SHANGHAI, Dec. 31,
2024 /PRNewswire/ -- Boqii Holding Limited ("We,"
"Boqii" or the "Company") (NYSE American: BQ), a leading
pet-focused platform in China,
today announced its unaudited financial results for the first half
of fiscal 2025 (i.e., the six months ended September 30, 2024).
Fiscal 2025 First Half Operational and
Financial Highlights
- Total revenues were RMB249.7
million (US$35.6 million),
compared to RMB389.4 million in the
first half of fiscal 2024.
- Loss from operations was RMB27.0 million (US$3.9 million), representing a
decrease of 14.7% from RMB31.7
million for the first half of fiscal 2024.
- Net loss was RMB29.6 million (US$4.2 million), representing a
decrease of 21.6% from RMB37.7
million in the first half of fiscal 2024.
- Diluted net loss per share was RMB0.28 (US$0.04), representing a decrease
of 46.7% from diluted net loss per share of RMB0.52 for the first half of fiscal
2024.
- EBITDA[1] was a loss of
RMB25.0 million (US$3.6 million), representing a decrease of
25.4% from a loss of RMB
33.5 million in the first half of fiscal 2024.
- Total GMV[2] was
RMB538.2 million (US$76.7 million), compared to RMB903.0 million in the first half of fiscal
2024.
|
[1] EBITDA refers to net
income/(loss) excluding income tax expenses, interest expense,
interest income, depreciation and amortization expenses. EBITDA is
a Non-GAAP financial measurement. See the section titled "Non-GAAP
Financial Measures" for more information about EBITDA.
|
|
[2] GMV refers to gross
merchandise volume, which is the total value of confirmed orders
placed with us and sold through distribution model or drop shipping
model where we act as a principal in the transaction regardless of
whether the products are delivered or returned, calculated based on
the listed prices of the ordered products without taking into
consideration any discounts. The total GMV amount (i) includes GMV
of products sold by Nanjing Xingmu Biotechnology Co., Ltd., (ii)
excludes products sold through consignment model and (iii) excludes
the value of services offered by us. GMV is subject to future
adjustments (such as refunds) and represents only one measure of
the Company's performance and should not be relied on as an
indicator of our financial results, which depend on a variety of
factors.
|
CEO & CFO Quote
Mr. Hao Liang, Boqii's Founder, Chairman and Chief Executive
Officer commented, "Despite persistently pessimistic social
expectations and increasingly weak consumption in the first half of
fiscal 2025, we have demonstrated our resilience. Our private
labels are riding a wave of thriving development, showing the
effectiveness of our strategic focus on that area. The number of
SKUs for our private labels has increased from 3,088 in the first
half of fiscal 2024 to 3,546 in the firt half of fiscal 2025, the
revenue share of our private labels increased from 27.5% to 29.0%,
and we also saw the gross margin of our private labels rose by 330
basis points from 29.9% to 33.2%. This gives us a strong foundation
and we remain energized for the future."
Ms. Yingzhi (Lisa) Tang, Boqii's
Co-Founder, Co-CEO and CFO commented, "Besides fostering the
progress of our private labels, we have implemented cost-saving
measures and enhanced efficiency by optimizing our supply chain
operations and simplifying our organizational hierarchy in the
first half of fiscal 2025. The implementation of these measures has
resulted in a reduction of our fulfillment expenses as a percentage
of total revenue, from 8.9% in the first half of fiscal 2024 to
7.5% in the first half of fiscal 2025. This reduction has
underpinned a positive shift in our post-fulfillment profit margin,
which saw an increase from 11.2% to 13.3%. Furthermore, there has
been a notable decrease in our sales and marketing expenses by
21.3% and our general and administrative expenses by 22.5%, when
compared to the corresponding period in fiscal 2024. These
adjustments have collectively contributed to a 21.6% decrease in
our net loss. We believe the strengthening of our financial results
affirms that our business approach and strategic initiatives are
effectively aligned with our goals, and we are committed to
generating ongoing value for our consumers and investors alike in
the time ahead."
