Document and Entity Information
Document and Entity Information | 9 Months Ended |
Sep. 30, 2016shares | |
Document and Entity Information [Abstract] | |
Document Type | 10-Q |
Amendment Flag | false |
Document Period End Date | Sep. 30, 2016 |
Document Fiscal Year Focus | 2,016 |
Document Fiscal Period Focus | Q3 |
Entity Registrant Name | SOHU COM INC |
Entity Central Index Key | 1,104,188 |
Current Fiscal Year End Date | --12-31 |
Entity Current Reporting Status | Yes |
Entity Filer Category | Large Accelerated Filer |
Entity Common Stock, Shares Outstanding | 38,732,891 |
Trading Symbol | SOHU |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
ASSETS | ||
Cash and cash equivalents | $ 1,092,085 | $ 1,245,205 |
Restricted time deposits | 0 | 227,285 |
Short-term investments | 264,109 | 174,515 |
Accounts receivable, net | 204,748 | 273,617 |
Assets held for sale | 101,786 | 0 |
Prepaid and other current assets (including $15,820 and $29,852, respectively, due from a related party as of December 31, 2015 and September 30, 2016) | 274,701 | 158,890 |
Total current assets | 1,937,429 | 2,079,512 |
Long-term investments, net | 68,861 | 62,093 |
Restricted time deposits | 9,270 | 136,694 |
Fixed assets, net | 525,899 | 508,692 |
Intangible assets, net | 33,593 | 55,415 |
Goodwill | 69,688 | 154,219 |
Prepaid non-current assets | 5,167 | 6,254 |
Other assets | 25,546 | 39,315 |
Total assets | 2,675,453 | 3,042,194 |
LIABILITIES | ||
Accounts payable (including accounts payable of consolidated variable interest entities ("VIEs") without recourse to the Company of $23,757 and $11,505, respectively, as of December 31, 2015 and September 30, 2016) | 163,843 | 129,025 |
Accrued liabilities (including accrued liabilities of consolidated VIEs without recourse to the Company of $79,012 and $84,379, respectively, as of December 31, 2015 and September 30, 2016) | 335,046 | 309,657 |
Receipts in advance and deferred revenue (including receipts in advance and deferred revenue of consolidated VIEs without recourse to the Company of $55,319 and $48,764, respectively, as of December 31, 2015 and September 30, 2016) | 128,943 | 135,385 |
Accrued salary and benefits (including accrued salary and benefits of consolidated VIEs without recourse to the Company of $11,357 and $10,377, respectively, as of December 31, 2015 and September 30, 2016) | 84,783 | 99,631 |
Taxes payable (including taxes payable of consolidated VIEs without recourse to the Company of $21,424 and $9,435, respectively, as of December 31, 2015 and September 30, 2016) | 38,764 | 67,480 |
Deferred tax liabilities (including deferred tax liabilities of consolidated VIEs without recourse to the Company of $1,490 and $1,375, respectively, as of December 31, 2015 and September 30, 2016) | 26,247 | 24,884 |
Short-term bank loans (including short-term bank loans of consolidated VIEs without recourse to the Company of nil as of both December 31, 2015 and September 30, 2016) | 0 | 344,500 |
Liabilities held for sale (including liabilities held for sale of consolidated VIEs without recourse to the Company of nil and $2,452, respectively, as of December 31, 2015 and September 30, 2016) | 3,236 | 0 |
Other short-term liabilities (including other short-term liabilities of consolidated VIEs without recourse to the Company of $106,976 and $136,159, respectively, as of December 31, 2015 and September 30, 2016, and due to a related party of $13,005 and $29,608, respectively, as of December 31, 2015 and September 30, 2016) | 198,171 | 154,017 |
Total current liabilities | 979,033 | 1,264,579 |
Long-term accounts payable (including long-term accounts payable of consolidated VIEs without recourse to the Company of $2,858 and nil as of December 31, 2015 and September 30, 2016) | 17,272 | 4,600 |
Long-term taxes payable (including long-term taxes payable of consolidated VIEs without recourse to the Company of nil and $13,986 as of December 31, 2015 and September 30, 2016) | 33,199 | 24,732 |
Deferred tax liabilities (including deferred tax liabilities of consolidated VIEs without recourse to the Company of nil as of both December 31, 2015 and September 30, 2016) | 14,037 | 17,531 |
Total long-term liabilities | 64,508 | 46,863 |
Total liabilities | 1,043,541 | 1,311,442 |
Commitments and contingencies | ||
SHAREHOLDERS' EQUITY | ||
Common stock: $0.001 par value per share (75,400 shares authorized; 38,653 shares and 38,733 shares, respectively, issued and outstanding as of December 31, 2015 and September 30, 2016) | 45 | 45 |
Additional paid-in capital | 823,921 | 798,357 |
Treasury stock (5,889 shares as of both December 31, 2015 and September 30, 2016) | (143,858) | (143,858) |
Accumulated other comprehensive income | 25,962 | 50,151 |
Retained earnings | 378,203 | 536,327 |
Total Sohu.com Inc. shareholders' equity | 1,084,273 | 1,241,022 |
Noncontrolling interest | 547,639 | 489,730 |
Total shareholders' equity | 1,631,912 | 1,730,752 |
Total liabilities and shareholders' equity | $ 2,675,453 | $ 3,042,194 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) shares in Thousands, $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Due from a related party | $ 29,852 | $ 15,820 |
Accounts payable | 163,843 | 129,025 |
Accrued liabilities | 335,046 | 309,657 |
Receipts in advance and deferred revenue | 128,943 | 135,385 |
Accrued salary and benefits | 84,783 | 99,631 |
Taxes payable | 38,764 | 67,480 |
Deferred tax liabilities | 26,247 | 24,884 |
Short-term bank loans | 0 | 344,500 |
Liabilities held for sale | 3,236 | 0 |
Other short-term liabilities | 198,171 | 154,017 |
Long-term accounts payable | 17,272 | 4,600 |
Long-term taxes payable | 33,199 | 24,732 |
Deferred tax liabilities | $ 14,037 | $ 17,531 |
Common stock, par value per share (in dollars per share) | $ 0.001 | |
Common stock, shares authorized (in shares) | 75,400 | |
Common stock, shares outstanding (in shares) | 38,733 | 38,653 |
Treasury stock, shares (in shares) | 5,889 | 5,889 |
Consolidated VIEs [Member] | ||
Accounts payable | $ 11,505 | $ 23,757 |
Accrued liabilities | 84,379 | 79,012 |
Receipts in advance and deferred revenue | 48,764 | 55,319 |
Accrued salary and benefits | 10,377 | 11,357 |
Taxes payable | 9,435 | 21,424 |
Deferred tax liabilities | 1,375 | 1,490 |
Short-term bank loans | 0 | 0 |
Liabilities held for sale | 2,452 | 0 |
Other short-term liabilities | 136,159 | 106,976 |
Due to a related party | 29,608 | 13,005 |
Long-term accounts payable | 0 | 2,858 |
Long-term taxes payable | 13,986 | 0 |
Deferred tax liabilities | $ 0 | $ 0 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Revenues: | ||||
Brand advertising (including revenues generated from a related party of nil for the three months ended both September 30, 2015 and 2016, and of nil and $862, respectively, for the nine months ended September 30, 2015 and 2016) | $ 110,871 | $ 151,517 | $ 349,261 | $ 436,187 |
Search and search-related | 150,667 | 147,938 | 444,633 | 388,270 |
Subtotal of online advertising revenues | 261,538 | 299,455 | 793,894 | 824,457 |
Online games | 98,553 | 152,501 | 300,309 | 509,845 |
Others | 50,491 | 70,134 | 144,469 | 136,686 |
Total revenues | 410,582 | 522,090 | 1,238,672 | 1,470,988 |
Cost of revenues: | ||||
Brand advertising | 102,137 | 91,163 | 281,427 | 295,562 |
Search and search-related | 76,457 | 62,365 | 210,547 | 170,836 |
Subtotal of cost of online advertising revenues | 178,594 | 153,528 | 491,974 | 466,398 |
Online games | 23,719 | 34,635 | 75,232 | 128,049 |
Others | 20,571 | 25,996 | 60,783 | 63,066 |
Total cost of revenues | 222,884 | 214,159 | 627,989 | 657,513 |
Gross profit | 187,698 | 307,931 | 610,683 | 813,475 |
Operating expenses: | ||||
Product development | 90,007 | 92,779 | 261,645 | 295,741 |
Sales and marketing (including expenses generated for a related party of nil for the three months ended both September 30, 2015 and 2016, and of nil and $216, respectively, for the nine months ended September 30, 2015 and 2016) | 110,584 | 98,596 | 318,597 | 285,701 |
General and administrative | 38,670 | 33,330 | 95,927 | 128,214 |
Goodwill impairment and impairment of intangible assets acquired as part of business acquisitions | 0 | 40,324 | 0 | 40,324 |
Total operating expenses | 239,261 | 265,029 | 676,169 | 749,980 |
Operating profit /(loss) | (51,563) | 42,902 | (65,486) | 63,495 |
Other income /(loss) | 3,678 | 70,219 | (16,971) | 72,936 |
Net interest income | 6,118 | 5,192 | 16,297 | 17,455 |
Exchange difference | 702 | 4,322 | 3,546 | 3,452 |
Income /(loss) before income tax expense | (41,065) | 122,635 | (62,614) | 157,338 |
Income tax expense | (974) | (29,461) | (15,272) | (57,280) |
Net income /(loss) | (42,039) | 93,174 | (77,886) | 100,058 |
Less: Net income attributable to the noncontrolling interest shareholders | 32,775 | 42,142 | 80,238 | 107,345 |
Deemed dividend to noncontrolling Sogou Series A Preferred shareholders | 0 | 11,911 | 0 | 11,911 |
Net income /(loss) attributable to Sohu.com Inc. | (74,814) | 39,121 | (158,124) | (19,198) |
Net income /(loss) | (42,039) | 93,174 | (77,886) | 100,058 |
Foreign currency translation adjustments | (7,619) | (61,470) | (35,031) | (59,509) |
Change in unrealized gain /(loss) for available-for-sale securities | (693) | (6,129) | (2,121) | 4,695 |
Other comprehensive loss | (8,312) | (67,599) | (37,152) | (54,814) |
Comprehensive income /(loss) | (50,351) | 25,575 | (115,038) | 45,244 |
Less: Comprehensive income attributable to noncontrolling interest shareholders | 29,724 | 23,215 | 67,275 | 89,065 |
Deemed dividend to noncontrolling Sogou Series A Preferred shareholders | 0 | 11,911 | 0 | 11,911 |
Comprehensive loss attributable to Sohu.com Inc. | $ (80,075) | $ (9,551) | $ (182,313) | $ (55,732) |
Basic net income /(loss) per share attributable to Sohu.com Inc. | $ (1.93) | $ 1.01 | $ (4.09) | $ (0.50) |
Shares used in computing basic net income loss per share attributable to Sohu.com Inc. | 38,728 | 38,633 | 38,695 | 38,582 |
Diluted net income /(loss) per share attributable to Sohu.com Inc. | $ (1.94) | $ 1 | $ (4.12) | $ (0.52) |
Shares used in computing diluted net income /(loss) per share attributable to Sohu.com Inc. | 38,728 | 38,665 | 38,695 | 38,582 |
Consolidated Statements of Com5
Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME [Abstract] | ||||
Revenues from a related party | $ 0 | $ 0 | $ 862 | $ 0 |
Expenses for a related party | $ 0 | $ 0 | $ 216 | $ 0 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
Cash flows from operating activities: | ||
Net income /(loss) | $ (77,886) | $ 100,058 |
Adjustments to reconcile net income /(loss) to net cash provided by operating activities: | ||
Amortization of intangible assets and purchased video content in prepaid expense | 105,773 | 129,475 |
Depreciation | 53,769 | 60,798 |
Goodwill impairment and impairment of intangible assets acquired as part of a business acquisition | 0 | 40,324 |
Share-based compensation expense | 16,147 | 28,465 |
Impairment of intangible assets | 6,027 | 12,015 |
Investment loss from equity investments | 1,006 | 3,791 |
Provision for allowance for doubtful accounts | 4,341 | 1,676 |
Gain from sale of the 7Road business and certain Changyou subsidiaries | 0 | (55,139) |
Gain from sale of an equity investment | 0 | (12,962) |
Change in fair value of short-term investments | (7,732) | (1,050) |
Others | (407) | 2,163 |
Changes in assets and liabilities, net of acquisition: | ||
Accounts receivable | 56,560 | (67,284) |
Prepaid and other assets | 17,782 | 2,941 |
Accounts payable | 17,507 | 7,150 |
Accrued liabilities and other short-term liabilities | 64,720 | 66,636 |
Receipts in advance and deferred revenue | (2,792) | 11,202 |
Taxes payable | (45,782) | 17,592 |
Deferred tax | 5,191 | 9,612 |
Net cash provided by operating activities | 214,224 | 357,463 |
Cash flows from investing activities: | ||
Purchase of intangible and other assets | (134,513) | (106,613) |
Purchase of fixed assets | (89,990) | (84,127) |
Proceeds from financial instruments | 295,591 | 542,372 |
Purchase of financial instruments | (282,000) | (618,960) |
Purchase of long-term investments | (12,940) | (37,803) |
Funds to /(Return of funds from) a third party | 3,619 | (20,033) |
Matching loan to a related party | (18,115) | (13,086) |
Consideration received from sale of the 7Road business and certain Changyou subsidiaries, net of cash in 7Road upon its disposition | 0 | 183,114 |
Cash received related to restricted time deposits, net | 225,462 | 30,840 |
Proceeds received from sale of an equity investment | 0 | 11,938 |
Other cash proceeds related to investing activities | 3,840 | 3,866 |
Net cash used in investing activities | (9,046) | (108,492) |
Cash flows from financing activities: | ||
Matching loan from a related party | 17,041 | 12,900 |
Issuance of common stock | 3 | 2,124 |
Exercise of share-based awards in subsidiary | 288 | 7 |
Repayments of loans from offshore banks | (344,500) | (25,500) |
Repurchase of Sogou Series A Preferred Shares from noncontrolling shareholders | 0 | (21,015) |
Repurchase of Changyou American depositary shares ("ADSs") | 0 | (14,517) |
Other cash proceeds /(payments) related to financing activities | (423) | 2,855 |
Net cash used in financing activities | (327,591) | (43,146) |
Effect of exchange rate changes on cash and cash equivalents | (20,427) | (8,220) |
Reclassification of cash and cash equivalents to assets held for sale | (10,280) | (66) |
Net increase /(decrease) in cash and cash equivalents | (153,120) | 197,539 |
Cash and cash equivalents at beginning of period | 1,245,205 | 876,340 |
Cash and cash equivalents at end of period | 1,092,085 | 1,073,879 |
Supplemental cash flow disclosures: | ||
Barter transactions | 9,259 | 1,411 |
Supplemental schedule of non-cash investing activity: | ||
Consideration payable for an acquisition and an equity investment | $ 0 | $ 10,722 |
Consolidated Statement of Chang
Consolidated Statement of Changes in Equity - USD ($) $ in Thousands | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Treasury Stock [Member] | Accumulated Other Comprehensive Income [Member] | Retained Earnings [Member] | Noncontrolling Interest [Member] |
Beginning balance at Dec. 31, 2014 | $ 1,688,906 | $ 44 | $ 650,148 | $ (143,858) | $ 109,402 | $ 585,925 | $ 487,245 |
Issuance of common stock | 2,126 | 1 | 2,125 | 0 | 0 | 0 | 0 |
Repurchase of Changyou ADSs | (14,517) | 0 | (9,982) | 0 | 0 | 0 | (4,535) |
Share-based compensation expense | 28,515 | 0 | 16,684 | 0 | 0 | 0 | 11,831 |
Settlement of share-based awards in subsidiary | 357 | 0 | 33,649 | 0 | 0 | 0 | (33,292) |
Repurchase of Sogou Series A Preferred Shares from noncontrolling shareholders, net of transaction expense | (21,329) | 0 | 90,719 | 0 | 0 | (11,911) | (100,137) |
Purchase of noncontrolling interest in RaidCall | 0 | 0 | 458 | 0 | 0 | 0 | (458) |
Noncontrolling interest recognized in domestic companies | 277 | 0 | 0 | 0 | 0 | 0 | 277 |
Net income attributable to Sohu.com Inc. and noncontrolling interest shareholders | 100,058 | 0 | 0 | 0 | 0 | (7,287) | 107,345 |
Accumulated other comprehensive loss | (54,814) | 0 | 0 | 0 | (36,534) | 0 | (18,280) |
Ending balance at Sep. 30, 2015 | 1,729,579 | 45 | 783,801 | (143,858) | 72,868 | 566,727 | 449,996 |
Beginning balance at Dec. 31, 2015 | 1,730,752 | 45 | 798,357 | (143,858) | 50,151 | 536,327 | 489,730 |
Share-based compensation expense | 16,145 | 0 | 5,095 | 0 | 0 | 0 | 11,050 |
Settlement of share-based awards in subsidiary | 337 | 0 | 19,136 | 0 | 0 | 0 | (18,799) |
Contribution from noncontrolling interest shareholder | 0 | 0 | 1,333 | 0 | 0 | 0 | (1,333) |
Disposal of noncontrolling interest | (238) | 0 | 0 | 0 | 0 | 0 | (238) |
Other | (46) | 0 | 0 | 0 | 0 | 0 | (46) |
Net income attributable to Sohu.com Inc. and noncontrolling interest shareholders | (77,886) | 0 | 0 | 0 | 0 | (158,124) | 80,238 |
Accumulated other comprehensive loss | (37,152) | 0 | 0 | 0 | (24,189) | 0 | (12,963) |
Ending balance at Sep. 30, 2016 | $ 1,631,912 | $ 45 | $ 823,921 | $ (143,858) | $ 25,962 | $ 378,203 | $ 547,639 |
The Company and Basis of Presen
The Company and Basis of Presentation | 9 Months Ended |
Sep. 30, 2016 | |
The Company and Basis of Presentation [Abstract] | |
The Company and Basis of Presentation | 1. The Company and Basis of Presentation Nature of Operations Sohu.com Inc. (NASDAQ: SOHU), a Delaware corporation organized in 1996, is a leading Chinese online media, search and game service group providing comprehensive online products and services on PCs and mobile devices in the Peoples Republic of China (the PRC or China). Sohu.com Inc.s businesses are conducted by Sohu.com Inc. and its subsidiaries and VIEs (collectively referred to as the Sohu Group or the Group). The Sohu Group consists of Sohu, which when referred to in this report, unless the context requires otherwise, excludes the businesses and the corresponding subsidiaries and VIEs of Sogou Inc. (Sogou) and Changyou.com Limited (Changyou), Sogou and Changyou. Sogou and Changyou are indirect controlled subsidiaries of Sohu.com Inc. Sohu is a leading Chinese language online media content and services provider. Sogou is a leading online search, client software and mobile Internet product provider in China. Changyou is a leading online game developer and operator in China as measured by the popularity of its PC game Tian Long Ba Bu (TLBB) and its mobile game TLBB 3D, and engages primarily in the development, operation and licensing of online games for PCs and mobile devices. Most of the Groups operations are conducted through the Groups China-based subsidiaries and VIEs. Through the operation of Sohu, Sogou and Changyou, the Sohu Group generates online advertising revenues, including brand advertising revenues and search and search-related revenues; online games revenues; and other revenues. Online advertising and online games are the Groups core businesses. Sohus Business Brand Advertising Business Sohus main business is the brand advertising business, which offers to users, over Sohus matrices of Chinese language online media, various content, products and services across multiple Internet-enabled devices such as PCs, mobile phones and tablets. The majority of Sohus products and services are provided through Sohu Media Portal, Sohu Video and Focus. Sohu Media Portal. Sohu Video. Focus. Revenues generated by the brand advertising business are classified as brand advertising revenues in the Sohu Groups consolidated statements of comprehensive income. Other Business Sohu also engages in the other business, which consists primarily of interactive broadcasting services, sub-licensing of purchased video content to third parties, paid subscription services, the filming business, and mobile-related services. Revenues generated by Sohu from the other business are classified as other revenues in the Sohu Groups consolidated statements of comprehensive income. Sogous Business Search and Search-related Business The search and search-related business primarily offers advertisers pay-for-click services, as well as online marketing services on Web directories operated by Sogou. Pay-for-click services enable advertisers promotional links to be displayed on the Sogou search result pages and Sogou Website Alliance members Websites where the links are relevant to the subject and content of such Web pages. Both pay-for-click services and online marketing services on Web directories operated by Sogou expand distribution of its advertisers promotional links and advertisements by leveraging traffic on Sogou Website Alliance members Websites. The search and search-related business benefits from Sogous collaboration with Tencent Holdings Limited (together with its subsidiaries, Tencent), which provides Sogou access to traffic and content generated from users of products and services provided by Tencent. Revenues generated by the search and search-related business are classified as search and search-related revenues in the Sohu Groups consolidated statements of comprehensive income. Other Business Sogou also engages in other business primarily by offering Internet value-added services (IVAS) with respect to the operation of Web games and mobile games developed by third parties, as well as other services and products provided to users. Revenues generated by Sogou from other business are classified as other revenues in the Sohu Groups consolidated statements of comprehensive income. Changyous Business Changyous business lines consist of the online game business, the platform channel business and other business. Online Game Business Changyous online game business offers to game players (a) PC games, which are interactive online games that are accessed and played simultaneously by hundreds of thousands of game players through personal computers and require that local client-end game access software be installed on the computers used; (b) mobile games, which are played on mobile devices and require an Internet connection; and (c) Web games, which are online games that are played through a Web browser with no local game software installation requirements. Web games became a relatively insignificant part of Changyous online games business following the sale of 7Roads operating company Shenzhen 7Road in August 2015. All of Changyous games are operated under the item-based revenue model, meaning game players can play the games for free, but can choose to pay for virtual items, which are non-physical items that game players can purchase and use within a game, such as gems, pets, fashion items, magic medicine, riding animals, hierograms, skill books and fireworks. Revenues derived from the operation of online games are classified as online game revenues in the Sohu Groups consolidated statements of comprehensive income. Changyous flagship game is TLBB, a PC based client-end game. For the three and nine months ended September 30, 2016, revenues from the PC game TLBB were $56.0 million and $162.9 million, respectively, accounting for approximately 57% and 54%, respectively, of Changyous online game revenues, approximately 41% and 41%, respectively, of Changyous total revenues and approximately 14% and 13%, respectively, of the Sohu Groups total revenues. For the three and nine months ended September 30, 2015, revenues from the PC game TLBB were $77.8 million and $244.9 million, respectively, accounting for approximately 51% and 48%, respectively, of Changyous online game revenues, approximately 41% of Changyous total revenues for both periods and approximately 15% and 17%, respectively, of the Sohu Groups total revenues. Platform Channel Business Changyous platform channel business consists primarily of the operation of the 17173.com Website, the Dolphin Browser and RaidCall. The 17173.com Website, one of the leading game information portals in China, provides news, electronic forums, online videos and other information services on online games to game players. The Dolphin Browser is a gateway to a host of user activities on mobile devices, with the majority of its users based in Europe, Russia and Japan. RaidCall provides online music and entertainment services, primarily in Taiwan. During the three months ended September 30, 2016, Changyou management determined that the Dolphin Browser was unable to provide expected synergies with Changyous platform business and therefore formed the intention to divest Changyous 51% equity interest in MoboTap Inc., a Cayman Islands company (collectively with its subsidiaries and VIEs MoboTap), which is the mobile technology developer behind the Dolphin Browser. Therefore, the assets and liabilities of MoboTap were recognized as assets held for sale and liabilities held for sale, respectively, in the third quarter of 2016. Revenues generated by the 17173.com Website are classified as brand advertising revenues and revenues generated by the Dolphin Browser and RaidCall are classified as other revenues in the Groups consolidated statements of comprehensive income. Other Business Changyou also operates a cinema advertising business, which consists of Changyous offering of pre-film cinema advertising slots for advertisements that are shown before the screening of a movie in a cinema theatre. Revenues generated by Changyous cinema advertising business are classified as other revenues in the Sohu Groups consolidated statements of comprehensive income. Basis of Consolidation and Recognition of Noncontrolling Interest The consolidated financial statements include the accounts of Sohu.com Inc. and its subsidiaries and consolidated VIEs. All intercompany transactions are eliminated. VIE Consolidation The Sohu Groups VIEs are wholly or partially owned by certain employees of the Group as nominee shareholders. For consolidated VIEs, management made evaluations of the relationships between the Sohu Group and the VIEs and the economic benefit flow of contractual arrangements with the VIEs. In connection with such evaluation, management also took into account the fact that, as a result of such contractual arrangements, the Group controls the shareholders voting interests in these VIEs. As a result of such evaluation, management concluded that the Sohu Group is the primary beneficiary of its consolidated VIEs. Noncontrolling Interest Recognition Noncontrolling interests are recognized to reflect the portion of the equity of subsidiaries and VIEs which is not attributable, directly or indirectly, to the controlling shareholders. The primary subsidiaries and VIEs of the Sohu Group which are consolidated in the Groups consolidated financial statements with noncontrolling interest recognized are Sogou and Changyou. Basis of Presentation These financial statements have been prepared in accordance with United States of America generally accepted accounting principles (U.S. GAAP) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. These financial statements should be read in conjunction with the consolidated financial statements and related footnotes included in the Companys Annual Report on Form 10-K for the year ended December 31, 2015. The accompanying unaudited condensed consolidated interim financial statements reflect all normal recurring adjustments which, in the opinion of management, are necessary for a fair statement of the results for the interim periods presented. Results for the nine months ended September 30, 2016 are not necessarily indicative of the results expected for the full fiscal year or for any future period. |
Segment Information
Segment Information | 9 Months Ended |
Sep. 30, 2016 | |
Segment Information [Abstract] | |
