-- Second Quarter Total Volume of e-scooter sales up 58.0% year over year
-- Second Quarter Revenues of
-- Second Quarter Net Income of
Second Quarter 2021 Financial Highlights
- Revenues were
RMB 944.7 million , an increase of 46.5% year over year - Gross margin was 22.7%, compared with 23.0% in the second quarter of last year
- Net income was
RMB 91.8 million , an increase of 61.6% compared withRMB 56.8 million in the second quarter of last year - Adjusted net income (non-GAAP)1 was
RMB 104.0 million , an increase of 53.4% compared withRMB 67.8 million in the second quarter of last year
Second Quarter 2021 Operating Highlights
- The number of e-scooters sold reached 252,998, up 58.0% year over year
- The number of e-scooters sold in
China reached 246,018, up 58.8% year over year - The number of e-scooters sold in the international markets reached 6,980, up 34.8% year over year
- The number of franchised stores in
China was 2,366, an increase of 450 sinceMarch 31, 2021 - International sales network expanded to 40 distributors covering 48 countries
Dr.
Second Quarter 2021 Financial Results
Revenues were
Revenues (in RMB million) | 2021 Q2 | 2020 Q2 | % change YoY | ||||
E-scooter sales from | 757.5 | 522.7 | +44.9% | ||||
E-scooter sales from international markets | 57.7 | 56.9 | +1.2% | ||||
E-scooter sales, sub-total | 815.2 | 579.6 | +40.6% | ||||
Accessories, spare parts and services | 129.5 | 65.3 | +98.3% | ||||
Total | 944.7 | 644.9 | +46.5% |
Revenues per e-scooter (in RMB) | 2021 Q2 | 2020 Q2 | % change YoY | ||||
E-scooter sales from | 3,079 | 3,373 | -8.7% | ||||
E-scooter sales from international markets2 | 8,259 | 10,995 | -24.9% | ||||
E-scooter sales | 3,222 | 3,619 | -11.0% | ||||
Accessories, spare parts and services3 | 512 | 408 | +25.5% | ||||
Revenues per e-scooter | 3,734 | 4,027 | -7.3% |
- E-scooter sales revenues from
China market wereRMB 757.5 million , an increase of 44.9%, and represented 92.9% of total e-scooter revenues. The increase was mainly driven by retail network expansion and new product launches inChina . - E-scooter sales revenues from international markets were
RMB 57.7 million , an increase of 1.2%, and represented 7.1% of total e-scooter revenues. The increase was mainly driven by higher sales volume. - Accessories, spare parts sales and services revenues were
RMB 129.5 million , an increase of 98.3% and represented 13.7% of total revenues. The increase was mainly driven by higher e-scooter sales volume inChina and higher spare parts sales from international markets. - The decrease of revenues per e-scooter was mainly due to change in product mix.
Cost of revenues was
Gross margin was 22.7%, compared with 23.0% in the same period of 2020. The decrease was mainly due to higher raw material costs.
Operating expenses were
- Selling and marketing expenses were
RMB 68.9 million (includingRMB 3.0 million of share-based compensation), an increase of 51.0% fromRMB 45.6 million in the second quarter of 2020. The increase was mainly due to the increase in advertising and promotion expense ofRMB 10.6 million , the increase in depreciation and amortization expense ofRMB 7.3 million as a result of opening of new franchised stores, and the increase in staff cost ofRMB 6.5 million . Selling and marketing expenses as a percentage of revenues was 7.3% compared with 7.1% in the second quarter of 2020. - Research and development expenses were
RMB 30.8 million (includingRMB 4.3 million of share-based compensation), an increase of 28.7% fromRMB 24.0 million in the second quarter of 2020, mainly due to the increase in staff cost ofRMB 4.8 million , and the increase in share-based compensation expenses ofRMB 1.2 million . Research and development expenses as a percentage of revenues was 3.3%, compared with 3.7% in the second quarter of 2020. - General and administrative expenses were
RMB 37.2 million (includingRMB 4.7 million of share-based compensation), an increase of 61.6% fromRMB 23.0 million in the second quarter of 2020, mainly due to the increase in staff cost ofRMB 3.7 million , the increase in professional fee ofRMB 2.8 million , the increase in foreign currency exchange loss ofRMB 2.5 million , the increase in depreciation and amortization expense ofRMB 2.0 million , and the increase in rental and other office expenses ofRMB 2.1 million . General and administrative expenses as a percentage of revenues was 3.9%, compared with 3.6% in the second quarter of 2020.
