Cian PLC Announces Third Quarter 2021 Financial Results
Cian PLC (NYSE: CIAN) reported a 44% year-on-year revenue increase in Q3 2021, reaching RUB 1,557 million ($21.4 million). Adjusted EBITDA surged 78% to RUB 151 million ($2.1 million), with a margin improvement of 1.8 ppt to 9.7%. However, the net loss widened by 25% year-on-year, amounting to RUB 299 million ($4.1 million). Core Business revenue also grew 41% to RUB 1,470 million, supported by a strengthened monetization strategy and a successful launch of new services like Cian.Transaction.
- 44% year-on-year revenue growth to RUB 1,557 million.
- Adjusted EBITDA increased by 78% to RUB 151 million.
- Core Business revenue up by 41% to RUB 1,470 million.
- Core Business Adjusted EBITDA margin improved by 6.9 ppt to 23.1%.
- Successful launch of new online transaction services.
- Net loss increased by 25% year-on-year to RUB 299 million.
- Operating expenses rose 41% to RUB 1,842 million.
LARNACA,
Third Quarter 2021 Key Financial and Operational Highlights1
-
Revenue increased by
44% Y-o-Y toRUB 1 557 million ($21.4 million -
Adjusted EBITDA2 increased by
78% Y-o-Y toRUB 151 million ($2.1 million -
Adjusted EBITDA Margin2 improved by 1.8 ppt Y-o-Y and reached
9.7% . -
Net loss for the period widened by
25% Y-o-Y toRUB 299 million ($4.1 million -
Average UMV (Unique Monthly Visitors)3 increased by
4% Y-o-Y to 18.7 million.
-
Core Business revenue increased by
41% Y-o-Y toRUB 1 470 million ($20.2 million -
Core Business Adjusted EBITDA4 increased by
102% YoY toRUB 340 million ($4.7 million -
Core Business Adjusted EBITDA Margin2,5 improved by 6.9 ppt Y-o-Y and reached
23.1% .
| __________________________ |
1 Dollar translations throughout this release are included solely for the convenience of the reader and were calculated at the exchange rate quoted by the |
2 Adjusted EBITDA, Adjusted EBITDA Margin and Core Business Adjusted EBITDA Margin are non-IFRS measures. See “Non-IFRS Financial Measures and Supplemental Financial Information” elsewhere in this release for a description of these measures and their reconciliation from the most directly comparable IFRS financial measures. |
3 Average Unique Monthly Visitors (UMV) means the average number of users and customers visiting our platform (websites and mobile application) per month in a particular period, excluding bots. Average UMV for a particular period is calculated by aggregating the UMV for each month within such period and dividing by the number of months. For 2020, 2019 and their respective interim periods, Average UMV is calculated based on |
4 Core Business Adjusted EBITDA, Mortgage Marketplace Adjusted EBITDA, Valuation and Analytics Adjusted EBITDA, C2C Rental Adjusted EBITDA and End-to-End Offerings Adjusted EBITDA presented in this release are our segment measures of profit or loss and, therefore, are not considered non-IFRS financial measures. The sum of Core Business Adjusted EBITDA, Mortgage Marketplace Adjusted EBITDA, Valuation and Analytics Adjusted EBITDA, C2C Rental Adjusted EBITDA and End-to-End Offerings Adjusted EBITDA differs from Adjusted EBITDA because Core Business Adjusted EBITDA, Mortgage Marketplace Adjusted EBITDA, Valuation and Analytics Adjusted EBITDA, C2C Rental Adjusted EBITDA and End-to-End Offerings Adjusted EBITDA include adjustments for lease-related amortization and interest, capitalized development costs, and operating expense related to software licenses. See “Non-IFRS Financial Measures and Supplemental Financial Information” elsewhere in this release for a description of these measures. |
5 Defined as Core Business Adjusted EBITDA divided by Core Business revenue for the respective periods. Adjusted EBITDA, Adjusted EBITDA Margin and Core Business Adjusted EBITDA Margin are non-IFRS measures. See “Non-IFRS Financial Measures and Supplemental Financial Information” elsewhere in this release for a description of these measures and their reconciliation from the most directly comparable IFRS financial measures. |
Third Quarter 2021 Product and Corporate Events Highlights
-
Re-launch of monetization in secondary residential and commercial real estate verticals in 12 regions bringing the total number of monetized regions to 21 (including
Moscow , theMoscow region,Saint Petersburg and the Leningrad region). - Successful launch of Cian.Transaction, a new online transaction service that enables execution of real estate transactions online, including document checking, verification, signing, letter of credit services and registration.
