenses
|
|
RMB
|
|
RMB
|
|
RMB
|
|
USD
|
|
Cost of
revenues
|
|
119
|
|
70
|
|
92
|
|
13
|
|
Research and
development
|
|
(88)
|
|
(426)
|
|
292
|
|
40
|
|
Selling and
marketing
|
|
196
|
|
72
|
|
(44)
|
|
(6)
|
|
General and
administrative
|
|
552
|
|
7,714
|
|
7,245
|
|
1,003
|
|
Total
|
|
779
|
|
7,430
|
|
7,585
|
|
1,050
|
|
CHEETAH MOBILE
INC.
|
|
Reconciliation of
GAAP and Non-GAAP Results
|
|
(Unaudited, amounts
in thousands of Renminbi ("RMB") and US dollars ("US$"), except for
per share data)
|
|
|
|
For The Three Months
Ended March 31, 2024
|
|
GAAP
|
|
Share-based
|
|
Amortization
of
|
|
Non-GAAP
|
|
Result
|
|
Compensation
|
|
intangible
assets*
|
|
Result
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
USD
|
|
Revenues
|
190,288
|
|
-
|
|
-
|
|
190,288
|
|
26,354
|
|
Cost of
revenues
|
(76,952)
|
|
92
|
|
-
|
|
(76,860)
|
|
(10,645)
|
|
Gross profit
|
113,336
|
|
92
|
|
-
|
|
113,428
|
|
15,709
|
|
|
|
|
|
|
|
|
|
|
|
Research and
development
|
(57,331)
|
|
292
|
|
6,156
|
|
(50,883)
|
|
(7,047)
|
|
Selling and
marketing
|
(67,940)
|
|
(44)
|
|
469
|
|
(67,515)
|
|
(9,351)
|
|
General and
administrative
|
(69,145)
|
|
7,245
|
|
-
|
|
(61,900)
|
|
(8,573)
|
|
Other operating income,
net
|
508
|
|
-
|
|
-
|
|
508
|
|
70
|
|
Total operating income
and expenses
|
(193,908)
|
|
7,493
|
|
6,625
|
|
(179,790)
|
|
(24,901)
|
|
|
|
|
|
|
|
|
|
|
|
Operating
loss
|
(80,572)
|
|
7,585
|
|
6,625
|
|
(66,362)
|
|
(9,192)
|
|
Net loss attributable
to Cheetah Mobile shareholders
|
(80,035)
|
|
7,585
|
|
6,625
|
|
(65,825)
|
|
(9,118)
|
|
|
|
|
|
|
|
|
|
|
|
Diluted losses per
ordinary share (RMB)
|
(0.0550)
|
|
0.0052
|
|
0.0043
|
|
(0.0455)
|
|
|
|
Diluted losses per ADS
(RMB)
|
(2.7500)
|
|
0.2600
|
|
0.2150
|
|
(2.2750)
|
|
|
|
Diluted losses per ADS
(USD)
|
(0.3800)
|
|
0.0360
|
|
0.0289
|
|
(0.3151)
|
|
|
|
For The Three Months
Ended December 31, 2023
|
|
GAAP
|
|
Share-based
|
|
Amortization
of
|
|
Non-GAAP
|
|
Result
|
|
Compensation
|
|
intangible
assets*
|
|
Result
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
Revenues
|
167,314
|
|
-
|
|
-
|
|
167,314
|
|
Cost of
revenues
|
(68,243)
|
|
70
|
|
-
|
|
(68,173)
|
|
Gross profit
|
99,071
|
|
70
|
|
-
|
|
99,141
|
|
|
|
|
|
|
|
|
|
Research and
development
|
(39,583)
|
|
(426)
|
|
4,104
|
|
(35,905)
|
|
Selling and
marketing
|
(56,746)
|
|
72
|
|
313
|
|
(56,361)
|
|
General and
administrative
|
(63,502)
|
|
7,714
|
|
-
|
|
(55,788)
|
|
Other operating
expense, net
|
(185)
|
|
-
|
|
-
|
|
(185)
|
|
Total operating income
and expenses
|
(160,016)
|
|
7,360
|
|
4,417
|
|
(148,239)
|
|
|
|
|
|
|
|
|
|
Operating
loss
|
(60,945)
|
|
7,430
|
|
4,417
|
|
(49,098)
|
|
Net loss attributable
to Cheetah Mobile shareholders
|
(301,211)
|
|
7,430
|
|
4,417
|
|
(289,364)
|
|
|
|
|
|
|
|
|
|
Diluted losses per
ordinary share (RMB)
|
(0.2056)
|
|
0.0051
|
|
0.0029
|
|
(0.1976)
|
|
Diluted losses per ADS
(RMB)
|
(10.2800)
|
|
0.2550
|
|
0.1450
|
|
(9.8800)
|
|
For The Three Months
Ended March 31, 2023
|
|
GAAP
|
|
Share-based
|
|
Non-GAAP
|
|
Result
|
|
Compensation
|
|
Result
|
|
RMB
|
|
RMB
|
|
RMB
|
|
Revenues
|
170,434
|
|
-
|
|
170,434
|
|
Cost of
revenues
|
(56,163)
|
|
119
|
|
(56,044)
|
|
Gross profit
|
114,271
|
|
119
|
|
114,390
|
|
|
|
|
|
|
|
Research and
development
|
(45,428)
|
|
(88)
|
|
(45,516)
|
|
Selling and
marketing
|
(68,266)
|
|
196
|
|
(68,070)
|
|
General and
administrative
|
(44,126)
|
|
552
|
|
(43,574)
|
|
Other operating income,
net
|
1,271
|
|
-
|
|
1,271
|
|
Total operating income
and expenses
|
(156,549)
|
|
660
|
|
(155,889)
|
|
|
|
|
|
|
|
Operating
loss
|
(42,278)
|
|
779
|
|
(41,499)
|
|
Net loss attributable
to Cheetah Mobile shareholders
|
(18,599)
|
|
779
|
|
(17,820)
|
|
|
|
|
|
|
|
Diluted losses per
ordinary share (RMB)
|
(0.0129)
|
|
0.0006
|
|
(0.0123)
|
|
Diluted losses per ADS
(RMB)
|
(0.6450)
|
|
0.0300
|
|
(0.6150)
|
|
|
|
|
|
|
|
* This represents
amortization of intangible assets resulting from business
acquisitions.
