MOMO [Momo] 6-K: Momo Announces Unaudited Financial Results for the Fourth

Ticker: MOMO, Company: Momo Inc., Type: 6-K, Date: 2019-03-12
Original SEC Filing: Click here


Webplus: MOMO/20190312/6-K/2_EX-99.1/000.htm SEC Original: d714707dex991.htm
Momo Announces Unaudited Financial Results for the Fourth Quarter and Fiscal Year 2018 BEIJING, CHINA, March 12, 2019 – Momo Inc. (NASDAQ: MOMO) (“Momo” or the “Company”), a leading mobile social networking platform in China, today announced its unaudited financial results for the fourth quarter and the full year ended December 31, 2018. Fourth Quarter of 2018 Highlights • Net



s:181576:" EX-99.1 2 d714707dex991.htm EX-99.1

Exhibit 99.1

Momo Announces Unaudited Financial Results for the Fourth Quarter and Fiscal Year 2018

BEIJING, CHINA, March 12, 2019 – Momo Inc. (NASDAQ: MOMO) (“Momo” or the “Company”), a leading mobile social networking platform in China, today announced its unaudited financial results for the fourth quarter and the full year ended December 31, 2018.

Starting from the fourth quarter of 2018, the Company changed its reporting currency from U.S.dollar (“US$”) to Renminbi (“RMB”), to reduce the impact of increased volatility of the RMB toUS$ exchange rate on the Company’s reported operating results. The aligning of the reportingcurrency with the underlying operations will better depict the Company’s results of operations foreach period. This release contains translations of certain RMB amounts into US$ for convenience*. Prior period numbers have been recast into the new reporting currency.

Fourth Quarter of 2018 Highlights

Net revenues increased 50% year over year to RMB3,843.9 million (US$559.1 million) in the fourth quarter of 2018.

Net income attributable to Momo Inc. increased to RMB660.8 million (US$96.1 million) in the fourth quarter of 2018 from RMB644.8 million in the same period of 2017.

Non-GAAP net income attributable to Momo Inc. (note 1) increased 22% to RMB887.4 million (US$129.1 million) in the fourth quarter of 2018 from RMB727.4 million in the same period of 2017.

Diluted net income per American Depositary Share (“ADS”) was RMB3.04 (US$0.44), compared to RMB3.10 in the same period of 2017.

Non-GAAP diluted net income per ADS (note 1) was RMB4.05 (US$0.59), compared to RMB3.49 in the same period of 2017.

Monthly Active Users (“MAU”) on Momo application were 113.3 million in December 2018, compared to 99.1 million in December 2017.

Total paying users of our live video service and value-added service, without double counting the overlap, including 3.9 million paying users of Tantan Limited (“Tantan”), were 13.0 million for the fourth quarter of 2018, compared to 7.8 million for the fourth quarter of 2017.

Full Year 2018 Highlights

Net revenues increased 51% year over year to RMB13,408.4 million (US$1,950.2 million) for the full year of 2018.

Net income attributable to Momo Inc. was RMB2,815.8 million (US$409.5 million) for the full year of 2018, compared with RMB2,148.1 million for 2017.

Non-GAAP net income attributable to Momo Inc. (note 1) was RMB3,462.1 million (US$503.5 million) for the full year of 2018, compared with RMB2,483.1 million for 2017.

Diluted net income per ADS was RMB13.18 (US$1.92) for the full year of 2018, compared with RMB10.35 for 2017.

Non-GAAP diluted net income per ADS (note 1) was RMB16.17 (US$2.35) for the full year of 2018, compared with RMB11.96 for 2017.

*

Unless otherwise noted, all translations from RMB to U.S. dollars are made at a rate of RMB 6.8755 to US$1.00, the effective noon buying rate for December 31, 2018 as set forth in the H.10 statistical release of the Federal Reserve Board.

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“Q4 was a solid quarter, closing out a fruitful year of 2018.” Commented Yan Tang, Chairman and CEO of Momo. “I am pleased with the progress we made in 2018 in product innovation, monetization, financial performance and the strengthening of the Company’s position as a leading player in China’s open social space. We look forward to delivering more results to our shareholders in 2019.”