Segment Information | 2. Segment Information The Sohu Groups segments are business units that offer different services and are reviewed separately by the chief operating decision maker (the CODM), or the decision making group, in deciding how to allocate resources and in assessing performance. The Groups CODM is Sohu.com Inc.s Chief Executive Officer. There are three segments in the Group, consisting of the Sohu segment, the Sogou segment, and the Changyou segment. The following tables present summary information by segment (in thousands): Three Months Ended September 30, 2015 Sohu Sogou Changyou Eliminations Consolidated Revenues (1) $ 172,902 $ 162,300 $ 188,875 $ (1,987 ) $ 522,090 Segment cost of revenues (99,742 ) (66,035 ) (48,821 ) 539 (214,059 ) Segment gross profit 73,160 96,265 140,054 (1,448 ) 308,031 SBC (2) in cost of revenues (184 ) (12 ) 96 0 (100 ) Gross profit 72,976 96,253 140,150 (1,448 ) 307,931 Operating expenses: Product development (3) (23,708 ) (31,573 ) (40,178 ) 1,348 (94,111 ) Sales and marketing (1) (52,315 ) (25,775 ) (21,639 ) 1,599 (98,130 ) General and administrative (12,966 ) (3,956 ) (17,741 ) (203 ) (34,866 ) Goodwill impairment and impairment of intangible assets acquired as part of a business acquisition 0 0 (40,324 ) 0 (40,324 ) SBC (2) in operating expenses (2,228 ) 1,262 3,368 0 2,402 Total operating expenses (91,217 ) (60,042 ) (116,514 ) 2,744 (265,029 ) Operating profit /(loss) (18,241 ) 36,211 23,636 1,296 42,902 Other income (3) (4) 91,736 32 58,554 (80,103 ) 70,219 Net interest income 587 1,326 3,279 0 5,192 Exchange difference 1,360 627 2,335 0 4,322 Income before income tax expense 75,442 38,196 87,804 (78,807 ) 122,635 Income tax expense (1,091 ) (2,586 ) (25,784 ) 0 (29,461 ) Net income $ 74,351 $ 35,610 $ 62,020 $ (78,807 ) $ 93,174 Note (1): The elimination mainly consists of revenues and expenses generated from marketing services among the Sohu, Sogou and Changyou segments. Note (2): SBC stands for share-based compensation expense. Note (3): The elimination mainly consists of leasing income and expenses generated from a building that Sohu leases to Sogou. Note (4): In the third quarter of 2015, Sogou purchased from Sohu 24.0 million Series A Preferred Shares of Sogou for $78.8 million. Sohu recognized $78.8 million in other income, which was eliminated in the Groups consolidated statements of comprehensive income. Three Months Ended September 30, 2016 Sohu Sogou Changyou Eliminations Consolidated Revenues (1) $ 109,560 $ 165,952 $ 135,862 $ (792 ) $ 410,582 Segment cost of revenues (102,772 ) (78,788 ) (41,071 ) 42 (222,589 ) Segment gross profit 6,788 87,164 94,791 (750 ) 187,993 SBC (2) in cost of revenues (266 ) (3 ) (26 ) 0 (295 ) Gross profit 6,522 87,161 94,765 (750 ) 187,698 Operating expenses: Product development (3) (25,043 ) (34,496 ) (27,410 ) 1,047 (85,902 ) Sales and marketing (1) (66,555 ) (26,011 ) (18,311 ) 1,045 (109,832 ) General and administrative (11,831 ) (6,409 ) (12,432 ) 20 (30,652 ) SBC (2) in operating expenses (5,509 ) (190 ) (7,176 ) 0 (12,875 ) Total operating expenses (108,938 ) (67,106 ) (65,329 ) 2,112 (239,261 ) Operating profit /(loss) (102,416 ) 20,055 29,436 1,362 (51,563 ) Other income (3) 1,379 970 2,691 (1,362 ) 3,678 Net interest income /(expense) (466 ) 705 5,879 0 6,118 Exchange difference (297 ) 481 518 0 702 Income /(loss) before income tax benefit /(expense) (101,800 ) 22,211 38,524 0 (41,065 ) Income tax benefit /(expense) 635 (2,128 ) 519 0 (974 ) Net income /(loss) $ (101,165 ) $ 20,083 $ 39,043 $ 0 $ (42,039 ) Note (1): The elimination mainly consists of revenues and expenses generated from marketing services among the Sohu, Sogou and Changyou segments. Note (2): SBC stands for share-based compensation expense. Note (3): The elimination mainly consists of leasing income and expenses generated from a building that Sohu leases to Sogou. Nine Months Ended September 30, 2015 Sohu Sogou Changyou Eliminations Consolidated Revenues (1) $ 450,776 $ 426,099 $ 599,726 $ (5,613 ) $ 1,470,988 Segment cost of revenues (306,221 ) (177,401 ) (174,024 ) 1,091 (656,555 ) Segment gross profit 144,555 248,698 425,702 (4,522 ) 814,433 SBC (2) in cost of revenues (847 ) (119 ) 8 0 (958 ) Gross profit 143,708 248,579 425,710 (4,522 ) 813,475 Operating expenses: Product development (3) (72,362 ) (93,285 ) (124,156 ) 3,740 (286,063 ) Sales and marketing (1) (148,241 ) (64,718 ) (76,365 ) 5,196 (284,128 ) General and administrative (44,551 ) (10,873 ) (56,076 ) (459 ) (111,959 ) Goodwill impairment and impairment of intangible assets acquired as part of a business acquisition 0 0 (40,324 ) 0 (40,324 ) SBC (2) in operating expenses (14,371 ) (5,681 ) (7,539 ) 85 (27,506 ) Total operating expenses (279,525 ) (174,557 ) (304,460 ) 8,562 (749,980 ) Operating profit /(loss) (135,817 ) 74,022 121,250 4,040 63,495 Other income /(expense) (3) (4) 91,679 122 63,896 (82,761 ) 72,936 Net interest income 2,432 4,011 11,012 0 17,455 Exchange difference 1,124 337 1,991 0 3,452 Income /(loss) before income tax expense (40,582 ) 78,492 198,149 (78,721 ) 157,338 Income tax expense (5,642 ) (5,900 ) (45,738 ) 0 (57,280 ) Net income /(loss) $ (46,224 ) $ 72,592 $ 152,411 $ (78,721 ) $ 100,058 Note (1): The elimination mainly consists of revenues and expenses generated from marketing services among the Sohu, Sogou and Changyou segments. Note (2): SBC stands for share-based compensation expense. Note (3): The elimination mainly consists of leasing income and expenses generated from a building that Sohu leases to Sogou. Note (4): In the third quarter of 2015, Sogou purchased from Sohu 24.0 million Series A Preferred Shares of Sogou for $78.8 million. Sohu recognized $78.8 million in other income, which was eliminated in the Groups consolidated statements of comprehensive income. Nine Months Ended September 30, 2016 Sohu Sogou Changyou Eliminations Consolidated Revenues (1) $ 357,437 $ 488,829 $ 394,862 $ (2,456 ) $ 1,238,672 Segment cost of revenues (284,765 ) (218,394 ) (124,795 ) 259 (627,695 ) Segment gross profit 72,672 270,435 270,067 (2,197 ) 610,977 SBC (2) in cost of revenues (255 ) (3 ) (36 ) 0 (294 ) Gross profit 72,417 270,432 270,031 (2,197 ) 610,683 Operating expenses: Product development (3) (71,606 ) (99,781 ) (87,785 ) 3,328 (255,844 ) Sales and marketing (1) (194,171 ) (82,618 ) (43,921 ) 3,040 (317,670 ) General and administrative (36,914 ) (13,972 ) (35,985 ) 69 (86,802 ) SBC (2) in operating expenses (4,007 ) (2,542 ) (9,304 ) 0 (15,853 ) Total operating expenses (306,698 ) (198,913 ) (176,995 ) 6,437 (676,169 ) Operating profit /(loss) (234,281 ) 71,519 93,036 4,240 (65,486 ) Other income /(expense) (3) (4) 3,832 (26,623 ) 10,060 (4,240 ) (16,971 ) Net interest income 112 4,233 11,952 0 16,297 Exchange difference 366 819 2,361 0 3,546 Income /(loss) before income tax benefit /(expense) (229,971 ) 49,948 117,409 0 (62,614 ) Income tax benefit /(expense) 1,505 (4,550 ) (12,227 ) 0 (15,272 ) Net income /(loss) $ (228,466 ) $ 45,398 $ 105,182 $ 0 $ (77,886 ) Note (1): The elimination mainly consists of revenues and expenses generated from marketing services among the Sohu, Sogou and Changyou segments. Note (2): SBC stands for share-based compensation expense. Note (3): The elimination mainly consists of leasing income and expenses generated from a building that Sohu leases to Sogou. Note (4): In the second quarter of 2016, the Sohu Group recognized a one-time expense of $27.8 million that was related to a donation by Sogou to Tsinghua University related to setting up a joint research institute focusing on artificial intelligence technology. As of December 31, 2015 Sohu Sogou Changyou Eliminations Consolidated Cash and cash equivalents $ 430,804 $ 244,484 $ 569,917 $ 0 $ 1,245,205 Accounts receivable, net 176,759 28,986 67,959 (87 ) 273,617 Fixed assets, net 223,939 70,447 214,306 0 508,692 Total assets (1) $ 1,356,263 $ 387,875 $ 1,779,506 $ (481,450 ) $ 3,042,194 Note (1): The elimination for segment assets mainly consists of elimination of intracompany loans between the Sohu segment and the Changyou segment, and elimination of long-term investments in subsidiaries and consolidated VIEs. As of September 30, 2016 Sohu Sogou Changyou Eliminations Consolidated Cash and cash equivalents $ 231,035 $ 224,116 $ 636,934 $ 0 $ 1,092,085 Accounts receivable, net 121,828 33,344 49,661 (85 ) 204,748 Fixed assets, net 208,808 117,318 199,773 0 525,899 Total assets (1) $ 1,335,854 $ 474,537 $ 1,707,259 $ (842,197 ) $ 2,675,453 Note (1): The elimination for segment assets mainly consists of elimination of intracompany loans between the Sohu segment and the Changyou segment, and elimination of long-term investments in subsidiaries and consolidated VIEs. |
Share-Based Compensation Expens
Share-Based Compensation Expense | 9 Months Ended |
Sep. 30, 2016 | |
Share-Based Compensation Expense [Abstract] | |
Share-Based Compensation Expense | 3. Share-Based Compensation Expense Sohu (excluding Fox Video Limited), Sogou, Changyou, and Fox Video Limited (Sohu Video) have incentive plans for the granting of share-based awards, including stock options, share options and restricted share units, to members of the boards of directors, management and other key employees. Sohu (excluding Sohu Video), Sogou, and Changyou Share-based Awards For Sohu (excluding Sohu Video) stock options that Sohu granted before 2006 and Sohu restricted share units, Sogou share-based awards, and Changyou share-based awards under the Changyou 2008 Share Incentive Plan, share-based compensation expense is recognized as costs and expenses in the consolidated statements of comprehensive income based on the fair value of the related share-based awards on their grant dates. For Tencent restricted share units that Tencent had granted to employees who transferred to Sogou with the Soso search-related businesses, share-based compensation expense is recognized in the consolidated statements of comprehensive income based on the then-current fair value at each reporting date. For 1,068,000 Sohu stock options contractually granted on February 7, 2015, 13,000 Sohu stock options contractually granted on May 1, 2016, 2,400,000 Changyou share options converted from restricted share units on February 16, 2015, and 1,998,000 and 100,000 Changyou share options contractually granted on June 1, 2015 and July 28, 2016, respectively, awards are expected to vest and become exercisable in four equal installments over a period of four years, with each installment vesting upon satisfaction of a service period requirement and certain subjective performance targets. Under ASC 718-10-25 ASC 718-10-55 Sohu Video Share-based Awards On January 4, 2012, Sohu Video, the holding entity of Sohus video division, adopted a 2011 Share Incentive Plan (the Video 2011 Share Incentive Plan) which provides for the issuance of up to 25,000,000 ordinary shares of Sohu Video (representing approximately 10% of the outstanding Sohu Video shares on a fully-diluted basis) to management and key employees of the video division and to Sohu management. As of September 30, 2016, grants of options for the purchase of 16,368,200 ordinary shares of Sohu Video had been contractually made, of which options for the purchase of 4,972,800 ordinary shares were vested. For purposes of ASC 718-10-25 ASC 718-10-55 Share-based Compensation Expense Recognition Share-based compensation expense was recognized in costs and expenses for the three and nine months ended September 30, 2015 and 2016, respectively, as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, Share-based compensation expense 2015 2016 2015 2016 Cost of revenues $ 99 $ 295 $ 957 $ 294 Product development expenses (1) (1,331 ) 4,105 9,680 5,801 Sales and marketing expenses 466 752 1,573 927 General and administrative expenses (1) (1,536 ) 8,018 16,255 9,125 $ (2,302 ) $ 13,170 $ 28,465 $ 16,147 Share-based compensation expense was recognized for share awards of Sohu (excluding Sohu Video), Sogou, Changyou and Sohu Video as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, Share-based compensation expense 2015 2016 2015 2016 For Sohu (excluding Sohu Video) share-based awards $ 2,294 $ 5,639 $ 15,031 $ 4,749 For Sogou share-based awards (1) (2) (1,230 ) 180 5,706 2,505 For Changyou share-based awards (1) (3,465 ) 7,202 7,529 9,340 For Sohu Video share-based awards (1) 99 149 199 (447 ) $ (2,302 ) $ 13,170 $ 28,465 $ 16,147 Note (1): The negative amount resulted from re-measured compensation expense based on the then-current fair value of the awards on each reporting date as well as a true-up of share-based compensation expense for forfeited share options and restricted share units for Sogou and Changyou share-based awards. Note (2): Compensation expense for Sogou share-based awards also includes compensation expense for Tencent restricted share units that Tencent had granted to employees who transferred to Sogou with the Soso search-related businesses. There was no capitalized share-based compensation expense for the three and nine months ended September 30, 2015 and 2016. |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Sep. 30, 2016 | |
Fair Value Measurements [Abstract] | |
Fair Value Measurements | 4. Fair Value Measurements Fair Value of Financial Instruments The Sohu Groups financial instruments include cash equivalents, short-term investments, accounts receivable, assets held for sale, prepaid and other current assets, long-term investments (including available-for-sale equity securities), restricted time deposits, accounts payable, accrued liabilities, receipts in advance and deferred revenue, liabilities held for sale, other short-term liabilities and long-term accounts payable. U.S. GAAP establishes a three-tier hierarchy to prioritize the inputs used in the valuation methodologies in measuring the fair value of financial instruments. This hierarchy also requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The three-tier fair value hierarchy is: Level 1 - observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets. Level 2 - include other inputs that are directly or indirectly observable in the market place. Level 3 - unobservable inputs which are supported by little or no market activity. Financial Instruments Measured at Fair Value The following table sets forth the financial instruments, measured at fair value, by level within the fair value hierarchy as of December 31, 2015 (in thousands): Fair value measurements at reporting date using Items As of December 31, 2015 Quoted Prices Significant Significant Cash equivalents $ 727,232 $ 0 $ 727,232 $ 0 Restricted time deposits 363,979 0 363,979 0 Short-term investments 174,515 0 174,515 0 Available-for-sale equity securities 14,301 14,301 0 0 Total $ 1,280,027 $ 14,301 $ 1,265,726 $ 0 The following table sets forth the financial instruments, measured at fair value by level within the fair value hierarchy, as of September 30, 2016 (in thousands): Fair value measurements at reporting date using Items As of Quoted Prices Significant Significant Cash equivalents $ 769,895 $ 0 $ 769,895 $ 0 Short-term investments 264,109 0 264,109 0 Available-for-sale equity securities 12,180 12,180 0 0 Restricted time deposits 9,270 0 9,270 0 Total $ 1,055,454 $ 12,180 $ 1,043,274 $ 0 Cash Equivalents The Sohu Groups cash equivalents mainly consist of time deposits with original maturities of three months or less, and highly liquid investments that are readily convertible to known amounts of cash. The fair values of cash equivalents are determined based on the pervasive interest rates in the market. The Group classifies the valuation techniques that use the pervasive interest rates input as Level 2 of fair value measurements. Generally there are no quoted prices in active markets for identical cash equivalents at the reporting date. In order to determine the fair value, the Group must use the discounted cash flow method and observable inputs other than quoted prices in active markets for identical assets and liabilities, quoted prices for identical or similar assets or liabilities in inactive markets, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Short-term Investments In accordance with ASC 825 As of September 30, 2016, the Sohu Groups investment in financial instruments was $264.1 million. The investment instruments were issued by commercial banks in China, and have a variable interest rate indexed to performance of underlying assets. Since these investments maturity dates are within one year, they are classified as short-term investments. For the three and nine months ended September 30, 2016, the Sohu Group recorded in the consolidated statements of comprehensive income changes in the fair value of short-term investments in the amounts of $2.8 million and $5.3 million, respectively. For the three and nine months ended September 30, 2015, the Sohu Group recorded in the consolidated statements of comprehensive income changes in the fair value of short-term investments in the amounts of $3.0 million and $6.8 million, respectively. Available-for-Sale Equity Securities Available-for-sale equity securities are valued using the market approach based on the quoted prices in active markets at the reporting date. The Group classifies the valuation techniques that use these inputs as Level 1 of fair value measurements. On August 12, 2014, Sohu acquired approximately 6% of the total outstanding common shares of Keyeast Co., Ltd., a Korean-listed company (Keyeast), for a purchase price of $15.1 million. The Sohu Group classified this investment as available-for-sale equity securities under long-term investments, and reported it at fair value. As of September 30, 2016, the fair value of the Keyeast available-for-sale equity securities held by Sohu was $12.2 million. An unrealized loss representing the change in fair value of $2.9 million in the aggregate was recorded as accumulated other comprehensive income /(loss) in the Sohu Groups consolidated balance sheets. Assets and Liabilities Held for Sale During the three months ended September 30, 2016, Changyou management determined that the Dolphin Browser was unable to provide expected synergies with Changyous platform business and therefore formed the intention to divest Changyous 51% equity interest in MoboTap, which is the mobile technology developer behind the Dolphin Browser. Therefore, the assets and liabilities attributable to MoboTap are classified as assets and liabilities held for sale and measured at the lower of their carrying amounts and their fair values, less selling costs, in the consolidated balance sheet as of September 30, 2016. Details of the aggregate assets and liabilities at September 30, 2016 are as follows (in thousands): As of September 30, Cash and cash equivalents $ 10,280 Prepaid and other current assets 2,579 Goodwill 83,470 Intangible assets 5,457 Assets held for sale $ 101,786 Other liabilities 3,236 Liabilities held for sale $ 3,236 Restricted Time Deposits Restricted time deposits are valued based on the prevailing interest rates in the market using the discounted cash flow method. The Sohu Group classifies the valuation techniques that use these inputs as Level 2 of fair value measurements. Collateral related to Sogou Incentive Shares Trust Arrangements In February 2013, Sohu deposited $9.0 million in cash into restricted time deposit accounts at a bank as collateral for credit facilities provided by the bank to certain Sogou employees. The facilities were intended to fund the employees early exercise of Sogou share options and related PRC individual income tax. Sohu was not subject to any additional potential payments other than the restricted time deposit amounts, and believes that the fair value of its guarantee liability was immaterial. Changyou Loans from Offshore Banks, Secured by Time Deposits Commencing in 2012, Changyou drew down loans from offshore branches of certain banks, which are secured by an equivalent or greater amount of RMB deposits by Changyou in the onshore branches of such banks. The loans from the offshore branches of the lending banks are classified as short-term and long-term bank loans based on the loans payment terms. In the first quarter of 2016, Changyou had repaid all of the remaining bank loans of $344.5 million, and restricted time deposits of $354.7 million that secured these loans had been released. For the three and nine months ended September 30, 2016, interest income from the restricted time deposits securing the loans was nil and $0.7 million, respectively, and interest expense on the bank loans was nil and $0.6 million, respectively. For the three and nine months ended September 30, 2015, interest income from the restricted time deposits securing the loans was $3.0 million and $10.2 million, respectively, and interest expense on the loans was $1.8 million and $5.3 million, respectively. Other Financial Instruments The fair values of other financial instruments are estimated for disclosure purposes as follows: Long-term Investments Long-term Investment in SoEasy Under an agreement between Sohu and SoEasy Internet Finance Group Limited (SoEasy) entered into in August 2014, Sohu invested $4.8 million and $16.3 million in SoEasy on August 2014 and April 2015, respectively. In February 2016, Sohu invested an additional $10.5 million in SoEasy. Sohu accounted for its investments in SoEasy under long-term investments. These investments include both preferred shares and common shares. Sohu accounted for its investment in SoEasys preferred shares under the cost method, since they were not considered to be common shares in substance and had no readily determinable fair value. Sohu accounted for its investment in SoEasys common shares under the equity method, since Sohu can exercise significant influence but does not own a majority of SoEasys equity capital or control SoEasy. As of September 30, 2016, the carrying value of Sohus investment in SoEasy was $25.0 million. Long-term Investment in Zhihu In September 2015, Sogou paid $12.0 million in cash for approximately 3% of the equity capital of Zhihu Technology Limited (Zhihu), a company that engages primarily in the business of operating an online question and answer-based knowledge and information-sharing platform. Sogou accounted for the investment in Zhihu using the cost method, since Sogou does not have significant influence over Zhihu. Short-term Receivables and Payables Accounts receivable and prepaid and other current assets are financial assets with carrying values that approximate fair value due to their short-term nature. Short-term accounts payable, accrued liabilities, receipts in advance and deferred revenue and other short-term liabilities are financial liabilities with carrying values that approximate fair value due to their short-term nature. For short-term receivables and payables, the Group estimated fair values using the discounted cash flow method, which is unobservable in the market. The Group classifies the valuation technique as Level 2 of fair value measurements. Long-term Payables Long-term accounts payable are financial liabilities with carrying values that approximate fair value due to any changes in fair value, after considering the discount rate, being immaterial. For long-term accounts payable, the Group estimated fair values using the discounted cash flow method, which is unobservable in the market. The Sohu Group classifies the valuation technique as Level 2 of fair value measurements. |
Goodwill
Goodwill | 9 Months Ended |
Sep. 30, 2016 | |
Goodwill [Abstract] | |
Goodwill | 5. Goodwill Changes in the carrying value of goodwill by segment are as follows (in thousands): Sohu Sogou Changyou Total Balance as of December 31, 2015 Goodwill $ 72,980 5,945 181,529 260,454 Accumulated impairment losses (35,788 ) 0 (70,447 ) (106,235 ) $ 37,192 $ 5,945 $ 111,082 $ 154,219 Transactions in 2016 Transferred to assets held for sale 0 0 (83,470 ) (83,470 ) Foreign currency translation adjustment (418 ) (164 ) (479 ) (1,061 ) Balance as of September 30, 2016 $ 36,774 $ 5,781 $ 27,133 $ 69,688 Balance as of September 30, 2016 Goodwill $ 72,562 $ 5,781 $ 97,580 $ 175,923 Accumulated impairment losses (35,788 ) 0 (70,447 ) (106,235 ) $ 36,774 $ 5,781 $ 27,133 $ 69,688 |
Taxation
Taxation | 9 Months Ended |
Sep. 30, 2016 | |
Taxation [Abstract] | |
Taxation | 6. Taxation Sohu.com Inc. is subject to United States (U.S.) income tax, and Changyous income that is from a U.S. source is generally subject to U.S. income tax. The majority of the subsidiaries and VIEs of the Sohu Group are based in mainland China and are subject to income taxes in the PRC. These China-based subsidiaries and VIEs conduct substantially all of the Sohu Groups operations, and generate most of the Sohu Groups income or losses. The Group did not have any significant penalties or interest associated with tax positions for the three and nine months ended September 30, 2016, nor did the Group have any significant unrecognized uncertain tax positions for the three and nine months ended September 30, 2016. Applicable Income Tax Rate The PRC Corporate Income Tax Law (the CIT Law) applies an income tax rate of 25% to all enterprises but grants preferential tax treatment to High and New Technology Enterprises (HNTEs). Under this preferential tax treatment, HNTEs can enjoy an income tax rate of 15%, but need to re-apply every three years. During this three-year period, an HNTE must conduct an annual qualification self-review each year to ensure it meets the HNTE criteria and is eligible for the 15% preferential tax rate for that year. If an HNTE fails to meet the criteria for qualification as an HTNE in any year, the enterprise cannot enjoy the 15% preferential tax rate in that year, and must instead use the regular 25% CIT rate. The CIT Law and its implementing regulations provide that a Software Enterprise can enjoy an income tax exemption for two years beginning with its first profitable year and a 50% reduction to a rate of 12.5% for the subsequent three years. An entity that qualifies as a Key National Software Enterprise (KNSE) can enjoy a further reduced preferential income tax rate of 10%. Enterprises must perform a self-assessment each year to ensure they meet the relevant criteria for qualification as Software Enterprises and/or KNSEs and file required documents with the tax authorities before using the preferential CIT rates. These enterprises will be subject to authorities assessment each year after as to whether they are entitled to use the relevant preferential CIT treatments. If at any time during the preferential tax treatment years an enterprise uses the preferential CIT rates but fails to meet applicable criteria for qualification, the relevant authorities may revoke the enterprises Software Enterprise/KNSE status. Principal Entities Qualified as HNTEs As of September 30, 2016, the following principal entities of the Sohu Group were qualified as HNTEs and were entitled to an income tax rate of 15%. For Sohus Business Beijing Sohu Internet Information Service Co., Ltd. (Sohu Internet). Sohu Internet is qualified as an HNTE for 2016 and 2017, and will need to re-apply for HNTE qualification in 2018. Beijing Sohu New Era Information Technology Co., Ltd. (Sohu Era), Beijing Sohu New Media Information Technology Co., Ltd. (Sohu Media) and Guangzhou Qianjun Network Technology Co., Ltd (Guangzhou Qianjun). These three companies are each qualified as HNTEs for 2016, and will need to re-apply for HNTE qualification in 2017. For Sogous Business Beijing Sogou Information Service Co., Ltd. (Sogou Information). Sogou Information is qualified as an HNTE for 2016 and 2017, and will need to re-apply for HNTE qualification in 2018. Beijing Sogou Technology Development Co., Ltd. (Sogou Technology). Sogou Technology is qualified as an HNTE for 2016, and will need to re-apply for HNTE qualification in 2017. For Changyous Business Beijing AmazGame Age Internet Technology Co., Ltd. (AmazGame) and Beijing Gamease Age Digital Technology Co., Ltd. (Gamease). AmazGame and Gamease are each qualified as HNTEs for 2016, and will need to re-apply for HNTE qualification in 2017. Principal Entities Qualified as Software Enterprises For Sohus Business Beijing Sohu New Momentum Information Technology Co., Ltd. (Sohu New Momentum). In 2016, Sohu New Momentum is in the first of three years in which it is entitled to a 50% reduction to a rate of 12.5% as a Software Enterprise. For Sogous Business Sogou Technology recently filed documents for qualification as a KNSE for 2015 pursuant to new requirements for obtaining such qualification that were issued on May 4, 2016. As of the date of this report Sogou Technology had not received a response to the filing. Beijing Sogou Network Technology Co., Ltd (Sogou Network) recently filed documents for qualification as a Software Enterprise for 2015 pursuant to new requirements for obtaining such qualification that were issued on May 4, 2016. As of the date of this report Sogou Network had not received a response to the filing. For Changyous Business AmazGame. In 2013 and 2014, AmazGame was qualified as a KNSE and enjoyed a preferential income tax rate of 10%, and recently received confirmation that it was qualified as a KNSE for 2015. Beijing Changyou Gamespace Software Technology Co., Ltd. (Gamespace). In 2016, Gamespace is in the third of three years in which it is entitled to a 50% reduction to a rate of 12.5% as a Software Enterprise. PRC Withholding Tax on Dividends The CIT Law imposes a 10% withholding income tax for dividends distributed by foreign-invested enterprises in the PRC to their immediate holding companies outside Mainland China. A lower withholding tax rate will be applied if there is a tax treaty arrangement between Mainland China and the jurisdiction of the foreign holding company. A holding company in Hong Kong, for example, will be subject to a 5% withholding tax rate under an arrangement between the PRC and the Hong Kong Special Administrative Region on the Avoidance of Double Taxation and Prevention of Fiscal Evasion with Respect to Taxes on Income and Capital if such holding company is considered a non-PRC resident enterprise and holds at least 25% of the equity interests in the PRC foreign invested enterprise distributing the dividends, subject to approval of the PRC local tax authority. However, if the Hong Kong holding company is not considered to be the beneficial owner of such dividends under applicable PRC tax regulations, such dividend will remain subject to a withholding tax rate of 10%. In order to fund the distribution of a dividend to shareholders of the Sohu Groups majority-owned subsidiary Changyou, Changyous management determined to cause one of its PRC subsidiaries to declare and distribute a cash dividend of all of its stand-alone 2012 earnings and half of its stand-alone subsequent years earnings to its direct overseas parent company, Changyou.com (HK) Limited (Changyou HK). As of September 30, 2016, Changyou had accrued deferred tax liabilities in the amount of $26.2 million for PRC withholding tax. With the exception of that dividend, the Sohu Group does not intend to have any of its PRC subsidiaries distribute any undistributed profits of such subsidiaries to their direct overseas parent companies, but rather intends that such profits will be permanently reinvested by such subsidiaries for their PRC operations. PRC Value-Added Tax On May 1, 2016, the transition from the imposition of PRC business tax (Business Tax) to the imposition of value-added tax (VAT) was expanded to all industries in China, and as a result all of the Sohu Groups revenues have been subject to VAT since that date. To record VAT payable, the Group adopted the net presentation method, which presents the difference between the output VAT (at a rate of 6%) and the available input VAT amount (at the rate applicable to the supplier). U.S. Corporate Income Tax Sohu.com Inc. is a Delaware corporation that is subject to U.S. corporate income tax on its taxable income at a rate of up to 35%. To the extent that portions of its U.S. taxable income, such as Subpart F income or a dividend, are determined to be from sources outside of the U.S., subject to certain limitations, Sohu.com Inc. may be able to claim foreign tax credits to offset its U.S. income tax liabilities. Any remaining liabilities are accrued in the Companys consolidated statements of comprehensive income and estimated tax payments are made when required by U.S. law. Uncertain Tax Positions The Group is subject to various taxes in different jurisdictions, primarily the U.S. and the PRC. Management reviews regularly the adequacy of the provisions for taxes as they relate to the income and transactions of the Group. In order to assess uncertain tax positions, the Sohu Group applies a more likely than not threshold and a two-step approach for tax position measurement and financial statement recognition. For the two-step approach, the first step is to evaluate the tax position for recognition by determining if the weight of available evidence indicates that it is more likely than not that the position will be sustained, including resolution of related appeals or litigation processes, if any. The second step is to measure the tax benefit as the largest amount that is more than 50% likely to be realized upon settlement. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2016 | |
Commitments and Contingencies [Abstract] | |
