Niu Technologies (“NIU”, or “the Company”) (NASDAQ: NIU), the
world’s leading provider of smart urban mobility solutions, today
announced its financial results for the first quarter 2020.
First Quarter 2020 Financial Highlights
- Revenues were RMB 232.9 million, a decrease of
34.4% year over year
- Gross margin was 23.6%, compared with 21.3% in
the first quarter of last year
- Net loss was RMB 26.4 million, compared with
net income of RMB 12.0 million in the first quarter of last
year
- Adjusted net loss (non-GAAP)1 was RMB 18.6
million, compared with adjusted net income of RMB 14.6 million in
the first quarter of last year
First Quarter 2020 Operating Highlights
- The number of e-scooters sold reached 40,160, down 39.4% year
over year
- The number of e-scooters sold in China reached 34,316, down
43.5% year over year
- The number of e-scooters sold in the international markets
reached 5,844, up 5.9%2 year over year
- The number of franchised stores in China was 1,033, a decrease
of 17 since December 31, 2019
- International sales network expanded to 33 distributors
covering 42 countries
COVID-19 Response and Recovery ActionsThe
Company is executing its plan to address the impact of COVID-19 and
has begun its recovery through a multitude of actions across the
following areas:
Supporting distributors and dealers – Extended
credit payment date for selective distributors and granted rebate
to dealers including those missing the sales volume target in the
first quarter. Provided training to China dealers on
e-commerce operation. Organized nationwide branding and
marketing activities in China to support dealers to accelerate
retail sales.
Resumed supply chain – Reopened manufacturing
facility since the 2nd half of February after implementing rigorous
protocols and procedures for worker safety. Resumed normal
supply chain and operation in early April.
Cash and liquidity – Reduced and postponed
planned capital expenditure in the first quarter. Resumed
retails sales network expansion in China in the second quarter and
plan to acquire land use right for another piece of land in
Changzhou for further capacity expansion in light of the recovery
of demand in China. Repaid bank loans of RMB 28.5 million in
January and RMB 48.9 million in April. The Company is
refinancing a bank loan maturing in June by adding RMB 40 million
to the credit line with a lower interest rate.
Community strength – Acted quickly and in
alignment with government efforts to protect the safety and health
of employees. Implemented travel restrictions, enhanced
sanitation practices, and cancelled group events. In support
of relief efforts, the Company donated masks to hospitals in Hubei
province in February.
Dr. Yan Li, Chief Executive Officer of the Company, commented:
“Many aspects of our operations were harmed as a result of the
ongoing pandemic of the novel coronavirus. We prioritized the
health and safety of our employees, and took various preventative
and quarantine measures across our company soon after the outbreak.
Due to the strict measures in response to the outbreak, we
had to reduce work resumption rate in February and March of 2020.
We are pleased to see demand is recovering in China and our
China sales are expected to return to healthy growth in the second
quarter. Our operations in the international markets
continued to be affected. Our retail sales network expansion
has been temporarily suspended. Since May, distributors and
dealers in selective international markets resumed operation and we
are working closely with them to re-activate our expansion
plans.”
Dr. Li continued, “In May 2020, we launched a new product MQi2,
NIU’s flagship product under the new national standard of electric
bicycle in China. The MQi2 inherits the design language of
MQi series of being classic and fashionable. It is also
equipped with our most advanced technologies. Simultaneously
with new product launch, the NIU app was upgraded to 4.0 version,
which is optimized for better interactive experience, higher
accuracy of GPS positioning and anti-theft security. We plan
to launch another model under the Gova series in June. We are
very excited about the enriched product portfolio and look forward
to the continued growth of our business.”
First Quarter 2020 Financial Results
Revenues were RMB 232.9 million, a decrease of
34.4% year over year, due to lower sales volume of 39.4%, partially
offset by increased revenues per e-scooter of 8.2%.
- E-scooter sales represented 79.9% of total revenues, while
accessories, spare parts sales and service revenues represented
20.1% of total revenues.
- Lower e-scooter sales volume was mainly due to the adverse
impact of COVID-19 on our business and operation.
