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VIOT Viomi Technology

Filed: 26 Aug 21, 6:31am

Exhibit 99.1

 

Viomi Technology Co., Ltd Reports Second Quarter 2021 Unaudited Financial Results

 

Gross margin recovered to 21.2% from 14.3% a year ago

Net income attributable to ordinary shareholders increased significantly, by 367.4% year-over-year

 

GUANGZHOU, China, August 25, 2021 -- Viomi Technology Co., Ltd (“Viomi” or the “Company”) (NASDAQ: VIOT), a leading IoT @ Home technology company in China, today announced its unaudited financial results for the second quarter ended June 30, 2021.

 

Second Quarter 2021 Financial and Operating Highlights

 

Net revenues reached RMB1,658.9 million (US$256.9 million), compared to RMB1,684.4 million for the second quarter of 2020.

Gross margin was 21.2%, compared to 14.3% for the second quarter of 2020.

Net income attributable to ordinary shareholders of the Company increased by 367.4% to RMB46.1 million (US$7.1 million) from RMB9.9 million for the second quarter of 2020.

Non-GAAP net income attributable to ordinary shareholders of the Company 1 increased by 44.9% to RMB59.5 million (US$9.2 million) from RMB41.1 million for the second quarter of 2020.

Number of cumulative household users reached approximately 5.9 million, compared to approximately 5.6 million as of the end of the first quarter of 2021 and approximately 4.2 million as of the end of the second quarter of 2020.

Percentage of household users with at least two connected products reached 20.7%, compared to 20.4% as of the end of the first quarter of 2021 and 19.0% as of the end of the second quarter of 2020.

 

“We optimized the product portfolio for certain categories in the second quarter and increased sales of new products with higher gross margins, further enhancing our business operations and improving overall gross margin and profitability,” said Mr. Xiaoping Chen, Founder, Chairman of the Board of Directors and Chief Executive Officer of Viomi.

 

“We have been working to develop a 5G IoT home structure, which integrates a technology framework, sensors, AI algorithms, 5G IoT chip modules, smart hardware and cloud storage. This structure encourages further implementation of our one-stop IoT home solutions, providing our users with smart home appliances, smart home devices and software services across home scenarios.”

 

 

1 

“Non-GAAP net income attributable to ordinary shareholders of the Company” is defined as net income attributable to ordinary shareholders of the Company excluding share-based compensation expenses. See “Use of Non-GAAP Measures” and “Reconciliation of GAAP and Non-GAAP Results” included elsewhere in this press release.

 


 

“We officially announced our ‘trending technology’ branding strategy, which is underscored by our products, channel operations and marketing. With respect to product research and development, we continued to focus on AI applications and innovation to support our ‘AI: Helpful’ product strategy. Following the successful April debut of a series of new products including the EROx mineral water purifier, the Alpha 2 Plus premium sweeper robot, and Space, our all-direction air conditioner, we recently launched our Super Pro 1200G water purifier, our Cross 2 X1 AI-enabled range hood, and other new AI products with technology upgrades. Many of these cutting-edge products are leading industry consumption trends,” added Mr. Chen.

 

“We also implemented our ‘larger store, better merchant’ channel strategy. We have collaborated with high-quality merchants with strong store operation experience to open larger experience stores and improve store image. These larger stores provide users with more comprehensive, scenario-based experiences and services, enhancing our ‘trending technology’ brand image. We have established 4S and 5S flagship experience stores encompassing over 200 square meters and 300 square meters, respectively in Henan, Hubei, Gansu, Liaoning and other provinces to offer sales, installation and after-sale services. Furthermore, this channel strategy promotes bundled sales, decreases customer acquisition cost and drives our overall offline market growth.”

 

“We are reaching more diverse consumer groups with our omnichannel marketing tools and branding efforts. We invited one of China’s top celebrities to become our product spokesperson, enhancing our brand recognition among younger generations. To target more consumers in cities, we collaborated with Focus Media and Xinchao Media to advertise in around 100 major cities across the nation, as well as three top domestic airline magazines to increase our exposure to high-end consumers. We also strengthened our new channel marketing on social media including Douyin and Little Red Book through short-form videos and key opinion leader (KOL) livestreaming. We expect our efforts in product innovation, channel optimization and branding activities to strengthen our ‘trending technology’ brand positioning as well as grow our customer base.”

