Cover Page
Cover Page | 6 Months Ended |
Jun. 30, 2022 | |
Document Information [Line Items] | |
Document Type | 6-K |
Amendment Flag | false |
Document Period End Date | Jun. 30, 2022 |
Entity Registrant Name | Aurora Mobile Limited |
Entity Central Index Key | 0001737339 |
Current Fiscal Year End Date | --12-31 |
UNAUDITED INTERIM CONDENSED CON
UNAUDITED INTERIM CONDENSED CONSOLIDATED BALANCE SHEETS ¥ in Thousands, $ in Thousands | Jun. 30, 2022 CNY (¥) | Jun. 30, 2022 USD ($) | Dec. 31, 2021 CNY (¥) |
Current assets: | |||
Cash and cash equivalents | ¥ 91,844 | $ 13,712 | ¥ 90,552 |
Restricted cash | 137 | 20 | 164,030 |
Derivative assets | 3 | 5,989 | |
Short-term investments | 20,000 | 2,986 | 30,000 |
Accounts receivable, net of allowances of RMB37,690 and RMB26,590 (US$3,970) as of December 31, 2021 and June 30, 2022, respectively | 35,138 | 5,246 | 43,860 |
Prepayments and other current assets | 34,238 | 5,112 | 46,670 |
Amounts due from related parties | 35 | ||
Total current assets | 181,360 | 27,076 | 381,136 |
Non-current assets: | |||
Property and equipment, net | 49,267 | 7,355 | 62,179 |
Intangible assets, net | 26,809 | 4,002 | 5,398 |
Long-term investments | 140,015 | 20,904 | 141,926 |
Goodwill | 37,785 | 5,641 | |
Other non-current assets | 13,476 | 2,012 | 4,898 |
Total non-current assets | 267,352 | 39,914 | 214,401 |
Total assets | 448,712 | 66,990 | 595,537 |
Current liabilities: | |||
Short-term loan | 150,000 | ||
Accounts payable (including accounts payable of the variable interest entity ("VIE") without recourse to the Company of RMB17,529 and RMB18,214 (US$2,719) as of December 31, 2021 and June 30, 2022, respectively) | 19,190 | 2,865 | 18,292 |
Deferred revenue and customer deposits (including deferred revenue and customer deposits of the VIE without recourse to the Company of RMB115,900 and RMB124,462 (US$18,582) as of December 31, 2021 and June 30, 2022, respectively) | 129,720 | 19,367 | 119,991 |
Accrued liabilities and other current liabilities (including accrued liabilities and other current liabilities of the VIE without recourse to the Company of RMB64,527 and RMB64,642 (US$9,651) as of December 31, 2021 and June 30, 2022, respectively) | 78,240 | 11,681 | 85,305 |
Amounts due to related parties (including amount due to related parties of the VIE without recourse to the Company of RMB54 and RMB66 (US$10) as of December 31, 2021 and June 30, 2022, respectively) | 66 | 10 | 54 |
Total current liabilities | 227,216 | 33,923 | 373,642 |
Non-current liabilities: | |||
Other non-current liabilities (including other non-current liabilities of the VIE without recourse to the Company of RMB560 and RMB511 (US$75) as of December 31, 2021 and June 30, 2022, respectively) | 2,734 | 408 | 2,607 |
Deferred revenue (including non-current deferred revenue of the VIE without recourse to the Company of RMB569 and RMB5,677 (US$848) as of December 31, 2021 and June 30, 2022, respectively) | 8,027 | 1,198 | 3,845 |
Deferred tax liabilities (including non-current deferred tax liabilities of the VIE without recourse to the Company of nil and RMB5,097 (US$761) as of December 31, 2021 and June 30, 2022, respectively) | 5,097 | 761 | |
Total non-current liabilities | 15,858 | 2,367 | 6,452 |
Total liabilities | 243,074 | 36,290 | 380,094 |
Commitments and contingencies | |||
Redeemable noncontrolling interests | 31,582 | 4,715 | 0 |
Shareholders' equity | |||
Additional paid-in capital | 1,029,970 | 153,770 | 1,021,961 |
Accumulated deficit | (872,242) | (130,222) | (819,018) |
Accumulated other comprehensive income | 16,279 | 2,430 | 12,451 |
Total shareholders' equity | 174,056 | 25,985 | 215,443 |
Total liabilities, redeemable noncontrolling interests and shareholders' equity | 448,712 | 66,990 | 595,537 |
Class A Common Shares | |||
Shareholders' equity | |||
Common shares | 38 | 6 | 38 |
Class B Common Shares | |||
Shareholders' equity | |||
Common shares | ¥ 11 | $ 1 | ¥ 11 |
UNAUDITED INTERIM CONDENSED C_2
UNAUDITED INTERIM CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) ¥ in Thousands, $ in Thousands | Jun. 30, 2022 CNY (¥) shares | Jun. 30, 2022 USD ($) $ / shares shares | Dec. 31, 2021 CNY (¥) shares | Dec. 31, 2021 $ / shares |
Allowance For Doubtful Accounts And Financing Receivable Current | ¥ 26,590 | $ 3,970 | ¥ 37,690 | |
Accounts payable | 19,190 | 2,865 | 18,292 | |
Deferred revenue and customer deposits | 85,481 | 12,762 | 80,405 | |
Accrued liabilities and other current liabilities | 78,240 | 11,681 | 85,305 | |
Amount due to related parties | 66 | 10 | 54 | |
Other non-current liabilities | 2,734 | 408 | 2,607 | |
Deferred revenue | ¥ 8,027 | $ 1,198 | ¥ 3,845 | |
Class A Common Shares | ||||
Common shares, par value per share | $ / shares | $ 0.0001 | $ 0.0001 | ||
Common shares, shares authorized | 4,920,000,000 | 4,920,000,000 | 4,920,000,000 | |
Common shares, shares issued | 62,215,467 | 62,215,467 | 62,036,273 | |
Common shares, shares outstanding | 62,215,467 | 62,215,467 | 62,036,273 | |
Class B Common Shares | ||||
Common shares, par value per share | $ / shares | $ 0.0001 | $ 0.0001 | ||
Common shares, shares authorized | 30,000,000 | 30,000,000 | 30,000,000 | |
Common shares, shares issued | 17,000,189 | 17,000,189 | 17,000,189 | |
Common shares, shares outstanding | 17,000,189 | 17,000,189 | 17,000,189 | |
VIE | ||||
Accounts payable | ¥ 18,214 | $ 2,719 | ¥ 17,529 | |
Deferred revenue and customer deposits | 124,462 | 18,582 | 115,900 | |
Accrued liabilities and other current liabilities | 64,642 | 9,651 | 64,527 | |
Amount due to related parties | 66 | 10 | 54 | |
Other non-current liabilities | 511 | 75 | 560 | |
Deferred revenue | 5,677 | 848 | 569 | |
Deferred tax liabilities | ¥ 5,097 | $ 761 | ¥ 0 |
UNAUDITED INTERIM CONDENSED C_3
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS ¥ in Thousands, $ in Thousands | 6 Months Ended | ||
Jun. 30, 2022 CNY (¥) ¥ / shares shares | Jun. 30, 2022 USD ($) $ / shares shares | Jun. 30, 2021 CNY (¥) ¥ / shares shares | |
Revenues (including related party amounts of nil, and RMB50 (US$7) for the six months ended June 30, 2021 and 2022, respectively) | ¥ 161,477 | $ 24,108 | ¥ 165,609 |
Cost of revenues | (49,501) | (7,390) | (40,088) |
Gross profit | 111,976 | 16,718 | 125,521 |
Operating expenses | |||
Research and development | (80,772) | (12,059) | (106,219) |
Sales and marketing | (49,609) | (7,406) | (53,904) |
General and administrative | (51,797) | (7,734) | (46,692) |
Total operating expenses | (182,178) | (27,199) | (206,815) |
Loss from operations | (70,202) | (10,481) | (81,294) |
Foreign exchange loss | (3,264) | (488) | (1,504) |
Interest income | 1,639 | 245 | 3,330 |
Interest expense | (2,621) | (391) | (4,978) |
Other income, net | 18,531 | 2,767 | 13,098 |
Change in fair value of structured deposits | ¥ | 3 | 20 | |
Change in fair value of foreign currency swap contract | 764 | 114 | 1,905 |
Loss before income taxes | (55,150) | (8,234) | (69,423) |
Income tax expense | (135) | (20) | (11) |
Net loss | (55,285) | (8,254) | (69,434) |
Less: net loss attributable to redeemable noncontrolling interests | (2,061) | (308) | |
Net loss attributable to Aurora Mobile Limited's shareholders | (53,224) | (7,946) | (69,434) |
Net loss attributable to common shareholders | (53,224) | (7,946) | (69,434) |
Other comprehensive income | |||
Foreign currency translation adjustments | 3,828 | 572 | 654 |
Total other comprehensive income, net of tax | 3,828 | 572 | 654 |
Total comprehensive loss | (51,457) | (7,682) | (68,780) |
Less: comprehensive loss attributable to redeemable noncontrolling interests | (2,061) | (308) | |
Comprehensive loss attributable to Aurora Mobile Limited's shareholders | (49,396) | (7,374) | (68,780) |
Class A Common Shares | |||
Operating expenses | |||
Net loss attributable to common shareholders | ¥ (41,785) | $ (6,238) | ¥ (54,429) |
Net loss per share for class A and class B common shares: | |||
Common Shares — basic | (per share) | ¥ (0.67) | $ (0.1) | ¥ (0.88) |
Common Shares — diluted | (per share) | ¥ (0.67) | $ (0.1) | ¥ (0.88) |
Shares used in net loss per share computation: | |||
Common Shares — basic | 62,098,973 | 62,098,973 | 61,668,577 |
Common Shares — diluted | 62,098,973 | 62,098,973 | 61,668,577 |
Class B Common Shares | |||
Operating expenses | |||
Net loss attributable to common shareholders | ¥ (11,439) | $ (1,708) | ¥ (15,005) |
Net loss per share for class A and class B common shares: | |||
Common Shares — basic | (per share) | ¥ (0.67) | $ (0.1) | ¥ (0.88) |
Common Shares — diluted | (per share) | ¥ (0.67) | $ (0.1) | ¥ (0.88) |
Shares used in net loss per share computation: | |||
Common Shares — basic | 17,000,189 | 17,000,189 | 17,000,189 |
Common Shares — diluted | 17,000,189 | 17,000,189 | 17,000,189 |
UNAUDITED INTERIM CONDENSED C_4
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (Parenthetical) ¥ in Thousands, $ in Thousands | 6 Months Ended | ||
Jun. 30, 2022 CNY (¥) | Jun. 30, 2022 USD ($) | Jun. 30, 2021 CNY (¥) | |
Statement of Comprehensive Income [Abstract] | |||
Revenues - related parties | ¥ 50 | $ 7 | ¥ 0 |
UNAUDITED INTERIM CONDENSED C_5
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY ¥ in Thousands, $ in Thousands | CNY (¥) | USD ($) | Common Stock CNY (¥) shares | Common Stock USD ($) shares | Additional Paid-in Capital CNY (¥) | Additional Paid-in Capital USD ($) | Accumulated Other Comprehensive Income CNY (¥) | Accumulated Other Comprehensive Income USD ($) | Accumulated Deficit CNY (¥) | Accumulated Deficit USD ($) |
Balance at Dec. 31, 2020 | ¥ 321,239 | ¥ 48 | ¥ 988,812 | ¥ 10,813 | ¥ (678,434) | |||||
Balance, Shares at Dec. 31, 2020 | shares | 78,392,359 | 78,392,359 | ||||||||
Net loss | (69,434) | (69,434) | ||||||||
Translation adjustments | 654 | 654 | ||||||||
Exercise and vesting of share-based awards | 2,884 | ¥ 1 | 2,883 | |||||||
Exercise and vesting of share-based awards , shares | shares | 490,681 | 490,681 | ||||||||
Share-based compensation | 19,036 | 19,036 | ||||||||
Balance at Jun. 30, 2021 | 274,379 | ¥ 49 | 1,010,731 | 11,467 | (747,868) | |||||
Balance, Shares at Jun. 30, 2021 | shares | 78,883,040 | 78,883,040 | ||||||||
Balance at Dec. 31, 2021 | 215,443 | ¥ 49 | 1,021,961 | 12,451 | (819,018) | |||||
Balance, Shares at Dec. 31, 2021 | shares | 79,036,462 | 79,036,462 | ||||||||
Net loss | (53,224) | $ (7,946) | (53,224) | |||||||
Translation adjustments | 3,828 | 3,828 | ||||||||
Exercise and vesting of share-based awards | 71 | 71 | ||||||||
Exercise and vesting of share-based awards , shares | shares | 179,194 | 179,194 | ||||||||
Share-based compensation | 10,184 | 10,184 | ||||||||
Adjustment of redeemable noncontrolling interests to redemption value | (2,246) | (2,246) | ||||||||
Balance at Jun. 30, 2022 | ¥ 174,056 | $ 25,985 | ¥ 49 | $ 7 | ¥ 1,029,970 | $ 153,770 | ¥ 16,279 | $ 2,430 | ¥ (872,242) | $ (130,222) |
Balance, Shares at Jun. 30, 2022 | shares | 79,215,656 | 79,215,656 |
UNAUDITED INTERIM CONDENSED C_6
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS ¥ in Thousands, $ in Thousands | 6 Months Ended | ||
Jun. 30, 2022 CNY (¥) | Jun. 30, 2022 USD ($) | Jun. 30, 2021 CNY (¥) | |
Cash flows from operating activities: | |||
Net loss | ¥ (55,285) | $ (8,254) | ¥ (69,434) |
Adjustments to reconcile net loss to net cash used in operating activities: | |||
Depreciation of property and equipment | 12,986 | 1,939 | 13,406 |
Amortization of intangible assets | 2,747 | 410 | 2,190 |
Allowance for doubtful accounts | 2,474 | 369 | 221 |
Interest expenses, net | 839 | 125 | 2,706 |
(Gain)/loss on disposal of property and equipment | 1 | (814) | |
Deferred tax benefits | (208) | (31) | |
Change in fair value of structured deposits | (3) | (20) | |
Change in fair value of foreign currency swap contract | (764) | (114) | (1,905) |
Share-based compensation expenses | 10,184 | 1,520 | 19,036 |
Impairment of long-term investment | 6,350 | 948 | |
Impairment of loans granted to other companies | 666 | 99 | |
Changes in operating assets and liabilities: | |||
Accounts receivable | 7,538 | 1,125 | 6,524 |
Prepayments and other current assets | 15,725 | 2,349 | 4,885 |
Amounts due from related parties | 35 | 5 | |
Derivative assets | 7,037 | 1,051 | |
Other non-current assets | (252) | (38) | (291) |
Accounts payable | (42) | (6) | (2,934) |
Deferred revenue and customer deposits | 7,382 | 1,102 | (3,734) |
Tax payable | (142) | (21) | |
Accrued liabilities and other current liabilities | (27,367) | (4,086) | (17,840) |
Amounts due to related parties | 12 | 2 | |
Other non-current liabilities | 460 | 69 | 1,138 |
Net cash used in operating activities | (9,627) | (1,437) | (46,866) |
Cash flows from investing activities: | |||
Purchase of short-term investments | (21,000) | (3,135) | |
Proceeds from maturities of short-term investments | 31,000 | 4,628 | 51,229 |
Purchase of long-term investments | (2,539) | (379) | |
Investment in a convertible loan | (4,223) | ||
Proceed from disposal of long-term investments | 585 | 87 | |
Payment for acquisitions, net of cash acquired | 58 | 9 | |
Purchase of property and equipment | (392) | (59) | (16,212) |
Proceeds from disposal of property and equipment | 2,599 | ||
Purchase of intangible assets and land use right | (11,021) | (1,645) | (1,265) |
Net cash provided by/(used in) investing activities | (3,309) | (494) | 32,128 |
Cash flows from financing activities: | |||
Proceeds from issuance of common shares | 1 | ||
Redemption of convertible notes | (228,508) | ||
Proceeds from short-term bank loan | 38,000 | 5,673 | 150,000 |
Repayment of short-term loans | (188,000) | (28,068) | |
Payment for stock issuance cost | (528) | (79) | |
Proceeds from exercise of share options | 71 | 11 | 2,884 |
Net cash used in financing activities | (150,457) | (22,463) | (75,623) |
Effect of exchange rate on cash and cash equivalents and restricted cash | 792 | 118 | 1,341 |
Net decrease in cash and cash equivalents and restricted cash | (162,601) | (24,276) | (89,020) |
Cash, cash equivalents and restricted cash at the beginning of the period | 254,582 | 38,008 | 356,230 |
Cash and cash equivalents at the beginning of the period | 90,552 | 13,519 | 356,115 |
Restricted cash at the beginning of the period | 164,030 | 24,489 | 115 |
Cash, cash equivalents and restricted cash at the end of the period | 91,981 | 13,732 | 267,210 |
Cash and cash equivalents at the end of the period | 91,844 | 13,712 | 102,854 |
Restricted cash at the end of the period | 137 | 20 | 164,356 |
Supplemental disclosures of cash flow information: | |||
Interest expense paid | 2,398 | 358 | 1,196 |
Income tax paid | 296 | 44 | 34 |
Non-cash investing and financing activities: | |||
Unpaid cash consideration for business combination | ¥ 16,788 | $ 2,506 | |
Purchase of property and equipment included in accrued liabilities and other current liabilities | ¥ 2,297 |
Organization and Principal Acti
Organization and Principal Activities | 6 Months Ended |
