China Index Holdings Announces Fourth Quarter and Fiscal Year 2019 Unaudited Financial Results
Fourth Quarter 2019 Highlights
- Total revenues were
RMB168.3 million , an increase of 39.1% fromRMB121.0 million in the corresponding period of 2018. - Operating income was
RMB86.8 million , an increase of 68.5% fromRMB51.5 million in the corresponding period of 2018. - Net income was
RMB74.7 million , an increase of 69.4% fromRMB44.1 million in the corresponding period of 2018.
Fiscal Year 2019 Highlights
- Total revenues were
RMB579.7 million , an increase of 37.7% fromRMB421.0 million in 2018. - Operating income was
RMB287.6 million , an increase of 52.5% fromRMB188.6 million in 2018. - Net income was
RMB245.5 million , an increase of 48.4% fromRMB165.4 million in 2018.
“Our fourth quarter results reflect CIH’s strong and healthy growth trajectory,” commented
Fourth Quarter 2019 Financial Results
Revenues
CIH reported total revenues of
- Revenues from information and analytics services (SaaS) were
RMB76.8 million in the fourth quarter of 2019, an increase of 34.3% fromRMB57.2 million in the corresponding period of 2018, primarily due to an increase in number of customers. - Revenues from marketplace services were
RMB91.5 million in the fourth quarter of 2019, an increase of 43.4% fromRMB63.8 million in the corresponding period of 2018, primarily due to an increase in number of customers.
Cost of Revenue
Cost of revenue was
Operating Expenses
Operating Expenses were
- Selling and marketing expenses were
RMB26.4 million in the fourth quarter of 2019, an increase of 18.9% fromRMB22.2 million in the corresponding period of 2018, primarily due to an increase in personnel costs resulting from the growing number of selling and marketing personnel headcount. - General and administrative expenses were
RMB21.2 million in the fourth quarter of 2019, a decrease of 11.3% fromRMB23.9 million in the corresponding period of 2018, primarily due to the one-off listing fees ofRMB9.2 million in the fourth quarter of 2018.
Operating Income
Operating Income was
Income Tax Expenses
Income tax expenses were
Net Income
Net income was
Fiscal Year 2019 Financial Results
Revenues
CIH reported total revenues of
- Revenues from information and analytics services (SaaS) were
RMB268.6 million for 2019, an increase of 30.3% fromRMB206.2 million in 2018, primarily due to an increase in number of customers. - Revenues from marketplace services were
RMB311.1 million for 2019, an increase of 44.8% fromRMB214.8 million in 2018, primarily due to an increase in number of customers.
Cost of Revenue
Cost of revenue was
Operating Expenses
Operating Expenses were
- Selling and marketing expenses were
RMB99.0 million for 2019, an increase of 27.4% fromRMB77.7 million in 2018, primarily due to an increase in personnel costs resulting from the growing number of selling and marketing personnel headcount. - General and administrative expenses were
RMB82.6 million for 2019, an increase of 23.3% fromRMB67.0 million in 2018, primarily due to an increase in personnel costs to support our business expansion.
Operating Income
Operating Income was
Income Tax Expenses
Income tax expenses were
Net Income
Net income was
Business Outlook
Based on current operations and market conditions, management expect CIH’s total revenue for 2020 to increase approximately 20% year-over-year, which represents management’s current and preliminary view and is to subject to change.
Amendment to Business Cooperation Agreement with
Both parties agreed to terminate the income sharing arrangement under the Agreement, where income from listing services was shared based on advertising channels, i.e., Fang’s advertisements on CIH’s commercial real estate channel entitles Fang to receive 15% of the revenues generated by such advertisements, whereas CIH’s advertisements on Fang’s residential real estate channel entitles CIH to receive 15% of the revenues generated by such advertisements. Through this amendment to the Agreement, CIH and Fang will no longer share income based on advertising channels.
Conference Call Information
CIH’s management team will host a conference call on
International Toll: | +65 67135090 |
Toll-Free/Local Toll: | |
+1 866-519-4004 / +1 845-675-0437 | |
+852 800-906-601 / +852 3018-6771 | |
Mainland |
+86 800-819-0121 / +86 400-620-8038 |
A telephone replay of the call will be available after the conclusion of the conference call from
International Toll: | +61 2-8199-0299 |
Toll-Free/Local Toll: | |
+1 855-452-5696 / +1 646-254-3697 | |
+852 800-963-117 / +852 3051-2780 | |
Mainland |
+86 400-602-2065 / +86 800-870-0205 |
Conference ID: | 5142106 |
A live and archived webcast of the conference call will be available at http://ir.chinaindexholdings.com.