 

“The overseas expansion of our sweeper robot business is progressing in line with our planning. In addition to our previous coverage in more than 10 countries in Europe, Asia and Australia, we began selling units in India, Saudi Arabia, Thailand and North European countries in the second quarter. Our products were launched on U.S. Amazon in August, marking our official entry into the North American market. We will continue to expand globally and begin development of the self-operating mode in the second half of 2021. Furthermore, our product pipeline includes a series of new sweeper robot products for both domestic and overseas markets. In addition to our automatic dust collection and UV disinfection technologies, we are making great strides with lidar and obstacle avoidance technology upgrades.”

 

“We are committed to becoming the leading one-stop IoT home solutions provider. Looking into the second half of the year, we will continue to improve our products through AI innovation, execute our ‘larger store, better merchant’ channel enhancement strategy, and strengthen our ‘trending technology’ branding. With the ongoing development of home smartification in China, we remain confident in our ability to capitalize on opportunities and deliver long-term growth, as well as contribute positively to our consumers’ quality of life and the industry-wide intelligent transformation,” concluded Mr. Chen.

 

 


 

Second Quarter 2021 Financial Results

 

REVENUE

 

Net revenues decreased slightly by 1.5% to RMB1,658.9 million (US$256.9 million) from RMB1,684.4 million for the second quarter of 2020, and increased by 43.0% compared to the same period of 2019. The slight year-over-year decrease was primarily due to (i) sales decreases in water purifiers and small appliances, resulting from the product portfolio adjustment for margin expansion; and (ii) a high base effect during the same period of last year due to increased promotional activities after COVID-19 pandemic’s peak.

 

 

-

IoT @ Home portfolio. Revenues from IoT @ Home portfolio increased by 7.9% to RMB1,146.3 million (US$177.5 million) from RMB1,062.3 million for the second quarter of 2020. The growth was primarily driven by sales increases in certain product series, particularly Viomi-branded sweeper robots and washing machines.

 

 

-

Home water solutions. Revenues from home water solutions decreased by 18.0% to RMB218.9 million (US$33.9 million) from RMB266.8 million for the second quarter of 2020. The decline was primarily due to a decrease in sales of Xiaomi-branded water purifiers, resulting from a product portfolio adjustment, though partially mitigated by the sales increases in Viomi-branded water purifiers. Due to the product portfolio adjustment in Xiaomi-branded water purifiers, the Company achieved year-over-year and quarter-over-quarter increases in the overall gross margin of home water solutions.

 

 

-

Consumables. Revenues from consumables increased by 18.2% to RMB102.2 million (US$15.8 million) from RMB86.5 million for the second quarter of 2020, primarily due to the increased demand for the Company’s water purifier filter products.

 

 

-

Small appliances and others. Revenues from small appliances and others decreased by 28.8% to RMB191.5 million (US$29.7 million) from RMB268.8 million for the second quarter of 2020, primarily due to continued product portfolio optimization for higher gross margin in this category.

 

GROSS PROFIT

 

Gross profit increased by 46.0% to RMB351.8 million (US$54.5 million) from RMB241.0 million for the second quarter of 2020. Gross margin increased to 21.2% from 14.3% for the second quarter of 2020, primarily driven by the Company’s efforts to shift the business and product mix toward higher gross margin products. This includes the increased revenue contribution from sales of new Viomi-branded water purifiers and sweeper robots, as well as cost control measures including technology upgrades and price lock and margin optimization across product lines.

 

OPERATING EXPENSES

 

Total operating expenses increased by 29.4% to RMB309.7 million (US$48.0 million) from RMB239.4 million for the second quarter of 2020, primarily due to the increase in selling and marketing expenses.

 

 


 

Research and development expenses increased by 9.1% to RMB66.2 million (US$10.3 million) from RMB60.7 million for the second quarter of 2020, mainly due to the increase in research and development experts and related salaries and expenses.