-
Appointment of a Board of Directors, in connection with our initial public offering (“IPO”), comprised of top technology and property tech industry experts and finance professionals, including
Simon Baker (former CEO of REA Group and seasoned tech investor),Chloe Harford (former senior vice president of strategy at Zillow Group),Gilles Blanchard (founder of SeLoger and early investor in Zameen) andDouglas Gardner (Board Member and Chair of Audit Committee at Kaspi.kz).
Third Quarter 2021 Results
Factors affecting year over year trends and comparisons6
When reviewing year over year dynamics for 2021 versus 2020 we believe it is important to take into account certain factors that affected the Russian real estate market demand and supply as well as corresponding annual and quarterly trends in 2020.
We believe that quarterly trends in the real estate market in 2020 were particularly characterized by the following events: (i) measures introduced by the government to contain the spread of the COVID-19 pandemic including primarily lockdowns in
| __________________________ |
6 For the full disclosure of the Impact of the COVID-19 pandemic on our operations and financial position please see the relevant section of this release |
Revenue
Revenue for the three months ended
The following table sets forth a breakdown of our revenue by segment and type for the periods indicated:
|
Three months ended (unaudited) |
|||
|
September
|
September
|
September
|
Y-o-Y
|
|
RUB |
RUB |
USD (1) |
|
Total Revenue |
1 081 |
1 557 |
21.4 |
|
Core Business, including |
1 039 |
1 470 |
20.2 |
|
Listing revenue |
644 |
955 |
13.1 |
|
Lead generation revenue |
285 |
348 |
4.8 |
|
Display advertising revenue |
108 |
161 |
2.2 |
|
|
26 |
72 |
1.0 |
|
Valuation and Analytics |
15 |
7 |
0.1 |
( |
C2C Rental |
1 |
1 |
0.0 |
|
End-to-End Offerings |
- |
7 |
0.1 |
|
1 Dollar translations throughout this release are included solely for the convenience of the reader and were calculated at the exchange rate quoted by the |
Core Business segment revenue
Core business revenue reached
Core business revenue in
Listing revenue (secondary and commercial real estate verticals)
Listing revenue increased by
The following table presents the listing revenue, the number of listings and the average daily revenue per listing for the periods indicated:
| Three months ended (unaudited) | ||||||
| September 30, 2020 |
September 30, 2021 |
Y-o-Y growth |
||||
| Listing revenue, including (RUB, million) | 644 |
955 |
|
|||
| Moscow and Moscow Region | 511 |
640 |
|
|||
| Other Russian Regions | 133 |
315 |
|
|||
| Listings(1), including (million) | 2.38 |
1.90 |
( |
|||
| Moscow and Moscow Region | 0.37 |
0.31 |
( |
|||
| Other Russian Regions | 2.01 |
1.59 |
( |
|||
| Average daily revenue per listing(2) (RUB) | 3.0 |
5.5 |
|
|||
| Moscow and Moscow Region | 15.1 |
22.7 |
|
|||
| Other Russian Regions | 0.7 |
2.1 |
|
|||
| 1 Listings means the daily average number of real estate listings posted on our platform by agents and individual sellers for a particular period |
2 Average daily revenue per listing is calculated as listing revenue divided (i) by the total number of listings for the corresponding period and (ii) by the number of days during the period |
We believe that the growth of the Сore Business listing revenue was primarily driven by the following factors:
-
re-launch of monetization of listing services following its temporary suspension from
April 2020 due to the COVID-19 pandemic. This includes the effect of the listing services monetization re-launch inMoscow , theMoscow region,St. Petersburg and the Leningrad region inJune 2020 that was partially offset by certain discounts offered in the third quarter of 2020 as well as continued re-launch of monetization in certain other Russian regions with the total number of monetized regions (where base listing services in both secondary residential and commercial listing are monetized) reaching 21 (including our core markets ofMoscow , theMoscow region,Saint Petersburg and the Leningrad region) as ofSeptember 30, 2021 ; - listings services price increase in the first quarter of 2021, which was implemented as a part of regular review of listing rates;
-
increasing penetration of the subscription model with over
49% of listing revenue coming from subscriptions in the three months endedSeptember 30, 2021 as compared to only16% in the comparable period of the prior year; and -
revenue contribution from the
N1 Group , which was acquired inFebruary 2021 .
