Ku6 Media Reports Unaudited Financial Results for the Second Quarter of Fiscal Year 2013

BEIJING, Aug. 28, 2013 /PRNewswire/ -- Ku6 Media Co., Ltd. ("Ku6 Media" or the "Company," NASDAQ: KUTV), a leading internet video company focused on User Generated Content ("UGC") in China, today announced unaudited financial results for the second quarter of fiscal year 2013, ended June 30, 2013.

Second Quarter 2013 Highlights (1)

  • Total revenues were US$3.42 million (RMB20.98 million) in the second quarter of 2013, representing an increase of 11.4% from US$3.07 million in the first quarter of 2013 and an increase of 12.9% from US$3.03 million in the second quarter of 2012.
  • The Company generates substantially all of its revenues from online advertising, primarily through an advertising agency agreement with Shengyue, an affiliate wholly owned by Shanda Interactive, pursuant to which Shengyue acts as the Company's exclusive advertising agency for standard media resources and as its non-exclusive advertising agency for highly interactive advertising resources.
  • GAAP net loss was US$2.54 million (RMB15.60 million), as compared to a net loss of US$1.67 million in the first quarter of 2013 and US$1.47 million in the second quarter of 2012. Non-GAAP net loss, which the Company defines as net loss excluding expenses (benefits) associated with share-based compensation, was US$2.38 million (RMB14.60 million) in the second quarter of 2013, as compared to non-GAAP net loss of US$2.32 million in the first quarter of 2013 and US$1.53 million in the second quarter of 2012.
  • Basic and diluted loss per ADS was US$0.05 (RMB0.31) in the second quarter of 2013, as compared to US$0.04 in the first quarter of 2013 and US$0.03 in the second quarter of 2012.
  • Cash and cash equivalents were US$9.96 million (RMB61.12 million) as of June 30, 2013.
  • Net cash used in operating activities was US$0.93 million (RMB5.71 million) in the second quarter of 2013, as compared to US$2.27 million in the first quarter of 2013 and US$1.41 million in the second quarter of 2012.

(1)     The reporting currency of the Company is the United States dollar ("U.S. dollar"), but solely for the convenience of the reader, the amounts of Renminbi ("RMB") presented throughout the release were calculated at the rate of US$1.00=RMB6.1374, representing the noon buying rate as of June 28, 2013 in the City of New York for cable transfers of RMB as certified for customs purposes by the Federal Reserve Bank of New York. This convenience translation is not intended to imply that the U.S. dollar amounts could have been, or could be, converted, realized or settled into RMB at that rate on June 28, 2013, or at any other rate.

"I am pleased to announce our second quarter 2013 earnings release." Mr. Fang Du, Chief Executive Officer of Ku6 Media, commented, "The Company did a great job in the second quarter in improving the infrastructure and product design, in hiring top talents to strengthen our R&D team, and in launching marketing campaigns to bring our premium video content to more users.

At the press conference held on August 13, we announced our new slogan "Short is Cool", which represented the Company's commitment to offer more quality short-form videos by leveraging the prosperity of mobile devices and mobile platform as well as through promotion campaigns and marketing events. I believe that, with their unique charms, short-form videos will play a more important role in people's daily life and expect to change their entertainment habit. "

Second Quarter 2013 Financial Results

Total revenues were US$3.42 million (RMB20.98 million) in the second quarter of 2013, representing an increase of 11.4% from US$3.07 million in the first quarter of 2013 and an increase of 12.9% from US$3.03 million in the second quarter of 2012.

In the second quarter of 2011, the Company started to generate advertising revenues primarily from performance advertising services using a system called Application Advertisement ("AA"). The performance advertising revenue was realized through an affiliated advertising agent which is under common control of Shanda Interactive Entertainment Limited, the Company's majority shareholder. The Company generated 89.9% of total revenues in the second quarter of 2013 through this affiliated advertising agent, as compared to 95.8% of total revenues in the first quarter of 2013.

Cost of revenues was US$3.90 million (RMB23.91 million) in the second quarter of 2013, representing an increase of 24.3% from US$3.13 million in the first quarter of 2013 and an increase of 6.4% from US$3.66 million in the second quarter of 2012.