Commitments and Contingencies | 7. Commitments and Contingencies Contractual Obligations The following table sets forth our contractual obligations as of September 30, 2016 (in thousands): As of September 30, 2016 Purchase of content and services video $ 196,173 Purchase of cinema advertisement slot rights 109,550 Purchase of bandwidth 57,881 Operating lease obligations 25,692 Expenditures for operating rights for licensed games with technological feasibility - PC games 15,750 Purchase of content and services others 9,884 Expenditures for operating rights for licensed games with technological feasibility - mobile games 3,866 Purchase of fixed assets 2,261 Expenditures for titles in game development 1,035 Fees for operating rights for licensed games in development mobile games 589 Others 3,819 Total $ 426,500 Litigation The Sohu Group is a party to various litigation matters which it considers routine and incidental to its business. Management does not expect the results of any of these actions to have a material adverse effect on the Groups business, results of operations, financial condition and cash flows. PRC Law and Regulations The Chinese market in which the Sohu Group operates poses certain macro-economic and regulatory risks and uncertainties. These uncertainties extend to the ability to operate an Internet business and to conduct brand advertising, search and search-related, online game, and other services in the PRC. Though the PRC has, since 1978, implemented a wide range of market-oriented economic reforms, continued reforms and progress towards a full market-oriented economy are uncertain. In addition, the telecommunication, information, and media industries remain highly regulated. Restrictions are currently in place and are unclear with respect to which segments of these industries foreign-owned entities, like the Sohu Group, may operate. The Chinese government may issue from time to time new laws or new interpretations of existing laws to regulate areas such as telecommunication, information and media. The Sohu Groups legal structure and scope of operations in China could be subject to restrictions, which could result in limits on its ability to conduct business in the PRC. Certain risks related to PRC law that could affect the Sohu Groups VIE structure are discussed in Note 8 - VIEs. Regulatory risks also encompass interpretation by PRC tax authorities of current tax law, including the applicability of certain preferential tax treatments. The Sohu Groups sales, purchase and expense transactions are generally denominated in RMB and a significant portion of its assets and liabilities are denominated in RMB. The RMB is not freely convertible into foreign currencies. In China, foreign exchange transactions are required by law to be transacted only by authorized financial institutions. Remittances in currencies other than RMB by its subsidiaries in China may require certain supporting documentation in order to effect the remittance. |
VIEs
VIEs | 9 Months Ended |
Sep. 30, 2016 | |
VIEs [Abstract] | |
VIEs | 8. VIEs Background PRC laws and regulations prohibit or restrict foreign ownership of companies that operate Internet information and content, Internet access, online games, mobile, value added telecommunications and certain other businesses in which the Sohu Group is engaged or could be deemed to be engaged. Consequently, the Sohu Group conducts certain of its operations and businesses in the PRC through its VIEs. The Sohu Group consolidates in its consolidated financial statements all of the VIEs of which the Group is the primary beneficiary. VIEs Consolidated within the Sohu Group The Sohu Group adopted the guidance of accounting for VIEs, which requires VIEs to be consolidated by the primary beneficiary of the entity. Management made evaluations of the relationships between the Sohu Group and its VIEs and the economic benefit flow of contractual arrangements with the VIEs. In connection with such evaluation, management also took into account the fact that, as a result of contractual arrangements with its consolidated VIEs, the Sohu Group controls the shareholders voting interests in those VIEs. As a result of such evaluation, the management concluded that the Sohu Group is the primary beneficiary of the VIEs which the Group consolidates. All of the consolidated VIEs are incorporated and operated in the PRC, and the Groups principal VIEs are directly or indirectly owned by Dr. Charles Zhang, the Sohu Groups Chairman and Chief Executive Officer, or other executive officers and employees of the Sohu Group identified below. Capital for the consolidated VIEs was funded by the Sohu Group through loans provided to Dr. Charles Zhang and other executive officers and employees, and was initially recorded as loans to related parties. These loans are eliminated for accounting purposes against the capital of the VIEs upon consolidation. Under contractual agreements with the Sohu Group, Dr. Charles Zhang and those other executive officers and employees of the Sohu Group who are shareholders of the consolidated VIEs are required to transfer their ownership in these entities to the Group, if permitted by PRC laws and regulations, or, if not so permitted, to designees of the Group at any time as requested by the Group to repay the loans outstanding. All voting rights of the consolidated VIEs are assigned to the Sohu Group, and the Group has the right to designate all directors and senior management personnel of the consolidated VIEs, and also has the obligation to absorb losses of the consolidated VIEs. Dr. Charles Zhang and those other executive officers and employees of the Sohu Group who are shareholders of the consolidated VIEs have pledged their shares in the consolidated VIEs as collateral for the loans. As of September 30, 2016, the aggregate amount of these loans was $9.3 million. Under its contractual arrangements with the consolidated VIEs, the Sohu Group has the power to direct activities of the VIEs, and can have assets transferred freely out of the VIEs without any restrictions. Therefore, the Group considers that there is no asset of a consolidated VIE that can be used only to settle obligations of the VIEs, except for registered capital and PRC statutory reserves of the VIEs. As of September 30, 2016, the registered capital and PRC statutory reserves of the consolidated VIEs totaled $60.2 million. As all of the consolidated VIEs are incorporated as limited liability companies under the PRC Company Law, creditors of the consolidated VIEs do not have recourse to the general credit of the Sohu Group for any of the liabilities of the consolidated VIEs. Currently there is no contractual arrangement that could require the Sohu Group to provide additional financial support to the consolidated VIEs. As the Sohu Group is conducting certain business in the PRC mainly through the consolidated VIEs, the Group may provide such support on a discretionary basis in the future, which could expose the Group to a loss. The Sohu Group classified the consolidated VIEs within the Sohu Group as principal VIEs or immaterial VIEs based on certain criteria, such as the VIEs total assets or revenues. The following is a summary of the principal VIEs within the Sohu Group: Basic Information for Principal VIEs and Subsidiaries of Principal VIEs For Sohus Business High Century Beijing Century High Tech Investment Co., Ltd. (High Century) was incorporated in 2001. As of September 30, 2016, the registered capital of High Century was $4.6 million and Dr. Charles Zhang and Wei Li held 80% and 20% interests, respectively, in this entity. Heng Da Yi Tong Beijing Heng Da Yi Tong Information Technology Co., Ltd. (Heng Da Yi Tong) was incorporated in 2002. As of September 30, 2016, the registered capital of Heng Da Yi Tong was $1.2 million and Dr. Charles Zhang and Wei Li held 80% and 20% interests, respectively, in this entity. Sohu Internet Sohu Internet was incorporated in 2003. As of September 30, 2016, the registered capital of Sohu Internet was $1.6 million and High Century held a 100% interest in this entity. Donglin Beijing Sohu Donglin Advertising Co., Ltd. (Donglin) was incorporated in 2010. As of September 30, 2016, the registered capital of Donglin was $1.5 million and Sohu Internet held a 100% interest in this entity. Tianjin Jinhu Tianjin Jinhu Culture Development Co., Ltd. (Tianjin Jinhu) was incorporated in 2011. As of September 30, 2016, the registered capital of Tianjin Jinhu was $0.5 million and Ye Deng and Xuemei Zhang each held a 50% interest in this entity. In October, 2016, Ye Deng transferred its 50% equity interest in Tianjin Jinhu to Xiufeng Deng. As of the date of this report, Xiufeng Deng and Xuemei Zhang each held a 50% interest in this entity. Guangzhou Qianjun Guangzhou Qianjun was acquired in November 2014. As of September 30, 2016, the registered capital of Guangzhou Qianjun was $3.3 million and Tianjin Jinhu held a 100% interest in this entity. Focus Interactive Beijing Focus Interactive Information Service Co., Ltd. (Focus Interactive) was incorporated in July 2014. As of September 30, 2016, the registered capital of Focus Interactive was $1.6 million and Heng Da Yi Tong held 100% of the equity interests in this entity. For Sogous Business Sogou Information Sogou Information was incorporated in 2005. As of September 30, 2016, the registered capital of Sogou Information was $2.5 million and Xiaochuan Wang, Sogous Chief Executive Officer, High Century and Tencent held 10%, 45% and 45% interests, respectively, in this entity. For Changyous Business Gamease Gamease was incorporated in 2007. As of September 30, 2016, the registered capital of Gamease was $1.3 million and High Century held a 100% interest in this entity. Guanyou Gamespace Beijing Guanyou Gamespace Digital Technology Co., Ltd. (Guanyou Gamespace) was incorporated in 2010. As of September 30, 2016, the registered capital of Guanyou Gamespace was $1.5 million and Beijing Changyou Star Digital Technology Co., Ltd (Changyou Star) held a 100% interest in this entity. Shanghai ICE Shanghai ICE Information Technology Co., Ltd. (Shanghai ICE) was acquired by Changyou in 2010. As of September 30, 2016, the registered capital of Shanghai ICE was $1.2 million and Gamease held a 100% interest in this entity. Wuhan Baina Information Baina (Wuhan) Information Technology Co., Ltd. (Wuhan Baina Information) was acquired by Gamease in July 2014. As of September 30, 2016, the registered capital of Wuhan Baina Information was $3.0 million and Changyou Star and Yongzhi Yang held 60% and 40% interests, respectively, in this entity. Financial Information The following financial information of the Sohu Groups consolidated VIEs (including subsidiaries of VIEs) is included in the accompanying consolidated financial statements (in thousands): As of December 31, 2015 September 30, 2016 ASSETS: Cash and cash equivalents $ 131,270 $ 141,830 Accounts receivable, net 135,925 92,071 Prepaid and other current assets 101,951 93,237 Assets held for sale 0 12,062 Intercompany receivables due from the Companys subsidiaries 140,396 221,842 Total current assets 509,542 561,042 Long-term investments, net 15,960 15,189 Fixed assets, net 7,362 5,176 Intangible assets, net 18,266 14,977 Goodwill 36,351 35,838 Other non-current assets 12,057 6,499 Total assets $ 599,538 $ 638,721 LIABILITIES: Accounts payable $ 23,757 $ 11,505 Accrued liabilities 79,012 84,379 Receipts in advance and deferred revenue 55,319 48,764 Liabilities held for sale 0 2,452 Other current liabilities 141,247 157,346 Intercompany payables due to the Companys subsidiaries 175,178 182,537 Total current liabilities 474,513 486,983 Long-term accounts payable 2,858 0 Long-term taxes payable 0 13,986 Intercompany payables due to the Companys subsidiaries 21,717 20,420 Total liabilities $ 499,088 $ 521,389 Three months ended September 30, Nine months ended September 30, 2015 2016 2015 2016 Net revenue $ 309,866 $ 228,599 $ 926,460 $ 675,281 Net income/(loss) $ (45,863 ) $ 5,338 $ (63,402 ) $ 20,854 Nine months ended September 30, 2015 2016 Net cash provided by operating activities $ 17,450 $ 20,306 Net cash provided by /(used in) investing activities (11,182 ) 1,061 Net cash provided by financing activities $ 2,286 $ 0 Summary of Significant Agreements Currently in Effect Agreements Between Subsidiaries, Consolidated VIEs and Nominee Shareholders Loan and share pledge agreement Loan and share pledge agreement Loan and share pledge agreements Exclusive equity interest purchase right agreements Business operation agreement Powers of Attorney Loan agreements and equity pledge agreements Equity interest purchase right agreements Business operation agreement Powers of Attorney Loan agreements and equity pledge agreements Equity interest purchase right agreements Powers of attorney Business operation agreements Share pledge agreement Call option agreement Business Operation Agreement Business Arrangements Between Subsidiaries and Consolidated VIEs Exclusive technology consulting and service agreement Business cooperation agreement Exclusive technology consulting and service agreement Exclusive technology consulting and service agreement Technology support and utilization agreements Services and maintenance agreements Exclusive Services agreement Certain of the contractual arrangements described above between the VIEs and the related wholly-owned subsidiaries of the Sohu Group are silent regarding renewals. However, because the VIEs are controlled by the Sohu Group through powers of attorney granted to the Sohu Group by the shareholders of the VIEs, the contractual arrangements can be, and are expected to be, renewed at the subsidiaries election. VIE-Related Risks It is possible that the Sohu Groups operation of certain of its operations and businesses through VIEs could be found by PRC authorities to be in violation of PRC law and regulations prohibiting or restricting foreign ownership of companies that engage in such operations and businesses. While the Sohu Groups management considers the possibility of such a finding by PRC regulatory authorities under current law and regulations to be remote, on January 19, 2015, the Ministry of Commerce of the PRC, or (the MOFCOM) released on its Website for public comment a proposed PRC law (the Draft FIE Law) that appears to include VIEs within the scope of entities that could be considered to be foreign invested enterprises (or FIEs) that would be subject to restrictions under existing PRC law on foreign investment in certain categories of industry. Specifically, the Draft FIE Law introduces the concept of actual control for determining whether an entity is considered to be an FIE. In addition to control through direct or indirect ownership or equity, the Draft FIE Law includes control through contractual arrangements within the definition of actual control. If the Draft FIE Law is passed by the Peoples Congress of the PRC and goes into effect in its current form, these provisions regarding control through contractual arrangements could be construed to reach the Sohu Groups VIE arrangements, and as a result the Sohu Groups VIEs could become explicitly subject to the current restrictions on foreign investment in certain categories of industry. The Draft FIE Law includes provisions that would exempt from the definition of foreign invested enterprises entities where the ultimate controlling shareholders are either entities organized under PRC law or individuals who are PRC citizens. The Draft FIE Law is silent as to what type of enforcement action might be taken against existing VIEs that operate in restricted or prohibited industries and are not controlled by entities organized under PRC law or individuals who are PRC citizens. If a finding were made by PRC authorities, under existing law and regulations or under the Draft FIE Law if it becomes effective, that the Sohu Groups operation of certain of its operations and businesses through VIEs is prohibited, regulatory authorities with jurisdiction over the licensing and operation of such operations and businesses would have broad discretion in dealing with such a violation, including levying fines, confiscating the Sohu Groups income, revoking the business or operating licenses of the affected businesses, requiring the Sohu Group to restructure its ownership structure or operations, or requiring the Sohu Group to discontinue all or any portion of its operations. Any of these actions could cause significant disruption to the Sohu Groups business operations, and have a severe adverse impact on the Sohu Groups cash flows, financial position and operating performance. In addition, it is possible that the contracts among the Sohu Group, the Sohu Groups VIEs and shareholders of its VIEs would not be enforceable in China if PRC government authorities or courts were to find that such contracts contravene PRC law and regulations or are otherwise not enforceable for public policy reasons. In the event that the Sohu Group was unable to enforce these contractual arrangements, the Sohu Group would not be able to exert effective control over the affected VIEs. Consequently, such VIEs results of operations, assets and liabilities would not be included in the Sohu Groups consolidated financial statements. If such were the case, the Sohu Groups cash flows, financial position and operating performance would be severely adversely affected. The Sohu Groups contractual arrangements with respect to its consolidated VIEs are in place. The Sohu Groups management believes that such contracts are enforceable, and considers the possibility remote that PRC regulatory authorities with jurisdiction over the Sohu Groups operations and contractual relationships would find the contracts to be unenforceable. The Sohu Groups operations and businesses rely on the operations and businesses of its VIEs, which hold certain recognized and unrecognized revenue-producing assets. The recognized revenue-producing assets include goodwill and intangible assets acquired through business acquisitions. Goodwill primarily represents the expected synergies from combining an acquired business with the Sohu Group. Intangible assets acquired through business acquisitions mainly consist of customer relationships, non-compete agreements, user bases, copyrights, trademarks and developed technologies. Unrecognized revenue-producing assets mainly consist of licenses and intellectual property. Licenses include operations licenses, such as Internet information service licenses and licenses for providing content. Intellectual property developed by the Sohu Group mainly consists of patents, copyrights, trademarks, and domain names. The Sohu Groups operations and businesses may be adversely impacted if the Sohu Group loses the ability to use and enjoy assets held by these VIEs. |
Sohu.com Inc. Shareholders' Equ
Sohu.com Inc. Shareholders' Equity | 9 Months Ended |
Sep. 30, 2016 | |
Sohu.com Inc. Shareholders' Equity [Abstract] | |
Sohu.com Inc. Shareholders' Equity | 9. Sohu.com Inc. Shareholders Equity Takeover Defense Sohu intends to adopt appropriate defensive measures in the future on a case by case basis as and to the extent that Sohus Board of Directors determines that such measures are necessary or advisable to protect Sohu stockholder value in the face of any coercive takeover threats or to prevent an acquirer from gaining control of Sohu without offering fair and adequate price and terms. Treasury Stock Treasury stock consists of shares repurchased by Sohu.com Inc. that are no longer outstanding and are held by Sohu.com Inc. Treasury stock is accounted for under the cost method. For the nine months ended September 30, 2016 and 2015, the Company did not repurchase any shares of its common stock. Stock Incentive Plan Sohu (excluding Sohu Video), Sogou, Changyou, and Sohu Video have incentive plans for the granting of share-based awards, including options and restricted share units, to their directors, management and other key employees. 1) Sohu.com Inc. Share-based Awards Sohus 2000 Stock Incentive Plan Sohus 2000 Stock Incentive Plan (the Sohu 2000 Stock Incentive Plan) provided for the issuance of up to 9,500,000 shares of common stock, including those issued pursuant to the exercise of stock options and upon vesting and settlement of restricted share units. Most of these awards vest over a period of four years. The maximum term of any issued stock right under the Sohu 2000 Stock Incentive Plan is ten years from the grant date. The Sohu 2000 Stock Incentive Plan expired on January 24, 2010. A new plan (the Sohu 2010 Stock Incentive Plan) was adopted by Sohus shareholders on July 2, 2010. There has been no share-based compensation expense recognized under the Sohu 2000 Stock Incentive Plan since 2015, as the requisite service periods for all these awards had been completed by the end of 2014. No cash has been received under the Sohu 2000 Stock Incentive Plan since 2016, as all of these awards had been exercised by the end of 2015. Sohus 2010 Stock Incentive Plan On July 2, 2010, the Companys shareholders adopted the Sohu 2010 Stock Incentive Plan, which provides for the issuance of up to 1,500,000 shares of common stock, including stock issued pursuant to the vesting and settlement of restricted stock units and pursuant to the exercise of stock options. The maximum term of any stock right granted under the Sohu 2010 Stock Incentive Plan is ten years from the grant date. The Sohu 2010 Stock Incentive Plan will expire on July 1, 2020. As of September 30, 2016, 360,930 shares were available for grant under the Sohu 2010 Stock Incentive Plan. i) Summary of stock option activity On February 7, 2015 and May 1, 2016, the Companys Board of Directors approved contractual grants to members of the Companys management and key employees of options for the purchase of an aggregate of 1,068,000 and 13,000 shares of common stock, respectively, with nominal exercise prices of $0.001. These stock options vest and become exercisable in four equal installments over a period of four years, with each installment vesting upon the satisfaction of a service period requirement and certain subjective performance targets. These stock options are substantially similar to restricted stock units except for the nominal exercise price, which would be zero for restricted stock units. Under ASC 718-10-25 ASC 718-10-55 On February 7, 2016, 253,250 of these stock options had been granted and had become vested, as a mutual understanding of the subjective performance targets had been reached between the Company and the recipients, the targets had been satisfied, and the service period requirements had been fulfilled. The cumulative share-based compensation expense for these granted stock options has been adjusted and fixed based on the fair value at the grant date of $10.8 million. A summary of stock option activity under the Sohu 2010 Stock Incentive Plan as of and for the nine months ended September 30, 2016 is presented below: Weighted Number Weighted Average Aggregate Of Average Remaining Intrinsic Shares Exercise Contractual Value (1) Options (in thousands) Price Life (Years) (in thousands) Outstanding at January 1, 2016 0 $ $ Granted 253 0.001 Exercised (56 ) 0.001 Forfeited or expired 0 Outstanding at September 30, 2016 197 0.001 8.35 8,717 Vested at September 30, 2016 197 0.001 8.35 8,717 Exercisable at September 30, 2016 197 0.001 8.35 8,717 Note (1): The aggregated intrinsic value in the preceding table represents the difference between Sohus closing stock price of $44.25 on September 30, 2016 and the nominal exercise prices of the stock options. For the three and nine months ended September 30, 2016, total share-based compensation expense recognized for these stock options was $5.3 million and $3.6 million, respectively. For the three and nine months ended September 30, 2015, total share-based compensation expense recognized for these Sohu stock options was $1.7 million and $ 13.3 million, respectively. ii) Summary of restricted share unit activity A summary of restricted stock unit activity under the Sohu 2010 Stock Incentive Plan as of and for the nine months ended September 30, 2016 is presented below: Number of Weighted-Average Units Grant-Date Restricted Stock Units (in thousands) Fair Value Unvested at January 1, 2016 32 $ 70.24 Granted 11 51.00 Vested (12 ) 56.83 Forfeited (9 ) 63.45 Unvested at September 30, 2016 22 70.61 Expected to vest after September 30, 2016 17 68.96 For the three and nine months ended September 30, 2016, total share-based compensation expense recognized for restricted stock units was $0.4 million and $1.1 million, respectively. For the three and nine months ended September 30, 2015, total share-based compensation expense recognized for restricted stock units was $0.6 million and $1.8 million, respectively. As of September 30, 2016, there was $0.7 million unrecognized compensation expense related to unvested restricted stock units. The expense is expected to be recognized over a weighted average period of 0.6 years. The total fair value on their respective vesting dates of restricted stock units that vested during the three and nine months ended September 30, 2016 was $0.2 million and $0.5 million, respectively. The total fair value on their respective vesting dates of restricted stock units that vested during the three and nine months ended September 30, 2015 was $0.3 million and $0.7 million, respectively. 2) Sogou Inc. Share-based Awards Sogou 2010 Share Incentive Plan Sogou adopted a share incentive plan on October 20, 2010. The number of Sogou ordinary shares issuable under the plan was 41,500,000 after an amendment that was effective August 22, 2014 (as amended, the Sogou 2010 Share Incentive Plan). Awards of share rights may be granted under the Sogou 2010 Share Incentive Plan to management and employees of Sogou and of any present or future parents or subsidiaries or VIEs of Sogou. The maximum term of any share right granted under the Sogou 2010 Share Incentive Plan is ten years from the grant date. The Sogou 2010 Share Incentive Plan will expire on October 19, 2020. As of September 30, 2016, Sogou had contractually granted options for the purchase of 38,441,000 Sogou ordinary shares under the 2010 Sogou Share Incentive Plan. Of the contractually granted Sogou share options for the purchase of 38,441,000 Sogou ordinary shares, options for the purchase of 31,241,000 Sogou ordinary shares vest and become exercisable upon a service period requirement being met, as well as Sogous achievement of performance targets for the corresponding period. Subject to achievement of the applicable performance targets, of these Sogou share options for the purchase of 31,241,000 Sogou ordinary shares, options for the purchase of 30,021,750 Sogou ordinary shares vest and become exercisable in four equal installments and options for the purchase of 1,219,250 Sogou ordinary shares vest and become exercisable in two to four installments over varying periods. Of these Sogou share options for the purchase of 31,241,000 Sogou ordinary shares, the terms of options for the purchase of 980,000 Sogou ordinary shares, which had previously included as vesting conditions a service period requirement and Sogous completion of an IPO of its ordinary shares (Sogous IPO), were amended in the first quarter of 2016 to remove as a condition of vesting completion of Sogous IPO and add as a condition of vesting achievement of performance targets. For purposes of recognition of share-based compensation expense, each installment is considered to be granted as of the date that the performance target has been set. As of September 30, 2016, Sogou had granted options for the purchase of 25,337,008 Sogou ordinary shares under the 2010 Sogou Share Incentive Plan. As of September 30, 2016, options for the purchase of 22,923,259 Sogou ordinary shares had become vested and exercisable because both the service period and the performance requirements had been met, and of such vested options, options for the purchase of 22,918,596 Sogou ordinary shares had been exercised. Of the contractually granted Sogou share options, options for the purchase of 7,200,000 Sogou ordinary shares vest and become exercisable in five equal installments, with (i) the first installment vesting upon Sogous IPO and the expiration of all underwriters lockup periods applicable to Sogous IPO, and (ii) each of the four subsequent installments vesting on the first, second, third and fourth anniversary dates, respectively, of the closing of Sogous IPO. The completion of an IPO is considered to be a performance condition of the awards. An IPO is not considered to be probable until it is completed. Under ASC 718 As of September 30, 2016, for purposes of recognition of share-based compensation expense, Sogou had granted Sogou share options for the purchase of 32,537,008 Sogou ordinary shares, of which options for the purchase of 9,618,412 Sogou ordinary shares were outstanding. A summary of Sogou share option activity under the Sogou 2010 Share Incentive Plan as of and for the nine months ended September 30, 2016 is presented below: Weighted Number Weighted Average Of Average Remaining Shares Exercise Contractual Options (in thousands) Price Life (Years) Outstanding at January 1, 2016 12,209 $ 0.369 Granted 2,337 0.001 Exercised (3,800 ) 0.001 Forfeited or expired (1,128 ) 0.001 Outstanding at September 30, 2016 9,618 0.468 6.58 Vested at September 30, 2016 and expected to vest thereafter 2,360 Exercisable at September 30, 2016 5 For the three and nine months ended September 30, 2016, total share-based compensation expense recognized for Sogou share options under the Sogou 2010 Share Incentive Plan was $0.2 million and $1.4 million, respectively. For the three and nine months ended September 30, 2015, total share-based compensation expense recognized for Sogou share options under the Sogou 2010 Share Incentive Plan was negative $0.4 million and $3.5 million, respectively. As of September 30, 2016, there was $7.1 million of unrecognized compensation expense related to the unvested Sogou share options. The expense is expected to be recognized over a weighted average period of 0.34 years. The fair value of the ordinary shares of Sogou was assessed using the income approach /discounted cash flow method, with a discount for lack of marketability, given that the shares underlying the awards were not publicly traded at the time of grant, and was determined with the assistance of a qualified professional