Listing revenue growth was partially offset by changes into the VAT exemption rules under the Russian Tax Code which came into effect on
In the three months ended
Lead generation and display advertising revenue (primary real estate vertical)
Lead generation revenue increased by
The growth of Core Business lead generation revenue was driven mainly by the increase in the average revenue per lead to developers. Increase in the average revenue per lead to developers resulted primarily from price increases, which were introduced on the lead generation products in
Operating expenses
Total operating expenses increased by
The following table sets forth a breakdown of our operating expenses for the periods indicated:
|
Three months ended (unaudited) |
|||
|
September
|
September
|
September
|
Y-o-Y
|
|
RUB |
RUB |
USD (1) |
|
Operating expenses |
1 302 |
1 842 |
25.3 |
|
Marketing expenses |
503 |
593 |
8.1 |
|
Employee-related expenses, including |
645 |
916 |
12.6 |
|
Wages, salaries and related taxes |
384 |
568 |
7.8 |
|
Share-based payment expense |
254 |
315 |
4.3 |
|
IT expenses |
64 |
144 |
2.0 |
|
Depreciation and amortization |
52 |
72 |
1.0 |
|
Other operating expenses, including |
38 |
117 |
1.6 |
|
IPO related expenses |
- |
49 |
0.7 |
|
1 Dollar translations throughout this release are included solely for the convenience of the reader and were calculated at the exchange rate quoted by the
Employee-related expenses
Employee-related expenses increased by
Wages, salaries and related taxes as a percentage of revenue was flat year over year amounting to approximately
Marketing expenses
Marketing expenses increased to
Marketing expenses as a percentage of revenue decreased to
IT expenses
IT expenses increased by
Other operating expenses
Other operating expenses increased by
Adjusted EBITDA and Adjusted EBITDA Margin
Adjusted EBITDA for the three months ended
Adjusted EBITDA Margin improved by 1.8 ppt reaching
Core Business Adjusted EBITDA increased by
Core Business Adjusted EBITDA Margin improved by 6.9 ppt reaching
Mortgage Marketplace Adjusted EBITDA was a negative
Net loss
Loss for the three months ended
Recent Developments
Settlement of the Phantom Share Program
Prior to the IPO, we had a long-term incentive program for certain senior employees, which provided for cash payments based on the value of our ordinary shares upon occurrence of certain liquidity events, such as the IPO (the "Phantom Share Program"). The amount of the cash payment in respect of a vested phantom share is determined based on the increase in our ordinary share price between the grant date and the time of payment. In connection with the IPO, we amended the terms of the long-term incentive program, such that the employees may choose to receive payment for vested phantom shares in cash or in ordinary shares upon the completion of this offering.
Starting from 2015, we have granted phantom share awards equivalent to an aggregate of 4,923,042 phantom shares to 30 employees (including four former employees),
Consequently, to satisfy our outstanding obligations under the Phantom Share Program that arose as a result of the IPO, we plan to pay approximately
Outlook
The following forward-looking statement reflects our expectations regarding our performance as of
We currently expect our revenue to grow in the range of
This outlook reflects our current views and expectations only and is based on the trends we see as of the day of this press release. If such trends were to deteriorate or improve further the impact on our business and operations could deviate from than currently expected.
The Company reserves the right to revise guidance in the course of the year or when additional information regarding the effect of the ongoing events becomes available.
Impact of COVID-19 on Our Operations and Financial Position
Since its outbreak in
The COVID-19 pandemic, its broad impact and preventive measures taken to contain or mitigate the pandemic have had, and are likely to continue to have, significant negative effects on the Russian and global economy, employment levels, employee productivity, residential and commercial real estate and financial markets. This, in turn, has and may increasingly have a negative impact on our customers and users, their ability to effectuate real estate transactions, and in turn, our profitability and ability to operate our business.
In 2020, in response to the COVID-19 pandemic, we introduced several measures to mitigate its effects on our business as well as customer and user base. Specifically, to support our customers in these unprecedented circumstances, from
Furthermore, during the COVID-19 pandemic crisis in 2020, we optimized our marketing and advertising expenses in order to align our marketing budgets with the suspension in monetization discussed above. Additionally, we also reduced discretionary spending and paused hiring for non-critical roles. Overall, we believe that the combination of these cost optimization efforts and changes in our monetization approach helped us to address the COVID-19 pandemic crisis in 2020.
The broader macroeconomic environment remains highly uncertain, and we are continuing to closely monitor the impact of the COVID-19 pandemic on our market, customers, users and business, which may continue to affect our financial results going forward.