|
|
CHEETAH MOBILE
INC.
|
|
Information about
Segment
|
|
(Unaudited, amounts
in thousands of Renminbi ("RMB") and US dollars ("US$"), except for
percentage)
|
|
|
|
|
For The Three Months
Ended March 31, 2024
|
|
|
|
|
Internet
Business
|
|
AI and
others
|
|
Unallocated*
|
|
Consolidated
|
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
USD
|
|
Revenue
|
|
109,020
|
|
81,268
|
|
-
|
|
190,288
|
|
26,354
|
|
Operating
profit/(loss)
|
|
8,662
|
|
(81,649)
|
|
(7,585)
|
|
(80,572)
|
|
(11,160)
|
|
Operating
margin
|
|
7.9 %
|
|
(100.5) %
|
|
-
|
|
(42.3) %
|
|
(42.3) %
|
|
|
For The Three Months
Ended December 31, 2023
|
|
|
Internet
Business
|
|
AI and
others
|
|
Unallocated*
|
|
Consolidated
|
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
Revenue
|
|
107,711
|
|
59,603
|
|
-
|
|
167,314
|
|
Operating
profit/(loss)
|
|
9,489
|
|
(63,004)
|
|
(7,430)
|
|
(60,945)
|
|
Operating
margin
|
|
8.8 %
|
|
(105.7) %
|
|
-
|
|
(36.4) %
|
|
|
For The Three Months
Ended March 31, 2023
|
|
|
Internet
Business
|
|
AI and
others
|
|
Unallocated*
|
|
Consolidated
|
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
Revenue
|
|
120,309
|
|
50,125
|
|
-
|
|
170,434
|
|
Operating
profit/(loss)
|
|
3,755
|
|
(45,254)
|
|
(779)
|
|
(42,278)
|
|
Operating
margin
|
|
3.1 %
|
|
(90.3) %
|
|
-
|
|
(24.8) %
|
|
|
|
|
|
|
|
|
|
|
*Unallocated
expenses refer to SBC expenses that are not allocated to individual
segments.
|
|
CHEETAH MOBILE
INC.
|
|
Reconciliation from
Net Income Attributable to Cheetah Mobile Shareholders to Adjusted
EBITDA (Non-GAAP)
|
|
(Unaudited, amounts
in thousands of Renminbi ("RMB") and US dollars
("US$"))
|
|
|
|
|
|
For The Three Months
Ended
|
|
|
|
|
March 31,
2023
|
|
|
December 31,
2023
|
|
|
March 31,
2024
|
|
|
March 31,
2024
|
|
|
|
|
RMB
|
|
|
RMB
|
|
|
RMB
|
|
|
USD
|
|
|
Net loss attributable
to Cheetah Mobile shareholders
|
|
|
|
(18,599)
|
|
|
|
(301,211)
|
|
|
|
(80,035)
|
|
|
|
(11,086)
|
|
|
Add:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income tax expenses/
(benefits)
|
|
|
|
178
|
|
|
|
(47,760)
|
|
|
|
198
|
|
|
|
27
|
|
|
Interest income,
net
|
|
|
|
(12,342)
|
|
|
|
(15,829)
|
|
|
|
(15,316)
|
|
|
|
(2,121)
|
|
|
Depreciation and other
amortization(1)
|
|
|
|
8,833
|
|
|
|
11,275
|
|
|
|
12,312
|
|
|
|
1,705
|
|
|
Net income
attributable to noncontrolling interests
|
|
|
|
1,147
|
|
|
|
18
|
|
|
|
3,709
|
|
|
|
514
|
|
|
Other (income)/
expense, net
|
|
|
|
(12,662)
|
|
|
|
303,837
|
|
|
|
10,872
|
|
|
|
1,506
|
|
|
Share-based
compensation
|
|
|
|
779
|
|
|
|
7,430
|
|
|
|
7,585
|
|
|
|
1,050
|
|
|
Amortization of
intangible assets(2)
|
|
|
|
-
|
|
|
|
4,417
|
|
|
|
6,625
|
|
|
|
918
|
|
|
Adjusted
EBITDA
|
|
|
|
(32,666)
|
|
|
|
(37,823)
|
|
|
|
(54,050)
|
|
|
|
(7,487)
|
|
|
|
|
(1) This represents
depreciation and other amortization exclude amortization of
intangible assets resulting from
business acquisitions.
|
|
(2) This represents
amortization of intangible assets resulting from business
acquisitions.
|
View original
content:https://www.prnewswire.com/news-releases/cheetah-mobile-announces-first-quarter-2024-unaudited-consolidated-financial-results-302166969.html
SOURCE Cheetah Mobile