 

Selling and marketing expenses increased by 32.5% to RMB214.8 million (US$33.3 million) from RMB162.1 million for the second quarter of 2020, primarily attributable to an increase in advertising and marketing activities to enhance the Company’s branding and market recognition.

 

General and administrative expenses increased by 72.6 % to RMB28.8 million (US$4.5 million), compared to RMB16.7 million for the second quarter of 2020, primarily due to an increase of the estimated allowance for accounts and notes receivables, together with the low base effect of lease expenses, attributable to lease expense exemption policies in effect during the same period of last year due to COVID-19.

 

INCOME FROM OPERATIONS

 

Income from operations increased by 439.7% to RMB47.2 million (US$7.3 million) from RMB8.7 million for the second quarter of 2020.

 

Non-GAAP operating income2, which excludes the impact of share-based compensation expenses, increased by 51.7% to RMB60.6 million (US$9.4 million) from RMB40.0 million for the second quarter of 2020.

 

NET INCOME

 

Net income attributable to ordinary shareholders of the Company increased by 367.4% to RMB46.1 million (US$7.1 million) from RMB9.9 million for the second quarter of 2020.

 

Non-GAAP net income attributable to ordinary shareholders of the Company increased by 44.9% to RMB59.5 million (US$9.2 million) from RMB41.1 million for the second quarter of 2020.

 

BALANCE SHEET

 

As of June 30, 2021, the Company had cash and cash equivalents of RMB667.6 million (US$103.4 million), restricted cash of RMB21.5 million (US$3.3 million), short-term deposits of RMB66.5 million (US$10.3 million) and short-term investments of RMB393.8 million (US$61.0 million), compared to RMB504.1 million, RMB70.6 million, nil and RMB696.1 million, respectively, as of December 31, 2020.

 

OUTLOOK

 

For the third quarter of 2021, the Company currently expects:

 

-

Net revenues to be between RMB1.0 billion and RMB1.1 billion.

 

 

2 

“Non-GAAP operating income” is defined as income from operation excluding share-based compensation expenses. See “Use of Non-GAAP Measures” and “Reconciliation of GAAP and Non-GAAP Results” included elsewhere in this press release.

 


 

The Company expects the sales of Xiaomi-branded sweeper robots to decrease from the third quarter and the own-branded sweeper robot business to achieve faster growth, which will become one of the main categories.

 

The above outlook is based on the current market conditions and reflects the Company’s current and preliminary estimates of market and operating conditions and customer demand, all of which are subject to change.

 

Conference Call

 

The Company’s management will host a conference call at 8:00 a.m. Eastern Time on Wednesday, August 25, 2021 (8:00 p.m. Beijing/Hong Kong time on August 25, 2021) to discuss financial results and answer questions from investors and analysts. Listeners may access the call by dialing:

 

United States (Toll Free):

800-289-0438

International:

+1 323-794-2423

Mainland China (Toll Free):

400-120-9101

Hong Kong (Toll Free):

800-961-105

Conference ID:

6252740

 

A telephone replay will be available two hours after the call until August 31, 2021 by dialing:

 

United States:

+1 888-203-1112

International:

+1 719-457-0820

Hong Kong:

+852 5808-3200

Mainland China:

400-120-1651

Replay Passcode:

6252740

 

Additionally, a live and archived webcast of the conference call will be available at http://ir.viomi.com.

 

About Viomi Technology

 

Viomi’s mission is to redefine the future home via the concept of IoT @ Home.

 

Viomi has developed a unique IoT @ Home platform consisting an ecosystem of innovative IoT-enabled smart home products, together with a suite of complementary consumable products and value-added businesses. This platform provides an attractive entry point into the consumer home, enabling consumers to intelligently interact with a broad portfolio of IoT products in an intuitive and human-like manner to make daily life more convenient, efficient and enjoyable, while allowing Viomi to grow its household user base and capture various additional scenario-driven consumption events in the home environment.

 

For more information, please visit: http://ir.viomi.com.

