BEIJING, Aug. 7, 2014 /PRNewswire/ -- SouFun Holdings
Limited (NYSE: SFUN) ("SouFun"), the leading real estate
Internet portal in China,
announced today its unaudited financial results for the second
quarter of 2014. In addition, SouFun announced changes to SouFun's
Board of Directors ("Board") and management and declared cash
dividends to its shareholders.
Second Quarter 2014 Highlights
- Revenue in the second quarter of 2014 was $168.2 million, a 16.7% increase from the
corresponding period in 2013.
- Operating income in the second quarter of 2014 was
$81.7 million, a 7.8% increase from
the corresponding period in 2013. Non-GAAP operating income
in the second quarter of 2014 was $83.2
million, a 7.3% increase from the corresponding period in
2013. A description of the adjustments from GAAP to non-GAAP
operating income is described below.
- Net income attributable to SouFun's
shareholders was $68.2
million, representing a year-over-year increase of 23.2%.
Fully diluted earnings per ADS was $0.15, an increase of 15.4% from the
corresponding period in 2013.
- Non-GAAP net income attributable to SouFun's
shareholders was $72.1 million,
representing a year-over-year increase of 15.4%. Non-GAAP fully
diluted earnings per ADS were $0.16,
an increase of 6.7% from the corresponding period in 2013.
First Half 2014
Highlights
- Revenue in the first half of 2014 was $289.4 million, a 23.0% increase from the
corresponding period in 2013.
- Operating income in the first half of 2014 was
$131.3 million, a 16.1% increase from
the corresponding period in 2013. Non-GAAP operating income
in the first half of 2014 was $134.3
million, a 15.2% increase from the corresponding period in
2013.
- Net income attributable to SouFun's
shareholders in the first half of 2014 was $109.7 million, representing a year-over-year
increase of 31.0%. Fully diluted earnings per ADS were $0.25, an increase of 25.0% from the
corresponding period in 2013.
- Non-GAAP net income attributable to SouFun's
shareholders in the first half of 2014 was $119.9 million, representing a year-over-year
increase of 25.3%. Non-GAAP fully diluted earnings per ADS in the
first half of 2014 was $0.26, an
increase of 13.0% from the corresponding period in 2013.
"SouFun experienced the slowest-growing quarter since its IPO
four years ago." said Vincent Mo,
Executive Chairman of SouFun. "Change and transformation are
needed, immediately. We are determined to deliver a broader and
stronger SouFun to diverse property buyers and sellers with our
solid internet and mobile platforms, transaction oriented
functions, and financial services products."
Second Quarter 2014 Results
Revenues
SouFun reported total revenues of $168.2
million for the second quarter of 2014, representing an
increase of 16.7% from $144.1 million
for the corresponding period in 2013, primarily driven by the
growth in marketing services.
Revenue from marketing services was $74.3
million for the second quarter of 2014, an increase of 26.1%
from $58.9 million for the
corresponding period in 2013.
Revenue from e-commerce services was $48.6 million for the second quarter of 2014, an
8.1% increase from $45.0 million for
the same period in 2013. The growth was primarily driven by
increased penetration in more cities but negatively affected by the
sluggish demand for new homes.
Revenue from listing services was $41.7
million for the second quarter of 2014, an increase of 8.5%
from $38.4 million for the
corresponding period in 2013. The growth in listing services was
negatively affected by the slowdown in secondary home sales and our
reduction in listing services fees.
Revenue from other value-added services was $3.6 million for the second quarter of 2014, an
increase of 97.6% from $1.8 million
for the corresponding period in 2013, mainly by an increase in real
estate data related services.
Cost of Revenue
Cost of revenue was $29.3 million
for the second quarter of 2014, an increase of 12.1 % from
$26.1 million for the corresponding
period in 2013. The increase in cost of revenue was mainly driven
by the increase in staff costs and VAT taxes.
Gross margin was 82.6% for the second quarter of 2014, slightly
improved from 81.9% for the corresponding period in 2013.
Operating Expenses
Operating expenses were $57.6
million for the second quarter of 2014, an increase of 35.9
% from $42.4 million for the
corresponding period in 2013.
Selling expenses were $31.7
million for the second quarter of 2014, an increase of 38.2%
from $23.0 million for the
corresponding period in 2013, primarily due to increased staff
costs and advertising and promotion expenses as we continued to
increase headcount to support our service expansion and technology
and product development, as well as increased spending for
advertising campaigns.
