Weibo Reports Fourth Quarter and Fiscal Year 2020 Unaudited Financial Results

Rhea-AI Summary

Weibo Corporation (NASDAQ: WB) announced its Q4 and fiscal year 2020 results, reporting net revenues of $513.4 million for Q4, a 10% year-over-year increase. Advertising revenue saw a 12% increase, reaching $453.5 million. However, total fiscal year revenues decreased by 4% to $1.69 billion. Net income for Q4 was $29 million, translating to a diluted EPS of $0.13, while for the year, net income dropped to $313.4 million. Notably, Weibo forecasts a 25-30% revenue increase for Q1 2021. The company appointed Wei Wang as COO and Fei Cao as CFO.

Positive

• Q4 2020 net revenues increased by 10% year-over-year.
• Q4 advertising revenues rose by 12% year-over-year.
• Forecast for Q1 2021 net revenue growth of 25-30%.

Negative

• Fiscal year 2020 revenues decreased by 4% year-over-year.
• Year-over-year decline in VAS revenues of 14%.

BEIJING, March 18, 2021 /PRNewswire/ -- Weibo Corporation ("Weibo" or the "Company") (NASDAQ: WB), a leading social media in China, today announced its unaudited financial results for the fourth quarter and fiscal year ended December 31, 2020.

"We ended the year of 2020 on a solid note," said Gaofei Wang, CEO of Weibo. "During the unprecedented times in 2020, Weibo has demonstrated its indispensable value as China's leading social media platform to serve public conversations, and further enriched our video and community product offerings. On monetization, we are pleased to see our revenue and profit return to a solid growth trajectory in the fourth quarter. Entering into 2021, Weibo is well positioned to capture incremental ad wallet, leveraging the accelerated digitalization of brick-and-mortar, our differentiated social ad offerings and revamped bidding system," Mr. Wang concluded.

Fourth Quarter 2020 Highlights

• Net revenues were $513.4 million, an increase of 10% year-over-year or an increase of 3% year-over-year on a constant currency basis^[1].
• Advertising and marketing revenues were $453.5 million, an increase of 12% year-over-year.
• Value-added service ("VAS") revenues were $59.9million, a decrease of 4% year-over-year.
• Income from operations was $181.6 million, representing an operating margin of 35%.
• Non-GAAP income from operations was $204.1 million, representing a non-GAAP operating margin of 40%.
• Net income attributable to Weibo was $29.0 million and diluted net income per share was $0.13.
• Non-GAAP net income attributable to Weibo was $212.7 million and non-GAAP diluted net income per share was $0.92.
• Monthly active users ("MAUs") were 521 million in December 2020, a net addition of approximately 5 million users on year-over-year basis. Mobile MAUs represented 94% of MAUs.
• Average daily active users ("DAUs") were 225 million in December 2020, a net addition of approximately 3 million users on year-over-year basis.

Fiscal Year 2020 Highlights

• Net revenues were $1.69 billion, a decrease of 4% year-over-year or a decrease of 5% year-over-year on a constant currency basis^[2].
• Advertising and marketing revenues were $1.49 billion, a decrease of 3% year-over-year.
• VAS revenues were $203.8 million, a decrease of 14% year-over-year.
• Income from operations was $506.8 million, representing an operating margin of 30%.
• Non-GAAP income from operations was $579.6 million, representing a non-GAAP operating margin of 34%.
• Net income attributable to Weibo was $313.4 million and diluted net income per share was $1.38.
• Non-GAAP net income attributable to Weibo was $547.5 million and non-GAAP diluted net income per share was $2.38.

[1] On a constant currency (non-GAAP) basis, we assume that the exchange rate in the fourth quarter of 2020 had been the same as it was in the fourth quarter of 2019, or RMB 7.04=US$1.00.

[2] On a constant currency (non-GAAP) basis, we assume that the average exchange rate of 2020 had been the same as 2019, or RMB 6.90=US$1.00.

Fourth Quarter 2020 Financial Results

For the fourth quarter of 2020, Weibo's total net revenues were $513.4 million, an increase of 10% compared to $468.1 million for the same period last year.

Advertising and marketing revenues for the fourth quarter of 2020 were $453.5 million, an increase of 12% compared to $405.9 million for the same period last year. Advertising and marketing revenues from key accounts ("KAs") and small & medium-sized enterprises ("SMEs") were $393.9 million, an increase of 7% compared to $368.1 million for the same period last year.