appraiser using managements estimates and assumptions. This assessment required complex and subjective judgments regarding Sogous projected financial and operating results, its unique business risks, the liquidity of its ordinary shares and its operating history and prospects at the time the grants were made. The fair value of the Sogou share options granted to Sogou management and key employees was estimated on the date of grant using the Binomial option - pricing model (the BP Model) with the following assumptions used: Assumptions Adopted Average risk-free interest rate 1.90%~2.77% Exercise multiple 2~3 Expected forfeiture rate (post-vesting) 0%~12% Weighted average expected option life 7 Volatility rate 43%~50% Dividend yield 0% Fair value 3.18~3.93 Sogou estimated the risk-free rate based on the market yields of U.S. Treasury securities with an estimated country-risk differential as of the valuation date. An exercise multiple was estimated as the ratio of the fair value of the Sogou ordinary shares over the exercise price as of the time the Sogou share option is exercised, based on consideration of research studies regarding exercise patterns based on historical statistical data. In Sogous valuation analysis, a multiple of two was applied for employees and a multiple of three was applied for management. Sogou estimated the forfeiture rate to be 0% or 1% for the Sogou share options granted to Sogou management as of September 30, 2016 and 12% for the Sogou share options granted to Sogou employees as of September 30, 2016. The life of the Sogou share options is the contract life of the option. Based on the option agreement, the contract life of the Sogou share options is 10 years. As there is no trading market for Sogous ordinary shares, the expected volatility at the valuation date was estimated based on the historical volatility of comparable companies for the period before the grant date with length commensurate with the expected term of the Sogou share options. Sogou has no history or expectation of paying dividends on its ordinary shares. Accordingly, the dividend yield was estimated to be 0%. Sohu Management Sogou Share Option Arrangement Under an arrangement providing for Sogou share-based awards to be available for grants to members of Sohus Board of Directors, management and other key employees (Sohu Management Sogou Share Option Arrangement), which was approved by the boards of directors of Sohu and Sogou in March 2011, Sohu has the right to provide to members of Sohu Board of Directors, management and other key employees the opportunity to purchase from Sohu up to 12,000,000 ordinary shares of Sogou at a fixed exercise price of $0.625 or $0.001 per share. Of these 12,000,000 ordinary shares, 8,800,000 are Sogou ordinary shares previously held by Sohu and 3,200,000 are Sogou ordinary shares that were newly-issued on April 14, 2011 by Sogou to Sohu at a price of $0.625 per share, or a total of $2.0 million. As of September 30, 2016, Sohu had contractually granted options for the purchase of 10,705,000 Sogou ordinary shares to members of Sohu Board of Directors, management and other key employees under the Sohu Management Sogou Share Option Arrangement. Of the contractually granted Sogou share options for the purchase of 10,705,000 Sogou ordinary shares, options for the purchase of 8,290,000 Sogou ordinary shares vest and become exercisable in four equal installments, with each installment vesting upon a service period requirement for Sohus management and key employees being met, as well as Sogous achievement of performance targets for the corresponding period. The performance target for each installment is set at the beginning of each vesting period. Accordingly, for purposes of recognition of share-based compensation expense, each installment is considered to be granted as of that date. As of September 30, 2016, Sohu had granted Sogou share options for the purchase of 8,290,000 Sogou ordinary shares under the Sohu Management Sogou Share Option Arrangement. As of September 30, 2016, options for the purchase of 8,232,500 Sogou ordinary shares had become vested and exercisable because both the service period and the performance requirements had been met, and vested options for the purchase of 7,512,500 Sogou ordinary shares had been exercised. During 2015, options for the purchase of 15,000 Sogou ordinary shares were granted to members of Sohus Board of Directors. These Sogou share options vested and became exercisable as of December 31, 2015, as the service period requirement for vesting was met. The remaining options for the purchase of 2,400,000 Sogou ordinary shares vest and become exercisable in five equal installments, with (i) the first installment vesting upon Sogous IPO and the expiration of all underwriters lockup periods applicable to the IPO, and (ii) each of the four subsequent installments vesting on the first, second, third and fourth anniversary dates, respectively, of the closing of Sogous IPO. All installments of the Sogou share options for the purchase of 2,400,000 Sogou ordinary shares that are subject to vesting upon the completion of Sogous IPO were considered granted upon the issuance of the options. The completion of a firm commitment IPO is considered to be a performance condition of the awards. An IPO event is not considered to be probable until it is completed. Under ASC 718 As of September 30, 2016, for purposes of recognition of share-based compensation expense, Sohu had granted options for the purchase of 10,705,000 Sogou ordinary shares, of which options for the purchase of 3,189,500 Sogou ordinary shares were outstanding. A summary of Sogou share option activity under the Sohu Management Sogou Share Option Arrangement as of and for the nine months ended September 30, 2016 is presented below: Weighted Number Weighted Average Of Average Remaining Shares Exercise Contractual Options (in thousands) Price Life (Years) Outstanding at January 1, 2016 3,664 $ 0.623 Granted 58 0.625 Exercised (532 ) 0.625 Forfeited or expired 0 Outstanding at September 30, 2016 3,190 0.623 6.03 Vested at September 30, 2016 and expected to vest thereafter 790 Exercisable at September 30, 2016 732 For the three months and the nine months ended September 30, 2016, total share-based compensation expense recognized for Sogou share options under the Sohu Management Sogou Share Option Arrangement was $3,094 and $0.3 million, respectively. For the three months and the nine months ended September 30, 2015, total share-based compensation expense recognized for Sogou share options under the Sohu Management Sogou Share Option Arrangement was nil and $0.7 million, respectively. As of September 30, 2016, there was $0.1 million unrecognized compensation expense related to unvested Sogou share options. The expense is expected to be recognized over a weighted average period of 0.25 years. The method used to determine the fair value of Sogou share options granted to members of Sohus Board of Directors, management and other employees was the same as the method used for the Sogou share options granted to Sogous management and key employees as described above, except for the assumptions used in the BP Model as presented below: Assumptions Adopted Average risk-free interest rate 2.01%~2.15% Exercise multiple 2~3 Expected forfeiture rate (post-vesting) 0% Weighted average expected option life 6 Volatility rate 43%~47% Dividend yield 0% Fair value 2.56~3.31 Option Modification In the first and second quarter of 2013, a portion of the Sogou share options granted under the Sogou 2010 Share Incentive Plan and the Sohu Management Sogou Share Option Arrangement were exercised early, and the Sogou ordinary shares issued upon exercise were transferred to trusts with the original option grantees as beneficiaries. The trusts will distribute the Sogou ordinary shares to those beneficiaries in installments based on the vesting requirements under the option agreements. Although these trust arrangements caused a modification of the terms of these Sogou share options, the modification was not considered substantive. Accordingly, no incremental fair value related to these Sogou ordinary shares resulted from the modification, and the remaining share-based compensation expense for these Sogou ordinary shares will continue to be recognized over the original remaining vesting period. As of September 30, 2016, options for the purchase of 11,370,000 Sogou ordinary shares granted under the Sogou 2010 Share Incentive Plan had been exercised early but had not been distributed to the beneficiaries of the trusts. All of the early-exercised Sogou ordinary shares that were distributed to those beneficiaries by the trusts in accordance with the vesting requirements under the option agreements have been included in the disclosures under the heading Sogou 2010 Share Incentive Plan above. Tencent Share-based Awards Granted to Employees Who Transferred to Sogou with Soso Search-related Businesses Certain persons who became Sogou employees when Tencents Soso search-related businesses were transferred to Sogou on September 16, 2013 had been granted restricted share units under Tencents share award arrangements prior to the transfer of the businesses to Sogou. These Tencent restricted share units will continue to vest under the original Tencent share award arrangements provided the transferred employees continue to be employed by Sogou during the requisite service period. After the transfer of the Soso search-related businesses to Sogou, Sogou applied the guidance in ASC 505-50 As of September 30, 2016, unvested Tencent restricted share unit awards held by these employees provided for the issuance of up to 53,100 ordinary shares of Tencent, taking into consideration a five-for-one split of Tencents shares that became effective in May 2014. For the three and nine months ended September 30, 2016, share-based compensation expense of negative $38,458 and $0.8 million, respectively, related to these Tencent restricted share units was recognized in the Groups consolidated statements of comprehensive income. The negative $38,458 resulted from Sogous true-up of share-based compensation expense for forfeited Tencent restricted share units. For the three and nine months ended September 30, 2015, share-based compensation expense of negative $0.9 million and $1.5 million, respectively, related to these Tencent restricted share units was recognized in the Groups consolidated statements of comprehensive income. The negative $0.9 million resulted from Sogous true-up of share-based compensation expense for forfeited Tencent restricted share units and re-measurement of share-based compensation expense based on the then-current fair value of the awards on September 30, 2015. As of September 30, 2016, there was $0.3 million of unrecognized compensation expense related to these unvested Tencent restricted share units. This amount is expected to be recognized over a weighted average period of 1.43 years. 3) Changyou.com Limited Share-based Awards Changyous 2008 Share Incentive Plan Changyous 2008 Share Incentive Plan (the Changyou 2008 Share Incentive Plan) originally provided for the issuance of up to 2,000,000 Changyou ordinary shares, including Changyou ordinary shares issued pursuant to the exercise of share options and upon vesting and settlement of restricted share units. The 2,000,000 reserved Changyou ordinary shares became 20,000,000 Changyou ordinary shares in March 2009 when Changyou effected a ten-for-one share split of its ordinary shares. Most of the awards granted under the Changyou 2008 Share Incentive Plan vest over a period of four years. The maximum term of any share right granted under the Changyou 2008 Share Incentive Plan is ten years from the grant date. The Changyou 2008 Share Incentive Plan will expire in August 2018. Prior to the completion of Changyous initial public offering, Changyou had granted under the Changyou 2008 Share Incentive Plan 15,000,000 Changyou ordinary shares to its former chief executive officer Tao Wang, through Prominence Investments Ltd., which is an entity that may be deemed under applicable rules of the Securities and Exchange Commission to be beneficially owned by Tao Wang. Through September 30, 2016, Changyou had also granted under the Changyou 2008 Share Incentive Plan restricted share units, settleable upon vesting by the issuance of an aggregate of 4,614,098 Changyou ordinary shares, to certain members of its management other than Tao Wang, and certain other Changyou employees. i) Share-based Awards granted before Changyous IPO All of the restricted Changyou ordinary shares and restricted share units granted before Changyous IPO became vested by the end of 2013. Hence there has been no share-based compensation expense recognized with respect to such restricted Changyou ordinary shares and restricted share units since their respective vesting dates. ii) Share-based Awards granted after Changyous IPO Through September 30, 2016, in addition to the share-based awards granted before Changyous IPO, Changyou had granted restricted share units, settleable upon vesting with the issuance of an aggregate of 1,581,226 Changyou ordinary shares, to certain members of its management other than Tao Wang and to certain of its other employees. These Changyou restricted share units are subject to vesting over a four-year period commencing on their grant dates. Share-based compensation expense for such Changyou restricted share units is recognized on an accelerated basis over the requisite service period. The fair value of Changyou restricted share units was determined based on the market price of Changyous ADSs on the grant date. A summary of activity for these Changyou restricted share units as of and for the nine months ended September 30, 2016 is presented below: Restricted Share Units Number of Units (in thousands) Weighted-Average Unvested at January 1, 2016 20 $ 14.25 Granted 0 Vested 0 Forfeited 0 Unvested at September 30, 2016 20 14.25 Expected to vest after September 30, 2016 20 14.25 For the three and nine months ended September 30, 2016, total share-based compensation expense recognized for the Changyou restricted share units described above was $22,000 and $66,000, respectively. For both the three and the nine months ended September 30, 2015, total share-based compensation expense recognized for the Changyou restricted share units described above was negative $0.3 million. The negative amount resulted from Changyous reversal of share-based compensation expense for Changyou restricted share units that were cancelled due to termination of employment prior to vesting. As of September 30, 2016, there was $44,000 unrecognized compensation expense related to the unvested restricted share units. The expense is expected to be recognized over a weighted average period of 0.63 years. The total fair value of these restricted share units vested was nil during both the three and the nine months ended September 30, 2016. The total fair value of these restricted share units vested during the three and nine months ended September 30, 2015 was nil and $0.7 million, respectively. Changyou 2014 Share Incentive Plan On June 27, 2014, Changyou reserved 2,000,000 of its Class A ordinary shares under the Changyou.com Limited 2014 Share Incentive Plan (the Changyou 2014 Share Incentive Plan) for the purpose of making share incentive awards to certain members of its management and key employees. On November 2, 2014, the number of Class A ordinary shares reserved under the Changyou 2014 Share Incentive Plan increased from 2,000,000 to 6,000,000. The maximum term of any share right granted under the Changyou 2014 Share Incentive Plan is ten years from the grant date. The Changyou 2014 Share Incentive Plan will expire in June 2024. As of September 30, 2016, 2,808,000 shares were available for grant under the Changyou 2014 Share Incentive Plan. i) Summary of share option activity On November 2, 2014, Changyou approved the contractual grant of an aggregate of 2,416,000 Class A restricted share units to certain members of its management and certain other employees. On February 16, 2015, Changyous Board of Directors approved the conversion of 2,400,000 of these Class A restricted share units into options for the purchase of Class A ordinary shares at an exercise price of $0.01. On June 1, 2015, Changyous Board of Directors approved the contractual grant of options for the purchase of an aggregate of 1,998,000 Class A ordinary shares to certain members of its management and certain other employees at an exercise price of $0.01. On July 28, 2016, Changyous Board of Directors approved the contractual grant of options for the purchase of an aggregate of 100,000 Class A ordinary shares to certain member of its management at an exercise price of $0.01. These Changyou share options vest in four equal installments over a period of four years, with each installment vesting upon satisfaction of a service period requirement and the achievement of certain subjective performance targets. These Changyou share options are substantially similar to restricted share units except for the nominal exercise price, which would be zero for restricted share units. Under ASC 718-10-25 ASC 718-10-55 On November 2, 2015 and June 1, 2016, 450,000 and 329,000, respectively, of these Changyou share options had been granted and had become vested, as a mutual understanding of the subjective performance targets had been reached between Changyou and the recipients, the targets had been satisfied, and the service period requirements had been fulfilled. The cumulative share-based compensation expense for these granted Changyou share options has been adjusted and fixed based on their fair value of $4.7 million and $3.2 million, respectively, at the grant date. A summary of Changyou share option activity under the Changyou 2014 Share Incentive Plan as of and for the nine months ended September 30, 2016 is presented below: Options Number Of Shares Weighted Weighted Aggregate Outstanding at January 1, 2016 450 $ 0.01 8.84 $ 5,580 Granted 329 0.01 Exercised (269 ) 0.01 Forfeited or expired 0 Outstanding at September 30, 2016 510 0.01 8.32 6,942 Vested at September 30, 2016 510 0.01 8.32 6,942 Exercisable at September 30, 2016 510 0.01 8.32 6,942 Note (1): The aggregated intrinsic value in the preceding table represents the difference between Changyous closing price of $27.25 per ADS, or $13.63 per Class A ordinary share, on September 30, 2016 and the nominal exercise prices of the share options. For the three and nine months ended September 30, 2016, share-based compensation expense recognized for these share options under the Changyou 2014 Share Incentive Plan was $7.2 million and $9.3 million, respectively. For the three and nine months ended September 30, 2015, share-based compensation expense recognized for these share options under the Changyou 2014 Share Incentive Plan was negative $3.2 million and $7.7 million, respectively. The negative amount resulted from Changyous reversal of share-based compensation expense for restricted share units that were cancelled during the third quarter of 2015 due to termination of employment prior to vesting. ii) Summary of restricted share unit activity On November 2, 2014, Changyou had contractually granted under the 2014 Share Incentive Plan an aggregate of 16,000 Changyou Class A restricted share units to an employee. These Class A restricted share units are subject to vesting over a four-year period commencing on their grant dates. The fair values as of the grant dates of these Changyou restricted share units were determined based on market price of Changyous ADSs on the grant dates. Due to the termination of employment of an employee during the second quarter of 2015 prior to vesting of Changyou restricted share units held by the employee, Changyou reversed share-based compensation expense in the amount of $17,000. There was no unrecognized compensation expense for these restricted share units after the second quarter of 2015, as all of them were forfeited during that quarter. 4) Sohu Video Share-based Awards On January 4, 2012, Sohu Video adopted the Video 2011 Share Incentive Plan, under which 25,000,000 ordinary shares of Sohu Video are reserved for the purpose of making share incentive awards to management and key employees of Sohu Video and to Sohu management. The maximum term of any share incentive award granted under the Video 2011 Share Incentive Plan is ten years from the grant date. The Video 2011 Share Incentive Plan will expire on January 3, 2021. As of September 30, 2016, grants of options for the purchase of 16,368,200 ordinary shares of Sohu Video had been contractually made and were subject to vesting in four equal installments, with each installment vesting upon a service period requirement being met, as well as Sohu Videos achievement of performance targets for the corresponding period. For purposes of ASC 718-10-25 For the |
Related Party Transactions
Related Party Transactions | 9 Months Ended |
Sep. 30, 2016 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | 10. Related Party Transactions Changyous Loan Arrangements with SoEasy Commencing in April 2015, certain subsidiaries of Changyou and certain subsidiaries of SoEasy entered into a series of loan agreements pursuant to which the subsidiaries of Changyou are entitled to draw down HK dollar-denominated or U.S. dollar-denominated loans from the SoEasy subsidiaries and the SoEasy subsidiaries are entitled to draw down equivalent RMB-denominated loans from the subsidiaries of Changyou, to facilitate each others business operations. All of the loans carry a fixed rate of interest equal to the current market interest rate. During the first quarter of 2016, Changyou drew down from SoEasy U.S. dollar-denominated loans of approximately $29.9 million and granted RMB-denominated loans to SoEasy of approximately $30.2 million. During the second quarter of 2016, Changyou repaid to SoEasy U.S. dollar-denominated loans of approximately $12.9 million and received from SoEasy RMB-denominated loans of $12.1 million. As of September 30, 2016, Changyou had U.S. dollar-denominated loans payable to SoEasy in a total amount of approximately $29.2 million, which was recorded in other short-term liabilities. As of the same date, Changyou had RMB-denominated loans receivable from SoEasy in a total amount of approximately $29.2 million, which was recorded in prepaid and other current assets. For the three and nine months ended September 30, 2016, Changyou incurred interest expense of $0.2 million and $0.5 million, respectively, and earned interest income of $0.3 million and $1.0 million, respectively. As of September 30, 2016, total interest expense payable to SoEasy amounted to $0.4 million, which was recorded in other short-term liabilities; and total interest income receivable from SoEasy was $0.7 million, which was recorded in prepaid and other current assets. Other Information For the three and nine months ended September 30, 2016, the Sohu Group generated brand advertising revenue from SoEasy of nil and $862,000, respectively. For the three and nine months ended September 30, 2016, the Group incurred sales and marketing expense for SoEasy of nil and $216,000, respectively. |
Sogou Transactions
Sogou Transactions | 9 Months Ended |
Sep. 30, 2016 | |
Sogou Transactions [Abstract] | |
Sogou Transactions | 11. Sogou Transactions On September 16, 2013, Sogou entered into a series of agreements with Tencent, Sohu Search and Photon Group Limited (Photon) pursuant to which Sogou issued Series B Preferred Shares and Class B Ordinary Shares to Tencent for a net amount of $448 million in cash and Tencent transferred its Soso search-related businesses and certain other assets to Sogou (collectively, the Sogou-Tencent Transactions). Also on that date, Sogou entered into Repurchase Option Agreements with Sohu Search and Photon, and a Repurchase/Put Option Agreement with China Web Search (HK) Limited (China Web), with respect to all of the Series A Preferred Shares of Sogou held by Sohu Search and China Web, and a portion of the Series A Preferred Shares of Sogou held by Photon. Also on that date, Sogou, Sohu Search, Photon, Mr. Xiaochuan Wang, four other members of Sogous management (collectively, the Sohu Parties) and Tencent entered into a Shareholders Agreement (the Shareholders Agreement) under which the parties agreed to vote their Sogou shares in all elections of directors to elect three designees of Sohu Search and two designees of Tencent. In June 2014, Sogou repurchased approximately 4.2 million of its Class A Ordinary Shares from noncontrolling shareholders, a majority of whom were employees of the Group, for an aggregate purchase price of $41.6 million. In March 2014, September 2015, and September 2015, respectively, Sogou purchased from China Web, Sohu Search and Photon, pursuant to the Repurchase Option Agreements entered into in September 2013, 14.4 million, 24.0 million and 6.4 million Series A Preferred Shares of Sogou, for an aggregate purchase price of $47.3 million, $78.8 million and $21.0 million, respectively. After these repurchases, the Sohu Group holds approximately 36% of the outstanding equity capital of Sogou, assuming that all share options under the Sogou 2010 Share Incentive Plan and all share options under the Sohu Management Sogou Share Option Arrangement are granted and exercised and that all of the 4.2 million Class A Ordinary Shares Sogou repurchased in June 2014 were issued to shareholders other than Sohu.com Inc. The Sohu Group holds over 50% of the total voting power and controls the election of the Board of Directors of Sogou and, assuming that Tencents non-voting Class B Ordinary Shares are converted to voting shares, and that all Sogou share options under the Sogou 2010 Share Incentive Plan and all Sogou share options under the Sohu Management Sogou Share Option Arrangement are granted and exercised, the Sohu Group will continue to do so. As Sohu.com Inc. is the controlling shareholder of Sogou, Sohu.com Inc. consolidates Sogou in the Groups consolidated financial statements, and recognizes noncontrolling interest reflecting economic interests in Sogou held by shareholders other than Sohu.com Inc. Sohus Shareholding in Sogou As of September 30, 2016, Sogou had outstanding a combined total of 334,670,182 ordinary shares and preferred shares held as follows: (i) Sohu.com Inc.: 131,697,750 Class A Ordinary Shares, of which 4,484,500 shares may be purchased by Sohu management and key employees under an option arrangement; (ii) Photon: 32,000,000 Series A Preferred Shares (iii) Tencent: 6,757,875 Class A Ordinary Shares, 65,431,579 Series B Preferred Shares and 79,368,421 non-voting Class B Ordinary Shares; and (iv) Various employees of Sogou and Sohu: 19,414,557 Class A Ordinary Shares. Because no ordinary shares will be issued with respect to share options granted by Sogou until they are vested and exercised, share options granted by Sogou that have not vested and vested share options that have not yet been exercised are not included as outstanding shares of Sogou and have no impact on the Sohu Groups basic net income per share. Unvested share options with performance targets achieved and vested share options that have not yet been exercised do, however, have a dilutive impact on the Sohu Groups dilutive net income per share. See Note 13 - Net Income/(Loss) per Share. Terms of Sogou Preferred Shares In connection with the Sogou-Tencent Transactions, Sogous shareholders adopted a Fifth Amended and Restated Memorandum of Association and Second Amended and Restated Articles of Association (together, the Revised Sogou Memorandum and Articles), which became effective on September 16, 2013. The following is a summary of some of the key terms of the Sogou Series A Preferred Shares and Series B Preferred Shares (collectively, the Sogou Preferred Shares) under the Revised Sogou Memorandum and Articles. Dividend Rights Sogou may not declare or pay dividends on its Class A Ordinary Shares or Class B Ordinary Shares (collectively, Ordinary Shares) unless the holders of the Sogou Preferred Shares then outstanding first receive a dividend on each outstanding Preferred Share in an amount at least equal to the sum of (i) the dividends that would have been payable to the holder of such Preferred Share if such share had been converted into Ordinary Shares, at the then-applicable conversion rate, immediately prior to the record date for such dividend, and (ii) all accrued and unpaid Accruing Dividends. Accruing Dividends are calculated from the date of issuance of the Series A Preferred Shares at the rate per annum of $0.0375 per Series A Preferred Share and from the date of issuance of the Series B Preferred Shares at the rate per annum of $0.411 per Series B Preferred Share. Liquidation Rights In the event of any Liquidation Event, such as the liquidation, dissolution or winding up of Sogou, a merger or consolidation of Sogou resulting in a change of control, the sale of substantially all of Sogous assets or similar events, the holders of Series B Preferred Shares are entitled to receive an amount per share equal to the greater of (i) $6.847 plus any unpaid Accruing Dividends or (ii) such amount per share as would have been payable if the Series B Preferred Shares had been converted into Ordinary Shares prior the Liquidation Event, and holders of Series A Preferred Shares are entitled to receive, after payment to the holders of the Series B Preferred Shares but before any payment to holders of Ordinary Shares, an amount equal to the greater of (i) 1.3 times their original investment in the Series A Preferred Shares plus all accrued but unpaid Accruing Dividends or (ii) such amount per share as would be payable if the Series A Preferred Shares had been converted into Ordinary Shares immediately prior to the Liquidation Event. Redemption Rights The Sogou Preferred Shares are not redeemable at the option of the holders. Conversion Rights Each Sogou Preferred Share is convertible, at the option of the holder, at any time, and without the payment of additional consideration by the holder. Each Sogou Preferred Share is convertible into such number of Class A Ordinary Shares as is determined, in the case of Series A Preferred Shares, by dividing $0.625 by the then-effective conversion price for Series A Preferred Shares, which is initially $0.625, and, in the case of Series B Preferred Shares, by dividing $7.267 by the then-effective conversion price for Series B Preferred Shares, which is initially $7.267. The conversion prices of the Sogou Preferred Shares are subject to adjustment on a weighted average basis upon the issuance of additional equity shares, or securities convertible into equity shares, at a price per share less than $0.625, in the case of Series A Preferred Shares, or less than $7.267, in the case of Series B Preferred Shares, subject to certain customary exceptions, such as shares issued pursuant to the Sogou 2010 Share Incentive Plan. Each Sogou Preferred Share will be automatically converted into Class A Ordinary Shares of Sogou upon the closing of a qualified IPO of Sogou based on the then-effective conversion ratio of such Sogou Preferred Share, which is currently one-for-one for both Series A Preferred Shares and Series B Preferred Shares. Voting Rights Each holder of Sogou Preferred Shares is entitled to cast the number of votes equal to the number of Class A Ordinary Shares into which the Sogou Preferred Shares held by such holder are then convertible. Other Rights The holders of Sogou Preferred Shares have various other rights typical of preferred share investments. Terms of Sogou Class A Ordinary Shares and Class B Ordinary Shares The Class A Ordinary Shares and Class B Ordinary Shares have identical rights, except that Class B Ordinary Shares do not have voting rights unless the holders of at least a majority of the then outstanding Class B Ordinary Shares elect, by written notice to Sogou, to convert them into shares with voting rights. |