Fourth Quarter of 2018 Financial Results

Net revenues

Total net revenues were RMB3,843.9 million (US$559.1 million) in the fourth quarter of 2018, an increase of 50% from RMB2,554.9 million in the fourth quarter of 2017.

Live video service revenues were RMB2,959.2 million (US$430.4 million) in the fourth quarter of 2018, an increase of 36% from RMB2,169.0 million during the same period of 2017. The growth in live video revenues was contributed by the increase in quarterly paying users, as well as the increase in average revenues per paying user per quarter.

Value-added service revenues mainly include membership subscription revenues and virtual gift revenues. The total value-added service revenues were RMB722.4 million (US$105.1 million) in the fourth quarter of 2018, an increase of 272% from RMB194.3 million during the same period of 2017. The year-over-year increase was primarily attributable to the continued growth of the virtual gift business on the Momo application driven by more paying use cases introduced to enhance the social experience of Momo users, and to a lesser extent, the consolidation of Tantan’s membership subscription revenues for the whole fourth quarter of 2018.

Mobile marketing revenues were RMB 122.1 million (US$17.8 million) in the fourth quarter of 2018, a decrease of 15% from RMB144.4 million during the same period of 2017. The decrease in mobile marketing revenues was driven by the decreased demand from our advertising and marketing customers.

Mobile games revenues were RMB25.5 million (US$3.7 million) in the fourth quarter of 2018, a decrease of 44% from RMB45.6 million in the fourth quarter of 2017. The decrease in game revenues was mainly due to the continued decrease in quarterly paying users.

Revenues from other services in the fourth quarter of 2018 mainly consisted of revenues from Phanta City, a TV variety showco-produced by the Company.

Cost and expenses

Cost and expenses were RMB3,195.7 million (US$464.8 million) in the fourth quarter of 2018, an increase of 65% from RMB1,939.5 million in the fourth quarter of 2017. The increase was primarily attributable to: (a) an increase in revenue sharing with the broadcasters related to our live video service and virtual gift recipients; (b) an increase in marketing and promotional expenses to enhance our brand awareness and attract users; (c) an increase in personnel related costs including share-based compensation expenses as a result of the Company’s rapidly expanding talent pool; (d) an increase in fees to payment channels resulting from a higher volume of cash collection through such channels; and (e) an increase in amortization expenses related to the intangible assets from business acquisitions.

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Non-GAAP cost and expenses (note 1) were RMB2,959.6 million (US$430.5 million) in the fourth quarter of 2018, an increase of 59% from RMB1,856.9 million during the same period of 2017.

Other operating income

Other operating income was RMB141.4 million (US$20.6 million) in the fourth quarter of 2018, a significant increase from RMB92.6 million during the fourth quarter of 2017. The increase was mainly due to more government incentives received in the fourth quarter of 2018.

Income from operations

Income from operations was RMB789.6 million (US$114.8 million) in the fourth quarter of 2018, compared to RMB708.1 million during the same period of 2017.

Non-GAAP income from operations (note 1) was RMB1,025.7 million (US$149.2 million) in the fourth quarter of 2018, compared to RMB790.6 million during the same period of 2017.

Income tax expenses

Income tax expenses were RMB183.3 million (US$26.7 million) in the fourth quarter of 2018 and increased from RMB126.0 million in the fourth quarter of 2017. The increase was mainly because we generated higher profit in the fourth quarter of 2018.

Net income attributable to Momo Inc.

Net income attributable to Momo Inc. was RMB660.8 million (US$96.1 million) in the fourth quarter of 2018, compared to RMB644.8 million during the same period of 2017.

Non-GAAP net income (note 1) attributable to Momo Inc. was RMB887.4 million (US$129.1 million) in the fourth quarter of 2018, compared to RMB727.4 million during the same period of 2017.

Net income per ADS

Diluted net income per ADS was RMB3.04 (US$0.44) in the fourth quarter of 2018, compared to RMB 3.10 in the fourth quarter of 2017.

Non-GAAP diluted net income per ADS (note 1) was RMB4.05 (US$0.59) in the fourth quarter of 2018, compared to RMB3.49 in the fourth quarter of 2017.

