BEIJING, Sept. 1,
2022 /PRNewswire/ -- Hello Group Inc.
(NASDAQ: MOMO) ("Hello Group" or the "Company"), a leading mobile
social and entertainment platform in China, today announced its unaudited financial
results for the second
quarter of 2022.
Second Quarter of 2022
Highlights
- Net revenues decreased by 15.3%
year over year to RMB3,110.4 million
(US$464.4 million*) in the
second quarter of 2022.
- Net income attributable to Hello Group Inc.
decreased to RMB345.6 million
(US$51.6 million) in the
second quarter of 2022, from RMB464.2
million in the same period of 2021.
- Non-GAAP net income attributable to Hello Group Inc. (note 1)
decreased to RMB463.5 million
(US$69.2 million) in the
second quarter of 2022, from RMB551.0
million in the same period of 2021.
- Diluted net income per American Depositary Share
("ADS") was
RMB1.68 (US$0.25) in the second
quarter of 2022, compared to RMB2.15 in the same period of 2021.
- Non-GAAP diluted net income per ADS (note 1) was RMB2.22 (US$0.33)
in the second quarter of 2022, compared to
RMB2.54 in the same period of
2021.
- Monthly Active Users
("MAU") on Momo
application were 111.2 million in June
2022, compared to 115.6 million in June
2021. MAU on
Tantan application were 24.8 million in
June 2022.
- For the Momo app total paying users was 8.6 million for
the second quarter of 2022, compared to 9.3 million for the same
period last year. Tantan had 2.2 million paying users
for the second quarter of 2022 compared to 3.1 million from the
year ago period.
* This press release
contains translations of certain Renminbi amounts into U.S. dollars
at specified rates solely for the convenience of readers. Unless
otherwise noted, all translations from Renminbi to U.S. dollars, in
this press release, were made at a rate of RMB6. 6981 to US$1.00,
the effective noon buying rate for June 30, 2022 as set forth in
the H.10 statistical release of the Federal Reserve
Board.
|
First Half of 2022 Highlights
- Net revenues decreased 12.4% year over year to
RMB6,258.5 million (US$934.4 million) for the first half of
2022.
- Net income attributable
to Hello Group Inc. was RMB635.5 million (US$94.9
million) for the first half of 2022, compared to
RMB925.8 million during the same
period of 2021.
- Non-GAAP net income attributable to Hello
Group Inc. (note 1) was
RMB862.0 million (US$128.7 million) for the first half of 2022,
compared to RMB1,184.6 million during
the same period of 2021.
- Diluted net income per
ADS was RMB3.11
(US$0.46) for the first half
of 2022, compared to RMB4.29 during
the same period of 2021.
- Non-GAAP diluted net income per
ADS (note 1) was RMB4.16
(US$0.62) for
the first half of 2022, compared to
RMB5.45 during the same period of
2021.
"The COVID resurgence in the first half of 2022 has
brought many challenges and uncertainties to the overall market
environment and our execution of strategic goals. However, I'm
pleased to see that our team managed to deliver good results in the
second quarter by adjusting our product and operational initiatives
in a timely manner to cope with external headwinds, at the same
time adapting our execution plan to fit the evolving external
environment." commented Li Wang, CEO
of Hello Group.
Second Quarter of 2022 Financial
Results
Net revenues
Total net revenues were RMB3,110.4
million (US$464.4 million) in
the second quarter of 2022, a decrease
of 15.3% from RMB3,671.7 million in the
second quarter of 2021.
Live video service revenues were RMB1,520.0 million (US$226.9 million) in the
second quarter of 2022, a decrease of 27.7% from
RMB2,101.3 million during the same
period of 2021. The decrease was primarily attributable to
consumption softness caused by the macro uncertainties including
COVID resurgence, regulatory changes, and to a lesser extent the
strategic decision to de-emphases Tantan's live
streaming business.
Value-added service revenues mainly include virtual gift
revenues and membership subscription revenues. Total value-added
service revenues were RMB1,536.4
million (US$229.4 million)
in the second quarter of 2022, an increase
of 1.9% from RMB1,507.3 million during the same period of
2021. The year-over-year increase was primarily attributable to the
rapid revenue growth from the new standalone apps. The increase was
partially offset by the decrease in Tantan's
value-added service due to the demonetization
process to improve user experience and retention, as
well as COVID's negative impact on users'
dating sentiment and propensity to pay for VAS.
Mobile marketing revenues were RMB35.9 million (US$5.4
million) in the second quarter of
2022, a decrease of 30.4% from RMB51.6
million during the same period of 2021. The decrease in
mobile marketing revenues was due to the negative impact of macro
headwind on client's advertising budget, and our
product adjustment to address new regulation
requirement.
Mobile games revenues were RMB17.2
million (US$2.6 million) in
the second quarter of 2022, an increase
of 87.3% from RMB9.2 million in
the second quarter of 2021, primarily due
to one new mobile game launched in the second half of
2021.
Net revenues from the Momo segment decreased from
RMB3,157.5 million in the
second quarter of 2021 to RMB2,779.5 million (US$415.0 million) in the
second quarter of 2022, primarily due to the
decrease in net revenues from live video
service. Net revenues from the Tantan segment decreased from
RMB513.5 million in the
second quarter of 2021 to RMB330.8 million (US$49.4
million) in the second quarter of
2022, due to our strategy to lower the monetization level in order
to improve user experience and retention, as well as the impact
from the elevated COVID situations.
Cost and expenses
Cost and expenses were RMB2,804.8
million (US$418.7
million) in the second quarter of
2022, a decrease of 8.8% from
RMB3,075.6 million in
the second quarter of 2021. The decrease was primarily
attributable to: (a) a decrease in revenue sharing with
broadcasters related to Momo's core live video service
and Tantan's live video service, which was partially
offset by an increase in revenue sharing with virtual gift
recipients for our virtual gift service; (b) a decrease in
depreciation and amortization cost due to the impairment of
intangible assets in 2021; (c) a decrease in marketing and
promotional expenses by improving marketing efficiency of Momo and
Tantan, which was partially offset by an increase to promote our
new app "Tietie"; and (d) a decrease in
salary expenses, due to our continuous optimization in personnel
costs since the beginning of the year.
Non-GAAP cost and expenses (note 1) were RMB2,686.9 million (US$401.1
million) in the second quarter of
2022, a decrease of 9.8% from
RMB2,980.1 million during the same
period of 2021.
Other operating income
Other operating income was RMB40.6
million (US$6.1 million) in the
second quarter of 2022, a decrease from RMB90.3
million during the second quarter of 2021. The other
operating income mainly consisted of
government incentives.
Income from
operations
Income from operations was RMB346.2 million (US$51.7
million) in the second quarter of 2022,
compared to RMB686.3 million during
the same period of 2021. Income from
operations of the Momo segment was RMB483.5 million (US$72.2
million) in the second
quarter of 2022, which decreased from RMB711.3 million in the
second quarter of 2021. Loss from operations of
the Tantan segment was RMB131.3
million (US$19.6 million) in
the second quarter of 2022,
compared to loss from operations of RMB11.9 million in the second
quarter of 2021.
Non-GAAP income from operations (note 1) was RMB464.1 million (US$69.3
million) in the second quarter of
2022, compared to RMB781.9 million
during the same period of 2021. Non-GAAP income
from operations of the Momo segment was
RMB589.2 million
(US$88.0 million) in the second
quarter of 2022, which decreased from RMB835.8 million in the
second quarter of 2021. Non-GAAP
loss from operations of the Tantan segment was
RMB119.0 million
(US$17.8 million) in the second quarter
of 2022, compared to non-GAAP loss from
operations of RMB40.9
million in the second quarter of
2021.
Other gain or loss, net
Other gain was RMB66.3
million (US$9.9 million) in
the second quarter of 2022, which was resulted from the Company
repurchased some of our convertible senior notes from certain bond
holders in the second quarter of 2022, compared to a loss of
RMB10.5 million in the same period of
2021.
