Jianpu Technology(JT) - 2023 Q2 - Quarterly Report

Revenue Performance - Total revenues for Q2 2023 increased by 7.7% to RMB285.5 million (US$39.4 million) compared to RMB265.1 million in Q2 2022, driven by growth in big data and marketing services[13]. - Revenues from recommendation services decreased by 8.9$25.7 million) in Q2 2023, primarily due to a 25.0% decline in credit card volume[2][14]. - Revenues from big data and system-based risk management services increased by 23.2% to RMB28.1 million (US$3.9 million) in Q2 2023, attributed to higher average spending per customer[3][17]. - Revenues from marketing and other services surged by 88.6$9.8 million) in Q2 2023, mainly due to growth in insurance brokerage services[3][17]. - Total revenues for the first half of 2023 increased by 21.6% to RMB574.9 million (US$79.3 million) from RMB472.6 million in the same period of 2022[27]. - Revenues from recommendation services for loans increased by 28.6$20.1 million) in the first half of 2023, with the number of loan applications rising by 18.3% to approximately 9.7 million[29]. - Revenues from marketing and other services surged by 84.4% to RMB149.0 million (US$20.5 million) in the first half of 2023, driven by growth in insurance brokerage services[31]. - Revenues from recommendation services for credit cards slightly decreased by 2.6$31.7 million) in the first half of 2023, attributed to reduced marketing budgets from credit card issuers[28]. - Total revenues for Jianpu Technology Inc. increased to RMB 285,533 thousand in 2023, up from RMB 265,064 thousand in 2022, representing a growth of approximately 7.5%[50]. - The revenue from recommendation services reached RMB 186,536 thousand in 2023, compared to RMB 204,708 thousand in 2022, indicating a decline of about 8.9%[50]. Profitability and Losses - Loss from operations improved to RMB10.6 million (US$1.5 million) in Q2 2023, down from RMB35.9 million in Q2 2022, with an operating loss margin of 3.7$0.1 million) in Q2 2023, compared to RMB35.9 million in the same period of 2022, resulting in a net loss margin of 0.3%[4][21]. - Non-GAAP adjusted net loss decreased by 77.3% year-over-year to RMB7.3 million (US$1.0 million) in Q2 2023, with a non-GAAP adjusted net loss margin of 2.6$3.0 million), significantly improved from RMB89.0 million in the same period of 2022, resulting in a net loss margin of 3.8%[34]. - Non-GAAP adjusted net loss for the first half of 2023 was RMB26.7 million (US$3.7 million), compared to RMB82.9 million in the same period of 2022, with a non-GAAP adjusted net loss margin of 4.6$26.3 million) in Q2 2023, slightly down from RMB191.8 million in Q2 2022[17]. - Research and development expenses decreased by 16.7% to RMB24.4 million (US$3.4 million) in Q2 2023, reflecting ongoing cost optimization efforts[18]. - Cost of promotion and acquisition increased by 17.6$55.4 million) in the first half of 2023, reflecting the growth in revenues from marketing and other services[31]. - Operating loss for the first half of 2023 was RMB34.2 million (US$4.7 million), an improvement from RMB90.5 million in the same period of 2022, with an operating loss margin of 5.9$92.2 million) as of June 30, 2023, a decrease of RMB15.7 million from December 31, 2022[26]. - Cash and cash equivalents as of June 30, 2023, were RMB 316,601 thousand, down from RMB 346,539 thousand as of December 31, 2022, a decrease of approximately 8.6%[48]. - The total assets of Jianpu Technology Inc. remained relatively stable, totaling RMB 964,015 thousand as of June 30, 2023, compared to RMB 962,262 thousand as of December 31, 2022[48]. - The company’s accumulated losses increased to RMB 1,445,349 thousand in June 2023 from RMB 1,424,153 thousand in December 2022, an increase of about 1.5%[48]. - Total current liabilities increased to RMB 516,868 thousand in June 2023 from RMB 509,197 thousand in December 2022, reflecting a rise of about 1.3%[48]. Investment and Financial Position - The investment gain recognized from the deconsolidation of Newsky Wisdom was RMB7.1 million in the second quarter of 2023[23]. - The Group recognized an investment gain of RMB 7.1 million from the deconsolidation of Newsky Wisdom in Q2 2023, following the transfer of 35.5% shares[54]. - The investment impairment loss was nil for the three months ended June 30, 2023, compared to RMB 7,823 in the same period of 2022, indicating a positive shift in asset valuation[54]. - The Group's net interest expenses turned negative at RMB (1,531) for the three months ended June 30, 2023, compared to RMB 1,583 in the same period of 2022, reflecting a significant change in financial position[54]. Related Party Transactions - The total revenues from related parties for the six months ended June 30, 2023, were RMB 1,628, down from RMB 2,332 in the same period of 2022, reflecting a decline of approximately 30.2%[53]. - The cost of operation from related parties increased to RMB 471 for the six months ended June 30, 2023, compared to RMB 208 in the same period of 2022, marking an increase of about 126.4%[53]. - The expenses from related parties for the six months ended June 30, 2023, were RMB 256, down from RMB 367 in the same period of 2022, representing a decrease of approximately 30.2%[53].