Renren, a social networking internet platform in China, announced its unaudited financial results for the second quarter ended June 30, 2015. Total net revenues were $15.1 million, representing a 34% decrease from the corresponding period in 2014.
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Renren net revenues were $10.3 million, representing a 21.1% decrease from the corresponding period of 2014. Within Renren net revenues, online advertising revenues were $3.9 million for the second quarter of 2015, a 60.1% decrease from the corresponding period of 2014.
The decrease was due to increasing competition and the continuing migration of our traffic to mobile. Internet Value-Added Services (IVAS) revenues were $6.4 million, representing a 90.8% increase from the corresponding period in 2014, primarily due to the increase in revenue from the social video platform Woxiu.
Monthly unique log-in users increased from approximately 44 million in June 2014 to approximately 45 million in June 2015.
Games net revenues were $4.8 million for the second quarter of 2015, a 51.1% decrease from the corresponding period of 2014. The decrease was due to the previously launched games having reached their mature stages.
Cost of revenues was $9.9 million, a 15.4% decrease from the corresponding period of 2014.
Operating expenses were $29.5 million, a 20.0% decrease from the corresponding period of 2014.
Selling and marketing expenses were $9.2 million, a 9.3% decrease from the corresponding period of 2014. The decrease was primarily due to the decrease in advertising and promotions for online games and Renren branding campaigns.
Research and development expenses were $8.8 million, a 31.8% decrease from the corresponding period in 2014. The decrease was primarily due to headcount reduction and the resulting decrease in personnel related expense.
General and administrative expenses were $11.5 million, a 14.1% decrease from the corresponding period in 2014. The decrease was primarily due to the decrease in bad debt expenses.
Share-based compensation expenses, all of which were included in operating expenses, were $6.2 million, compared to $5.3 million in the corresponding period in 2014.
Operating loss was $24.3 million, compared to an operating loss of $25.6 million in the corresponding period in 2014.
Net loss attributable to the Company was $78.1 million, compared to a net income of $31.3 million in the corresponding period in 2014. In the second quarter of 2014 the Company recognized a $86.0 million gain from the disposal of available-for-sales marketable securities.
Adjusted net loss (non-GAAP) was $71.9 million, compared to an adjusted net income of $37.4 million in the corresponding period in 2014.
Renren repurchased approximately 16.8 million ADSs for an aggregate amount of approximately $52.2 million under the share repurchase program which expired on June 27, 2015. ■