Third Quarter 2021 Financial Results Conference Call
Cian will host a conference call and webcast on
To participate in the conference call, please use the following details:
|
+7 495 2839 705 |
|
020 3936 2999 |
|
+1 646 664 1960 |
All other locations: |
+44 20 3936 2999 |
Access code: |
642784 |
Our join the webcast:
https://streams.eventcdn.net/cianplc/2021-q3
About Cian
Cian is a leading online real estate classifieds platform in the large, underpenetrated and growing Russian real estate classifieds market, with a strong presence across
Source:
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Any express or implied statements contained in this press release that are not statements of historical fact may be deemed to be forward-looking statements, including, without limitation, statements regarding our financial outlook for 2021 and long-term growth strategy, as well as statements that include the words “target,” “believe,” “expect,” “aim,” “intend, intend,” may,” “anticipate,” “estimate,” “plan,” “project,” “will,” “can have,” “likely,” “should,” “would,” “could” and other words and terms of similar meaning or the negative thereof. Forward-looking statements are neither promises nor guarantees, but involve known and unknown risks and uncertainties that could cause actual results to differ materially from those projected, including, without limitation: our ability to maintain our leading market positions, particularly in
Any forward-looking statements contained in this press release speak only as of the date hereof and accordingly undue reliance should not be placed on such statements. We disclaim any obligation or undertaking to update or revise any forward-looking statements contained in this press release, whether as a result of new information, future events or otherwise, other than to the extent required by applicable law.
Unaudited Interim Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income (in millions of RUB and USD, except share and per share amounts)
|
Three months ended (unaudited) |
|||||
September
|
|
September
|
|
September
|
||
|
RUB |
|
RUB |
|
USD(1) |
|
|
|
|
|
|
|
|
Revenue |
|
1 081 |
|
1 557 |
|
21.4 |
|
|
|
|
|
|
|
Operating expenses: |
|
|
|
|
|
|
Marketing expenses |
|
(503) |
|
(593) |
|
(8.1) |
Employee-related expenses |
|
(645) |
|
(916) |
|
(12.6) |
IT expenses |
|
(64) |
|
(144) |
|
(2.0) |
Depreciation and amortization |
|
(52) |
|
(72) |
|
(1.0) |
Other operating expenses |
|
(38) |
|
(117) |
|
(1.6) |
Total operating expenses |
|
(1 302) |
|
(1 842) |
|
(25) |
|
|
|
|
|
|
|
Operating loss |
|
(221) |
|
(285) |
|
(3.9) |
Finance costs |
|
(19) |
|
(15) |
|
(0.2) |
Finance income |
|
3 |
|
5 |
|
0.1 |
Foreign currency exchange loss, net |
|
- |
|
(1) |
|
(0.0) |
Loss before income tax |
|
(237) |
|
(296) |
|
(4.1) |
Income tax expense |
|
(3) |
|
(3) |
|
(0.0) |
Loss for the period |
|
(240) |
|
(299) |
|
(4.1) |
Total comprehensive loss for the period |
|
(240) |
|
(299) |
|
(4.1) |
|
|
|
|
|
|
|
Loss per share |
|
|
|
|
|
|
Basic and diluted loss per share attributable to ordinary equity holders of the parent |
|
(4) |
|
(5) |
|
(0.1) |
Basic and diluted weighted average number of ordinary shares, in thousand |
59 433 |
|
65 000 |
|
65 000 |
|
1Dollar translations throughout this release are included solely for the convenience of the reader and were calculated at the exchange rate quoted by the |
Unaudited Interim Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income (in millions of RUB and USD, except share and per share amounts)
|