About CIH
CIH operates the largest real estate information and analytics service platform in
Safe Harbor Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such forward-looking statements are made under the “safe harbor” provisions of the
These forward-looking statements can be identified by terminology such as “will,” “expects,” “is expected to,” “anticipates,” “aim,” “future,” “intends,” “plans,” “believes,” “are likely to,” “estimates,” “may,” “should” and similar expressions, and include, without limitation, statements regarding CIH’s future financial performance, revenue guidance, growth and growth rates, market position and continued business transformation. Such statements are based upon management’s current expectations and current market and operating conditions, and relate to events that involve known or unknown risks, uncertainties and other factors, all of which are difficult to predict and many of which are beyond CIH’s control, which may cause its actual results, performance or achievements to differ materially from those in the forward-looking statements. Further information regarding these and other risks, uncertainties or factors is included in CIH’s filings with the
UNAUDITED CONDENSED CONSOLIDATED AND COMBINED BALANCE SHEETS i
(Amounts in thousands of Renminbi (“RMB”))
As of |
As of |
||||
2019 | 2018 | ||||
ASSETS | |||||
Current assets: | |||||
Cash and cash equivalents | 129,913 | 164,202 | |||
Time deposits | 209,163 | - | |||
Accounts receivable, net of allowance for doubtful accounts | 24,243 | 15,534 | |||
Prepaid expenses and other current assets | 4,566 | 693 | |||
Amount due from related parties | 4,820 | 1,970 | |||
Total current assets | 372,705 | 182,399 | |||
Non-current assets: | |||||
Property and equipment, net | 2,873 | 3,932 | |||
Right of use assets, net | 49,595 | - | |||
Total non-current assets | 52,468 | 3,932 | |||
Total assets | 425,173 | 186,331 | |||
LIABILITIES AND SHAREHOLDERS’ DEFICIT | |||||
Current liabilities: | |||||
Accounts payable | 7,844 | 5,184 | |||
Amounts due to related parties | 7,734 | 680 | |||
Deferred revenue | 203,531 | 143,254 | |||
Income taxes payable | 23,396 | 14,480 | |||
Accrued expenses and other liabilities | 84,250 | 79,532 | |||
Total current liabilities | 326,755 | 243,130 | |||
Non-current liabilities: | |||||
Long-term lease liability | 37,679 | - | |||
Other non-current liabilities | 39,757 | 15,496 | |||
Total non-current liabilities | 77,436 | 15,496 | |||
Total liabilities | 404,191 | 258,626 | |||
Commitments and contingencies | - | - | |||
Shareholders’ equity / (deficit): | |||||
Class A ordinary shares, par value |
500 | - | |||
Class B ordinary shares, par value |
163 | - | |||
(46 | ) | - | |||
Additional paid-in capital | (132,334 | ) | - | ||
Retained earnings | 152,419 | - | |||
Parent company investment | - | (72,522 | ) | ||
Accumulated other comprehensive income | 280 | 227 | |||
Total shareholders’ equity / (deficit) | 20,982 | (72,295 | ) | ||
Total liabilities and shareholders’ equity / (deficit) | 425,173 | 186,331 |
UNAUDITED CONDENSED CONSOLIDATED AND COMBINED STATEMENTS OF COMPREHENSIVE INCOME
(Amounts in thousands of RMB)
Three Months Ended |
Year Ended |
||||||||||
2019 | 2018 | 2019 | 2018 | ||||||||
Revenues | 168,291 | 120,997 | 579,650 | 421,024 | |||||||
Cost of revenues | (33,940 | ) | (23,393 | ) | (110,492 | ) | (87,733 | ) | |||
Gross profit | 134,351 | 97,604 | 469,158 | 333,291 | |||||||
Operating expenses: | |||||||||||
Selling and marketing expenses | (26,370 | ) | (22,253 | ) | (99,020 | ) | (77,731 | ) | |||
General and administrative expenses | (21,160 | ) | (23,835 | ) | (82,615 | ) | (66,993 | ) | |||
Operating income | 86,821 | 51,516 | 287,523 | 188,567 | |||||||
Interest income | 1,424 | 13 | 2,914 | 664 | |||||||
Change in fair value of warrants | 1,786 | - | (1,152 | ) | - | ||||||
Gains on sale of available-for-sale investments | - | - | - | 4,842 | |||||||
Government grants | 17 | 219 | 903 | 1,395 | |||||||
Income before income taxes | 90,048 | 51,748 | 290,188 | 195,468 | |||||||
Income tax expenses | (15,288 | ) | (7,663 | ) | (44,737 | ) | (30,048 | ) | |||
Net income | 74,760 | 44,085 | 245,451 | 165,420 | |||||||
Other comprehensive income / (loss) | |||||||||||
Foreign currency translation adjustments, net of nil income taxes | 81 | (8 | ) | 53 | 49 | ||||||
Total comprehensive income | 74,841 | 44,077 | 245,504 | 165,469 | |||||||
Earnings per share for Class A and Class B ordinary shares: | |||||||||||
Basic | 0.83 | 0.49 | 2.74 | 1.85 | |||||||
Diluted | 0.83 | 0.49 | 2.73 | 1.85 | |||||||
Weighted average number of Class A and Class B ordinary shares outstanding: | |||||||||||
Basic | 89,739,655 | 89,399,642 | 89,607,335 | 89,399,642 | |||||||
Diluted | 90,368,070 | 89,399,642 | 89,925,689 | 89,399,642 |
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1 In terms of geographical coverage and volume of data points as of December 31, 2018 , according to an industry report prepared by Frost & Sullivan in 2019.
i The financial results prior to the separation of CIH from
For investor and media inquiries, please contact:
Ms.
Investor Relations
Email: CIH-IR@fang.com
Source: China Index Holdings Limited