SINA Reports Third Quarter 2013 Financial Results

SHANGHAI, Nov. 12, 2013 /PRNewswire-FirstCall/ -- SINA Corporation (the "Company" or "SINA") (NASDAQ GS: SINA), a leading Internet media company serving China and the global Chinese communities, today announced its unaudited financial results for the third quarter ended September 30, 2013.

Third Quarter 2013 Highlights

  • Net revenues increased 21% year over year to $184.6 million.  Non-GAAP net revenues increased 22% year over year to $179.9 million, reaching the high end of the Company's guidance between $176.0 million and $180.0 million.
  • Advertising revenues grew 26% year over year to $151.6 million, within the Company's guidance between $151.0 million and $153.0 million.
  • Non-advertising revenues increased 4% year over year to $33.1 million.  Non-GAAP non-advertising revenues increased 5% year over year to $28.4 million, exceeding the Company's guidance between $25.0 million and $27.0 million, mainly driven by the growth of Weibo value-added Services ("Weibo VAS") revenues.
  • Net income attributable to SINA grew 157% year over year to $25.4 million, or $0.37 diluted net income per share attributable to SINA.  Non-GAAP net income attributable to SINA grew 144% year over year to $28.5 million, or $0.42 non-GAAP diluted net income per share attributable to SINA.

Highlights for the Nine Months Ended September 30, 2013

  • Net revenues increased 20% year over year to $468.1 million.  Non-GAAP net revenues increased 21% year over year to $454.0 million.
  • Advertising revenues grew 21% year over year to $366.4 million.
  • Non-advertising revenues increased 16% year over year to $101.7 million.  Non-GAAP non-advertising revenues increased 19% year over year to $87.6 million.
  • Net income attributable to SINA was $0.7 million, or less than $0.01 diluted net loss per share attributable to SINA.  Non-GAAP net income attributable to SINA was $44.3 million, compared to $1.4 million for the same period last year.  Non-GAAP diluted net income per share attributable to SINA was $0.65, compared to $0.01 for the same period last year.

"We are pleased with our results for the third quarter with significant growth in profitability driven primarily by strong momentum in Weibo monetization," said Charles Chao, Chairman and CEO of SINA.  "We are at the dawn of leveraging user behaviors to provide more interesting and relevant advertising and services.  Our efforts to diversify Weibo's monetization while continuing to invest and innovate SINA's offerings are seeing not only revenue acceleration but also continuing profit margin expansion."

Financial Results

For the third quarter of 2013, SINA reported net revenues of $184.6 million, compared to $152.4 million for the same period last year.  Non-GAAP net revenues for the third quarter of 2013 totaled $179.9 million, compared to $147.7 million for the same period last year. 

Online advertising revenues for the third quarter of 2013 were $151.6 million, compared to$120.6 million for the same period last year.  Weibo advertising revenues for the third quarter of 2013 grew 125% year over year to $43.7 million.  Non-advertising revenues for the third quarter of 2013 totaled $33.1 million, compared to $31.8 million for the same period last year.  Non-GAAP non-advertising revenues for the third quarter of 2013 totaled $28.4 million, compared to $27.1 million for the same period last year.  Weibo VAS revenues, which include revenue share from web games and Weibo membership fees, grew 121% year over year to $9.7 million

Net revenues for the nine months ended September 30, 2013 were $468.1 million, compared to $390.2 million for the same period last year.  Non-GAAP net revenues for the nine months ended September 30, 2013 totaled $454.0 million, compared to $376.1 million for the same period last year.  Advertising revenues for the nine months ended September 30, 2013 totaled $366.4 million, compared to $302.3 million for the same period last year.  Non-GAAP non-advertising revenues for the nine months ended September 30, 2013 were $87.6 million, compared to $73.9 million for the same period last year, mainly due to the increase in Weibo VAS revenues, partially offset by the decrease in MVAS revenues.

Gross margin for the third quarter of 2013 was 64%, compared to 54% for the same period last year.  Advertising gross margin was 64%, compared to 55% for the same period last year.  Non-GAAP advertising gross margin increased to 64%, up from 56% for the same period last year, reflecting SINA's efforts to scale its core advertising business profitably.  Non-advertising revenue gross margin for the third quarter of 2013 was 64%, compared to 51% for the same period last year.  Non-GAAP non-advertising revenue gross margin for the third quarter of 2013 increased to 58%, up from 43% for the same period last year, primarily due to the shift in revenue mix from low margin MVAS to higher margin Weibo VAS.