VAS revenues for the fourth quarter of 2020 were $59.9 million, a decrease of 4% year-over-year compared to $62.2 million for the same period last year, which was primarily resulted from the decrease of live streaming business, and was partially offset by the revenue contribution from the interactive entertainment company which was acquired and consolidated to the Company in November 2020.

Costs and expenses for the fourth quarter of 2020 totaled $331.8 million, an increase of 5% compared to $317.4 million for the same period last year. The increase was primarily due to higher personal-related cost and step-up in marketing spend, and was partially offset by decreased general and administrative expenses. Non-GAAP costs and expenses were $309.3 million, an increase of 3% compared to $299.2 million for the same period last year.

Income from operations for the fourth quarter of 2020 was $181.6 million, compared to $150.7 million for the same period last year. Operating margin was 35%, compared to 32% last year. Non-GAAP income from operations was $204.1 million, compared to $168.9 million for the same period last year. Non-GAAP operating margin was 40%, compared to 36% last year.

Non-operating loss for the fourth quarter of 2020 was $175.8 million, compared to a loss of $25.1 million for the same period last year. Non-operating loss for the fourth quarter of 2020 mainly included (i) a 92.5 million net loss from fair value change of investments, which is excluded under non-GAAP measures; (ii) a $94.2 million investment related impairment, which is excluded under non-GAAP measures; and (iii) a $9.5 million net interest and other income. 

Income tax benefits were $25.3 million, compared to income tax expenses of $31.1 million for the same period last year. The income tax benefit was primarily due to the recognition of preferential tax treatment for certain of the Company's PRC subsidiaries, as well as reverse of recognition of deferred tax liabilities in prior periods related to certain investments.

Net income attributable to Weibo for the fourth quarter of 2020 was $29.0 million, compared to $95.1 million for the same period last year. Diluted net income per share attributable to Weibo for the fourth quarter of 2020 was $0.13, compared to $0.42 for the same period last year. Non-GAAP net income attributable to Weibo for the fourth quarter of 2020 was $212.7 million, compared to $176.5 million for the same period last year. Non-GAAP diluted net income per share attributable to Weibo for the fourth quarter of 2020 was $0.92, compared to $0.77 for the same period last year.

As of December 31, 2020, Weibo's cash, cash equivalents and short-term investments totaled $3.50 billion. For the fourth quarter of 2020, cash provided by operating activities was $321.2 million, capital expenditures totaled $8.4 million, and depreciation and amortization expenses amounted to $10.7 million.

Fiscal Year 2020 Financial Results

For fiscal year 2020, Weibo's total net revenues were $1.69 billion, a decrease of 4% compared to $1.77 billion in 2019.

Advertising and marketing revenues for 2020 were $1.49 billion, a decrease of 3% compared to $1.53 billion in 2019. Advertising and marketing revenues from KAs and SMEs were $1.33 billion, a decrease of 7% compared to $1.43 billion for 2019, which primarily resulted from the adverse impact of the Covid-19 pandemic on the overall advertising demand mainly in the first half of 2020.

VAS revenues for 2020 were $203.8 million, a decrease of 14% compared to $236.7 million for 2019, mainly due to the decrease of revenues from the live streaming business.  

Costs and expenses for 2020 totaled $1.18 billion, compared to $1.17 billion for 2019. Non-GAAP costs and expenses were $1.11 billion, compared to $1.10 billion for 2019.

Income from operations for 2020 was $506.8 million, compared to $597.6 million for 2019. Operating margin for 2020 was 30%, compared to 34% last year. Non-GAAP income from operations was $579.6 million, compared to $662.2 million for 2019. Non-GAAP operating margin was 34%, compared to 37% last year.

Non-operating loss for 2020 was $130.9 million, compared to a non-operating income of $4.8 million for 2019. Non-operating loss in 2020 mainly included (i) a $212.0 million investment related impairment, which is excluded under non-GAAP measures; (ii) a $35.1 million net gain from fair value change of investments, which is excluded under non-GAAP measures; and (iii) a $43.8 million net interest and other income.

Income tax expenses for 2020 were $61.3 million, compared to $109.6 million for 2019. The decrease was primarily resulted from changes in deferred tax liabilities related to fair value change on investments.

Net income attributable to Weibo for 2020 was $313.4 million, compared to $494.7 million for 2019. Diluted net income per share attributable to Weibo for 2020 was $1.38, compared to $2.18 for 2019. Non-GAAP net income attributable to Weibo for 2020 was $547.5 million, compared to $637.5 million for 2019. Non-GAAP diluted net income per share attributable to Weibo for 2020 was $2.38, compared to $2.78 for 2019.