Gross loss was US$0.48 million (RMB2.92 million) in the second quarter of 2013, as compared to a gross loss of US$0.07 million in the first quarter of 2013 and a gross loss of US$0.63 million in the second quarter of 2012. Non-GAAP gross loss, which is herein defined as a gross loss excluding expenses (benefits) associated with share-based compensation, was US$0.44 million (RMB2.68 million) in the second quarter of 2013, as compared to a non-GAAP gross loss of US$0.26 million in the first quarter of 2013 and a non-GAAP gross loss of US$0.66 million in the second quarter of 2012. The increase in non-GAAP gross loss as compared to the first quarter of 2013 was primarily because the Company incurred more costs to improve its platform operation, partially offset by an increase in total revenues.

Operating expenses were US$3.30 million (RMB20.24 million) in the second quarter of 2013, representing an increase of 45.3% from US$2.27 million in the first quarter of 2013 and an increase of 100.5% from US$1.64 million in the second quarter of 2012. Non-GAAP operating expenses, which is herein defined as operating expenses excluding expenses (benefits) associated with share-based compensation, were US$3.17 million (RMB19.48 million) in the second quarter of 2013, as compared to non-GAAP operating expenses of US$2.72 million in the first quarter of 2013 and US$1.67 million in the second quarter of 2012. The increase in non-GAAP operating expenses as compared to the first quarter of 2013 was primarily due to the increase in labor costs as the Company recruited more talents to strengthen the research and development team, partially offset by the proceeds from disposal of network equipment previously written down.

Operating loss was US$3.77 million (RMB23.16 million) in the second quarter of 2013, representing an increase of 61.7% from US$2.33 million in the first quarter of 2013 and an increase of 65.8% from US$2.28 million in the second quarter of 2012. Non-GAAP operating loss, which reflects the exclusion of expenses (benefits) associated with share-based compensation, was US$3.61 million (RMB22.16 million) in the second quarter of 2013, as compared to the non-GAAP operating loss of US$2.98 million in the first quarter of 2013 and US$2.34 million in the second quarter of 2012.

Net loss was US$2.54 million (RMB15.60 million) in the second quarter of 2013, representing an increase of 52.0% from US$1.67 million in the first quarter of 2013 and an increase of 72.7% from US$1.47 million in the second quarter of 2012. Non-GAAP net loss, which reflects the exclusion of expenses (benefits) associated with share-based compensation, was US$2.38 million (RMB14.60 million) in the second quarter of 2013, as compared to US$2.32 million in the first quarter of 2013 and US$1.53 million in the second quarter of 2012. The increase in net loss as compared to the first quarter of 2013 was primarily attributable to (1) an increase in costs incurred for platform operation improvement, (2) an increase in labor costs as the Company recruited more talents to strengthen the research and development team, and (3) a net increase in share-based compensation expenses resulted from the first quarter reversal of those expenses previously recorded, due to the changes in the likelihood of achieving performance targets related to profitability for performance-based stock option awards, partially offset by (1) an increase in total revenues from both third parties and related parties, (2) proceeds from disposal of network equipment previously written down, and (3) receipts of government subsidy benefits in the second quarter of 2013.

Net loss per basic and diluted ADS was US$0.05 (RMB0.31) in the second quarter of 2013, as compared to US$0.04 in the first quarter of 2013 and US$0.03 in the second quarter of 2012. Weighted average ADSs used to calculate basic and diluted net loss per ADS were 47.3 million in the second quarter of 2013, 47.3 million in the first quarter of 2013 and 50.2 million in the second quarter of 2012.

Adjusted EBITDA loss, which is herein defined as net loss before interest income, interest expenses, income taxes, depreciation and amortization (excluding amortization and write-down of licensed video copyrights), further adjusted for share-based compensation expenses (benefits), equity in loss of affiliates and other non-operating items, was US$2.69 million (RMB16.53 million) in the second quarter of 2013, as compared to adjusted EBITDA loss of US$2.04 million in the first quarter of 2013 and US$1.48 million in the second quarter of 2012.

As of June 30, 2013, the Company had US$9.96 million (RMB61.12 million) in cash and cash equivalents, compared to US$10.81 million as of March 31, 2013. The decrease was primarily attributable to US$0.93 million (RMB5.71 million) net cash used in operating activities.  