Cash and cash flow

As of December 31, 2018, Momo’s cash, cash equivalents, term deposits and short-term investment totaled RMB11,292.6 million (US$1,642.4 million), compared to RMB6,904.7 million as of December 31, 2017. Net cash provided by operating activities in the fourth quarter of 2018 was RMB1,163.4 million (US$169.2 million), compared to RMB790.8 million in the fourth quarter of 2017.

Full Year 2018 Financial Results

Net revenues for the full year of 2018 were RMB13,408.4 million (US$1,950.2 million), an increase of 51% from RMB8,886.4 million in the same period of 2017, primarily driven by the significant increase in net revenues from live video service and value-added service.

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Net income attributable to Momo Inc. was RMB2,815.8 million (US$409.5 million) in the full year of 2018, compared to RMB2,148.1 million during the same period of 2017.

Non-GAAP net income attributable to Momo Inc. (note 1) was RMB3,462.1 million (US$503.5 million) in the full year of 2018, compared to RMB2,483.1 million during the same period of 2017.

Diluted net income per ADS was RMB13.18 (US$1.92) during the full year of 2018, compared to RMB10.35 in the same period of 2017.

Non-GAAP diluted net income per ADS (note 1) was RMB16.17 (US$2.35) during the full year of 2018, compared to RMB11.96 in the same period of 2017.

Net cash provided by operating activities was RMB3,327.7 million (US$484.0 million) during the full year of 2018, compared to RMB2,886.1 million in the same period of 2017.

Recent Development - Declaration of Special Cash Dividend

Momo’s board of directors has declared a special cash dividend in the amount of US$0.62 per ADS, or US$0.31 per ordinary share. The cash dividend will be paid on April 30, 2019 to shareholders of record at the close of business on April 5, 2019. Theex-dividend date will be April 4, 2019. The aggregate amount of cash dividends to be paid is approximately US$128 million, which will be funded by surplus cash on the Company’s balance sheet.

Business Outlook

For the first quarter of 2019, the Company expects total net revenues to be between RMB3.55 billion to RMB3.65 billion, representing an increase of 28% to 32% year over year, on a constant currency basis. The Company is not providing the business outlook in USD terms due to the recent volatility and uncertainty in foreign exchange rate. These estimates reflect the Company’s current and preliminary view, which is subject to change.

Note 1:Non-GAAP measures

To supplement our consolidated financial statements presented in accordance with U.S. generally accepted accounting principles (“GAAP”), we use variousnon-GAAP financial measures that are adjusted from the most comparable GAAP results to exclude share-based compensation and amortization of intangible assets from business acquisitions, and tax impacts related to the amortization of intangible assets from business acquisitions.

Reconciliations of ournon-GAAP financial measures to our U.S. GAAP financial measures are shown in tables at the end of this earnings release, which provide more details about thenon-GAAP financial measures.

Ournon-GAAP financial information is 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 historical and current financial performance of our continuing operations and our prospects for the future. Ournon-GAAP financial information should be considered in addition to results prepared in accordance with GAAP, but should not be considered a substitute for or superior to the GAAP results. In addition, our calculation of thenon-GAAP financial measures may be different from the calculation used by other companies, and therefore comparability may be limited.

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Ournon-GAAP information (includingnon-GAAP cost and operating expenses, income from operations, net income attributable to Momo Inc., and diluted net income per ADS) is adjusted from the most comparable GAAP results to exclude share-based compensation, amortization of intangible assets from business acquisitions, and tax impacts related to the amortization of intangible assets from business acquisitions. A limitation of using thesenon-GAAP financial measures is that share-based compensation, amortization of intangible assets from business acquisitions and tax impacts related to the amortization of intangible assets from business acquisitions have been and will continue to be for the foreseeable future a significant recurring expense in our results of operations. We compensate for these limitations by providing reconciliations of ournon-GAAP measures to our U.S. GAAP measures. Please see the reconciliation tables at the end of this earnings release.

Conference Call

Momo’s management will host an earnings conference call on Tuesday, March 12, 2019, at 8:00 a.m. U.S. Eastern Time (8:00 p.m. Beijing / Hong Kong Time on March 12, 2019).