Nine months ended (unaudited) |
||||
|
September
|
|
September
|
|
September
|
|
RUB |
|
RUB |
|
USD(1) |
|
|
|
|
|
|
Revenue |
2 723 |
|
4 261 |
|
58.6 |
|
|
|
|
|
|
Operating expenses: |
|
|
|
|
|
Marketing expenses |
(1 139) |
|
(1 722) |
|
(23.7) |
Employee-related expenses |
(1 723) |
|
(3 548) |
|
(48.8) |
IT expenses |
(207) |
|
(373) |
|
(5.1) |
Depreciation and amortization |
(151) |
|
(206) |
|
(2.8) |
Other operating expenses |
(124) |
|
(338) |
|
(4.6) |
Total operating expenses |
(3 344) |
|
(6 187) |
|
(85) |
|
|
|
|
|
|
Operating loss |
(621) |
|
(1 926) |
|
(26.5) |
Finance costs |
(55) |
|
(46) |
|
(0.6) |
Finance income |
7 |
|
12 |
|
0.2 |
Foreign currency exchange loss, net |
- |
|
(28) |
|
(0.4) |
Loss before income tax |
(669) |
|
(1 988) |
|
(27.3) |
Income tax benefit |
24 |
|
19 |
|
0.3 |
Loss for the period |
(645) |
|
(1 969) |
|
(27.1) |
Total comprehensive loss for the period |
(645) |
|
(1 969) |
|
(27.1) |
|
|
|
|
|
|
Loss per share |
|
|
|
|
|
Basic and diluted loss per share attributable to ordinary equity holders of the parent |
(11) |
|
(31) |
|
(0.4) |
Basic and diluted weighted average number of ordinary shares, in thousand |
59 433 |
|
64 168 |
|
64 168 |
1Dollar translations throughout this release are included solely for the convenience of the reader and were calculated at the exchange rate quoted by the |
Unaudited Interim Condensed Consolidated Statement of Financial Position (in millions of RUB and USD)
|
|
As of |
||||
|
|
December
|
|
September
|
|
September
|
RUB |
|
RUB |
|
USD(1) |
||
Assets |
|
|
|
|
|
|
Non-current assets |
|
|
|
|
|
|
Property and equipment |
|
31 |
|
46 |
|
0.6 |
Right-of-use assets |
|
125 |
|
110 |
|
1.5 |
|
|
- |
|
785 |
|
10.8 |
Intangible assets |
|
257 |
|
1 216 |
|
16.7 |
Deferred tax assets |
|
237 |
|
248 |
|
3.4 |
Other non-current assets |
|
9 |
|
17 |
|
0.2 |
Total non-current assets |
|
659 |
|
2 422 |
|
33.3 |
|
|
|
|
|
|
|
Current assets |
|
|
|
|
|
|
Advances paid and prepaid expenses |
|
88 |
|
74 |
|
1.0 |
Trade and other receivables |
|
154 |
|
258 |
|
3.5 |
Prepaid income tax |
|
- |
|
6 |
|
0.1 |
Cash and cash equivalents |
|
449 |
|
849 |
|
11.7 |
Other current assets |
|
20 |
|
111 |
|
1.5 |
Total current assets |
|
711 |
|
1 298 |
|
17.8 |
Total assets |
|
1 370 |
|
3 720 |
|
51.1 |
|
|
|
|
|
|
|
Equity and liabilities |
|
|
|
|
|
|
Equity |
|
|
|
|
|
|
Share capital |
|
- |
|
2 |
|
0.0 |
Share premium |
|
125 |
|
2 416 |
|
33.2 |
Accumulated losses |
|
(997) |
|
(2 966) |
|
(40.8) |
Total equity |
|
(872) |
|
(548) |
|
(7.5) |
|
|
|
|
|
|
|
Liabilities |
|
|
|
|
|
|
Non-current liabilities |
|
|
|
|
|
|
Employee share-based payment liability |
|
636 |
|
- |
|
- |
Lease liabilities |
|
77 |
|
58 |
|
0.8 |
Deferred tax liabilities |
|
28 |
|
138 |
|
1.9 |
Total non-current liabilities |
|
741 |
|
196 |
|
2.7 |
|
|
|
|
|
|
|
Current liabilities |
|
|
|
|
|
|
Employee share-based payment liability |
|
- |
|
2 421 |
|
33.3 |
Borrowings |
|
728 |
|
450 |
|
6.2 |
Contract liabilities |
|
332 |
|
381 |
|
5.2 |
Trade and other payables |
|
316 |
|
573 |
|
7.9 |
Income tax payable |
|
15 |
|
2 |
|
0.0 |
Other taxes payable |
|
74 |
|
204 |
|
2.8 |
Lease liabilities |
|
36 |
|
41 |
|
0.6 |
Total current liabilities |
|
1 501 |
|
4 072 |
|
56.0 |
Total liabilities |
|
2 242 |
|
4 268 |
|
58.7 |
Total liabilities and equity |
|
1 370 |
|
3 720 |
|
51.1 |
1Dollar translations throughout this release are included solely for the convenience of the reader and were calculated at the exchange rate quoted by the |