Fiscal 2025 First Half Financial
Results
Total revenues were RMB249.7
million (US$35.6 million),
compared to RMB389.4 million for the
first half of fiscal 2024. The decrease was a result of our
business strategy to focus more on increasing profitability instead
of volume of sales.
|
Revenues
(in millions, except
for percentages)
|
|
Six Months Ended
September 30,
|
|
|
|
2024
|
|
2023
|
|
Change
|
|
RMB
|
|
RMB
|
|
%
|
|
Product
sales
|
|
232.7
|
|
374.1
|
|
(37.8)
|
|
• Boqii
Mall
|
|
112.5
|
|
149.9
|
|
(24.9)
|
|
• Third party
e-commerce platforms
|
|
120.2
|
|
224.2
|
|
(46.4)
|
|
Online marketing and
information services and other revenue
|
|
17.0
|
|
15.3
|
|
11.1
|
|
Total
|
|
249.7
|
|
389.4
|
|
(35.9)
|
Gross profit was RMB51.7
million (US$7.4 million),
compared to RMB77.9 million for
the first half of fiscal 2024.
Gross margin was 20.7%, representing an increase of
70 basis points from 20.0% for the first half of fiscal
2024.
Operating expenses were RMB79.3 million (US$11.3 million), representing a decrease of
29.3% from RMB112.0 million
for the first half of fiscal 2024.
- Fulfillment expenses were RMB18.6 million (US$2.7
million), representing a decrease of 46.0% from
RMB34.5 million for the first half of
fiscal 2024, which is primarily due to the decrease in shipping and
warehousing expenses, resulting from more utilization of
fulfillment centers. Fulfillment expenses as a percentage of
total revenues were 7.5%, down from 8.9% for the first half of
fiscal 2024.
- Sales and marketing expenses were RMB35.8 million (US$5.1 million), representing a decrease of
21.3% from RMB45.4 million
for the first half of fiscal 2024. The decrease was
primarily due to (i) the decrease in advertising expenses of
RMB1.0 million, as a result of
cost-saving efforts; (ii) the decrease in third-party commisions of
RMB3.2 million as a result of decline
in revenues; and (iii) the decrease in staff costs of RMB4.4 million related to the employee
layoffs.
- General and administrative expenses were
RMB24.9 million (US$3.6 million), representing a decrease of 22.5%
from RMB32.2 million
for the first half of fiscal 2024. The decrease was
primarily due to (i) the decrease in professional fees amount to
RMB2.1 million, resulting
from less financing transactions in the first half of fiscal
2025, (ii) the decrease in allowance for expected credit
losses of RMB2.5 million, and
(iii) the decrease in staff costs of RMB2.0
million related to the employee layoffs.
Loss from operations was RMB27.0 million (US$3.9
million), representing a decrease of 14.7% from RMB31.7 million for the first half of
fiscal 2024.
Net loss was RMB29.6 million (US$4.2 million), representing a decrease of
21.6% from a loss of RMB37.7 million in the first half of
fiscal 2024.
EBITDA was a loss of RMB25.0 million (US$3.6
million), representing a decrease of 25.4% from a loss
of RMB 33.5 million in the first
half of fiscal 2024. See the section
titled "Non-GAAP Financial Measures" for more information
about EBITDA.
Diluted net loss per share was RMB0.28 (US$0.04), representing a decrease
of 46.7% from diluted net loss per share of RMB0.52 for the first half of fiscal
2024.
Total cash and cash equivalents and short-term
investments were RMB46.2 million
(US$6.6 million) as of
September 30, 2024, compared to
RMB72.7 million as of
March 31, 2024.
About Boqii Holding Limited
Boqii Holding Limited (NYSE American: BQ) is a leading
pet-focused platform in China. The
Company is the leading online destination for pet products and
supplies in China with its broad
selection of high-quality products including global leading brands,
local emerging brands, and its own private label, Yoken, Mocare and
D-cat, offered at competitive prices. The Company's online sales
platforms, including Boqii Mall and its flagship stores on
third-party e-commerce platforms, provide customers with convenient
access to a wide selection of high-quality pet products and an
engaging and personalized shopping experience. The Company's Boqii
Community provides an informative and interactive content platform
for users to share their knowledge and love for pets.
Forward Looking Statements
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. Statements that
are not historical facts, including statements about the Company's
beliefs and expectations, are forward-looking statements.
Forward-looking statements involve inherent risks and
uncertainties, and a number of factors could cause actual results
to differ materially from those contained in any forward-looking
statement. In some cases, forward-looking statements can be
identified by words or phrases such as "may," "will," "expect,"
"anticipate," "target," "aim," "estimate," "intend," "plan,"
"believe," "potential," "continue," "is/are likely to" or other
similar expressions. The Company may also make written or oral
forward-looking statements in its reports filed with, or furnished
to, the U.S. Securities and Exchange Commission, in its annual
reports to shareholders, in press releases and other written
materials and in oral statements made by its officers, directors or
employees to third parties. Further information regarding such
risks, uncertainties or factors is included in the Company's
filings with the U.S. Securities and Exchange Commission. All
information provided in this press release is as of the date
hereof, and the Company does not undertake any duty to update such
information, except as required under applicable law.