Operating expenses excluding share-based compensation were
- Selling and marketing expenses excluding share-based compensation were
RMB 65.9 million , an increase of 54.3% year over year, and represented 7.0% of revenues, compared with 6.6% in the second quarter of 2020. - Research and development expenses excluding share-based compensation were
RMB 26.6 million , an increase of 27.3% year over year, and represented 2.8% of revenues, compared with 3.2% in the second quarter of 2020. - General and administrative expenses excluding share-based compensation were
RMB 32.5 million , an increase of 77.7% year over year, and represented 3.4% of revenues, compared with 2.8% in the second quarter of 2020.
Government grants were
Share-based compensation was
Income tax expense was
Net income was
Adjusted net income (non-GAAP) was
Basic and diluted net income per ADS were
Balance Sheet
As of
Business Outlook
NIU expects revenues of the third quarter 2021 to be in the range of
The above outlook is based on information available as of the date of this press release and reflects the Company’s current and preliminary expectation, which is subject to change in light of uncertainties and situations related to how COVID-19 develops.
Conference Call
The Company will host an earnings conference call on
To join via phone, participants need to register in advance of the conference call using the link provided below. Upon registration, participants will receive dial-in numbers, an event passcode, and a unique registrant ID, which will be used to join the conference call.
Event: | Niu Technologies Second Quarter 2021 Earnings Conference Call |
Registration Link: | http://apac.directeventreg.com/registration/event/2198233 |
Conference ID: | 2198233 |
A live and archived webcast of the conference call will be available on the investor relations website at https://ir.niu.com/news-and-events/webcasts-and-presentations.
A replay of the conference call can be accessed by phone two hours later at the following numbers until
+1-855-452-5696 | |
International | +61-281-990-299 |
800-963-117 | |
Mainland | 400-602-2065 |
Conference ID | 2198233 |
About NIU
As the world’s leading provider of smart urban mobility solutions, NIU designs, manufactures and sells high-performance electric motorcycles, scooters, bicycles and kick-scooters. NIU has a product portfolio consisting of eight series, four electric scooter series, including NQi, MQi, UQi and Gova, two urban commuter electric motorcycle series RQi and TQi, a performance electric bicycle series, NIU Aero, and an electric kick-scooter series, KQi. Different series of products address the needs of different segments of modern urban residents and resolve the demands of different scenarios of urban travel, while being united through a common design language that emphasizes style, freedom and technology. NIU has adopted an omnichannel retail model, integrating the offline and online channels, to offer the products and services. For more information, please visit www.niu.com.
Use of Non-GAAP Financial Measures
To supplement NIU’s consolidated financial results presented in accordance with the accounting principles generally accepted in
NIU believes that these non-GAAP financial measures provide meaningful supplemental information regarding its performance and liquidity by excluding certain items that may not be indicative of its operating results. The Company believes that both management and investors benefit from referring to these non-GAAP financial measures in assessing its performance and when planning and forecasting future periods. These non-GAAP financial measures also facilitate management’s internal comparisons to NIU’s historical performance. The Company believes these non-GAAP financial measures are useful to investors in allowing for greater transparency with respect to supplemental information used by management in its financial and operational decision making. A limitation of using these non-GAAP financial measures is that these non-GAAP measures exclude certain items that have been and will continue to be for the foreseeable future a significant component in the Company’s results of operations. These 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.
Adjusted net income is defined as net income excluding share-based compensation expenses. Adjusted net income margin is defined as adjusted net income as a percentage of the revenues.
