WB(WB) - 2024 Q2 - Quarterly Results

Financial Performance - Net revenues for Q2 2024 were $437.9 million, a decrease of 1% year-over-year, but an increase of 1% on a constant currency basis[3]. - Advertising and marketing revenues were$ 375.3 million, a decrease of 3% year-over-year, while excluding Alibaba, revenues were $342.9 million, a decrease of 4%[5]. - Value-added services (VAS) revenues increased by 15% year-over-year to$ 62.6 million, driven primarily by growth in membership services[5]. - Net revenues for the six months ended June 30, 2024, were $714,228 thousand, a decrease of 3.5% compared to$ 740,974 thousand for the same period in 2023[19]. - Net income attributable to Weibo's shareholders for the six months ended June 30, 2024, was $161,369 thousand, down from$ 181,879 thousand in the same period of 2023, representing a decline of 11.3%[19]. - Net revenues for the second quarter of 2023 reached $440.24 million, a 11.3% increase from$ 395.50 million in the previous quarter[27]. User Engagement - Monthly active users (MAUs) reached 583 million, and average daily active users (DAUs) were 256 million in June 2024[3]. - The company emphasized improved user engagement and operating efficiency, focusing on high-quality user acquisition and a vertical content strategy[2]. Income and Margins - Income from operations was $135.4 million, with an operating margin of 31%, up from 28% in the previous year[6]. - Non-GAAP income from operations was$ 157.6 million, representing a non-GAAP operating margin of 36%, compared to 35% last year[6]. - Net income attributable to Weibo's shareholders was $111.9 million, an increase from$ 81.4 million in the same period last year[8]. - Basic net income per share attributable to Weibo's shareholders for the six months ended June 30, 2024, was $0.68, compared to$ 0.77 for the same period in 2023, a decrease of 11.7%[19]. Cash and Investments - Cash, cash equivalents, and short-term investments totaled $2.8 billion as of June 30, 2024[9]. - Cash and cash equivalents as of June 30, 2024, were$ 1,922,371 thousand, down from $2,584,635 thousand as of December 31, 2023, a decline of 25.7%[21]. - The company’s investment-related loss for the six months ended June 30, 2024, was$ (4,725) thousand, compared to a loss of $(25,190) thousand for the same period in 2023, indicating an improvement[19]. - Investment related gain for the second quarter of 2023 was$ 25.19 million, significantly higher than $4.97 million in the previous quarter[24]. Costs and Expenses - Total costs and expenses for the six months ended June 30, 2024, were$ 598,248 thousand, compared to $634,075 thousand for the same period in 2023, reflecting a decrease of 5.7%[19]. - Stock-based compensation for the second quarter of 2023 was$ 26.07 million, compared to $21.01 million in the previous quarter[24]. Assets and Liabilities - Total assets as of June 30, 2024, were$ 7,102,285 thousand, a decrease from $7,280,358 thousand as of December 31, 2023, representing a decline of 2.4%[21]. - Total liabilities as of June 30, 2024, were$ 3,688,718 thousand, down from $3,762,742 thousand as of December 31, 2023, a decrease of 2.0%[22]. - The company reported a decrease in accounts receivable, net, to$ 371,291 thousand as of June 30, 2024, from $440,768 thousand as of December 31, 2023, a decline of 15.7%[21]. - The company’s total shareholders' equity increased to$ 3,375,350 thousand as of June 30, 2024, from $3,448,888 thousand as of December 31, 2023, a decrease of 2.1%[22]. Previous Quarter Comparisons - Non-GAAP diluted net income per share attributable to Weibo's shareholders was$ 0.53 for the second quarter of 2023, up from $0.41 in the previous quarter[24]. - Adjusted EBITDA for the second quarter of 2023 was$ 163.88 million, an increase from $133.03 million in the previous quarter[24]. - Non-GAAP operating margin improved to 35% in the second quarter of 2023, compared to 32% in the previous quarter[24]. - Advertising revenue from non-Ali advertisers was$ 358.89 million for the second quarter of 2023, compared to $316.40 million in the previous quarter, reflecting a 13.4% increase[27]. - Value-added services revenue increased to$ 54.57 million in the second quarter of 2023, up from $56.55 million in the previous quarter[27].