General and administrative expenses were $25.9 million for the second quarter of 2014, an
increase of 33.1% from $19.4 million
for the corresponding period in 2013, primarily due to increased
staff costs.
Operating Income
Operating income was $81.7 million
for the second quarter of 2014, an increase of 7.8% from
$75.8 million for the corresponding
period in 2013.
Income Tax Expenses
Income tax expense was $23.9
million for the second quarter of 2014, a 3.4% decrease
compared to $24.7 million for the
corresponding period in 2013. Effective tax rate was 26% for the
second quarter of 2014 as compared to 30.6% for the same period in
2013. The decrease in the effective tax rate was primarily due to a
tax benefit from certain PRC subsidiaries obtaining tax exemption
status in May 2014 for 2013 and 2014.
And to a less extent, by the fact that certain subsidiaries were
subject to 5% withholding tax rate for the second quarter of 2014
compared to 10% withholding tax rate in the corresponding period in
2013.
Net Income and EPS
Net income attributable to SouFun's shareholders was
$68.2 million for the second quarter
of 2014, a 23.2% increase from $55.4
million for the corresponding period in 2013. Fully diluted
earnings per ADS was $0.15 for the
second quarter of 2014, a 15.4% increase from $0.13 for the corresponding period in 2013.
Adjusted EBITDA
Adjusted EBITDA, defined as non-GAAP net income before
income taxes, interest expenses, interest income, depreciation and
amortization, was $87.7 million for
the second quarter of 2014, an increase of 8.7% as compared to
$80.7 million for the corresponding
period in 2013.
Cash
As of June 30, 2014, SouFun had
cash, cash equivalents, and short-term investments of $927.3 million, compared to $943.7 million as of March
31, 2014. Cash flow from operating activities was
$40.1 million for the second quarter
of 2014, a 49.6% decrease from $79.6
million for the same period in 2013 mainly caused by the
approximately $21.9 million entrusted
loans provided to developers and home buyers under our financial
services program and an approximately $27.2
million decrease in advance payments from our clients as
compared to the second quarter of 2013.
First Half 2014 Results
Revenues
SouFun reported total revenues of $289.4
million for the first half of 2014, representing an increase
of 23.0% from $235.2 million for the
corresponding period in 2013, primarily driven by the growth in
marketing services and listing services.
Revenue from marketing services was $121.3 million for the first half of 2014, an
increase of 28.0% from $94.8 million
for the corresponding period in 2013.
Revenue from e-commerce services was $78.0 million for the first half of 2014, a 9.4%
increase from $71.3 million for the
same period in 2013. The growth was primarily driven by increased
penetration in more cities but negatively affected by the sluggish
demand for new homes.
Revenue from listing services was $83.8
million for the first half of 2014, an increase of 28.4%
from $65.3 million for the
corresponding period in 2013, primarily due to the growth in the
number of agency subscribers. As mentioned above, the growth in
listing services was negatively affected by the slowdown in
secondary home sales and our reduction in listing services
fees.
Revenue from other value-added services was $6.2 million for the first half of 2014, an
increase of 63.0% from $3.8 million
for the corresponding period in 2013, due primarily to an increase
in real estate data related service.
Cost of Revenue
Cost of revenue was $54.2 million
for the first half of 2014, an increase of 17.4 % from $46.2 million for the corresponding period in
2013. The increase in cost of revenue was primarily due to
the increase in staff costs and taxes.
Gross margin was 81.3% for the first half of 2014, slightly
improved from 80.4% for the corresponding period in 2013.
Operating Expenses
Operating expenses were $104.5
million for the first half of 2014, an increase of 37.1 %
from $76.2 million for the
corresponding period in 2013.
Selling expenses were $59.3
million for the first half of 2014, an increase of 42.2%
from $41.7 million for the
corresponding period in 2013, primarily due to increased staff
costs and advertising and promotion expenses as we continued to
increase headcount to support our service expansion and technology
and product development, as well as increased spending for
advertising campaigns.
General and administrative expenses were $45.2 million for the first half of 2014, an
increase of 31.0% from $34.5 million
for the corresponding period in 2013, primarily due to increased
staff costs.