Unaudited Interim Condensed Consolidated Statement of Cash Flows (in millions of RUB and USD)
|
Nine months ended (unaudited) |
||||
|
September
|
|
September
|
|
September
|
|
RUB |
|
RUB |
|
USD(1) |
Cash flows from operating activities |
|
|
|
|
|
Loss before income tax |
(669) |
|
(1 988) |
|
(27.3) |
Adjusted for: |
|
|
|
|
|
Depreciation and amortization |
151 |
|
206 |
|
2.8 |
Employee share-based payment expense |
503 |
|
1 785 |
|
24.5 |
Finance income |
(7) |
|
(12) |
|
(0.2) |
Finance costs |
55 |
|
46 |
|
0.6 |
Foreign currency exchange loss, net |
- |
|
28 |
|
0.4 |
Changes in allowances on trade receivables and advances paid |
- |
|
3 |
|
0.0 |
Other non-cash items |
(1) |
|
2 |
|
0.0 |
Working capital changes: |
|
|
|
|
|
Increase in trade and other receivables |
(68) |
|
(97) |
|
(1.3) |
Decrease / (increase) in advances paid and prepaid expenses |
(10) |
|
6 |
|
0.1 |
Increase in other assets |
(13) |
|
(57) |
|
(0.8) |
Increase in trade and other payables |
41 |
|
190 |
|
2.6 |
Increase in contract liabilities |
107 |
|
28 |
|
0.4 |
Increase in other liabilities |
103 |
|
111 |
|
1.5 |
Cash generated from operating activities |
192 |
|
251 |
|
3.4 |
Income tax paid |
(24) |
|
(20) |
|
(0.3) |
Interest received |
7 |
|
9 |
|
0.1 |
Interest paid |
(54) |
|
(45) |
|
(0.6) |
Net cash generated from operating activities |
121 |
|
195 |
|
2.7 |
|
|
|
|
|
|
Cash flows from investing activities |
|
|
|
|
|
Acquisition of a subsidiary, net of cash acquired |
- |
|
(1 651) |
|
(22.7) |
Purchase of property and equipment |
(15) |
|
(37) |
|
(0.5) |
Purchase of intangible assets |
(61) |
|
(57) |
|
(0.8) |
Loan issued to a related party |
- |
|
(6) |
|
(0.1) |
Loans collected from employees |
2 |
|
- |
|
- |
Net cash used in investing activities |
(74) |
|
(1 751) |
|
(24.1) |
|
|
|
|
|
|
Cash flows from financing activities |
|
|
|
|
|
Proceeds from the issue of ordinary shares |
- |
|
2 265 |
|
31.1 |
Proceeds from borrowings |
320 |
|
- |
|
- |
Repayment of borrowings |
- |
|
(279) |
|
(3.8) |
Payment of principal portion of lease liabilities |
(50) |
|
(29) |
|
(0.4) |
Net cash generated from financing activities |
270 |
|
1 957 |
|
26.9 |
|
|
|
|
|
|
Net increase in cash and cash equivalents |
317 |
|
401 |
|
5.5 |
Cash and cash equivalents at the beginning of the period |
148 |
|
449 |
|
6.2 |
Effect of exchange rate changes on cash and cash equivalents |
1 |
|
(1) |
|
(0.0) |
Cash and cash equivalents at the end of the period |
466 |
|
849 |
|
11.7 |
1Dollar translations throughout this release are included solely for the convenience of the reader and were calculated at the exchange rate quoted by the |
Non-IFRS Financial Measures and Supplemental Financial Information
Use of Non-IFRS Financial Measures
We use Adjusted EBITDA, Core Business Adjusted EBITDA for
Adjusted EBITDA, Core Business Adjusted EBITDA for
-
they exclude depreciation and amortization expense and, although these are non-cash expenses, the assets being depreciated may have to be replaced in the future, increasing our cash requirements;
-
they do not reflect interest expense, or the cash required to service our debt, which reduces cash available to us;
-
they do not reflect income tax payments that reduce cash available to us;
-
they do not reflect share-based compensation expenses and, therefore, do not include all of our employee-related expenses; and
- other companies, including companies in our industry, may calculate those measures differently, which reduces their usefulness as comparative measures.