Income tax expenses
Income tax expenses were RMB146.0
million (US$21.8 million) in
the second quarter of 2022, compared to
RMB291.5 million in the
second quarter of 2021. The decrease was
primarily due to the following reasons: (a) the lower profit in
the second quarter of 2022; (b) in
the second quarter of 2022, we accrued
withholding income tax of RMB37.7
million (US$5.6 million)
on undistributed earnings generated in the
second quarter of 2022 by our
wholly-foreign owned enterprise
("WFOE"), because we plan to
remit WFOE's earnings to its offshore parent company
in the foreseeable future to fund its demand on US dollar in
business operations, payments of dividends, potential investments,
etc. In the second quarter of 2021, the Company distributed
dividends of RMB1,300.0 million from
our WFOE in China to our offshore
entity and paid withholding income tax of RMB130.0 million.
Net
income
Net income was RMB344.3 million (US$51.4
million) in the second quarter of
2022, compared to RMB461.5 million during
the same period of 2021. Net income from
the Momo segment was
RMB482.0 million
(US$72.0 million) in the
second quarter of 2022, compared to
RMB481.3 million in the same period
of 2021. Net loss from the Tantan segment was
RMB131.7 million
(US$19.7 million) in the
second quarter of 2022, compared
to net loss of RMB6.7
million in the second quarter of
2021.
Non-GAAP net income (note 1) was RMB462.3 million (US$69.0
million) in the second quarter of
2022, compared to RMB548.3 million
during the same period of 2021. Non-GAAP net
income from the Momo segment was
RMB587.6 million
(US$87.7 million) in the second
quarter of 2022, which decreased from
RMB605.8 million in the
second quarter of 2021. Non-GAAP net
loss of the Tantan segment was RMB119.4 million (US$17.8 million)
in the second quarter of 2022, compared
to non-GAAP net loss of RMB44.5
million in the second quarter of
2021.
Net income attributable
to Hello Group Inc.
Net income attributable to Hello
Group Inc. was RMB345.6 million
(US$51.6 million) in the
second quarter of 2022, compared to
a net income of RMB464.2
million during the same period of 2021.
Non-GAAP net income (note 1) attributable to Hello Group
Inc. was RMB463.5 million
(US$69.2 million) in
the second quarter of 2022, compared to
RMB551.0 million during the same
period of 2021.
Net income
per ADS
Diluted net income per ADS was
RMB1.68 (US$0.25) in the
second quarter of 2022, compared to
RMB2.15 in the
second quarter of 2021.
Non-GAAP diluted net income per ADS (note 1) was
RMB2.22 (US$0.33) in the second
quarter of 2022, compared to
RMB2.54 in the
second quarter of 2021.
Cash and cash flow
As of June
30, 2022, the
Company's cash, cash equivalents,
short-term deposits, long-term deposits, short-term restricted cash
and long-term restricted cash totaled RMB13,947.2 million
(US$2,082.3 million), compared to
RMB15,707.0 million as
of December 31, 2021. The decrease of
cash, cash equivalents, short-term deposits, long-term deposits,
short-term restricted cash and long-term restricted cash was mainly
due to the cash dividend we paid to our shareholders and payment
for repurchase of convertible senior notes in the second quarter of
2022.
Net cash provided by operating activities in the
second quarter of 2022 was RMB200.3 million (US$29.9
million), compared to a net cash used in operating activities
of RMB167.8 million in the
second quarter of 2021. For the second quarter
of 2022, included in our cash provided by operating activities is
RMB100.0 million (US$14.9 million) of cash payment to Chinese tax
authorities to repatriate RMB1,000.0 million
(US$149.3 million) from our WFOE in
China to our offshore
entity. For the second quarter of 2021, included in
our cash used in operating activities is RMB678.2 million of cash payment to Tantan
founders to settle the previously granted liability-classified
share options upon their termination of services with
Tantan.
First Half of 2022
Financial Results
Net revenues for the first half of 2022 were RMB6,258.5 million (US$934.4 million), a decrease of 12.4% from
RMB7,142.3 million in the same period
of 2021.
Net income attributable to Hello Group
Inc. was RMB635.5 million
(US$94.9 million) for the first half
of 2022, compared to RMB925.8 million
during the same period of 2021.
Non-GAAP net income attributable to Hello
Group Inc. (note 1) was
RMB862.0 million (US$128.7 million) for the first half of 2022,
compared to RMB1,184.6 million during
the same period of 2021.
Diluted net income per
ADS was RMB3.11
(US$0.46) during the first half of
2022, compared to RMB4.29 in the same
period of 2021.
Non-GAAP diluted net income per
ADS (note 1) was RMB4.16
(US$0.62) during the first half of
2022, compared to RMB5.45 in the same
period of 2021.
Net cash provided by operating activities was RMB243.7 million (US$36.4
million) during the first half of 2022,
compared to RMB333.8 million in the
same period of 2021.
Recent Development
Execution of share repurchase program
On June 7, 2022, Hello
Group's board of directors authorized a share repurchase program
under which the Company may repurchase up to US$200 million of its shares over the next 24
months. As of September 1, 2022, the
Company has repurchased 4.18 million ADSs for US$19.2 million on the open market under this
program, at an average purchase price of US$4.58 per ADS.
Business Outlook
For the third quarter of 2022,
the Company expects total net revenues to be between
RMB3.1 billion to RMB3.2 billion, representing a decrease of 17.5%
to 14.9% year-over-year. This forecast reflects the
Company's current and preliminary views on the market
and operational conditions, which are subject to change,
particularly as to the potential impact of the COVID-19 resurgence
on the Chinese and global economies, as well as on users'
paying capabilities.
Note 1: Non-GAAP measures
To supplement our consolidated financial statements
presented in accordance with U.S. generally accepted accounting
principles ("GAAP"), we, Hello Group, use various non-GAAP
financial measures that are adjusted from the most comparable GAAP
results to exclude share-based compensation,
impairment loss on goodwill and intangible assets, amortization of
intangible assets from business acquisitions, and tax impacts
related to the amortization of intangible assets from business
acquisitions.
Reconciliations of our non-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 the non-GAAP
financial measures.
Our non-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. Our
non-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 the non-GAAP financial measures may be
different from the calculation used by other companies, and
therefore comparability may be limited.
Our non-GAAP information (including non-GAAP cost and
operating expenses, income (loss) from operations, net
income (loss), net income (loss) attributable to Hello Group Inc.,
and diluted net income per ADS) is adjusted from the most
comparable GAAP results to exclude share-based compensation,
impairment loss on goodwill and intangible assets, amortization of
intangible assets from business acquisitions, and tax impacts
related to the amortization of intangible assets from business
acquisitions. A limitation of using these non-GAAP financial
measures is that share-based compensation, impairment loss on
goodwill and intangible assets, 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 significant
recurring expenses in our results of operations. We compensate for
such limitation by providing reconciliations of our non-GAAP
measures to our U.S. GAAP measures. Please see the reconciliation
tables at the end of this earnings release.
Conference Call
Hello Group's management will host an earnings conference
call on Thursday, September 1,
2022, at 8:00 a.m. U.S. Eastern Time (8:00 p.m. Beijing / Hong Kong Time
on September 1, 2022).
Participants can register for the conference call by
navigating to:
https://s1.c-conf.com/diamondpass/10024750-8qar7z.html.
Upon registration, each participant will receive details
for the conference call, including dial-in numbers,
conference call passcode and a unique access PIN. Please dial
in 10 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 September 8, 2022. The dial-in details for the
replay are as follows:
U.S. / Canada:
1-855-883-1031
Hong
Kong:
800-930-639
Passcode:
10024750
Additionally, a live and archived webcast of the
conference call will be available on the Investor Relations section
of Hello Group's website at https://ir.hellogroup.com.
About Hello Group Inc.
We are a leading player in China's online social and entertainment space.