- Increased revenues per e-scooter were mainly driven by higher
revenues from accessories, spare parts and services per e-scooter,
which was RMB 1,168, compared with RMB 671 in the same period last
year.
- China represented 71.1% of total e-scooter revenues, while
international markets represented 28.9% of total e-scooter
revenues.
Cost of revenues were RMB 178.0 million, a
decrease of 36.3% year over year, mainly due to lower e-scooter
sales volume. The cost per e-scooter, defined as cost of
revenues divided by the number of e-scooters sold in a specified
period, was RMB 4,433, up 5.1% from RMB 4,217 in the first quarter
2019 mainly due to higher manufacturing cost caused by low
utilization of our manufacturing facilities in the first quarter
and higher logistics cost.
Gross margin was 23.6%, compared with 21.3% in
the same period of 2019. The increase was mainly due to a
greater proportion of e-scooter revenues from international
markets, and higher proportion of revenues from accessories, spare
parts and services.
Operating expenses were RMB 91.2 million, an
increase of 35.7% from the same period of 2019. Operating
expenses as a percentage of revenues was 39.1%, compared with 18.9%
in the first quarter of 2019.
- Selling and marketing expenses were RMB 44.2
million (including RMB 1.6 million of share-based compensation), an
increase of 48.1% from RMB 29.8 million in the first quarter of
2019. The increase was mainly due to the increase in
advertising and promotion expense of RMB 10.7 million as a result
of our branding and marketing activities to support distributors
and dealers to accelerate retail sales, the increase in
depreciation and amortization expense of RMB 2.6 million due to a
larger retail sales network, and the increases in staff cost and
travel expenses of RMB 1.3 million. Selling and marketing
expenses as a percentage of revenues was 19.0% compared with 8.4%
in the first quarter of 2019.
- Research and development expenses were RMB
22.7 million (including RMB 2.0 million of share-based
compensation), an increase of 58.6% from RMB 14.3 million in the
first quarter of 2019, mainly due to the increase in staff cost of
RMB 5.6 million as a result of more employees, the increase in
share-based compensation expense of RMB 1.5 million and the
increase in design expense of RMB 0.9 million due to more new
products development. Research and development expenses as a
percentage of revenues was 9.8%, compared with 4.0% in the first
quarter of 2019.
- General and administrative expenses were RMB
24.2 million (including RMB 4.1 million of share-based
compensation), an increase of 5.3% from RMB 23.0 million in the
first quarter of 2019, mainly due to the increase in share-based
compensation expense of RMB 2.6 million and the increase in rental
expenses of RMB 2.0 million due to office move and larger office
space. The higher expenses were partially offset by the
decreases in professional fees of RMB 1.5 million and foreign
currency exchange loss of RMB 1.4 million. General and
administrative expenses as a percentage of revenues was 10.4%,
compared with 6.5% in the first quarter of 2019.
Operating expenses excluding share-based
compensation were RMB 83.5 million, increased by 29.2%
year over year, and represented 35.8% of revenues, compared with
18.2% in the first quarter of 2019.
- Selling and marketing expenses excluding share-based
compensation were RMB 42.6 million, an increase of 46.2%
year over year, and represented 18.3% of revenues, compared with
8.2% in the first quarter of 2019.
- Research and development expenses excluding share-based
compensation were RMB 20.8 million, an increase of 49.3%
year over year, and represented 8.9% of revenues, compared with
3.9% in the first quarter of 2019.
- General and administrative expenses excluding
share-based compensation were RMB 20.2 million, a decrease
of 6.5% year over year, and represented 8.7% of revenues, compared
with 6.1% in the first quarter of 2019.
Government grants were RMB 7.3 million,
increased by RMB 6.0 million from the same period of 2019,
consisting of various incentives from local government
authorities.
Share-based compensation was RMB 7.7 million,
an increase of RMB 5.1 million from RMB 2.6 million in the same
period of last year.
Net loss was RMB 26.4 million, compared with
net income of RMB 12.0 million in the first quarter of 2019.
The net loss margin was 11.3%, compared with net income
margin of 3.4% in the same period of 2019.