Dial-in details for the earnings conference call are as follows:

International:+65-6713-5090

U.S. Toll Free:+1-866-519-4004

Hong Kong Toll Free:800-906601

Mainland China: 4006-208038

Passcode: Momo

Please dial in 15 minutes before the call is scheduled to begin.

A telephone replay of the call will be available after the conclusion of the conference call through 8:00 a.m. U.S. Eastern Time, March 20, 2019. Thedial-in details for the replay are as follows:

International:+61-2-8199-0299

U.S. Toll Free:+1-855-452-5696

Passcode: 3573546

Additionally, a live and archived webcast of the conference call will be available on the Investor Relations section of Momo’s website at http://ir.immomo.com.

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About Momo

Momo is a leading mobile social networking platform in China. Momo connects people in a personal and lively way through a revolutionary mobile-based social networking platform. With powerful and precise location-based features, Momo enables users to connect with each other and expand relationships from online to offline. Momo’s platform includes the Momo mobile application and a variety of related features, functionalities, tools and services that it provides to users, customers and platform partners. Leveraging its social interest graph engine and analysis of user behavior data, Momo is able to provide users a customized experience based on their social preferences and needs. Momo users can maintain and strengthen their relationships through private and group communication tools, content creation and sharing functions, as well as the offline social activities promoted on Momo’s platform. Momo users are also able to enjoy live video on our platform. In addition, in May 2018, Momo completed its acquisition of Tantan, a leading social and dating app for the younger generation. Tantan, whose primary users consist of young Chinese singles, is designed to help its users find and establish romantic connections, as well as meet interesting people.

For investor and media inquiries, please contact:

Momo Inc.

Investor Relations

Phone:+86-10-5731-0538

Email: ir@immomo.com

Christensen

In China

Mr. Christian Arnell

Phone:+86-10- 5900-1548

E-mail: carnell@christensenir.com

In US

Ms. Linda Bergkamp

Phone:+1-480-614-3004

Email: lbergkamp@christensenir.com

Safe Harbor Statement

This news 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, and as defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements include but are not limited to our management quotes and our financial outlook for the first quarter of 2019.

Our forward-looking statements are not historical facts but instead represent only our belief regarding expected results and events, many of which, by their nature, are inherently uncertain and outside of our control. Our actual results and other circumstances may differ, possibly materially, from the anticipated results and events indicated in these forward-looking statements. Announced results for the fourth quarter and full year of 2018 are preliminary, unaudited and subject to audit adjustment. In addition, we may not meet our financial outlook for the first quarter of 2019 and may be unable to grow our business in the manner planned. We may also modify our strategy for growth. In addition, there are other risks and uncertainties that could cause our actual results to differ from what we currently anticipate, including those relating to our ability to retain and grow our user base, our ability to attract and retain sufficiently trained professionals to support our operations, and our ability to anticipate and develop new services and enhance existing services to meet the demand of our users or customers. For additional information on these and other important factors that could adversely affect our business, financial condition, results of operations, and prospects, please see our filings with the U.S. Securities and Exchange Commission.

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All information provided in this press release and in the attachments is as of the date of the press release. We undertake no obligation to update any forward-looking statement, whether as a result of new information, future events or otherwise, after the date of this release, except as required by law. Such information speaks only as of the date of this release.

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Momo Inc.

Unaudited Condensed Consolidated Statement of Operations

(All amounts in thousands, except share and per share data)

Three months Year
ended December 31 ended December 31
2017 2018 2018 2017 2018 2018
RMB RMB US$ RMB RMB US$

Net revenues:

Live video service

2,168,998 2,959,222 430,401 7,429,906 10,709,491 1,557,631

Value-added service

194,287 722,414 105,071 695,798 1,883,150 273,893

Mobile marketing

144,360 122,143 17,765 514,279 500,321 72,769

Mobile games

45,569 25,502 3,709 241,388 130,392 18,965

Other services

1,722 14,635 2,128 5,019 185,067 26,916

Total net revenues

2,554,936 3,843,916 559,074 8,886,390 13,408,421 1,950,174

Cost and expenses:

Cost of revenues

(1,323,876 ) (2,099,265 ) (305,325 ) (4,373,377 ) (7,182,897 ) (1,044,709 )

Research and development

(124,056 ) (243,499 ) (35,415 ) (346,144 ) (760,644 ) (110,631 )