The sum of Core Business Adjusted EBITDA, Mortgage Marketplace Adjusted EBITDA, Valuation and Analytics Adjusted EBITDA, C2C Rental Adjusted EBITDA and End-to-End Offerings Adjusted EBITDA differs from Adjusted EBITDA because Core Business Adjusted EBITDA, Mortgage Marketplace Adjusted EBITDA, Valuation and Analytics Adjusted EBITDA, C2C Rental Adjusted EBITDA and End-to-End Offerings Adjusted EBITDA presented in the table below are our segment measures of profit or loss and, therefore, are not considered non IFRS financial measures and include adjustments for lease related amortization and interest, capitalized development costs, and operating expense related to software licenses.
The tables below provide detailed reconciliations of each non-IFRS financial measure we use from the most directly comparable IFRS financial measure.
Reconciliation of Adjusted EBITDA from net loss for the period, the most directly comparable IFRS financial measure
|
Three months ended (unaudited) |
||||
|
September
|
|
September
|
|
September
|
|
RUB |
|
RUB |
|
USD(1) |
Loss for the period |
(240) |
|
(299) |
|
(4.1) |
Income tax expense |
3 |
|
3 |
|
0.0 |
Loss before income tax |
(237) |
|
(296) |
|
(4.1) |
Depreciation and amortization |
52 |
|
72 |
|
1.0 |
Finance expenses, net (2) |
16 |
|
10 |
|
0.1 |
Foreign currency exchange loss, net |
- |
|
1 |
|
0.0 |
Share-based payment expenses |
254 |
|
315 |
|
4.3 |
IPO-related costs |
- |
|
49 |
|
0.7 |
Adjusted EBITDA (3) |
85 |
|
151 |
|
2.1 |
Adjusted EBITDA Margin (4) |
|
|
|
|
|
|
Nine months ended (unaudited) |
||||
|
September
|
|
September
|
|
September
|
|
RUB |
|
RUB |
|
USD(1) |
Loss for the period |
(645) |
|
(1 969) |
|
(27.1) |
Income tax benefit |
(24) |
|
(19) |
|
(0.3) |
Loss before income tax |
(669) |
|
(1 988) |
|
(27.3) |
Depreciation and amortization |
151 |
|
206 |
|
2.8 |
Finance expenses, net (2) |
48 |
|
34 |
|
0.5 |
Foreign currency exchange loss, net |
- |
|
28 |
|
0.4 |
Share-based payment expenses |
503 |
|
1 785 |
|
24.5 |
IPO-related costs |
- |
|
137 |
|
1.9 |
Adjusted EBITDA (3) |
33 |
|
202 |
|
2.8 |
Adjusted EBITDA Margin (4) |
|
|
|
|
|
1Dollar translations throughout this release are included solely for the convenience of the reader and were calculated at the exchange rate quoted by the |
2Comprises finance costs and finance income for the respective periods |
3Defined as loss for the period adjusted to exclude income tax benefit, finance costs, finance income, foreign currency exchange loss, net, depreciation and amortization, share-based payments under our equity-based incentive program consisting of phantom share options and IPO-related costs |
4 Defined as Adjusted EBITDA divided by revenue for the respective periods |
Segment Data and Reconciliation of Adjusted EBITDA, Core Business Adjusted EBITDA, Mortgage Marketplace Adjusted EBITDA, Valuation and Analytics Adjusted EBITDA, C2C Rental Adjusted EBITDA and End-to-End Offerings Adjusted EBITDA2
|
Three months ended (unaudited) |
||||
|
September
|
|
September
|
|
September
|
|
RUB |
|
RUB |
|
USD(1) |
Adjusted EBITDA |
85 |
|
151 |
|
2.1 |
Capitalized development costs |
(15) |
|
- |
|
- |
Reclassification of lease related amortization and interest |
(19) |
|
(12) |
|
(0.2) |
Reclassification of operating expense related to software licenses to amortization |
(8) |
|
(14) |
|
(0.2) |
|
|
|
|
|
|
|
43 |
|
125 |
|
1.7 |
Core Business Adjusted EBITDA |
168 |
|
340 |
|
4.7 |
Core Business Adjusted EBITDA for |
511 |
|
629 |
|
8.6 |
Core Business Adjusted EBITDA for Other regions (3) |
(343) |
|
(289) |
|
(4.0) |
Mortgage Marketplace Adjusted EBITDA |
(65) |
|
(120) |
|
(1.6) |
Valuation and Analytics Adjusted EBITDA |
(26) |
|
(10) |
|
(0.1) |
C2C Rental Adjusted EBITDA |