Adjusted net loss (non-GAAP) was RMB 18.6
million, compared with adjusted net income of RMB 14.6 million in
the first quarter of 2019. The adjusted net loss margin3 was
8.0%, compared with adjusted net income margin of 4.1% in the same
period of 2019.
Basic and diluted net loss per ADS were both
RMB 0.35 (US$ 0.05).
Balance SheetAs of March 31, 2020, the Company
had cash and cash equivalents, term deposits and short-term
investments of RMB 724.7 million in aggregate. The
Company had restricted cash of RMB 196.1 million and short-term
bank borrowings of RMB 188.9 million.
Business OutlookNIU expects revenues of the
second quarter 2020 to be in the range of RMB 585 million to RMB
655 million, representing a year-over-year increase of 10% to
23%.
The above outlook is based on information available as of the
date of this press release and reflects the Company’s current and
preliminary expectation, which is subject to change in light of
uncertainties and situations related to how COVID-19 develops.
Conference Call
The Company will host a conference call at 8:00 AM on May 18,
2020 U.S. Eastern Time (8:00 PM on May 18, 2020 Beijing/Hong Kong
time) to discuss its first quarter 2020 financial results and
provide a corporate update.
Participants may access the call via below dial-in details.
United
States |
+1-866-519-4004 |
International |
+65-6713-5090 |
Hong Kong |
800-906-601 |
Mainland China |
400-620-8038 |
Conference ID |
8826288 |
A replay will be accessible through May 24, 2020 by dialing the
following numbers.
United
States |
+1-855-452-5696 |
International |
+61-281-990-299 |
Hong Kong |
800-963-117 |
Mainland China |
400-602-2065 |
Conference ID |
8826288 |
Additionally, a live and archived webcast of the conference call
will also be available through the Company’s investor relations
website at https://ir.niu.com/.
About NIU
As the world’s leading provider of smart urban mobility
solutions, NIU designs, manufactures and sells high-performance
electric bicycles and motorcycles. NIU has a product portfolio
consisting of seven series, four e-scooter series, including NQi,
MQi and UQi with smart functions and Gova, two urban commuter
electric motorcycles series RQi and TQi, and a performance bicycle
series, NIU Aero. Different series of products address the needs of
different segments of modern urban residents and resolve the
demands of different scenarios of urban travel, while being united
through a common design language that emphasizes style, freedom and
technology. NIU has adopted an omnichannel retail model,
integrating the offline and online channels, to offer the products
and services. For more information, please visit www.niu.com.
Use of Non-GAAP Financial Measures
To supplement NIU’s consolidated financial results presented in
accordance with the accounting principles generally accepted in the
United States of America (“GAAP”), NIU uses the following non-GAAP
financial measures: adjusted net income/loss and adjusted net
income/loss margin. The presentation of these non-GAAP
financial measures is not intended to be considered in isolation or
as a substitute for the financial information prepared and
presented in accordance with GAAP.
NIU believes that these non-GAAP financial measures provide
meaningful supplemental information regarding its performance and
liquidity by excluding certain items that may not be indicative of
its operating results. The Company believes that both
management and investors benefit from referring to these non-GAAP
financial measures in assessing its performance and when planning
and forecasting future periods. These non-GAAP financial
measures also facilitate management’s internal comparisons to NIU’s
historical performance. The Company believes these non-GAAP
financial measures are useful to investors in allowing for greater
transparency with respect to supplemental information used by
management in its financial and operational decision making.
A limitation of using these non-GAAP financial measures is
that these non-GAAP measures exclude certain items that have been
and will continue to be for the foreseeable future a significant
component in the Company’s results of operations. These
non-GAAP financial measures presented here may not be comparable to
similarly titled measures presented by other companies. Other
companies may calculate similarly titled measures differently,
limiting their usefulness as comparative measures to the Company’s
data.
Adjusted net income/loss is defined as net income/loss excluding
share-based compensation expenses. Adjusted net income/loss
margin is defined as adjusted net income/loss as a percentage of
the revenues.
For more information on non-GAAP financial measures, please see
the tables captioned “Reconciliation of GAAP and Non-GAAP
Results.”