Sales and marketing

(374,436 ) (618,268 ) (89,923 ) (1,467,376 ) (1,812,262 ) (263,583 )

General and administrative

(117,124 ) (234,700 ) (34,136 ) (422,005 ) (640,023 ) (93,087 )

Total cost and expenses

(1,939,492 ) (3,195,732 ) (464,799 ) (6,608,902 ) (10,395,826 ) (1,512,010 )

Other operating income

92,634 141,420 20,569 156,764 253,697 36,899

Income from operations

708,078 789,604 114,844 2,434,252 3,266,292 475,063

Interest income

47,785 89,766 13,056 145,568 272,946 39,698

Interest expense

(19,646 ) (2,857 ) (56,503 ) (8,218 )

Impairment loss on long-term investments

(43,200 ) (6,283 ) (30,085 ) (43,200 ) (6,283 )

Income before income tax and share of income on equity method investments

755,863 816,524 118,760 2,549,735 3,439,535 500,260

Income tax expenses

(125,956 ) (183,338 ) (26,665 ) (445,001 ) (699,648 ) (101,760 )

Income before share of income on equity method investments

629,907 633,186 92,095 2,104,734 2,739,887 398,500

Share of income on equity method investments

13,398 13,221 1,923 39,729 48,660 7,077

Net income

643,305 646,407 94,018 2,144,463 2,788,547 405,577

Less: net loss attributable tonon-controlling interest

(1,498 ) (14,430 ) (2,100 ) (3,635 ) (27,228 ) (3,960 )

Net income attributable to Momo Inc.

644,803 660,837 96,118 2,148,098 2,815,775 409,537

Net income per share attributable to ordinary shareholders

Basic

1.62 1.60 0.23 5.44 6.92 1.01

Diluted

1.55 1.52 0.22 5.17 6.59 0.96

Weighted average shares used in calculating net income per ordinary share

Basic

397,753,884 413,732,538 413,732,538 394,549,323 407,009,875 407,009,875

Diluted

416,371,383 447,773,521 447,773,521 415,265,078 433,083,643 433,083,643

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Momo Inc.

Unaudited Condensed Consolidated Statement of Comprehensive Income

(All amounts in thousands, except share and per share data)

Three months Year
ended December 31 ended December 31
2017 2018 2018 2017 2018 2018
RMB RMB US$ RMB RMB US$

Net income

643,305 646,407 94,018 2,144,463 2,788,547 405,577

Other comprehensive income (loss), net of tax of nil

Foreign currency translation adjustment

(53,534 ) 5,171 752 (155,368 ) 198,654 28,893

Comprehensive income

589,771 651,578 94,770 1,989,095 2,987,201 434,470

Less: comprehensive loss attributed to thenon-controlling interest

(1,498 ) (14,535 ) (2,114 ) (3,635 ) (24,613 ) (3,580 )

Comprehensive income attributable to Momo Inc. shareholders

591,269 666,113 96,884 1,992,730 3,011,814 438,050

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Momo Inc.

Unaudited Condensed Consolidated Balance Sheets

(All amounts in thousands, except share and per share data)

December 31
2017
RMB
December 31
2018
RMB
December 31
2018
US$

Assets

Current assets

Cash and cash equivalents

4,462,194 2,468,034 358,961

Term deposits

2,432,016 8,824,610 1,283,486

Short-term investment

10,500

Accounts receivable, net of allowance for doubtful accounts of RMB585 and RMB nil as of December 31, 2017 and 2018, respectively

