Youku Tudou – Highlights of the second quarter of 2015

Youku Tudou Inc. (NYSE: YOKU), a leading multi-screen entertainment and media in China (“Youku Tudou” or the “Company”), today announced its unaudited financial results for the second quarter 2015.

Highlights of the second quarter of 2015

Net revenues were RMB1.61 billion (US $ 259.6 million), an increase of 57% compared to the same period in 2014 [2]. Non-GAAP [3] net revenues were RMB1.51 billion (US $ 300 000 244) in the second quarter of 2015, an increase of 58% compared to the same period in 2014.

Youku Tudou

Youku-Tudou Inc Gross profit was RMB254.1 million

Youku Gross profit was RMB254.1 million (US $ 41.0 million) million, an increase of 11% compared to the same period of 2014. Non-GAAP gross profit was RMB253.8 (US $ 40.9 million) in the second quarter of 2015, an increase of 14% from the same period in 2014.et loss was RMB342.0 million (US $ 55.2 million), compared to RMB142.3 million (US $ 23.0 million) in the corresponding period in 2014. Non-GAAP net loss was RMB220.7 million (35 , US $ 6 million) in the second quarter of 2015, compared to RMB76.9 million (US $ 12.4 million) in the corresponding period in 2014.
Loss per ADS

Basic and diluted loss per ADS, each representing 18 Class A ordinary shares of the Company for the second quarter of 2015 amounted to RMB1.76 (US $ 0.28) and RMB1.76 (US $ 0.28) respectively. Non-GAAP basic and diluted loss per ADS for the second quarter 2015 amounted to RMB1.13 (US $ 0.18) and RMB1.13 (US $ 0.18), respectively.

Cash flow in China
Cash, cash equivalents, cash and short-term investments totaled restricted RMB8.33 billion (US $ 1.34 billion) at June 30, 2015.
Acquisition of fixed assets for the second quarter 2015 was RMB71.5 million of (US $ 11.5 million).
The acquisition of rights under license for the second quarter 2015 was RMB366.2 million of (US $ 59.1 million).
“I am very pleased that once again we delivered accelerated and increasingly diverse topline growth in the second quarter, driven by the development of robust consumer affairs and supported by healthy advertising revenue. Our revenue diversification through consumer business is successful and based on the progress driven by our business unit reorganizations and additions to the management team. Meanwhile, with almost half of revenue from mobile advertising, we performed a wide adoption of mobile advertising by national and international advertisers as well, “said Victor Koo, president and CEO of Youku Tudou. “We expect these positive trends, reinforced by our clear growth strategy and improve business economics, to continue in the second half of this year.”

Dele Liu, Youku Tudou President, added, “We continued to increase significantly the Web-native content, which is one of the key pillars of growth to drive our business development this year and more accelerated topline growth and diversification of revenues. Specifically, we are creating a cross-domain synergy for high quality IP addresses by taking forms of web series, online gaming, and movies, leveraging our large and growing base of users and the high quality traffic measured by the time spent in user and user engagement. ”

Second Quarter 2015 Results

Net revenues were RMB1.61 billion (US $ 600 000 259) in the second quarter of 2015, an increase of 57% compared to the same period of 2014. Non-GAAP net income was RMB1.51 billion (244.3 million US $) in the second quarter of 2015, an increase of 58% compared to the same period in 2014, meet with the management of non-compliant with GAAP net income previously announced by the Company.

Net advertising revenue was RMB1.28 billion (US $ 206.1 million) in the second quarter of 2015, an increase of 40% compared to the same period in 2014, meet with management of net advertising revenue previously announced by the Company. Growth was mainly attributable to the increased use by brand advertisers of our advertising services as evidenced by the increasing number of advertisers and average spending per advertiser up.

Subscription service

The incomes of consumers, who are from our subscription service, interactive game shows and mobile joint operation were RMB174.5 million ($ 28.1 million) in the second quarter of 2015, an increase of 596% compared to the corresponding period in 2014. The growth was mainly due to user adoption growing our consumer services as evidenced by the expansion of the subscriber base of our subscription service, and the increasing number of ‘paying users and average expenditure per user of our live interactive entertainment service.

Bandwidth costs as a component of cost of sales were RMB330.3 million (US $ 53.3 million) in the second quarter of 2015, representing 21% of net sales, compared to 21% of net income for the corresponding period in 2014.

Content Cost increase

Content costs as a component of cost of revenues were RMB744.4 million (US $ 120.1 million) in the second quarter of 2015, representing 46% of net revenues, compared to 45% of net income for the same period in 2014. Non-GAAP content costs were RMB649.8 million (US $ 104.8 million) in the second quarter of 2015, representing 43% of non-GAAP net income, against 42% of non-GAAP net income for the corresponding period in 2014. This increase is mainly due to the expansion of our portfolio of video content to support our new business growth initiatives.

Gross profit of Youku Tudou

Gross profit was RMB254.1 million ($ 41.0 million US) in the second quarter of 2015, an increase of 11% compared to the same period of 2014. Non-GAAP gross profit was RMB253.8 million (40, US $ 9 million) in the second quarter of 2015, an increase of 14% compared to the same period in 2014.