For fiscal year 2020, cash provided by operating activities was $741.6 million, capital expenditures totaled $34.8 million, and depreciation and amortization expenses amounted to $32.1 million.

Management Appointments

The Company announced the appointment of Mr. Wei Wang as Weibo's Chief Operating Officer. Mr. Wang has joined Sina Corporation, the parent of the Company in 2000 and has held various positions in Sina. The Company also announced the appointment of Ms. Fei Cao as Weibo's Chief Financial Officer. Both changes are effective immediately.

Business Outlook

For the first quarter of 2021, Weibo estimates its net revenues to increase by 25% to 30% year-over-year on a constant currency basis. This forecast reflects Weibo's current and preliminary view, which is subject to change.

Conference Call

Weibo's management team will host a conference call from 7:00 AM to 8:00 AM Eastern Time on March 18, 2021 (or 7:00 PM – 8:00 PM Beijing Time on March 18, 2021) to present an overview of the Company's financial performance and business operations.

Please register in advance of the conference call using the link provided below. Upon registering, you will be provided with dial-in numbers, passcode and unique registrant ID by email. To join the conference, please use the conference access information provided in the email received at the point of registering.

PRE-REGISTER LINK: http://apac.directeventreg.com/registration/event/4595508

Additionally, a live webcast of the call will be available through the Company's corporate website at http://ir.weibo.com.

A telephone replay will be available from 22:00 PM China Standard Time on March 18, 2021 to 20:59 PM China Standard Time on March 26, 2021. To access the recording, please use the following dial-in information listed below:

United States:	+1 855 452 5696
Hong Kong:	800 963 117
Mainland China:	400 602 2065
International:	+61 2 8199 0299
Replay PIN:	4595508

Non-GAAP Financial Measures

This release contains the following non-GAAP financial measures: non-GAAP costs and expenses, non-GAAP income from operations, non-GAAP net income attributable to Weibo, non-GAAP diluted net income per share attributable to Weibo and adjusted EBITDA. These non-GAAP financial measures should be considered in addition to, not as a substitute for, measures of the Company's financial performance prepared in accordance with U.S. GAAP.

The Company's non-GAAP financial measures exclude stock-based compensation, amortization of intangible assets, net results of impairment on, gain/loss on sale of and fair value change of investments, non-GAAP to GAAP reconciling items on the share of equity method investments, non-GAAP to GAAP reconciling items for the income/loss attributable to non-controlling interests, provision for income tax related to the amortization of intangible assets and fair value change of investments (other non-GAAP to GAAP reconciling items have no tax effect), and amortization of convertible debt and senior notes issuance cost. Adjusted EBITDA excludes interest income, net, income tax expenses (benefit), and depreciation expenses.

The Company's management uses these non-GAAP financial measures in their financial and operating decision-making, because management believes these measures reflect the Company's ongoing operating performance in a manner that allows more meaningful period-to-period comparisons. The Company believes that these non-GAAP financial measures provide useful information to investors and others in the following ways: (i) in comparing the Company's current financial results with the Company's past financial results in a consistent manner, and (ii) in understanding and evaluating the Company's current operating performance and future prospects in the same manner as management does, if they so choose. The Company also believes that the non-GAAP financial measures provide useful information to both management and investors by excluding certain expenses, gains (losses) and other items (i) that are not expected to result in future cash payments or (ii) that are non-recurring in nature or may not be indicative of the Company's core operating results and business outlook.

Use of non-GAAP financial measures has limitations. The Company's non-GAAP financial measures do not include all income and expense items that affect the Company's operations. They may not be comparable to non-GAAP financial measures used by other companies. Accordingly, care should be exercised in understanding how the Company defines its non-GAAP financial measures. Reconciliations of the Company's non-GAAP financial measures to the nearest comparable GAAP measures are set forth in the section below titled "Unaudited Reconciliation of Non-GAAP to GAAP Results."

About Weibo

Weibo is a leading social media for people to create, share and discover content online. Weibo combines the means of public self-expression in real time with a powerful platform for social interaction, content aggregation and content distribution. Any user can create and post a feed and attach multi-media and long-form content. User relationships on Weibo may be asymmetric; any user can follow any other user and add comments to a feed while reposting. This simple, asymmetric and distributed nature of Weibo allows an original feed to become a live viral conversation stream.