257,633 719,606 104,662

Prepaid expenses and other current assets

538,182 620,979 90,318

Amount due from related parties

33,460

Total current assets

7,733,985 12,633,229 1,837,427

Property and equipment, net

258,704 387,532 56,364

Intangible assets

48,553 1,036,986 150,823

Rental deposits

17,249 24,192 3,519

Long term investments

288,471 447,465 65,081

Deferred tax assets

46,825 57,786 8,405

Othernon-current assets

55,271 71,519 10,402

Goodwill

22,130 4,306,829 626,402

Total assets

8,471,188 18,965,538 2,758,423

Liabilities and equity

Current liabilities

Accounts payable

484,945 718,362 104,481

Deferred revenue

422,028 441,892 64,271

Accrued expenses and other current liabilities

571,333 846,710 123,148

Amount due to related parties

37,760 82,948 12,064

Income tax payable

175,887 137,090 19,939

Deferred consideration in connection with business acquisitions

469,274 68,253

Total current liabilities

1,691,953 2,696,276 392,156

Deferred tax liabilities

12,138 259,247 37,706

Convertible Senior Notes

4,877,116 709,347

Share-based compensation liability

86,767 12,620

Othernon-current liabilities

14,997 23,273 3,385

Total liabilities

1,719,088 7,942,679 1,155,214

Shareholder’s equity (Note a)

6,752,100 11,022,859 1,603,209

Total liabilities and shareholder’s equity

8,471,188 18,965,538 2,758,423

Note a: As of December 31, 2018, the number of ordinary shares issued and outstanding was 413,876,480.

10


Momo Inc.

Unaudited Condensed Consolidated Statement of Cash Flows

(All amounts in thousands, except share and per share data)

Three months
ended December 31
Year
ended December 31
2017
RMB
2018
RMB
2018
US$
2017
RMB
2018
RMB
2018
US$

Cash flows from operating activities:

Net income

643,305 646,407 94,018 2,144,463 2,788,547 405,577

Adjustments to reconcile net income to net cash provided by operating activities:

Depreciation of property and equipment

25,906 42,244 6,144 78,885 148,238 21,560

Amortization of intangible assets

1,735 39,522 5,748 4,784 93,030 13,531

Share-based compensation

82,563 198,013 28,800 334,973 580,813 84,476

Share of income on equity method investments

(13,398 ) (13,221 ) (1,923 ) (39,729 ) (48,660 ) (7,077 )

Impairment loss on long-term investments

43,200 6,283 30,085 43,200 6,283

Impairment loss on intangible assets

1,266 1,266

Loss(income) on disposal of property and equipment

128 (44 ) (6 ) 112 (1,283 ) (187 )

Provision of allowance for doubtful accounts

585 (585 ) (85 )

Changes in operating assets and liabilities:

Accounts receivable

(49,685 ) (84,973 ) (12,359 ) (7,725 ) (440,644 ) (64,089 )

Prepaid expenses and other current assets

(150,633 ) 14,190 2,064 (306,838 ) (67,304 ) (9,789 )

Amount due from related parties

(25,948 ) 56 8 (32,846 ) 33,463 4,867

Rental deposits

(810 ) (4,062 ) (591 ) (10,902 ) (3,817 ) (555 )

Deferred tax assets

(45,383 ) (39,874 ) (5,799 ) (44,883 ) (10,961 ) (1,594 )

Othernon-current assets

7,119 (670 ) (97 ) (5,234 ) (45,534 ) (6,623 )

Accounts payable

(1,206 ) (18,987 ) (2,762 ) 174,290 233,713 33,992

Income tax payable

91,525 81,097 11,795 152,277 (38,791 ) (5,642 )

Deferred revenue

113,197 12,470 1,814 135,443 (14,249 ) (2,072 )

Accrued expenses and other current liabilities

156,071 235,104 34,194 292,054 51,903 7,549

Amount due to related parties

(41,941 ) 25,349 3,687 (16,070 ) 43,024 6,258

Deferred tax liability

(343 ) (9,547 ) (1,389 ) (969 ) (22,923 ) (3,334 )

Othernon-current liabilities

(2,653 ) (2,915 ) (424 ) 2,086 6,538 951

Net cash provided by operating activities

790,815 1,163,359 169,205 2,886,107 3,327,718 483,997

11


Momo Inc.

