Market Newsdesk

November 16, 2020 5:18 pm

Medexus Pharmaceuticals Reports Operating and Financial Results for the Three- and Six-Month Periods Ending September 30, 2020

Management to host conference call at 8:00 AM Eastern Time on Tuesday, November 17th, 2020

TORONTO and CHICAGO and MONTREAL, Nov. 16, 2020 (GLOBE NEWSWIRE) — Medexus Pharmaceuticals Inc. (the “Company” or “Medexus”) (TSXV: MDP) (OTCQX: MEDXF) (Frankfurt: P731) announced its financial and operating results for the three and six months ended September 30, 2020. All dollar amounts below are in Canadian dollars unless specified otherwise.

Second
quarter fiscal 2021 financial highlights:

The Company achieved revenue of $23.6 million for the three-month period ended September 30, 2020, versus $16.4 million for the three-month period ended September 30, 2019, mostly driven by the acquisition of IXINITY^®. Over $3 million in revenue from IXINITY^® sales, which was originally expected to be realized in September 2020, was instead realized in October 2020 due to a delay in receipt of finished product from the Company’s contract manufacturing partner. The delay in receipt of finished product was a result of a common regulatory process that did not impact IXINITY^®, but temporarily interrupted the Company’s partner’s ability to release shipments for any of their clients. The product was shipped in October 2020 and the revenue has been recognized in the fiscal third quarter ending December 31, 2020.
Selling and administrative expenses as a percentage of revenue decreased to 46.6% from 64.4% for the same period last year, as the Company continues to leverage its platform and significantly increase its revenue with only modest increases to operating expenses.
Adjusted EBITDA* increased to $3.0 million compared to $0.5 million for the same period last year. Adjusted EBITDA would have been higher but was impacted by the aforementioned delayed shipment of IXINITY®, which has been recognized in the fiscal third quarter ending December 31, 2020.
Achieved operating income of $0.6 million, compared to an operating loss of $1.3 million for the same period last year.
Available liquidity of $9.8 million at September 30, 2020.

Ken d’Entremont, Chief Executive Officer of Medexus, commented, “We continued to generate solid growth and achieved $3.0 million of Adjusted EBITDA compared to $0.5 million for the same period last year, despite the temporary impact of a delayed IXINITY® shipment, which has been recognized in our fiscal third quarter of 2021. Importantly, we continue to witness solid performances from Rasuvo^®, Metoject® and Rupall™. At the same time, we have decreased our SG&A considerably as a percentage of revenues by leveraging our North American infrastructure. Over the trailing twelve months, our revenues have grown to $93 million and we achieved Adjusted EBITDA* of $12.9 million over the same period. These figures only partially reflect the impact of our acquisition of IXINITY^®, which closed in February of this year. Moreover, we are off to a very strong start in the fiscal third quarter and remain highly encouraged by the outlook for the second half of fiscal 2021.”

“Thus far we have experienced a limited impact of COVID-19 outside of our Canadian over-the-counter products and we strive to maintain a high level of safety for our personnel. As we continue to scale our business, we expect synergies to further contribute to the bottom line. Our balance sheet remains healthy with $9.8 million of available liquidity at the quarter end. Our strong financial position gives us comfort to execute on a number business initiatives, including certain product launches. We continue to actively evaluate additional products and potential accretive acquisitions that would enable us to further leverage our North American commercial infrastructure.”