Jun. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and Principal Activities | 1 Organization and principal activities Aurora Mobile Limited (the “Company” and where appropriate, the term “Company” also refers to its subsidiaries, variable interest entity, and subsidiaries of the variable interest entity) is a limited company incorporated in the Cayman Islands under the laws of the Cayman Islands on April 9, 2014. The Company through its subsidiaries, variable interest entity (“VIE”), and subsidiaries of the VIE are principally engaged in providing Software-as-a-Service As PRC laws and regulations prohibit and restrict foreign ownership of internet value-added businesses, the Company operates its business, primarily through the VIE. The Company, through JPush Information Consulting (Shenzhen) Co., Ltd. (“Shenzhen JPush” or “WFOE”) entered into powers of attorney and an exclusive option agreement with the nominee shareholders of the VIE, Shenzhen Hexun Huagu Information Technology Co., Ltd., that gave WFOE the power to direct the activities that most significantly affect the economic performance of the VIE and to acquire the equity interests in the VIE when permitted by the PRC laws, respectively. In addition, pursuant to the supplementary agreements signed in March 2018, the rights under the aforementioned power of attorney and the exclusive call option agreements were assigned to the board of directors of the Company (the “Board”) or any officer authorized by the Board, which entitled the Company to receive economic benefits from the VIE that potentially could be significant to the VIE. Despite the lack of technical majority ownership, the Company has effective control of the VIE through a series of VIE agreements and a parent-subsidiary relationship exists between the Company and the VIE. Through the VIE agreements and the supplementary agreements, the shareholders of the VIE effectively assigned all of their voting rights underlying their equity in the VIE to the Company. In addition, through the exclusive business operation agreement, the Company, through its WFOE in the PRC, has the right to receive economic benefits from the VIE that potentially could be significant to the VIE. Lastly, through the financial support agreement and the shareholder voting proxy agreement, the Company has the obligation to absorb losses of the VIE that could potentially be significant to the VIE. Therefore, the Company is considered the primary beneficiary of the VIE and consolidates the VIE as required by SEC Regulation S-X 3A-02 The following is a summary of the VIE agreements: Exclusive Option Agreements Pursuant to the exclusive option agreements entered into between VIE’s nominee shareholders and the WFOE, the nominee shareholders irrevocably granted the WFOE an option to request the nominee shareholders to transfer or sell any part or all of its equity interests in the VIE, or any or all of the assets of the VIE, to the WFOE, or their designees. The purchase price of the equity interests in the VIE is equal to the minimum price required by PRC law. Without the WFOE’s prior written consent, the VIE and its nominee shareholders cannot amend its articles of association, increase or decrease the registered capital, sell or otherwise dispose of its assets or beneficial interest, create or allow any encumbrance on its assets, or other beneficial interests and provide any loans or guarantees. The nominee shareholders cannot request any dividends or other form of assets. If dividends or other form of assets were distributed, the nominee shareholders are required to transfer all received distribution to the WFOE or their designees. These agreements are not terminated until all of the equity interest of the VIE is transferred to the WFOE or the person(s) designated by the WFOE. None of the nominee shareholders have the right to terminate or revoke the agreements under any circumstance unless otherwise regulated by law. Equity Interest Pledge Agreements Pursuant to the equity interest pledge agreements, each nominee shareholder of the VIE has pledged all of their respective equity interests in the VIE to WFOE as continuing first priority security interest to guarantee the performance of their and the VIE’s obligations under the powers of attorney agreement, the exclusive option agreement and the exclusive business cooperation agreement. WFOE is entitled to all dividends during the effective period of the share pledge except as it agrees otherwise in writing. If VIE or any of the nominee shareholder breaches its contractual obligations, WFOE will be entitled to certain rights regarding the pledged equity interests, including receiving proceeds from the auction or sale of all or part of the pledged equity interests of VIE in accordance with PRC law. None of the nominee shareholders shall, without the prior written consent of WFOE, assign or transfer to any third party, distribute dividends and create or cause any security interest and any liability in whatsoever form to be created on, all or any part of the equity interests it holds in the VIE. This agreement is not terminated until all of the technical support and consulting and service fees have been fully paid under the exclusive business cooperation agreement and all of VIE’s obligations have been terminated under the other controlling agreements. On December 16, 2014, the Company registered the equity pledge with the relevant office of the administration for industry and commerce in accordance with the PRC Property Rights Law. Exclusive Business Cooperation Agreement Pursuant to the exclusive business cooperation agreement entered into by WFOE and VIE, WFOE provides exclusive technical support and consulting services in return for an annual service fee based on a certain percentage of the VIE’s audited total operating income, which is adjustable at the sole discretion of WFOE. Without WFOE’s consent, the VIE cannot procure services from any third party or enter into similar service arrangements with any other third party, except for those from WFOE. In addition, the profitable consolidated VIE has granted WFOE an exclusive right to purchase any or all of the business or assets of each of the profitable consolidated VIE at the lowest price permitted under PRC law. This agreement is irrevocable or can only be unilaterally revoked/amended by WFOE. Powers of Attorney Pursuant to the powers of attorney signed between VIE’s nominee shareholders and WFOE, each nominee shareholder irrevocably appointed WFOE as its attorney-in-fact to In March 2018, the following supplementary agreements were entered into: Financial Support Agreement Pursuant to the financial support undertaking letter dated March 28, 2018, the Company is obligated to provide unlimited financial support to the VIE, to the extent permissible under the applicable PRC laws and regulations. The Company will not request repayment of the loans or borrowings if the VIE or its shareholders do not have sufficient funds or are unable to repay. Shareholder Voting Proxy Agreement The Nominee Shareholders also re-signed Accordingly, as a result of the power to direct the activities of the VIE pursuant to the powers of attorney agreement and the obligation to absorb the expected losses of VIE through the unlimited financial support, the Company is the primary beneficiary of the VIE. On July 26, 2022, the previous nominee shareholders Xiaodao Wang and Jiawen Fang transferred their entire equity interests in the VIE to Guangyan Chen (the “Transfer of Shares”). After the Transfer of Shares, the VIE is held as to 80% by Weidong Luo and 20% by Guangyan Chen. On July 26, 2022, the registration of this transfer with the local branch of the State Administration of Industry and Commerce (the “SAIC”) was completed. In the opinion of the Company’s legal counsel, (i) the ownership structure of the PRC subsidiary and the VIE are in compliance with the existing PRC laws and regulations; (ii) each of the VIE agreements is valid, binding and enforceable in accordance with its terms and applicable PRC laws or regulations and will not violate applicable PRC laws or regulations in effect; and (iii) are valid in accordance with the articles of association of the Company. However, uncertainties in the PRC legal system could cause the Company’s current ownership structure to be found in violation of existing and/or future PRC laws or regulations and could limit the Company’s ability to enforce its rights under these contractual arrangements. Furthermore, the nominee shareholders of the VIE may have interests that are different than those of the Company, which could potentially increase the risk that they would seek to act contrary to the terms of the contractual agreements with the VIE. In addition, if the current structure or any of the contractual arrangements is found to be in violation of any existing or future PRC laws or regulations, the Company could be subject to penalties, which could include, but not be limited to, revocation of business and operating licenses, discontinuing or restricting business operations, restricting the Company’s right to collect revenues, temporary or permanent blocking of the Company’s internet platforms, restructuring of the Company’s operations, imposition of additional conditions or requirements with which the Company may not be able to comply, or other regulatory or enforcement actions against the Company that could be harmful to its business. The imposition of any of these or other penalties could have a material adverse effect on the Company’s ability to conduct its business. The following table set forth the assets and liabilities of the VIE and its subsidiaries included in the Company’s consolidated balance sheets: As of December 31, June 30, 2022 RMB RMB US$ ASSETS: Current assets: Cash and cash equivalents 55,946 49,308 7,361 Restricted cash 158,032 137 20 Derivative assets — 3 — Short-term investments 30,000 20,000 2,986 Accounts receivable, net 43,415 34,232 5,111 Prepayments and other current assets 37,807 27,277 4,073 Amounts due from the Company and its subsidiaries 69,405 270,407 40,371 Amounts due from related parties 35 — — Total current assets 394,640 401,364 59,922 Non-current Property and equipment, net 45,068 37,371 5,579 Intangible assets, net 5,398 26,809 4,002 Goodwill — 37,785 5,641 Long-term investments 90,618 90,033 13,442 Other-non 3,298 12,514 1,869 Total non-current 144,382 204,512 30,533 Total assets 539,022 605,876 90,455 LIABILITIES: Current liabilities: Accounts payable 17,529 18,214 2,719 Deferred revenue and customer deposits 115,900 124,462 18,582 Accrued liabilities and other current liabilities 64,527 64,642 9,651 Amounts due to the Company and its subsidiaries 389,063 431,716 64,454 Amounts due to related parties 54 66 10 Total current liabilities 587,073 639,100 95,416 Non-current Amounts due to the Company and its subsidiaries 277,000 277,000 41,355 Deferred revenue 569 5,677 848 Deferred tax liabilities — 5,097 761 Other non-current 560 511 75 Total non-current 278,129 288,285 43,039 Total liabilities 865,202 927,385 138,455 The table sets forth the results of operations and cash flows of the VIE and its subsidiaries included in the Company’s consolidated statements of comprehensive loss and cash flows. For the six months ended June 30, 2021 2022 RMB RMB US$ Revenues 162,605 156,317 23,338 Cost of revenues (34,489 ) (47,380 ) (7,074 ) Net loss (41,793 ) (35,265 ) (5,265 ) Net cash provided by/(used in) operating activities 19,773 (113,930 ) (17,009 ) Net cash provided by/(used in) investing activities 5,768 (603 ) (90 ) Net cash provided by/(used in) financing activities 80,000 (50,000 ) (7,465 ) As of December 31, 2021, RMB157,900 of the restricted cash balance represents deposits held as collateral for the Company’s short-term loan with Shanghai Pudong Development Bank. There were no pledges or collateralization of the VIE’s assets as of June 30, 2022. The amount of net liabilities of the VIE was RMB326,180 and RMB321,509 (US$48,000) as of December 31, 2021 and June 30 2022, respectively. Creditors of the VIE have no recourse to the general credit of the primary beneficiary of the VIE, and such amounts have been parenthetically presented on the face of the consolidated balance sheets. The VIE holds certain assets, including data servers and related equipment for use in their operations. The VIE does not own any facilities except for the rental of certain office premises and data centers from third parties under operating lease arrangements. The VIE also holds certain value-added technology licenses, registered copyrights, trademarks and registered domain names, including the official website, which are also considered as revenue-producing assets. However, none of such assets was recorded on the Company’s consolidated balance sheets as such assets were all internally developed and expensed as incurred as they did not meet the capitalization criteria. The Company has not provided any financial or other support that it was not previously contractually required to provide to the VIE during the periods presented. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2 Summary of Significant Accounting Policies Basis of presentation The accompanying unaudited interim condensed consolidated financial statements of the Company have been prepared in accordance with the accounting principles generally accepted in the United States of America (“U.S. GAAP”) and applicable rules and regulations of the Securities and Exchange Commission regarding financial reporting that are consistent with those used in the preparation of the Company’s audited consolidated financial statements for the year ended December 31, 2020 and 2021. As permitted under those rules, certain footnotes or other financial information that are normally required by GAAP have been condensed or omitted. Accordingly, these unaudited interim condensed consolidated financial statements do not include all of the information and footnotes required by U.S. GAAP for annual financial statements. In the opinion of the Company’s management, the accompanying unaudited interim condensed consolidated financial statements contain all normal recurring adjustments necessary to present fairly the financial position, operating results and cash flows of the Company for each of the periods presented. The results of operations for the six months ended June 30, 2022 are not necessarily indicative of results to be expected for any other interim period or for the full year of 2022. The consolidated balance sheet as of December 31, 2021 was derived from the audited consolidated financial statements at that date but does not include all of the disclosures required by U.S. GAAP for annual financial statements. These unaudited interim condensed consolidated financial statements should be read in conjunction with the Company’s consolidated financial statements for the year ended December 31, 2021. Principles of consolidation The unaudited interim condensed consolidated financial statements include the accounts of the Company, its subsidiaries, and the VIE. All significant intercompany transactions and balances have been eliminated in consolidation. Use of estimates The preparation of the Company’s unaudited interim condensed consolidated financial statements in conformity with U.S. GAAP requires the use of estimates and judgments that affect the reported amounts in the unaudited interim condensed consolidated financial statements and accompanying notes. These estimates form the basis for judgments that management make about the carrying values of assets and liabilities, which are not readily apparent from other sources. Management base their estimates and judgments on historical information and on various other assumptions that they believe are reasonable under the