Operating Income
Operating income was $131.3
million for the first half of 2014, an increase of 16.1%
from $113.0 million for the
corresponding period in 2013.
Income Tax Expenses
Income tax expense was $39.1
million for the first half of 2014, a 7.5% increase compared
to $36.4 million for the
corresponding period in 2013. The effective tax rate was 26.3% for
the first half of 2014, compared to 30.3% for the corresponding
period in 2013. The decrease in the effective tax rate was
primarily due to a tax benefit from certain PRC subsidiaries
obtaining tax exemption status in May
2014 for 2013 and 2014. And to a less extent, by the fact
that certain subsidiaries were subject to 5% withholding tax rate
for the first half of 2014 compared to 10% withholding tax rate in
the corresponding period in 2013.
Net Income and EPS
Net income attributable to SouFun's shareholders was
$109.7 million for the first half of
2014, an increase of 31.0% from $83.8
million for the corresponding period in 2013. Fully diluted
earnings per ADS was $0.25 for the
first half of 2014, a 25.0% increase from $0.20 for the corresponding period in 2013.
Adjusted EBITDA
Adjusted EBITDA, defined as non-GAAP net income before
income taxes, interest expenses, interest income, depreciation and
amortization, was $142.5 million for
the first half of 2014, an increase of 17.3% as compared to
$121.6 million for the corresponding
period in 2013.
Cash
Cash flow from operating activities was $166.3 million for the first half of 2014, a
19.3% increase from $139.4 million
for the same period in 2013.
Business Outlook
SouFun adjusts its revenue guidance for 2014 from between
$780.0 million and $796.0 million, or
a year-over-year increase of between 22.5% and 25%, to between
$727.0 million and $739.0 million, or
a year-over-year increase of between 14% and 16%. SouFun is
adjusting its revenue guidance for 2014 in light of the slowdown in
the real estate market in China,
our reduction in fees we charge for listing services for the
remainder of 2014, and longer time for new businesses to contribute
significantly to revenue growth. This forecast reflects SouFun's
current and preliminary view, which is subject to change and may
not reflect actual results.
Changes to the Board of Directors and Management
SouFun also announced that its Board has approved the following
changes to the directors and management, effective immediately:
- Mr. Jeff Xuesong Leng resigned
from the Board.
- Mr. Sol Trujillo was appointed
an independent director to the Board. Mr. Trujillo is an
international business executive with three decades' experience as
CEO of large market cap global companies in the US, the EU and
Asia Pacific, including US West
(now CenturyLink), Orange (now France Telecom) and Telstra, the
Australian communications company. A digital pioneer operating in
the telecommunications, technology, and media space, he has been a
long-time champion of high-speed broadband and a pioneer and
innovator of smartphone and the mobile internet to stimulate
productivity and innovation across all sectors of the economy. He
has managed operations in more than 25 countries – including
developed and emerging markets from the EU and North America to China, South
Asia, Africa and the
Middle East. He currently sits on
corporate boards in the US, EU and China – including Western Union and ProAmerica
Bank in the US and in Asia, Silk
Road Technologies in China, where
he is Board chairman. In the public sector, Mr. Trujillo served as
trade policy advisor to the Clinton and Bush administrations and
remains active on public policy issues related to immigration,
trade, productivity and fiscal affairs. Mr. Trujillo earned his
B.S. in Business and an MBA in Finance from University of Wyoming.
- Mr. Richard Jiangong Dai
resigned from the President and Chief Executive Officer ("CEO") as
he has enrolled in Stanford University
and is studying full-time in the U.S. Mr. Dai will remain as a
director of the Board.
- Mr. Vincent Tianquan Mo, SouFun's founder and Exective Chairman
of the Board, is appointed the CEO.
Cash Dividends to Shareholders
In addition, SouFun announced today that its Board of Directors
has approved and declared a cash dividend of US$1.00 per share on SouFun's ordinary shares.
Five SouFun's American depositary shares ("ADS") represent one
ordinary share.
The cash dividend will be paid by August
29, 2014 to shareholders of record as of the close of
business on August 18, 2014.
Dividends will be paid to SouFun's ADS holders through the
depositary bank, JPMorgan Chase Bank, N.A., subject to the terms of
the deposit agreement, including the fees and expenses payable
thereunder.