 

 


 

Use of Non-GAAP Measures

 

The Company uses non-GAAP operating income, non-GAAP net income, non-GAAP net income attributable to the Company, non-GAAP net income attributable to ordinary shareholders, non-GAAP basic and diluted net income per ordinary share and non-GAAP basic and diluted net income per American depositary share (“ADS”), which are non-GAAP financial measures, in evaluating its operating results and for financial and operational decision-making purposes. Non-GAAP operating income is income from operations excluding share-based compensation expenses. Non-GAAP net income is net income excluding share-based compensation expenses. Non-GAAP net income attributable to the Company is net income attributable to the Company excluding share-based compensation expenses. Non-GAAP net income attributable to ordinary shareholders is net income attributable to ordinary shareholders excluding share-based compensation expenses. Non-GAAP basic and diluted net income per ordinary share is non-GAAP net income attributable to ordinary shareholders divided by weighted average number of ordinary shares used in the calculation of non-GAAP basic and diluted net income per ordinary share. Non-GAAP basic and diluted net income per ADS is non-GAAP net income attributable to ordinary shareholders divided by weighted average number of ADS used in the calculation of non-GAAP basic and diluted net income per ADS. The non-GAAP adjustments do not have any tax impact as share-based compensation expenses are non-deductible for income tax purpose.

 

The Company believes that non-GAAP financial measures help identify underlying trends in its business by excluding the impact of share-based compensation expenses, which are non-cash charges, and these measures provide useful information about the Company’s operating results, enhance the overall understanding of the Company’s past performance and future prospects and allow for greater visibility with respect to key metrics used by the Company’s management in its financial and operational decision-making.

 

Non-GAAP financial measures should not be considered in isolation or construed as alternative to income from operations, net income, or any other measure of performance or as an indicator of the Company’s operating performance. Investors are encouraged to review the historical non-GAAP financial measures to the most directly comparable GAAP measures. Non-GAAP financial measures presented here may not be comparable to similarly titled measures presented by other companies. Other companies may calculate similarly titled measures differently, limiting their usefulness as comparative measures to the Company’s data. We encourage investors and others to review its financial information in its entirety and not rely on a single financial measure. Reconciliations of the Company’s non-GAAP financial measures to the most directly comparable GAAP measures are included at the end of this press release.

 

Exchange Rate

 

The Company’s business is primarily conducted in China and the significant majority of revenues generated are denominated in Renminbi (“RMB”). This announcement contains currency conversions of RMB amounts into U.S. dollars (“US$”) solely for the convenience of the reader. Unless otherwise noted, all translations from RMB to US$ are made at a rate of RMB6.4566 to US$1.00, the effective noon buying rate for June 30, 2021 as set forth in the H.10 statistical release of the Federal Reserve Board. No representation is made that the RMB amounts could have been, or could be, converted, realized or settled into US$ at that rate on for June 30, 2021, or at any other rate.

 

 


 

Safe Harbor Statement

 

This announcement contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates,” “confident” and similar statements. Among other things, the business outlook and quotations from management in this announcement, as well as Viomi’s strategic and operational plans, contain forward-looking statements. Viomi may also make written or oral forward-looking statements in its periodic reports to the United States Securities and Exchange Commission (the “SEC”), in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to Fourth parties. Statements that are not historical facts, including statements about the Company’s beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: the Company’s growth strategies; the cooperation with Xiaomi, the recognition of the Company’s brand; trends and competition in global IoT-enabled smart home market; development and commercialization of new products, services and technologies; governmental policies and relevant regulatory environment relating to the Company’s industry and/or aspects of the business operations and general economic conditions in China and around the globe, and assumptions underlying or related to any of the foregoing. Further information regarding these and other risks is included in the Company’s filings with the SEC. All information provided in this press release and in the attachments is as of the date of this press release, and the Company undertakes no obligation to update any forward-looking statement, except as required under applicable law.

 

For investor and media inquiries, please contact:

 

In China:

 

Viomi Technology Co., Ltd

Cecilia Li

E-mail: ir@viomi.com.cn

 

The Piacente Group, Inc.