Noncontrolling Interest
Noncontrolling Interest | 9 Months Ended |
Sep. 30, 2016 | |
Noncontrolling Interest [Abstract] | |
Noncontrolling Interest | 12. Noncontrolling Interest The primary subsidiaries and VIEs of the Sohu Group which are consolidated in its consolidated financial statements with noncontrolling interest recognized are Sogou and Changyou. Noncontrolling Interest for Sogou Since Sohu.com Inc. controls the election of the Board of Directors of Sogou, Sohu.com Inc. is Sogous controlling shareholder. Therefore, Sogous financial results have been consolidated with those of Sohu.com Inc. for all periods presented. To reflect the economic interest in Sogou held by shareholders other than Sohu.com Inc. (the Sogou noncontrolling shareholders), Sogous net income /(loss) attributable to the Sogou noncontrolling shareholders is recorded as noncontrolling interest in the Sohu Groups consolidated statements of comprehensive income. Sogous cumulative results of operations attributable to the Sogou noncontrolling shareholders, along with changes in shareholders equity /(deficit) and adjustment for share-based compensation expense in relation to those share-based awards which are unvested and vested but not yet settled and the Sogou noncontrolling shareholders investments in Sogou Preferred Shares and Ordinary Shares are accounted for as a noncontrolling interest classified as permanent equity in the Sohu Groups consolidated balance sheets, as the Sohu Group has the right to reject a redemption requested by the noncontrolling interest. These treatments are based on the terms governing the investment, and on the terms of the classes of Sogou shares held, by the noncontrolling shareholders in Sogou. By virtue of these terms, Sogous losses have been and will be allocated in the following order: (i) net losses were allocated to holders of Sogou Class A Ordinary Shares and the holder of Sogou Class B Ordinary Shares until their basis in Sogou decreased to zero; (ii) additional net losses were allocated to holders of Sogou Series A Preferred Shares until their basis in Sogou decreased to zero; (iii) additional net losses will be allocated to the holder of Sogou Series B Preferred Shares until its basis in Sogou decreases to zero; and (iv) further net losses will be allocated between Sohu.com Inc. and noncontrolling shareholders based on their shareholding percentage in Sogou. Net income from Sogou has been, and future net income from Sogou will be, allocated in the following order: (i) net income will be allocated between Sohu.com Inc. and noncontrolling shareholders based on their shareholding percentage in Sogou until their basis in Sogou increases to zero; (ii) additional net income will be allocated to the holder of Sogou Series B Preferred Shares to bring its basis back; (iii) additional net income will be allocated to holders of Sogou Series A Preferred Shares to bring their basis back; (iv) further net income will be allocated to holders of Sogou Class A Ordinary Shares and the holder of Sogou Class B Ordinary Shares to bring their basis back; and (v) further net income will be allocated between Sohu.com Inc. and noncontrolling shareholders based on their shareholding percentage in Sogou. Noncontrolling Interest for Changyou As Sohu.com Inc. is Changyous controlling shareholder, Changyous financial results have been consolidated with those of Sohu.com Inc. for all periods presented. To reflect the economic interest in Changyou held by shareholders other than Sohu.com Inc. (the Changyou noncontrolling shareholders), Changyous net income /(loss) attributable to the Changyou noncontrolling shareholders is recorded as noncontrolling interest in the Sohu Groups consolidated statements of comprehensive income, based on their share of the economic interest in Changyou. Changyous cumulative results of operations attributable to the Changyou noncontrolling shareholders, along with changes in shareholders equity, adjustment for share-based compensation expense in relation to those share-based awards which are unvested and vested but not yet settled and adjustment for changes in Sohu.com Inc.s ownership in Changyou, are recorded as noncontrolling interest in the Sohu Groups consolidated balance sheets. Noncontrolling Interest in the Consolidated Balance Sheets As of December 31, 2015 and September 30, 2016, noncontrolling interest in the consolidated balance sheets was $547.6 million and $489.7 million, respectively. As of December 31, 2015 (in thousands) September 30, 2016 (in thousands) Sogou $ 125,314 $ 150,393 Changyou 364,416 397,246 Total $ 489,730 $ 547,639 Noncontrolling Interest of Sogou As of September 30, 2016 and December 31, 2015, noncontrolling interest of Sogou of $150.4 million and $125.3 million, respectively, was recognized in the Sohu Groups consolidated balance sheets, representing Sogous cumulative results of operations attributable to shareholders other than Sohu.com Inc., Sogous share-based compensation expense, the investments of shareholders other than Sohu.com Inc. in Preferred Shares and Ordinary Shares of Sogou, the repurchase of Sogou Series A Preferred Shares from noncontrolling shareholders in March 2014 and September 2015, and Sogous repurchase of Class A Ordinary Shares from noncontrolling shareholders in June 2014. Noncontrolling Interest of Changyou As of September 30, 2016 and December 31, 2015, noncontrolling interest of Changyou of $397.2 million and $364.4 million, respectively, was recognized in the Sohu Groups consolidated balance sheets, representing a 31% and 32% economic interest, respectively, in Changyous net assets held by shareholders other than Sohu.com Inc. and reflecting the reclassification of Changyous share-based compensation expense from shareholders additional paid-in capital to noncontrolling interest. Noncontrolling Interest in the Consolidated Statements of Comprehensive Income For the three and nine months ended September 30, 2016, net income attributable to the noncontrolling interest in the consolidated statements of comprehensive income was $32.8 million and $80.2 million, respectively. For the three and nine months ended September 30, 2015, net income attributable to the noncontrolling interest in the consolidated statements of comprehensive income was $42.1 million and $107.3 million, respectively. Three Months Ended September 30, Nine Months Ended September 30, 2015 2016 2015 2016 Sogou $ 35,930 $ 20,283 $ 74,212 $ 46,383 Changyou 6,212 12,492 33,133 33,855 Total $ 42,142 $ 32,775 $ 107,345 $ 80,238 Noncontrolling Interest of Sogou For the three months ended September 30, 2016 and 2015, a $20.3 million and $35.9 million net income attributable to the noncontrolling interest of Sogou, respectively, was recognized in the Sohu Groups consolidated statements of comprehensive income, representing Sogous net income attributable to shareholders other than Sohu.com Inc. Noncontrolling Interest of Changyou For the three months ended September 30, 2016 and 2015, net income of 12.5 million and $6.2 million, respectively, attributable to the noncontrolling interest of Changyou, representing a 31% economic interest in Changyou attributable to shareholders other than Sohu.com Inc. for the three months ended both September 30, 2016 and 2015, was recognized in the Sohu Groups consolidated statements of comprehensive income. |
Net Income _(Loss) per Share
Net Income /(Loss) per Share | 9 Months Ended |
Sep. 30, 2016 | |
Net Income /(Loss) per Share [Abstract] | |
Net Income /(Loss) per Share | 13. Net Income /(Loss) per Share Basic net income /(loss) per share is computed using the weighted average number of common shares outstanding during the period. Diluted net income /(loss) per share is computed using the weighted average number of common shares and, if dilutive, potential common shares outstanding during the period. Potential common shares comprise shares issuable upon the exercise or settlement of share-based awards using the treasury stock method. The dilutive effect of share-based awards with performance requirements is not considered before the performance targets are actually met. The computation of diluted net income /(loss) per share does not assume conversion, exercise, or contingent issuance of securities that would have an anti-dilutive effect (i.e. an increase in earnings per share amounts or a decrease in loss per share amounts) on net income /(loss) per share. For the three and nine months ended September 30, 2016, 214,000 and 241,000, respectively, common shares potentially issuable upon the exercise or settlement of share-based awards using the treasury stock method were anti-dilutive and excluded from the denominator for calculation of diluted net loss per share. Additionally, for purposes of calculating the numerator of diluted net income /(loss) per share, the net income /(loss) attributable to Sohu.com Inc. is adjusted as follows. The adjustment will not be made if there is an anti-dilutive effect. (1) Sogous net income /(loss) attributable to Sohu.com Inc. is determined using the percentage that the weighted average number of Sogou shares held by Sohu.com Inc. represents of the weighted average number of Sogou Preferred Shares and Ordinary Shares, shares issuable upon the conversion of convertible preferred shares under the if-converted method, and shares issuable upon the exercise or settlement of share-based awards under the treasury stock method, and is not determined by allocating Sogous net income /(loss) to Sohu.com Inc. using the methodology for the calculation of net income /(loss) attributable to the Sogou noncontrolling shareholders discussed in Note 12 - Noncontrolling Interest. In the calculation of Sohu.com Inc.s diluted net income /(loss) per share, assuming a dilutive effect, the percentage of Sohu.com Inc.s shareholding in Sogou was calculated by treating convertible preferred shares issued by Sogou as having been converted at the beginning of the period and unvested Sogou share options with the performance targets achieved as well as vested but unexercised Sogou share options as having been exercised during the period. The dilutive effect of share-based awards with a performance requirement was not considered before the performance targets were actually met. The effect of this calculation is presented as incremental dilution from Sogou in the table below. Assuming an anti-dilutive effect, all of these Sogou shares and share options are excluded from the calculation of Sohu.com Inc.s diluted income /(loss) per share. As a result, Sogous net income /(loss) attributable to Sohu.com Inc. on a diluted basis equals the number used for the calculation of Sohu.com Inc.s basic net income /(loss) per share. For the three and nine months ended September 30, 2016, all of these Sogou shares and share options had an anti-dilutive effect, and therefore were excluded from the calculation of Sohu.com Inc.s diluted net loss per share, and incremental dilution from Sogou in the table below was zero. (2) Changyous net income /(loss) attributable to Sohu.com Inc. is determined using the percentage that the weighted average number of Changyou shares held by Sohu.com Inc. represents of the weighted average number of Changyou ordinary shares and shares issuable upon the exercise or settlement of share-based awards under the treasury stock method, and not by using the percentage held by Sohu.com Inc. of the total economic interest in Changyou, which is used for the calculation of basic net income per share. In the calculation of Sohu.com Inc.s diluted net income /(loss) per share, assuming a dilutive effect, all of Changyous existing unvested restricted share units and share options, and vested restricted share units and share options that have not yet been settled, are treated as vested and settled by Changyou under the treasury stock method, causing the percentage of the weighted average number of shares held by Sohu.com Inc. in Changyou to decrease. As a result, Changyous net income /(loss) attributable to Sohu.com Inc. on a diluted basis decreased accordingly. The effect of this calculation is presented as incremental dilution from Changyou in the table below. Assuming an anti-dilutive effect, all of these Changyou restricted share units and share options are excluded from the calculation of Sohu.com Inc.s diluted net income /(loss) per share. As a result, Changyous net income /(loss) attributable to Sohu.com Inc. on a diluted basis equals the number used for the calculation of Sohu.com Inc.s basic net income /(loss) per share. For the three and nine months ended September 30, 2016, all of these Changyou restricted share units had a dilutive effect, and therefore were included in the calculation of Sohu.com Inc.s diluted net loss per share. This impact is presented as incremental dilution from Changyou in the table below. The following table presents the calculation of the Sohu Groups basic and diluted net income/ (loss) per share (in thousands, except per share data). Three Months Ended Nine Months Ended September 30, September 30, 2015 2016 2015 2016 Numerator: Net income /(loss) attributable to Sohu.com Inc., basic (after subtracting the deemed dividend to noncontrolling Sogou Series A Preferred shareholders) $ 39,121 $ (74,814 ) $ (19,198 ) $ (158,124 ) Effect of dilutive securities: Incremental dilution from Sogou 0 0 0 0 Incremental dilution from Changyou (324 ) (472 ) (884 ) (1,125 ) Net income /(loss) attributable to Sohu.com Inc., diluted $ 38,797 $ (75,286 ) $ (20,082 ) $ (159,249 ) Denominator: Weighted average basic common shares outstanding 38,633 38,728 38,582 38,695 Effect of dilutive securities: Share options and restricted share units 32 0 0 0 Weighted average diluted common shares outstanding 38,665 38,728 38,582 38,695 Basic net income /(loss) per share attributable to Sohu.com Inc. $ 1.01 $ (1.93 ) $ (0.50 ) $ (4.09 ) Diluted net income /(loss) per share attributable to Sohu.com Inc. $ 1.00 $ (1.94 ) $ (0.52 ) $ (4.12 ) |
Recently Issued Accounting Pron
Recently Issued Accounting Pronouncements | 9 Months Ended |
Sep. 30, 2016 | |
Recently Issued Accounting Pronouncements [Abstract] | |
Recently Issued Accounting Pronouncements | 14. Recently Issued Accounting Pronouncements Revenue from Contracts with Customers. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606). ASU No.2015-14 ASU No. 2014-09 Recognition and Measurement of Financial Assets and Financial Liabilities. On January 5, 2016, the FASB issued ASU 2016-01 (ASU 2016-01) Leases. On February 25, 2016, the FASB issued ASU No. 2016-02 (ASU 2016-02), Leases ASU 2016-02 ASU 2016-02 ASU 2016-02 Compensation Stock Compensation. On March 30, 2016, the FASB issued ASU 2016-09 (ASU 2016-09), Compensation Stock Compensation: Improvements to Employee Share-Based Payment Accounting Financial Instruments-Credit Losses. In June 2016, the FASB issued Accounting Standards Update (ASU) 2016-13, Financial Instruments-Credit Losses (Topic 326) Statement of Cash Flows Classification of Certain Cash Receipts and Cash Payments. In August 2016, the FASB issued Accounting Standards Update (ASU) 2016-15, Statement of Cash Flows Classification of Certain Cash Receipts and Cash Payments, |
Subsequent Event
Subsequent Event | 9 Months Ended |
Sep. 30, 2016 | |
Subsequent Event [Abstract] | |
Subsequent Event | 15. Subsequent Event On October 24, 2016, Sohu Media entered into a loan agreement (the Loan Agreement) with AmazGame, pursuant to which Sohu Media may borrow from time to time from AmazGame up to RMB1.0 billion (or approximately US$148.64 million). The first request for an advance under the Loan Agreement must be made on or prior to December 31, 2016, and requests for further advances may be made for one year following the initial advance. Such one-year request period may be extended for another one-year period with the consent of AmazGame. Principal amounts outstanding under the Loan Agreement will bear interest at an annual rate of 6%. The outstanding principal of each advance will be due one year from the date of the advance, subject to extension for an additional year with the consent of AmazGame. Also on October 24, 2016, Sohu.com (Game) Limited (Sohu Game), a Cayman Islands company that is an indirect subsidiary of Sohu and is the direct parent of Changyou, and Changyou entered into a share pledge agreement (the Share Pledge Agreement) pursuant to which Sohu Game pledged to Changyou an agreed-upon number of Changyou Class B ordinary shares of Changyou held by Sohu Game. The share pledge agreement will give Changyou the right to apply the outstanding principal and accrued interest on the loan to the repurchase of Changyou Class B ordinary shares from Sohu Game in the event that such principal and interest are not paid when due. As of the date of this report, Sohu Media has not requested any advances from AmazGame under the Loan Agreement. |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Segment Information [Abstract] | |
Segment operating information by segment | Three Months Ended September 30, 2015 Sohu Sogou Changyou Eliminations Consolidated Revenues (1) $ 172,902 $ 162,300 $ 188,875 $ (1,987 ) $ 522,090 Segment cost of revenues (99,742 ) (66,035 ) (48,821 ) 539 (214,059 ) Segment gross profit 73,160 96,265 140,054 (1,448 ) 308,031 SBC (2) in cost of revenues (184 ) (12 ) 96 0 (100 ) Gross profit 72,976 96,253 140,150 (1,448 ) 307,931 Operating expenses: Product development (3) (23,708 ) (31,573 ) (40,178 ) 1,348 (94,111 ) Sales and marketing (1) (52,315 ) (25,775 ) (21,639 ) 1,599 (98,130 ) General and administrative (12,966 ) (3,956 ) (17,741 ) (203 ) (34,866 ) Goodwill impairment and impairment of intangible assets acquired as part of a business acquisition 0 0 (40,324 ) 0 (40,324 ) SBC (2) in operating expenses (2,228 ) 1,262 3,368 0 2,402 Total operating expenses (91,217 ) (60,042 ) (116,514 ) 2,744 (265,029 ) Operating profit /(loss) (18,241 ) 36,211 23,636 1,296 42,902 Other income (3) (4) 91,736 32 58,554 (80,103 ) 70,219 Net interest income 587 1,326 3,279 0 5,192 Exchange difference 1,360 627 2,335 0 4,322 Income before income tax expense 75,442 38,196 87,804 (78,807 ) 122,635 Income tax expense (1,091 ) (2,586 ) (25,784 ) 0 (29,461 ) Net income $ 74,351 $ 35,610 $ 62,020 $ (78,807 ) $ 93,174 Note (1): The elimination mainly consists of revenues and expenses generated from marketing services among the Sohu, Sogou and Changyou segments. Note (2): SBC stands for share-based compensation expense. Note (3): The elimination mainly consists of leasing income and expenses generated from a building that Sohu leases to Sogou. Note (4): In the third quarter of 2015, Sogou purchased from Sohu 24.0 million Series A Preferred Shares of Sogou for $78.8 million. Sohu recognized $78.8 million in other income, which was eliminated in the Groups consolidated statements of comprehensive income. Three Months Ended September 30, 2016 Sohu Sogou Changyou Eliminations Consolidated Revenues (1) $ 109,560 $ 165,952 $ 135,862 $ (792 ) $ 410,582 Segment cost of revenues (102,772 ) (78,788 ) (41,071 ) 42 (222,589 ) Segment gross profit 6,788 87,164 94,791 (750 ) 187,993 SBC (2) in cost of revenues (266 ) (3 ) (26 ) 0 (295 ) Gross profit 6,522 87,161 94,765 (750 ) 187,698 Operating expenses: Product development (3) (25,043 ) (34,496 ) (27,410 ) 1,047 (85,902 ) Sales and marketing (1) (66,555 ) (26,011 ) (18,311 ) 1,045 (109,832 ) General and administrative (11,831 ) (6,409 ) (12,432 ) 20 (30,652 ) SBC (2) in operating expenses (5,509 ) (190 ) (7,176 ) 0 (12,875 ) Total operating expenses (108,938 ) (67,106 ) (65,329 ) 2,112 (239,261 ) Operating profit /(loss) (102,416 ) 20,055 29,436 1,362 (51,563 ) Other income (3) 1,379 970 2,691 (1,362 ) 3,678 Net interest income /(expense) (466 ) 705 5,879 0 6,118 Exchange difference (297 ) 481 518 0 702 Income /(loss) before income tax benefit /(expense) (101,800 ) 22,211 38,524 0 (41,065 ) Income tax benefit /(expense) 635 (2,128 ) 519 0 (974 ) Net income /(loss) $ (101,165 ) $ 20,083 $ 39,043 $ 0 $ (42,039 ) Note (1): The elimination mainly consists of revenues and expenses generated from marketing services among the Sohu, Sogou and Changyou segments. Note (2): SBC stands for share-based compensation expense. Note (3): The elimination mainly consists of leasing income and expenses generated from a building that Sohu leases to Sogou. Nine Months Ended September 30, 2015 Sohu Sogou Changyou Eliminations Consolidated Revenues (1) $ 450,776 $ 426,099 $ 599,726 $ (5,613 ) $ 1,470,988 Segment cost of revenues (306,221 ) (177,401 ) (174,024 ) 1,091 (656,555 ) Segment gross profit 144,555 248,698 425,702 (4,522 ) 814,433 SBC (2) in cost of revenues (847 ) (119 ) 8 0 (958 ) Gross profit 143,708 248,579 425,710 (4,522 ) 813,475 Operating expenses: Product development (3) (72,362 ) (93,285 ) (124,156 ) 3,740 (286,063 ) Sales and marketing (1) (148,241 ) (64,718 ) (76,365 ) 5,196 (284,128 ) General and administrative (44,551 ) (10,873 ) (56,076 ) (459 ) (111,959 ) Goodwill impairment and impairment of intangible assets acquired as part of a business acquisition 0 0 (40,324 ) 0 (40,324 ) SBC (2) in operating expenses (14,371 ) (5,681 ) (7,539 ) 85 (27,506 ) Total operating expenses (279,525 ) (174,557 ) (304,460 ) 8,562 (749,980 ) Operating profit /(loss) (135,817 ) 74,022 121,250 4,040 63,495 Other income /(expense) (3) (4) 91,679 122 63,896 (82,761 ) 72,936 Net interest income 2,432 4,011 11,012 0 17,455 Exchange difference 1,124 337 1,991 0 3,452 Income /(loss) before income tax expense (40,582 ) 78,492 198,149 (78,721 ) 157,338 Income tax expense (5,642 ) (5,900 ) (45,738 ) 0 (57,280 ) Net income /(loss) $ (46,224 ) $ 72,592 $ 152,411 $ (78,721 ) $ 100,058 Note (1): The elimination mainly consists of revenues and expenses generated from marketing services among the Sohu, Sogou and Changyou segments. Note (2): SBC stands for share-based compensation expense. Note (3): The elimination mainly consists of leasing income and expenses generated from a building that Sohu leases to Sogou. Note (4): In the third quarter of 2015, Sogou purchased from Sohu 24.0 million Series A Preferred Shares of Sogou for $78.8 million. Sohu recognized $78.8 million in other income, which was eliminated in the Groups consolidated statements of comprehensive income. Nine Months Ended September 30, 2016 Sohu Sogou Changyou Eliminations Consolidated Revenues (1) $ 357,437 $ 488,829 $ 394,862 $ (2,456 ) $ 1,238,672 Segment cost of revenues (284,765 ) (218,394 ) (124,795 ) 259 (627,695 ) Segment gross profit 72,672 270,435 270,067 (2,197 ) 610,977 SBC (2) in cost of revenues (255 ) (3 ) (36 ) 0 (294 ) Gross profit 72,417 270,432 270,031 (2,197 ) 610,683 Operating expenses: Product development (3) (71,606 ) (99,781 ) (87,785 ) 3,328 (255,844 ) Sales and marketing (1) (194,171 ) (82,618 ) (43,921 ) 3,040 (317,670 ) General and administrative (36,914 ) (13,972 ) (35,985 ) 69 (86,802 ) SBC (2) in operating expenses (4,007 ) (2,542 ) (9,304 ) 0 (15,853 ) Total operating expenses (306,698 ) (198,913 ) (176,995 ) 6,437 (676,169 ) Operating profit /(loss) (234,281 ) 71,519 93,036 4,240 (65,486 ) Other income /(expense) (3) (4) 3,832 (26,623 ) 10,060 (4,240 ) (16,971 ) Net interest income 112 4,233 11,952 0 16,297 Exchange difference 366 819 2,361 0 3,546 Income /(loss) before income tax benefit /(expense) (229,971 ) 49,948 117,409 0 (62,614 ) Income tax benefit /(expense) 1,505 (4,550 ) (12,227 ) 0 (15,272 ) Net income /(loss) $ (228,466 ) $ 45,398 $ 105,182 $ 0 $ (77,886 ) Note (1): The elimination mainly consists of revenues and expenses generated from marketing services among the Sohu, Sogou and Changyou segments. Note (2): SBC stands for share-based compensation expense. Note (3): The elimination mainly consists of leasing income and expenses generated from a building that Sohu leases to Sogou. Note (4): In the second quarter of 2016, the Sohu Group recognized a one-time expense of $27.8 million that was related to a donation by Sogou to Tsinghua University related to setting up a joint research institute focusing on artificial intelligence technology. |
Segment assets information by segment | As of December 31, 2015 Sohu Sogou Changyou Eliminations Consolidated Cash and cash equivalents $ 430,804 $ 244,484 $ 569,917 $ 0 $ 1,245,205 Accounts receivable, net 176,759 28,986 67,959 (87 ) 273,617 Fixed assets, net 223,939 70,447 214,306 0 508,692 Total assets (1) $ 1,356,263 $ 387,875 $ 1,779,506 $ (481,450 ) $ 3,042,194 Note (1): The elimination for segment assets mainly consists of elimination of intracompany loans between the Sohu segment and the Changyou segment, and elimination of long-term investments in subsidiaries and consolidated VIEs. As of September 30, 2016 Sohu Sogou Changyou Eliminations Consolidated Cash and cash equivalents $ 231,035 $ 224,116 $ 636,934 $ 0 $ 1,092,085 Accounts receivable, net 121,828 33,344 49,661 (85 ) 204,748 Fixed assets, net 208,808 117,318 199,773 0 525,899 Total assets (1) $ 1,335,854 $ 474,537 $ 1,707,259 $ (842,197 ) $ 2,675,453 Note (1): The elimination for segment assets mainly consists of elimination of intracompany loans between the Sohu segment and the Changyou segment, and elimination of long-term investments in subsidiaries and consolidated VIEs. |
Share-Based Compensation Expe24
Share-Based Compensation Expense (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Share-Based Compensation Expense [Abstract] | |
Share-based compensation expense recognized in costs and expenses | Three Months Ended September 30, Nine Months Ended September 30, Share-based compensation expense 2015 2016 2015 2016 Cost of revenues $ 99 $ 295 $ 957 $ 294 Product development expenses (1) (1,331 ) 4,105 9,680 5,801 Sales and marketing expenses 466 752 1,573 927 General and administrative expenses (1) (1,536 ) 8,018 16,255 9,125 $ (2,302 ) $ 13,170 $ 28,465 $ 16,147 |
Share-based compensation expense recognized for share awards of Sohu (excluding Sohu Video), Sogou, Changyou and Sohu Video | Three Months Ended September 30, Nine Months Ended September 30, Share-based compensation expense 2015 2016 2015 2016 For Sohu (excluding Sohu Video) share-based awards $ 2,294 $ 5,639 $ 15,031 $ 4,749 For Sogou share-based awards (1) (2) (1,230 ) 180 5,706 2,505 For Changyou share-based awards (1) (3,465 ) 7,202 7,529 9,340 For Sohu Video share-based awards (1) 99 149 199 (447 ) $ (2,302 ) $ 13,170 $ 28,465 $ 16,147 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Fair Value Measurements [Abstract] | |
Financial instruments, measured at fair value | Fair value measurements at reporting date using Items As of December 31, 2015 Quoted Prices Significant Significant Cash equivalents $ 727,232 $ 0 $ 727,232 $ 0 Restricted time deposits 363,979 0 363,979 0 Short-term investments 174,515 0 174,515 0 Available-for-sale equity securities 14,301 14,301 0 0 Total $ 1,280,027 $ 14,301 $ 1,265,726 $ 0 The following table sets forth the financial instruments, measured at fair value by level within the fair value hierarchy, as of September 30, 2016 (in thousands): Fair value measurements at reporting date using Items As of Quoted Prices Significant Significant Cash equivalents $ 769,895 $ 0 $ 769,895 $ 0 Short-term investments 264,109 0 264,109 0 Available-for-sale equity securities 12,180 12,180 0 0 Restricted time deposits 9,270 0 9,270 0 Total $ 1,055,454 $ 12,180 $ 1,043,274 $ 0 |
Aggregate assets and liabilities held for sale | As of September 30, Cash and cash equivalents $ 10,280 Prepaid and other current assets 2,579 Goodwill 83,470 Intangible assets 5,457 Assets held for sale $ 101,786 Other liabilities 3,236 Liabilities held for sale $ 3,236 |
Goodwill (Tables)
Goodwill (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Goodwill [Abstract] | |
Changes in carrying value of goodwill by segment | Sohu Sogou Changyou Total Balance as of December 31, 2015 Goodwill $ 72,980 5,945 181,529 260,454 Accumulated impairment losses (35,788 ) 0 (70,447 ) (106,235 ) $ 37,192 $ 5,945 $ 111,082 $ 154,219 Transactions in 2016 Transferred to assets held for sale 0 0 (83,470 ) (83,470 ) Foreign currency translation adjustment (418 ) (164 ) (479 ) (1,061 ) Balance as of September 30, 2016 $ 36,774 $ 5,781 $ 27,133 $ 69,688 Balance as of September 30, 2016 Goodwill $ 72,562 $ 5,781 $ 97,580 $ 175,923 Accumulated impairment losses (35,788 ) 0 (70,447 ) (106,235 ) $ 36,774 $ 5,781 $ 27,133 $ 69,688 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Commitments and Contingencies [Abstract] | |