Conference Call Information
SouFun's management team will host a conference call on the same
day at 8:00 AM U.S. EST (8:00 PM Beijing / Hong
Kong time). The dial-in details for the live conference call
are:
The dial-in details for the live conference call are:
International
Toll:
|
+65
6723-9381
|
Local
Toll:
|
United
States
|
+1 866-519-4004/+1
845-675-0437
|
Hong Kong
|
+852
800-930-346
|
Mainland
China
|
+86 400-620-8038 /
+86 800-819-0121
|
|
|
Conference ID
number:
|
7844 1729
|
A telephone replay of the call will be available after the
conclusion of the conference call from 11:00
PM U.S. EDT on August 7
through 9:59 PM August 15, 2014. The dial-in details for the
telephone replay are:
International
Toll:
|
+61
2-8199-0299
|
Toll-Free:
|
|
|
|
United
States
|
+1 855-452-5696 /
+1 646-254-3697
|
Hong
Kong
|
+852 800-963-117 /
+852 3051-2780
|
Mainland
China
|
+86 400-602-2065 /
+86 800-870-0206
|
Conference ID
number:
|
7844 1729
|
A live and archived webcast of the conference call will be
available on SouFun's website at http://ir.soufun.com.
About SouFun
SouFun operates the leading real estate Internet portal in
China in terms of the number of
page views and visitors to our websites in 2013. Through
SouFun's websites, it provides marketing, e-commerce, listing, and
other value-added services for China's fast-growing real estate and
home-related sectors. SouFun's Internet portal is highly focused on
user experience, and supports SouFun's users in seeking information
on the real estate and home-related sectors in China. SouFun currently maintains about 100
offices to focus on local market needs and its website and database
contains real estate related content covering more than 370 cities
in China. For more information
about SouFun, please visit http://ir.fang.com.
Safe Harbor Statements
This announcement 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 U.S. Private Securities Litigation Reform Act of
1995.
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. Such forward-looking statements include, without
limitation, statements regarding the revenue outlook for 2014,
conditions in the PRC real estate market and the success of
SouFun's strategic and operational plans and focus, the impact of
government policies and China's
real estate and home furnishings market. Statements that are not
historical facts, including statements about SouFun's beliefs and
expectations, are forward-looking statements. Forward-looking
statements involve inherent risks and uncertainties. A number of
important factors could cause actual results to differ materially
from those contained in any forward-looking statement. Potential
risks and uncertainties include, but are not limited to, the impact
of the slowdown in the PRC real estate market on SouFun and the
impact on revenues of our existing and new service fees reductions,
the ability of SouFun to retain real estate listing agencies as
customers during challenging economic periods, the success of
SouFun's new business initiatives, the ability of SouFun to manage
its operating expenses, the impact of, measures taken or to
be taken by the Chinese government to control real estate growth
and prices and other events which could occur in the future,
economic challenges in China's
real estate market, the impact of competitive market conditions for
our services, our ability to maintain and increase our leadership
in China's home related internet
sector, the uncertain regulatory landscape in China, fluctuations in our quarterly operating
results, our continued ability to execute business strategies
including our SouFun membership services and SouFun Online Shop,
our ability to continue to expand in local markets, our reliance on
online advertising sales and listing services for our revenues, any
failure to successfully develop and expand our content, service
offerings and features, including the success of new features to
meet evolving market needs, and the technologies that support them,
and, should we in the future make acquisitions, any failure to
successfully integrate acquired businesses.
Further information regarding these and other risks and
uncertainties is included in our annual report on Form 20-F and
other documents we have filed with the U.S. Securities and Exchange
Commission. SouFun does not assume any obligation to update any
forward-looking statements in this release and elsewhere, which
apply only as of the date of this press
release.
About Non-GAAP Financial Measures
To supplement SouFun's consolidated financial results presented
in accordance with United States Generally Accepted Accounting
Principles ("GAAP"), SouFun uses in this press release the
following measures defined as non-GAAP financial measures by the
United States Securities and Exchange Commission: (1) non-GAAP
operating income, (2) non-GAAP net income and (3) non-GAAP basic
and diluted earnings per ordinary share and (4) adjusted EBITDA.
The presentation of the non-GAAP financial information is not
intended to be considered in isolation or as a substitute for the
financial information prepared and presented in accordance with
GAAP. For more information on these non-GAAP financial measures,
please see the table captioned "Reconciliation of GAAP and non-GAAP
Results" set forth at the end of this press release.