Weibo enables its advertising and marketing customers to promote their brands, products and services to users. Weibo offers a wide range of advertising and marketing solutions to companies of all sizes. The Company generates a substantial majority of its revenues from the sale of advertising and marketing services, including the sale of social display advertisement and promoted marketing offerings. Designed with a "mobile first" philosophy, Weibo displays content in a simple information feed format and offers native advertisement that conform to the information feed on our platform. To support the mobile format, we have developed and continuously refining our social interest graph recommendation engine, which enables our customers to perform people marketing and target audiences based on user demographics, social relationships, interests and behaviors, to achieve greater relevance, engagement and marketing effectiveness.

Safe Harbor Statement

This press release contains forward-looking statements that relate to, among other things, Weibo's expected financial performance and strategic and operational plans (as described, without limitation, in the "Business Outlook" section and in quotations from management in this press release. Weibo may also make forward-looking statements in the Company's periodic reports to the U.S. Securities and Exchange Commission ("SEC"), in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statements about the Company's beliefs and expectations, are forward-looking statements. These forward-looking statements can be identified by terminology, such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "confidence," "estimates" and similar statements. Forward-looking statements involve inherent risks and uncertainties. A number of important factors could cause actual results to differ materially from those contained in any forward-looking statement. Potential risks and uncertainties include, but are not limited to, Weibo's limited operating history in certain new businesses; failure to grow active user base and the level of user engagement; the uncertain regulatory landscape in China; fluctuations in the Company's quarterly operating results; the Company's reliance on advertising and marketing sales for a majority of its revenues; failure to successfully develop, introduce, drive adoption of or monetize new features and products; failure to compete effectively for advertising and marketing spending; failure to successfully integrate acquired businesses; risks associated with the Company's investments, including equity pick-up and impairment; failure to compete successfully against new entrants and established industry competitors; changes in the macro-economic environment, including the depreciation of the Renminbi; and adverse changes in economic and political policies of the PRC government and its impact on the Chinese economy. Further information regarding these and other risks is included in Weibo's annual report on Form 20-Fs and other filings with the SEC. All information provided in this press release is current as of the date hereof, and Weibo assumes no obligation to update such information, except as required under applicable law.

Contact:

Investor Relations
Weibo Corporation
Phone: +86 10 5898-3336
Email: ir@staff.weibo.com

 

WEIBO CORPORATION
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands of U.S. dollars, except per share data)
			Three months ended						Twelve months ended
			December 31,				September 30,		December 31,
			2020		2019		2020		2020		2019
Net revenues:
Advertising and marketing			$         453,477		$         405,921		$         416,672		$      1,486,155		$      1,530,211
Value-added service			59,933		62,227		49,067		203,776		236,703
	Net revenues		513,410		468,148		465,739		1,689,931		1,766,914
Costs and expenses:
Cost of revenues(1)			87,288		90,566		77,198		302,180		328,826
Sales and marketing (1)			139,136		123,372		105,263		455,619		465,339
Product development(1)			90,229		75,187		83,511		324,110		284,444
General and administrative(1)			15,113		28,286		38,813		101,224		90,721
	Total costs and expenses		331,766		317,411		304,785		1,183,133		1,169,330
Income from operations			181,644		150,737		160,954		506,798		597,584
Non-operating income (loss):
Impairment on, gain/loss on sale of and         fair value change of investments, net			(185,371)		(38,372)		(103,787)		(174,717)		(41,885)
Interest and other income, net			9,531		13,253		6,311		43,832		46,698
			(175,840)		(25,119)		(97,476)		(130,885)		4,813
Income before income tax expenses			5,804		125,618		63,478		375,913		602,397
Income tax benefits (expenses)			25,314		(31,056)		(30,003)		(61,316)		(109,564)
Net income			31,118		94,562		33,475		314,597		492,833
Less: Net income (loss) attributable to     non-controlling interests			2,076		(506)		(323)		1,233		(1,842)
Net income attributable to Weibo			$           29,042		$           95,068		$           33,798		$         313,364		$         494,675
Basic net income per share attributable to Weibo			$                0.13		$                0.42		$                0.15		$                1.38		$                2.19
Diluted net income per share attributable to Weibo			$                0.13		$                0.42		$                0.15		$                1.38		$                2.18
Shares used in computing basic
net income per share attributable to Weibo			227,495		226,000		227,110		226,921		225,452
Shares used in computing diluted
net income per share attributable to Weibo			228,489		226,844		227,793		227,637		226,412
(1) Stock-based compensation in each category:
	Cost of revenues		$               1,475		$               1,488		$               1,407		$               5,384		$               5,251
	Sales and marketing		3,097		2,761		2,623		9,983		9,828
	Product development		10,203		8,124		8,438		33,093		28,628
	General and administrative		4,545		4,990		5,129		18,645		17,582