Non-GAAP Financial Measures
The Company uses non-GAAP financial measures, namely non-GAAP
net income/(loss), non-GAAP net loss margin, EBITDA and EBITDA
margin, in evaluating its operating results and for financial and
operational decision-making purposes. The Company defines (i)
non-GAAP net income/(loss) as net income/(loss) excluding fair
value change of derivative liabilities and share-based compensation
expenses, (ii) non-GAAP net loss margin as non-GAAP net loss as a
percentage of total revenues, (iii) EBITDA as net income/(loss)
excluding income tax expenses, interest expenses, interest income,
depreciation and amortization, and (iv) EBITDA margin as EBITDA as
a percentage of total revenues. The Company believes non-GAAP net
income/(loss), non-GAAP net loss margin, EBITDA and EBITDA margin
enhance investors' overall understanding of its financial
performance and allow for greater visibility with respect to key
metrics used by its management in its financial and operational
decision-making.
These non-GAAP financial measures are not defined under U.S.
GAAP and are not presented in accordance with U.S. GAAP. 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 U.S.
GAAP.
The non-GAAP financial measures have limitations as analytical
tools. The Company's non-GAAP financial measures do not reflect all
items of income and expense that affect the Company's operations or
not represent the residual cash flow available for discretionary
expenditures. These non-GAAP financial measures may not be
calculated in the same manner by all companies, and they may not be
comparable to other similarly titled measures used by other
companies. The Company compensates for these limitations by
reconciling the non-GAAP financial measures to the nearest U.S.
GAAP performance measures, which should be considered when
evaluating the Company's performance. For reconciliation of these
non-GAAP financial measures to the most directly comparable GAAP
financial measures, please see the section of accompanying tables
titled "Reconciliation of GAAP and Non-GAAP Results." The Company
encourages investors and others to review its financial information
in its entirety and not rely on any single financial measure.
Exchange Rate
This press release contains translations of certain RMB amounts
into U.S. dollars ("USD,"or "US$") at specified rates solely for
the convenience of the reader. Unless otherwise stated, all
translations from RMB to USD were made at the rate of RMB7.0176 US$1.00,
the exchange rate on September 30,
2024 as set forth in the H.10 statistical release of the
Federal Reserve Board. The Company makes no representation that the
RMB or USD amounts referred to could be converted into USD or RMB,
as the case may be, at any particular rate or at all.
For investor inquiries, please contact:
Boqii Holding Limited
Investor Relations
Tel: +86-21-6882-6051
Email: ir@boqii.com
|
BOQII HOLDING
LIMITED
|
|
UNAUDITED CONDENSED
CONSOLIDATED BALANCE SHEETS
|
|
(All amounts in
thousands, except for share and per share data, unless otherwise
noted)
|
|
|
As of
March
31,
2024
|
|
As of
September
30,
2024
|
|
As of
September
30,
2024
|
|
RMB
|
|
RMB
|
|
US$
|
|
|
|
|
|
|
|
ASSETS
|
|
|
|
|
|
|
Current
assets:
|
|
|
|
|
|
|
Cash and cash
equivalents
|
72,722
|
|
46,244
|