SouFun believes that these non-GAAP financial measures provide
meaningful supplemental information to investors regarding its
operating performance by excluding share-based compensation
expenses and the related tax effects, realized gain on
available-for-sale security, interest income and expenses, income
tax expenses, and depreciation expense for the three months ended
June 30, 2014 and the first half of
2014, which (1) may not be indicative of SouFun's recurring core
business operating results or (2) are not expected to result in
future cash payments. These non-GAAP financial measures also
facilitate management's internal comparisons to SouFun's historical
performance and assist its financial and operational decision
making. A limitation of using these non-GAAP financial measures is
that share-based compensation, interest income and expenses, income
tax expenses, and depreciation expenses have been and will continue
to be a significant recurring expense that will continue to exist
in SouFun's business for the foreseeable future. Management
compensates for these limitations by providing specific information
regarding the GAAP amounts excluded from each non-GAAP measure. The
accompanying tables have more details on the reconciliation between
non-GAAP financial measures and their most directly comparable GAAP
financial measures.
For investor and media inquiries, please contact:
Mr. Hong Zhao
Vice
President of Finance
SouFun Holdings Limited
Phone: +86-10-5631 8707
Email: hongzhao@soufun.com
Or
Ms. Yiwen Zhang
Investor Relations Manager
SouFun Holdings Limited
Phone: +86-10-5631 8659
E-mail: zhangyiwen@soufun.com
SouFun Holdings
Limited
|
Condensed
Consolidated Balance Sheets
|
(in thousands of
U.S. dollars, except as noted )
|
ASSETS
|
|
June
30,
|
|
Dec
31,
|
|
2014
|
2013
|
Current
assets:
|
|
|
(Unaudited)
|
|
|
(Audited)
|
|
Cash and cash
equivalents
|
|
|
239,191
|
|
|
581,010
|
|
Restricted cash,
current
|
|
|
-
|
|
|
255,917
|
|
Short-term
investments
|
|
|
688,123
|
|
|
10,138
|
|
Accounts receivable,
net
|
|
|
53,349
|
|
|
44,541
|
|
Funds
receivable
|
|
|
18,684
|
|
|
37,124
|
|
Prepayment and other
current assets
|
|
|
27,170
|
|
|
31,758
|
|
Loan
receivable
|
|
|
21,896
|
|
|
-
|
|
Deferred tax assets,
current
|
|
|
3,379
|
|
|
3,165
|
Total current
assets
|
|
|
1,051,792
|
|
|
963,653
|
Non-current
assets:
|
|
|
|
|
|
|
|
Property and
equipment, net
|
|
|
217,615
|
|
|
221,442
|
|
Restricted cash,
non-current
|
|
|
206,343
|
|
|
257,499
|
|
Deferred tax assets,
non-current
|
|
|
1,815
|
|
|
1,728
|
|
Deposit for
non-current assets
|
|
|
75,963
|
|
|
38,140
|
|
Long-term
investments
|
|
|
49,506
|
|
|
-
|
|
Other non-current
assets
|
|
|
25,935
|
|
|
22,627
|
Total non-current
assets
|
|
|
577,177
|
|
|
541,436
|
Total
assets
|
|
|
1,628,969
|
|
|
1,505,089
|
|
|
|
|
|
|
|
|
LIABILITIES AND
SHAREHOLDERS' EQUITY
|
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
|
|
Short-term
loans
|
|
|
-
|
|
|
90,000
|
|
Deferred
revenue
|
|
|
134,031
|
|
|
115,043
|
|
Accrued expenses and
other liabilities
|
|
|
171,678
|
|
|
143,292
|
|
Income tax
payable
|
|
|
16,367
|
|
|
43,688
|
|
Customers' refundable
fees
|
|
|
75,140
|
|
|
53,066
|
|
Amounts due to a
related party
|
|
|
937
|
|
|
537
|
|
|
|
|
|
|
|
|
