SINA Corporation Q2 advertising revenues jumps to $205 million
Staff Writer |
SINA Corporation announced its unaudited financial results for the second quarter ended June 30, 2016.
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For the second quarter of 2016, SINA reported net revenues of $244 million, compared to $213.6 million for the same period last year.
Non-GAAP net revenues for the second quarter of 2016 totaled $241.4 million, compared to $211.0 million for the same period last year.
Online advertising revenues for the second quarter of 2016 were $205 million, compared to $176.3 million for the same period last year.
The year-over-year growth in online advertising revenues resulted from an increase of $38.4 million in Weibo advertising and marketing revenues, partially offset by a decline of $9.7 million in portal advertising revenues.
Non-advertising revenues for the second quarter of 2016 were $38.9 million. Non-GAAP non-advertising revenues for the second quarter of 2016 were $36.3 million, compared to $34.7 million for the same period last year.
Gross margin was 64%, compared to 60% for the same period last year. Advertising gross margin for the second quarter of 2016 was 64%, compared to 61% for the same period last year.
The growing revenue proportion contributed by small and medium enterprises customers in both portal and Weibo business is the key factor that resulted in a higher gross margin for our advertising business.
Non-advertising gross margin for the second quarter of 2016 was 59%, compared to 54% for the same period last year. The increase in non-advertising margin was primarily due to increase in revenues contributed by higher margin business, such as Weibo’s membership revenues.
Operating expenses for the second quarter of 2016 totaled $134.2 million, compared to $134.4 million for the same period last year. Non-GAAP operating expenses for the second quarter of 2016 totaled $119.7 million, compared to $120.1 million for the same period last year.
Income from operations for the second quarter of 2016 was $20.8 million, compared to a loss of $6.8 million for the same period last year. Operating margin was 9%, up from negative 3% for the same period last year.
Non-GAAP income from operations for the second quarter of 2016 was $34.5 million, compared to $6.0 million for the same period last year. Non-GAAP operating margin was 14%, up from 3% for the same period last year.
Non-operating income for the second quarter of 2016 was $35.0 million, compared to a non-operating income of $22.8 million for the same period last year.
Net income attributable to SINA for the second quarter of 2016 was $43.3 million, compared to $11.7 million for the same period last year. Diluted net income per share attributable to SINA for the second quarter of 2016 was $0.59, compared to $0.19 for the same period last year.
Non-GAAP net income attributable to SINA for the second quarter of 2016 was $19.9 million, compared to $4.0 million for the same period last year. Non-GAAP diluted net income per share attributable to SINA for the second quarter of 2016 was $0.27, compared to $0.06 for the same period last year.
As of June 30, 2016, SINA’s cash, cash equivalents and short-term investments totaled $2.1 billion, compared to $2.2 billion as of December 31, 2015.
For the second quarter of 2016, net cash provided by operating activities was $76.6 million, capital expenditures totaled $4.9 million, and depreciation and amortization expenses amounted to $7.0 million.
For the year 2016, SINA currently estimates that its non-GAAP net revenues are between $950 million and $1 billion, which is updated from the range of $850 million to $950 million and represents a 9% to 15% year over year increase from the year 2015.
This estimate assumes that RMB depreciates to US dollar at an average rate of 5% in 2016 and excludes the recognition of $10.4 million in deferred license revenues from E-House. ■