Unaudited Condensed Consolidated Statement of Cash Flows

(All amounts in thousands, except share and per share data)

Three months Year
ended December 31 ended December 31
2017 2018 2018 2017 2018 2018
RMB RMB US$ RMB RMB US$

Cash flows from investing activities:

Purchase of property and equipment

(86,183 ) (81,243 ) (11,816 ) (218,627 ) (242,843 ) (35,320 )

Proceeds from disposal of property and equipment

1 4 1 59 2,214 322

Payment for long term investments

(20,000 ) (3,000 ) (436 ) (53,928 ) (65,125 ) (9,472 )

Prepayment of long term investments

(50,000 ) (8,000 ) (1,164 ) (50,000 ) (55,000 ) (7,999 )

Payment for acquired intangible assets

(18,979 )

Payment for business acquisition

(40,632 ) (5,910 ) (3,318,841 ) (482,705 )

Purchase of term deposits

(480,645 ) (5,300,000 ) (770,853 ) (4,028,058 ) (20,287,302 ) (2,950,666 )

Cash received on maturity of term deposits

882,645 4,600,000 669,042 4,191,859 13,922,393 2,024,928

Payment for short term investments

(10,000 ) (103,000 ) (14,981 ) (15,700 ) (457,200 ) (66,497 )

Cash received from sales of short term investment

5,200 218,000 31,707 5,200 467,700 68,024

Net cash provided by (used in) investing activities

241,018 (717,871 ) (104,410 ) (188,174 ) (10,034,004 ) (1,459,385 )

Cash flows from financing activities:

Proceeds from exercise of options

680 1 3,839 5,313 773

Deferred payment of purchase of property and equipment

(157 ) (23 ) (1,496 ) (8,562 ) (1,245 )

Capital contribution fromnon-controlling interest shareholder

12 2 490 12 2

Proceeds from bank loan

1,913,190 278,262

Repayment of bank loan

(2,041,680 ) (296,950 )

Proceeds from issuance of convertible notes, net of issuance cost of RMB113,673

4,820,387 701,096

Payment of issuance cost of convertible notes

(709 ) (103 ) (709 ) (103 )

Net cash provided by (used in) financing activities

680 (853 ) (124 ) 2,833 4,687,951 681,835

Effect of exchange rate changes

(8,207 ) 1,439 208 (26,840 ) 24,175 3,515

Net increase (decrease) in cash, cash equivalents, and restricted cash

1,024,306 446,074 64,879 2,673,926 (1,994,160 ) (290,038 )

Cash, cash equivalents, and restricted cash at beginning of period

3,437,888 2,021,960 294,082 1,788,268 4,462,194 648,999

Cash, cash equivalents, and restricted cash at end of period

4,462,194 2,468,034 358,961 4,462,194 2,468,034 358,961

12


Momo Inc.

Reconciliation ofNon-GAAP financial measures to comparable GAAP measures

(All amounts in thousands, except per share data)

1.

Reconciliation ofNon-GAAP cost and operating expenses, income from operations, and net income to comparable GAAP measures.

Three months Three months Three months
ended December 31, 2017 ended December 31, 2018 ended December 31, 2018
GAAP
RMB
Share-
based
compensation
RMB
Non-GAAP
RMB
GAAP
RMB
Amortization
of intangible
assets from
business
acquisitions
RMB
Share-
based
compensation
RMB
Tax
impacts(a)
RMB
Non-GAAP
RMB
GAAP
US$
Amortization
of intangible
assets from
business
acquisitions
US$
Share-
based
compensation
US$
Tax
impacts(a)
US$
Non-
GAAP
US$

Cost of revenues

(1,323,876 ) 4,160 (1,319,716 ) (2,099,265 ) 18,471 5,498 (2,075,296 ) (305,325 ) 2,686 800 (301,839 )

Research and development

(124,056 ) 17,028 (107,028 ) (243,499 ) 2,345 47,215 (193,939 ) (35,415 ) 341 6,867 (28,207 )

Sales and marketing

(374,436 ) 20,645 (353,791 ) (618,268 ) 17,273 43,707 (557,288 ) (89,923 ) 2,512 6,357 (81,054 )

General and administrative

(117,124 ) 40,730 (76,394 ) (234,700 ) 101,593 (133,107 ) (34,136 ) 14,776 (19,360 )

Cost and operating expenses

(1,939,492 ) 82,563 (1,856,929 ) (3,195,732 ) 38,089 198,013 (2,959,630 ) (464,799 ) 5,539 28,800 (430,460 )

Income from operations

708,078 82,563 790,641 789,604 38,089 198,013 1,025,706 114,844 5,539 28,800 149,183

Net income attributable to Momo Inc.