circumstances. U.S. GAAP requires management to make estimates and judgments in several areas, including, but not limited to, those related to allowance for doubtful accounts, useful lives of property and equipment and intangible assets, the purchase price allocation and fair value of intangible assets, fair value of redeemable noncontrolling interests, impairment of goodwill, impairment of long-lived assets, fair value measurements and impairment of equity investments without readily determinable fair value, impairment of loans receivables, including due from related parties, valuation allowance for deferred tax assets, uncertain tax position, fair value change of derivative assets and share-based compensation. These estimates are based on management’s knowledge about current events and expectations about actions that the Company may undertake in the future. Actual results could differ from those estimates. Convenience translation T Business Combinations The Company applies the definition of a business in ASC 805, Business Combinations The Company accounts for its business combinations by recognizing in the financial statements the identifiable assets acquired, the liabilities assumed and any noncontrolling interests in the acquiree at fair value at the acquisition date. The determination and allocation of fair values to the identifiable assets acquired, liabilities assumed and redeemable noncontrolling interests is based on various assumptions and valuation methodologies requiring considerable judgment from management. The most significant variables in these valuations are discount rates, the number of years on which to base the cash flow projections, as well as the assumptions and estimates used to determine the cash inflows and outflows. The Company determines discount rates to be used based on the risk inherent in the related activity’s current business model and industry comparisons. The excess of (i) the total of cost of acquisition, the fair value of the noncontrolling interests and the acquisition date fair value of any previously held equity interest in the acquiree over (ii) the fair value of the identifiable net tangible and intangible assets of the acquiree is recorded as goodwill. In addition, acquisition costs related to business combinations are expensed as incurred. The Company records acquired intangible assets at fair value on the date of acquisition and amortizes such assets using the straight-line method over the expected useful life of the asset unless another amortization method is deemed to be more appropriate. The Company evaluates the remaining useful life of intangible assets on a periodic basis to determine whether events and circumstances warrant a revision to the remaining useful life. If the estimate of an intangible asset’s remaining useful life is changed, the Company will amortize the remaining carrying value of the intangible asset prospectively over the revised remaining useful life. Consolidation of Noncontrolling Interests A noncontrolling interest is recognized to reflect the portion of a subsidiary’s equity which is not attributable, directly or indirectly, to the Company. Consolidated net loss on the unaudited interim condensed consolidated statements of operations and comprehensive loss includes the net loss attributable to noncontrolling interests when applicable. Cash flows related to transactions with noncontrolling interests are presented under financing activities in the unaudited interim condensed consolidated statements of cash flows when applicable. Redeemable Noncontrolling Interests Noncontrolling interests in subsidiaries that are redeemable by such shareholders upon the occurrence of certain events that are not solely within the control of the Company are classified as redeemable noncontrolling interests, within mezzanine equity in the unaudited interim condensed consolidated balance sheet. Net income or loss of the subsidiary attributable to the redeemable noncontrolling interests was subsequently recorded pursuant to ASC 810, Consolidation. After the attribution, the Company considers the provisions of ASC 480, Distinguish Liabilities from Equity (“ASC 480”) to determine whether any further adjustments are necessary to increase the carrying value of the redeemable noncontrolling interests. Adjustments to the carrying amount of the redeemable noncontrolling interests are recognized as an adjustment to retained earnings, or in the absence of retained earnings, by adjustment to additional paid-in-capital. Goodwill Goodwill is initially measured at cost, being the excess of the aggregate of the consideration transferred and the amount recognized for noncontrolling interests over the identifiable assets acquired and liabilities assumed. After initial recognition, goodwill is measured at cost less any accumulated impairment losses. Goodwill is tested for impairment annually or more frequently if events or changes in circumstances indicate that the carrying value may be impaired. The Company will perform its annual impairment test of goodwill during the fourth quarter. Goodwill is evaluated for impairment by first performing a qualitative assessment to determine whether a quantitative goodwill test is necessary. Goodwill, which is nondeductible for tax purposes, is primarily attributable to the synergies expected to be achieved from the acquisition. Intangible assets Intangible assets with finite lives are carried at cost less accumulated amortization. Intangible assets represent computer software, systems and technology, brand and customer relationship acquired in a business combination. The cost of the brand and customer relationship is the fair value at the date of acquisition. All intangible assets with finite lives are amortized using the straight-line method over the estimated economic lives, which are as follows: Computer software, systems and technology 1 – 5 years Brand 10 years Customer relationship 5 years Residual values are considered nil. Revenue recognition Under ASC 606, revenues are recognized when control of the promised goods or services is transferred to customers, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services. Revenues are presented net of value-added tax collected on behalf of the government. The Company generates SAAS Businesses revenue primarily from developer services and vertical applications. For developer services, there are three types of contracts, subscription-based contracts, project-based contracts and consumption-based contracts. The Company primarily enters into subscription-based contracts with its customers to provide push notification or instant messaging (collectively “notification services”), which the Company provides its customers with access to its notification services platform. This enables customers to send notifications and messages to users. The Company generally recognizes revenue ratably over time under the subscription-based contracts as stand-ready obligations because the customer simultaneously receives and consumes the benefits as the Company provides subscription services throughout a fixed contract term. The Company uses an output method of progress based on fixed contract term as it best depicts the transfer of control to the customer. The Company primarily enters into consumption-based contracts with its customers to provide short message services (“SMS”), one-click one-click one-click one-click pre-agreed one-click For value-added services, the Company built an application (“APP”) Alliance which connects advertisers and APP developers, who are the suppliers of avenue where the ads will be displayed. The Company enters into contractual arrangements with advertisers that stipulate the types of advertising to be delivered and priced. Advertising customers pay for the value-added service primarily based on cost-per-action (“CPA”) cost-per-click The Company primarily enters into project-based contracts with its customers to provide private cloud-based developer services, which are designed to provide customizable services to customers who want a more controlled software environment and more comprehensive technology and customer support. The Company provides its customers one combined performance obligation including customized APP push notification system or instant messaging system and related system training services as both performance obligations are incapable of being distinct because the customer cannot derive economic benefit from the related system training services on its own. Meanwhile, the Company also provides post contract assurance-type maintenance services, which usually have a duration of one year. Under ASC 606, the Company recognize revenue at the point in time when the system is implemented, and the training service is provided, which is represented by the customer acceptance received by the Company. Meanwhile, the estimated cost of assurance-type maintenance services is accrued as “Costs of revenues”, which is not material. For vertical applications, the Company enters into agreements with its customers to provide data analytic solutions and there are three types of contracts, including subscription-based contracts, project-based contracts and consumption-based contracts. The Company primarily enters into subscription-based contracts with its customers to provide customizable service package for a fixed contract term, which allows the customers to subscribe a fixed number of apps to obtain unlimited volume of queries to the Company’s analytic results. The Company generally recognizes revenue ratably over time under the subscription-based contracts, because the customer simultaneously receives and consumes the benefits as the Company provides subscription services throughout a fixed contract term. The Company primarily enters into project-based contracts with its customers to provide in-depth The Company primarily enters into consumption-based contracts with its customers to process the queries or provide features based on the customers’ requirements. When the Company receives a placed order, it recognizes revenue at a point in time when the queries are processed, or the features are utilized by the customers. For certain arrangements, customers are required to pay the Company before the services are delivered. For other arrangements, the Company provides customers with a credit term under six months. Other revenue recognition related policies Timing of revenue recognition may differ from the timing of invoicing to customers. Some customers are required to pay before the services are delivered to the customer. When either party to a revenue contract has performed, the Company recognizes a contract asset or a contract liability on the unaudited interim condensed consolidated balance sheet, depending on the relationship between the Company’s performance and the customer’s payment. Contract assets represent amounts related to the Company’s rights to consideration received for private-cloud-based service and are included in “Prepayments and other assets” on the unaudited interim condensed consolidated balance sheets. Amount of contract assets was not material as of December 31, 2021 and June 30, 2022, respectively. Contract liabilities are mainly related to fees for services to be provided over the service period, which are presented in “Deferred revenue and customer deposits” on the unaudited interim condensed consolidated balance sheets. Revenue recognized for the six months ended June 30, 2022 that was included in contract liabilities as of January 1, 2022 was RMB42,182 (US$6,298). Revenue recognized for the six months ended June 30, 2021 that was included in contract liabilities as of January 1, 2021 was RMB44,405. A summary of contract liabilities is as follows: As of December 31, 2021 June 30, 2022 RMB RMB US$ Contract liabilities 80,405 85,481 12,762 Customer deposits relate to customer’s unused balances that are refundable. Once this balance is utilized by the customer, the corresponding amount would be recognized as revenue. As of June 30, 2022, the Company’s unsatisfied (or partially unsatisfied) performance obligations in contracts with its customers was RMB31,562 (US$4,712). The Company expects to recognize the majority of its remaining performance obligations as revenue within the next year. Costs of revenues Cost of revenues consists primarily of channel cost associated with JG Alliance, bandwidth cost, staff costs and depreciation of servers used for revenue generating services. Fair value measurements The carrying amounts of financial assets and liabilities, such as cash equivalents, restricted cash, accounts receivable, other receivables within prepayments and other current assets, balances with related parties, accounts payable, and other payables with accrued liabilities and other current liabilities, approximate their fair values because of the short maturity of these instruments. Concentration of risks Concentration of credit risk Financial assets that potentially expose the Company to concentrations of credit risk consist primarily of cash and cash equivalents, restricted cash, derivative assets, other receivables within prepayments and other current assets, short-term investments and accounts receivable. The Company places its cash and cash equivalents with reputable financial institutions which have high-credit ratings. As of December 31, 2021 and June 30, 2022, the aggregate amount of cash and cash equivalents, derivative assets, short-term investments and restricted cash of RMB276,644 and RMB102,450 (US$15,295), respectively, were held at major financial institutions located in the PRC, and US$2,186 and US$1,423 (RMB9,534), respectively, were deposited with major financial institutions located outside the PRC. There has been no recent history of default related to these financial institutions. The Company continues to monitor the financial strength of the financial institutions. The Company manages credit risk of accounts receivable through ongoing monitoring of the outstanding balances. Concentration of suppliers Approximately 49.2% and 38.2% of advertising costs were paid to three suppliers for the six months ended June 30, 2021 and 2022, respectively. Foreign currency exchange rate risk The functional currency and the reporting currency of the Company are the US$ and the RMB, respectively. On June 19, 2010, the PBOC announced the end of the RMB’s de facto peg to the US$, a policy which was instituted in late 2008 in the face of the global financial crisis, to further reform the RMB exchange rate regime and to enhance the RMB’s exchange rate flexibility. On March 15, 2014, the People’s Bank of China announced the widening of the daily trading band for RMB against US$. The appreciation of the US$ against RMB was approximately 5.11% for the six months ended June 30, 2022. Most of the Company’s revenues and costs are denominated in RMB, while a portion of cash and cash equivalents, derivative assets, accounts receivable, and accounts payable are denominated in US$. Any significant revaluation of RMB may materially and adversely affect the Company’s consolidated revenues, earnings and financial position in US$. Impact of COVID-19 During the six months ended June 30, 2022, revenues declined compared to the prior period partly due to weakness in demand as its customers in certain industries were negatively impacted by COVID-19. There are still uncertainties of COVID-19’s COVID-19 receivable COVID-19 COVID-19 |