|
6,590
|
|
Accounts receivable,
net
|
50,118
|
|
47,133
|
|
6,716
|
|
Inventories,
net
|
55,189
|
|
45,122
|
|
6,430
|
|
Prepayments and other
current assets
|
94,518
|
|
110,604
|
|
15,762
|
|
Amounts due from
related parties
|
5,704
|
|
19,692
|
|
2,806
|
|
Total current
assets
|
278,251
|
|
268,795
|
|
38,304
|
|
Non-current
assets:
|
|
|
|
|
|
|
Property and
equipment, net
|
3,103
|
|
3,769
|
|
537
|
|
Intangible
assets
|
17,910
|
|
16,115
|
|
2,296
|
|
Operating lease
right-of-use assets
|
8,951
|
|
6,832
|
|
974
|
|
Long-term
investments
|
65,887
|
|
65,656
|
|
9,356
|
|
Amounts due from
related parties, non-current
|
5,658
|
|
4,464
|
|
636
|
|
Other non-current
asset
|
3,455
|
|
1,718
|
|
245
|
|
Total non-current
assets
|
104,964
|
|
98,554
|
|
14,044
|
|
Total
assets
|
383,215
|
|
367,349
|
|
52,348
|
|
LIABILITIES,
MEZZANINE EQUITY AND SHAREHOLDERS' DEFICIT
|
|
|
|
|
|
|
Current
liabilities
|
|
|
|
|
|
|
Short-term
borrowings
|
15,213
|
|
13,138
|
|
1,872
|
|
Accounts
payable
|
24,279
|
|
42,735
|
|
6,090
|
|
Salary and welfare
payable
|
2,972
|
|
2,173
|
|
310
|
|
Accrued liabilities
and other current liabilities
|
16,667
|
|
16,989
|
|
2,421
|
|
Contract
liabilities
|
1,579
|
|
119
|
|
17
|
|
Operating lease
liabilities, current
|
5,613
|
|
5,264
|
|
750
|
|
Derivative
liabilities
|
5,721
|
|
5,721
|
|
815
|
|
Total current
liabilities
|
72,044
|
|
86,139
|
|
12,275
|
|
Non-current
liabilities
|
|
|
|
|
|
|
Deferred tax
liabilities
|
3,234
|
|
2,789
|
|
397
|
|
Operating lease
liabilities, non-current
|
3,115
|
|
1,352
|
|
193
|
|
Other debts,
non-current
|
43,941
|
|
40,727
|
|
5,804
|
|
Total non-current
liabilities
|
50,290
|
|
44,868
|
|
6,394
|
|
Total
liabilities
|
122,334
|
|
131,007
|
|
18,669
|
|
|
|
|
|
|
|
Mezzanine
equity
|
|
|
|
|
|
|
Redeemable
non-controlling interests
|
7,963
|
|
8,372
|
|
1,193
|
|
Total mezzanine
equity
|
7,963
|
|
8,372
|
|
1,193
|
|
Stockholders'
equity:
|
|
|
|
|
|
|
Class A ordinary
shares
|
962
|
|
962
|
|
137
|
|
Class B ordinary
shares
|
82
|
|
82
|
|
12
|
|
Additional paid-in
capital
|
3,329,675
|
|
3,329,727
|
|
474,482
|
|
Statutory
reserves
|
3,876
|
|
3,876
|
|
552
|
|
Accumulated other
comprehensive loss
|
(39,478)
|
|
(40,430)
|
|
(5,761)
|
|
Accumulated
deficit
|
(3,060,405)
|
|
(3,088,140)
|
|
(440,056)
|
|
Receivable for
issuance of ordinary shares
|
(16,031)
|
|
(10,093)
|
|
(1,438)
|
|
Total Boqii Holding
Limited shareholders' equity
|
218,681
|
|
195,984
|
|
27,928
|
|
Non-controlling
interests
|
34,237
|
|
31,986
|
|
4,558
|
|
Total shareholders'
equity
|
252,918
|
|
227,970
|
|
32,486
|
|
Total liabilities,
mezzanine equity and shareholders' equity
|
383,215
|
|
367,349
|
|
52,348
|
|
BOQII HOLDING
LIMITED
|
|
UNAUDITED CONDENSED
CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS
|
|
(All amounts in
thousands, except for share and per share data, unless otherwise
noted)
|
|
|
|
Six
Months Ended September 30,
|
|
|
|
|
|
|
|
2023
|
|
2024
|
|
2024
|
|
|
RMB
|
|
RMB
|
|
US$
|
|
|
|
|
|
|
|
|
Net
revenues:
|
|
|
|
|
|
|
|
Product
sales
|
|
374,102
|
|
232,713
|
|
33,161
|
|
Online marketing and
information services and other revenue
|
|
15,269
|
|
16,942
|
|
2,414
|
|
Total
revenues
|
|
389,371
|
|
249,655
|
|
35,575
|
|
Total cost of
revenue
|
|
(311,435)
|
|