Operational highlights**:

IXINITY
^®
: In September 2020, the US Food & Drug Administration approved the Company’s application to add the indication for routine prophylaxis. Additionally, the Company has now enrolled more than 50% of patients for its ongoing Phase 4 clinical trial to evaluate the safety and efficacy of IXINITY^® in previously treated patients for a pediatric indication.
Gleolan: On September 9, 2020, Gleolan was approved by Health Canada. The Company is working towards a full commercial launch within the next few months.
Tr
e
osulfan: On September 10, 2020, Health Canada granted priority review for Treosulfan, which could be approved as soon as May, 2021. The Company is currently negotiating the licence in anticipation of a full commercial launch.
Triamcinolone Hexacetonid
e
(Trispan): On August 27th, 2020, Health Canada approved the name change from Triamcinolone Hexacetonide to Trispan. It is set to be reimbursed in Nova Scotia in the coming weeks. Now, with broad reimbursement across the country, the company is executing commercial launch of the product.
OTCQX
: as of August 2020, Medexus began trading on the OTCQX under the ticker symbol MEDXF and continues to trade on the TSX Venture Exchange.

Operating and Financial Results Summary
for the
T
hree-
M
onths
E
nded September 30, 2020

The Company achieved revenue of $23.6 million for the three-month period ended September 30, 2020, versus $16.4 million for the three-month period ended September 30, 2019. The increase was mainly due to the acquisition of IXINITY^® as well as solid performances from the Company’s key products.

Gross profit was $12.8 million for the three-month period ended September 30, 2020, compared to gross profit of $9.6 million for the three-month period ended September 30, 2019. The gross margin was 54.4% for the three-month period ended September 30, 2020, compared to 58.6% for the three-month period ended September 30, 2019. The lower gross margin for the current period is primarily a function of the acquisition of IXINITY^® in 2020, which has a lower gross margin than the Company’s other key products.

Operating income for the three-month period ended September 30, 2020, was $0.6 million, compared to an operating loss of $1.3 million for the three-month period ended September 30, 2019.

Adjusted EBITDA^* for the three-month period ended September 30, 2020 was $3.0 million compared to $0.5 million for the three-month period ended September 30, 2019.

Net Loss for the three-month period ended September 30, 2020 was $2.0 million, compared to net income of $0.7 million for the three-month period ended September 30, 2019.

Operating and Financial Results Summary
for the
S
ix-
M
onths ended September 30, 2020

Total revenue reached $51.1 million for the six-month period ended September 30, 2020, compared to revenue of $32.5 million for the six-month period ended September 30, 2019, as a result of the acquisition of IXINITY^® and strong performances from the Company’s key products.

Gross profit reached $27.8 million for the six-month period ended September 30, 2020, compared to gross profit of $19.5 million for the six-month period ended September 30, 2019. The gross margin was 54.4% for the six-month period ended September 30, 2020, compared to 60.0% for the six-month period ended September 30, 2019. The lower gross margin for the current period is due, in part, to the acquisition of IXINITY^® in 2020, which has a lower gross margin than the Company’s other key products.

Operating income for the six-month period ended September 30, 2020 was $2.2 million, compared to an operating loss of $2.4 million for the same period last year.

Adjusted EBITDA^* for the six-month period ended September 30, 2020 was $8.0 million compared to $1 million for the six-month period ended September 30, 2019.

Net Loss for the six-month period ended September 30, 2020 was $6.8 million, compared to net loss of $1.5 million for the six-month period ended September 30, 2019.

The Company’s financial statements and management discussion and analysis (“MD&A”) for the period ended September 30, 2020 are available on our corporate website at www.medexus.com and in our corporate filings on SEDAR at www.sedar.com.

* Refer to “Non-IFRS Financial Measures” at the end of this press release.

** Refer to “Cautionary Note Regarding Comparative Financial Information” at the end of this press release.

Conference Call Details

Medexus will host a conference call at 8:00 AM Eastern Time on Tuesday, November 17, 2020 to discuss the Company’s financial results for the fiscal 2021 second quarter ended September 30, 2020, as well as the Company’s corporate progress and other developments.

The conference call will be available via telephone by dialing toll free 844-369-8770 for Canadian and U.S. callers or +1 862-298-0840 for international callers, or on the Company’s Investor Events section of the website: https://www.medexus.com/en_US/investors/news-events.