Contractual Obligations | As of September 30, 2016 Purchase of content and services video $ 196,173 Purchase of cinema advertisement slot rights 109,550 Purchase of bandwidth 57,881 Operating lease obligations 25,692 Expenditures for operating rights for licensed games with technological feasibility - PC games 15,750 Purchase of content and services others 9,884 Expenditures for operating rights for licensed games with technological feasibility - mobile games 3,866 Purchase of fixed assets 2,261 Expenditures for titles in game development 1,035 Fees for operating rights for licensed games in development mobile games 589 Others 3,819 Total $ 426,500 |
VIEs (Tables)
VIEs (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
VIEs [Abstract] | |
Financial information of consolidated VIEs | As of December 31, 2015 September 30, 2016 ASSETS: Cash and cash equivalents $ 131,270 $ 141,830 Accounts receivable, net 135,925 92,071 Prepaid and other current assets 101,951 93,237 Assets held for sale 0 12,062 Intercompany receivables due from the Companys subsidiaries 140,396 221,842 Total current assets 509,542 561,042 Long-term investments, net 15,960 15,189 Fixed assets, net 7,362 5,176 Intangible assets, net 18,266 14,977 Goodwill 36,351 35,838 Other non-current assets 12,057 6,499 Total assets $ 599,538 $ 638,721 LIABILITIES: Accounts payable $ 23,757 $ 11,505 Accrued liabilities 79,012 84,379 Receipts in advance and deferred revenue 55,319 48,764 Liabilities held for sale 0 2,452 Other current liabilities 141,247 157,346 Intercompany payables due to the Companys subsidiaries 175,178 182,537 Total current liabilities 474,513 486,983 Long-term accounts payable 2,858 0 Long-term taxes payable 0 13,986 Intercompany payables due to the Companys subsidiaries 21,717 20,420 Total liabilities $ 499,088 $ 521,389 |
Sohu.com Inc. Shareholders' E29
Sohu.com Inc. Shareholders' Equity (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Sohu 2010 Stock Incentive Plan [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share option activity | Weighted Number Weighted Average Aggregate Of Average Remaining Intrinsic Shares Exercise Contractual Value (1) Options (in thousands) Price Life (Years) (in thousands) Outstanding at January 1, 2016 0 $ $ Granted 253 0.001 Exercised (56 ) 0.001 Forfeited or expired 0 Outstanding at September 30, 2016 197 0.001 8.35 8,717 Vested at September 30, 2016 197 0.001 8.35 8,717 Exercisable at September 30, 2016 197 0.001 8.35 8,717 Note (1): The aggregated intrinsic value in the preceding table represents the difference between Sohus closing stock price of $44.25 on September 30, 2016 and the nominal exercise prices of the stock options. |
Restricted share unit activity | Number of Weighted-Average Units Grant-Date Restricted Stock Units (in thousands) Fair Value Unvested at January 1, 2016 32 $ 70.24 Granted 11 51.00 Vested (12 ) 56.83 Forfeited (9 ) 63.45 Unvested at September 30, 2016 22 70.61 Expected to vest after September 30, 2016 17 68.96 |
Sogou 2010 Share Incentive Plan [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share option activity | Weighted Number Weighted Average Of Average Remaining Shares Exercise Contractual Options (in thousands) Price Life (Years) Outstanding at January 1, 2016 12,209 $ 0.369 Granted 2,337 0.001 Exercised (3,800 ) 0.001 Forfeited or expired (1,128 ) 0.001 Outstanding at September 30, 2016 9,618 0.468 6.58 Vested at September 30, 2016 and expected to vest thereafter 2,360 Exercisable at September 30, 2016 5 |
Stock option assumptions | Assumptions Adopted Average risk-free interest rate 1.90%~2.77% Exercise multiple 2~3 Expected forfeiture rate (post-vesting) 0%~12% Weighted average expected option life 7 Volatility rate 43%~50% Dividend yield 0% Fair value 3.18~3.93 |
Sohu Management Sogou Share Option Arrangement [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share option activity | Weighted Number Weighted Average Of Average Remaining Shares Exercise Contractual Options (in thousands) Price Life (Years) Outstanding at January 1, 2016 3,664 $ 0.623 Granted 58 0.625 Exercised (532 ) 0.625 Forfeited or expired 0 Outstanding at September 30, 2016 3,190 0.623 6.03 Vested at September 30, 2016 and expected to vest thereafter 790 Exercisable at September 30, 2016 732 |
Stock option assumptions | Assumptions Adopted Average risk-free interest rate 2.01%~2.15% Exercise multiple 2~3 Expected forfeiture rate (post-vesting) 0% Weighted average expected option life 6 Volatility rate 43%~47% Dividend yield 0% Fair value 2.56~3.31 |
Changyou's Share-based Awards Granted after IPO [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Restricted share unit activity | Restricted Share Units Number of Units (in thousands) Weighted-Average Unvested at January 1, 2016 20 $ 14.25 Granted 0 Vested 0 Forfeited 0 Unvested at September 30, 2016 20 14.25 Expected to vest after September 30, 2016 20 14.25 |
Changyou 2014 Share Incentive Plan [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share option activity | Options Number Of Shares Weighted Weighted Aggregate Outstanding at January 1, 2016 450 $ 0.01 8.84 $ 5,580 Granted 329 0.01 Exercised (269 ) 0.01 Forfeited or expired 0 Outstanding at September 30, 2016 510 0.01 8.32 6,942 Vested at September 30, 2016 510 0.01 8.32 6,942 Exercisable at September 30, 2016 510 0.01 8.32 6,942 Note (1): The aggregated intrinsic value in the preceding table represents the difference between Changyous closing price of $27.25 per ADS, or $13.63 per Class A ordinary share, on September 30, 2016 and the nominal exercise prices of the share options. |
Video 2011 Share Incentive Plan [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Stock option assumptions | Assumptions Adopted Average risk-free interest rate 1.89 % Exercise multiple 2.8 Expected forfeiture rate (post-vesting) 19 % Weighted average expected option life 5.3 Volatility rate 49.7 % Dividend yield 0 Fair value 0.78 |
Noncontrolling Interest (Tables
Noncontrolling Interest (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Noncontrolling Interest [Abstract] | |
Noncontrolling interest in consolidated balance sheets | As of December 31, 2015 (in thousands) September 30, 2016 (in thousands) Sogou $ 125,314 $ 150,393 Changyou 364,416 397,246 Total $ 489,730 $ 547,639 |
Noncontrolling interest in consolidated statements of comprehensive income | Three Months Ended September 30, Nine Months Ended September 30, 2015 2016 2015 2016 Sogou $ 35,930 $ 20,283 $ 74,212 $ 46,383 Changyou 6,212 12,492 33,133 33,855 Total $ 42,142 $ 32,775 $ 107,345 $ 80,238 |
Net Income _(Loss) per Share (T
Net Income /(Loss) per Share (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Net Income /(Loss) per Share [Abstract] | |
Calculation of basic and diluted net income /(loss) per share | Three Months Ended Nine Months Ended September 30, September 30, 2015 2016 2015 2016 Numerator: Net income /(loss) attributable to Sohu.com Inc., basic (after subtracting the deemed dividend to noncontrolling Sogou Series A Preferred shareholders) $ 39,121 $ (74,814 ) $ (19,198 ) $ (158,124 ) Effect of dilutive securities: Incremental dilution from Sogou 0 0 0 0 Incremental dilution from Changyou (324 ) (472 ) (884 ) (1,125 ) Net income /(loss) attributable to Sohu.com Inc., diluted $ 38,797 $ (75,286 ) $ (20,082 ) $ (159,249 ) Denominator: Weighted average basic common shares outstanding 38,633 38,728 38,582 38,695 Effect of dilutive securities: Share options and restricted share units 32 0 0 0 Weighted average diluted common shares outstanding 38,665 38,728 38,582 38,695 Basic net income /(loss) per share attributable to Sohu.com Inc. $ 1.01 $ (1.93 ) $ (0.50 ) $ (4.09 ) Diluted net income /(loss) per share attributable to Sohu.com Inc. $ 1.00 $ (1.94 ) $ (0.52 ) $ (4.12 ) |
The Company and Basis of Pres32
The Company and Basis of Presentation (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Organization and Nature of Operations [Line Items] | ||||
Revenues | $ 410,582 | $ 522,090 | $ 1,238,672 | $ 1,470,988 |
Product Risk [Member] | Total revenues [Member] | TLBB [Member] | ||||
Organization and Nature of Operations [Line Items] | ||||
Percentage of revenues derived from TLBB | 14.00% | 15.00% | 13.00% | 17.00% |
Changyou [Member] | MoboTap [Member] | ||||
Organization and Nature of Operations [Line Items] | ||||
Divestiture of equity interest in MoboTap | 51.00% | |||
Changyou [Member] | TLBB [Member] | ||||
Organization and Nature of Operations [Line Items] | ||||
Revenues | $ 56,000 | $ 77,800 | $ 162,900 | $ 244,900 |
Changyou [Member] | Product Risk [Member] | Online game revenues [Member] | TLBB [Member] | ||||
Organization and Nature of Operations [Line Items] | ||||
Percentage of revenues derived from TLBB | 57.00% | 51.00% | 54.00% | 48.00% |
Changyou [Member] | Product Risk [Member] | Total revenues [Member] | TLBB [Member] | ||||
Organization and Nature of Operations [Line Items] | ||||
Percentage of revenues derived from TLBB | 41.00% | 41.00% | 41.00% | 41.00% |
Segment Information (Segment Op
Segment Information (Segment Operating Information by Segment) (Details) - USD ($) $ in Thousands, shares in Millions | 3 Months Ended | 9 Months Ended | |||||||
Sep. 30, 2016 | Jun. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |||||
Operating Segments [Member] | Sohu [Member] | |||||||||
Segment Reporting Information [Line Items] | |||||||||
Revenues | [1] | $ 109,560 | $ 172,902 | $ 357,437 | $ 450,776 | ||||
Segment cost of revenues | (102,772) | (99,742) | (284,765) | (306,221) | |||||
Segment gross profit | 6,788 | 73,160 | 72,672 | 144,555 | |||||
SBC in cost of revenues | [2] | (266) | (184) | (255) | (847) | ||||
Gross profit | 6,522 | 72,976 | 72,417 | 143,708 | |||||
Operating expenses: | |||||||||
Product development | [3] | (25,043) | (23,708) | (71,606) | (72,362) | ||||
Sales and marketing | [1] | (66,555) | (52,315) | (194,171) | (148,241) | ||||
General and administrative | (11,831) | (12,966) | (36,914) | (44,551) | |||||
Goodwill impairment and impairment of intangible assets acquired as part of a business acquisition | 0 | 0 | |||||||
SBC in operating expenses | [2] | (5,509) | (2,228) | (4,007) | (14,371) | ||||
Total operating expenses | (108,938) | (91,217) | (306,698) | (279,525) | |||||
Operating profit /(loss) | (102,416) | (18,241) | (234,281) | (135,817) | |||||
Other income /(expense) | [3] | 1,379 | 91,736 | [4] | 3,832 | [5] | 91,679 | [4] | |
Net interest income /(expense) | (466) | 587 | 112 | 2,432 | |||||
Exchange difference | (297) | 1,360 | 366 | 1,124 | |||||
Income /(loss) before income tax benefit /(expense) | (101,800) | 75,442 | (229,971) | (40,582) | |||||
Income tax benefit /(expense) | 635 | (1,091) | 1,505 | (5,642) | |||||
Net income /(loss) | (101,165) | 74,351 | (228,466) | (46,224) | |||||
Other income /(loss) | [3] | 1,379 | 91,736 | [4] | 3,832 | [5] | 91,679 | [4] | |
Operating Segments [Member] | Sogou [Member] | |||||||||
Segment Reporting Information [Line Items] | |||||||||
Revenues | [1] | 165,952 | 162,300 | 488,829 | 426,099 | ||||
Segment cost of revenues | (78,788) | (66,035) | (218,394) | (177,401) | |||||
Segment gross profit | 87,164 | 96,265 | 270,435 | 248,698 | |||||
SBC in cost of revenues | [2] | (3) | (12) | (3) | (119) | ||||
Gross profit | 87,161 | 96,253 | 270,432 | 248,579 | |||||
Operating expenses: | |||||||||
Product development | [3] | (34,496) | (31,573) | (99,781) | (93,285) | ||||
Sales and marketing | [1] | (26,011) | (25,775) | (82,618) | (64,718) | ||||
General and administrative | (6,409) | (3,956) | (13,972) | (10,873) | |||||
Goodwill impairment and impairment of intangible assets acquired as part of a business acquisition | 0 | 0 | |||||||
SBC in operating expenses | [2] | (190) | 1,262 | (2,542) | (5,681) | ||||
Total operating expenses | (67,106) | (60,042) | (198,913) | (174,557) | |||||
Operating profit /(loss) | 20,055 | 36,211 | 71,519 | 74,022 | |||||
Other income /(expense) | [3] | 970 | 32 | [4] | (26,623) | [5] | 122 | [4] | |
Net interest income /(expense) | 705 | 1,326 | 4,233 | 4,011 | |||||
Exchange difference | 481 | 627 | 819 | 337 | |||||
Income /(loss) before income tax benefit /(expense) | 22,211 | 38,196 | 49,948 | 78,492 | |||||
Income tax benefit /(expense) | (2,128) | (2,586) | (4,550) | (5,900) | |||||
Net income /(loss) | 20,083 | 35,610 | 45,398 | 72,592 | |||||
Other income /(loss) | [3] | 970 | 32 | [4] | (26,623) | [5] | 122 | [4] | |
Operating Segments [Member] | Changyou [Member] | |||||||||
Segment Reporting Information [Line Items] | |||||||||
Revenues | [1] | 135,862 | 188,875 | 394,862 | 599,726 | ||||
Segment cost of revenues | (41,071) | (48,821) | (124,795) | (174,024) | |||||
Segment gross profit | 94,791 | 140,054 | 270,067 | 425,702 | |||||
SBC in cost of revenues | [2] | (26) | 96 | (36) | 8 | ||||
Gross profit | 94,765 | 140,150 | 270,031 | 425,710 | |||||
Operating expenses: | |||||||||
Product development | [3] | (27,410) | (40,178) | (87,785) | (124,156) | ||||
Sales and marketing | [1] | (18,311) | (21,639) | (43,921) | (76,365) | ||||
General and administrative | (12,432) | (17,741) | (35,985) | (56,076) | |||||
Goodwill impairment and impairment of intangible assets acquired as part of a business acquisition | (40,324) | (40,324) | |||||||
SBC in operating expenses | [2] | (7,176) | 3,368 | (9,304) | (7,539) | ||||
Total operating expenses | (65,329) | (116,514) | (176,995) | (304,460) | |||||
Operating profit /(loss) | 29,436 | 23,636 | 93,036 | 121,250 | |||||
Other income /(expense) | [3] | 2,691 | 58,554 | [4] | 10,060 | [5] | 63,896 | [4] | |
Net interest income /(expense) | 5,879 | 3,279 | 11,952 | 11,012 | |||||
Exchange difference | 518 | 2,335 | 2,361 | 1,991 | |||||
Income /(loss) before income tax benefit /(expense) | 38,524 | 87,804 | 117,409 | 198,149 | |||||
Income tax benefit /(expense) | 519 | (25,784) | (12,227) | (45,738) | |||||
Net income /(loss) | 39,043 | 62,020 | 105,182 | 152,411 | |||||
Other income /(loss) | [3] | 2,691 | 58,554 | [4] | 10,060 | [5] | 63,896 | [4] | |
Eliminations [Member] | |||||||||
Segment Reporting Information [Line Items] | |||||||||
Revenues | [1] | (792) | (1,987) | (2,456) | (5,613) | ||||
Segment cost of revenues | 42 | 539 | 259 | 1,091 | |||||
Segment gross profit | (750) | (1,448) | (2,197) | (4,522) | |||||
SBC in cost of revenues | [2] | 0 | 0 | 0 | 0 | ||||
Gross profit | (750) | (1,448) | (2,197) | (4,522) | |||||
Operating expenses: | |||||||||
Product development | [3] | 1,047 | 1,348 | 3,328 | 3,740 | ||||
Sales and marketing | [1] | 1,045 | 1,599 | 3,040 | 5,196 | ||||
General and administrative | 20 | (203) | 69 | (459) | |||||
Goodwill impairment and impairment of intangible assets acquired as part of a business acquisition | 0 | 0 | |||||||
SBC in operating expenses | [2] | 0 | 0 | 0 | 85 | ||||
Total operating expenses | 2,112 | 2,744 | 6,437 | 8,562 | |||||
Operating profit /(loss) | 1,362 | 1,296 | 4,240 | 4,040 | |||||
Other income /(expense) | [3] | (1,362) | (80,103) | [4] | (4,240) | [5] | (82,761) | [4] | |
Net interest income /(expense) | 0 | 0 | 0 | 0 | |||||
Exchange difference | 0 | 0 | 0 | 0 | |||||
Income /(loss) before income tax benefit /(expense) | 0 | (78,807) | 0 | (78,721) | |||||
Income tax benefit /(expense) | 0 | 0 | 0 | 0 | |||||
Net income /(loss) | 0 | (78,807) | 0 | (78,721) | |||||
Other income /(loss) | [3] | (1,362) | (80,103) | [4] | (4,240) | [5] | (82,761) | [4] | |
Eliminations [Member] | Sohu [Member] | |||||||||
Operating expenses: | |||||||||
Other income /(expense) | 78,800 | ||||||||
Other income /(loss) | 78,800 | ||||||||
Revenues | 410,582 | 522,090 | 1,238,672 | 1,470,988 | |||||
Segment cost of revenues | (222,589) | (214,059) | (627,695) | (656,555) | |||||
Segment gross profit | 187,993 | 308,031 | 610,977 | 814,433 | |||||
SBC in cost of revenues | [2] | (295) | (100) | (294) | (958) | ||||
Gross profit | 187,698 | 307,931 | 610,683 | 813,475 | |||||
Product development | [3] | (85,902) | (94,111) | (255,844) | (286,063) | ||||
Sales and marketing | [1] | (109,832) | (98,130) | (317,670) | (284,128) | ||||
General and administrative | (30,652) | (34,866) | (86,802) | (111,959) | |||||
Goodwill impairment and impairment of intangible assets acquired as part of a business acquisition | 0 | (40,324) | 0 | (40,324) | |||||
SBC in operating expenses | [2] | (12,875) | 2,402 | (15,853) | (27,506) | ||||
Total operating expenses | (239,261) | (265,029) | (676,169) | (749,980) | |||||
Operating profit /(loss) | (51,563) | 42,902 | (65,486) | 63,495 | |||||
Other income /(expense) | 3,678 | 70,219 | (16,971) | 72,936 | |||||
Net interest income /(expense) | 6,118 | 5,192 | 16,297 | 17,455 | |||||
Exchange difference | 702 | 4,322 | 3,546 | 3,452 | |||||
Income /(loss) before income tax benefit /(expense) | (41,065) | 122,635 | (62,614) | 157,338 | |||||
Income tax benefit /(expense) | (974) | (29,461) | (15,272) | (57,280) | |||||
Net income /(loss) | (42,039) | 93,174 | (77,886) | 100,058 | |||||
Other income /(loss) | $ 3,678 | $ 70,219 | $ (16,971) | $ 72,936 | |||||
One-time expense related to donation | $ 27,800 | ||||||||
Sogou [Member] | Series A Preferred Shares [Member] | |||||||||
Operating expenses: | |||||||||
Purchase of Series A Preferred Shares, shares | 24 | 24 | |||||||
Purchase of Series A Preferred Shares, aggregate purchase price | $ 78,800 | $ 78,800 | |||||||
[1] | The elimination mainly consists of revenues and expenses generated from marketing services among the Sohu, Sogou and Changyou segments. | ||||||||
[2] | "SBC" stands for share-based compensation expense. | ||||||||
[3] | The elimination mainly consists of leasing income and expenses generated from a building that Sohu leases to Sogou. | ||||||||
[4] | In the third quarter of 2015, Sogou purchased from Sohu 24.0 million Series A Preferred Shares of Sogou for $78.8 million. Sohu recognized $78.8 million in other income, which was eliminated in the Group's consolidated statements of comprehensive income. | ||||||||
[5] | In the second quarter of 2016, the Sohu Group recognized a one-time expense of $27.8 million that was related to a donation by Sogou to Tsinghua University related to setting up a joint research institute focusing on artificial intelligence technology. |
Segment Information (Segment As
Segment Information (Segment Assets Information by Segment) (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Dec. 31, 2014 | |
Operating Segments [Member] | Sohu [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Cash and cash equivalents | $ 231,035 | $ 430,804 | |||
Accounts receivable, net | 121,828 | 176,759 | |||
Fixed assets, net | 208,808 | 223,939 | |||
Total assets | [1] | 1,335,854 | 1,356,263 | ||
Operating Segments [Member] | Sogou [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Cash and cash equivalents | 224,116 | 244,484 | |||
Accounts receivable, net | 33,344 | 28,986 | |||
Fixed assets, net | 117,318 | 70,447 | |||
Total assets | [1] | 474,537 | 387,875 | ||
Operating Segments [Member] | Changyou [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Cash and cash equivalents | 636,934 | 569,917 | |||
Accounts receivable, net | 49,661 | 67,959 | |||
Fixed assets, net | 199,773 | 214,306 | |||
Total assets | [1] | 1,707,259 | 1,779,506 | ||
Eliminations [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Cash and cash equivalents | 0 | 0 | |||
Accounts receivable, net | (85) | (87) | |||
Fixed assets, net | 0 | 0 | |||
Total assets | [1] | (842,197) | (481,450) | ||
Cash and cash equivalents | 1,092,085 | 1,245,205 | $ 1,073,879 | $ 876,340 | |
Accounts receivable, net | 204,748 | 273,617 | |||
Fixed assets, net | 525,899 | 508,692 | |||
Total assets | $ 2,675,453 | $ 3,042,194 | |||
[1] | The elimination for segment assets mainly consists of elimination of intracompany loans between the Sohu segment and the Changyou segment, and elimination of long-term investments in subsidiaries and consolidated VIEs. |
Share-Based Compensation Expe35
Share-Based Compensation Expense (Narrative) (Details) - shares | Jan. 04, 2012 | Sep. 30, 2016 | Jul. 28, 2016 | May 01, 2016 | Jun. 01, 2015 | Feb. 16, 2015 | Feb. 07, 2015 | Nov. 02, 2014 | Jul. 02, 2010 |
Sohu 2010 Stock Incentive Plan [Member] | Ordinary Shares [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Number of shares authorized for issuance | 1,500,000 | ||||||||
Sohu 2010 Stock Incentive Plan [Member] | Share Options [Member] | Ordinary Shares [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Number of options granted | 13,000 | 1,068,000 | |||||||
Installments of share options granted | Four equal installments | ||||||||
Award vesting period | 4 years | ||||||||
Changyou [Member] | Changyou 2014 Share Incentive Plan [Member] | Share Options [Member] | Class A Ordinary Shares [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Number of options granted | 100,000 | 1,998,000 | |||||||
Number of ordinary shares converted to options from restricted share units | 2,400,000 | ||||||||
Installments of share options granted | Four equal installments | ||||||||
Award vesting period | 4 years | ||||||||
Changyou [Member] | Changyou 2014 Share Incentive Plan [Member] | Restricted Share Units [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Number of options granted | 2,416,000 | ||||||||
Award vesting period | 4 years | ||||||||
Sohu Video [Member] | Video 2011 Share Incentive Plan [Member] | Ordinary Shares [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Number of shares authorized for issuance | 25,000,000 | ||||||||
Percentage of outstanding ordinary shares on a fully-diluted basis | 10.00% | ||||||||
Sohu Video [Member] | Video 2011 Share Incentive Plan [Member] | Share Options [Member] | Ordinary Shares [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Number of options granted | 16,368,200 | ||||||||
Installments of share options granted | Four equal installments | ||||||||
Number of options vested | 4,972,800 |
Share-Based Compensation Expe36
Share-Based Compensation Expense (Share-based Compensation Expense Recognized in Costs and Expenses) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||||
Share-based compensation expense | $ 13,170 | $ (2,302) | $ 16,147 | $ 28,465 | |
Cost of revenues [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||||
Share-based compensation expense | 295 | 99 | 294 | 957 | |
Product development expenses [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||||
Share-based compensation expense | [1] | 4,105 | (1,331) | 5,801 | 9,680 |
Sales and marketing expenses [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||||
Share-based compensation expense | 752 | 466 | 927 | 1,573 | |
General and administrative expenses [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||||
Share-based compensation expense | [1] | $ 8,018 | $ (1,536) | $ 9,125 | $ 16,255 |
[1] | The negative amount resulted from re-measured compensation expense based on the then-current fair value of the awards on each reporting date as well as a true-up of share-based compensation expense for forfeited share options and restricted share units for Sogou and Changyou share-based awards. |
Share-Based Compensation Expe37
Share-Based Compensation Expense (Share-based Compensation Expense Recognized for Share Awards of Sohu(excluding Sohu Video), Sogou, Changyou and Sohu Video) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based compensation expense | $ 13,170,000 | $ (2,302,000) | $ 16,147,000 | $ 28,465,000 | |
Capitalized share-based compensation expense | 0 | 0 | 0 | 0 | |
Sohu (excluding Sohu Video) [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based compensation expense | 5,639,000 | 2,294,000 | 4,749,000 | 15,031,000 | |
Sogou [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based compensation expense | [1],[2] | 180,000 | (1,230,000) | 2,505,000 | 5,706,000 |
Changyou [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based compensation expense | [2] | 7,202,000 | (3,465,000) | 9,340,000 | 7,529,000 |
Sohu Video [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based compensation expense | [2] | $ 149,000 | $ 99,000 | $ (447,000) | $ 199,000 |
[1] | Compensation expense for Sogou share-based awards also includes compensation expense for Tencent restricted share units that Tencent had granted to employees who transferred to Sogou with the Soso search-related businesses. | ||||
[2] | The negative amount resulted from re-measured compensation expense based on the then-current fair value of the awards on each reporting date as well as a true-up of share-based compensation expense for forfeited share options and restricted share units for Sogou and Changyou share-based awards. |
Fair Value Measurements (Financ
Fair Value Measurements (Financial Instruments, Measured at Fair Value) (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | $ 264,100 | |
Fair Value, Measurements, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | 769,895 | $ 727,232 |
Restricted time deposits | 9,270 | 363,979 |
Short-term investments | 264,109 | 174,515 |
Available-for-sale equity securities | 12,180 | 14,301 |
Total | 1,055,454 | 1,280,027 |
Fair Value, Measurements, Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | 0 | 0 |
Restricted time deposits | 0 | 0 |
Short-term investments | 0 | 0 |
Available-for-sale equity securities | 12,180 | 14,301 |
Total | 12,180 | 14,301 |
Fair Value, Measurements, Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | 769,895 | 727,232 |
Restricted time deposits | 9,270 | 363,979 |
Short-term investments | 264,109 | 174,515 |
Available-for-sale equity securities | 0 | 0 |
Total | 1,043,274 | 1,265,726 |
Fair Value, Measurements, Recurring [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | 0 | 0 |
Restricted time deposits | 0 | 0 |
Short-term investments | 0 | 0 |
Available-for-sale equity securities | 0 | 0 |
Total | $ 0 | $ 0 |
Fair Value Measurements (Narrat
Fair Value Measurements (Narrative) (Details) - USD ($) | 1 Months Ended | 3 Months Ended | 9 Months Ended | |||||||||
Feb. 29, 2016 | Sep. 30, 2015 | Apr. 30, 2015 | Aug. 31, 2014 | Sep. 30, 2016 | Mar. 31, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | Dec. 31, 2015 | Aug. 12, 2014 | Feb. 28, 2013 | |
Short-term Investments [Abstract] | ||||||||||||
Investments in financial instruments | $ 264,100,000 | $ 264,100,000 | ||||||||||
Changes in fair value of short-term investments | 2,800,000 | $ 3,000,000 | 5,300,000 | $ 6,800,000 | ||||||||
Restricted Time Deposits [Abstract] | ||||||||||||
Restricted time deposits, collateral for credit facilities | $ 9,000,000 | |||||||||||
Total amount of repaid bank loans | 344,500,000 | 25,500,000 | ||||||||||
Long-term Investments [Abstract] | ||||||||||||
Investment amount | 68,861,000 | 68,861,000 | $ 62,093,000 | |||||||||
Long-term Investment in SoEasy [Member] | ||||||||||||
Long-term Investments [Abstract] | ||||||||||||
Investment amount in period | $ 10,500,000 | $ 16,300,000 | $ 4,800,000 | |||||||||
Investment amount | 25,000,000 | 25,000,000 | ||||||||||
Changyou [Member] | ||||||||||||
Restricted Time Deposits [Abstract] | ||||||||||||
Total amount of repaid bank loans | $ 344,500,000 | |||||||||||
Amount of released restricted time deposits securing bank loans | $ 354,700,000 | |||||||||||
Interest income from restricted time deposits securing loans | 0 | 3,000,000 | 700,000 | 10,200,000 | ||||||||
Interest expense on bank loans | $ 0 | $ 1,800,000 | 600,000 | $ 5,300,000 | ||||||||
Changyou [Member] | MoboTap [Member] | ||||||||||||
Assets and Liabilities Held for Sale [Abstract] | ||||||||||||
Divestiture of equity interest in MoboTap | 51.00% | |||||||||||
Sogou [Member] | Long-term Investment in Zhihu [Member] | ||||||||||||
Long-term Investments [Abstract] | ||||||||||||
Long-term investments paid in cash | $ 12,000,000 | |||||||||||
Cost method investment, ownership percentage in Zhihu's capital | 3.00% | |||||||||||
Shares of Keyeast [Member] | ||||||||||||
Available-for-Sale Equity Securities [Abstract] | ||||||||||||
Percentage of total outstanding common shares acquired and classified as available-for-sale securities | 6.00% | |||||||||||
Purchase price of available-for-sale securities | $ 15,100,000 | |||||||||||
Fair value of available-for-sale equity securities | $ 12,200,000 | 12,200,000 | ||||||||||
Unrealized loss representing change in fair value | $ (2,900,000) |
Fair Value Measurements (Assets
Fair Value Measurements (Assets and Liabilities Held for Sale) (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Fair Value Measurements [Abstract] | ||
Cash and cash equivalents | $ 10,280 | |
Prepaid and other current assets | 2,579 | |
Goodwill | 83,470 | |
Intangible assets | 5,457 | |
Assets held for sale | 101,786 | $ 0 |
Other liabilities | 3,236 | |
Liabilities held for sale | $ 3,236 | $ 0 |
Goodwill (Carrying Value of Goo
Goodwill (Carrying Value of Goodwill by Segment) (Details) $ in Thousands | 9 Months Ended |
Sep. 30, 2016USD ($) | |
Goodwill [Line Items] | |
Goodwill, Beginning Balance | $ 260,454 |
Accumulated impairment losses, Beginning Balance | (106,235) |
Goodwill, Net, Beginning Balance | 154,219 |
Transactions in Period [Abstract] | |
Transferred to assets held for sale | (83,470) |
Foreign currency translation adjustment | (1,061) |
Goodwill, Ending Balance | 175,923 |
Accumulated impairment losses, Ending Balance | (106,235) |
Goodwill, Net, Ending Balance | 69,688 |
Operating Segments [Member] | Sohu [Member] | |
Goodwill [Line Items] | |
Goodwill, Beginning Balance | 72,980 |
Accumulated impairment losses, Beginning Balance | (35,788) |
Goodwill, Net, Beginning Balance | 37,192 |
Transactions in Period [Abstract] | |
Transferred to assets held for sale | 0 |
Foreign currency translation adjustment | (418) |
Goodwill, Ending Balance | 72,562 |
Accumulated impairment losses, Ending Balance | (35,788) |
Goodwill, Net, Ending Balance | 36,774 |
Operating Segments [Member] | Sogou [Member] | |
Goodwill [Line Items] | |