Through Momo, Tantan and other properties within
our product portfolio, we enable users to discover new
relationships, expand their social connections and build meaningful
interactions. Momo is a mobile
application that connects people and facilitates social
interactions based on location, interests and a variety of online
recreational activities. Tantan, which was added into our family of
applications through acquisition in May 2018, is a leading social and dating
application. It is designed to help its users find and establish
romantic connections as well as meet interesting people. We also
operate a number of other applications to serve different social
and entertainment demands from our users.
For investor and media inquiries, please
contact:
Hello Group Inc.
Investor Relations
Phone:
+86-10-5731-0538
Email: ir@hellogroup.com
Christensen
In China
Mr. Eric Yuan
Phone:
+86-10-5900-1548
E-mail: Eyuan@christensenir.com
In U.S.
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, our
financial outlook for the third quarter
of 2022, as well as the amount of, timing, methods and funding
sources for repurchases of our shares under the share repurchase
program.
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 second quarter
of 2022 are preliminary, unaudited and subject to audit adjustment.
In addition, we may not meet our financial outlook for the
third quarter of 2022 and may be unable to grow
our business in the manner planned. We may also
modify our strategy for
growth. Moreover, 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, our ability to anticipate and develop new services
and enhance existing services to meet the demand of our users or
customers, the impact of the COVID-19 pandemic on
the Company's business operations
and the economy in China, the
market price of the
Company's stock prevailing from time to time,
the nature of other investment opportunities presented to
the Company from time to time,
the Company's cash flows from
operations, general economic conditions, and other factors.
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.
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.
Hello Group
Inc.
|
Unaudited Condensed
Consolidated Statement of Operations
|
(All amounts in
thousands, except share and per share data)
|
|
|
Three months
|
|
First half
year
|
Ended June
30
|
|
Ended June
30
|
|
2021
|
|
2022
|
|
2022
|
|
2021
|
|
2022
|
|
2022
|
|
RMB
|
|
RMB
|
|
US$
|
|
RMB
|
|
RMB
|
|
US$
|
Net
revenues:
|
|
|
|
|
|
|
|
|
|
|
|
Live video
service
|
2,101,332
|
|
1,519,978
|
|
226,927
|
|
4,063,427
|
|
3,128,701
|
|
467,103
|
Value-added
service
|
1,507,258
|
|
1,536,384
|
|
229,376
|
|
2,962,771
|
|
3,019,815
|
|
450,847
|
Mobile
marketing
|
51,601
|
|
35,913
|
|
5,362
|
|
90,318
|
|
63,786
|
|
9,523
|
Mobile games
|
9,182
|
|
17,200
|
|
2,568
|
|
20,366
|
|
42,697
|
|
6,374
|
Other
services
|
2,341
|
|
940
|
|
140
|
|
5,428
|
|
3,494
|
|
521
|
Total net
revenues
|
3,671,714
|
|
3,110,415
|
|
464,373
|
|
7,142,310
|
|
6,258,493
|
|
934,368
|
Cost and
expenses:
|
|
|
|
|
|
|
|
|
|
|
|
Cost of
revenues
|
(2,070,329)
|
|
(1,797,846)
|
|
(268,411)
|
|
(4,008,574)
|
|
(3,619,234)
|
|
(540,337)
|
Research and
development
|
(268,325)
|
|
(238,262)
|
|
(35,572)
|
|
(554,818)
|
|
(488,457)
|
|
(72,925)
|
Sales and
marketing
|
(650,236)
|
|
(610,953)
|
|
(91,213)
|
|
(1,263,809)
|
|
(1,199,530)
|
|
(179,085)
|
General and
administrative
|
(86,747)
|
|
(157,746)
|
|
(23,551)
|
|
(264,709)
|
|
(317,581)
|
|
(47,414)
|
Total cost and
expenses
|
(3,075,637)
|
|
(2,804,807)
|
|
(418,747)
|
|
(6,091,910)
|
|
(5,624,802)
|
|
(839,761)
|
Other operating
income
|
90,268
|
|
40,570
|
|
6,057
|
|
116,168
|
|
64,501
|
|
9,630
|
Income from
operations
|
686,345
|
|
346,178
|
|
51,683
|
|
1,166,568
|
|
698,192
|
|
104,237
|
Interest
income
|
94,448
|
|
93,630
|
|
13,979
|
|
191,142
|
|
191,487
|
|
28,588
|
Interest
expense
|
(18,302)
|
|
(28,231)
|
|
(4,215)
|
|
(36,663)
|
|
(47,565)
|
|
(7,101)
|
Other gain or loss,
net
|
(10,500)
|
|
66,303
|
|
9,899
|
|
(18,000)
|
|
77,922
|
|
11,633
|
Income before income
tax and share of income on equity method
investments
|
751,991
|
|
477,880
|
|
71,346
|
|
1,303,047
|
|
920,036
|
|
137,357
|
Income tax
expenses
|
(291,509)
|
|
(146,045)
|
|
(21,804)
|
|
(382,907)
|
|
(296,819)
|
|
(44,314)
|
Income before share
of income on equity method investments
|
460,482
|
|
331,835
|
|
49,542
|
|
920,140
|
|
623,217
|
|
93,043
|
Share of income on
equity method investments
|
1,042
|
|
12,513
|
|
1,868
|
|
2,303
|
|
9,913
|
|
1,480
|
Net
income
|
461,524
|
|
344,348
|
|
51,410
|
|
922,443
|
|
633,130
|
|
94,523
|
Less: net loss
attributable to non-controlling interest
|
(2,636)
|
|
(1,221)
|
|
(182)
|
|
(3,376)
|
|
(2,324)
|
|
(347)
|
Net income
attributable to the shareholders of Hello Group Inc.
|
464,160
|
|
345,569
|
|
51,592
|
|
925,819
|
|
635,454
|
|
94,870
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income per share
attributable to ordinary shareholders
|
Basic
|
1.13
|
|
0.87
|
|
0.13
|
|
2.25
|
|
1.6
|
|
0.24
|
Diluted
|
1.07
|
|
0.84
|
|
0.13
|
|
2.15
|
|
1.56
|
|
0.23
|
Weighted average shares
used in calculating net income per
ordinary
share
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
411,540,714
|
|
396,777,496
|
|
396,777,496
|
|
411,753,583
|
|
396,013,164
|
|
396,013,164
|
Diluted
|
449,020,572
|
|
434,212,413
|
|
434,212,413
|
|
448,597,242
|
|
432,896,998
|
|
432,896,998
|
Hello Group
Inc.
|
Unaudited Condensed
Consolidated Statement of Comprehensive
Income
|
(All amounts in
thousands, except share and per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months
|
|
First half
year
|
Ended June
30
|
|
Ended June
30
|
|
2021
|
|
2022
|
|
2022
|
|
2021
|
|
2022
|
|
2022
|
|
RMB
|
|
RMB
|
|
US$
|
|
RMB
|
|
RMB
|
|
US$
|
Net
income
|
461,524
|
|
344,348
|
|
51,410
|
|
922,443
|
|
633,130
|
|
94,523
|
Other comprehensive
loss, net of tax:
|
|
|
|
|
|
|
|
|
|
|
|
Foreign currency
translation adjustment
|
(28,396)
|
|
(151,539)
|
|
(22,624)
|
|
(32,198)
|
|
(140,489)
|
|
(20,974)
|
Comprehensive
income
|
433,128
|
|
192,809
|
|
28,786
|
|
890,245
|
|
492,641
|
|
73,549
|
Less: comprehensive
(loss) income attributed to the non-
controlling
interest
|
(6,162)
|
|
8,915
|
|
1,331
|
|
(5,783)
|
|
6,879
|
|
1,027
|
Comprehensive income
attributable to Hello Group Inc.
|
439,290
|
|
183,894
|
|
27,455
|
|
896,028
|
|
485,762
|
|
72,522
|
Hello Group
Inc.