A webcast replay will be available on the Company’s Investor Events section of the website (https://www.medexus.com/en_US/investors/news-events) through Wednesday, February 17, 2021. A telephone replay of the call will be available approximately one hour following the call, through Tuesday, November 24, 2020 and can be accessed by dialing 877-481-4010 for Canadian and U.S. callers or +1 919-882-2331 for international callers and entering conference ID: 38655.

About Medexus Pharmaceuticals Inc.

Medexus is a leading specialty pharmaceutical company with a strong North American commercial platform. The Company’s vision is to provide the best healthcare products to healthcare professionals and patients, through our core values of Quality, Innovation, Customer Service and Teamwork. Medexus Pharmaceuticals is focused on the therapeutic areas of auto-immune disease, hematology, and allergy. The Company’s leading products are: Rasuvo™ and Metoject^®, a unique formulation of methotrexate (auto-pen and pre-filled syringe) designed to treat rheumatoid arthritis and other auto-immune diseases; IXINITY^®, an intravenous recombinant factor IX therapeutic for use in patients 12 years of age or older with Hemophilia B – a hereditary bleeding disorder characterized by a deficiency of clotting factor IX in the blood, which is necessary to control bleeding; and Rupall^®, an innovative prescription allergy medication with a unique mode of action.

For more information, please contact:

Ken d’Entremont, Chief Executive Officer
Medexus Pharmaceuticals Inc.
Tel.: 905-676-0003
E-mail: [email protected]

Roland Boivin, Chief Financial Officer
Medexus Pharmaceuticals Inc.
Tel.: 514-762-2626 ext. 202
E-mail: [email protected]

Investor Relations (U.S.):

Crescendo Communications, LLC
Tel: +1-212-671-1020
Email: [email protected]

Investor Relations (Canada):

Tina Byers
Investor Relations
Tel: 905-330-3275
E-mail: [email protected]

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Cautionary Note Regarding Comparative Financial Information

On February 28, 2020, the Company announced that Medexus Pharma, Inc. (“Medexus US”) completed another major acquisition (the “IXINITY^® Acquisition”) in acquiring a Delaware limited liability company, which owns the worldwide rights to the commercial hematology asset, IXINITY^®, for up-front cash consideration of approximately US$30 million.

Accordingly, readers are cautioned that while certain financial information included herein for, and comparisons to, prior periods have been presented in this press release, changes from a pre-IXINITY^®Acquisition period to a post-IXINITY^® Acquisition period may, in the opinion of management, be of limited value in understanding changes to the financial condition, financial performance, or business of the Company from period to period given the transformative nature of the IXINITY^® Acquisition. Readers are advised that the comparative information included in this press release for the three and six-month periods ended September 30, 2019, includes certain pre-IXINITY^® Acquisition results for the Company (i.e., the comparative information for such periods consists of results prior to February 28, 2020 which reflect only the pre-IXINITY^® Acquisition results for the Company and results subsequent to February 28, 2020 which reflect the consolidated results of the Company post-IXINITY^® Acquisition).