Accounts receivable, net
Accounts receivable, net | 6 Months Ended |
Jun. 30, 2022 | |
Receivables [Abstract] | |
Accounts receivable, net | 3 Accounts receivable, net As of December 31, 2021 June 30, 2022 RMB RMB US$ Accounts receivable 81,550 61,728 9,216 Less: allowance for doubtful accounts (37,690 ) (26,590 ) (3,970 ) Total accounts receivable, net 43,860 35,138 5,246 The following table presents the movement in the allowance for doubtful accounts: As of December 31, 2021 June 30, 2022 RMB RMB US$ Balance at beginning of the period 43,820 37,690 5,627 Provisions/(reversals) (246 ) 1,669 249 Write-offs (5,884 ) (12,769 ) (1,906 ) Balance at end of the period 37,690 26,590 3,970 |
Prepayments and other current a
Prepayments and other current assets | 6 Months Ended |
Jun. 30, 2022 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Prepayments and other current assets | 4 Prepayments and other current assets Prepayments and other current assets consist of the following: As of December 31, June 30, 2022 RMB RMB US$ Receivables on behalf of third party advertising companies (i ) 12,599 4,902 732 Prepaid service fee 11,410 9,907 1,479 VAT and other surcharges 5,618 3,725 556 Investment in a convertible loan 4,221 4,463 666 Loans granted to equity investees (ii ) 3,000 5,000 746 Office rental deposit 919 926 138 Prepaid media cost 551 1,635 244 Receivables from sales of shares on behalf of employees 180 393 59 Others 8,172 3,287 492 Total prepayments and other current assets 46,670 34,238 5,112 (i) Starting from January 1, 2021, the Company has fully exited the Targeted Marketing business and this balance represents the receivables the Company acts as agent and collects on behalf of third party advertising companies for targeted marketing related services. (ii) For the six months ended June 30, 2021 and 2022, the Company recognized impairment charges on loans granted to equity investees of nil and RMB666 (US$99). The Company evaluates the impairment of the equity investments without readily determinable fair value along with loans the Company granted to those investees. |
Long-Term Investments
Long-Term Investments | 6 Months Ended |
Jun. 30, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Long-Term Investments | 5 Long-term investments Equity investments without readily determinable fair value As of December 31, 2021, the carrying amount of the Company’s equity investments was RMB141,926, net of RMB63,902 in accumulated impairment. As of June 30, 2022, the carrying amount of the Company’s equity investments was RMB140,015 (US$20,904), net of RMB71,146 (US$10,622) in accumulated impairment. Impairment charges recognized on equity investments without readily determinable fair value was nil and RMB6,350 (US$948) for the six months ended June 30, 2021 and 2022. |
Business combination
Business combination | 6 Months Ended |
Jun. 30, 2022 | |
Business Combinations [Abstract] | |
Business Combination | 6 Business combination On March 8, 2022, the Company completed the acquisition of 52.37% of the equity interests in Wuhan SendCloud Technology Co., Ltd., (“SendCloud”), China’s leading Email API platform for consumer marketing and user-centric transactional email services, for total cash consideration of RMB34,473. At the same time, the Company issued 1,366,128 restricted shares to certain management member of SendCloud with a service vesting period of nine months. The acquisition supports the Company’s strategy of providing a more reliable and effective customer engagement platform for different industry vertical. Both SendCloud and the Company provide developer-centric services and are highly complementary in products and customer base. Leveraging SendCloud’s reliable high-performance system and database services along with real-time email protocols analysis, together the Company and SendCloud will provide customers with industry-leading technology to simplify their omni-channel communications, through an integrated central platform, which will further reduce customers’ management costs, simplify the complexity for customers to integrate different services and maximize user value. Goodwill is calculated as the excess of the aggregate of the consideration transferred and the amount recognized for noncontrolling interests over the fair value of net assets, including intangible assets, and is primarily related to expected synergies from the transactions. Goodwill associated with these acquisitions are not tax deductible. The results of the acquisition have been included in the unaudited interim condensed consolidated financial statements from the date of purchase and are not material for the six months ended June 30, 2022. With the assistance of third party valuation specialist firm, the Company used the income approach to value the acquired brand and customer relationships. The income approach calculates fair value by discounting the forecasted after-tax The Company accounted for the acquisition of SendCloud as business combination. The acquisition date fair value of assets, liabilities, goodwill and redeemable noncontrolling interests pertaining to this business combination, were as follow: RMB US$ Purchase consideration 34,473 5,147 Fair value of redeemable noncontrolling interests 31,397 4,687 Less: Cash and cash equivalents 17,744 2,649 Customer relationships 13,800 2,060 Brand 10,300 1,538 Other current and noncurrent assets 1,025 154 Deferred revenue (6,529 ) (975 ) Deferred tax liabilities (5,330 ) (796 ) Other current liabilities (2,925 ) (437 ) Goodwill 37,785 5,641 Supplemental unaudited pro forma information for the acquisition has been excluded as they are not material to the unaudited interim condensed consolidated financial statements of the Company. |
Deferred Revenue and Customer D
Deferred Revenue and Customer Deposits | 6 Months Ended |
Jun. 30, 2022 | |
Revenue Recognition and Deferred Revenue [Abstract] | |
Deferred Revenue and Customer Deposits | 7 Deferred revenue and customer deposits Deferred revenue and customer deposits consist of the following: As of December 31, 2021 June 30, 2022 RMB RMB US$ Deferred revenue 80,405 85,481 12,762 Customer deposits 39,586 44,239 6,605 Total deferred revenue and customer deposits — current 119,991 129,720 19,367 Deferred revenue — non-current 3,845 8,027 1,198 |
Accrued Liabilities and Other C
Accrued Liabilities and Other Current Liabilities | 6 Months Ended |
Jun. 30, 2022 | |
Payables and Accruals [Abstract] | |
Accrued liabilities and other current liabilities | 8 Accrued liabilities and other current liabilities Accrued liabilities and other current liabilities consist of the following: As of December 31, 2021 June 30, 2022 RMB RMB US$ Accrued payroll and welfare payables 52,947 35,357 5,279 Income taxes payable — 230 34 Other taxes and surcharge 9,932 7,294 1,089 Service fees 5,233 9,228 1,378 Acquisition of intangible assets, property and equipment 840 840 125 Government grants 4,500 1,000 149 Rental and property management fee 3,418 3,410 509 Payables for sales of employees’ shares 180 393 59 Payables to third party advertising companies (i ) 4,066 787 117 Payable for business acquisition (ii ) — 16,788 2,506 Others 4,189 2,913 436 Total accrued liabilities and other current liabilities 85,305 78,240 11,681 (i) The balance represents the payments to third party advertising companies for targeted marketing related services as the Company acts as agent. (ii) The balance represents the remaining unpaid cash consideration of RMB16,788 from the acquisition of SendCloud (see Note 6 for details). |
Share-Based Compensation
Share-Based Compensation | 6 Months Ended |
Jun. 30, 2022 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Share-Based Compensation | 9 Share-based compensation Share option plans 2014 Incentive Plan On July 23 2014, the Company’s board of directors and shareholders approved the 2014 Incentive Plan (the “2014 Plan”). Awards under the 2014 Plan vest up 2017 Incentive Plan On March 1, 2017, the Company’s board of directors and shareholders approved the 2017 Incentive Plan (the “2017 Plan”). Awards under the 2017 Plan vest up 2021 Incentive Plan In December 2021, the Company’s board of directors and shareholders approved the 2021 Incentive Plan (the “2021 Plan”). Awards under the 2021 Plan vest up The exercise price, vesting and other conditions of individual awards are determined by the board of directors or any of the committees appointed by the board of directors to administer the 2014, 2017 and 2021 Plans. The awards are subject to multiple service vesting periods up Total compensation costs recognized for the six months ended June 30, 2021 and 2022 were as follows: For the six months ended June 30, 2021 2022 RMB RMB US$ Cost of revenues 20 (6 ) (1 ) Research and development 6,464 (1,599 ) (239 ) Sales and marketing 1,733 520 78 General and administrative 10,819 11,269 1,682 Total 19,036 10,184 1,520 |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 10 Income taxes The Company has holding companies in Cayman Island, British Virgin Islands, Hong Kong and its main operations is in the PRC. The Company’s entities are subject to local statutory income tax rate in these jurisdictions. Specifically, the Company’s PRC entities are subject to a statutory income tax rate of 25% and a qualified “High and New Technology Enterprise” (“HNTE”) is eligible for a preferential tax rate of 15%, in accordance with the Enterprise Income Tax Law (the “EIT Law”). The Company’s Hong Kong entity is subject to a statutory income tax rate of 16.5%, in accordance with the Hong Kong tax laws. The Company recorded an income tax expense of RMB11 and RMB135 (US$20), representing an effective tax rate of (0.03%) and (0.24%) respectively for the six months ended June 30, 2021 and 2022. The Company recorded uncertain income tax liabilities of RMB117 (US$17) upon |
Commitments and contingencies
Commitments and contingencies | 6 Months Ended |
Jun. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 11 Commitments and contingencies Operating lease commitments The Company leases office premises in the PRC under non-cancellable one Total operating lease expenses were RMB6,509 and RMB6,350 (US$948) for the six months ended June 30, 2021 and 2022, respectively. As of June 30, 2022, future minimum payments under non-cancellable RMB US$ For the six months ended December 31, 2022 3,586 535 For the years ended December 31, 2023 6,577 982 2024 5,381 803 Total 15,544 2,320 The Company’s operating lease commitments have no renewal options, rent escalation clauses and restrictions or contingent rents. There are no lease payments subsequent to 2024. |
Loss per share
Loss per share | 6 Months Ended |
Jun. 30, 2022 | |
Earnings Per Share [Abstract] | |
Loss per share | 12 Loss per share Basic and diluted loss per share is calculated as follows: For the six months ended June 30, 2021 2022 Class A Class B Class A Class B RMB RMB RMB US$ RMB US$ Numerator: Net loss attributable to Class A and Class B common shareholders (54,429 ) (15,005 ) (41,785 ) (6,238 ) (11,439 ) (1,708 ) Net loss attributable to common shareholders (54,429 ) (15,005 ) (41,785 ) (6,238 ) (11,439 ) (1,708 ) Denominator: Weighted average number of shares used in calculating basic and diluted loss per share 61,668,577 17,000,189 62,098,973 62,098,973 17,000,189 17,000,189 Basic and diluted loss per share (0.88 ) (0.88 ) (0.67 ) (0.10 ) (0.67 ) (0.10 ) For the six months ended June 30, 2021 and 2022, the two-class |
Redeemable noncontrolling inter
Redeemable noncontrolling interests | 6 Months Ended |
Jun. 30, 2022 | |
Noncontrolling Interest [Abstract] | |
Redeemable noncontrolling interests | 13 Redeemable noncontrolling interests The fair value of the redeemable noncontrolling interests for SendCloud was determined using the income approach. The fair value estimate of redeemable noncontrolling interests is based on significant inputs considered by market participants which mainly include (a) discount rate, (b) projected terminal value based on future cash flows, (c) adjustment for lack of control and (d) value of redemption right held by the noncontrolling interest shareholders (the “NCI shareholders”). The redeemable noncontrolling interests represent the fair value equity held by the NCI shareholders. The Company entered into a put option agreement with the NCI shareholders, with respect to SendCloud’s retained equity. Pursuant to the put option agreement, the NCI shareholders have the right to sell to the Company all of SendCloud’s retained equity within 90 days after SendCloud’s fiscal year ending December 31, 2024, if SendCloud has met each of the annual revenue and net income performance targets from 2022- 2024, which is not solely within the Company’s control. As it is redeemable by such NCI shareholders upon the occurrence of certain events that are not solely within the control of the Company, it is classified as redeemable noncontrolling interests. Upon acquisition, the Company recognized the redeemable noncontrolling interest at the fair value of RMB31,397. The following table presents the activity of the redeemable noncontrolling interests balance for the six months ended June 30, 2022: RMB US$ Balance as of January 1, 2022 — — Initial fair value of redeemable noncontrolling interests 31,397 4,687 Net loss attributable to redeemable noncontrolling interest (2,061 ) (308 ) Adjustment of redeemable noncontrolling interests to redemption value 2,246 336 Balance as of June 30, 2022 31,582 4,715 |
Revenues
Revenues | 6 Months Ended |
Jun. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Revenues | 14 Revenues Revenues consist of the following: For the six months ended June 30, 2021 2022 RMB RMB US$ SAAS Businesses Developer Services 113,608 115,006 17,170 Vertical Applications 52,001 46,471 6,938 Total revenues 165,609 161,477 24,108 For the six months ended June 30, 2021 and 2022, revenues recognized at the point in time are RMB98,405 and RMB93,728 (US$13,993), respectively. For the six months ended June 30, 2021 and 2022, revenues recognized over time are RMB67,204 and RMB67,749 (US$10,115), respectively. |
Short-term investments
Short-term investments | 6 Months Ended |
Jun. 30, 2022 | |
Debt Securities, Held-to-maturity, Fair Value to Amortized Cost [Abstract] | |
Short-term investments | 15 Short-term investments Short-term held-to-maturity Short-term investments classification as of December 31, 2021 and June 30, 2022 were shown as below: As of December 31, 2021 Cost or Gross Gross Gross Gross Fair value RMB RMB Held-to-maturity 30,000 — — — — 30,000 As of June 30, 2022 Cost or Gross Gross Gross Gross Fair value RMB USD RMB USD Held-to-maturity 20,000 2,986 — — — — 20,000 2,986 As of December 31, 2021, the Company’s short-term investments comprise of time deposits with original maturities over three months. As of June 30, 2022, the Company’s short-term investments comprise of bank structured deposits at interest rates indexed to exchange rate between Euro and US dollar. The indexation of interest rates to exchange rate between Euro and US dollar are considered embedded derivatives that are separated from the host contract of bank structured deposits and are recorded separately in “Derivative assets” and measured at fair value in the unaudited interim condensed consolidated balance sheets. The fair value of the derivative assets is disclosed in Note 16. |