Operating expenses were RMB645.9 million (US $ 104.2 million) in the second quarter of 2015, compared to RMB384.2 million (US $ 62.0 million) for the corresponding period in 2014. Operating expenses Non-GAAP were RMB524.4 million (US $ 84.6 million) in the second quarter of 2015, compared to RMB312.1 million (US $ 50.3 million) for the corresponding period in 2014. A detailed discussion of each component operating expenses are as follows:

Marketing expenses

Commercial and marketing expenses were RMB354.3 million (US $ 57.1 million) in the second quarter of 2015, compared to RMB212.0 million (US $ 34.2 million) for the corresponding period in 2014. Sales and not in accordance with GAAP marketing expenses were RMB305. 6 million ($ 49.3 million) in the second quarter of 2015, compared to RMB185.8 million (US $ 30.0 million) for the corresponding period in 2014. This increase was primarily due to higher marketing costs and commissions paid to our sales force in line with the growth of our revenues.

Product development expenses were RMB181.9 of million (US $ 29.3 million) in the second quarter of 2015, compared to RMB98.6 million (US $ 15.9 million) for the corresponding period in 2014. Non-compliant expenditure product development of GAAP were RMB141.8 million (US $ 22.9 million) in the second quarter of 2015, compared to RMB78.6 million ($ 12.7 million) for the corresponding period in 2014. This increase is mainly due to an increase in personnel expenses related to our product development in mobile, search, social, subscription and interactive entertainment services directly.

General and administrative expenses were RMB109.8 million (US $ 17.7 million) in the second quarter of 2015, compared to RMB73.7 million (US $ 11.9 million) in the corresponding period in 2014. Non-GAAP them General and administrative expenses were RMB77. 0 million (US $ 12.4 million) in the second quarter of 2015, compared to RMB47.6 million (US $ 7.7 million) in the corresponding period in 2014.

Net loss was RMB342.0 million (US $ 55.2 million) in the second quarter of 2015, compared to RMB142.3 million (US $ 23.0 million) for the corresponding period in 2014. Non-GAAP net loss was RMB220 .7 million (US $ 35.6 million) in the second quarter of 2015, compared to RMB76.9 million (US $ 12.4 million) in the corresponding period in 2014.

more information :

http://ir.youku.com/phoenix.zhtml?c=241246&p=irol-newsArticle&ID=2080788

http://www.youngchinabiz.com/en/tag/youku-tudou/

 

The 97 million Chinese tourists traveled abroad last year represent a significant windfall for the countries they visit. In 2012, they spent a total of $ 102 billion.

Chinese tourists in China

Without having been able to truly master the language of Shakespeare, there is still time for Parisian waiters get to Mandarin. The manna of Chinese tourism does not seem about to dry up. While the standard of living of the middle class is improving at the rate of annual wage increases in the People’s Republic, the Chinese are more and more people travel abroad.
Some 97 million Chinese tourists traveled abroad last year, a record for a clientele that is confirmed as the most extravagant of the world, according to figures from the National Tourism Administration. This is an increase of 14 million compared to 2012. And the trend is expected to continue, given the prospects for strong growth of the middle class of the second economy in the world. Beijing estimates that the number of Chinese tourists abroad easily cross the 100 million mark in 2014.
China had increased in 2012 first in the world in terms of tourist spending abroad, with a total of $ 102 billion, according to the World Tourism Organization (UNWTO). This amount will certainly be exceeded in 2013, said Rui Song, the Chinese Academy of Social Sciences, a government-controlled research center. “Chinese tourists spend abroad so that they are sometimes dubbed the” traveling portfolios “,” Song said China Daily.
Competition is getting tougher to attract Chinese tourists

According to a report from 2012, Chinese tourists spent on average 7107 dollars per person on their trips to the US in 2011. The average expenditure of tourists in the US was 2440 dollars this year, according to the department US Trade. Luxury purchases of Chinese tourists during the London Olympics in 2012 would have led the British to introduce a new expression reflecting their purchasing power, according to Song: the “Beijing Book”.
Internationally, competition is getting tougher to attract Chinese tourists, the luxury sector preferred customers, who often travel in groups with several countries in their tour. Other European countries, including the UK, France and Germany have therefore promised or initiated measures to facilitate pro-Chinese procedures for obtaining visas … The choice of destination input means juicy benefits for the country concerned.

this french Explains The capital of arrival is also where the tourist buys his ingredients at the time of leaving, for an amount estimated at 1500 euros for a Chinese.

 

Chinese travelling in China !

The number of Chinese travelling in their own country also increased last year. Some 3.2 billion tourists visited China in 2013, 300 million more than in 2012. The island of Hainan, a kind of Chinese Saint-Tropez, was their first destination. However, the Chinese tourism industry recorded a 12% drop in revenues for the hospitality industry for more than three stars and quality restaurants, due to a decline in attendance foreign tourists in China. This is explained by the strong levels of pollution, food scandals, congestion and inadequate quality of tourism infrastructure.

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