Forward Looking Statements

Certain statements made in this press release contain forward-looking information within the meaning of applicable securities laws (“forward-looking statements”). Such forward-looking information includes statements that express, or involve discussions as to, expectations, beliefs, plans, objectives, assumptions or future events or performance (often, but not always, through the use of words or phrases such as “anticipates”, “believes” “could”, “expects”, “forecasts”, “intends”, “may”, “projects”, “will” and “vision”) which are not historical facts. More specifically, forward-information in this press release includes, but is not limited to, information contained in statements with respect to: the recognition of revenue for IXINITY® and the increase in Adjusted EBITDA related thereto; the further impact of the IXINITY® Acquisition; the Company’s results for the fiscal third quarter; the Company’s future expectations regarding growth and revenues and the contribution of synergies to the bottom line; the Company’s business strategy, including the execution of new product launches and potential accretive acquisitions; the Company’s business outlook; the anticipated results of Phase 4 clinical trial for IXINITY^®; the anticipated results of the Gleolan application to the Ontario Ministry of Health, including public reimbursement and rapid distribution; the potential approval of Treosulfan; and the reimbursement of Trispan in Nova Scotia. These statements are based on factors or assumptions that were applied in drawing a conclusion or making a forecast or projection, including assumptions based on historical trends, current conditions and expected future developments. Since forward-looking statements relate to future events and conditions, by their very nature they require making assumptions and involve inherent risks and uncertainties. The Company cautions that although it is believed that the assumptions are reasonable in the circumstances, these risks and uncertainties give rise to the possibility that actual results may differ materially from the expectations set out in the forward-looking statements. Material risk factors include those referred to in the Company’s MD&A under the heading “Risk Factors and Risk Management” and elsewhere in the Company’s other disclosure documents filed with the applicable Canadian securities regulatory authorities from time to time. Given these risks, undue reliance should not be placed on these forward-looking statements, which apply only as of the date hereof. Other than as specifically required by law, the Company undertakes no obligation to update any forward-looking statements to reflect new information, subsequent or otherwise.

Non-IFRS Financial Measures

This press release uses the term “Adjusted EBITDA” which is a non-IFRS financial measure, which does not have any standardized meaning prescribed by IFRS and is therefore unlikely to be comparable to similar measures presented by other companies. Rather, this measure is provided as additional information to complement those IFRS measures by providing further understanding of the Company’s results of operations from management’s perspective. Accordingly, they should not be considered in isolation nor as a substitute for analysis of the Company’s financial information reported under IFRS. In particular, management uses Adjusted EBITDA as a measure of the Company’s performance. The Company defines Adjusted EBITDA as earnings before financing and special transaction costs (including, for greater certainty, fees related to the transactions and financing announced on October 16, 2018 and February 28, 2020, as discussed herein), interest expenses, income taxes, interest income, depreciation of property and equipment, amortization of intangible assets, non-cash share-based compensation, income from sale of asset, gain or loss on the convertible debenture embedded derivative, foreign exchange gains or losses, termination benefits, and impairment of intangible assets. The Company considers Adjusted EBITDA as a key metric in assessing business performance and considers Adjusted EBITDA to be an important measure of operating performance and cash flow, providing useful information to investors and analysts. This non-IFRS measure is not intended to represent cash provided by operating activities, net earnings or other measures of financial performance calculated in accordance with IFRS. Additional information relating to the use of this non-IFRS measure, including the reconciliation of Adjusted EBITDA to Net Income (Loss), can be found in our MD&A, which is available through the SEDAR website (www.sedar.com).

November 16, 2020 5:18 pm

JOYY Reports Third Quarter 2020 Unaudited Financial Results

GUANGZHOU, China, Nov. 17, 2020 (GLOBE NEWSWIRE) — JOYY Inc. (NASDAQ: YY) (“JOYY” or the “Company”, formerly known as YY Inc.), a global video-based social media platform, today announced its unaudited financial results for the third quarter of 2020.

Third Quarter 2020 Financial Highlights¹

Net revenues increased by 36.1% to RMB6,286.4 million (US$925.9 million) from RMB4,617.3 million in the corresponding period of 2019.
Net income from continuing operations attributable to controlling interest of
JOYY
Inc.
² was RMB2,303.2 million (US$339.2 million), compared to RMB61.8 million in the corresponding period of 2019, primarily due to the impact of gain from partial disposal of investments in Huya.
Non-GAAP net income from continuing operations attributable to controlling interest and common shareholders of JOYY Inc.
³ increased by 64.0% to RMB809.4 million (US$119.2 million) from RMB493.4 million in the corresponding period of 2019, primarily due to the decrease in the operation loss of Bigo Inc (“Bigo”).