Total current
liabilities
|
|
|
398,153
|
|
|
445,626
|
Non-current
liabilities:
|
|
|
|
|
|
|
|
Long-term
loans
|
|
|
180,750
|
|
|
180,750
|
|
Convertible senior
notes
|
|
|
400,000
|
|
|
350,000
|
|
Deferred tax
liabilities, non-current
|
|
|
97,203
|
|
|
84,767
|
|
Other non-current
liabilities
|
|
|
403
|
|
|
479
|
Total non-current
liabilities
|
|
|
678,356
|
|
|
615,996
|
Total
Liabilities
|
|
|
1,076,509
|
|
|
1,061,622
|
|
|
|
|
|
|
|
|
Equity:
|
|
|
|
|
|
|
|
Class A ordinary
shares, par value Hong Kong Dollar ("HK$")
1 per share, 600,000,000 shares authorized for Class A and
Class B in aggregate, and 57,627,378 shares and 57,440,895
shares issued and outstanding as at June 30, 2014 and
December 31, 2013, respectively
|
|
|
7,430
|
|
|
7,376
|
|
Class B ordinary
shares, par value HK$1 per share,
600,000,000 shares authorized for Class A and Class
B in aggregate, and 24,336,650 shares and 24,336,650
shares issued and outstanding as at June 30, 2014 and
December 31, 2013 , respectively
|
|
|
3,124
|
|
|
3,124
|
|
Additional paid-in
capital
|
|
|
94,036
|
|
|
89,071
|
|
Accumulated other
comprehensive income
|
|
|
37,632
|
|
|
43,381
|
|
Retained
earnings
|
|
|
410,238
|
|
|
300,515
|
Total SouFun
Holdings Limited shareholders' equity
|
|
|
552,460
|
|
|
443,467
|
|
Noncontrolling
interests
|
|
|
-
|
|
|
-
|
Total
equity
|
|
|
552,460
|
|
|
443,467
|
TOTAL LIABILITIES
AND EQUITY
|
|
|
1,628,969
|
|
|
1,505,089
|
SouFun Holdings
Limited
|
Condensed
Consolidated Statements of Comprehensive Income
|
( in thousands of
U.S. dollars, except share data and per share data)
|
|
|
Three months
ended
|
Six months
ended
|
|
|
June 30,
|
|
June 30,
|
|
June 30,
|
|
June 30,
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
|
|
(Unaudited)
|
|
|
(Unaudited)
|
|
|
(Unaudited)
|
|
|
(Unaudited)
|
Revenues:
|
|
|
|
|
|
|
|
|
|
|
|
Marketing
services
|
|
74,303
|
|
|
58,947
|
|
|
121,286
|
|
|
94,760
|
E-commerce
services
|
|
48,618
|
|
|
44,972
|
|
|
78,033
|
|
|
71,335
|
Listing
services
|
|
41,674
|
|
|
38,423
|
|
|
83,819
|
|
|
65,257
|
Other
value-added services
|
|
3,560
|
|
|
1,802
|
|
|
6,238
|
|
|
3,826
|
Total
revenues
|
|
168,155
|
|
|
144,144
|
|
|
289,376
|
|
|
235,178
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of
Revenues:
|
|
|
|
|
|
|
|
|
|
|
|
Cost of
services
|
|
(29,291)
|
|
|
(26,124)
|
|
|
(54,196)
|
|
|
(46,154)
|
Total Cost of
Revenues
|
|
(29,291)
|
|
|
(26,124)
|
|
|
(54,196)
|
|
|
(46,154)
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross
Profit
|
|
138,864
|
|
|
118,020
|
|
|
235,180
|
|
|
189,024
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating expenses
and income:
|
|
|
|
|
|
|
|
|
|
|
|
Selling
expenses
|
|
(31,748)
|
|
|
(22,965)
|
|
|
(59,282)
|
|
|
(41,697)
|
General
and administrative
expenses
|
|
(25,852)
|
|
|
(19,424)
|
|
|
(45,168)
|
|
|
(34,484)
|
Other
income
|
|
472
|
|
|
167
|
|
|
525
|
|
|
167
|
Operating
Income
|
|
81,736
|
|
|
75,798
|
|
|
131,255
|
|
|
113,010
|
Foreign
exchange gain (loss)
|
|
(1)
|
|
|
2
|
|
|
(13)
|
|
|
2
|
Interest
income
|
|
12,836
|
|
|
6,315
|
|
|
24,180
|
|
|
11,993
|
Interest
expense
|
|
(4,085)
|
|
|
(3,218)
|
|
|
(9,179)
|
|
|
(6,555)
|
Government
grants
|
|
1,616
|
|
|
432
|
|
|
2,582
|
|
|
854
|
Realized gain
