Weibo monthly active users (“MAUs”) were 550 million in March 2020, a net addition of approximately 85 million users, or 16% increase on year over year basis. Mobile MAUs represented about 94% of MAUs.
Weibo’s average daily active users were 241 million in March 2020, a net addition of approximately 38 million users on year over year basis. WeChat MAU up 8% to 1.2 billion.
Weibo Financial Results in Q1 2020
For Q1 2020, Weibo’s total net revenues were $323.4 million, a decrease of 19% compared to $399.2 million for Q1 2019.
- Advertising and marketing revenues for Q1 2020 were $275.4 million, a decrease of 19% compared to $341.1 million for Q1 2019.
- Advertising and marketing revenues from key accounts (“KAs”) and small & medium-sized enterprises (“SMEs”) were $247.9 million, a decrease of 24% compared to $324.5 million for Q1 2019.
- VAS revenues for Q1 2020 were $48.0 million, a decrease of 17% year-over-year compared to $58.0 million for Q1 2019, primarily due to the decrease of revenues from live streaming business and was partially offset by the increase of membership revenues
Costs and expenses for Q1 2020 totaled $265.4 million, compared to $276.1 million for Q1 2019. Non-GAAP costs and expenses were $249.3 million, compared to $262.4 million for Q1 2019.
Income from operations for Q1 2020 was $58.0 million, compared to $123.1 million for Q1 2019. Non-GAAP income from operations was $74.1 million, compared to $136.8 million for Q1 2019.
Non-operating income for Q1 2020 was $10.0 million, compared to $48.6 million for Q1 2019. Non-operating income for Q1 2020 mainly included
- a $12.9 million net interest and other income;
- a $2.9 million net loss on the sale of investments and fair value changes on investments, which is excluded under non-GAAP measures.
Income tax expenses were $15.9 million, compared to $21.1 million for Q1 2019. The decrease was primarily resulted from reduced earnings and was partially offset by the estimated increase of effective tax rate for China operations primarily due to the expiration of the preferential tax treatment of one of the Weibo’s PRC subsidiaries in 2020.
Net income attributable to Weibo for Q1 2020 was $52.1 million, compared to $150.4 million for Q1 2019. Diluted net income per share attributable to Weibo for Q1 2020 was $0.23, compared to $0.66 for Q1 2019.
Non-GAAP net income attributable to Weibo for Q1 2020 was $67.4 million, compared to $128.5 million for Q1 2019. Non-GAAP diluted net income per share attributable to Weibo for Q1 2020 was $0.30, compared to $0.56 for Q1 2019.
As of March 31, 2020, Weibo’s cash, cash equivalents, and short-term investments totaled $2.35 billion. for Q1 2020, cash provided by operating activities was $63.6 million, capital expenditures totaled $7.3 million, and depreciation and amortization expenses amounted to $6.8 million.
For the second quarter of 2020, Weibo estimates its net revenues to decrease by 7% to 12% year-over-year on a constant currency basis. This forecast reflects Weibo’s current and preliminary view, which is subject to change.