Exchange Rate
This announcement contains translations of certain RMB amounts
into U.S. dollars (“US$”) at specified rates solely for the
convenience of the readers. Unless otherwise stated, all
translations from RMB to US$ were made at the rate of RMB 7.0808 to
US$ 1.00, the exchange rate in effect as of March 31, 2020, as set
forth in the H.10 Statistical release of the Board of Governors of
the Federal Reserve System. The Company makes no
representation that the RMB or US$ amounts referred could be
converted into US$ or RMB, as the case may be, at any particular
rate or at all.
Safe Harbor Statement
This press release contains forward-looking statements. These
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,” “anticipates,” “aims,” “future,” “intends,”
“plans,” “believes,” “estimates,” “likely to” and similar
statements. Among other things, the business outlook and
quotations from management in this announcement, as well as NIU’s
strategic and operational plans, contain forward-looking
statements. NIU may also make written or oral forward-looking
statements in its periodic reports to the U.S. Securities and
Exchange Commission, in its annual report to shareholders, in press
releases and other written materials and in oral statements made by
its officers, directors or employees to third parties.
Statements that are not historical facts, including
statements about NIU’s beliefs, plans and expectations, are
forward-looking statements. Forward-looking statements
involve inherent risks and uncertainties. A number of factors
could cause actual results to differ materially from those
contained in any forward-looking statement, including but not
limited to the following: NIU’s strategies; NIU’s future business
development, financial condition and results of operations; NIU’s
ability to maintain and enhance its “NIU” brand; its ability to
innovate and successfully launch new products and services; its
ability to maintain and expand its offline distribution network;
its ability to satisfy the mandated safety standards relating to
e-scooters; its ability to secure supply of components and raw
materials used in e-scooters; its ability to manufacture, launch
and sell smart e-scooters meeting customer expectations; its
ability to grow collaboration with operation partners; its ability
to control costs associated with its operations; general economic
and business conditions in China and globally; and assumptions
underlying or related to any of the foregoing. Further
information regarding these and other risks is included in NIU’s
filings with the Securities and Exchange Commission. All
information provided in this press release is as of the date of
this press release, and NIU does not undertake any obligation to
update any forward-looking statement, except as required under
applicable law.
Investor Relations Contact:
Niu TechnologiesJason YangInvestor Relations ManagerE-mail:
ir@niu.com
NIU TECHNOLOGIES |
UNAUDITED CONDENSED CONSOLIDATED BALANCE
SHEETS |
|
|
As of |
|
December 31, |
|
March 31, |
|
March 31, |
|
2019 |
|
2020 |
|
2020 |
|
RMB |
|
RMB |
|
US$ |
ASSETS |
|
|
|
|
|
Current assets |
|
|
|
|
|
Cash and
cash equivalents |
279,945,942 |
|
|
339,273,755 |
|
|
47,914,608 |
|
Term
deposits |
174,404,554 |