For more information on non-GAAP financial measures, please see the tables captioned “Reconciliation of GAAP and Non-GAAP Results”.
Exchange Rate
This announcement contains translations of certain RMB amounts into
Safe Harbor Statement
This press release contains forward-looking statements. These statements are made under the “safe harbor” provisions of the
Investor Relations Contact:
Investor Relations Manager
E-mail: ir@niu.com
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||||
As of | ||||||||
2020 | 2021 | 2021 | ||||||
RMB | RMB | US$ | ||||||
ASSETS | ||||||||
Current assets | ||||||||
Cash | 227,004,137 | 291,733,197 | 45,183,719 | |||||
Term deposits-current | 130,498,000 | 129,202,000 | 20,010,842 | |||||
Restricted cash | 168,469,077 | 178,053,372 | 27,576,956 | |||||
Short-term investments | 745,608,877 | 781,072,664 | 120,972,751 | |||||
Notes receivable | - | 10,525,549 | 1,630,200 | |||||
Accounts receivable, net | 101,320,063 | 63,413,253 | 9,821,462 | |||||
Inventories | 142,166,179 | 211,614,066 | 32,774,845 | |||||
Prepayments and other current assets | 32,832,088 | 57,000,475 | 8,828,249 | |||||
Total current assets | 1,547,898,421 | 1,722,614,576 | 266,799,024 | |||||
Non-current assets | ||||||||
Term deposits-non-current | - | 20,000,000 | 3,097,606 | |||||
Property, plant and equipment, net | 199,045,061 | 306,813,876 | 47,519,418 | |||||
Intangible assets, net | 5,607,101 | 4,632,587 | 717,496 | |||||
Operating lease right-of-use assets, net | - | 99,294,003 | 15,378,683 | |||||
Land use rights, net | 48,835,120 | - | - | |||||
Deferred income tax assets | 14,593,376 | 15,919,188 | 2,465,568 | |||||
Other non-current assets | 30,830,304 | 1,720,864 | 266,528 | |||||
Total non-current assets | 298,910,962 | 448,380,518 | 69,445,299 | |||||
Total assets | 1,846,809,383 | 2,170,995,094 | 336,244,323 | |||||
LIABILITIES | ||||||||
Current liabilities | ||||||||
Short-term bank borrowings | 180,000,000 | 180,000,000 | 27,878,450 | |||||
Accounts payable | 395,826,435 | 532,601,037 | 82,489,396 | |||||
Income taxes payable | 14,555,094 | 4,657,787 | 721,399 | |||||
Advances from customers | 40,062,189 | 43,360,632 | 6,715,707 | |||||
Deferred revenue-current | 21,155,634 | 22,182,057 | 3,435,563 | |||||
Accrued expenses and other current liabilities | 171,657,604 | 236,580,054 | 36,641,584 | |||||
Total current liabilities | 823,256,956 | 1,019,381,567 | 157,882,099 | |||||
Deferred revenue-non-current | 4,176,458 | 5,414,115 | 838,540 | |||||
Deferred income tax liabilities | 1,109,479 | 1,534,251 | 237,625 | |||||
Operating lease liabilities-non-current | - | 18,324,661 | 2,838,129 | |||||
Other non-current liabilities | 24,892,246 | 25,186,278 | 3,900,859 | |||||
Total non-current liabilities | 30,178,183 | 50,459,305 | 7,815,153 | |||||
Total liabilities | 853,435,139 | 1,069,840,872 | 165,697,252 | |||||
SHAREHOLDERS’ EQUITY: | ||||||||
Class A ordinary shares | 87,300 | 88,676 | 13,734 | |||||
Class B ordinary shares | 11,202 | 10,316 | 1,598 | |||||
Additional paid-in capital | 1,801,940,071 | 1,826,465,465 | 282,883,478 | |||||
Accumulated other comprehensive loss | (43,016,027 | ) | (46,223,216 | ) | (7,159,065 | ) | ||
Accumulated deficit | (765,648,302 | ) | (679,187,019 | ) | (105,192,674 | ) | ||
Total shareholders’ equity | 993,374,244 | 1,101,154,222 | 170,547,071 | |||||
Total liabilities and shareholders’ equity | 1,846,809,383 | 2,170,995,094 | 336,244,323 | |||||
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) | |||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||
2020 | 2021 | 2020 | 2021 | ||||||||||||
RMB | RMB | US$ | RMB | RMB | US$ | ||||||||||
Revenues | 644,934,410 | 944,745,010 | 146,322,369 | 877,874,918 | 1,492,081,575 | 231,094,008 | |||||||||
Cost of revenues(a) | (496,852,342 | ) | (730,010,232 | ) | (113,064,187 | ) | (674,875,349 | ) | (1,147,012,501 | ) | (177,649,615 | ) | |||
Gross profit | 148,082,068 | 214,734,778 | 33,258,182 | 202,999,569 | 345,069,074 | 53,444,393 | |||||||||
Operating expenses: | |||||||||||||||
Selling and marketing expenses(a) | (45,603,755 | ) | (68,873,391 | ) | (10,667,130 | ) | (89,776,365 | ) | (142,391,875 | ) | (22,053,693 | ) | |||
Research and development expenses(a) | (23,976,687 | ) | (30,847,683 | ) | (4,777,698 | ) | (46,712,272 | ) | (56,456,917 | ) | (8,744,063 | ) | |||