|
Unaudited Condensed
Consolidated Balance Sheets
|
(All amounts in
thousands, except share and per share data)
|
|
|
December 31
|
|
June 30
|
|
June 30
|
|
2021
|
|
2022
|
|
2022
|
RMB
|
RMB
|
|
US$
|
Assets
|
|
|
|
|
|
Current
assets
|
|
|
|
|
|
Cash and cash
equivalents
|
5,570,563
|
|
4,364,550
|
|
651,610
|
Short-term
deposits
|
2,860,000
|
|
6,600,000
|
|
985,354
|
Restricted
cash
|
-
|
|
102,270
|
|
15,269
|
Accounts receivable,
net of allowance for doubtful accounts of RMB15,127
and RMB6,765 as of
December 31, 2021 and June 30, 2022, respectively
|
205,225
|
|
213,983
|
|
31,947
|
Prepaid expenses and
other current assets
|
775,072
|
|
824,221
|
|
123,053
|
Total current
assets
|
9,410,860
|
|
12,105,024
|
|
1,807,233
|
Long-term
deposits
|
7,200,000
|
|
2,800,000
|
|
418,029
|
Long-term restricted
cash
|
76,471
|
|
80,377
|
|
12,000
|
Right-of-use assets,
net
|
257,934
|
|
179,102
|
|
26,739
|
Property and equipment,
net
|
180,664
|
|
192,372
|
|
28,720
|
Intangible assets,
net
|
27,320
|
|
24,762
|
|
3,697
|
Rental
deposits
|
19,204
|
|
21,453
|
|
3,203
|
Long-term
investments
|
820,006
|
|
885,947
|
|
132,268
|
Other non-current
assets
|
83,930
|
|
99,139
|
|
14,801
|
Deferred tax
assets
|
34,849
|
|
36,425
|
|
5,438
|
Total
assets
|
18,111,238
|
|
16,424,601
|
|
2,452,128
|
Liabilities and
equity
|
|
|
|
|
|
Current
liabilities
|
|
|
|
|
|
Accounts
payable
|
726,207
|
|
626,497
|
|
93,534
|
Deferred
revenue
|
539,967
|
|
486,264
|
|
72,597
|
Accrued expenses and
other current liabilities
|
911,050
|
|
771,145
|
|
115,129
|
Amount due to related
parties
|
5,016
|
|
1,619
|
|
242
|
Lease liabilities due
within one year
|
162,950
|
|
121,587
|
|
18,152
|
Income tax
payable
|
125,773
|
|
90,484
|
|
13,509
|
Deferred consideration
in connection with business acquisitions
|
44,802
|
|
41,220
|
|
6,154
|
Total current
liabilities
|
2,515,765
|
|
2,138,816
|
|
319,317
|
Deferred tax
liabilities
|
213,384
|
|
54,469
|
|
8,132
|
Convertible senior
notes
|
4,565,292
|
|
3,606,426
|
|
538,425
|
Lease
liabilities
|
103,105
|
|
63,588
|
|
9,493
|
Other non-current
liabilities
|
128,095
|
|
113,405
|
|
16,931
|
Total
liabilities
|
7,525,641
|
|
5,976,704
|
|
892,298
|
Shareholder's equity
(i)
|
10,585,597
|
|
10,447,897
|
|
1,559,830
|
Total liabilities
and shareholder's equity
|
18,111,238
|
|
16,424,601
|
|
2,452,128
|
|
(i): As of June 30,
2022, the number of ordinary shares outstanding was
396,887,230.
|
Hello Group
Inc.
|
Unaudited Condensed
Consolidated Statement of Cash Flows
|
(All amounts in
thousands, except share and per share data)
|
|
|
Three months
|
|
First half
year
|
|
Ended June
30
|
|
Ended June
30
|
|
2021
|
|
2022
|
|
2022
|
|
2021
|
|
2022
|
|
2022
|
|
RMB
|
|
RMB
|
|
US$
|
|
RMB
|
|
RMB
|
|
US$
|
Cash flows from
operating activities:
|
|
|
|
|
|
|
|
|
|
|
|
Net
income
|
461,524
|
|
344,348
|
|
51,410
|
|
922,443
|
|
633,130
|
|
94,523
|
Adjustments to
reconcile net income to net cash provided by operating
activities:
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation of
property and equipment
|
40,072
|
|
28,081
|
|
4,192
|
|
82,615
|
|
56,060
|
|
8,370
|
Amortization of
intangible assets
|
36,108
|
|
1,279
|
|
191
|
|
73,061
|
|
2,558
|
|
382
|
Share-based
compensation
|
60,658
|
|
117,948
|
|
17,609
|
|
205,915
|
|
226,564
|
|
33,825
|
Share of income on
equity method investments
|
(1,042)
|
|
(12,513)
|
|
(1,868)
|
|
(2,303)
|
|
(9,913)
|
|
(1,480)
|
Gain on repurchase of
convertible senior notes
|
-
|
|
(66,303)
|
|
(9,899)
|
|
-
|
|
(77,922)
|
|
(11,633)
|
Loss on long-term
investments
|
10,500
|
|
-
|
|
-
|
|
18,000
|
|
-
|
|
-
|
Gain on disposal of
subsidiaries
|
(15,526)
|
|
-
|
|
-
|
|
(15,526)
|
|
-
|
|
-
|
Cash received on
distributions from equity method investments
|
-
|
|
1,708
|
|
255
|
|
-
|
|
1,708
|
|
255
|
Loss or gain on
disposal of property and equipment
|
(1,101)
|
|
180
|
|
27
|
|
(1,079)
|
|
140
|
|
21
|
Provision of losses on
receivable and other assets
|
169
|
|
365
|
|
54
|
|
564
|
|
367
|
|
55
|
Changes in operating
assets and liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
Accounts
receivable
|
(15,162)
|
|
(9,927)
|
|
(1,482)
|
|
(22,742)
|
|
(7,278)
|
|
(1,087)
|
Prepaid expenses and
other current assets
|
(31,941)
|
|
(13,584)
|
|
(2,028)
|
|
(118,618)
|
|
(57,562)
|
|
(8,594)
|
Rental
deposits
|
(1,951)
|
|
3,136
|
|
468
|
|
(592)
|
|
683
|
|
102
|
Deferred tax
assets
|
(627)
|
|
-
|
|
-
|
|
(1,234)
|
|
(1,576)
|
|
(235)
|
Other non-current
assets
|
36,720
|
|
19,075
|
|
2,848
|
|
49,050
|
|
60,690
|
|
9,061
|
Accounts
payable
|
48,889
|
|
(16,996)
|
|
(2,537)
|
|
47,822
|
|
(105,954)
|
|
(15,819)
|
Income tax
payable
|
(119,269)
|
|
(30,714)
|
|
(4,585)
|
|
(96,378)
|
|
(35,288)
|
|
(5,268)
|
Deferred
revenue
|
16,464
|
|
(11,921)
|
|
(1,780)
|
|
16,085
|
|
(54,535)
|
|
(8,142)
|
Accrued expenses and
other current liabilities
|
23,189
|
|
(63,615)
|
|
(9,497)
|
|
(95,783)
|
|
(195,833)
|
|
(29,237)
|
Amount due to related
parties
|