Emilie Wu

Tel: +86-21-6039-8363

E-mail: viomi@tpg-ir.com

 

In the United States:

 

The Piacente Group, Inc.  

Brandi Piacente

Tel: +1-212-481-2050

E-mail: viomi@tpg-ir.com

 


 

VIOMI TECHNOLOGY CO., LTD

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS

(All amounts in thousands, except shares, ADS, per share and per ADS data)

 

 

 

As of December 31,

 

As of June 30,

 

 

2020

 

2021

 

2021

 

 

RMB

 

RMB

 

US$

 

 

 

 

 

 

 

Assets

 

 

 

 

 

 

Current assets

 

 

 

 

 

 

Cash and cash equivalents

 

504,108

 

667,573

 

103,394

Restricted cash

 

70,601

 

21,505

 

3,331

Short-term deposits

 

-

 

66,525

 

10,303

Short-term investments

 

696,051

 

393,788

 

60,990

Accounts and notes receivable from third parties (net of allowance of RMB9,246 and RMB21,327 as of December 31, 2020 and June 30, 2021, respectively)

 

427,352

 

362,899

 

56,206

Accounts receivable from a related party (net of allowance of RMB61 and RMB588 as of December 31, 2020 and June 30, 2021, respectively)

 

609,094

 

557,861

 

86,402

Other receivables from related parties (net of allowance of RMB9 and RMB159 as of December 31, 2020 and June 30, 2021, respectively)

 

88,038

 

148,949

 

23,069

Inventories

 

439,375

 

558,100

 

86,439

Prepaid expenses and other current assets

 

87,280

 

160,306

 

24,828

Long-term deposits-current portion

 

10,000

 

60,000

 

9,293

 

 

 

 

 

 

 

Total current assets

 

2,931,899

 

2,997,506

 

464,255

 

 

 

 

 

 

 

Non-current assets

 

 

 

 

 

 

Prepaid expenses and other non-current assets

 

19,803

 

24,496

 

3,794

Property, plant and equipment, net

 

72,436

 

94,917

 

14,701

Deferred tax assets

 

14,189

 

16,871

 

2,613

Intangible assets, net

 

7,681

 

9,161

 

1,419

Right-of-use assets, net

 

20,529

 

24,150

 

3,740

Land use rights, net

 

        62,982

 

62,358

 

9,658

Long-term deposits-non-current portion

 

        50,000

 

-

 

-

 

 

 

 

 

 

 

Total non-current assets

 

247,620

 

231,953

 

35,925

 

 

 

 

 

 

 

Total assets

 

3,179,519

 

3,229,459

 

500,180

 

 

 

 

 

 

 

Liabilities and shareholders’ equity

 

 

 

 

 

 

Current liabilities

 

 

 

 

 

 

Accounts and notes payable

 

  1,001,371

 

1,102,055

 

170,687

Advances from customers

 

     112,613

 

78,502

 

12,158

Amount due to related parties

 

     124,192

 

5,852

 

906

Accrued expenses and other liabilities

 

     335,488

 

318,689

 

49,359

Income tax payables

 

        50,962

 

36,953

 

5,723

Lease liabilities due within one year

 

          9,481

 

12,391

 

1,919

Total current liabilities

 

  1,634,107

 

1,554,442

 

240,752

 

 

 

 

 

 

 

Non-current liabilities

 

 

 

 

 

 

Accrued expenses and other liabilities

 

          3,400

 

4,941

 

765

Lease liabilities

 

        11,693

 

12,549

 

1,944

Total non-current liabilities

 

15,093

 

17,490

 

2,709

 

 

 

 

 

 

 

Total liabilities

 

1,649,200

 

1,571,932

 

243,461

 

 

 

 


 

VIOMI TECHNOLOGY CO., LTD

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (CONTINUED)

(All amounts in thousands, except shares, ADS, per share and per ADS data)

 

 

 

As of December 31,

 

As of June 30,

 

 

2020

 

2021

 

2021

 

 

RMB

 

RMB

 

US$

 

 

 

 

 