Gross margin for the nine months ended September 30, 2013 was 57%, compared to 52% for the same period last year.  Non-GAAP advertising gross margin was 58% for the nine months ended September 30, 2013, compared to 52% for the same period last year, reflecting the Company's efforts to scale its advertising business profitably.  Non-GAAP non-advertising revenue gross margin for the nine months ended September 30, 2013was 52%, up from 44% for the same period last year, primarily due to the shift in revenue mix from low margin MVAS to higher margin Weibo VAS.

Operating expenses for the third quarter of 2013 totaled $94.9 million, compared to $79.2 million for the same period last year.  Non-GAAP operating expenses for the third quarter of 2013 totaled $90.5 million, compared to $73.7 million for the same period last year. The increase in non-GAAP operating expenses was primarily due to higher personnel costs and increase in marketing expenditures.

Operating expenses for the nine months ended September 30, 2013 were $271.9 million, compared to $216.2 million for the same period last year.  Non-GAAP operating expenses for the nine months ended September 30, 2013 were $235.7 million, compared to $204.6 million for the same period last year, mainly due to increase in personnel costs arising from additional headcount and general salary increases, as well as higher marketing expenditures.

Income from operations for the third quarter of 2013 was $23.2 million, compared to $3.8 million for the same period last year.  Non-GAAP income from operations for the third quarter of 2013 was $23.4 million, compared to $5.4 million for the same period last year. 

Loss from operations for the nine months ended September 30, 2013 was $4.9 million, compared to $14.1 million for the same period last year.  Non-GAAP income from operations for the nine months ended September 30, 2013 was $23.0 million, compared to a non-GAAP loss from operations of $14.2 million

Non-operating income for the third quarter of 2013 was $7.7 million, compared to $8.3 million for the same period last year.  Non-operating income for the third quarter of 2013 included $3.2 million, or $5.7 million on a non-GAAP basis, in earnings from equity investments, which were accounted for under the equity-method accounting and reported on a one-quarter lagging basis.

Non-operating income for the nine months ended September 30, 2013 was $11.3 million, compared to $45.2 million for the same period last year.  Non-operating income for the nine months ended September 30, 2013 included $6.0 million, or $14.7 million on a non-GAAP basis, in earnings from equity investments, which were accounted for under the equity-method accounting and reported on a one-quarter lagging basis.

Net income attributable to SINA for the third quarter of 2013 was $25.4 million, compared to $9.9 million for the same period last year.  Diluted net income per share attributable to SINA for the third quarter of 2013 was $0.37, compared to $0.14 for the same period last year.  Non-GAAP net income attributable to SINA for the third quarter of 2013 was $28.5 million, compared to $11.7 million for the same period last year.  Non-GAAP diluted net income per share attributable to SINA for the third quarter of 2013 was $0.42, compared to $0.17 for the same period last year.

Net income attributable to SINA for the nine months ended September 30, 2013 totaled $0.7 million, or less than $0.01 diluted net loss per share attributable to SINA, compared to $29.4 million, or $0.43 diluted net income per share attributable to SINA for the same period last year.  Non-GAAP net income attributable to SINA for the nine months ended September 30, 2013, was $44.3 million, or $0.65 diluted net income per share, compared to $1.4 million, or $0.01 non-GAAP diluted net income per share, for the same period last year.

As of September 30 2013, SINA's cash, cash equivalents and short-term investments totaled $1,217.9 million, compared to $713.6 million as of December 31, 2012.  The increase in cash, cash equivalents and short-term investments was mainly due to the net cash received from Alibaba for its investment in Weibo in the prior quarter.  For the third quarter of 2013, cash provided by operating activities was $12.3 million, capital expenditures totaled $24.3 million and depreciation expenses amounted to $8.6 million.

Business Outlook

SINA estimates that its non-GAAP net revenues for the fourth quarter of 2013 will be between $190 million and $194 million, including advertising revenues to be between $160 million and $162 million and non-GAAP non-advertising revenues to be between $30 million and $32 million.  Non-GAAP net revenues and non-GAAP non-advertising revenues exclude the recognition of $4.7 million in deferred license revenues related to SINA's equity investment in E-House/CRIC.