Recent Business Developments

Ku6 Media Announces the Love-Theme UGC Video Campaign

The Company held a press conference on August 13, the Chinese Valentine's Day, to announce its love-theme UGC video campaign. The Company's new slogan "Short is Cool" was first introduced at the press conference, representing the Company's commitment to offer more quality short-form videos by leveraging the prosperity of mobile devices and mobile platform as well as through promotion campaigns and marketing events.

Ku6 Media Announces Management Change

In June 2013, Mr. Fang Du joined the Company to replace Mr. Jeff Shi as the Chief Executive Officer of Ku6 Media. Mr. Du's bio can be found in the press release on Ku6 Media's website.

Ku6 Media Announces Management Change

In April 2013, Mr. Kelvin Wenbo Liu joined the Company as President and Mr. Jian Lu was appointed as the Company's Chief Technology Officer. Their bios can be found in the press release on Ku6 Media 's website.

Share Repurchase Program of 2011

Pursuant to a share repurchase program announced on December 30, 2011, the Company's Board of Directors have authorized the Company to repurchase up to an aggregate of US$3.2 million of its outstanding ADSs from time to time following the date thereof, based on market conditions. As of June 30, 2013, the Company has repurchased 157,567 ADSs from open market under this program.

Conference Call Information

Ku6's management team will be hosting a corresponding conference call at 8:00am EDT on Wednesday, August 28, 2013 (8:00pm Beijing time on the same day).

Dial-in numbers:      

International Dial-in Number:        

+65 67239381

United States Toll Free Number:

18665194004


Mainland China Toll Free Number:

4006208038 / 8008190121

Hong Kong Toll Free Number:            

800930346

Conference ID:

33522461

A replay will be available from 10:00am August 28, 2013 EDT for 7 days.

International Dial-in Number:        

+61 2 8199 0299

United States Toll Free Number:

18554525696

Mainland China Toll Free Number:

Hong Kong Toll Free Number:

4001200932 / 8008700205

800963117

Conference ID:

33522461



A live and archived webcast of the conference call will also be available at


http://www.media-server.com/m/p/fqugr3qc

 

http://www.media-server.com/m/p/z2v9kooi

About Ku6 Media Co., Ltd.

Ku6 Media Co., Ltd. (NASDAQ: KUTV) is a leading internet video company in China focused on User -Generated Content ("UGC"). Through its premier online brand and online video website, www.ku6.com, Ku6 Media provides online video uploading and sharing service, video reports, information and entertainment in China. For more information about Ku6 Media, please visit http://ir.ku6.com.

Forward-looking Statements

This news release contains statements of a forward-looking nature. These statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. You can identify these forward-looking statements by terminology such as "believes," "could," "expects," "may," "might," "should," "will," or "would," and by similar statements. Forward-looking statements are not historical facts, but instead represent only the Company's beliefs regarding future events, many of which, by their nature, are inherently uncertain and outside of its control. It is possible that the Company's actual results and financial condition may differ, possibly materially, from the anticipated results and financial condition indicated in these forward-looking statements. Some of the risks and important factors that could affect the Company's future results and financial condition include: continued competitive pressures in China's internet video portal market; changes in technology and consumer demand in this market; the risk that Ku6 Media may not be able to control its expenses in the future; regulatory changes in China with respect to the operations of internet video portal websites; the success of Ku6 Media's ability to sell advertising and other services on its websites; and other risks outlined in the Company's filings with the Securities and Exchange Commission,including the Company's  annual report on Form 20-F. Ku6 Media does not undertake any obligation to update this forward-looking information, except as required under law.