(34) |
|
(34) |
|
(0.5) |
End-to-End Offerings Adjusted EBITDA |
- |
|
(51) |
|
(0.7) |
|
Nine months ended (unaudited) |
||||
|
September
|
|
September
|
|
September
|
|
RUB |
|
RUB |
|
USD(1) |
Adjusted EBITDA |
33 |
|
202 |
|
2.8 |
Capitalized development costs |
(31) |
|
- |
|
- |
Reclassification of lease related amortization and interest |
(56) |
|
(42) |
|
(0.6) |
Reclassification of operating expense related to software licenses to amortization |
(22) |
|
(34) |
|
(0.5) |
|
|
|
|
|
|
|
-76 |
|
126 |
|
1.7 |
Core Business Adjusted EBITDA |
278 |
|
746 |
|
10.3 |
Core Business Adjusted EBITDA for |
1 129 |
|
1 699 |
|
23.4 |
Core Business Adjusted EBITDA for Other regions (3) |
(851) |
|
(953) |
|
(13.1) |
Mortgage Marketplace Adjusted EBITDA |
(162) |
|
(352) |
|
(4.8) |
Valuation and Analytics Adjusted EBITDA |
(95) |
|
(46) |
|
(0.6) |
C2C Rental Adjusted EBITDA |
(97) |
|
(105) |
|
(1.4) |
End-to-End Offerings Adjusted EBITDA |
- |
|
(117) |
|
(1.6) |
1Dollar translations throughout this release are included solely for the convenience of the reader and were calculated at the exchange rate quoted by the |
2The sum of Core Business Adjusted EBITDA, Mortgage Marketplace Adjusted EBITDA, Valuation and Analytics Adjusted EBITDA, C2C Rental Adjusted EBITDA and End-to-End Offerings Adjusted EBITDA differs from Adjusted EBITDA because Core Business Adjusted EBITDA, Mortgage Marketplace Adjusted EBITDA, Valuation and Analytics Adjusted EBITDA, C2C Rental Adjusted EBITDA and End-to-End Offerings Adjusted EBITDA presented in the table below are our segment measures of profit or loss and, therefore, are not considered non IFRS financial measures and include adjustments for lease related amortization and interest, capitalized development costs, and operating expense related to software licenses |
3For the purpose of calculating Core Business Adjusted EBITDA for |
Other Historical Operational Data
|
Average UMV (1)
|
|
Listings (2)
|
|
Listings
|
|
Listings Other
|
|
Leads to
|
|
12.7 |
|
1.98 |
|
0.38 |
|
1.60 |
|
48.0 |
|
12.6 |
|
1.98 |
|
0.39 |
|
1.59 |
|
41.5 |
|
14.0 |
|
1.92 |
|
0.37 |
|
1.55 |
|
45.8 |
|
14.1 |
|
1.78 |
|
0.35 |
|
1.43 |
|
44.3 |
|
15.5 |
|
1.74 |
|
0.32 |
|
1.42 |
|
54.1 |
|
14.9 |
|
2.30 |
|
0.46 |
|
1.83 |
|
50.0 |
|
18.0 |
|
2.38 |
|
0.37 |
|
2.01 |
|
75.2 |
|
17.6 |
|
2.14 |
|
0.32 |
|
1.82 |
|
66.0 |
|
21.0 |
|
2.04 |
|
0.30 |
|
1.74 |
|
60.4 |
|
19.7 |
|
2.25 |
|
0.32 |
|
1.93 |
|
53.5 |
|
18.7 |
|
1.90 |
|
0.31 |
|
1.59 |
|
57.4 |
1 Average Unique Monthly Visitors (UMV) means the average number of users and customers visiting our platform (websites and mobile application) per month in a particular period, excluding bots. Average UMV for a particular period is calculated by aggregating the UMV for each month within such period and dividing by the number of months. For 2020, 2019 and their respective interim periods, Average UMV is calculated based on |
2 Listings means the daily average number of real estate listings posted on our platform by agents and individual sellers for a particular period |
3 Leads to developers means the number of paid target calls, lasting 30 seconds or longer, made through our platform by home searchers to real estate developers, for a particular period |
View source version on businesswire.com: https://www.businesswire.com/news/home/20211124005931/en/
Investor:
Head of Capital Markets and IR
ir@cian.ru
Media :
Russian media:
Olga Podoliaka
po@cian.ru
International media:
cian@hudsonsandler.com
Source:
FAQ
What were Cian's revenue and adjusted EBITDA for Q3 2021?
How did Cian's net loss change in Q3 2021?
What was the growth rate of Core Business revenue for Cian in Q3 2021?
What key developments did Cian announce in Q3 2021?