Non-GAAP Measures

This release contains the following non-GAAP financial measures: non-GAAP net revenues, non-GAAP non-advertising revenues, non-GAAP advertising and non-advertising gross margin, non-GAAP gross profit, non-GAAP operating expenses, non-GAAP income/(loss) from operations, non-GAAP income/(loss) from equity investments, non-GAAP net income/(loss) attributable to SINA and non-GAAP diluted net income/(loss) per share attributable to SINA.  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 may be defined differently than similar terms 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 measures to the nearest GAAP measures are set forth in the section below titled "Unaudited Reconciliation of Non-GAAP to GAAP Results."

The Company's non-GAAP financial measures exclude share-based compensation, amortization of intangible assets, recognition of deferred revenue in relation to the CRIC Transaction and gain/loss resulting from the disposal, purchase or impairment of a business, investment or non-controlling interest in a subsidiary, change in fair value of investor options liability and tax provision on amortization of intangible assets.  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 business operations 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. Management compensates for these limitations by also considering the Company's financial results prepared in accordance with U.S. GAAP.

Conference Call

SINA will host a conference call at 8 p.m. Eastern Time on November 12, 2013 (or 9a.m. Beijing Time on November 13, 2013) to present an overview of the Company's financial performance and business operations.  A live webcast of the call will be available through the Company's corporate website at http://corp.sina.com.  The conference call can be accessed as follows:

US:

+1 845 675 0438

Hong Kong:

+852 3051 2745

Passcode for all regions:

96197754

A replay of the conference call will be available through midnight Eastern Time November19, 2013.  The dial-in number is +61 2 8199 0299.  The passcode for the replay is 96197754.

About SINA

SINA is an Internet media company serving China and the global Chinese communities.  Our digital media network of SINA.com (portal), Weibo.com (social media),SINA.cn (mobile portal) and other mobile applications, enable Internet users to access professional media and user generated content in multi-media formats from the web and mobile devices and share their interests with friends and acquaintances.

SINA.com offers distinct and targeted professional content on each of its region specific websites and a range of complementary offerings.  Based on an open platform architecture to host organically developed and third-party applications, Weibo is a form of social media, featuring microblogging services and social networking services that allow users to connect and share information anywhere, anytime and with anyone on the platform.  SINA.cn provides information and entertainment content from SINA portal customized for mobile (WAP) users. We have also developed a broad range of mobile apps, such as SINA News, SINA Sports, SINA Finance and SINA Entertainment to complement our mobile offering.

Through these properties and other product lines, SINA offers an array of online media and social networking services to its users to create a rich canvas for businesses and advertisers to connect and engage with their targeted audiences. SINA generates the majority of its revenues from online advertising, MVAS and fee-based services.

Safe Harbor Statement

This press release contains forward-looking statements that relate to, among other things, SINA's expected financial performance and SINA's strategic and operational plans (as described, without limitation, in the "Business Outlook" section and in quotations from management in this press release). SINA may also make forward-looking statements in the Company's periodic reports to the U.S. Securities and Exchange Commission, in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties.  SINA assumes no obligation to update the forward-looking statements in this press release and elsewhere.  Statements that are not historical facts, including statements about the Company's beliefs and expectations, are forward-looking statements.  Forward-looking statements involve inherent risks and uncertainties.  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 SINA's limited operating history in certain new businesses; the global financial and credit market crisis and its impact on the Chinese economy; the uncertain regulatory landscape in China; fluctuations in the Company's quarterly operating results; the Company's reliance on online advertising sales and MVAS for a majority of its revenues; failure to successfully develop, introduce, drive adoption of or monetize new features and products, including portal, Weibo and MVAS products; failure to enter and develop the small and medium enterprise market by the Company or through cooperation with other parties, such a Alibaba; the Company's reliance on mobile operators in China to provide MVAS and changes in mobile operators' policies for MVAS in China; failure to successfully integrate acquired businesses; risks associated with the Company's investments, including equity pick-up and impairment; and failure to compete successfully against new entrants and established industry competitors.  Further information regarding these and other risks is included in SINA's annual report on Form 20-F for the year ended December 31, 2012 and other filings with the Securities and Exchange Commission.

[1] This release contains certain non-GAAP financial measures to provide supplemental information regarding SINA's operating performance. For more information on these non-GAAP financial measures, please see the section captioned "Non-GAAP Financial Measures" and the tables captioned "Unaudited Reconciliation of Non-GAAP to GAAP Results" set forth at the end of this release.