(197,961)
|
|
(28,209)
|
|
Gross
profit
|
|
77,936
|
|
51,694
|
|
7,366
|
|
Operating
expenses:
|
|
|
|
|
|
|
|
Fulfillment
expenses
|
|
(34,499)
|
|
(18,614)
|
|
(2,652)
|
|
Sales and marketing
expenses
|
|
(45,370)
|
|
(35,726)
|
|
(5,091)
|
|
General and
administrative expenses
|
|
(32,169)
|
|
(24,919)
|
|
(3,551)
|
|
Other income,
net
|
|
2,401
|
|
523
|
|
75
|
|
Loss from
operations
|
|
(31,701)
|
|
(27,042)
|
|
(3,853)
|
|
Interest
income
|
|
2,008
|
|
730
|
|
104
|
|
Interest
expense
|
|
(3,079)
|
|
(3,163)
|
|
(451)
|
|
Other gain/(losses),
net
|
|
(2,283)
|
|
(447)
|
|
(64)
|
|
Fair value change of
derivative liabilities
|
|
(3,216)
|
|
-
|
|
-
|
|
Loss before income tax
expenses and share of results of equity investees
|
|
(38,271)
|
|
(29,922)
|
|
(4,264)
|
|
Income taxes
expenses
|
|
482
|
|
445
|
|
63
|
|
Share of results of
equity investees
|
|
67
|
|
(100)
|
|
(14)
|
|
Net loss
|
|
(37,722)
|
|
(29,577)
|
|
(4,215)
|
|
Less: Net loss
attributable to the non-controlling interest
shareholders
|
|
(677)
|
|
(2,251)
|
|
(321)
|
|
Net loss
attributable to Boqii Holding Limited
|
|
(37,045)
|
|
(27,326)
|
|
(3,894)
|
|
Accretion on redeemable
non-controlling interests to redemption value
|
|
(371)
|
|
(410)
|
|
(58)
|
|
Net loss
attributable to Boqii Holding Limited's
ordinary shareholders
|
|
(37,416)
|
|
(27,736)
|
|
(3,952)
|
|
|
|
|
|
|
|
|
Net loss
|
|
(37,722)
|
|
(29,577)
|
|
(4,215)
|
|
Other comprehensive
income/(loss):
|
|
|
|
|
|
|
|
Foreign currency
translation adjustment, net of nil tax
|
|
2,849
|
|
(952)
|
|
(136)
|
|
Unrealized securities
holding loss
|
|
(1,425)
|
|
-
|
|
-
|
|
Total
comprehensive loss
|
|
(36,298)
|
|
(30,529)
|
|
(4,351)
|
|
Less: Total
comprehensive loss attributable to non-controlling interest
shareholders
|
|
(677)
|
|
(2,251)
|
|
(321)
|
|
Total comprehensive
loss attributable to Boqii Holding Limited
|
|
(35,621)
|
|
(28,278)
|
|
(4,030)
|
|
|
|
|
|
|
|
|
Net
loss attributable to Boqii Holding
Limited's ordinary shareholders
|
|
|
|
|
|
|
|
— basic
|
|
(0.52)
|
|
(0.28)
|
|
(0.04)
|
|
— diluted
|
|
(0.52)
|
|
(0.28)
|
|
(0.04)
|
|
Weighted average
number of ordinary shares
|
|
|
|
|
|
|
|
— basic
|
|
72,332,794
|
|
100,637,760
|
|
100,637,760
|
|
— diluted
|
|
72,332,794
|
|
100,637,760
|
|
100,637,760
|
|
Boqii Holding
Limited
|
|
Reconciliation of
GAAP and Non-GAAP Results
|
|
(All amounts in
thousands, except for percentages)
|
|
|
Six Months Ended
September 30,
|
|
2023
|
|
2024
|
|
RMB
|
|
RMB
|
|
|
|
|
|
Net
loss
|
(37,722)
|
|
(29,577)
|
|
Fair value change of
derivative liabilities
|
3,216
|
|
-
|
|
Share-based
compensation expenses
|
290
|
|
52
|
|
Non-GAAP net
loss
|
(34,216)
|
|
(29,525)
|
|
Non-GAAP net loss
margin
|
(8.8 %)
|
|
(11.8 %)
|
|
|
|
|
|
Six Months Ended
September 30,
|
|
2023
|
|
2024
|
|
RMB
|
|
RMB
|
|
|
|
|
|
Net
loss
|
(37,722)
|
|
(29,577)
|
|
Income tax
expenses
|
(482)
|
|
(445)
|
|
Interest
expenses
|
3,079
|
|
3,163
|
|
Interest
income
|
(2,008)
|
|
(730)
|
|
Depreciation and
amortization
|
3,641
|
|
2,617
|
|
EBITDA
|
(33,492)
|
|
(24,972)
|
|
EBITDA
margin
|
(8.6 %)
|
|
(10.0 %)
|
View original
content:https://www.prnewswire.com/news-releases/boqii-announces-fiscal-2025-first-half-unaudited-financial-results-302340648.html
SOURCE Boqii Holding Limited