Fair value measurements
Fair value measurements | 6 Months Ended |
Jun. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair value measurements | 16 Fair value measurements ASC 820-10, Fair Value Measurements and Disclosures: Overall 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 marketplace Level 3 — Unobservable inputs which are supported by little or no market activity ASC 820-10 Assets measured or disclosed at fair value The Company measures derivative assets at fair value on a recurring basis. The derivative assets are classified within Level 2 as the fair value is measured by using inputs derived from or corroborated by observable market data. The Company’s non-financial non-financial non-recurring For equity investments accounted for under the measurement alternative, when there are observable price changes in orderly transactions for identical or similar investments of the same issuer, the investments are re-measured non-recurring non-recurring The Company measures certain financial assets, including equity securities accounted for at fair value using measurement alternative at fair value on a non-recurring As of December 31, 2021 and June 30, 2022, assets measured at fair value are summarized below: Fair value measurement at December 31, 2021 using Total Fair Quoted prices in Significant Significant Fair value RMB RMB RMB RMB RMB Fair value measurements on a recurring basis Derivative assets 5,989 — 5,989 — 5,989 Fair value measurement on a non-recurring Equity investments accounted for at fair value using the alternative measurement (i) 585 — — 585 (25,340 ) Total assets measured at fair value 6,574 — 5,989 585 (19,351 ) As of December 31, 2021 and June 30, 2022, assets measured at fair value are summarized below: Fair value measurement at June 30, 2022 using Total Fair Quoted prices in Significant Significant Fair value RMB USD RMB RMB RMB RMB Fair value measurements on a recurring basis Derivative assets 3 — — 3 — 3 Fair value measurement on a non-recurring Equity investments accounted for at fair value using the alternative measurement (i) — — — — — (6,376 ) Total assets measured at fair value 3 — — 3 — (6,373 ) (i) For equity securities accounted for under the measurement alternative, when there are observable price changes in orderly transactions for identical or similar investments of the same issuer, the investments are re-measured year ended December 31, 2021 and the six months ended June 30, 2022. |
Restricted Net Assets
Restricted Net Assets | 6 Months Ended |
Jun. 30, 2022 | |
Restricted Net Assets [Abstract] | |
Restricted net assets | 17 Restricted net assets The Company’s ability to pay dividends is primarily dependent on the Company receiving distributions of funds from its subsidiaries. Relevant PRC statutory laws and regulations permit payments of dividends by the VIE incorporated in PRC only out of their retained earnings, if any, as determined in accordance with PRC accounting standards and regulations. The consolidated results of operations reflected in the unaudited interim condensed consolidated financial statements prepared in accordance with U.S. GAAP differ from those reflected in the statutory financial statements of the Company’s subsidiaries. Under PRC law, the Company’s subsidiary and VIE located in the PRC (collectively referred as the “PRC entities”) are required to provide for certain statutory reserves, namely a general reserve, an enterprise expansion fund and a staff welfare and bonus fund. The PRC entities are required to allocate at least 10% of their after tax profits on an individual company basis as determined under PRC accounting standards to the statutory reserve and has the right to discontinue allocations to the statutory reserve if such reserve has reached 50% of registered capital on an individual company basis. In addition, the registered capital of the PRC entities is also restricted. Appropriations to the enterprise expansion fund and staff welfare and bonus fund are at the discretion of the Board of Directors of the subsidiary. The PRC entities are also subject to similar statutory reserve requirements. These reserves can only be used for specific purposes and are not transferable to the Company in the form of loans, advances or cash dividends. Amounts of net assets restricted include paid-in |
Subsequent Event
Subsequent Event | 6 Months Ended |
Jun. 30, 2022 | |
Subsequent Events [Abstract] | |
Subsequent Event | 18 Subsequent events Purchase of land use right In July 2022, the Company through the VIE, has entered into an agreement with the PRC government to purchase land use right in Shenzhen for a total cash consideration of RMB21,925. The land use right is for a period of 30 years from July 7, 2022 to July 6, 2052, and is non-transferable. As of June 30, 2022, the Company has prepaid RMB10,963 and the remaining consideration is payable by June 15, 2023. Share repurchase program On September 15, 2022, the board of directors of the Company approved a share repurchase program whereby the Company is authorized to repurchase up to US$5 million worth of its ordinary shares (including in the form of American depository shares) during a 12-month period starting from September 15, 2022. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
Basis of presentation | Basis of presentation The accompanying unaudited interim condensed consolidated financial statements of the Company have been prepared in accordance with the accounting principles generally accepted in the United States of America (“U.S. GAAP”) and applicable rules and regulations of the Securities and Exchange Commission regarding financial reporting that are consistent with those used in the preparation of the Company’s audited consolidated financial statements for the year ended December 31, 2020 and 2021. As permitted under those rules, certain footnotes or other financial information that are normally required by GAAP have been condensed or omitted. Accordingly, these unaudited interim condensed consolidated financial statements do not include all of the information and footnotes required by U.S. GAAP for annual financial statements. In the opinion of the Company’s management, the accompanying unaudited interim condensed consolidated financial statements contain all normal recurring adjustments necessary to present fairly the financial position, operating results and cash flows of the Company for each of the periods presented. The results of operations for the six months ended June 30, 2022 are not necessarily indicative of results to be expected for any other interim period or for the full year of 2022. The consolidated balance sheet as of December 31, 2021 was derived from the audited consolidated financial statements at that date but does not include all of the disclosures required by U.S. GAAP for annual financial statements. These unaudited interim condensed consolidated financial statements should be read in conjunction with the Company’s consolidated financial statements for the year ended December 31, 2021. |
Principles of consolidation | Principles of consolidation The unaudited interim condensed consolidated financial statements include the accounts of the Company, its subsidiaries, and the VIE. All significant intercompany transactions and balances have been eliminated in consolidation. |
Use of estimates | Use of estimates The preparation of the Company’s unaudited interim condensed consolidated financial statements in conformity with U.S. GAAP requires the use of estimates and judgments that affect the reported amounts in the unaudited interim condensed consolidated financial statements and accompanying notes. These estimates form the basis for judgments that management make about the carrying values of assets and liabilities, which are not readily apparent from other sources. Management base their estimates and judgments on historical information and on various other assumptions that they believe are reasonable under the circumstances. U.S. GAAP requires management to make estimates and judgments in several areas, including, but not limited to, those related to allowance for doubtful accounts, useful lives of property and equipment and intangible assets, the purchase price allocation and fair value of intangible assets, fair value of redeemable noncontrolling interests, impairment of goodwill, impairment of long-lived assets, fair value measurements and impairment of equity investments without readily determinable fair value, impairment of loans receivables, including due from related parties, valuation allowance for deferred tax assets, uncertain tax position, fair value change of derivative assets and share-based compensation. These estimates are based on management’s knowledge about current events and expectations about actions that the Company may undertake in the future. Actual results could differ from those estimates. |
Convenience translation | Convenience translation T |
Business Combinations | Business Combinations The Company applies the definition of a business in ASC 805, Business Combinations The Company accounts for its business combinations by recognizing in the financial statements the identifiable assets acquired, the liabilities assumed and any noncontrolling interests in the acquiree at fair value at the acquisition date. The determination and allocation of fair values to the identifiable assets acquired, liabilities assumed and redeemable noncontrolling interests is based on various assumptions and valuation methodologies requiring considerable judgment from management. The most significant variables in these valuations are discount rates, the number of years on which to base the cash flow projections, as well as the assumptions and estimates used to determine the cash inflows and outflows. The Company determines discount rates to be used based on the risk inherent in the related activity’s current business model and industry comparisons. The excess of (i) the total of cost of acquisition, the fair value of the noncontrolling interests and the acquisition date fair value of any previously held equity interest in the acquiree over (ii) the fair value of the identifiable net tangible and intangible assets of the acquiree is recorded as goodwill. In addition, acquisition costs related to business combinations are expensed as incurred. The Company records acquired intangible assets at fair value on the date of acquisition and amortizes such assets using the straight-line method over the expected useful life of the asset unless another amortization method is deemed to be more appropriate. The Company evaluates the remaining useful life of intangible assets on a periodic basis to determine whether events and circumstances warrant a revision to the remaining useful life. If the estimate of an intangible asset’s remaining useful life is changed, the Company will amortize the remaining carrying value of the intangible asset prospectively over the revised remaining useful life. |
Consolidation of Noncontrolling Interests | Consolidation of Noncontrolling Interests A noncontrolling interest is recognized to reflect the portion of a subsidiary’s equity which is not attributable, directly or indirectly, to the Company. Consolidated net loss on the unaudited interim condensed consolidated statements of operations and comprehensive loss includes the net loss attributable to noncontrolling interests when applicable. Cash flows related to transactions with noncontrolling interests are presented under financing activities in the unaudited interim condensed consolidated statements of cash flows when applicable. |
Redeemable Noncontrolling Interests | Redeemable Noncontrolling Interests Noncontrolling interests in subsidiaries that are redeemable by such shareholders upon the occurrence of certain events that are not solely within the control of the Company are classified as redeemable noncontrolling interests, within mezzanine equity in the unaudited interim condensed consolidated balance sheet. Net income or loss of the subsidiary attributable to the redeemable noncontrolling interests was subsequently recorded pursuant to ASC 810, Consolidation. After the attribution, the Company considers the provisions of ASC 480, Distinguish Liabilities from Equity (“ASC 480”) to determine whether any further adjustments are necessary to increase the carrying value of the redeemable noncontrolling interests. Adjustments to the carrying amount of the redeemable noncontrolling interests are recognized as an adjustment to retained earnings, or in the absence of retained earnings, by adjustment to additional paid-in-capital. |
Goodwill | Goodwill Goodwill is initially measured at cost, being the excess of the aggregate of the consideration transferred and the amount recognized for noncontrolling interests over the identifiable assets acquired and liabilities assumed. After initial recognition, goodwill is measured at cost less any accumulated impairment losses. Goodwill is tested for impairment annually or more frequently if events or changes in circumstances indicate that the carrying value may be impaired. The Company will perform its annual impairment test of goodwill during the fourth quarter. Goodwill is evaluated for impairment by first performing a qualitative assessment to determine whether a quantitative goodwill test is necessary. Goodwill, which is nondeductible for tax purposes, is primarily attributable to the synergies expected to be achieved from the acquisition. |
Intangible assets | Intangible assets Intangible assets with finite lives are carried at cost less accumulated amortization. Intangible assets represent computer software, systems and technology, brand and customer relationship acquired in a business combination. The cost of the brand and customer relationship is the fair value at the date of acquisition. All intangible assets with finite lives are amortized using the straight-line method over the estimated economic lives, which are as follows: Computer software, systems and technology 1 – 5 years Brand 10 years Customer relationship 5 years Residual values are considered nil. |