 

 

Shareholders’ equity

 

 

 

 

 

 

Class A Ordinary Shares (US$0.00001 par value; 4,800,000,000 shares authorized; 104,163,686 and 107,060,264 shares issued and outstanding as of December 31, 2020 and June 30, 2021, respectively)

 

6

 

 

 

 

6

 

 

 

 

1

Class B Ordinary Shares (US$0.00001 par value; 150,000,000 shares authorized; 103,554,546 and 103,404,546 shares issued and outstanding as of December 31, 2020 and June 30, 2021, respectively)

 

6

 

 

 

 

6

 

 

 

 

1

Treasury stock

 

(54,600)

 

(54,600)

 

(8,456)

Additional paid-in capital

 

1,278,004

 

1,316,951

 

203,970

Retained earnings

 

363,051

 

456,484

 

70,700

Accumulated other comprehensive loss

 

(59,384)

 

(65,161)

 

(10,092)

 

 

 

 

 

 

 

Total equity attributable to shareholders of the Company

 

1,527,083

 

1,653,686

 

256,124

 

 

 

 

 

 

 

Non-controlling interests

 

3,236

 

3,841

 

595

 

 

 

 

 

 

 

Total shareholders’ equity

 

1,530,319

 

1,657,527

 

256,719

 

 

 

 

 

 

 

Total liabilities and shareholders’ equity

 

3,179,519

 

3,229,459

 

500,180

 

 


 


 

VIOMI TECHNOLOGY CO., LTD

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF

COMPREHENSIVE INCOME

(All amounts in thousands, except shares, ADS, per share and per ADS data)

 

 

 

Three Months Ended

 

 

June 30, 2020

June 30, 2021

June 30, 2021

 

 

RMB

RMB

US$

Net revenues:

 

 

 

 

A related party

 

813,012

732,875

113,508

Third parties

 

871,352

926,029

143,424

Total net revenues

 

1,684,364

1,658,904

256,932

 

 

 

 

 

Cost of revenues (including RMB217,482 and RMB8,550 with related parties for the three months ended June 30, 2020 and 2021, respectively)

 

(1,443,402)

(1,307,072)

(202,440)

 

 

 

 

 

Gross profit

 

240,962

351,832

54,492

 

 

 

 

 

Operating expenses(1)

 

 

 

 

Research and development expenses (including RMB541 and RMB794 with a related party for the three months ended June 30, 2020 and 2021, respectively)

 

(60,670)

(66,188)

(10,251)

Selling and marketing expenses (including RMB21,338 and RMB36,029 with a related party for the three months ended June 30, 2020 and 2021, respectively)

 

(162,107)

(214,777)

(33,265)

General and administrative expenses

 

(16,665)

(28,770)

(4,456)

 

 

 

 

 

Total operating expenses

 

(239,442)

(309,735)

(47,972)

 

 

 

 

 

Other income, net

 

7,220

5,070

                 785

 

 

 

 

 

Income from operations

 

8,740

47,167

7,305

 

 

 

 

 

Interest income and short-term investment income, net

 

7,097

8,860

1,372

Other non-operating income, net

 

594

(402)

(62)

 

 

 

 

 

Income before income tax expenses

 

16,431

   55,625

8,615

 

 

 

 

 

Income tax expenses

 

(6,114)

   (9,210)

(1,426)

 

 

 

 

 

Net income

 

10,317

46,415

7,189

 

 

 

 

 

Less: Net income attributable to the non-controlling interest shareholder

 

460

341

53

 

 

 

 

 

Net income attributable to ordinary shareholders of the Company

 

9,857

46,074

7,136

 

 

 

 


 

VIOMI TECHNOLOGY CO., LTD

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF

COMPREHENSIVE INCOME (CONTINUED)

(All amounts in thousands, except shares, ADS, per share and per ADS data)

 

 

 

Three Months Ended

 

 

June 30, 2020

June 30, 2021

June 30, 2021

 

 

RMB

RMB

US$

 

 

 

 

 

Net income attributable to the Company

 

9,857

46,074

7,136

 

 

 