600
|
|
(3,240)
|
|
(484)
|
|
(6,556)
|
|
(3,397)
|
|
(507)
|
Deferred tax
liabilities
|
(9,027)
|
|
(61,942)
|
|
(9,248)
|
|
(18,265)
|
|
(157,327)
|
|
(23,488)
|
Share-based
compensation liability
|
(678,153)
|
|
-
|
|
-
|
|
(678,153)
|
|
-
|
|
-
|
Other non-current
liabilities
|
(28,877)
|
|
(25,016)
|
|
(3,735)
|
|
(24,517)
|
|
(31,656)
|
|
(4,726)
|
Net cash (used in)
provided by operating activities
|
(167,783)
|
|
200,349
|
|
29,911
|
|
333,809
|
|
243,659
|
|
36,378
|
Cash flows from
investing activities:
|
|
|
|
|
|
|
|
|
|
|
|
Purchase of property
and equipment
|
(20,020)
|
|
(21,694)
|
|
(3,239)
|
|
(45,203)
|
|
(43,341)
|
|
(6,471)
|
Payment for long-term
investments
|
(300,000)
|
|
(55,343)
|
|
(8,262)
|
|
(300,000)
|
|
(55,343)
|
|
(8,262)
|
Purchase of short-term
deposits
|
(1,566,688)
|
|
-
|
|
-
|
|
(2,476,688)
|
|
-
|
|
-
|
Cash received on
maturity of short-term deposits
|
2,089,618
|
|
100,000
|
|
14,930
|
|
2,658,912
|
|
1,010,000
|
|
150,789
|
Cash received on
investment income distribution
|
-
|
|
-
|
|
-
|
|
5,610
|
|
3,523
|
|
526
|
Cash of disposed
subsidiaries
|
(8,750)
|
|
-
|
|
-
|
|
(8,750)
|
|
-
|
|
-
|
Purchase of long-term
deposits
|
(250,000)
|
|
(400,000)
|
|
(59,718)
|
|
(250,000)
|
|
(1,550,000)
|
|
(231,409)
|
Cash received on
maturity of long-term deposits
|
-
|
|
1,200,000
|
|
179,155
|
|
-
|
|
1,200,000
|
|
179,155
|
Other investing
activities
|
2,390
|
|
318
|
|
47
|
|
2,393
|
|
322
|
|
48
|
Net cash (used in)
provided by investing activities
|
(53,450)
|
|
823,281
|
|
122,913
|
|
(413,726)
|
|
565,161
|
|
84,376
|
Cash flows from
financing activities:
|
|
|
|
|
|
|
|
|
|
|
|
Deferred payment for
business acquisition
|
-
|
|
-
|
|
-
|
|
(12,907)
|
|
(5,563)
|
|
(831)
|
Proceeds from exercise
of share options
|
310
|
|
2
|
|
-
|
|
310
|
|
33
|
|
5
|
Repurchase of ordinary
shares
|
(103,072)
|
|
(2,335)
|
|
(349)
|
|
(106,151)
|
|
(2,335)
|
|
(349)
|
Repurchase of
subsidiary's share options
|
(2,780)
|
|
(21,110)
|
|
(3,152)
|
|
(5,561)
|
|
(25,537)
|
|
(3,813)
|
Dividends
payment
|
(852,743)
|
|
(840,997)
|
|
(125,558)
|
|
(852,743)
|
|
(840,997)
|
|
(125,558)
|
Payment for redemption
of convertible bonds
|
-
|
|
(1,002,537)
|
|
(149,675)
|
|
-
|
|
(1,112,544)
|
|
(166,098)
|
Net cash used in
financing activities
|
(958,285)
|
|
(1,866,977)
|
|
(278,734)
|
|
(977,052)
|
|
(1,986,943)
|
|
(296,644)
|
Effect of exchange rate
changes
|
(28,952)
|
|
93,897
|
|
14,020
|
|
(25,036)
|
|
78,286
|
|
11,689
|
Net decrease in cash
and cash equivalents
|
(1,208,470)
|
|
(749,450)
|
|
(111,890)
|
|
(1,082,005)
|
|
(1,099,837)
|
|
(164,201)
|
Cash, cash equivalents
and restricted cash at the beginning of period
|
3,492,537
|
|
5,296,647
|
|
790,769
|
|
3,366,072
|
|
5,647,034
|
|
843,080
|
Cash, cash equivalents
and restricted cash at the end of period
|
2,284,067
|
|
4,547,197
|
|
678,879
|
|
2,284,067
|
|
4,547,197
|
|
678,879
|
Hello Group
Inc.
|
Reconciliation of
Non-GAAP financial measures to comparable GAAP
measures
|
(All amounts in
thousands, except per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1.
|
Reconciliation of
Non-GAAP cost and operating expenses, income from operations, and
net income to comparable GAAP measures.
|
|
|
|
|
|
|
|
|
|
Three months
|
|
Three months
|
|
Three months
|
|
Ended June 30,
2021
|
Ended June 30,
2022
|
|
Ended June 30,
2022
|
|
|
GAAP
|
Amortization
of
intangible assets
from
business
acquisitions
|
Share-based
compensation
|
Tax impacts
|
Non-GAAP
|
|
GAAP
|
Share-based
compensation
|
Non-GAAP
|
|
GAAP
|
Share-based
compensation
|
Non-GAAP
|
|
|
|
|
(ii)
|
|
|
|
|
|
|
|
|
RMB
|
RMB
|
RMB
|
RMB
|
RMB
|
RMB
|
RMB
|
RMB
|
US$
|
US$
|
US$
|
|
Cost of
revenues
|
(2,070,329)
|
17,256
|
4,201
|
-
|
(2,048,872)
|
|
(1,797,846)
|
7,914
|
(1,789,932)
|
|
(268,411)
|
1,182
|
(267,229)
|
|
Research and
development
|
(268,325)
|
1,461
|
33,965
|
-
|
(232,899)
|
|
(238,262)
|
23,965
|
(214,297)
|
|
(35,572)
|
3,578
|
(31,994)
|
|
Sales and
marketing
|
(650,236)
|
16,137
|
14,588
|
-
|
(619,511)
|
|
(610,953)
|
10,894
|
(600,059)
|
|
(91,213)
|
1,626
|
(89,587)
|
|
General and
administrative
|
(86,747)
|
-
|
7,904
|
-
|
(78,843)
|
|
(157,746)
|
75,175
|
(82,571)
|
|
(23,551)
|
11,223
|
(12,328)
|
|
Cost and operating
expenses
|
(3,075,637)
|
34,854
|
60,658
|
-
|
(2,980,125)
|
|
(2,804,807)
|
117,948
|
(2,686,859)
|
|
(418,747)
|
17,609
|
(401,138)
|
|
Income from
operations
|
686,345
|
34,854
|
60,658
|
-
|
781,857
|
|
346,178
|
117,948
|
464,126
|
|
51,683
|
17,609
|
69,292
|
|
Net income
|
464,160
|
34,854
|
60,658
|
(8,714)
|
550,958
|
|
345,569
|
117,948
|
463,517
|
|
51,592
|
17,609
|
69,201
|
|
attributable to Hello
Group Inc.
|
|
|
Hello Group
Inc.
|
|
|
|
Reconciliation of
Non-GAAP financial measures to comparable GAAP
measures
|
|
|
|
(All amounts in
thousands, except per share data)
|
|
|
|
|
|
|
1.
|
Reconciliation of
Non-GAAP cost and operating expenses, income from operations, and
net income to comparable GAAP measures-continued.