on available-for-sale security (includes $821
accumulated other comprehensive income reclassifications for
unrealized net gains on available-for-sale security)
|
|
-
|
|
|
821
|
|
|
-
|
|
|
821
|
Gain on bargain
purchase
|
|
-
|
|
|
-
|
|
|
-
|
|
|
102
|
Income before
income taxes and noncontrolling interests
|
|
92,102
|
|
|
80,150
|
|
|
148,825
|
|
|
120,227
|
Income tax
expenses
|
|
|
|
|
|
|
|
|
|
|
|
Income tax
expenses
|
|
(23,901)
|
|
|
(24,747)
|
|
|
(39,102)
|
|
|
(36,380)
|
Net
income
|
|
68,201
|
|
|
55,403
|
|
|
109,723
|
|
|
83,847
|
Net income
attributable
to
noncontrolling
interests
|
|
-
|
|
|
35
|
|
|
-
|
|
|
70
|
Net income
attributable to SouFun Holdings Limited shareholders
|
|
68,201
|
|
|
55,368
|
|
|
109,723
|
|
|
83,777
|
Other
comprehensive income, net of tax
|
|
|
|
|
|
|
|
|
|
|
|
Foreign
currency
Translation
|
|
(6)
|
|
|
8,323
|
|
|
(7,840)
|
|
|
9,691
|
Realized gain
on available-for-sale security
|
|
-
|
|
|
(821)
|
|
|
-
|
|
|
(821)
|
Unrealized gain on
available-for-sale security
|
|
2,091
|
|
|
-
|
|
|
2,091
|
|
|
78
|
Total other
comprehensive income, net of tax
|
|
2,085
|
|
|
7,502
|
|
|
(5,749)
|
|
|
8,948
|
Comprehensive
income
|
|
70,286
|
|
|
62,905
|
|
|
103,974
|
|
|
92,795
|
Earnings per share
for Class A and Class B ordinary shares
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
0.83
|
|
|
0.71
|
|
|
1.34
|
|
|
1.07
|
Diluted
|
|
0.77
|
|
|
0.67
|
|
|
1.24
|
|
|
1.01
|
Earnings per
ADS
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
0.17
|
|
|
0.14
|
|
|
0.27
|
|
|
0.21
|
Diluted
|
|
0.15
|
|
|
0.13
|
|
|
0.25
|
|
|
0.20
|
Weighted average
number of Class A and Class B ordinary shares
outstanding:
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
81,917,870
|
|
|
77,923,911
|
|
|
81,885,231
|
|
|
77,962,391
|
Diluted
|
|
92,506,249
|
|
|
83,124,647
|
|
|
92,927,800
|
|
|
83,266,708
|
Weighted average
number of ADSs outstanding:
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
409,589,351
|
|
|
389,619,555
|
|
|
409,426,156
|
|
|
389,811,955
|
Diluted
|
|
462,531,244
|
|
|
415,623,235
|
|
|
464,639,001
|
|
|
416,333,540
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SouFun Holdings
Limited
|
Reconciliation of
GAAP and Non-GAAP Results
|
(in thousands of
U.S. dollars, except share data and per share data)
|
|
|
Three months
ended
|
Six months
ended
|
|
|
June 30,
|
|
June 30,
|
|
June 30,
|
|
|
June 30,
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
GAAP income from
operations
|
|
|
81,736
|
|
|
75,798
|
|
|
131,255
|
|
|
113,010
|
Share-based
compensation expense
|
|
|
1,496
|
|
|
1,761
|
|
|
3,020
|
|
|
3,524
|
Non-GAAP income from
operations
|
|
|
83,232
|
|
|
77,559
|
|
|
134,275
|
|
|
116,534
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP net
income
|
|
|
68,201
|
|
|
55,403
|
|
|
109,723
|
|
|
83,847
|
One-off tax
benefit
|
|
|
(4,657)
|
|
|
-
|
|
|
(4,657)
|
|
|
-
|
Withholding tax
related to dividends
|
|
|
7,047
|
|
|
6,156
|
|
|
11,839
|
|
|
9,305
|
Realized gain on
available-for-sale security (includes $821 accumulated other
comprehensive income reclassifications for unrealized net gains on
available-for-sale security)
|
|
|
-
|
|
|
(821)
|
|
|
-
|
|
|
(821)
|
Share-based
compensation expense
|
|
|
1,496
|
|
|
1,761
|
|
|
3,020
|
|