Revenue recognition | Revenue recognition Under ASC 606, revenues are recognized when control of the promised goods or services is transferred to customers, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services. Revenues are presented net of value-added tax collected on behalf of the government. The Company generates SAAS Businesses revenue primarily from developer services and vertical applications. For developer services, there are three types of contracts, subscription-based contracts, project-based contracts and consumption-based contracts. The Company primarily enters into subscription-based contracts with its customers to provide push notification or instant messaging (collectively “notification services”), which the Company provides its customers with access to its notification services platform. This enables customers to send notifications and messages to users. The Company generally recognizes revenue ratably over time under the subscription-based contracts as stand-ready obligations because the customer simultaneously receives and consumes the benefits as the Company provides subscription services throughout a fixed contract term. The Company uses an output method of progress based on fixed contract term as it best depicts the transfer of control to the customer. The Company primarily enters into consumption-based contracts with its customers to provide short message services (“SMS”), one-click one-click one-click one-click pre-agreed one-click For value-added services, the Company built an application (“APP”) Alliance which connects advertisers and APP developers, who are the suppliers of avenue where the ads will be displayed. The Company enters into contractual arrangements with advertisers that stipulate the types of advertising to be delivered and priced. Advertising customers pay for the value-added service primarily based on cost-per-action (“CPA”) cost-per-click The Company primarily enters into project-based contracts with its customers to provide private cloud-based developer services, which are designed to provide customizable services to customers who want a more controlled software environment and more comprehensive technology and customer support. The Company provides its customers one combined performance obligation including customized APP push notification system or instant messaging system and related system training services as both performance obligations are incapable of being distinct because the customer cannot derive economic benefit from the related system training services on its own. Meanwhile, the Company also provides post contract assurance-type maintenance services, which usually have a duration of one year. Under ASC 606, the Company recognize revenue at the point in time when the system is implemented, and the training service is provided, which is represented by the customer acceptance received by the Company. Meanwhile, the estimated cost of assurance-type maintenance services is accrued as “Costs of revenues”, which is not material. For vertical applications, the Company enters into agreements with its customers to provide data analytic solutions and there are three types of contracts, including subscription-based contracts, project-based contracts and consumption-based contracts. The Company primarily enters into subscription-based contracts with its customers to provide customizable service package for a fixed contract term, which allows the customers to subscribe a fixed number of apps to obtain unlimited volume of queries to the Company’s analytic results. The Company generally recognizes revenue ratably over time under the subscription-based contracts, because the customer simultaneously receives and consumes the benefits as the Company provides subscription services throughout a fixed contract term. The Company primarily enters into project-based contracts with its customers to provide in-depth The Company primarily enters into consumption-based contracts with its customers to process the queries or provide features based on the customers’ requirements. When the Company receives a placed order, it recognizes revenue at a point in time when the queries are processed, or the features are utilized by the customers. For certain arrangements, customers are required to pay the Company before the services are delivered. For other arrangements, the Company provides customers with a credit term under six months. Other revenue recognition related policies Timing of revenue recognition may differ from the timing of invoicing to customers. Some customers are required to pay before the services are delivered to the customer. When either party to a revenue contract has performed, the Company recognizes a contract asset or a contract liability on the unaudited interim condensed consolidated balance sheet, depending on the relationship between the Company’s performance and the customer’s payment. Contract assets represent amounts related to the Company’s rights to consideration received for private-cloud-based service and are included in “Prepayments and other assets” on the unaudited interim condensed consolidated balance sheets. Amount of contract assets was not material as of December 31, 2021 and June 30, 2022, respectively. Contract liabilities are mainly related to fees for services to be provided over the service period, which are presented in “Deferred revenue and customer deposits” on the unaudited interim condensed consolidated balance sheets. Revenue recognized for the six months ended June 30, 2022 that was included in contract liabilities as of January 1, 2022 was RMB42,182 (US$6,298). Revenue recognized for the six months ended June 30, 2021 that was included in contract liabilities as of January 1, 2021 was RMB44,405. A summary of contract liabilities is as follows: As of December 31, 2021 June 30, 2022 RMB RMB US$ Contract liabilities 80,405 85,481 12,762 Customer deposits relate to customer’s unused balances that are refundable. Once this balance is utilized by the customer, the corresponding amount would be recognized as revenue. As of June 30, 2022, the Company’s unsatisfied (or partially unsatisfied) performance obligations in contracts with its customers was RMB31,562 (US$4,712). The Company expects to recognize the majority of its remaining performance obligations as revenue within the next year. |
Costs of revenues | Costs of revenues Cost of revenues consists primarily of channel cost associated with JG Alliance, bandwidth cost, staff costs and depreciation of servers used for revenue generating services. |
Fair value measurements | Fair value measurements The carrying amounts of financial assets and liabilities, such as cash equivalents, restricted cash, accounts receivable, other receivables within prepayments and other current assets, balances with related parties, accounts payable, and other payables with accrued liabilities and other current liabilities, approximate their fair values because of the short maturity of these instruments. |
Concentration of risks | Concentration of risks Concentration of credit risk Financial assets that potentially expose the Company to concentrations of credit risk consist primarily of cash and cash equivalents, restricted cash, derivative assets, other receivables within prepayments and other current assets, short-term investments and accounts receivable. The Company places its cash and cash equivalents with reputable financial institutions which have high-credit ratings. As of December 31, 2021 and June 30, 2022, the aggregate amount of cash and cash equivalents, derivative assets, short-term investments and restricted cash of RMB276,644 and RMB102,450 (US$15,295), respectively, were held at major financial institutions located in the PRC, and US$2,186 and US$1,423 (RMB9,534), respectively, were deposited with major financial institutions located outside the PRC. There has been no recent history of default related to these financial institutions. The Company continues to monitor the financial strength of the financial institutions. The Company manages credit risk of accounts receivable through ongoing monitoring of the outstanding balances. Concentration of suppliers Approximately 49.2% and 38.2% of advertising costs were paid to three suppliers for the six months ended June 30, 2021 and 2022, respectively. Foreign currency exchange rate risk The functional currency and the reporting currency of the Company are the US$ and the RMB, respectively. On June 19, 2010, the PBOC announced the end of the RMB’s de facto peg to the US$, a policy which was instituted in late 2008 in the face of the global financial crisis, to further reform the RMB exchange rate regime and to enhance the RMB’s exchange rate flexibility. On March 15, 2014, the People’s Bank of China announced the widening of the daily trading band for RMB against US$. The appreciation of the US$ against RMB was approximately 5.11% for the six months ended June 30, 2022. Most of the Company’s revenues and costs are denominated in RMB, while a portion of cash and cash equivalents, derivative assets, accounts receivable, and accounts payable are denominated in US$. Any significant revaluation of RMB may materially and adversely affect the Company’s consolidated revenues, earnings and financial position in US$. |
Impact of COVID-19 | Impact of COVID-19 During the six months ended June 30, 2022, revenues declined compared to the prior period partly due to weakness in demand as its customers in certain industries were negatively impacted by COVID-19. There are still uncertainties of COVID-19’s COVID-19 receivable COVID-19 COVID-19 |
Organization and Principal Ac_2
Organization and Principal Activities (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Summary of Assets and Liabilities of VIE and Subsidiaries | The following table set forth the assets and liabilities of the VIE and its subsidiaries included in the Company’s consolidated balance sheets: As of December 31, June 30, 2022 RMB RMB US$ ASSETS: Current assets: Cash and cash equivalents 55,946 49,308 7,361 Restricted cash 158,032 137 20 Derivative assets — 3 — Short-term investments 30,000 20,000 2,986 Accounts receivable, net 43,415 34,232 5,111 Prepayments and other current assets 37,807 27,277 4,073 Amounts due from the Company and its subsidiaries 69,405 270,407 40,371 Amounts due from related parties 35 — — Total current assets 394,640 401,364 59,922 Non-current Property and equipment, net 45,068 37,371 5,579 Intangible assets, net 5,398 26,809 4,002 Goodwill — 37,785 5,641 Long-term investments 90,618 90,033 13,442 Other-non 3,298 12,514 1,869 Total non-current 144,382 204,512 30,533 Total assets 539,022 605,876 90,455 LIABILITIES: Current liabilities: Accounts payable 17,529 18,214 2,719 Deferred revenue and customer deposits 115,900 124,462 18,582 Accrued liabilities and other current liabilities 64,527 64,642 9,651 Amounts due to the Company and its subsidiaries 389,063 431,716 64,454 Amounts due to related parties 54 66 10 Total current liabilities 587,073 639,100 95,416 Non-current Amounts due to the Company and its subsidiaries 277,000 277,000 41,355 Deferred revenue 569 5,677 848 Deferred tax liabilities — 5,097 761 Other non-current 560 511 75 Total non-current 278,129 288,285 43,039 Total liabilities 865,202 927,385 138,455 |
Summary of Results of Operations and Cash Flows of VIE and Subsidiaries | The table sets forth the results of operations and cash flows of the VIE and its subsidiaries included in the Company’s consolidated statements of comprehensive loss and cash flows. For the six months ended June 30, 2021 2022 RMB RMB US$ Revenues 162,605 156,317 23,338 Cost of revenues (34,489 ) (47,380 ) (7,074 ) Net loss (41,793 ) (35,265 ) (5,265 ) Net cash provided by/(used in) operating activities 19,773 (113,930 ) (17,009 ) Net cash provided by/(used in) investing activities 5,768 (603 ) (90 ) Net cash provided by/(used in) financing activities 80,000 (50,000 ) (7,465 ) |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
Schedule of Estimated Useful Lives Of Intangible Assets | All intangible assets with finite lives are amortized using the straight-line method over the estimated economic lives, which are as follows: Computer software, systems and technology 1 – 5 years Brand 10 years Customer relationship 5 years Residual values are considered nil. |
Summary of Contract Liabilities | summary of contract liabilities is as follows As of December 31, 2021 June 30, 2022 RMB RMB US$ Contract liabilities 80,405 85,481 12,762 |
Accounts receivable, net (Table
Accounts receivable, net (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Receivables [Abstract] | |
Schedule of Accounts Receivable | As of December 31, 2021 June 30, 2022 RMB RMB US$ Accounts receivable 81,550 61,728 9,216 Less: allowance for doubtful accounts (37,690 ) (26,590 ) (3,970 ) Total accounts receivable, net 43,860 35,138 5,246 |
Schedule of Movement in Allowance for Doubtful Accounts | The following table presents the movement in the allowance for doubtful accounts: As of December 31, 2021 June 30, 2022 RMB RMB US$ Balance at beginning of the period 43,820 37,690 5,627 Provisions/(reversals) (246 ) 1,669 249 Write-offs (5,884 ) (12,769 ) (1,906 ) Balance at end of the period 37,690 26,590 3,970 |
Prepayments and other current_2
Prepayments and other current assets (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Schedule of Prepayment and Other Current Assets | Prepayments and other current assets consist of the following: As of December 31, June 30, 2022 RMB RMB US$ Receivables on behalf of third party advertising companies (i ) 12,599 4,902 732 Prepaid service fee 11,410 9,907 1,479 VAT and other surcharges 5,618 3,725 556 Investment in a convertible loan 4,221 4,463 666 Loans granted to equity investees (ii ) 3,000 5,000 746 Office rental deposit 919 926 138 Prepaid media cost 551 1,635 244 Receivables from sales of shares on behalf of employees 180 393 59 Others 8,172 3,287 492 Total prepayments and other current assets 46,670 34,238 5,112 (i) Starting from January 1, 2021, the Company has fully exited the Targeted Marketing business and this balance represents the receivables the Company acts as agent and collects on behalf of third party advertising companies for targeted marketing related services. (ii) For the six months ended June 30, 2021 and 2022, the Company recognized impairment charges on loans granted to equity investees of nil and RMB666 (US$99). The Company evaluates the impairment of the equity investments without readily determinable fair value along with loans the Company granted to those investees. |
Business combination (Tables)
Business combination (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Business Combinations [Abstract] | |
Schedule of business combinations | RMB US$ Purchase consideration 34,473 5,147 Fair value of redeemable noncontrolling interests 31,397 4,687 Less: Cash and cash equivalents 17,744 2,649 Customer relationships 13,800 2,060 Brand 10,300 1,538 Other current and noncurrent assets 1,025 154 Deferred revenue (6,529 ) (975 ) Deferred tax liabilities (5,330 ) (796 ) Other current liabilities (2,925 ) (437 ) Goodwill 37,785 5,641 |
Deferred Revenue and Customer_2
Deferred Revenue and Customer Deposits (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Revenue Recognition and Deferred Revenue [Abstract] | |
Deferred Revenue, by Arrangement | Deferred revenue and customer deposits consist of the following: As of December 31, 2021 June 30, 2022 RMB RMB US$ Deferred revenue 80,405 85,481 12,762 Customer deposits 39,586 44,239 6,605 Total deferred revenue and customer deposits — current 119,991 129,720 19,367 Deferred revenue — non-current 3,845 8,027 1,198 |
Accrued Liabilities and Other_2
Accrued Liabilities and Other Current Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Liabilities and Other Current Liabilities | Accrued liabilities and other current liabilities consist of the following: As of December 31, 2021 June 30, 2022 RMB RMB US$ Accrued payroll and welfare payables 52,947 35,357 5,279 Income taxes payable — 230 34 Other taxes and surcharge 9,932 7,294 1,089 Service fees 5,233 9,228 1,378 Acquisition of intangible assets, property and equipment 840 840 125 Government grants 4,500 1,000 149 Rental and property management fee 3,418 3,410 509 Payables for sales of employees’ shares 180 393 59 Payables to third party advertising companies (i ) 4,066 787 117 Payable for business acquisition (ii ) — 16,788 2,506 Others 4,189 2,913 436 Total accrued liabilities and other current liabilities 85,305 78,240 11,681 |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Summary of Total Compensation Costs Recognized | Total compensation costs recognized for the six months ended June 30, 2021 and 2022 were as follows: For the six months ended June 30, 2021 2022 RMB RMB US$ Cost of revenues 20 (6 ) (1 ) Research and development 6,464 (1,599 ) (239 ) Sales and marketing 1,733 520 78 General and administrative 10,819 11,269 1,682 Total 19,036 10,184 1,520 |