About Non-GAAP Financial Measures

To supplement Ku6 Media's consolidated financial results presented in accordance with United States Generally Accepted Accounting Principles ("GAAP"), Ku6 Media uses the following measures defined as non-GAAP financial measures by the SEC in evaluating its business: non-GAAP gross profit or loss, non-GAAP operating expenses, non-GAAP product development expenses, non-GAAP sales and marketing expenses, non-GAAP general and administrative expenses, non-GAAP operating loss, non-GAAP net loss and adjusted EBITDA loss.  We define non-GAAP gross profit or loss, non-GAAP operating expenses, non-GAAP product development expenses, non-GAAP sales and marketing expenses, non-GAAP general and administrative expenses, non-GAAP operating loss and non-GAAP net loss as the respective nearest comparable GAAP financial measure excluding expenses (benefits) associated with share-based compensation. We define adjusted EBITDA loss as net loss before interest income, interest expenses, income taxes, depreciation and amortization (excluding amortization and write-down of licensed video copyrights), further adjusted for share-based compensation expenses (benefits), equity in loss of affiliates and other non-operating items. We present non-GAAP financial measures because they are used by our management to evaluate our operating performance. We also believe that these non-GAAP financial measures provide useful information to investors and others in understanding and evaluating our consolidated results of operations in the same manner as our management and in comparing financial results across accounting periods and to those of our peer companies. A limitation of using non-GAAP financial measures is that non-GAAP measures exclude share-based compensation charges that have been and will continue to be significant recurring expenses in Ku6 Media's business for the foreseeable future.

The presentation of these non-GAAP financial measures is not intended to be considered in isolation from, or as a substitute for, the financial information prepared and presented in accordance with GAAP. For more information on these non-GAAP financial measures, please see the table captioned "Reconciliations of non-GAAP results of operations measures to the nearest comparable GAAP financial measures" at the end of this release.

 

Ku6 Media Co., Ltd.

Consolidated Balance Sheets

(Amounts in thousands,

except for number of shares)

December 31,

2012

US$

June 30,

2013

US$

(Unaudited)

June 30,

2013

RMB

(Unaudited)

ASSETS




Current assets:




   Cash and cash equivalents

13,071

9,958

61,116

   Accounts receivable, net

67

43

264

   Accounts receivable due from related parties

4,399

3,756

23,052

   Prepaid expenses and other current assets

523

229

1,406

   Other receivables due from related parties

6,097

2,732

16,767

Total current assets

24,157

16,718

102,605

Non-current assets:




   Deposits

310

335

2,056

   Property and equipment, net

2,918

2,061

12,649

   Acquired intangible assets, net

22,552

21,773

133,630

   Goodwill

6,233

6,233

38,254

Total non-current assets

32,013

30,402

186,589

TOTAL ASSETS

56,170

47,120

289,194





LIABILITIES AND SHAREHOLDERS' EQUITY




Current liabilities:




   Accounts payable

4,645

4,676

28,699

   Accounts payable due to related parties

-

227

1,393

   Accrued expenses and other current liabilities

9,353

8,402

51,566

   Other payables due to related parties

3,780

375

2,302

Total current liabilities

17,778

13,680

83,960

   Non-current deferred tax liabilities

4,826

4,826

29,619

Total liabilities

22,604

18,506

113,579

Shareholders' equity:




   Ordinary shares (US$0.00005 par value;
   12,000,000,000 shares authorized; 4,732,446,560
   shares and 4,726,648,360 shares issued and
   outstanding as of December 31, 2012 and June
   30, 2013, respectively)

236

236

1,448

   Additional paid-in capital

177,183

176,640

1,084,110

   Accumulated deficit

(141,940)

(146,153)

(896,999)

   Accumulated other comprehensive loss

(1,913)

(2,109)

(12,944)

Total Ku6 Media Co., Ltd. shareholders' equity

33,566

28,614

175,615

   Non-controlling interests

-

-

-

Total shareholders' equity

33,566

28,614

175,615

TOTAL LIABILITIES AND
SHAREHOLDERS' EQUITY

56,170

47,120

289,194

 

 


Ku6 Media Co., Ltd.

Consolidated Statements of Operations


For the Three Months Ended

For the Six Months Ended

(Amounts in thousands, except for
number of shares and ADS and per
share and per ADS data)

June 30,

2012

March 31,

2013

June 30,
2013

June 30,

2013

June 30,

2012

June 30,

2013

June 30,

2013

US$

US$

US$

RMB

US$

US$

RMB


(Unaudited)

(Unaudited)

(Unaudited)

(Unaudited)

(Unaudited)

(Unaudited)

(Unaudited)

Revenues:








Advertising








Third parties

158

129

344

2,111

1,053

473

2,903

Related parties

2,871

2,939

3,075

18,873

6,656

6,014

36,910

Total revenues

3,029

3,068

3,419

20,984

7,709

6,487

39,813









Cost of revenues:








Advertising








Third parties

3,660

3,133

3,702

22,721

7,191

6,835

41,949

Related parties

-

-

193

1,184

-

193

1,184

Total cost of revenues

3,660

3,133

3,895

23,905

7,191

7,028

43,133









Gross profit (loss)

(631)

(65)

(476)

(2,921)

518

(541)

(3,320)









Operating expenses:








Product development

363

351

952

5,843

942

1,303

7,997

Sales and marketing

240

300

642

3,940

609

942

5,782

General and administrative

1,041

1,618

1,703

10,452

2,917

3,321

20,382

Total operating expenses

1,644

2,269

3,297

20,235

4,468

5,566

34,161









Operating loss

(2,275)

(2,334)

(3,773)

(23,156)

(3,950)

(6,107)

(37,481)









Interest income

162

30

16

98

333

46

282

Other income

993

648

1,216

7,463

993

1,864

11,440

Interest expenses

(213)

(16)

-

-

(450)

(16)

(98)

Equity in loss of affiliates

(138)

-

-

-

(186)

-

-

Loss before income tax expense

(1,471)

(1,672)

(2,541)

(15,595)

(3,260)

(4,213)

(25,857)









Income tax benefit

-

-

-

-

-

-

-









Net loss

(1,471)

(1,672)

(2,541)

(15,595)

(3,260)

(4,213)

(25,857)









Loss per share - basic and diluted








Net loss

(US$0.00)

(US$0.00)

(US$0.00)

(RMB0.00)

(US$0.00)

(US$0.00)

(RMB0.01)









Loss per ADS - basic and diluted








Net loss

(US$0.03)

(US$0.04)

(US$0.05)

(RMB0.31)

(US$0.06)

(US$0.09)

(RMB0.55)









Weighted average shares used in per
    share calculation - basic and diluted

 

 

5,019,786,036

4,731,798,773

 

 

4,726,880,171

 

 

4,726,880,171

 

 

5,019,786,036

4,729,325,332

4,729,325,332

Weighted average ADSs used in per
    ADS calculation - basic and diluted

 

 

50,197,860

47,317,988

 

 

47,268,802

 

 

47,268,802

 

 

50,197,860

47,293,253

47,293,253

 



Ku6 Media Co., Ltd.

Consolidated Statements of Cash Flows


For the Three Months Ended

For the Six Months Ended

(Amounts in thousands)

June 30,

2012

March 31,

2013

June 30,
2013

June 30,

2013

June 30,

2012

June 30,

2013

June 30,

2013

US$

US$

US$

RMB

US$

US$

RMB


(Unaudited)

(Unaudited)

(Unaudited)

(Unaudited)

(Unaudited)

(Unaudited)

(Unaudited)

Cash flows from operating activities:








Net loss

(1,471)

(1,672)

(2,541)

(15,595)

(3,260)

(4,213)

(25,857)

Adjustments to reconcile net loss to net cash
   used in operating activities:








Share-based compensation (reversal)

(60)

(647)

162

994

449

(485)

(2,977)

Depreciation and amortization

851

937

917

5,628

1,676

1,854

11,379

Amortization and write-down of licensed
      video copyrights

 

-

-

 

-

 

-

1

-

-

Bad debt reversal

(656)

(97)

(176)

(1,080)

(2,015)

(273)

(1,675)

Reversal of legal provision

(565)

-

-

-

(565)

-

-

Exchange gain

(3)

(46)

(128)

(786)

(8)

(174)

(1,068)

Equity in loss of affiliates

138

-

-

-

186

-

-

Gain on disposal of property and
      equipments

 

(22)

(13)

 

(137)

 

(841)

(21)

(150)

(921)

Changes in assets and liabilities, net of
      acquisitions and dispositions:








Accounts receivable

733

152

113

694

2,781

265

1,626

Prepaid expenses and other current assets

169

161

133

816

435

294

1,804

Amount due from related parties

999

(1,215)

1,923

11,802

(835)

708

4,345

Deposits and other non-current assets

-

-

(25)

(153)

-

(25)

(153)

Accounts payable

(517)

365

(260)

(1,596)

(2,039)