|
3,524
|
Gain on bargain
purchase
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
(102)
|
Non-GAAP net
income
|
|
|
72,087
|
|
|
62,499
|
|
|
119,925
|
|
|
95,753
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Income
attributable to
SouFun shareholders
|
|
|
68,201
|
|
|
55,368
|
|
|
109,723
|
|
|
83,777
|
One-off tax
benefit
|
|
|
(4,657)
|
|
|
-
|
|
|
(4,657)
|
|
|
-
|
Withholding tax
related to dividends
|
|
|
7,047
|
|
|
6,156
|
|
|
11,839
|
|
|
9,305
|
Realized gain on
available-for-sale security (includes $821 accumulated other
comprehensive income reclassifications for unrealized net gains on
available-for-sale security)
|
|
|
-
|
|
|
(821)
|
|
|
-
|
|
|
(821)
|
Share-based
compensation expense
|
|
|
1,496
|
|
|
1,761
|
|
|
3,020
|
|
|
3,524
|
Gain on bargain
purchase
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
(102)
|
Non-GAAP net Income
attributable to SouFun Holdings Limited shareholders
|
|
|
72,087
|
|
|
62,464
|
|
|
119,925
|
|
|
95,683
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP earnings per
share for Class A and Class B ordinary shares:
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
0.83
|
|
|
0.71
|
|
|
1.34
|
|
|
1.07
|
Diluted
|
|
|
0.77
|
|
|
0.67
|
|
|
1.24
|
|
|
1.01
|
GAAP earnings per
ADS:
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
0.17
|
|
|
0.14
|
|
|
0.27
|
|
|
0.21
|
Diluted
|
|
|
0.15
|
|
|
0.13
|
|
|
0.25
|
|
|
0.20
|
Non-GAAP earnings
per share for Class A and Class B ordinary shares:
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
0.88
|
|
|
0.80
|
|
|
1.46
|
|
|
1.23
|
Diluted
|
|
|
0.78
|
|
|
0.75
|
|
|
1.29
|
|
|
1.15
|
Non-GAAP earnings
per ADS:
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
0.18
|
|
|
0.16
|
|
|
0.29
|
|
|
0.25
|
Diluted
|
|
|
0.16
|
|
|
0.15
|
|
|
0.26
|
|
|
0.23
|
Weighted average
number of Class A and Class B ordinary shares
outstanding:
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
81,917,870
|
|
|
77,923,911
|
|
|
81,885,231
|
|
|
77,962,391
|
Diluted
|
|
|
92,506,249
|
|
|
83,124,647
|
|
|
92,927,800
|
|
|
83,266,708
|
Weighted average
number of ADSs outstanding:
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
409,589,351
|
|
|
389,619,555
|
|
|
409,426,156
|
|
|
389,811,955
|
Diluted
|
|
|
462,531,244
|
|
|
415,623,235
|
|
|
464,639,001
|
|
|
416,333,540
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SouFun Holdings
Limited
|
Reconciliation of
Non-GAAP and Adjusted EBITDA
|
(in thousands of
U.S. dollars)
|
|
|
Three months
ended
|
Six months
ended
|
|
|
|
June 30,
|
|
June 30,
|
|
June 30,
|
|
June 30,
|
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP
Net
income
|
|
|
72,087
|
|
|
62,499
|
|
|
119,925
|
|
|
95,753
|
Add back:
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest
expense
|
|
|
4,085
|
|
|
3,218
|
|
|
9,179
|
|
|
6,555
|
Income tax
expenses
|
|
|
21,511
|
|
|
18,591
|
|
|
31,920
|
|
|
27,075
|
Depreciation
expenses
|
|
|
2,859
|
|
|
2,663
|
|
|
5,678
|
|
|
4,162
|
Subtract:
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest
income
|
|
|
(12,836)
|
|
|
(6,315)
|
|
|
(24,180)
|
|
|
(11,993)
|
Adjusted
EBITDA
|
|
|
87,706
|
|
|
80,656
|
|
|
142,522
|
|
|
121,552
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SOURCE SouFun Holdings Limited