Goodwill, Beginning Balance | 5,945 |
Accumulated impairment losses, Beginning Balance | 0 |
Goodwill, Net, Beginning Balance | 5,945 |
Transactions in Period [Abstract] | |
Transferred to assets held for sale | 0 |
Foreign currency translation adjustment | (164) |
Goodwill, Ending Balance | 5,781 |
Accumulated impairment losses, Ending Balance | 0 |
Goodwill, Net, Ending Balance | 5,781 |
Operating Segments [Member] | Changyou [Member] | |
Goodwill [Line Items] | |
Goodwill, Beginning Balance | 181,529 |
Accumulated impairment losses, Beginning Balance | (70,447) |
Goodwill, Net, Beginning Balance | 111,082 |
Transactions in Period [Abstract] | |
Transferred to assets held for sale | (83,470) |
Foreign currency translation adjustment | (479) |
Goodwill, Ending Balance | 97,580 |
Accumulated impairment losses, Ending Balance | (70,447) |
Goodwill, Net, Ending Balance | $ 27,133 |
Taxation (Applicable Income Tax
Taxation (Applicable Income Tax Rate) (Details) | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2016 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Tax and Tax Rate [Line Items] | |||
Unified income tax rate | 25.00% | ||
High and New Technology Enterprises [Member] | |||
Income Tax and Tax Rate [Line Items] | |||
Preferential income tax rate | 15.00% | ||
Preferential income tax rate period (years) | 3 years | ||
Software Enterprise [Member] | |||
Income Tax and Tax Rate [Line Items] | |||
Preferential income tax rate | 12.50% | ||
Preferential income tax rate period (years) | 3 years | ||
Income tax exemption period beginning with first profitable year | 2 years | ||
Tax rate reduction rate | 50.00% | ||
Software Enterprise [Member] | Sohu New Momentum [Member] | |||
Income Tax and Tax Rate [Line Items] | |||
Preferential income tax rate | 12.50% | ||
Preferential income tax rate period (years) | 3 years | ||
Tax rate reduction rate | 50.00% | ||
Software Enterprise [Member] | Gamespace [Member] | |||
Income Tax and Tax Rate [Line Items] | |||
Preferential income tax rate | 12.50% | ||
Preferential income tax rate period (years) | 3 years | ||
Tax rate reduction rate | 50.00% | ||
Key National Software Enterprise [Member] | |||
Income Tax and Tax Rate [Line Items] | |||
Preferential income tax rate | 10.00% | ||
Key National Software Enterprise [Member] | AmazGame [Member] | |||
Income Tax and Tax Rate [Line Items] | |||
Preferential income tax rate | 10.00% | 10.00% |
Taxation (PRC Withholding Tax o
Taxation (PRC Withholding Tax on Dividends) (Details) $ in Millions | 9 Months Ended |
Sep. 30, 2016USD ($) | |
Withholding tax on dividends [Line Items] | |
Withholding income tax rate for dividends, foreign invested enterprises to foreign holding companies | 10.00% |
Changyou [Member] | |
Withholding tax on dividends [Line Items] | |
Deferred tax liabilities related to withholding tax | $ 26.2 |
HONG KONG | |
Withholding tax on dividends [Line Items] | |
Preferential withholding tax rate on dividends, foreign invested enterprises | 5.00% |
Taxation (PRC Value-Added Tax a
Taxation (PRC Value-Added Tax and U.S. Corporate Income Tax) (Details) | 9 Months Ended |
Sep. 30, 2016 | |
Taxation [Abstract] | |
Value-added tax rate | 6.00% |
U.S. corporate income tax rate | 35.00% |
Commitments and Contingencies45
Commitments and Contingencies (Contractual Obligation) (Details) $ in Thousands | Sep. 30, 2016USD ($) |
Contractual Obligation [Line Items] | |
Total contractual obligations | $ 426,500 |
Purchase of content and services - video [Member] | |
Contractual Obligation [Line Items] | |
Total contractual obligations | 196,173 |
Purchase of cinema advertisement slot rights [Member] | |
Contractual Obligation [Line Items] | |
Total contractual obligations | 109,550 |
Purchase of bandwidth [Member] | |
Contractual Obligation [Line Items] | |
Total contractual obligations | 57,881 |
Operating lease obligations [Member] | |
Contractual Obligation [Line Items] | |
Total contractual obligations | 25,692 |
Expenditures for operating rights for licensed games with technological feasibility - PC games [Member] | |
Contractual Obligation [Line Items] | |
Total contractual obligations | 15,750 |
Purchase of content and services - others [Member] | |
Contractual Obligation [Line Items] | |
Total contractual obligations | 9,884 |
Expenditures for operating rights for licensed games with technological feasibility - mobile games [Member] | |
Contractual Obligation [Line Items] | |
Total contractual obligations | 3,866 |
Purchase of fixed assets [Member] | |
Contractual Obligation [Line Items] | |
Total contractual obligations | 2,261 |
Expenditures for titles in game development [Member] | |
Contractual Obligation [Line Items] | |
Total contractual obligations | 1,035 |
Fees for operating rights for licensed games in development - mobile games [Member] | |
Contractual Obligation [Line Items] | |
Total contractual obligations | 589 |
Others [Member] | |
Contractual Obligation [Line Items] | |
Total contractual obligations | $ 3,819 |
VIEs (VIEs Consolidated within
VIEs (VIEs Consolidated within Sohu Group, Basic Information for Principal VIEs and Subsidiaries of Principal VIEs) (Details) - USD ($) $ in Millions | Nov. 04, 2016 | Oct. 31, 2016 | Sep. 30, 2016 |
Variable Interest Entity [Line Items] | |||
Aggregate amount of loans due from related parties | $ 9.3 | ||
Variable Interest Entity, Primary Beneficiary [Member] | |||
Variable Interest Entity [Line Items] | |||
Registered capital and PRC statutory reserves | 60.2 | ||
High Century [Member] | |||
Variable Interest Entity [Line Items] | |||
Registered capital | $ 4.6 | ||
High Century [Member] | Dr. Charles Zhang [Member] | |||
Variable Interest Entity [Line Items] | |||
Ownership percentage | 80.00% | ||
High Century [Member] | Wei Li [Member] | |||
Variable Interest Entity [Line Items] | |||
Ownership percentage | 20.00% | ||
Heng Da Yi Tong [Member] | |||
Variable Interest Entity [Line Items] | |||
Registered capital | $ 1.2 | ||
Heng Da Yi Tong [Member] | Dr. Charles Zhang [Member] | |||
Variable Interest Entity [Line Items] | |||
Ownership percentage | 80.00% | ||
Heng Da Yi Tong [Member] | Wei Li [Member] | |||
Variable Interest Entity [Line Items] | |||
Ownership percentage | 20.00% | ||
Sohu Internet [Member] | |||
Variable Interest Entity [Line Items] | |||
Registered capital | $ 1.6 | ||
Sohu Internet [Member] | High Century [Member] | |||
Variable Interest Entity [Line Items] | |||
Ownership percentage | 100.00% | ||
Donglin [Member] | |||
Variable Interest Entity [Line Items] | |||
Registered capital | $ 1.5 | ||
Donglin [Member] | Sohu Internet [Member] | |||
Variable Interest Entity [Line Items] | |||
Ownership percentage | 100.00% | ||
Tianjin Jinhu [Member] | |||
Variable Interest Entity [Line Items] | |||
Registered capital | $ 0.5 | ||
Tianjin Jinhu [Member] | Ye Deng [Member] | |||
Variable Interest Entity [Line Items] | |||
Ownership percentage | 50.00% | ||
Tianjin Jinhu [Member] | Ye Deng [Member] | Subsequent Event [Member] | |||
Variable Interest Entity [Line Items] | |||
Transferred equity interest to new shareholders, percentage | 50.00% | ||
Tianjin Jinhu [Member] | Xuemei Zhang [Member] | |||
Variable Interest Entity [Line Items] | |||
Ownership percentage | 50.00% | ||
Tianjin Jinhu [Member] | Xuemei Zhang [Member] | Subsequent Event [Member] | |||
Variable Interest Entity [Line Items] | |||
Ownership percentage | 50.00% | ||
Tianjin Jinhu [Member] | Xiufeng Deng [Member] | Subsequent Event [Member] | |||
Variable Interest Entity [Line Items] | |||
Ownership percentage | 50.00% | ||
Guangzhou Qianjun [Member] | |||
Variable Interest Entity [Line Items] | |||
Registered capital | $ 3.3 | ||
Guangzhou Qianjun [Member] | Tianjin Jinhu [Member] | |||
Variable Interest Entity [Line Items] | |||
Ownership percentage | 100.00% | ||
Focus Interactive [Member] | |||
Variable Interest Entity [Line Items] | |||
Registered capital | $ 1.6 | ||
Focus Interactive [Member] | Heng Da Yi Tong [Member] | |||
Variable Interest Entity [Line Items] | |||
Ownership percentage | 100.00% | ||
Sogou Information [Member] | |||
Variable Interest Entity [Line Items] | |||
Registered capital | $ 2.5 | ||
Sogou Information [Member] | High Century [Member] | |||
Variable Interest Entity [Line Items] | |||
Ownership percentage | 45.00% | ||
Sogou Information [Member] | Xiaochuan Wang [Member] | |||
Variable Interest Entity [Line Items] | |||
Ownership percentage | 10.00% | ||
Sogou Information [Member] | Tencent [Member] | |||
Variable Interest Entity [Line Items] | |||
Ownership percentage | 45.00% | ||
Gamease [Member] | |||
Variable Interest Entity [Line Items] | |||
Registered capital | $ 1.3 | ||
Gamease [Member] | High Century [Member] | |||
Variable Interest Entity [Line Items] | |||
Ownership percentage | 100.00% | ||
Guanyou Gamespace [Member] | |||
Variable Interest Entity [Line Items] | |||
Registered capital | $ 1.5 | ||
Guanyou Gamespace [Member] | Changyou Star [Member] | |||
Variable Interest Entity [Line Items] | |||
Ownership percentage | 100.00% | ||
Shanghai ICE [Member] | |||
Variable Interest Entity [Line Items] | |||
Registered capital | $ 1.2 | ||
Shanghai ICE [Member] | Gamease [Member] | |||
Variable Interest Entity [Line Items] | |||
Ownership percentage | 100.00% | ||
Wuhan Baina Information [Member] | |||
Variable Interest Entity [Line Items] | |||
Registered capital | $ 3 | ||
Wuhan Baina Information [Member] | Changyou Star [Member] | |||
Variable Interest Entity [Line Items] | |||
Ownership percentage | 60.00% | ||
Wuhan Baina Information [Member] | Yongzhi Yang [Member] | |||
Variable Interest Entity [Line Items] | |||
Ownership percentage | 40.00% |
VIEs (VIEs Consolidated withi47
VIEs (VIEs Consolidated within Sohu Group, Financial Information) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | Dec. 31, 2015 | Dec. 31, 2014 | |
ASSETS: | ||||||
Cash and cash equivalents | $ 1,092,085 | $ 1,073,879 | $ 1,092,085 | $ 1,073,879 | $ 1,245,205 | $ 876,340 |
Accounts receivable, net | 204,748 | 204,748 | 273,617 | |||
Prepaid and other current assets | 274,701 | 274,701 | 158,890 | |||
Assets held for sale | 101,786 | 101,786 | 0 | |||
Long-term investments, net | 68,861 | 68,861 | 62,093 | |||
Fixed assets, net | 525,899 | 525,899 | 508,692 | |||
Intangible assets, net | 33,593 | 33,593 | 55,415 | |||
Goodwill | 69,688 | 69,688 | 154,219 | |||
Other non-current assets | 25,546 | 25,546 | 39,315 | |||
LIABILITIES: | ||||||
Accounts payable | 163,843 | 163,843 | 129,025 | |||
Accrued liabilities | 335,046 | 335,046 | 309,657 | |||
Receipts in advance and deferred revenue | 128,943 | 128,943 | 135,385 | |||
Liabilities held for sale | 3,236 | 3,236 | 0 | |||
Long-term accounts payable | 17,272 | 17,272 | 4,600 | |||
Long-term taxes payable | 33,199 | 33,199 | 24,732 | |||
Net revenue | 410,582 | 522,090 | 1,238,672 | 1,470,988 | ||
Net income /(loss) | (42,039) | 93,174 | (77,886) | 100,058 | ||
Net cash provided by operating activities | 214,224 | 357,463 | ||||
Net cash provided by /(used in) investing activities | (9,046) | (108,492) | ||||
Net cash provided by financing activities | (327,591) | (43,146) | ||||
Consolidated VIEs [Member] | ||||||
ASSETS: | ||||||
Cash and cash equivalents | 141,830 | 141,830 | 131,270 | |||
Accounts receivable, net | 92,071 | 92,071 | 135,925 | |||
Prepaid and other current assets | 93,237 | 93,237 | 101,951 | |||
Assets held for sale | 12,062 | 12,062 | 0 | |||
Intercompany receivables due from the Company's subsidiaries | 221,842 | 221,842 | 140,396 | |||
Total current assets | 561,042 | 561,042 | 509,542 | |||
Long-term investments, net | 15,189 | 15,189 | 15,960 | |||
Fixed assets, net | 5,176 | 5,176 | 7,362 | |||
Intangible assets, net | 14,977 | 14,977 | 18,266 | |||
Goodwill | 35,838 | 35,838 | 36,351 | |||
Other non-current assets | 6,499 | 6,499 | 12,057 | |||
Total assets | 638,721 | 638,721 | 599,538 | |||
LIABILITIES: | ||||||
Accounts payable | 11,505 | 11,505 | 23,757 | |||
Accrued liabilities | 84,379 | 84,379 | 79,012 | |||
Receipts in advance and deferred revenue | 48,764 | 48,764 | 55,319 | |||
Liabilities held for sale | 2,452 | 2,452 | 0 | |||
Other current liabilities | 157,346 | 157,346 | 141,247 | |||
Intercompany payables due to the Company's subsidiaries | 182,537 | 182,537 | 175,178 | |||
Total current liabilities | 486,983 | 486,983 | 474,513 | |||
Long-term accounts payable | 0 | 0 | 2,858 | |||
Long-term taxes payable | 13,986 | 13,986 | 0 | |||
Intercompany payables due to the Company's subsidiaries | 20,420 | 20,420 | 21,717 | |||
Total liabilities | 521,389 | 521,389 | $ 499,088 | |||
Net revenue | 228,599 | 309,866 | 675,281 | 926,460 | ||
Net income /(loss) | $ 5,338 | $ (45,863) | 20,854 | (63,402) | ||
Net cash provided by operating activities | 20,306 | 17,450 | ||||
Net cash provided by /(used in) investing activities | 1,061 | (11,182) | ||||
Net cash provided by financing activities | $ 0 | $ 2,286 |
VIEs (VIEs Consolidated withi48
VIEs (VIEs Consolidated within Sohu Group, Summary of Significant Agreements Currently in Effect) (Details) | 9 Months Ended |
Sep. 30, 2016 | |
Sogou Technology [Member] | Shareholders of Sogou Information [Member] | |
Variable Interest Entity [Line Items] | |
Powers of attorney term | 10 years |
Sogou Technology [Member] | Sogou Information [Member] | |
Variable Interest Entity [Line Items] | |
Exclusive technology consulting and service agreement term | 10 years |
Business cooperation agreement term | 10 years |
Sogou Technology [Member] | Sogou Information [Member] | Shareholders of Sogou Information [Member] | |
Variable Interest Entity [Line Items] | |
Business operation agreement term | 10 years |
Video Tianjin [Member] | Shareholders of Tianjin Jinhu [Member] | |
Variable Interest Entity [Line Items] | |
Powers of attorney term | 10 years |
Call option agreement, exercise price | |
Video Tianjin [Member] | Tianjin Jinhu [Member] | |
Variable Interest Entity [Line Items] | |
Exclusive technology consulting and service agreement term | 10 years |
Video Tianjin [Member] | Tianjin Jinhu [Member] | Shareholders of Tianjin Jinhu [Member] | |
Variable Interest Entity [Line Items] | |
Business operation agreement term | 10 years |
AmazGame [Member] | Shareholders of Gamease [Member] | |
Variable Interest Entity [Line Items] | |
Powers of attorney term | 10 years |
AmazGame [Member] | Gamease [Member] | Shareholders of Gamease [Member] | |
Variable Interest Entity [Line Items] | |
Business operation agreement term | 10 years |
AmazGame [Member] | Guanyou Gamespace [Member] | Shareholders of Gamease [Member] | |
Variable Interest Entity [Line Items] | |
Percentage of exchange equity interests due to contributions to registered capital of equity | 100.00% |
Gamespace [Member] | Shareholders of Guanyou Gamespace [Member] | |
Variable Interest Entity [Line Items] | |
Powers of attorney term | 10 years |
Percentage of exchange equity interests due to contributions to registered capital of equity | 100.00% |
Gamespace [Member] | Guanyou Gamespace [Member] | Shareholders of Guanyou Gamespace [Member] | |
Variable Interest Entity [Line Items] | |
Business operation agreement term | 10 years |
Beijing Baina Technology [Member] | Wuhan Baina Information [Member] | Changyou Star and Yongzhi Yang [Member] | |
Variable Interest Entity [Line Items] | |
Call option agreement, exercise price | At the lower of RMB1.00 (approximately $0.15) or the lowest purchase price permissible under PRC law |
Sohu Era [Member] | Sohu Internet [Member] | |
Variable Interest Entity [Line Items] | |
Exclusive technology consulting and service agreement term | 2 years |
Sohu.com Inc. Shareholders' E49
Sohu.com Inc. Shareholders' Equity (Treasury Stock) (Details) - shares | 9 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
Sohu [Member] | Common Stock [Member] | ||
Equity, Class of Treasury Stock [Line Items] | ||
Shares repurchased | 0 | 0 |
Sohu.com Inc. Shareholders' E50
Sohu.com Inc. Shareholders' Equity (Sohu's 2000 Stock Incentive Plan) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation expense | $ 13,170,000 | $ (2,302,000) | $ 16,147,000 | $ 28,465,000 |
Sohu 2000 Stock Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Plan expiration date | Jan. 24, 2010 | |||
Share-based compensation expense | $ 0 | |||
Cash received under share incentive plan | $ 0 | |||
Sohu 2000 Stock Incentive Plan [Member] | Common Stock [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares authorized for issuance | 9,500,000 | 9,500,000 | ||
Award vesting period | 4 years | |||
Maximum term of share rights granted under stock incentive plan | 10 years |
Sohu.com Inc. Shareholders' E51
Sohu.com Inc. Shareholders' Equity (Sohu's 2010 Stock Incentive Plan, Narrative) (Details) - Sohu 2010 Stock Incentive Plan [Member] - shares | 9 Months Ended | |
Sep. 30, 2016 | Jul. 02, 2010 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Maximum term of share rights granted under stock incentive plan | 10 years | |
Plan expiration date | Jul. 1, 2020 | |
Shares available for grant | 360,930 | |
Common Stock [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares authorized for issuance | 1,500,000 |
Sohu.com Inc. Shareholders' E52
Sohu.com Inc. Shareholders' Equity (Sohu's 2010 Stock Incentive Plan, Stock Option Activity, Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands | Feb. 07, 2016 | Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | May 01, 2016 | Feb. 07, 2015 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Share-based compensation expense | $ 13,170 | $ (2,302) | $ 16,147 | $ 28,465 | |||
Sohu 2010 Stock Incentive Plan [Member] | Stock Options [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of options granted in period | 253,250 | 253,000 | |||||
Number of share options vested | 253,250 | 197,000 | |||||
Total fair value of share options vested | $ 10,800 | ||||||
Share-based compensation expense | $ 5,300 | $ 1,700 | $ 3,600 | $ 13,300 | |||
Sohu 2010 Stock Incentive Plan [Member] | Stock Options [Member] | Common Stock [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of options granted | 13,000 | 1,068,000 | |||||
Exercise prices of option granted | $ 0.001 | $ 0.001 | |||||
Installments of stock options granted | Four equal installments | ||||||
Award vesting period | 4 years |
Sohu.com Inc. Shareholders' E53
Sohu.com Inc. Shareholders' Equity (Sohu's 2010 Stock Incentive Plan, Stock Option Activity) (Details) $ / shares in Units, $ in Thousands | Feb. 07, 2016shares | Sep. 30, 2016USD ($)Years$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Closing stock price | $ / shares | $ 44.25 | ||
Sohu 2010 Stock Incentive Plan [Member] | Stock Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of Shares, Outstanding, Beginning Balance | 0 | ||
Number of Shares, Granted | 253,250 | 253,000 | |
Number of Shares, Exercised | (56,000) | ||
Number of Shares, Forfeited or expired | 0 | ||
Number of Shares, Outstanding, Ending Balance | 197,000 | ||
Number of Shares, Vested, Ending balance | 253,250 | 197,000 | |
Number of Shares, Exercisable, Ending balance | 197,000 | ||
Weighted Average Exercise Price, Granted | $ / shares | $ 0.001 | ||
Weighted Average Exercise Price, Exercised | $ / shares | 0.001 | ||
Weighted Average Exercise Price, Outstanding, Ending balance | $ / shares | 0.001 | ||
Weighted Average Exercise Price, Vested, Ending balance | $ / shares | 0.001 | ||
Weighted Average Exercise Price, Exercisable, Ending balance | $ / shares | $ 0.001 | ||
Weighted Average Remaining Contractual Life (Years), Outstanding, Ending balance | Years | 8.35 | ||
Weighted Average Remaining Contractual Life (Years), Vested, Ending balance | Years | 8.35 | ||
Weighted Average Remaining Contractual Life (Years), Exercisable, Ending balance | Years | 8.35 | ||
Aggregate Intrinsic Value, Outstanding, Ending balance | $ | [1] | $ 8,717 | |
Aggregate Intrinsic Value, Vested, Ending balance | $ | [1] | 8,717 | |
Aggregate Intrinsic Value, Exercisable, Ending balance | $ | [1] | $ 8,717 | |
[1] | The aggregated intrinsic value in the preceding table represents the difference between Sohu's closing stock price of $44.25 on September 30, 2016 and the nominal exercise prices of the stock options. |
Sohu.com Inc. Shareholders' E54
Sohu.com Inc. Shareholders' Equity (Sohu's 2010 Stock Incentive Plan, Restricted Share Unit Activity) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation expense | $ 13,170 | $ (2,302) | $ 16,147 | $ 28,465 |
Sohu 2010 Stock Incentive Plan [Member] | Restricted Share Units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of Units, Unvested, Beginning balance | 32 | |||
Number of Units, Granted | 11 | |||
Number of Units, Vested | (12) | |||
Number of Units, Forfeited | (9) | |||
Number of Units, Unvested, Ending balance | 22 | 22 | ||
Number of Units, Expected to vest thereafter | 17 | |||
Weighted-Average Grant-Date Fair Value, Unvested, Beginning balance | $ 70.24 | |||
Weighted-Average Grant-Date Fair Value, Granted | 51 | |||
Weighted-Average Grant-Date Fair Value, Vested | 56.83 | |||
Weighted-Average Grant-Date Fair Value, Forfeited | 63.45 | |||
Weighted-Average Grant-Date Fair Value, Unvested, Ending balance | $ 70.61 | 70.61 | ||
Weighted-Average Grant-Date Fair Value, Expected to vest thereafter | $ 68.96 | $ 68.96 | ||
Share-based compensation expense | $ 400 | 600 | $ 1,100 | 1,800 |
Unrecognized compensation expenses | 700 | $ 700 | ||
Unrecognized compensation expenses, weighted average period for recognition (in years) | 7 months 6 days | |||
Fair value of restricted share units vested | $ 200 | $ 300 | $ 500 | $ 700 |
Sohu.com Inc. Shareholders' E55
Sohu.com Inc. Shareholders' Equity (Sogou 2010 Share Incentive Plan, Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | Dec. 31, 2015 | Aug. 22, 2014 | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Share-based compensation expense | $ 13,170 | $ (2,302) | $ 16,147 | $ 28,465 | |||
Sogou [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Share-based compensation expense | [1],[2] | 180 | (1,230) | $ 2,505 | 5,706 | ||
Sogou [Member] | Sogou 2010 Share Incentive Plan [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Maximum term of share rights granted under stock incentive plan | 10 years | ||||||
Plan expiration date | Oct. 19, 2020 | ||||||
Sogou [Member] | Sogou 2010 Share Incentive Plan [Member] | Share Options [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Maximum term of share rights granted under stock incentive plan | 10 years | ||||||
Share-based compensation expense | $ 200 | $ (400) | $ 1,400 | $ 3,500 | |||
Number of shares outstanding | 9,618,000 | 9,618,000 | 12,209,000 | ||||
Unrecognized compensation expense | $ 7,100 | $ 7,100 | |||||
Unrecognized compensation expense, weighted average period for recognition (in years) | 4 months 2 days | ||||||
Sogou [Member] | Sogou 2010 Share Incentive Plan [Member] | Ordinary Shares [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of shares authorized for issuance | 41,500,000 | ||||||
Sogou [Member] | Sogou 2010 Share Incentive Plan [Member] | Ordinary Shares [Member] | Share Options [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of options granted | 38,441,000 | 38,441,000 | |||||
Number of options granted for which performance targets had been set | 32,537,008 | 32,537,008 | |||||
Number of shares outstanding | 9,618,412 | 9,618,412 | |||||
Sogou [Member] | Sogou 2010 Share Incentive Plan [Member] | Ordinary Shares [Member] | Share Options [Member] | Vesting upon Service Period and Achievement of Performance Targets [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of options granted | 31,241,000 | 31,241,000 | |||||
Number of options granted, removed as a condition of vesting upon Sogou's IPO | 980,000 | 980,000 | |||||
Number of options granted for which performance targets had been set | 25,337,008 | 25,337,008 | |||||
Number of options vested and exercisable | 22,923,259 | 22,923,259 | |||||
Accumulated number of share options exercised | 22,918,596 | 22,918,596 | |||||
Sogou [Member] | Sogou 2010 Share Incentive Plan [Member] | Ordinary Shares [Member] | Share Options [Member] | Vesting upon Service Period and Achievement of Performance Targets, Part One [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of options granted | 30,021,750 | 30,021,750 | |||||
Installments of share options granted | Four equal installments | ||||||
Sogou [Member] | Sogou 2010 Share Incentive Plan [Member] | Ordinary Shares [Member] | Share Options [Member] | Vesting upon Service Period and Achievement of Performance Targets, Part Two [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of options granted | 1,219,250 | 1,219,250 | |||||
Installments of share options granted | Two to four installments | ||||||
Sogou [Member] | Sogou 2010 Share Incentive Plan [Member] | Ordinary Shares [Member] | Share Options [Member] | Vesting upon Completion of Sogou's IPO and Expiration of All Underwriters' Lockup Periods [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of options granted | 7,200,000 | 7,200,000 | |||||
Installments of share options granted | Five equal installments | ||||||
[1] | Compensation expense for Sogou share-based awards also includes compensation expense for Tencent restricted share units that Tencent had granted to employees who transferred to Sogou with the Soso search-related businesses. | ||||||
[2] | The negative amount resulted from re-measured compensation expense based on the then-current fair value of the awards on each reporting date as well as a true-up of share-based compensation expense for forfeited share options and restricted share units for Sogou and Changyou share-based awards. |
Sohu.com Inc. Shareholders' E56
Sohu.com Inc. Shareholders' Equity (Sogou 2010 Share Incentive Plan, Share Option Activity) (Details) - Sogou [Member] - Sogou 2010 Share Incentive Plan [Member] - Share Options [Member] shares in Thousands | 9 Months Ended |
Sep. 30, 2016Years$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of Shares, Outstanding, Beginning Balance | 12,209 |
Number of Shares, Granted | 2,337 |
Number of Shares, Exercised | (3,800) |
Number of Shares, Forfeited or expired | (1,128) |
Number of Shares, Outstanding, Ending Balance | 9,618 |
Number of Shares, Vested, Ending balance, and expected to vest thereafter | 2,360 |
Number of Shares, Exercisable, Ending balance | 5 |
Weighted Average Exercise Price, Outstanding, Beginning balance | $ / shares | $ 0.369 |
Weighted Average Exercise Price, Granted | $ / shares | 0.001 |
Weighted Average Exercise Price, Exercised | $ / shares | 0.001 |
Weighted Average Exercise Price, Forfeited or expired | $ / shares | 0.001 |
Weighted Average Exercise Price, Outstanding, Ending balance | $ / shares | $ 0.468 |
Weighted Average Remaining Contractual Life (Years), Outstanding, Ending balance | Years | 6.58 |
Sohu.com Inc. Shareholders' E57
Sohu.com Inc. Shareholders' Equity (Sogou 2010 Share Incentive Plan, Share Option Assumptions) (Details) - Sogou [Member] - Sogou 2010 Share Incentive Plan [Member] - Share Options [Member] | 9 Months Ended |
Sep. 30, 2016$ / shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Weighted average expected option life | 7 years |
Dividend yield | 0.00% |
Minimum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Average risk-free interest rate | 1.90% |
Exercise multiple | 2 |
Expected forfeiture rate (post-vesting) | 0.00% |
Volatility rate | 43.00% |
Fair value | $ 3.18 |
Maximum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Average risk-free interest rate | 2.77% |
Exercise multiple | 3 |
Expected forfeiture rate (post-vesting) | 12.00% |
Volatility rate | 50.00% |
Fair value | $ 3.93 |
Sohu.com Inc. Shareholders' E58
Sohu.com Inc. Shareholders' Equity (Sogou 2010 Share Incentive Plan, Share Option Assumptions, Narrative) (Details) - Sogou [Member] - Sogou 2010 Share Incentive Plan [Member] | 9 Months Ended |
Sep. 30, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Contract life of the option | 10 years |
Share Options [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Contract life of the option | 10 years |
Estimated dividend yield | 0.00% |
Share Options [Member] | Minimum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise multiple | 2 |
Estimated forfeiture rate | 0.00% |
Share Options [Member] | Maximum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise multiple | 3 |
Estimated forfeiture rate | 12.00% |
Share Options [Member] | Employees [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise multiple | 2 |
Estimated forfeiture rate | 12.00% |
Share Options [Member] | Management [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise multiple | 3 |
Share Options [Member] | Management [Member] | Minimum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Estimated forfeiture rate | 0.00% |
Share Options [Member] | Management [Member] | Maximum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Estimated forfeiture rate | 1.00% |
Sohu.com Inc. Shareholders' E59
Sohu.com Inc. Shareholders' Equity (Sohu Management Sogou Share Option Arrangement, Narrative) (Details) - USD ($) | Apr. 14, 2011 | Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | Dec. 31, 2015 | Mar. 31, 2011 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Share-based compensation expense | $ 13,170,000 | $ (2,302,000) | $ 16,147,000 | $ 28,465,000 | ||||
Sogou [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Share-based compensation expense | [1],[2] | 180,000 | (1,230,000) | 2,505,000 | 5,706,000 | |||
Sogou [Member] | Sohu Management Sogou Share Option Arrangement [Member] | Share Options [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Share-based compensation expense | $ 3,094 | $ 0 | $ 300,000 | $ 700,000 | ||||
Number of shares outstanding | 3,190,000 | 3,190,000 | 3,664,000 | |||||
Unrecognized compensation expenses | $ 100,000 | $ 100,000 | ||||||
Unrecognized compensation expenses, weighted average period for recognition (in years) | 3 months | |||||||
Sogou [Member] | Sohu Management Sogou Share Option Arrangement [Member] | Ordinary Shares [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Number of shares authorized for issuance | 12,000,000 | |||||||