Contact:
Investor Relations
SINA Corporation
Phone: 8610-82628888 x 3112
Email: ir@staff.sina.com.cn

 

SINA CORPORATION

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(U.S. Dollars in thousands, except per share data)












Three months ended


Nine months ended


September 30,


June 30,


September 30,


2013


2012


2013


2013


2012

Net revenues:










    Advertising

$            151,556


$            120,590


$            120,579


$            366,424


$            302,262

    Non-advertising

33,074


31,788


36,906


101,664


87,941


184,630


152,378


157,485


468,088


390,203

Cost of revenues:










    Advertising  (a)

54,585


54,010


56,620


159,015


146,566

    Non-advertising

11,929


15,428


16,520


41,996


41,605


66,514


69,438


73,140


201,011


188,171

Gross profit

118,116


82,940


84,345


267,077


202,032











Operating expenses:










    Sales and marketing (a)

43,803


38,439


40,119


113,946


107,654

    Product development (a)

36,563


28,392


41,250


108,614


79,554

    General and administrative (a)

14,271


12,308


21,159


49,059


28,817

    Amortization of intangibles

288


12


12


312


132


94,925


79,151


102,540


271,931


216,157

Income/(loss) from operations

23,191


3,789


(18,195)


(4,854)


(14,125)











Non-operating income:










   Earning/(loss) from equity investments, net

3,201


883


1,289


6,016


(6,353)

   Gain/(loss) on sale of and impairment on investments, net

(1,607)


3,004


1,850


(10,609)


38,835

   Interest and other income, net

6,061


4,388


5,058


15,904


12,701


7,655


8,275


8,197


11,311


45,183











Income/(loss) before income taxes

30,846


12,064


(9,998)


6,457


31,058

Provision for income taxes

(5,297)


(1,592)


(3,025)


(8,507)


(1,351)











Net income/(loss)

25,549


10,472


(13,023)


(2,050)


29,707

   Less: Net income/(loss) attributable to noncontrolling interest

163


594


(1,490)


(2,732)


324











Net income/(loss) attributable to SINA

$               25,386


$                 9,878


$             (11,533)


$                    682


$               29,383





















Basic net income/(loss) per share attributable to SINA

$                   0.38


$                   0.15


$                  (0.17)


$                   0.01


$                   0.44

Diluted net income/(loss) per share attributable to SINA

$                   0.37


$                   0.14


$                  (0.17)


$                  (0.00)


$                   0.43











Shares used in computing basic










   net income/(loss) per share attributable to SINA

66,918


66,496


66,814


66,806


66,339

Shares used in computing diluted










   net income/(loss) per share attributable to SINA

67,330


66,874


66,814


66,806


66,822





















(a) Stock-based compensation in each category:










        Cost of revenues - advertising

$                    565


$                    865


$                 4,460


$                 5,593


$                 2,423

        Sales and marketing

789


1,187


6,223


7,802


2,707

        Product development

864


1,011


8,794


10,449


2,946

        General and administrative

2,437


3,267


12,155


17,710


5,746

 

 

SINA CORPORATION

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS

(U.S. Dollars in thousands)








September 30,


December 31,



2013


2012


Assets


Current assets:










Cash and cash equivalents

$                566,365


$                199,826


Short-term investments

651,563


513,772


Accounts receivable, net

187,335


135,251


Prepaid expenses and other current assets

35,514


36,498


      Total current assets

1,440,777


885,347






Property and equipment, net

72,046


76,640

Goodwill and intangible assets, net

26,623


15,840

Equity investments, net

518,740


466,875

Other assets

83,855


38,204

Total assets

$             2,142,041


$             1,482,906







Liabilities and Shareholders' Equity


Current liabilities:





Accounts payable

$                     6,253


$                     7,994


Accrued liabilities

230,050


168,677


Deferred revenues

46,848


36,892


Income taxes payable

17,124


13,466


Investor options liability

49,040


-


     Total current liabilities

349,315


227,029






Long-term deferred revenue

93,725


107,784

Other long-term liabilities

3,164


2,220


     Total liabilities

446,204


337,033






Shareholders' equity





SINA shareholders' equity

1,214,357


1,136,670


Non-controlling interest

481,480


9,203


     Total shareholders' equity 

1,695,837


1,145,873






Total liabilities and shareholders' equity

$             2,142,041


$             1,482,906

 

 

SINA CORPORATION

UNAUDITED ADDITIONAL INFORMATION

(U.S. Dollars in thousands)