Commitments and contingencies (
Commitments and contingencies (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Future Minimum Payments Under Non-cancelable Operating Leases | As of June 30, 2022, future minimum payments under non-cancellable RMB US$ For the six months ended December 31, 2022 3,586 535 For the years ended December 31, 2023 6,577 982 2024 5,381 803 Total 15,544 2,320 |
Loss per share (Tables)
Loss per share (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Earnings Per Share [Abstract] | |
Basic and Diluted Loss Per Share | Basic and diluted loss per share is calculated as follows: For the six months ended June 30, 2021 2022 Class A Class B Class A Class B RMB RMB RMB US$ RMB US$ Numerator: Net loss attributable to Class A and Class B common shareholders (54,429 ) (15,005 ) (41,785 ) (6,238 ) (11,439 ) (1,708 ) Net loss attributable to common shareholders (54,429 ) (15,005 ) (41,785 ) (6,238 ) (11,439 ) (1,708 ) Denominator: Weighted average number of shares used in calculating basic and diluted loss per share 61,668,577 17,000,189 62,098,973 62,098,973 17,000,189 17,000,189 Basic and diluted loss per share (0.88 ) (0.88 ) (0.67 ) (0.10 ) (0.67 ) (0.10 ) |
Redeemable noncontrolling int_2
Redeemable noncontrolling interests (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Noncontrolling Interest [Abstract] | |
Summary of redeemable non-controlling interests balance | The following table presents the activity of the redeemable noncontrolling interests balance for the six months ended June 30, 2022: RMB US$ Balance as of January 1, 2022 — — Initial fair value of redeemable noncontrolling interests 31,397 4,687 Net loss attributable to redeemable noncontrolling interest (2,061 ) (308 ) Adjustment of redeemable noncontrolling interests to redemption value 2,246 336 Balance as of June 30, 2022 31,582 4,715 |
Revenues (Tables)
Revenues (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Revenues | Revenues consist of the following: For the six months ended June 30, 2021 2022 RMB RMB US$ SAAS Businesses Developer Services 113,608 115,006 17,170 Vertical Applications 52,001 46,471 6,938 Total revenues 165,609 161,477 24,108 |
Short-term investments (Tables)
Short-term investments (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Debt Securities, Held-to-maturity, Fair Value to Amortized Cost [Abstract] | |
Summary of Short-term investments classification | Short-term investments classification as of December 31, 2021 and June 30, 2022 were shown as below: As of December 31, 2021 Cost or Gross Gross Gross Gross Fair value RMB RMB Held-to-maturity 30,000 — — — — 30,000 As of June 30, 2022 Cost or Gross Gross Gross Gross Fair value RMB USD RMB USD Held-to-maturity 20,000 2,986 — — — — 20,000 2,986 |
Fair value measurements (Tables
Fair value measurements (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Summary of Assets And Liabilities Measured Or Disclosed At Fair Value | As of December 31, 2021 and June 30, 2022, assets measured at fair value are summarized below: Fair value measurement at December 31, 2021 using Total Fair Quoted prices in Significant Significant Fair value RMB RMB RMB RMB RMB Fair value measurements on a recurring basis Derivative assets 5,989 — 5,989 — 5,989 Fair value measurement on a non-recurring Equity investments accounted for at fair value using the alternative measurement (i) 585 — — 585 (25,340 ) Total assets measured at fair value 6,574 — 5,989 585 (19,351 ) As of December 31, 2021 and June 30, 2022, assets measured at fair value are summarized below: Fair value measurement at June 30, 2022 using Total Fair Quoted prices in Significant Significant Fair value RMB USD RMB RMB RMB RMB Fair value measurements on a recurring basis Derivative assets 3 — — 3 — 3 Fair value measurement on a non-recurring Equity investments accounted for at fair value using the alternative measurement (i) — — — — — (6,376 ) Total assets measured at fair value 3 — — 3 — (6,373 ) (i) For equity securities accounted for under the measurement alternative, when there are observable price changes in orderly transactions for identical or similar investments of the same issuer, the investments are re-measured year ended December 31, 2021 and the six months ended June 30, 2022. |
Organization and Principal Ac_3
Organization and Principal Activities - Summary of Assets and Liabilities of VIE and Subsidiaries (Details) ¥ in Thousands, $ in Thousands | Jun. 30, 2022 CNY (¥) | Jun. 30, 2022 USD ($) | Dec. 31, 2021 CNY (¥) | Dec. 31, 2021 USD ($) | Jun. 30, 2021 CNY (¥) | Dec. 31, 2020 CNY (¥) |
Current assets: | ||||||
Cash and cash equivalents | ¥ 91,844 | $ 13,712 | ¥ 90,552 | $ 13,519 | ¥ 102,854 | ¥ 356,115 |
Restricted cash | 137 | 20 | 164,030 | |||
Derivative assets | 3 | 5,989 | ||||
Short-term investments | 20,000 | 2,986 | 30,000 | |||
Amounts due from related parties | 35 | |||||
Total current assets | 181,360 | 27,076 | 381,136 | |||
Non-current assets: | ||||||
Property and equipment, net | 49,267 | 7,355 | 62,179 | |||
Intangible assets, net | 26,809 | 4,002 | 5,398 | |||
Goodwill | 37,785 | 5,641 | ||||
Long-term investments | 140,015 | 20,904 | 141,926 | |||
Other non-current assets | 13,476 | 2,012 | 4,898 | |||
Total non-current assets | 267,352 | 39,914 | 214,401 | |||
Total assets | 448,712 | 66,990 | 595,537 | |||
Current liabilities: | ||||||
Accounts payable | 19,190 | 2,865 | 18,292 | |||
Deferred revenue and customer deposits | 85,481 | 12,762 | 80,405 | |||
Accrued liabilities and other current liabilities | 78,240 | 11,681 | 85,305 | |||
Amounts due to related parties | 66 | 10 | 54 | |||
Total current liabilities | 227,216 | 33,923 | 373,642 | |||
Non-current liabilities: | ||||||
Other non-current liabilities | 2,734 | 408 | 2,607 | |||
Total non-current liabilities | 15,858 | 2,367 | 6,452 | |||
Total liabilities | 243,074 | 36,290 | 380,094 | |||
VIE | ||||||
Current assets: | ||||||
Cash and cash equivalents | 49,308 | 7,361 | 55,946 | |||
Restricted cash | 137 | 20 | 158,032 | |||
Derivative assets | 3 | |||||
Short-term investments | 20,000 | 2,986 | 30,000 | |||
Accounts receivable, net | 34,232 | 5,111 | 43,415 | |||
Prepayments and other current assets | 27,277 | 4,073 | 37,807 | |||
Amounts due from the Company and its subsidiaries | 270,407 | 40,371 | 69,405 | |||
Amounts due from related parties | 35 | |||||
Total current assets | 401,364 | 59,922 | 394,640 | |||
Non-current assets: | ||||||
Property and equipment, net | 37,371 | 5,579 | 45,068 | |||
Intangible assets, net | 26,809 | 4,002 | 5,398 | |||
Goodwill | 37,785 | 5,641 | ||||
Long-term investments | 90,033 | 13,442 | 90,618 | |||
Other non-current assets | 12,514 | 1,869 | 3,298 | |||
Total non-current assets | 204,512 | 30,533 | 144,382 | |||
Total assets | 605,876 | 90,455 | 539,022 | |||
Current liabilities: | ||||||
Accounts payable | 18,214 | 2,719 | 17,529 | |||
Deferred revenue and customer deposits | 124,462 | 18,582 | 115,900 | |||
Accrued liabilities and other current liabilities | 64,642 | 9,651 | 64,527 | |||
Amounts due to the Company and its subsidiaries | 431,716 | 64,454 | 389,063 | |||
Amounts due to related parties | 66 | 10 | 54 | |||
Total current liabilities | 639,100 | 95,416 | 587,073 | |||
Non-current liabilities: | ||||||
Amounts due to the Company and its subsidiaries | 277,000 | 41,355 | 277,000 | |||
Deferred revenue | 5,677 | 848 | 569 | |||
Other non-current liabilities | 511 | 75 | 560 | |||
Deferred tax liabilities | 5,097 | 761 | 0 | |||
Total non-current liabilities | 288,285 | 43,039 | 278,129 | |||
Total liabilities | ¥ 927,385 | $ 138,455 | ¥ 865,202 |
Organization and Principal Ac_4
Organization and Principal Activities - Summary of Results of Operations and Cash Flows of VIE and Subsidiaries (Details) ¥ in Thousands, $ in Thousands | 6 Months Ended | ||
Jun. 30, 2022 CNY (¥) | Jun. 30, 2022 USD ($) | Jun. 30, 2021 CNY (¥) | |
Variable Interest Entity [Line Items] | |||
Cost of revenues | ¥ (49,501) | $ (7,390) | ¥ (40,088) |
Net loss | (53,224) | (7,946) | (69,434) |
Net cash provided by/(used in) operating activities | (9,627) | (1,437) | (46,866) |
Net cash provided by/(used in) investing activities | (3,309) | (494) | 32,128 |
Net cash provided by/(used in) financing activities | (150,457) | (22,463) | (75,623) |
VIE | |||
Variable Interest Entity [Line Items] | |||
Revenues | 156,317 | 23,338 | 162,605 |
Cost of revenues | (47,380) | (7,074) | (34,489) |
Net loss | (35,265) | (5,265) | (41,793) |
Net cash provided by/(used in) operating activities | (113,930) | (17,009) | 19,773 |
Net cash provided by/(used in) investing activities | (603) | (90) | 5,768 |
Net cash provided by/(used in) financing activities | ¥ (50,000) | $ (7,465) | ¥ 80,000 |
Organization and Principal Ac_5
Organization and Principal Activities - Additional Information (Details) ¥ in Thousands, $ in Thousands | Jul. 26, 2022 | Jun. 30, 2022 CNY (¥) | Jun. 30, 2022 USD ($) | Dec. 31, 2021 CNY (¥) |
Weidong Luo | Subsequent Event | ||||
Variable Interest Entity [Line Items] | ||||
Variable Interest Entity, Ownership Percentage | 80% | |||
Guangyan Chen. | Subsequent Event | ||||
Variable Interest Entity [Line Items] | ||||
Variable Interest Entity, Ownership Percentage | 20% | |||
VIE | ||||
Variable Interest Entity [Line Items] | ||||
Cash Collateral | ¥ 0 | ¥ 157,900 | ||
Net liabilities | ¥ 321,509 | $ 48,000 | ¥ 326,180 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Additional Information (Details) ¥ in Thousands, $ in Thousands | 6 Months Ended | |||||
Jun. 30, 2022 CNY (¥) Supplier | Jun. 30, 2022 USD ($) Supplier | Jun. 30, 2021 CNY (¥) Supplier | Jun. 30, 2022 USD ($) | Dec. 31, 2021 CNY (¥) | Dec. 31, 2021 USD ($) | |
Summary Of Significant Accounting Policies [Line Items] | ||||||
Foreign currency exchange rate | 6.6981 | 6.6981 | ||||
Finite lived intangible asset residual value | ¥ | ¥ 0 | |||||
Revenue Recognized | 42,182 | $ 6,298 | ¥ 44,405 | |||
Unsatisfied performance obligation | ¥ 31,562 | $ 4,712 | ||||
Depreciation of the US$ against RMB, percent | 5.11% | 5.11% | ||||
Product Concentration Risk | Suppliers | Three Suppliers [Member] | ||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||
Concentration risk, percentage | 38.20% | 38.20% | 49.20% | |||
Advertising | ||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||
Number of suppliers | Supplier | 3 | 3 | 3 | |||
CHINA | ||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||
Cash and cash equivalents, restricted cash and short-term investments | ¥ 102,450 | 15,295 | ¥ 276,644 | |||
Outside China | ||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||
Cash and cash equivalents, restricted cash and short-term investments | ¥ 9,534 | $ 1,423 | $ 2,186 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Schedule of Finite Lived Intangible Assets Estimated Economic Lives (Details) | 6 Months Ended |
Jun. 30, 2022 | |
Brand [Member] | |
Summary Of Significant Accounting Policies [Line Items] | |
Intangible assets | 10 years |
Customer Relationships [Member] | |
Summary Of Significant Accounting Policies [Line Items] | |
Intangible assets | 5 years |
Minimum | Computer software, systems and technology [Member] | |
Summary Of Significant Accounting Policies [Line Items] | |
Intangible assets | 1 year |
Maximum | Computer software, systems and technology [Member] | |
Summary Of Significant Accounting Policies [Line Items] | |
Intangible assets | 5 years |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Summary of Contract Liabilities (Details) ¥ in Thousands, $ in Thousands | Jun. 30, 2022 CNY (¥) | Jun. 30, 2022 USD ($) | Dec. 31, 2021 CNY (¥) |
Contract with Customer, Asset and Liability [Abstract] | |||
Contract liabilities | ¥ 85,481 | $ 12,762 | ¥ 80,405 |
Accounts receivable, net - Sche
Accounts receivable, net - Schedule of Accounts Receivable (Details) ¥ in Thousands, $ in Thousands | Jun. 30, 2022 CNY (¥) | Jun. 30, 2022 USD ($) | Dec. 31, 2021 CNY (¥) |
Receivables [Abstract] | |||
Accounts and notes receivable | ¥ 61,728 | $ 9,216 | ¥ 81,550 |
Less: allowance for doubtful accounts | (26,590) | (3,970) | (37,690) |
Total accounts and notes receivable, net | ¥ 35,138 | $ 5,246 | ¥ 43,860 |
Accounts receivable, net - Sc_2
Accounts receivable, net - Schedule of Movement in Allowance for Doubtful Accounts (Details) ¥ in Thousands, $ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2022 CNY (¥) | Jun. 30, 2022 USD ($) | Dec. 31, 2021 CNY (¥) | |
Receivables [Abstract] | |||
Beginning balance | ¥ 37,690 | $ 5,627 | ¥ 43,820 |
Provisions | 1,669 | 249 | (246) |
Write-offs | (12,769) | (1,906) | (5,884) |
Ending balance | ¥ 26,590 | $ 3,970 | ¥ 37,690 |
Prepayments and other current_3
Prepayments and other current assets - Schedule of Prepayment and Other Current Assets (Details) ¥ in Thousands, $ in Thousands | Jun. 30, 2022 CNY (¥) | Jun. 30, 2022 USD ($) | Dec. 31, 2021 CNY (¥) | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||||
Receivables on behalf of third party advertising companies | [1] | ¥ 4,902 | $ 732 | ¥ 12,599 |
Prepaid service fee | 9,907 | 1,479 | 11,410 | |
VAT and other surcharges | 3,725 | 556 | 5,618 | |
Investment in a convertible loan | 4,463 | 666 | 4,221 | |
Loans granted to equity investees | [2] | 5,000 | 746 | 3,000 |
Office rental deposit | 926 | 138 | 919 | |
Prepaid media cost | 1,635 | 244 | 551 | |
Receivables from sales of shares on behalf of employees | 393 | 59 | 180 | |
Others | 3,287 | 492 | 8,172 | |
Total prepayments and other current assets | ¥ 34,238 | $ 5,112 | ¥ 46,670 | |
[1]Starting from January 1, 2021, the Company has fully exited the Targeted Marketing business and this balance represents the receivables the Company acts as agent and collects on behalf of third party advertising companies for targeted marketing related services.[2]For the six months ended June 30, 2021 and 2022, the Company recognized impairment charges on loans granted to equity investees of nil and RMB666 (US$99). The Company evaluates the impairment of the equity investments without readily determinable fair value along with loans the Company granted to those investees. |
Prepayments and other current_4
Prepayments and other current assets - Schedule of Prepayment and Other Current Assets (Parenthetical) (Details) ¥ in Thousands, $ in Thousands | 6 Months Ended | ||
Jun. 30, 2022 CNY (¥) | Jun. 30, 2022 USD ($) | Jun. 30, 2021 CNY (¥) | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |||
Impairment charges | ¥ 666 | $ 99 | ¥ 0 |
Long-Term Investments - Additio
Long-Term Investments - Additional Information (Details) ¥ in Thousands, $ in Thousands | 6 Months Ended | |||
Jun. 30, 2022 CNY (¥) | Jun. 30, 2022 USD ($) | Jun. 30, 2022 USD ($) | Dec. 31, 2021 CNY (¥) | |
Schedule Of Investments [Line Items] | ||||
Equity Securities without Readily Determinable Fair Value, Amount | ¥ 140,015 | $ 20,904 | ¥ 141,926 | |
Cost-method Investments, Other than Temporary Impairment | 6,350 | $ 948 | ||
Accumulated imapirment of equity investments | ¥ 71,146 | $ 10,622 | ¥ 63,902 |