105

645

Accrued expenses and other current
          liabilities

 

(1,063)

(2)

 

(950)

 

(5,830)

679

(952)

(5,843)

Amount due to related parties

53

(194)

39

239

53

(155)

(951)

Net cash used in operating activities

(1,414)

(2,271)

(930)

(5,708)

(2,483)

(3,201)

(19,646)

Cash flows from investing activities:








Purchases of property and equipment

(28)

(41)

-

-

(180)

(41)

(252)

Proceeds from disposal of property and
   equipments

 

23

-

 

142

 

871

23

142

871

Payments for licensed video copyrights

(8)

-

(74)

(454)

(148)

(74)

(454)

Loans to related parties under common control
   by Shanda

 

-

-

 

-

 

-

(470)

-

-

Repayment of loans to related parties under 
   common control by Shanda

 

9,700

3,300

 

-

 

-

9,700

3,300

20,254

Net cash provided by investing activities

9,687

3,259

68

417

8,925

3,327

20,419

Cash flows from financing activities:








Repurchase of ordinary shares

-

(41)

(17)

(104)


(58)

(356)

Repayment of loans from related parties under
   common control of Shanda

 

(6,768)

 

(3,210)

 

-

 

-

 

(9,904)

 

(3,210)

 

(19,701)

Net cash used in financing activities

(6,768)

(3,251)

(17)

(104)

(9,904)

(3,268)

(20,057)

Effect of exchange rate changes on cash and
   cash equivalents

 

(9)

 

3

 

26

 

160

 

(7)

 

29

 

178

Net increase (decrease) in cash and cash
   equivalents

 

1,496

 

(2,260)

 

(853)

 

(5,235)

 

(3,469)

 

(3,113)

 

(19,106)

Cash and cash equivalents, beginning of
   period

 

21,786

 

13,071

 

10,811

 

66,351

 

26,751

 

13,071

 

80,222

Cash and cash equivalents, end of period

23,282

10,811

9,958

61,116

23,282

9,958

61,116

 

Reconciliations of Non-GAAP results of operations measures to the nearest comparable GAAP financial measures (*)

(Amounts in thousands of United States dollars ("US$") and Renminbi ("RMB"), unaudited)


1. Non-GAAP Gross Profit (Loss)



For the Three Months Ended


For the Six Months Ended



June 30,


March 31,


June 30,


June 30,


June 30,


June 30,


June 30,



2012


2013


2013


2013


2012


2013


2013



US$


US$


US$


RMB


US$


US$


RMB

Gross profit (loss)


(631)


(65)


(476)


(2,921)


518


(541)


(3,320)

Add back: expenses (benefits)
   associated with share-based
   compensation


(31)


(197)


39


239


64


(158)


(970)

Non-GAAP gross profit (loss)


(662)


(262)


(437)


(2,682)


582


(699)


(4,290)


2. Non-GAAP Operating Expenses



For the Three Months Ended


For the Six Months Ended



June 30,


March 31,


June 30,


June 30,


June 30,


June 30,


June 30,



2012


2013


2013


2013


2012


2013


2013



US$


US$


US$


RMB


US$


US$


RMB

Operating expenses


1,644


2,269


3,297


20,235


4,468


5,566


34,161

Deduct: expenses (benefits)
    associated with share-based
    compensation


(29)


(450)


123


755


385


(327)


 

 

(2,007)

Non-GAAP operating expenses


1,673


2,719


3,174


19,480


4,083


5,893


36,168


3. Non-GAAP Product Development Expenses



For the Three Months Ended


For the Six Months Ended



June 30,


March 31,


June 30,


June 30,


June 30,


June 30,


June 30,



2012


2013


2013


2013


2012


2013


2013



US$


US$


US$


RMB


US$


US$


RMB

Product development expenses


363


351


952


5,843


942


1,303


7,997

Deduct: expenses (benefits)
   associated with share-based
   compensation


(40)


(161)


19


117


19


(142)


(872)

Non-GAAP product development expenses


403


512


933


5,726


923


1,445


8,869


4. Non-GAAP Sales and Marketing Expenses



For the Three Months Ended


For the Six Months Ended



June 30,


March 31,


June 30,


June 30,


June 30,


June 30,


June 30,



2012


2013


2013


2013


2012


2013


2013



US$


US$


US$


RMB


US$


US$


RMB

Sales and marketing expenses


240


300


642


3,940


609


942


5,782

Deduct: expenses (benefits)
    associated with share-based
    compensation


(17)