|
|
121,276,429 |
|
|
17,127,504 |
|
Restricted cash |
221,656,071 |
|
|
196,114,011 |
|
|
27,696,590 |
|
Short-term investments |
310,439,321 |
|
|
264,137,582 |
|
|
37,303,353 |
|
Accounts
receivable, net |
115,228,700 |
|
|
59,624,667 |
|
|
8,420,612 |
|
Inventories |
178,633,299 |
|
|
186,488,402 |
|
|
26,337,194 |
|
Prepayments and other current assets |
30,982,131 |
|
|
30,751,263 |
|
|
4,342,907 |
|
Total current assets |
1,311,290,018 |
|
|
1,197,666,109 |
|
|
169,142,768 |
|
|
|
|
|
|
|
Non-current assets |
|
|
|
|
|
Property
and equipment, net |
150,891,344 |
|
|
152,265,195 |
|
|
21,503,954 |
|
Intangible assets, net |
7,779,749 |
|
|
7,366,189 |
|
|
1,040,305 |
|
Land use
right, net |
34,355,936 |
|
|
34,182,129 |
|
|
4,827,439 |
|
Other
non-current assets |
6,522,561 |
|
|
5,885,425 |
|
|
831,180 |
|
Total non-current assets |
199,549,590 |
|
|
199,698,938 |
|
|
28,202,878 |
|
|
|
|
|
|
|
Total assets |
1,510,839,608 |
|
|
1,397,365,047 |
|
|
197,345,646 |
|
|
|
|
|
|
|
LIABILITIES |
|
|
|
|
|
Current liabilities |
|
|
|
|
|
Short-term bank borrowings |
217,394,132 |
|
|
188,910,798 |
|
|
26,679,301 |
|
Accounts
payable |
258,988,264 |
|
|
196,186,053 |
|
|
27,706,764 |
|
Income
taxes payable |
3,013,805 |
|
|
- |
|
|
- |
|
Advance
from customers |
7,478,309 |
|
|
31,803,364 |
|
|
4,491,493 |
|
Deferred
revenue-current |
31,105,700 |
|
|
27,814,143 |
|
|
3,928,107 |
|
Accrued
expenses and other current liabilities |
175,533,397 |
|
|
149,499,433 |
|
|
21,113,353 |
|
Total current liabilities |
693,513,607 |
|
|
594,213,791 |
|
|
83,919,018 |
|
|
|
|
|
|
|
Deferred
revenue-non-current |
2,171,033 |
|
|
2,455,769 |
|
|
346,821 |
|
Deferred
income tax liability |
1,265,780 |
|
|
1,252,235 |
|
|
176,849 |
|
Other non-current liabilities |
22,358,968 |
|
|
19,438,960 |
|
|
2,745,306 |
|
Total non-current liabilities |
25,795,781 |
|
|
23,146,964 |
|
|
3,268,976 |
|
|
|
|
|
|
|
Total liabilities |
719,309,388 |
|
|
617,360,755 |
|
|
87,187,994 |
|
|
|
|
|
|
|
SHAREHOLDERS’ EQUITY: |
|
|
|
|
|
Class A ordinary shares |
84,494 |
|
|
84,547 |
|
|
11,940 |
|
Class B ordinary shares |
11,977 |
|
|
11,977 |
|
|
1,691 |
|
Additional paid-in capital |
1,738,102,741 |
|
|
1,745,942,033 |
|
|
246,574,121 |
|
Accumulated other comprehensive loss |
(12,368,224 |
) |
|
(5,357,571 |
) |
|
(756,633 |
) |
Accumulated deficit |
(934,300,768 |
) |
|
(960,676,694 |
) |
|
(135,673,467 |
) |
Total shareholders’ equity |
791,530,220 |
|
|
780,004,292 |
|
|
110,157,652 |
|
|
|
|
|
|
|
Total liabilities and shareholders’
equity |
1,510,839,608 |
|
|
1,397,365,047 |
|
|
197,345,646 |
|
|
|
|
|
|
|
NIU
TECHNOLOGIES |
UNAUDITED
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE
INCOME/(LOSS) |
|
|
Three months ended March 31, |
|
2019 |
|
2020 |
|
RMB |
|
RMB |
US$ |
Revenues |
355,219,700 |
|
|
232,940,508 |
|
32,897,484 |
|
Cost of revenues(a) |
(279,547,894 |
) |
|
(178,023,007 |
) |
(25,141,652 |
) |
Gross profit |
75,671,806 |
|
|
54,917,501 |
|
7,755,832 |
|
|
|
|
|
|
Operating expenses: |
|
|
|
|
Selling and marketing expenses(a) |
(29,822,193 |
) |
|
(44,172,610 |
) |
(6,238,364 |
) |
Research and development expenses(a) |
(14,332,580 |
) |
|
(22,735,585 |
) |
(3,210,878 |
) |
General and administrative expenses(a) |