644,803 82,563 727,366 660,837 38,089 198,013 (9,522 ) 887,417 96,118 5,539 28,800 (1,385 ) 129,072

13


Momo Inc.

Reconciliation ofNon-GAAP financial measures to comparable GAAP measures

(All amounts in thousands, except per share data)

Year Year Year
ended December 31, 2017 ended December 31, 2018 ended December 31, 2018
GAAP
RMB
Share-
based
compen
sation
RMB
Non-
GAAP
RMB
GAAP
RMB
Amortization
of intangible
assets from
business
acquisitions
RMB
Share-
based
compensation
RMB
Tax
impacts(a)
RMB
Non-
GAAP
RMB
GAAP
US$
Amortization
of intangible
assets from
business
acquisitions
US$
Share-
based
compensation
US$
Tax
impacts(a)
US$
Non-
GAAP
US$

Cost of revenues

(4,373,377 ) 13,547 (4,359,830 ) (7,182,897 ) 42,336 21,661 (7,118,900 ) (1,044,709 ) 6,158 3,150 (1,035,401 )

Research and development

(346,144 ) 59,190 (286,954 ) (760,644 ) 5,375 152,806 (602,463 ) (110,631 ) 782 22,225 (87,624 )

Sales and marketing

(1,467,376 ) 79,032 (1,388,344 ) (1,812,262 ) 39,589 142,927 (1,629,746 ) (263,583 ) 5,758 20,788 (237,037 )

General and administrative

(422,005 ) 183,204 (238,801 ) (640,023 ) 263,419 (376,604 ) (93,087 ) 38,313 (54,774 )

Cost and operating expenses

(6,608,902 ) 334,973 (6,273,929 ) (10,395,826 ) 87,300 580,813 (9,727,713 ) (1,512,010 ) 12,698 84,476 (1,414,836 )

Income from operations

2,434,252 334,973 2,769,225 3,266,292 87,300 580,813 3,934,405 475,063 12,698 84,476 572,237

Net income attributable to Momo Inc.

2,148,098 334,973 2,483,071 2,815,775 87,300 580,813 (21,823 ) 3,462,065 409,537 12,698 84,476 (3,174 ) 503,537

(a)

Includes tax impacts related to the amortization of intangible assets from business acquisition. There is no tax impact related to share-based compensation.

14

";


Webplus: MOMO/20190312/6-K/1/000.htm SEC Original: d714707d6k.htm
6-K FORM 13a-16 15d-16 001-36765 Momo Inc. th 20 Tower 2, Wangjing SOHO No.1 Futongdong Street Chaoyang District, Beijing 100102 People’s Republic of China 20-F 40-F. 20-F ☒ Form 40-F ☐ Form 6-K S-T 6-K S-T Momo Inc. Jonathan Xiaosong Zhang Chief Financial Officer 6-K 1 d714707d6k.htm FORM 6-K



s:3162:" 6-K 1 d714707d6k.htm FORM 6-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM6-K

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE13a-16 OR15d-16

UNDER THE SECURITIES EXCHANGE ACT OF 1934

For the month of March 2019

Commission File Number:001-36765

Momo Inc.

20th Floor, Block B

Tower 2, Wangjing SOHO

No.1 Futongdong Street

Chaoyang District, Beijing 100102

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 Form20-F or Form40-F.

Form20-F  ☒            Form40-F  ☐

Indicate by check mark if the registrant is submitting the Form6-K in paper as permitted by RegulationS-T Rule 101(b)(1):  ☐

Indicate by check mark if the registrant is submitting the Form6-K in paper as permitted by RegulationS-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.

Momo Inc.
By:

/s/ Jonathan Xiaosong Zhang

Name: Jonathan Xiaosong Zhang
Title: Chief Financial Officer

Date: March 12, 2019


Exhibit Index

Exhibit 99.1—Press Release

";

Company Info:

Ticker: MOMO, Company: Momo Inc., Type: 6-K, Date: 2019-03-12CIK: 0001610601, Location: F4, SIC: 7372, SIC Desc: SERVICES-PREPACKAGED SOFTWARE
Business Phone & Address:
20/F, BLOCK B, TOWER 2, WANGJING SOHO, NO.1 FUTONGDONG STREET,CHAOYANG DISTRICT
BEIJING 100102

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