|
|
|
|
|
|
|
|
|
|
First half
year
|
|
First half
year
|
|
First half
year
|
|
Ended June 30,
2021
|
Ended June 30,
2022
|
|
Ended June 30,
2022
|
|
|
GAAP
|
Amortization
of
intangible
assets
from
business
acquisitions
|
Share-
based
compensa
tion
|
Tax impacts
|
Non-GAAP
|
|
GAAP
|
Share-based
compensation
|
Non-GAAP
|
|
GAAP
|
Share-based
compensation
|
Non-GAAP
|
|
|
|
|
(ii)
|
|
|
|
|
|
|
|
RMB
|
RMB
|
RMB
|
RMB
|
RMB
|
RMB
|
RMB
|
RMB
|
US$
|
US$
|
US$
|
Cost of
revenues
|
(4,008,574)
|
34,567
|
7,925
|
-
|
(3,966,082)
|
|
(3,619,234)
|
10,992
|
(3,608,242)
|
|
(540,337)
|
1,641
|
(538,696)
|
|
Research and
development
|
(554,818)
|
3,660
|
74,174
|
-
|
(476,984)
|
|
(488,457)
|
44,939
|
(443,518)
|
|
(72,925)
|
6,709
|
(66,216)
|
|
Sales and
marketing
|
(1,263,809)
|
32,326
|
32,144
|
-
|
(1,199,339)
|
|
(1,199,530)
|
21,499
|
(1,178,031)
|
|
(179,085)
|
3,210
|
(175,875)
|
|
General and
administrative
|
(264,709)
|
-
|
91,672
|
-
|
(173,037)
|
|
(317,581)
|
149,134
|
(168,447)
|
|
(47,414)
|
22,265
|
(25,149)
|
|
Cost and operating
expenses
|
(6,091,910)
|
70,553
|
205,915
|
-
|
(5,815,442)
|
|
(5,624,802)
|
226,564
|
(5,398,238)
|
|
(839,761)
|
33,825
|
(805,936)
|
|
Income from
operations
|
1,166,568
|
70,553
|
205,915
|
-
|
1,443,036
|
|
698,192
|
226,564
|
924,756
|
|
104,237
|
33,825
|
138,062
|
|
Net income
|
925,819
|
70,553
|
205,915
|
(17,639)
|
1,184,648
|
|
635,454
|
226,564
|
862,018
|
|
94,870
|
33,825
|
128,695
|
|
attributable to Hello
Group Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(ii) Includes tax
impacts related to the amortization of intangible assets from
business acquisition.
|
|
|
|
|
|
|
|
|
|
|
Hello Group
Inc.
|
Unaudited Condensed
Segment Report
|
(All amounts in
thousands, except share and per share data)
|
|
|
Three months
|
Ended June
30, 2022
|
|
Momo
|
|
Tantan
|
|
QOOL
|
|
Total
|
|
Total
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
US$
|
Net
revenues:
|
|
|
|
|
|
|
|
|
|
Live video
service
|
1,403,596
|
|
116,382
|
|
-
|
|
1,519,978
|
|
226,927
|
Value-added
service
|
1,321,967
|
|
214,417
|
|
-
|
|
1,536,384
|
|
229,376
|
Mobile
marketing
|
35,913
|
|
-
|
|
-
|
|
35,913
|
|
5,362
|
Mobile games
|
17,200
|
|
-
|
|
-
|
|
17,200
|
|
2,568
|
Other
services
|
782
|
|
-
|
|
158
|
|
940
|
|
140
|
Total net
revenues
|
2,779,458
|
|
330,799
|
|
158
|
|
3,110,415
|
|
464,373
|
Cost and expenses
(iii):
|
|
|
|
|
|
|
|
|
|
Cost of
revenues
|
(1,631,584)
|
|
(165,696)
|
|
(566)
|
|
(1,797,846)
|
|
(268,411)
|
Research and
development
|
(171,614)
|
|
(66,648)
|
|
-
|
|
(238,262)
|
|
(35,572)
|
Sales and
marketing
|
(386,496)
|
|
(223,311)
|
|
(1,146)
|
|
(610,953)
|
|
(91,213)
|
General and
administrative
|
(144,574)
|
|
(8,685)
|
|
(4,487)
|
|
(157,746)
|
|
(23,551)
|
Total cost and
expenses
|
(2,334,268)
|
|
(464,340)
|
|
(6,199)
|
|
(2,804,807)
|
|
(418,747)
|
Other operating
income
|
38,344
|
|
2,225
|
|
1
|
|
40,570
|
|
6,057
|
Income (loss) from
operations
|
483,534
|
|
(131,316)
|
|
(6,040)
|
|
346,178
|
|
51,683
|
Interest
income
|
93,506
|
|
52
|
|
72
|
|
93,630
|
|
13,979
|
Interest
expense
|
(28,231)
|
|
-
|
|
-
|
|
(28,231)
|
|
(4,215)
|
Other gain or loss,
net
|
66,303
|
|
-
|
|
-
|
|
66,303
|
|
9,899
|
Income (loss) before
income tax and share of income on equity
method
investments
|
615,112
|
|
(131,264)
|
|
(5,968)
|
|
477,880
|
|
71,346
|
Income tax
expenses
|
(145,628)
|
|
(417)
|
|
-
|
|
(146,045)
|
|
(21,804)
|
Income (loss) before
share of income on equity method
investments
|
469,484
|
|
(131,681)
|
|
(5,968)
|
|
331,835
|
|
49,542
|
Share of loss on equity
method investments
|
12,513
|
|
-
|
|
-
|
|
12,513
|
|
1,868
|
Net income
(loss)
|
481,997
|
|
(131,681)
|
|
(5,968)
|
|
344,348
|
|
51,410
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(iii) Share-based
compensation was allocated in cost of revenues and operating
expenses as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months
|
|
Ended June 30,
2022
|
|
Momo
|
|
Tantan
|
|
QOOL
|
|
Total
|
|
Total
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
US$
|
Cost of
revenues
|
2,152
|
|
5,762
|
|
-
|
|
7,914
|
|
1,182
|
Research and
development
|
17,659
|
|
6,306
|
|
-
|
|
23,965
|
|
3,578
|
Sales and
marketing
|
10,693
|
|
201
|
|
-
|
|
10,894
|
|
1,626
|
General and
administrative
|
75,134
|
|
41
|
|
-
|
|
75,175
|
|
11,223
|
Total cost and
expenses
|
105,638
|
|
12,310
|
|
-
|
|
117,948
|
|
17,609
|
Hello Group
Inc.
|
Reconciliation of
GAAP and NON-GAAP Results of Unaudited Segment
Report
|
(All amounts in
thousands, except share and per share data)
|
|
|
|
|
|
|
|
|
|
|
|
Three months
|
|
Ended June 30,
2022
|
|
Momo
|
|
Tantan
|
|
QOOL
|
|
Total
|
|
Total
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
US$
|
Income (loss) from
operations
|
483,534
|
|
(131,316)
|
|
(6,040)
|
|
346,178
|
|
51,683
|
Share-based
compensation
|
105,638
|
|
12,310
|
|
-
|
|
117,948
|
|
17,609
|
Non-GAAP income
(loss) from operations
|
589,172
|
|
(119,006)
|
|
(6,040)
|
|
464,126
|
|
69,292
|
|
|
|
|
|
|
|
|
|
|
Net income
(loss)
|
481,997
|
|
(131,681)
|
|
(5,968)
|
|
344,348
|
|
51,410
|
Share-based
compensation
|
105,638
|
|
12,310
|
|
-
|
|
117,948
|
|
17,609
|
Non-GAAP net income
(loss)
|
587,635
|
|
(119,371)
|
|
(5,968)
|
|
462,296
|
|
69,019
|
Hello Group
Inc.