(23,024,336 |
) |
|
(24,249,242 |
) |
(3,424,647 |
) |
Total operating expenses |
(67,179,109 |
) |
|
(91,157,437 |
) |
(12,873,889 |
) |
Government grants |
1,247,000 |
|
|
7,265,883 |
|
1,026,139 |
|
Operating income/(loss) |
9,739,697 |
|
|
(28,974,053 |
) |
(4,091,918 |
) |
|
|
|
|
|
Interest expense |
(2,407,633 |
) |
|
(2,172,474 |
) |
(306,812 |
) |
Interest income |
4,125,349 |
|
|
2,989,437 |
|
422,189 |
|
Investment income |
517,836 |
|
|
1,593,055 |
|
224,982 |
|
Income/(loss) before income taxes |
11,975,249 |
|
|
(26,564,035 |
) |
(3,751,559 |
) |
Income tax benefit |
6,961 |
|
|
188,109 |
|
26,566 |
|
Net income/(loss) |
11,982,210 |
|
|
(26,375,926 |
) |
(3,724,993 |
) |
|
|
|
|
|
Other comprehensive income/(loss) |
|
|
|
|
Foreign currency translation adjustment |
(11,586,902 |
) |
|
6,486,957 |
|
916,133 |
|
Reclassification/Unrealized gain on available for sale
securities, net |
(34,805 |
) |
|
523,696 |
|
73,960 |
|
Comprehensive income/(loss) |
360,503 |
|
|
(19,365,273 |
) |
(2,734,900 |
) |
Net income/(loss) per ordinary share |
|
|
|
|
—Basic |
0.08 |
|
|
(0.18 |
) |
(0.02 |
) |
—Diluted |
0.08 |
|
|
(0.18 |
) |
(0.02 |
) |
Net income/(loss) per ADS |
|
|
|
|
—Basic |
0.16 |
|
|
(0.35 |
) |
(0.05 |
) |
—Diluted |
0.16 |
|
|
(0.35 |
) |
(0.05 |
) |
|
|
|
|
|
Weighted average number of ordinary shares and ordinary
shares equivalents outstanding used in computing net income/(loss)
per ordinary share |
|
|
|
|
|
|
|
—Basic |
148,674,058 |
|
|
149,701,680 |
|
149,701,680 |
|
—Diluted |
153,094,498 |
|
|
149,701,680 |
|
149,701,680 |
|
Weighted average number of ADS outstanding
used in computing net income/(loss) per ADS |
|
|
|
—Basic |
74,337,029 |
|
|
74,850,840 |
|
74,850,840 |
|
—Diluted |
76,547,249 |
|
|
74,850,840 |
|
74,850,840 |
|
|
|
|
|
|
Note: |
|
|
|
|
(a) Includes share-based compensation expense as follows: |
|
|
|
|
|
Three months ended March 31, |
|
2019 |
|
2020 |
|
RMB |
|
RMB |
US$ |
Cost of revenues |
62,724 |
|
|
76,622 |
|
10,821 |
|
Selling and marketing expenses |
698,743 |
|
|
1,602,642 |
|
226,336 |
|
Research and development expenses |
424,915 |
|
|
1,972,691 |
|
278,597 |
|
General and administrative expenses |
1,452,328 |
|
|
4,084,222 |
|
576,802 |
|
Total share-based compensation expense |
2,638,710 |
|
|
7,736,177 |
|
1,092,556 |
|
|
|
|
|
|
NIU
TECHNOLOGIES |
RECONCILIATION OF GAAP AND NON-GAAP RESULTS |
|
|
Three months ended March 31, |
|
2019 |
|
2020 |
|
|
RMB |
|
RMB |
US$ |
Net
income/(loss) |
11,982,210 |
|
(26,375,926 |
) |
(3,724,993 |
) |
Add: |
|
|
|
|
Share-based compensation expense |
2,638,710 |
|
7,736,177 |
|
1,092,556 |
|
Adjusted net income/(loss) |
14,620,920 |
|
(18,639,749 |
) |
(2,632,437 |
) |
|
|
|
|
|
___________________
1 Adjusted net income/loss (non-GAAP) is defined as net
income/loss excluding share-based compensation expense.2 The number
of e-scooter sold in the international markets was 5,518 in the
first quarter 2019, and 13,748, 5,266 and 4,335 in the second,
third and fourth quarter 2019.3 Adjusted net income/loss margin is
defined as adjusted net income/loss (non-GAAP) as a percentage of
the revenues.
Niu Technologies (NASDAQ:NIU)
過去 株価チャート
から 3 2024 まで 4 2024
Niu Technologies (NASDAQ:NIU)
過去 株価チャート
から 4 2023 まで 4 2024