General and administrative expenses(a) | (23,010,638 | ) | (37,185,424 | ) | (5,759,289 | ) | (47,259,880 | ) | (68,499,223 | ) | (10,609,179 | ) | |||
Total operating expenses | (92,591,080 | ) | (136,906,498 | ) | (21,204,117 | ) | (183,748,517 | ) | (267,348,015 | ) | (41,406,935 | ) | |||
Government grants | 826,367 | 21,504,500 | 3,330,623 | 8,092,250 | 21,856,842 | 3,385,194 | |||||||||
Operating income | 56,317,355 | 99,332,780 | 15,384,688 | 27,343,302 | 99,577,901 | 15,422,652 | |||||||||
Interest expense | (1,576,485 | ) | (1,641,648 | ) | (254,259 | ) | (3,748,959 | ) | (3,374,348 | ) | (522,620 | ) | |||
Interest income | 2,378,442 | 1,630,287 | 252,499 | 5,367,879 | 2,846,865 | 440,923 | |||||||||
Investment income | 2,303,195 | 4,042,059 | 626,035 | 3,896,250 | 8,170,999 | 1,265,527 | |||||||||
Income before income taxes | 59,422,507 | 103,363,478 | 16,008,963 | 32,858,472 | 107,221,417 | 16,606,482 | |||||||||
Income tax expense | (2,595,658 | ) | (11,528,628 | ) | (1,785,557 | ) | (2,407,549 | ) | (20,760,134 | ) | (3,215,335 | ) | |||
Net income | 56,826,849 | 91,834,850 | 14,223,406 | 30,450,923 | 86,461,283 | 13,391,147 | |||||||||
Other comprehensive income (loss) | |||||||||||||||
Foreign currency translation adjustment | 59,950 | (7,208,765 | ) | (1,116,496 | ) | 6,546,907 | (4,305,029 | ) | (666,764 | ) | |||||
Unrealized gain on available for sale securities, net | 641,975 | 897,660 | 139,030 | 1,165,671 | 1,097,840 | 170,034 | |||||||||
Comprehensive income | 57,528,774 | 85,523,745 | 13,245,940 | 38,163,501 | 83,254,094 | 12,894,417 | |||||||||
Net income per ordinary share | |||||||||||||||
—Basic | 0.38 | 0.60 | 0.09 | 0.20 | 0.56 | 0.09 | |||||||||
—Diluted | 0.37 | 0.57 | 0.09 | 0.20 | 0.54 | 0.08 | |||||||||
Net income per ADS | |||||||||||||||
—Basic | 0.76 | 1.20 | 0.19 | 0.41 | 1.13 | 0.17 | |||||||||
—Diluted | 0.73 | 1.14 | 0.18 | 0.40 | 1.08 | 0.17 | |||||||||
Weighted average number of ordinary shares and ordinary shares equivalents outstanding used in computing net income per ordinary share | |||||||||||||||
—Basic | 150,301,999 | 153,528,657 | 153,528,657 | 150,001,842 | 153,177,159 | 153,177,159 | |||||||||
—Diluted | 155,175,644 | 160,860,781 | 160,860,781 | 154,098,590 | 160,751,121 | 160,751,121 | |||||||||
Weighted average number of ADS outstanding used in computing net income per ADS | |||||||||||||||
—Basic | 75,151,000 | 76,764,329 | 76,764,329 | 75,000,921 | 76,588,580 | 76,588,580 | |||||||||
—Diluted | 77,587,822 | 80,430,391 | 80,430,391 | 77,049,295 | 80,375,561 | 80,375,561 | |||||||||
Note: | |||||||||||||||
(a) Includes share-based compensation expense as follows: | |||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||
2020 | 2021 | 2020 | 2021 | ||||||||||||
RMB | RMB | US$ | RMB | RMB | US$ | ||||||||||
Cost of revenues | 210,882 | 183,165 | 28,369 | 287,504 | 366,502 | 56,764 | |||||||||
Selling and marketing expenses | 2,888,358 | 2,977,457 | 461,149 | 4,491,000 | 6,009,319 | 930,725 | |||||||||
Research and development expenses | 3,109,286 | 4,283,976 | 663,503 | 5,081,977 | 8,285,463 | 1,283,255 | |||||||||
General and administrative expenses | 4,717,555 | 4,685,866 | 725,748 | 8,801,777 | 9,523,418 | 1,474,990 | |||||||||
Total share-based compensation expense | 10,926,081 | 12,130,464 | 1,878,769 | 18,662,258 | 24,184,702 | 3,745,734 | |||||||||
RECONCILIATION OF GAAP AND NON-GAAP RESULTS | |||||||||
Three Months Ended | Six Months Ended | ||||||||
2020 | 2021 | 2020 | 2021 | ||||||
RMB | RMB | US$ | RMB | RMB | US$ | ||||
Net Income | 56,826,849 | 91,834,850 | 14,223,406 | 30,450,923 | 86,461,283 | 13,391,147 | |||
Add: | |||||||||
Share-based compensation expense | 10,926,081 | 12,130,464 | 1,878,769 | 18,662,258 | 24,184,702 | 3,745,734 | |||
Adjusted net income | 67,752,930 | 103,965,314 | 16,102,175 | 49,113,181 | 110,645,985 | 17,136,881 | |||
____________________
1 Adjusted net income/loss (non-GAAP) is defined as net income/loss excluding share-based compensation expense
2 Revenues per e-scooter on e-scooter sales from
3 Revenues per e-scooter on accessories, spare parts and services is defined as accessories, spare parts and services revenues divided by the total number of e-scooters sold in a specific period
4 Adjusted net income/loss margin is defined as adjusted net income/loss (non-GAAP) as a percentage of the revenues
Source:
2021 GlobeNewswire, Inc., source