Business combination - Addition
Business combination - Additional Information (Details) - SendCloud Technology Co., Ltd., [Member] ¥ in Thousands | Mar. 08, 2022 CNY (¥) shares |
Business Acquisition [Line Items] | |
Percentage of equity interests acquired | 52.37% |
Cash consideration | ¥ | ¥ 34,473 |
SendCloud Management [Member] | |
Business Acquisition [Line Items] | |
Restricted stock shares issued | shares | 1,366,128 |
Awards vesting period | 9 months |
Business combination - Schedule
Business combination - Schedule of Business Combination (Details) ¥ in Thousands, $ in Thousands | Mar. 08, 2022 CNY (¥) | Mar. 08, 2022 USD ($) | Jun. 30, 2022 CNY (¥) | Jun. 30, 2022 USD ($) | Mar. 08, 2022 USD ($) |
Business Acquisition [Line Items] | |||||
Goodwill | ¥ 37,785 | $ 5,641 | |||
SendCloud [Member] | |||||
Business Acquisition [Line Items] | |||||
Purchase consideration | ¥ 34,473 | $ 5,147 | |||
Fair value of redeemable noncontrolling interests | 31,397 | $ 4,687 | |||
Cash and cash equivalents | 17,744 | 2,649 | |||
Other current and noncurrent assets | 1,025 | 154 | |||
Deferred revenue | (6,529) | (975) | |||
Deferred tax liabilities | (5,330) | (796) | |||
Other current liabilities | (2,925) | (437) | |||
Goodwill | 37,785 | 5,641 | |||
SendCloud [Member] | Customer Relationships [Member] | |||||
Business Acquisition [Line Items] | |||||
Business combination, recognized identifiable assets acquired and liabilities assumed, finite-lived intangibles | 13,800 | 2,060 | |||
SendCloud [Member] | Brand [Member] | |||||
Business Acquisition [Line Items] | |||||
Business combination, recognized identifiable assets acquired and liabilities assumed, finite-lived intangibles | ¥ 10,300 | $ 1,538 |
Deferred Revenue and Customer_3
Deferred Revenue and Customer Deposits (Details) ¥ in Thousands, $ in Thousands | Jun. 30, 2022 CNY (¥) | Jun. 30, 2022 USD ($) | Dec. 31, 2021 CNY (¥) |
Revenue Recognition and Deferred Revenue [Abstract] | |||
Deferred revenue | ¥ 85,481 | $ 12,762 | ¥ 80,405 |
Customer deposits | 44,239 | 6,605 | 39,586 |
Total deferred revenue and customer deposits — current | 129,720 | 19,367 | 119,991 |
Deferred revenue — non-current | ¥ 8,027 | $ 1,198 | ¥ 3,845 |
Accrued Liabilities and Other_3
Accrued Liabilities and Other Current Liabilities - Schedule of Accrued Liabilities and Other Current Liabilities (Details) ¥ in Thousands, $ in Thousands | Jun. 30, 2022 CNY (¥) | Jun. 30, 2022 USD ($) | Dec. 31, 2021 CNY (¥) | |
Payables and Accruals [Abstract] | ||||
Accrued payroll and welfare payables | ¥ 35,357 | $ 5,279 | ¥ 52,947 | |
Income taxes payable | 230 | 34 | 0 | |
Other taxes and surcharge | 7,294 | 1,089 | 9,932 | |
Service fees | 9,228 | 1,378 | 5,233 | |
Acquisition of intangible assets, property and equipment | 840 | 125 | 840 | |
Government grants | 1,000 | 149 | 4,500 | |
Rental and property management fee | 3,410 | 509 | 3,418 | |
Payables for sales of employees' shares | 393 | 59 | 180 | |
Payables to third party advertising companies | [1] | 787 | 117 | 4,066 |
Payable for business acquisition | [2] | 16,788 | 2,506 | 0 |
Others | 2,913 | 436 | 4,189 | |
Total accrued liabilities and other current liabilities | ¥ 78,240 | $ 11,681 | ¥ 85,305 | |
[1]The balance represents the payments to third party advertising companies for targeted marketing related services as the Company acts as agent.[2]The balance represents the remaining unpaid cash consideration of RMB16,788 from the acquisition of SendCloud (see Note 6 for details). |
Accrued Liabilities and Other_4
Accrued Liabilities and Other Current Liabilities - Schedule of Accrued Liabilities and Other Current Liabilities (Parenthetical) (Details) ¥ in Thousands, $ in Thousands | Jun. 30, 2022 CNY (¥) | Jun. 30, 2022 USD ($) | Dec. 31, 2021 CNY (¥) | |
Unpaid cash consideration | [1] | ¥ 16,788 | $ 2,506 | ¥ 0 |
SendCloud [Member] | ||||
Unpaid cash consideration | ¥ 16,788 | |||
[1]The balance represents the remaining unpaid cash consideration of RMB16,788 from the acquisition of SendCloud (see Note 6 for details). |
Share-Based Compensation - Addi
Share-Based Compensation - Additional Information (Details) - shares | 6 Months Ended | |||
Dec. 30, 2021 | Mar. 01, 2017 | Jul. 23, 2014 | Jun. 30, 2022 | |
2014 Incentive Plan | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Awards vesting period | 4 years | |||
Common shares reserved for issuance | 5,500,000 | |||
Share available for grant | 37,911 | |||
2014 Incentive Plan | Maximum | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Awards expiration period | 10 years | |||
2017 Incentive Plan | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Awards vesting period | 4 years | |||
Common shares reserved for issuance | 6,015,137 | |||
Share available for grant | 86,632 | |||
2017 Incentive Plan | Maximum | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Awards expiration period | 10 years | |||
2021 incentive plan | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Awards vesting period | 4 years | |||
Awards expiration period | 10 years | |||
Common shares reserved for issuance | 4,000,000 | |||
Share available for grant | 2,333,872 | |||
2014, 2017 and 2021 Plans | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Awards expiration period | 10 years | |||
2014, 2017 and 2021 Plans | Maximum | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Awards vesting period | 4 years |
Share-Based Compensation - Summ
Share-Based Compensation - Summary of Total Compensation Costs Recognized (Details) ¥ in Thousands, $ in Thousands | 6 Months Ended | ||
Jun. 30, 2022 CNY (¥) | Jun. 30, 2022 USD ($) | Jun. 30, 2021 CNY (¥) | |
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | |||
Total | ¥ 10,184 | $ 1,520 | ¥ 19,036 |
Cost of Revenue | |||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | |||
Total | (6) | (1) | 20 |
Research and Development | |||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | |||
Total | (1,599) | (239) | 6,464 |
Sales and Marketing | |||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | |||
Total | 520 | 78 | 1,733 |
General and Administrative | |||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | |||
Total | ¥ 11,269 | $ 1,682 | ¥ 10,819 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) ¥ in Thousands, $ in Thousands | 6 Months Ended | |||
Jun. 30, 2022 CNY (¥) | Jun. 30, 2022 USD ($) | Jun. 30, 2021 CNY (¥) | Jun. 30, 2022 USD ($) | |
Income Tax Disclosure [Line Items] | ||||
Income tax expenses | ¥ 135 | $ 20 | ¥ 11 | |
Effective income tax rate | 0.24% | 0.24% | 0.03% | |
Uncertain income tax liabilities | ¥ 117 | $ 17 | ||
Uncertain tax positions income tax penalties | 0 | ¥ 0 | ||
Uncertain tax positions income tax interest | ¥ 0 | ¥ 0 | ||
Hong Kong | ||||
Income Tax Disclosure [Line Items] | ||||
Effective profits tax rate | 16.50% | 16.50% | ||
PRC | ||||
Income Tax Disclosure [Line Items] | ||||
Effective statutory enterprise income tax rate | 25% | 25% | ||
Effective preferential income tax rate | 15% | 15% |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Details) ¥ in Thousands, $ in Thousands | 6 Months Ended | ||
Jun. 30, 2022 CNY (¥) | Jun. 30, 2022 USD ($) | Jun. 30, 2021 CNY (¥) | |
Commitments And Contingencies Disclosure [Line Items] | |||
Operating lease, expenses | ¥ 6,350 | $ 948 | ¥ 6,509 |
Maximum [Member] | Office Premise [Member] | |||
Commitments And Contingencies Disclosure [Line Items] | |||
Operating Lease term of contract | 5 years | 5 years | |
Minimum [Member] | Office Premise [Member] | |||
Commitments And Contingencies Disclosure [Line Items] | |||
Operating Lease term of contract | 1 year | 1 year |
Commitments and Contingencies_2
Commitments and Contingencies - Schedule of Future Minimum Payments Under Non-Cancellable Operating Leases (Details) - Jun. 30, 2022 ¥ in Thousands, $ in Thousands | CNY (¥) | USD ($) |
Commitments and Contingencies Disclosure [Abstract] | ||
For the six months ended December 31, 2022 | ¥ 3,586 | $ 535 |
For the years ended December 31, 2023 | 6,577 | 982 |
2024 | 5,381 | 803 |
Total | ¥ 15,544 | $ 2,320 |
Loss per share - Basic and Dilu
Loss per share - Basic and Diluted Loss Per Share (Details) ¥ / shares in Units, $ / shares in Units, ¥ in Thousands, $ in Thousands | 6 Months Ended | ||
Jun. 30, 2022 CNY (¥) ¥ / shares shares | Jun. 30, 2022 USD ($) $ / shares shares | Jun. 30, 2021 CNY (¥) ¥ / shares shares | |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||
Net loss attributable to common shareholders | ¥ (53,224) | $ (7,946) | ¥ (69,434) |
Class A [Member] | |||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||
Net loss attributable to Class A and Class B common shareholders | (41,785) | (6,238) | (54,429) |
Net loss attributable to common shareholders | ¥ (41,785) | $ (6,238) | ¥ (54,429) |
Weighted average number of shares used in calculating basic and diluted loss per share | 62,098,973 | 62,098,973 | 61,668,577 |
Basic loss per share | (per share) | ¥ (0.67) | $ (0.1) | ¥ (0.88) |
Dluted loss per share | (per share) | ¥ (0.67) | $ (0.1) | ¥ (0.88) |
Class B [Member] | |||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||
Net loss attributable to Class A and Class B common shareholders | ¥ (11,439) | $ (1,708) | ¥ (15,005) |
Net loss attributable to common shareholders | ¥ (11,439) | $ (1,708) | ¥ (15,005) |
Weighted average number of shares used in calculating basic and diluted loss per share | 17,000,189 | 17,000,189 | 17,000,189 |
Basic loss per share | (per share) | ¥ (0.67) | $ (0.1) | ¥ (0.88) |
Dluted loss per share | (per share) | ¥ (0.67) | $ (0.1) | ¥ (0.88) |
Redeemable noncontrolling int_3
Redeemable noncontrolling interests - Additional Information (Details) ¥ in Thousands, $ in Thousands | Jun. 30, 2022 | Mar. 08, 2022 CNY (¥) | Mar. 08, 2022 USD ($) |
Send Cloud [Member] | |||
Redeemable Noncontrolling Interest [Line Items] | |||
Fair value of redeemable noncontrolling interests | ¥ 31,397 | $ 4,687 | |
Send Cloud [Member] | |||
Redeemable Noncontrolling Interest [Line Items] | |||
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 47.63% |
Redeemable noncontrolling int_4
Redeemable noncontrolling interests - Summary of Redeemable noncontrolling Interests Balance (Detail) - 6 months ended Jun. 30, 2022 ¥ in Thousands, $ in Thousands | CNY (¥) | USD ($) |
Noncontrolling Interest [Abstract] | ||
Balance as of January 1, 2022 | ¥ 0 | $ 0 |
Initial fair value of redeemable noncontrolling interests | 31,397 | 4,687 |
Net loss attributable to redeemable noncontrolling interest | (2,061) | (308) |
Adjustment of redeemable noncontrolling interests to redemption value | 2,246 | 336 |
Balance as of June 30, 2022 | ¥ 31,582 | $ 4,715 |
Revenues - Additional Informati
Revenues - Additional Information (Details) ¥ in Thousands, $ in Thousands | 6 Months Ended | ||
Jun. 30, 2022 CNY (¥) | Jun. 30, 2022 USD ($) | Jun. 30, 2021 CNY (¥) | |
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | ¥ 161,477 | $ 24,108 | ¥ 165,609 |
Transferred at Point in Time [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 93,728 | 13,993 | 98,405 |
Transferred over Time [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | ¥ 67,749 | $ 10,115 | ¥ 67,204 |
Revenues - Schedule of Revenues
Revenues - Schedule of Revenues (Details) ¥ in Thousands, $ in Thousands | 6 Months Ended | ||
Jun. 30, 2022 CNY (¥) | Jun. 30, 2022 USD ($) | Jun. 30, 2021 CNY (¥) | |
Disaggregation Of Revenue [Line Items] | |||
Total revenues | ¥ 161,477 | $ 24,108 | ¥ 165,609 |
Developer Services | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenues | 115,006 | 17,170 | 113,608 |
Vertical Applications | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenues | ¥ 46,471 | $ 6,938 | ¥ 52,001 |
Short-term investments - Additi
Short-term investments - Additional Information (Details) | 12 Months Ended |
Dec. 31, 2021 | |
Short-term Investments [Member] | |
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items] | |
Maturity of Time Deposits | 3 months |
Short-term investments - Summar
Short-term investments - Summary of Short-term investments classification (Details) ¥ in Thousands, $ in Thousands | Jun. 30, 2022 CNY (¥) | Jun. 30, 2022 USD ($) | Dec. 31, 2021 CNY (¥) |
Schedule of Held-to-maturity Securities [Line Items] | |||
Cost or Amortized cost | ¥ 20,000 | $ 2,986 | ¥ 30,000 |
Fair value | ¥ 20,000 | $ 2,986 | ¥ 30,000 |
Fair Value Measurements - Summa
Fair Value Measurements - Summary of Assets And Liabilities Measured Or Disclosed At Fair Value (Details) - CNY (¥) ¥ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2022 | Dec. 31, 2021 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Derivative Asset, Current | ¥ 3 | ¥ 5,989 | |
Fair value adjustment | (6,373) | (19,351) | |
Total assets and liabilities measured at fair value | 3 | 6,574 | |
Fair Value, Nonrecurring [Member] | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Equity investments accounted for at fair value using the alternative measurement | [1] | 585 | |
Fair value adjustment | [1] | (6,376) | (25,340) |
Fair Value, Recurring [Member] | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Derivative Asset, Current | 3 | 5,989 | |
Fair Value, Inputs, Level 2 [Member] | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Total assets and liabilities measured at fair value | 3 | 5,989 | |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Recurring [Member] | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Derivative Asset, Current | ¥ 3 | 5,989 | |
Fair Value, Inputs, Level 3 [Member] | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Total assets and liabilities measured at fair value | 585 | ||
Fair Value, Inputs, Level 3 [Member] | Fair Value, Nonrecurring [Member] | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Equity investments accounted for at fair value using the alternative measurement | [1] | ¥ 585 | |
[1]For equity securities accounted for under the measurement alternative, when there are observable price changes in orderly transactions for identical or similar investments of the same issuer, the investments are re-measured to fair value. The Company recognized impairment charges of long-term investments during the six months ended June 30, 2022. |
Restricted Net Assets - Additio
Restricted Net Assets - Additional Information (Details) ¥ in Thousands, $ in Thousands | 6 Months Ended | ||
Jun. 30, 2022 CNY (¥) | Jun. 30, 2022 USD ($) | Dec. 31, 2021 CNY (¥) | |
Dividends Payable [Line Items] | |||
Threshold limit percentage of registered capital | 50% | ||
PRC | VIE | |||
Dividends Payable [Line Items] | |||
Restricted net asset, using statutory accounting principles | ¥ 534,632 | $ 79,818 | ¥ 529,963 |
Minimum | |||
Dividends Payable [Line Items] | |||
Minimum percentage of net profit to be allocated to statutory reserve fund | 10% |
Subsequent Events - Additional
Subsequent Events - Additional Information (Details) ¥ in Thousands, $ in Thousands | 6 Months Ended | ||
Jul. 31, 2022 CNY (¥) | Jun. 30, 2022 CNY (¥) | Sep. 15, 2022 USD ($) | |
Subsequent Event [Line Items] | |||
Prepayments relating to land use right | ¥ 10,963 | ||
Land use right balance payment date of consideration | Jun. 15, 2023 | ||
Subsequent Event | |||
Subsequent Event [Line Items] | |||
Payments To Acquire Land Held For Use | ¥ 21,925 | ||
Land held for use period | 30 years | ||
Stock Repurchase Program Authorized Amount | $ | $ 5 |