 

 

WEIBO CORPORATION
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands of U.S. dollars)
					December 31,		December 31,
					2020		2019
Assets
	Current assets:
			Cash and cash equivalents		$           1,814,844		$           1,452,985
			Short-term investments		1,682,048		951,235
			Accounts receivable, net		492,010		422,225
			Prepaid expenses and other current assets		296,757		424,905
			Amount due from SINA(1)		548,900		384,828
			Current assets subtotal		4,834,559		3,636,178
	Property and equipment, net				60,632		46,729
	Goodwill and intangible assets, net				208,688		46,513
	Long-term investments				1,179,466		1,027,459
	Other assets				51,772		47,307
	Total assets				$           6,335,117		$           4,804,186
Liabilities and Shareholders' Equity
	Liabilities:
		Current liabilities:
			Accounts payable		$               149,509		$               126,247
			Accrued expenses and other current liabilities		562,333		465,580
			Deferred revenues		143,684		108,783
			Income tax payable		102,844		100,245
			Current liabilities subtotal		958,370		800,855
		Long-term liabilities:
			Convertible debt		892,399		888,266
			Senior notes		1,536,112		793,985
			Other long-term liabilities		61,906		39,261
			Total liabilities		3,448,787		2,522,367
	Redeemable noncontrolling interests				57,714		-
	Shareholders' equity :
		Weibo shareholders' equity			2,812,425		2,283,267
		Non-controlling interests			16,191		(1,448)
			Total shareholders' equity		2,828,616		2,281,819
	Total liabilities and shareholders' equity				$           6,335,117		$           4,804,186
	(1) Included short-term loans to and interest receivable from SINA of $547.9 million as of  December 31, 2020 and $236.6 million as of December 31, 2019.

 

 