|
Unaudited Condensed
Segment Report
|
(All amounts in
thousands, except share and per share data)
|
|
|
Three months
|
Ended June 30,
2021
|
|
Momo
|
|
Tantan
|
|
QOOL
|
|
Total
|
|
Total
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
US$[1]
|
Net
revenues:
|
|
|
|
|
|
|
|
|
|
Live video
service
|
1,884,821
|
|
216,511
|
|
-
|
|
2,101,332
|
|
325,455
|
Value-added
service
|
1,210,220
|
|
297,038
|
|
-
|
|
1,507,258
|
|
233,445
|
Mobile
marketing
|
51,601
|
|
-
|
|
-
|
|
51,601
|
|
7,992
|
Mobile games
|
9,182
|
|
-
|
|
-
|
|
9,182
|
|
1,422
|
Other
services
|
1,706
|
|
-
|
|
635
|
|
2,341
|
|
362
|
Total net
revenues
|
3,157,530
|
|
513,549
|
|
635
|
|
3,671,714
|
|
568,676
|
Cost and expenses
(iv):
|
|
|
|
|
|
|
|
|
|
Cost of
revenues
|
(1,796,504)
|
|
(266,197)
|
|
(7,628)
|
|
(2,070,329)
|
|
(320,653)
|
Research and
development
|
(195,371)
|
|
(72,954)
|
|
-
|
|
(268,325)
|
|
(41,558)
|
Sales and
marketing
|
(378,938)
|
|
(270,266)
|
|
(1,032)
|
|
(650,236)
|
|
(100,709)
|
General and
administrative
|
(140,905)
|
|
59,205
|
|
(5,047)
|
|
(86,747)
|
|
(13,435)
|
Total cost and
expenses
|
(2,511,718)
|
|
(550,212)
|
|
(13,707)
|
|
(3,075,637)
|
|
(476,355)
|
Other operating
income
|
65,445
|
|
24,798
|
|
25
|
|
90,268
|
|
13,981
|
Income (loss) from
operations
|
711,257
|
|
(11,865)
|
|
(13,047)
|
|
686,345
|
|
106,302
|
Interest
income
|
94,112
|
|
291
|
|
45
|
|
94,448
|
|
14,628
|
Interest
expense
|
(18,302)
|
|
-
|
|
-
|
|
(18,302)
|
|
(2,835)
|
Other gain or loss,
net
|
(10,500)
|
|
-
|
|
-
|
|
(10,500)
|
|
(1,626)
|
Income (loss) before
income tax and share of income on equity
method
investments
|
776,567
|
|
(11,574)
|
|
(13,002)
|
|
751,991
|
|
116,469
|
Income tax (expenses)
benefits
|
(296,344)
|
|
4,835
|
|
-
|
|
(291,509)
|
|
(45,149)
|
Income (loss) before
share of income on equity method
investments
|
480,223
|
|
(6,739)
|
|
(13,002)
|
|
460,482
|
|
71,320
|
Share of income on
equity method investments
|
1,042
|
|
-
|
|
-
|
|
1,042
|
|
161
|
Net income
(loss)
|
481,265
|
|
(6,739)
|
|
(13,002)
|
|
461,524
|
|
71,481
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(iv) Share-based
compensation was allocated in cost of revenues and operating
expenses as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months
|
|
Ended June 30,
2021
|
|
Momo
|
|
Tantan
|
|
QOOL
|
|
Total
|
|
Total
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
US$
|
Cost of
revenues
|
2,640
|
|
1,561
|
|
-
|
|
4,201
|
|
651
|
Research and
development
|
29,663
|
|
4,302
|
|
-
|
|
33,965
|
|
5,261
|
Sales and
marketing
|
12,971
|
|
1,617
|
|
-
|
|
14,588
|
|
2,259
|
General and
administrative
|
79,308
|
|
(71,404)
|
|
-
|
|
7,904
|
|
1,224
|
Total cost and
expenses
|
124,582
|
|
(63,924)
|
|
-
|
|
60,658
|
|
9,395
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
[1] All translations
from RMB to U.S. dollars are made at a rate of RMB6.4566 to
US$1.00, the effective noon buying rate for June 30, 2021 as set
forth in the H.10
statistical release of
the Federal Reserve Board.
|
Hello Group
Inc.
|
Reconciliation of
GAAP and NON-GAAP Results of Unaudited Segment
Report
|
(All amounts in
thousands, except share and per share data)
|
|
|
|
|
|
|
|
|
|
|
|
Three months
|
|
Ended June 30,
2021
|
|
Momo
|
|
Tantan
|
|
QOOL
|
|
Total
|
|
Total
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
US$
|
Income (loss) from
operations
|
711,257
|
|
(11,865)
|
|
(13,047)
|
|
686,345
|
|
106,302
|
Share-based
compensation
|
124,582
|
|
(63,924)
|
|
-
|
|
60,658
|
|
9,395
|
Amortization of
intangible assets from
business
acquisitions
|
-
|
|
34,854
|
|
-
|
|
34,854
|
|
5,398
|
Non-GAAP income
(loss) from operations
|
835,839
|
|
(40,935)
|
|
(13,047)
|
|
781,857
|
|
121,095
|
|
|
|
|
|
|
|
|
|
|
Net income
(loss)
|
481,265
|
|
(6,739)
|
|
(13,002)
|
|
461,524
|
|
71,481
|
Share-based
compensation
|
124,582
|
|
(63,924)
|
|
-
|
|
60,658
|
|
9,395
|
Amortization of
intangible assets from
business
acquisitions
|
-
|
|
34,854
|
|
-
|
|
34,854
|
|
5,398
|
Tax impacts
|
-
|
|
(8,714)
|
|
-
|
|
(8,714)
|
|
(1,351)
|
Non-GAAP net income
(loss)
|
605,847
|
|
(44,523)
|
|
(13,002)
|
|
548,322
|
|
84,923
|
|
|
|
|
|
|
|
|
|
|
Hello Group
Inc.
|
Unaudited Condensed
Segment Report
|
(All amounts in
thousands, except share and per share data)
|
|
|
First half
year
|
Ended June 30,
2022
|
|
Momo
|
|
Tantan
|
|
QOOL
|
|
Total
|
|
Total
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
US$
|
Net
revenues:
|
|
|
|
|
|
|
|
|
Live video
service
|
2,887,119
|
|
241,582
|
|
-
|
|
3,128,701
|
|
467,103
|
Value-added
service
|
2,581,559
|
|
438,256
|
|
-
|
|
3,019,815
|
|
450,847
|
Mobile
marketing
|
63,786
|
|
-
|
|
-
|
|
63,786
|
|
9,523
|
Mobile games
|
42,697
|
|
-
|
|
-
|
|
42,697
|
|
6,374
|
Other
services
|
3,172
|
|
-
|
|
322
|
|
3,494
|
|
521
|
Total net
revenues
|
5,578,333
|
|
679,838
|
|
322
|
|
6,258,493
|
|
934,368
|
Cost and expenses
(v):
|
|
|
|
|
|
|
|
|
|
Cost of
revenues
|
(3,276,411)
|
|
(341,911)
|
|
(912)
|
|
(3,619,234)
|
|
(540,337)
|
Research and
development
|
(359,913)
|
|
(128,544)
|
|
-
|
|
(488,457)
|
|
(72,925)
|
Sales and
marketing
|
(704,176)
|
|
(493,458)
|
|
(1,896)
|
|
(1,199,530)
|
|
(179,085)
|
General and
administrative
|
(291,770)
|
|
(16,761)
|
|
(9,050)
|
|
(317,581)
|
|
(47,414)
|
Total cost and
expenses
|
(4,632,270)
|
|
(980,674)
|
|
(11,858)
|
|
(5,624,802)
|
|
(839,761)
|
Other operating
income
|
56,690
|
|
7,769
|
|
42
|
|
64,501
|
|
9,630
|
Income (loss) from
operations
|
1,002,753
|
|
(293,067)
|
|
(11,494)
|
|
698,192
|
|
104,237
|
Interest
income
|
191,249
|
|
104
|
|
134
|
|
191,487
|
|
28,588
|
Interest
expense
|
(47,565)
|
|
-
|
|
-
|
|
(47,565)
|
|
(7,101)
|
Other gain or loss,
net
|
77,922
|
|
-
|
|
-
|
|
77,922
|
|
11,633
|
Income (loss) before
income tax and share
of income on equity
method investments
|
1,224,359
|
|
(292,963)
|
|
(11,360)
|
|
920,036
|
|
137,357
|
Income tax
expenses
|
(295,733)
|
|
(1,086)
|
|
-
|
|
(296,819)
|
|
(44,314)
|
Income (loss) before
share of income on
equity method
investments
|
928,626
|
|
(294,049)
|
|
(11,360)
|
|
623,217
|
|
93,043
|
Share of income on
equity method investments
|
9,913
|
|
-
|
|
-
|
|
9,913
|
|
1,480
|
Net income
(loss)
|
938,539
|
|
(294,049)
|
|
(11,360)
|
|
633,130
|
|
94,523
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(v) Share-based
compensation was allocated in cost of revenues and operating
expenses as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First half
year
|
|
Ended June 30,
2022
|
|
Momo
|
|
Tantan
|
|
QOOL
|
|
Total
|
|
Total
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
US$
|
Cost of
revenues
|
3,999
|
|
6,993
|
|
-
|
|
10,992
|
|
1,641
|
Research and
development
|
36,112
|
|
8,827
|
|
-
|
|
44,939
|
|
6,709
|
Sales and
marketing
|
21,283
|
|
216
|
|
-
|
|
21,499
|
|
3,210
|
General and
administrative
|
149,047
|
|
87
|
|
-
|
|
149,134
|
|
22,265
|
Total cost and
expenses
|
210,441
|
|
16,123
|
|
-
|
|
226,564
|
|
33,825
|
Hello Group
Inc.