Sogou's ordinary shares previously held by Sohu | 8,800,000 | |||||||
Sogou's newly-issued shares | 3,200,000 | |||||||
Sogou's newly-issued shares, price per share | $ 0.625 | |||||||
Sogou's newly-issued shares, value | $ 2,000,000 | |||||||
Sogou [Member] | Sohu Management Sogou Share Option Arrangement [Member] | Ordinary Shares [Member] | Share Options [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Number of options granted | 10,705,000 | 10,705,000 | ||||||
Number of options granted for which performance targets had been set | 10,705,500 | 10,705,500 | ||||||
Number of shares outstanding | 3,189,500 | 3,189,500 | ||||||
Sogou [Member] | Sohu Management Sogou Share Option Arrangement [Member] | Ordinary Shares [Member] | Share Options [Member] | Vesting upon Completion of Sogou's IPO and Expiration of All Underwriters' Lockup Periods [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Number of options granted | 2,400,000 | 2,400,000 | ||||||
Installments of share options granted | Five equal installments | |||||||
Share-based compensation expense | $ 0 | |||||||
Sogou [Member] | Sohu Management Sogou Share Option Arrangement [Member] | Ordinary Shares [Member] | Share Options [Member] | Management and Key Employees [Member] | Vesting upon Service Period and Achievement of Performance Targets [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Number of options granted | 8,290,000 | 8,290,000 | ||||||
Installments of share options granted | Four equal installments | |||||||
Number of options granted for which performance targets had been set | 8,290,000 | 8,290,000 | ||||||
Number of options vested and exercisable | 8,232,500 | 8,232,500 | ||||||
Accumulated number of share options exercised | 7,512,500 | 7,512,500 | ||||||
Sogou [Member] | Sohu Management Sogou Share Option Arrangement [Member] | Ordinary Shares [Member] | Share Options [Member] | Board of Directors [Member] | Vesting upon Service Period and Achievement of Performance Targets [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Number of options vested and exercisable | 15,000 | |||||||
Sogou [Member] | Sohu Management Sogou Share Option Arrangement [Member] | Ordinary Shares [Member] | Minimum [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Fixed exercise price of ordinary share | $ 0.001 | |||||||
Sogou [Member] | Sohu Management Sogou Share Option Arrangement [Member] | Ordinary Shares [Member] | Maximum [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Fixed exercise price of ordinary share | $ 0.625 | |||||||
[1] | Compensation expense for Sogou share-based awards also includes compensation expense for Tencent restricted share units that Tencent had granted to employees who transferred to Sogou with the Soso search-related businesses. | |||||||
[2] | The negative amount resulted from re-measured compensation expense based on the then-current fair value of the awards on each reporting date as well as a true-up of share-based compensation expense for forfeited share options and restricted share units for Sogou and Changyou share-based awards. |
Sohu.com Inc. Shareholders' E60
Sohu.com Inc. Shareholders' Equity (Sohu Management Sogou Share Option Arrangement, Share Option Activity) (Details) - Sogou [Member] - Sohu Management Sogou Share Option Arrangement [Member] - Share Options [Member] shares in Thousands | 9 Months Ended |
Sep. 30, 2016Years$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of Shares, Outstanding, Beginning Balance | 3,664 |
Number of Shares, Granted | 58 |
Number of Shares, Exercised | (532) |
Number of Shares, Forfeited or expired | 0 |
Number of Shares, Outstanding, Ending Balance | 3,190 |
Number of Shares, Vested, Ending balance, and expected to vest thereafter | 790 |
Number of Shares, Exercisable, Ending balance | 732 |
Weighted Average Exercise Price, Outstanding, Beginning balance | $ / shares | $ 0.623 |
Weighted Average Exercise Price, Granted | $ / shares | 0.625 |
Weighted Average Exercise Price, Exercised | $ / shares | 0.625 |
Weighted Average Exercise Price, Outstanding, Ending balance | $ / shares | $ 0.623 |
Weighted Average Remaining Contractual Life (Years), Outstanding, Ending balance | Years | 6.03 |
Sohu.com Inc. Shareholders' E61
Sohu.com Inc. Shareholders' Equity (Sohu Management Sogou Share Option Arrangement, Share Option Assumptions) (Details) - Sogou [Member] - Sohu Management Sogou Share Option Arrangement [Member] - Share Options [Member] | 9 Months Ended |
Sep. 30, 2016$ / shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Expected forfeiture rate (post-vesting) | 0.00% |
Weighted average expected option life | 6 years |
Dividend yield | 0.00% |
Minimum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Average risk-free interest rate | 2.01% |
Exercise multiple | 2 |
Volatility rate | 43.00% |
Fair value | $ 2.56 |
Maximum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Average risk-free interest rate | 2.15% |
Exercise multiple | 3 |
Volatility rate | 47.00% |
Fair value | $ 3.31 |
Sohu.com Inc. Shareholders' E62
Sohu.com Inc. Shareholders' Equity (Sogou Inc. Share-based Awards, Option Modification) (Details) - Sogou [Member] - Sogou 2010 Share Incentive Plan [Member] | 9 Months Ended |
Sep. 30, 2016USD ($)shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Incremental compensation expense | $ | $ 0 |
Ordinary Shares [Member] | Share Options [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Accumulated number of share options early exercised | shares | 11,370,000 |
Sohu.com Inc. Shareholders' E63
Sohu.com Inc. Shareholders' Equity (Tencent Share-based Awards Granted to Employees Who Transferred to Sogou with Soso Search-related Businesses) (Details) | 1 Months Ended | 3 Months Ended | 9 Months Ended | |||
May 31, 2014 | Sep. 30, 2016USD ($)shares | Sep. 30, 2015USD ($) | Sep. 30, 2016USD ($)shares | Sep. 30, 2015USD ($) | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share-based compensation expense | $ 13,170,000 | $ (2,302,000) | $ 16,147,000 | $ 28,465,000 | ||
Tencent [Member] | Ordinary Shares [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Stock split, conversion ratio | 5 | |||||
Sogou [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share-based compensation expense | [1],[2] | 180,000 | (1,230,000) | 2,505,000 | 5,706,000 | |
Sogou [Member] | Tencent [Member] | Tencent Share-based Awards Related to Soso [Member] | Restricted Share Units [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share-based compensation expense | (38,458) | $ (900,000) | 800,000 | $ 1,500,000 | ||
Unrecognized compensation expenses | $ 300,000 | $ 300,000 | ||||
Unrecognized compensation expenses, weighted average period for recognition (in years) | 1 year 5 months 5 days | |||||
Sogou [Member] | Tencent [Member] | Tencent Share-based Awards Related to Soso [Member] | Ordinary Shares [Member] | Restricted Share Units [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Number of shares authorized for issuance | shares | 53,100 | 53,100 | ||||
[1] | Compensation expense for Sogou share-based awards also includes compensation expense for Tencent restricted share units that Tencent had granted to employees who transferred to Sogou with the Soso search-related businesses. | |||||
[2] | The negative amount resulted from re-measured compensation expense based on the then-current fair value of the awards on each reporting date as well as a true-up of share-based compensation expense for forfeited share options and restricted share units for Sogou and Changyou share-based awards. |
Sohu.com Inc. Shareholders' E64
Sohu.com Inc. Shareholders' Equity (Changyou's 2008 Share Incentive Plan) (Details) - Changyou [Member] - Changyou's 2008 Share Incentive Plan [Member] | 1 Months Ended | 9 Months Ended | |
Mar. 31, 2009shares | Sep. 30, 2016shares | Dec. 31, 2008shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award vesting period | 4 years | ||
Maximum term of share rights granted under stock incentive plan | 10 years | ||
Plan expiration date | Aug. 31, 2018 | ||
Ordinary Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares granted | 15,000,000 | ||
Ordinary Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares reserved for future issuance | 2,000,000 | ||
Shares reserved for future issuance as result of stock split | 20,000,000 | ||
Stock split, conversion ratio | 10 | ||
Ordinary Shares [Member] | Restricted Share Units [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares granted | 4,614,098 |
Sohu.com Inc. Shareholders' E65
Sohu.com Inc. Shareholders' Equity (Share-based Awards Granted before Changyou's IPO, Narrative) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based compensation expense | $ 13,170,000 | $ (2,302,000) | $ 16,147,000 | $ 28,465,000 | |
Changyou [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based compensation expense | [1] | $ 7,202,000 | $ (3,465,000) | 9,340,000 | $ 7,529,000 |
Changyou [Member] | Changyou's Share-based Awards Granted before IPO [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based compensation expense | $ 0 | ||||
[1] | The negative amount resulted from re-measured compensation expense based on the then-current fair value of the awards on each reporting date as well as a true-up of share-based compensation expense for forfeited share options and restricted share units for Sogou and Changyou share-based awards. |
Sohu.com Inc. Shareholders' E66
Sohu.com Inc. Shareholders' Equity (Share-based Awards Granted after Changyou's IPO, Narrative) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based compensation expense | $ 13,170,000 | $ (2,302,000) | $ 16,147,000 | $ 28,465,000 | |
Changyou [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based compensation expense | [1] | 7,202,000 | (3,465,000) | 9,340,000 | 7,529,000 |
Changyou [Member] | Changyou's Share-based Awards Granted after IPO [Member] | Restricted Share Units [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based compensation expense | 22,000 | (300,000) | 66,000 | (300,000) | |
Unrecognized compensation expenses | 44,000 | $ 44,000 | |||
Unrecognized compensation expenses, weighted average period for recognition (in years) | 7 months 17 days | ||||
Fair value of restricted share units vested | $ 0 | $ 0 | $ 0 | $ 700,000 | |
Changyou [Member] | Changyou's Share-based Awards Granted after IPO [Member] | Ordinary Shares [Member] | Restricted Share Units [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of shares or units granted | 1,581,226 | 1,581,226 | |||
Award vesting period | 4 years | ||||
[1] | The negative amount resulted from re-measured compensation expense based on the then-current fair value of the awards on each reporting date as well as a true-up of share-based compensation expense for forfeited share options and restricted share units for Sogou and Changyou share-based awards. |
Sohu.com Inc. Shareholders' E67
Sohu.com Inc. Shareholders' Equity (Share-based Awards Granted after Changyou's IPO, Restricted Share Unit Activity) (Details) - Changyou [Member] - Changyou's Share-based Awards Granted after IPO [Member] - Restricted Share Units [Member] shares in Thousands | 9 Months Ended |
Sep. 30, 2016$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of Units, Unvested, Beginning balance | 20 |
Number of Units, Granted | 0 |
Number of Units, Vested | 0 |
Number of Units, Forfeited | 0 |
Number of Units, Unvested, Ending balance | 20 |
Number of Units, Expected to vest thereafter | 20 |
Weighted-Average Grant-Date Fair Value, Unvested, Beginning balance | $ / shares | $ 14.25 |
Weighted-Average Grant-Date Fair Value, Unvested, Ending balance | $ / shares | 14.25 |
Weighted-Average Grant-Date Fair Value, Expected to vest thereafter | $ / shares | $ 14.25 |
Sohu.com Inc. Shareholders' E68
Sohu.com Inc. Shareholders' Equity (Changyou 2014 Share Incentive Plan, Narrative) (Details) - USD ($) | Jun. 01, 2016 | Nov. 02, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | Jul. 28, 2016 | Jun. 01, 2015 | Feb. 16, 2015 | Nov. 02, 2014 | Jun. 27, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Share-based compensation expense | $ 13,170,000 | $ (2,302,000) | $ 16,147,000 | $ 28,465,000 | ||||||||
Changyou [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Share-based compensation expense | [1] | $ 7,202,000 | (3,465,000) | $ 9,340,000 | 7,529,000 | |||||||
Changyou [Member] | Changyou 2014 Share Incentive Plan [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Maximum term of share rights granted under stock incentive plan | 10 years | |||||||||||
Plan expiration date | Jun. 30, 2024 | |||||||||||
Shares available for grant | 2,808,000 | 2,808,000 | ||||||||||
Changyou [Member] | Changyou 2014 Share Incentive Plan [Member] | Share Options [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Number of share options vested | 329,000 | 450,000 | ||||||||||
Total fair value of share options vested | $ 3,200,000 | $ 4,700,000 | ||||||||||
Share-based compensation expense | $ 7,200,000 | $ (3,200,000) | $ 9,300,000 | $ 7,700,000 | ||||||||
Changyou [Member] | Changyou 2014 Share Incentive Plan [Member] | Class A Restricted Share Units [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Number of shares or units granted | 2,416,000 | |||||||||||
Award vesting period | 4 years | |||||||||||
Share-based compensation expense | $ (17,000) | |||||||||||
Unrecognized compensation expenses | $ 0 | $ 0 | ||||||||||
Changyou [Member] | Changyou 2014 Share Incentive Plan [Member] | Class A Ordinary Shares [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Shares reserved for future issuance | 6,000,000 | 2,000,000 | ||||||||||
Changyou [Member] | Changyou 2014 Share Incentive Plan [Member] | Class A Ordinary Shares [Member] | Share Options [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Number of shares or units granted | 100,000 | 1,998,000 | ||||||||||
Number of ordinary shares converted to options from restricted share units | 2,400,000 | |||||||||||
Exercise prices of option granted | $ 0.01 | $ 0.01 | $ 0.01 | |||||||||
Installments of share options granted | Four equal installments | |||||||||||
Award vesting period | 4 years | |||||||||||
Number of share options vested | 510,000 | |||||||||||
Changyou [Member] | Changyou 2014 Share Incentive Plan [Member] | Class A Restricted Share Units [Member] | Class A Restricted Share Units [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Number of shares or units granted | 16,000 | |||||||||||
[1] | The negative amount resulted from re-measured compensation expense based on the then-current fair value of the awards on each reporting date as well as a true-up of share-based compensation expense for forfeited share options and restricted share units for Sogou and Changyou share-based awards. |
Sohu.com Inc. Shareholders' E69
Sohu.com Inc. Shareholders' Equity (Changyou 2014 Share Incentive Plan, Share Option Activity) (Details) $ / shares in Units, $ in Thousands | Jun. 01, 2016shares | Nov. 02, 2015shares | Sep. 30, 2016USD ($)Years$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Closing price | $ 44.25 | |||
Changyou [Member] | Class A Ordinary Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Closing price | 13.63 | |||
Changyou [Member] | ADS [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Closing price | $ 27.25 | |||
Changyou [Member] | Changyou 2014 Share Incentive Plan [Member] | Share Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of Shares, Vested, Ending balance | shares | 329,000 | 450,000 | ||
Changyou [Member] | Changyou 2014 Share Incentive Plan [Member] | Share Options [Member] | Class A Ordinary Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of Shares, Outstanding, Beginning Balance | shares | 450,000 | |||
Number of Shares, Granted | shares | 329,000 | |||
Number of Shares, Exercised | shares | (269,000) | |||
Number of Shares, Forfeited or expired | shares | 0 | |||
Number of Shares, Outstanding, Ending Balance | shares | 510,000 | |||
Number of Shares, Vested, Ending balance | shares | 510,000 | |||
Number of Shares, Exercisable, Ending balance | shares | 510,000 | |||
Weighted Average Exercise Price, Outstanding, Beginning balance | $ 0.01 | |||
Weighted Average Exercise Price, Granted | 0.01 | |||
Weighted Average Exercise Price, Exercised | 0.01 | |||
Weighted Average Exercise Price, Outstanding, Ending balance | 0.01 | |||
Weighted Average Exercise Price, Vested, Ending balance | 0.01 | |||
Weighted Average Exercise Price, Exercisable, Ending balance | $ 0.01 | |||
Weighted Average Remaining Contractual Life (Years), Outstanding, Beginning balance | Years | 8.84 | |||
Weighted Average Remaining Contractual Life (Years), Outstanding, Ending balance | Years | 8.32 | |||
Weighted Average Remaining Contractual Life (Years), Vested, Ending balance | Years | 8.32 | |||
Weighted Average Remaining Contractual Life (Years), Exercisable, Ending balance | Years | 8.32 | |||
Aggregate Intrinsic Value, Outstanding, Beginning balance | $ | [1] | $ 5,580 | ||
Aggregate Intrinsic Value, Outstanding, Ending balance | $ | [1] | 6,942 | ||
Aggregate Intrinsic Value, Vested, Ending balance | $ | [1] | 6,942 | ||
Aggregate Intrinsic Value, Exercisable, Ending balance | $ | [1] | $ 6,942 | ||
[1] | The aggregated intrinsic value in the preceding table represents the difference between Changyou's closing price of $27.25 per ADS, or $13.63 per Class A ordinary share, on September 30, 2016 and the nominal exercise prices of the share options. |
Sohu.com Inc. Shareholders' E70
Sohu.com Inc. Shareholders' Equity (Sohu Video Share-based Awards, Narrative) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | Jan. 04, 2012 | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share-based compensation expense | $ 13,170,000 | $ (2,302,000) | $ 16,147,000 | $ 28,465,000 | ||
Sohu Video [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share-based compensation expense | [1] | $ 149,000 | 99,000 | $ (447,000) | 199,000 | |
Sohu Video [Member] | Video 2011 Share Incentive Plan [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Maximum term of share rights granted under stock incentive plan | 10 years | |||||
Plan expiration date | Jan. 3, 2021 | |||||
Sohu Video [Member] | Video 2011 Share Incentive Plan [Member] | Ordinary Shares [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Shares reserved for future issuance | 25,000,000 | |||||
Sohu Video [Member] | Video 2011 Share Incentive Plan [Member] | Ordinary Shares [Member] | Share Options [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Number of options granted | 16,368,200 | 16,368,200 | ||||
Installments of share options granted | Four equal installments | |||||
Number of options vested | 4,972,800 | 4,972,800 | ||||
Share-based compensation expense | $ 149,000 | $ 99,000 | $ (448,000) | $ 199,000 | ||
[1] | The negative amount resulted from re-measured compensation expense based on the then-current fair value of the awards on each reporting date as well as a true-up of share-based compensation expense for forfeited share options and restricted share units for Sogou and Changyou share-based awards. |
Sohu.com Inc. Shareholders' E71
Sohu.com Inc. Shareholders' Equity (Sohu Video Share-based Awards, Share Option Assumptions) (Details) - Sohu Video [Member] - Video 2011 Share Incentive Plan [Member] - Share Options [Member] | 9 Months Ended |
Sep. 30, 2016$ / shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Average risk-free interest rate | 1.89% |
Exercise multiple | 2.8 |
Expected forfeiture rate (post-vesting) | 19.00% |
Weighted average expected option life | 5 years 3 months 18 days |
Volatility rate | 49.70% |
Dividend yield | 0.00% |
Fair value | $ 0.78 |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Related Party Transaction [Line Items] | ||||||
Brand advertising revenue from a related party | $ 0 | $ 0 | $ 862,000 | $ 0 | ||
Sales and marketing expense for a related party | 0 | $ 0 | 216,000 | $ 0 | ||
SoEasy [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Brand advertising revenue from a related party | 0 | 862,000 | ||||
Sales and marketing expense for a related party | 0 | 216,000 | ||||
Changyou [Member] | SoEasy [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Loans drew down from related party | $ 29,900,000 | |||||
Loans granted to related party | $ 30,200,000 | |||||
Loans repaid to related parities | $ 12,900,000 | |||||
Loans received from related parities | $ 12,100,000 | |||||
Loans payable to related parities | 29,200,000 | 29,200,000 | ||||
Loans receivable from related parities | 29,200,000 | 29,200,000 | ||||
Interest expense incurred | 200,000 | 500,000 | ||||
Interest income earned | 300,000 | 1,000,000 | ||||
Interest expense payable to related parities | 400,000 | 400,000 | ||||
Interest income receivable from related parities | $ 700,000 | $ 700,000 |
Sogou Transactions (Sogou-Tence
Sogou Transactions (Sogou-Tencent Transactions) (Details) - Sogou [Member] shares in Millions, $ in Millions | Sep. 16, 2013USD ($)Designees | Sep. 30, 2015USD ($)shares | Jun. 30, 2014USD ($)shares | Sep. 30, 2016 | Mar. 31, 2014USD ($)shares |
Restructuring Cost and Reserve [Line Items] | |||||
Percentage of outstanding equity capital held by parent company | 36.00% | ||||
Minimum [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Voting power held by parent | 50.00% | ||||
Tencent [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Number of designees of directors elected by shareholder | Designees | 2 | ||||
Sohu Search [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Number of designees of directors elected by shareholder | Designees | 3 | ||||
Series B Preferred Shares and Class B Ordinary Shares [Member] | Tencent [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Cash proceeds from Tencent | $ 448 | ||||
Class A Ordinary Shares [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Shares repurchased | shares | 4.2 | ||||
Aggregate purchase price | $ 41.6 | ||||
Series A Preferred Shares [Member] | Sohu Search [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Purchase of Series A Preferred Shares, shares | shares | 24 | ||||
Purchase of Series A Preferred Shares, aggregate purchase price | $ 78.8 | ||||
Series A Preferred Shares [Member] | China Web [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Purchase of Series A Preferred Shares, shares | shares | 14.4 | ||||
Purchase of Series A Preferred Shares, aggregate purchase price | $ 47.3 | ||||
Series A Preferred Shares [Member] | Photon [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Purchase of Series A Preferred Shares, shares | shares | 6.4 | ||||
Purchase of Series A Preferred Shares, aggregate purchase price | $ 21 |
Sogou Transactions (Sohu's Shar
Sogou Transactions (Sohu's Shareholding in Sogou) (Details) - Sogou [Member] | Sep. 30, 2016shares |
Ordinary Shares and Preferred Shares [Member] | |
Shareholding in Independently Listed Subsidiary [Line Items] | |
Shares, outstanding | 334,670,182 |
Sohu [Member] | Class A Ordinary Shares [Member] | |
Shareholding in Independently Listed Subsidiary [Line Items] | |
Shares, outstanding | 131,697,750 |
Shares to be purchased by Sohu management and key employees | 4,484,500 |
Photon [Member] | Series A Preferred Shares [Member] | |
Shareholding in Independently Listed Subsidiary [Line Items] | |
Shares, outstanding | 32,000,000 |
Tencent [Member] | Class A Ordinary Shares [Member] | |
Shareholding in Independently Listed Subsidiary [Line Items] | |
Shares, outstanding | 6,757,875 |
Tencent [Member] | Series B Preferred Shares [Member] | |
Shareholding in Independently Listed Subsidiary [Line Items] | |
Shares, outstanding | 65,431,579 |
Tencent [Member] | Non-voting Class B Ordinary Shares [Member] | |
Shareholding in Independently Listed Subsidiary [Line Items] | |
Shares, outstanding | 79,368,421 |
Various Employees of Sogou and Sohu [Member] | Class A Ordinary Shares [Member] | |
Shareholding in Independently Listed Subsidiary [Line Items] | |
Shares, outstanding | 19,414,557 |
Sogou Transactions (Terms of So
Sogou Transactions (Terms of Sogou Preferred Shares) (Details) - Sogou [Member] | 9 Months Ended |
Sep. 30, 2016$ / shares | |
Series A Preferred Shares [Member] | |
Restructuring Cost and Reserve [Line Items] | |
Dividend rate per annum per Preferred Share | $ 0.0375 |
Times over original sales price preferred shareholders entitled to receive in event of liquidation | 1.3 |
Preferred share conversion price | $ 0.625 |
Series A Preferred Shares [Member] | Maximum [Member] | |
Restructuring Cost and Reserve [Line Items] | |
Preferred share conversion price | 0.625 |
Series B Preferred Shares [Member] | |
Restructuring Cost and Reserve [Line Items] | |
Dividend rate per annum per Preferred Share | 0.411 |
Preferred share conversion price | 7.267 |
Series B Preferred Shares [Member] | Minimum [Member] | |
Restructuring Cost and Reserve [Line Items] | |
Liquidation Preference Price | 6.847 |
Series B Preferred Shares [Member] | Maximum [Member] | |
Restructuring Cost and Reserve [Line Items] | |
Preferred share conversion price | $ 7.267 |
Noncontrolling Interest (Narrat
Noncontrolling Interest (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | Dec. 31, 2015 | |
Noncontrolling Interest [Line Items] | |||||
Noncontrolling interest in consolidated balance sheets | $ 547,639 | $ 547,639 | $ 489,730 | ||
Net income attributable to noncontrolling interest in consolidated statements of comprehensive income | 32,775 | $ 42,142 | 80,238 | $ 107,345 | |
Sogou [Member] | |||||
Noncontrolling Interest [Line Items] | |||||
Noncontrolling interest in consolidated balance sheets | 150,393 | 150,393 | 125,314 | ||
Net income attributable to noncontrolling interest in consolidated statements of comprehensive income | 20,283 | 35,930 | 46,383 | 74,212 | |
Changyou [Member] | |||||
Noncontrolling Interest [Line Items] | |||||
Noncontrolling interest in consolidated balance sheets | $ 397,246 | $ 397,246 | $ 364,416 | ||
Percentage of noncontrolling interest recognized in consolidated balance sheets | 31.00% | 31.00% | 32.00% | ||
Net income attributable to noncontrolling interest in consolidated statements of comprehensive income | $ 12,492 | $ 6,212 | $ 33,855 | $ 33,133 | |
Percentage of net income attributable to noncontrolling interest recognized in consolidated statements of comprehensive income | 31.00% | 31.00% |
Noncontrolling Interest (Noncon
Noncontrolling Interest (Noncontrolling Interest in Consolidated Balance Sheets) (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Noncontrolling Interest [Line Items] | ||
Noncontrolling interest in consolidated balance sheets | $ 547,639 | $ 489,730 |
Sogou [Member] | ||
Noncontrolling Interest [Line Items] | ||
Noncontrolling interest in consolidated balance sheets | 150,393 | 125,314 |
Changyou [Member] | ||
Noncontrolling Interest [Line Items] | ||
Noncontrolling interest in consolidated balance sheets | $ 397,246 | $ 364,416 |
Noncontrolling Interest (Nonc78
Noncontrolling Interest (Noncontrolling Interest in Consolidated Statements of Comprehensive Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Noncontrolling Interest [Line Items] | ||||
Net income attributable to noncontrolling interest in consolidated statements of comprehensive income | $ 32,775 | $ 42,142 | $ 80,238 | $ 107,345 |
Sogou [Member] | ||||
Noncontrolling Interest [Line Items] | ||||
Net income attributable to noncontrolling interest in consolidated statements of comprehensive income | 20,283 | 35,930 | 46,383 | 74,212 |
Changyou [Member] | ||||
Noncontrolling Interest [Line Items] | ||||
Net income attributable to noncontrolling interest in consolidated statements of comprehensive income | $ 12,492 | $ 6,212 | $ 33,855 | $ 33,133 |
Net Income _(Loss) per Share (N
Net Income /(Loss) per Share (Narrative) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Sogou [Member] | ||||
Schedule of Calculation of Numerator and Denominator in Earnings Per Share [Line Items] | ||||
Incremental dilution | $ 0 | $ 0 | $ 0 | $ 0 |
Potential common shares issuable upon exercise or settlement of share-based awards [Member] | ||||
Schedule of Calculation of Numerator and Denominator in Earnings Per Share [Line Items] | ||||
Anti-dilutive potential common shares | 214,000 | 241,000 | ||
Potential common shares issuable upon exercise or settlement of share-based awards [Member] | Sogou [Member] | ||||
Schedule of Calculation of Numerator and Denominator in Earnings Per Share [Line Items] | ||||
Incremental dilution | $ 0 | $ 0 |
Net Income _(Loss) per Share (C
Net Income /(Loss) per Share (Calculation of Sohu Group's Basic and Diluted Net Income /(Loss) per Share) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Numerator: | ||||
Net income /(loss) attributable to Sohu.com Inc., basic (after subtracting the deemed dividend to noncontrolling Sogou Series A Preferred shareholders) | $ (74,814) | $ 39,121 | $ (158,124) | $ (19,198) |
Effect of dilutive securities: | ||||
Net income /(loss) attributable to Sohu.com Inc., diluted | $ (75,286) | $ 38,797 | $ (159,249) | $ (20,082) |
Denominator: | ||||
Weighted average basic common shares outstanding | 38,728 | 38,633 | 38,695 | 38,582 |
Effect of dilutive securities: | ||||
Share options and restricted share units | 0 | 32 | 0 | 0 |
Weighted average diluted common shares outstanding | 38,728 | 38,665 | 38,695 | 38,582 |
Basic net income /(loss) per share attributable to Sohu.com Inc. | $ (1.93) | $ 1.01 | $ (4.09) | $ (0.50) |
Diluted net income /(loss) per share attributable to Sohu.com Inc. | $ (1.94) | $ 1 | $ (4.12) | $ (0.52) |
Sogou [Member] | ||||
Effect of dilutive securities: | ||||
Incremental dilution | $ 0 | $ 0 | $ 0 | $ 0 |
Changyou [Member] | ||||
Effect of dilutive securities: | ||||
Incremental dilution | $ (472) | $ (324) | $ (1,125) | $ (884) |
Subsequent Event (Details)
Subsequent Event (Details) - Subsequent Event [Member] - Sohu Media [Member] - AmazGame [Member] - Loan Agreement [Member] $ in Thousands, ¥ in Billions | Oct. 24, 2016USD ($) | Oct. 24, 2016CNY (¥) |
Subsequent Event [Line Items] | ||
Loans borrowed from AmazGame | $ 148,640 | ¥ 1 |
Annual interest rate | 6.00% | 6.00% |