WEIBO CORPORATION
UNAUDITED RECONCILIATION OF NON-GAAP TO GAAP RESULTS
(In thousands of U.S. dollars, except per share data)
				Three months ended
				December 31, 2020						December 31, 2019						September 30, 2020
								Non-GAAP						Non-GAAP						Non-GAAP
				Actual		Adjustments		Results		Actual		Adjustments		Results		Actual		Adjustments		Results
Advertising and marketing				$      453,477				$      453,477		$      405,921				$      405,921		$      416,672				$      416,672
Value-added service				59,933				59,933		62,227				62,227		49,067				49,067
	Net revenues			$      513,410				$      513,410		$      468,148				$      468,148		$      465,739				$      465,739
						(19,320)	(a)					(17,363)	(a)					(17,597)	(a)
						(3,174)	(b)					(821)	(b)					(836)	(b)
Total costs and expenses				$      331,766		$      (22,494)		$      309,272		$      317,411		$      (18,184)		$      299,227		$      304,785		$      (18,433)		$      286,352
						19,320	(a)					17,363	(a)					17,597	(a)
						3,174	(b)					821	(b)					836	(b)
Income from operations				$      181,644		$        22,494		$      204,138		$      150,737		$        18,184		$      168,921		$      160,954		$        18,433		$      179,387
						19,320	(a)					17,363	(a)					17,597	(a)
						3,174	(b)					821	(b)					836	(b)
						185,371	(c)					38,372	(c)					103,787	(c)
						(6,399)	(d)					2,118	(d)					(3,658)	(d)
						(562)	(e)					6	(e)					(21)	(e)
						(18,889)	(f)					21,354	(f)					(1,062)	(f)
						1,611	(g)					1,371	(g)					1,595	(g)
Net income attributable to Weibo				$        29,042		$      183,626		$      212,668		$        95,068		$        81,405		$      176,473		$        33,798		$      119,074		$      152,872
Diluted net income per share attributable to Weibo				$             0.13				$             0.92	*	$             0.42				$             0.77	*	$             0.15				$             0.66	*
Shares used in computing  diluted
net income per share attributable to Weibo				228,489		6,753	(h)	235,242		226,844		6,753	(h)	233,597		227,793		6,753	(h)	234,546
Adjusted EBITDA:
	Non-GAAP net income attributable to Weibo							$      212,668						$      176,473						$      152,872
		Interest income,net						(4,021)						(13,652)						(4,340)
		Income tax expenses (benefits)						(6,425)						9,702						31,065
		Depreciation expenses						7,511						5,719						6,894
	Adjusted EBITDA							$      209,733						$      178,242						$      186,491
WEIBO CORPORATION
UNAUDITED RECONCILIATION OF NON-GAAP TO GAAP RESULTS
(In thousands, except per share data)
				Twelve months ended
				December 31, 2020						December 31, 2019
								Non-GAAP						Non-GAAP
				Actual		Adjustments		Results		Actual		Adjustments		Results
Advertising and marketing				$  1,486,155				$  1,486,155		$  1,530,211				$  1,530,211
Value-added service				203,776				203,776		236,703				236,703
	Net revenues			$  1,689,931				$  1,689,931		$  1,766,914				$  1,766,914
						(67,105)	(a)					(61,289)	(a)
						(5,654)	(b)					(3,355)	(b)
Total costs and expenses				$  1,183,133		$      (72,759)		$  1,110,374		$  1,169,330		$      (64,644)		$  1,104,686
						67,105	(a)					61,289	(a)
						5,654	(b)					3,355	(b)
Income from operations				$      506,798		$        72,759		$      579,557		$      597,584		$        64,644		$      662,228
						67,105	(a)					61,289	(a)
						5,654	(b)					3,355	(b)
						174,717	(c)					41,885	(c)
						(11,953)	(d)					12,143	(d)
						(468)	(e)					(1,648)	(e)
						(6,897)	(f)					20,979	(f)
						5,944	(g)					4,803	(g)
Net income attributable to Weibo				$      313,364		$      234,102		$      547,466		$      494,675		$      142,806		$      637,481
Diluted net income per share attributable to Weibo				$             1.38				$             2.38	*	$             2.18				$             2.78	*
Shares used in computing  diluted
net income per share attributable to Weibo				227,637		6,753	(h)	234,390		226,412		6,753	(h)	233,165
Adjusted EBITDA:
	Non-GAAP net income attributable to Weibo							$      547,466						$      637,481
		Interest income, net						(34,345)						(60,293)
		Income tax expenses						68,213						88,585
		Depreciation expenses						26,453						22,418
	Adjusted EBITDA							$      607,787						$      688,191
(a)  To exclude stock-based compensation.
(b)  To exclude amortization of intangible assets.
(c)  To exclude net results of impairment on, gain/loss on sale of and fair value change of investments.
(d)  To exclude the non-GAAP to GAAP reconciling items on the share of equity method investments.
(e)  To exclude non-GAAP to GAAP reconciling items for the income/loss attributable to non-controlling interests.
(f)  To exclude the provision for income tax related to item (b) and (c). Other non-GAAP to GAAP reconciling items have no income tax effect.
The Company considered the tax implication arising from the reconciliation items and part of these items recorded in entities in tax free jurisdictions were without relevant tax implications.
For impairment on investments, valuation allowances were made for those differences the Company does not expect they can be realized in the foreseeable future.
(g)  To exclude the amortization of convertible debt and senior notes issuance cost.
(h)  To adjust the number of shares for dilution resulted from convertible debt which were anti-dilutive under GAAP measures.
*  Net income attributable to Weibo is adjusted for interest expense of convertible debt for calculating diluted EPS.

 

WEIBO CORPORATION
UNAUDITED ADDITIONAL INFORMATION
(In thousands of U.S. dollars)
		Three months ended						Twelve months ended
		December 31,				September 30,		December 31,
		2020		2019		2020		2020		2019
Net revenues
	Advertising and marketing
	Key accounts and small & medium-sized enterprises	$      393,945		$      368,061		$      387,517		$  1,334,155		$  1,432,439
	Alibaba	59,532		37,860		29,155		152,000		97,772
	Subtotal	453,477		405,921		416,672		1,486,155		1,530,211
	Value-added service	59,933		62,227		49,067		203,776		236,703
		$      513,410		$      468,148		$      465,739		$  1,689,931		$  1,766,914

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SOURCE Weibo Corporation

FAQ

What were Weibo's Q4 2020 financial results?

Weibo reported Q4 2020 net revenues of $513.4 million, a 10% increase year-over-year, with advertising revenues at $453.5 million.

What is Weibo's revenue outlook for Q1 2021?

Weibo estimates a 25-30% increase in net revenues for Q1 2021 compared to the same period last year.

How did Weibo's net income perform in Q4 2020?

In Q4 2020, Weibo's net income was $29 million, with a diluted net income per share of $0.13.

What were the key challenges Weibo faced in 2020?

Weibo experienced a 4% decrease in total revenues for fiscal year 2020, primarily due to the impact of the COVID-19 pandemic.