Three months ended


Nine months ended



September 30,


June 30,


September 30,



2013


2012


2013


2013


2012












Net revenues











Advertising

$          151,556


$        120,590


$            120,579


$        366,424


$              302,262


MVAS

13,454


19,079


19,920


49,237


55,765


Others

19,620


12,709


16,986


52,427


32,176



$          184,630


$        152,378


$            157,485


$        468,088


$              390,203












Cost of revenues











Advertising

$            54,585


$           54,010


$              56,620


$        159,015


$              146,566


MVAS

8,608


12,262


13,816


33,450


34,717


Others

3,321


3,166


2,704


8,546


6,888



$            66,514


$           69,438


$              73,140


$        201,011


$              188,171

 

 

SINA CORPORATION

UNAUDITED RECONCILIATION OF NON-GAAP TO GAAP RESULTS

(U.S. Dollars in thousands, except per share data)






































Three months ended


September 30, 2013


September 30, 2012


June 30, 2013






Non-GAAP






Non-GAAP






Non-GAAP


Actual


Adjustments


Results


Actual


Adjustments


Results


Actual


Adjustments


Results



















Advertising revenues

$    151,556




$    151,556


$      120,590




$    120,590


$    120,579




$    120,579

Non-advertising revenues

33,074


(4,687)

 (c) 

28,387


31,788


(4,687)

 (c) 

27,101


36,906


(4,686)

 (c) 

32,220

Net revenues

$     184,630


$               (4,687)


$     179,943


$       152,378


$               (4,687)


$     147,691


$     157,485


$               (4,686)


$     152,799






















565

 (a) 





865

 (a) 





4,460

 (a) 





(4,687)

 (c) 





(4,687)

 (c) 





(4,686)

 (c) 


Gross profit

$    118,116


$              (4,122)


$    113,994


$        82,940


$              (3,822)


$      79,118


$      84,345


$                 (226)


$      84,119








































(4,090)

 (a) 





(5,465)

 (a) 





(27,172)

 (a) 





(288)

 (b) 





(12)

 (b) 





(12)

 (b) 


Operating expenses

$      94,925


$              (4,378)


$      90,547


$        79,151


$              (5,477)


$      73,674


$    102,540


$           (27,184)


$      75,356








































4,655

 (a) 





6,330

 (a) 





31,632

 (a) 





288

 (b) 





12

 (b) 





12

 (b) 





(4,687)

 (c) 





(4,687)

 (c) 





(4,686)

 (c) 


Income/(loss) from operations

$      23,191


$                   256


$      23,447


$          3,789


$               1,655


$        5,444


$    (18,195)


$             26,958


$        8,763






















4,655

 (a) 

















288

 (b) 











31,632

 (a) 





(4,687)

 (c) 











12

 (b) 





2,496

 (d) 





6,330

 (a) 





(4,686)

 (c) 





1,607

 (e) 





12

 (b) 





2,874

 (d) 





(665)

 (f) 





(4,687)

 (c) 





(1,850)

 (e) 





(515)

 (g) 





3,138

 (d) 





(864)

 (f) 





(69)

(h)





(3,004)

 (e) 





(1,361)

 (g) 


Net income/(loss) attributable to SINA

$      25,386


$               3,110


$      28,496


$          9,878


$               1,789


$      11,667


$    (11,533)


$             25,757


$      14,224





































Diluted net income/(loss) per share attributable to SINA

$           0.37




$           0.42


$             0.14




$           0.17


$         (0.17)




$           0.21

Shares used in computing diluted


















   net income/(loss) per share attributable to SINA

67,330


-


67,330


66,874


-


66,874


66,814


270

 (i) 

67,084





































Gross margin - advertising

64%


0%


64%


55%


1%


56%


53%


4%


57%

Gross margin - non-advertising

64%


-6%


58%


51%


-8%


43%


55%


-6%

*

49%






































Nine months ended








September 30, 2013


September 30, 2012












Non-GAAP






Non-GAAP








Actual


Adjustments


Results


Actual


Adjustments


Results

























Advertising revenues

$    366,424




$    366,424


$      302,262




$    302,262







Non-advertising revenues

101,664


(14,059)

 (c) 

87,605


87,941


(14,059)

 (c) 

73,882







Net revenues

$    468,088


$           (14,059)


$    454,029


$      390,203


$           (14,059)


$    376,144




























5,593

 (a) 