(60)


10


61


12


(50)


(307)

Non-GAAP sales and marketing expenses


257


360


632


3,879


597


992


6,089


5. Non-GAAP General and Administrative Expenses



For the Three Months Ended


For the Six Months Ended



June 30,


March 31,


June 30,


June 30,


June 30,


June 30,


June 30,



2012


2013


2013


2013


2012


2013


2013



US$


US$


US$


RMB


US$


US$


RMB

General and administrative expenses


1,041


1,618


1,703


10,452


2,917


3,321


20,382

Deduct: expenses (benefits)
   associated with share-based
   compensation


28


(229)


94


577


354


(135)


(828)

Non-GAAP general and administrative
   expenses


1,013


1,847


1,609


9,875


2,563


3,456


21,210


6. Non-GAAP Operating Loss



For the Three Months Ended


For the Six Months Ended



June 30,


March 31,


June 30,


June 30,


June 30,


June 30,


June 30,



2012


2013


2013


2013


2012


2013


2013



US$


US$


US$


RMB


US$


US$


RMB

Operating loss


(2,275)


(2,334)


(3,773)


(23,156)


(3,950)


(6,107)


(37,481)

Add back: expenses (benefits)
   associated with share-based
   compensation


(60)


(647)


162


994


449


(485)


(2,977)

Non-GAAP operating loss


(2,335)


(2,981)


(3,611)


(22,162)


(3,501)


(6,592)


(40,458)


7. Non-GAAP Net Loss



For the Three Months Ended


For the Six Months Ended



June 30,


March 31,


June 30,


June 30,


June 30,


June 30,


June 30,



2012


2013


2013


2013


2012


2013


2013



US$


US$


US$


RMB


US$


US$


RMB

Net loss


(1,471)


(1,672)


(2,541)


(15,595)


(3,260)


(4,213)


(25,857)

Add back: expenses (benefits)
   associated with share-based
   compensation


(60)


(647)


162


994


449


(485)


(2,977)

Non-GAAP net loss


(1,531)


(2,319)


(2,379)


(14,601)


(2,811)


(4,698)


(28,834)


8. Adjusted EBITDA Loss



For the Three Months Ended


For the Six Months Ended



June 30,


March 31,


June 30,


June 30,


June 30,


June 30,


June 30,



2012


2013


2013


2013


2012


2013


2013



US$


US$


US$


RMB


US$


US$


RMB

Net loss


(1,471)


(1,672)


(2,541)


(15,595)


(3,260)


(4,213)


(25,857)

Add back (deduct):















Interest income


(162)


(30)


(16)


(98)


(333)


(46)


(282)

Interest expenses


213


16


-


-


450


16


98)

Income tax benefit


-


-


-


-


-


-


-

Depreciation and amortization
       (excluding amortization and
       write-down of licensed video
       copyrights)


851


937


917


5,628


1,676


1,854


11,379

EBITDA loss


(569)


(749)


(1,640)


(10,065)


(1,467)


(2,389)


(14,662)
















Adjustments:















Share-based compensation


(60)


(647)


162


994


449


(485)


(2,977)

Equity in loss of affiliates


138


-


-


-


186


-


-

Other income


(993)


(648)


(1,216)


(7,463)


(993)


(1,864)


(11,440)

Adjusted EBITDA loss


(1,484)


(2,044)


(2,694)


(16,534)


(1,825)


(4,738)


(29,079)


* For more information on the Non-GAAP financial measures, please see the section captioned "About Non-GAAP Financial Measures" in the earnings release.

SOURCE Ku6 Media Co., Ltd.



RELATED LINKS
http://www.ku6.com/
http://www.media-server.com/m/p/fqugr3qc
http://www.media-server.com/m/p/z2v9kooi
http://ir.ku6.com

More by this Source


Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

 

PR Newswire Membership

Fill out a PR Newswire membership form or contact us at (888) 776-0942.

Learn about PR Newswire services

Request more information about PR Newswire products and services or call us at (888) 776-0942.