|
Reconciliation of
GAAP and NON-GAAP Results of Unaudited Segment
Report
|
(All amounts in
thousands, except share and per share data)
|
|
|
|
|
|
|
|
|
|
|
|
First half
year
|
|
ended June 30,
2022
|
|
Momo
|
|
Tantan
|
|
QOOL
|
|
Total
|
|
Total
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
US$
|
Operating income
(loss)
|
1,002,753
|
|
(293,067)
|
|
(11,494)
|
|
698,192
|
|
104,237
|
Share-based
compensation
|
210,441
|
|
16,123
|
|
-
|
|
226,564
|
|
33,825
|
Non-GAAP operating
income
(loss)
|
1,213,194
|
|
(276,944)
|
|
(11,494)
|
|
924,756
|
|
138,062
|
|
|
|
|
|
|
|
|
|
|
Net income
(loss)
|
938,539
|
|
(294,049)
|
|
(11,360)
|
|
633,130
|
|
94,523
|
Share-based
compensation
|
210,441
|
|
16,123
|
|
-
|
|
226,564
|
|
33,825
|
Non-GAAP net income
(loss)
|
1,148,980
|
|
(277,926)
|
|
(11,360)
|
|
859,694
|
|
128,348
|
Hello Group
Inc.
|
Unaudited Condensed
Segment Report
|
(All amounts in
thousands, except share and per share data)
|
|
|
First half
year
|
Ended June 30,
2021
|
|
Momo
|
|
Tantan
|
|
QOOL
|
|
Total
|
|
Total
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
US$
|
Net
revenues:
|
|
|
|
|
|
|
|
|
|
Live video
service
|
3,595,710
|
|
467,717
|
|
-
|
|
4,063,427
|
|
629,345
|
Value-added
service
|
2,349,235
|
|
613,536
|
|
-
|
|
2,962,771
|
|
458,875
|
Mobile
marketing
|
90,318
|
|
-
|
|
-
|
|
90,318
|
|
13,988
|
Mobile games
|
20,366
|
|
-
|
|
-
|
|
20,366
|
|
3,154
|
Other
services
|
3,674
|
|
-
|
|
1,754
|
|
5,428
|
|
841
|
Total net
revenues
|
6,059,303
|
|
1,081,253
|
|
1,754
|
|
7,142,310
|
|
1,106,203
|
Cost and expenses
(vi):
|
|
|
|
|
|
|
|
|
|
Cost of
revenues
|
(3,453,399)
|
|
(547,186)
|
|
(7,989)
|
|
(4,008,574)
|
|
(620,849)
|
Research and
development
|
(400,701)
|
|
(154,117)
|
|
-
|
|
(554,818)
|
|
(85,930)
|
Sales and
marketing
|
(705,767)
|
|
(556,976)
|
|
(1,066)
|
|
(1,263,809)
|
|
(195,739)
|
General and
administrative
|
(300,356)
|
|
45,084
|
|
(9,437)
|
|
(264,709)
|
|
(40,998)
|
Total cost and
expenses
|
(4,860,223)
|
|
(1,213,195)
|
|
(18,492)
|
|
(6,091,910)
|
|
(943,516)
|
Other operating
income
|
85,406
|
|
30,736
|
|
26
|
|
116,168
|
|
17,992
|
Income (loss) from
operations
|
1,284,486
|
|
(101,206)
|
|
(16,712)
|
|
1,166,568
|
|
180,679
|
Interest
income
|
190,455
|
|
596
|
|
91
|
|
191,142
|
|
29,604
|
Interest
expense
|
(36,663)
|
|
-
|
|
-
|
|
(36,663)
|
|
(5,678)
|
Other gain or loss,
net
|
(18,000)
|
|
-
|
|
-
|
|
(18,000)
|
|
(2,788)
|
Income (loss) before
income tax and share
of income on equity
method investments
|
1,420,278
|
|
(100,610)
|
|
(16,621)
|
|
1,303,047
|
|
201,817
|
Income tax (expenses)
benefits
|
(389,946)
|
|
7,039
|
|
-
|
|
(382,907)
|
|
(59,305)
|
Income (loss) before
share of income on
equity method
investments
|
1,030,332
|
|
(93,571)
|
|
(16,621)
|
|
920,140
|
|
142,512
|
Share of income on
equity method
investments
|
2,303
|
|
-
|
|
-
|
|
2,303
|
|
357
|
Net income
(loss)
|
1,032,635
|
|
(93,571)
|
|
(16,621)
|
|
922,443
|
|
142,869
|
|
|
|
|
|
|
|
|
|
|
(vi) Share-based
compensation was allocated in cost of revenues and operating
expenses as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First half
year
|
|
ended June 30,
2021
|
|
Momo
|
|
Tantan
|
|
QOOL
|
|
Total
|
|
Total
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
US$
|
Cost of
revenues
|
4,965
|
|
2,960
|
|
-
|
|
7,925
|
|
1,227
|
Research and
development
|
60,188
|
|
13,986
|
|
-
|
|
74,174
|
|
11,488
|
Sales and
marketing
|
25,877
|
|
6,267
|
|
-
|
|
32,144
|
|
4,978
|
General and
administrative
|
160,792
|
|
(69,120)
|
|
-
|
|
91,672
|
|
14,198
|
Total cost and
expenses
|
251,822
|
|
(45,907)
|
|
-
|
|
205,915
|
|
31,891
|
Hello Group
Inc.
|
Reconciliation of
GAAP and NON-GAAP Results of Unaudited Segment
Report
|
(All amounts in
thousands, except share and per share data)
|
|
|
|
|
|
|
|
|
|
|
|
First half
year
|
|
ended June 30,
2021
|
|
Momo
|
|
Tantan
|
|
QOOL
|
|
Total
|
|
Total
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
US$
|
Operating income
(loss)
|
1,284,486
|
|
(101,206)
|
|
(16,712)
|
|
1,166,568
|
|
180,679
|
Share-based
compensation
|
251,822
|
|
(45,907)
|
|
-
|
|
205,915
|
|
31,891
|
Amortization of
intangible assets
from business
acquisitions
|
-
|
|
70,553
|
|
-
|
|
70,553
|
|
10,928
|
Non-GAAP operating
income
(loss)
|
1,536,308
|
|
(76,560)
|
|
(16,712)
|
|
1,443,036
|
|
223,498
|
|
|
|
|
|
|
|
|
|
|
Net income
(loss)
|
1,032,635
|
|
(93,571)
|
|
(16,621)
|
|
922,443
|
|
142,869
|
Share-based
compensation
|
251,822
|
|
(45,907)
|
|
-
|
|
205,915
|
|
31,891
|
Amortization of
intangible assets
from business
acquisitions
|
-
|
|
70,553
|
|
-
|
|
70,553
|
|
10,928
|
Tax
impacts
|
-
|
|
(17,639)
|
|
-
|
|
(17,639)
|
|
(2,732)
|
Non-GAAP net income
(loss)
|
1,284,457
|
|
(86,564)
|
|
(16,621)
|
|
1,181,272
|
|
182,956
|
View original
content:https://www.prnewswire.com/news-releases/hello-group-inc-announces-unaudited-financial-results-for-the-second-quarter-of-2022-301616157.html
SOURCE Hello Group Inc.