 

 

Other comprehensive (loss) income, net of tax:

 

 

 

 

Foreign currency translation adjustment

 

(839)

(9,873)

(1,529)

 

 

 

 

 

Total comprehensive income attributable to the Company

 

9,018

36,201

5,607

 

 

 

 

 

Net income per share attributable to ordinary shareholders of the Company

 

 

 

 

-Basic

 

0.05

0.22

0.03

-Diluted

 

0.05

0.21

0.03

 

 

 

 

 

Weighted average number of ordinary shares used in calculating net income per share

 

 

 

 

-Basic

 

208,944,742

209,501,303

209,501,303

-Diluted

 

214,963,969

222,349,581

222,349,581

 

 

 

 

 

Net income per ADS*

 

 

 

 

-Basic

 

0.14

0.66

0.10

-Diluted

 

0.14

0.62

0.10

 

 

 

 

 

Weighted average number of ADS used in calculating net income per ADS

 

 

 

 

-Basic

 

69,648,247

69,833,768

69,833,768

-Diluted

 

71,654,656

74,116,527

74,116,527

 

 

 

 

 

 

*Each ADS represents 3 ordinary shares.

 

(1)

Share-based compensation was allocated in operating expenses as follows:

 

 

 

Three Months Ended

 

 

 

June 30, 2020

 

June 30, 2021

 

June 30, 2021

 

 

 

RMB

 

RMB

 

US$

 

 

 

 

 

 

 

 

 

 

 

 

General and administrative expenses

 

 

6,410

 

 

1,934

 

299

 

Research and development expenses

 

 

22,945

 

 

7,677

 

 

1,189

 

Selling and marketing expenses

 

 

1,863

 

 

3,820

 

592

 

 

 

 

 


 

VIOMI TECHNOLOGY CO., LTD

Reconciliations of GAAP and Non-GAAP Results

(All amounts in thousands, except shares, ADS, per share and per ADS data)

 

 

 

 

 

 

Three Months Ended

 

 

June 30, 2020

June 30, 2021

June 30, 2021

 

 

RMB

RMB

US$

 

 

 

 

 

Income from operations

 

8,740

47,167

7,305

Share-based compensation expenses

 

31,218

13,431

2,080

 

 

 

 

 

Non-GAAP operating income

 

39,958

60,598

9,385

 

 

 

 

 

Net income

 

10,317

46,415

7,189

Share-based compensation expenses

 

31,218

13,431

2,080

 

 

 

 

 

Non-GAAP net income

 

41,535

59,846

9,269

 

 

 

 

 

Net income attributable to the Company

 

9,857

46,074

7,136

Share-based compensation expenses

 

31,218

13,431

2,080

 

 

 

 

 

Non-GAAP net income attributable to the Company

 

41,075

59,505

   9,216

 

 

 

 

 

Net income attributable to ordinary shareholders

 

9,857

46,074

7,136

Share-based compensation expenses

 

31,218

13,431

2,080

 

 

 

 

 

Non-GAAP net income attributable to ordinary shareholders

 

41,075

59,505

9,216

 

 

 

 

 

Non-GAAP net income per ordinary share

 

 

 

 

-Basic

 

0.20

0.28

0.04

-Diluted

 

0.19

0.27

0.04

 

 

 

 

 

Weighted average number of ordinary shares used in calculating Non-GAAP net income per share

 

 

 

 

-Basic

 

208,944,742

209,501,303

209,501,303

-Diluted

 

214,963,969

222,349,581

222,349,581

 

 

 

 

 

Non-GAAP net income per ADS

 

 

 

 

-Basic

 

0.59

0.85

0.13

-Diluted

 

0.57

0.80

0.12

 

 

 

 

 

Weighted average number of ADS used in calculating Non-GAAP net income per ADS

 

 

 

 

-Basic

 

69,648,247

69,833,768

69,833,768

-Diluted

 

71,654,656

74,116,527

74,116,527

 

 

 

 

 

 

Note: The non-GAAP adjustments does not have any tax impact as share-based compensation expenses are non-deductible for income tax purpose.