2,423

 (a) 











(14,059)

 (c) 





(14,059)

 (c) 








Gross profit

$    267,077


$              (8,466)


$    258,611


$      202,032


$           (11,636)


$    190,396




























(35,961)

 (a) 





(11,399)

 (a) 











(312)

 (b) 





(132)

 (b) 








Operating expenses

$    271,931


$           (36,273)


$    235,658


$      216,157


$           (11,531)


$    204,626




























41,554

 (a) 





13,822

 (a) 











312

 (b) 





132

 (b) 











(14,059)

 (c) 





(14,059)

 (c) 








Income/(loss) from operations

$       (4,854)


$             27,807


$      22,953


$      (14,125)


$                 (105)


$    (14,230)




























41,554

 (a) 

















312

 (b) 

















(14,059)

 (c) 

















8,645

 (d) 





13,822

 (a) 











10,609

 (e) 





132

 (b) 











(1,529)

 (f) 





(14,059)

 (c) 











(1,876)

 (g) 





10,933

 (d) 











(69)

 (h) 





(38,835)

 (e) 








Net income attributable to SINA

$            682


$             43,587


$      44,269


$        29,383


$           (28,007)


$        1,376











































Diluted net income/(loss) per share attributable to SINA

$         (0.00)




$           0.65


$             0.43




$           0.01







Shares used in computing diluted


















   net income/(loss) per share attributable to SINA

66,806


316

 (i) 

67,122


66,822


-


66,822











































Gross margin - advertising

57%


1%

*

58%


52%


0%

*

52%







Gross margin - non-advertising

59%


-7%


52%


53%


-9%


44%











































(a)  To adjust stock-based compensation related to employee incentives.

(b)  To adjust  amortization of intangible assets.

(c)  To adjust the recognition of deferred revenue mostly related to the license agreements resulting from the CRIC Transaction.

(d)  To adjust share of equity investments' GAAP to Non-GAAP reconciling items, net of share of amortization of intangibles not on their books.

(e)  To adjust gain/(loss) on sale of equity investment, gain/(loss) on deemed disposal and (impairment) on investments, net

(f)  To adjust the change in fair value of investor options liability

(g)  To adjust GAAP to Non-GAAP reconciling items for the gain/(loss) attributable to noncontrolling interest

(h)  To adjust tax provision on amortization of intangible assets

(i)  To adjust the number of shares used in computing diluted net income per share from diluted net loss per share.

    * Rounding



















UNAUDITED RECONCILIATION OF SINA'S SHARE OF EQUITY INVESTMENTS' GAAP TO NON-GAAP RESULTS*




















Three months ended


September 30, 2013


September 30, 2012


June 30, 2013


Actual


Adjustments


Non-GAAP Results


Actual


Adjustments


Non-GAAP Results


Actual


Adjustments


Non-GAAP Results



















To adjust stock-based compensation



$               1,118






$               2,046






$               1,408



To adjust amortization expenses of intangible 


















  assets resulting from business acquisitions



941






749






1,050



Earning from equity investments, net

$        3,638


$               2,059


$        5,697


$          1,226


$               2,795


$        4,021


$        1,705


$               2,458


$        4,163

Share of amortization of equity investments' 


















  intangibles not on their books

$          (437)


$                  437


$               -


$            (343)


$                   343


$               -


$          (416)


$                   416


$               -


$        3,201


$               2,496


$        5,697


$              883


$               3,138


$        4,021


$        1,289


$               2,874


$        4,163






































Nine months ended








September 30, 2013


September 30, 2012








Actual


Adjustments


Non-GAAP Results


Actual


Adjustments


Non-GAAP Results

























To adjust stock-based compensation



$               4,158






$               5,161









To adjust amortization expenses of intangible 


















  assets resulting from business acquisitions



3,193






4,100









Earning/(loss) from equity investments, net

$        7,310


$               7,351


$      14,661


$         (4,681)


$               9,261


$        4,580







Share of amortization of equity investments' 


















  intangibles not on their books

$      (1,294)


$               1,294


$               -


$         (1,672)


$               1,672


$               -








$        6,016


$               8,645


$      14,661


$         (6,353)


$             10,933


$        4,580





























































* Earning/(loss) from equity investments is recorded one quarter in arrears.

 






* Earning/(loss) from equity investments is recorded one quarter in arrears.

SOURCE SINA Corporation



RELATED LINKS
http://corp.sina.com

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