Third Quarter 2020 Operational Highlights

Global average mobile MAUs
⁴ decreased by 4.0% to 390.1 million from 406.3 million in the corresponding period of 2019, mainly due to the impact of Indian government’s measures to block certain Chinese-owned apps in its local market, which included Bigo Live, Likee and Hago.
Average mobile MAUs of Likee increased by 3.8% to 104.0 million from 100.2 million in the corresponding period of 2019.
Average mobile MAUs of global live streaming services decreased by 2.3% to 92.0 million from 94.1 million in the corresponding period of 2019, among that (i) 41.3 million were from YY, which increased by 3.4% year over year; and (ii) 50.7 million were from outside of China, which decreased by 6.5% year over year, including 28.0 million from Bigo Live, which increased by 27.7% year over year, and 22.7 million from HAGO, which decreased by 29.7% year over year primarily due to the impact of Indian government’s measures to block such app in its local market.
Total number of paying users⁵ of YY decreased by 4.7% to 4.1 million from 4.3 million in the corresponding period of 2019, mainly due to COVID-19 impacts.

Mr. David Xueling Li, Chairman and Chief Executive Officer of JOYY, commented, “Despite uncertainties from macro perspective, we remained focused on executing our dual-engine growth strategy in the third quarter of 2020. Through a combination of globalized market reach and localized operations management, we continued to achieve solid growth in our financial results. Despite the negative impact from Indian government’s measures to block certain Chinese-owned apps in its local market and other geopolitical risks, our global MAU remained relatively stable, thanks to rapid expansion of our business in other regions. During the quarter, Bigo Live maintained its robust growth trajectory and further diversified its geographic coverage, accomplishing 270% and 231% revenue growth in Europe and East Pacific regions, respectively. Likee continued to gain momentum through a measured approach of balancing its user expansion and user retention, with continuous improvement in user engagement level by introducing multiple functions of its video production tools, dynamic community and thematic functionalities, as reflected by increase in content creator engagement.”

Mr. Li continued, “We believe Baidu’s strategic acquisition of YY Live is a true win-win for both parties, as it will accelerate YY Live’s business growth and unlock more value across the domestic entertainment live streaming sector. Going forward, we will continue to expand our live streaming and short-form video content ecosystem in key overseas markets around the world, and explore new business lines, aiming to further enter into the industrial AI internet sector.”

Mr. Bing Jin, Chief Financial Officer of JOYY, further commented, “Despite the impact of geopolitical headwinds, we grew our total revenues by 36.1% year over year to RMB6,286.4 million during the third quarter of 2020 and exceeded the high end of our previous guidance. More specifically, revenues from Bigo grew by 120.8% year over year to RMB3,394.8 million, mostly driven by the uptick in its live streaming revenues. It is also the first quarter for Bigo to achieve a positive non-GAAP operating margin. As we remain in an abundant cash position after recent transaction with Baidu, we will continue to invest in business development efforts to further expand our global market reach, and cultivate new business to enhance our service offerings. We will also actively explore other ways to return value to our shareholders to maximize shareholder value.”

Third Quarter 2020 Financial Results

NET REVENUES

Net revenues increased by 36.1% to RMB6,286.4 million (US$925.9 million) in the third quarter of 2020 from RMB4,617.3 million in the corresponding period of 2019, primarily driven by continued growth in user base and expansion of global footprint in Bigo .

Live streaming revenues increased by 40.1% to RMB6,049.1 million (US$890.9 million) in the third quarter of 2020 from RMB4,317.8 million in the corresponding period of 2019, primarily attributable to the continued live streaming revenues growth in Bigo segment.

Other revenues decreased by 20.8% to RMB237.3 million (US$34.9 million) in the third quarter of 2020 from RMB299.4 million in the corresponding period of 2019, primarily due to the decrease in other revenues in YY segment.

COST OF REVENUES AND GROSS PROFIT

Cost of revenues increased by 38.8% to RMB3,961.7 million (US$583.5 million) in the third quarter of 2020 from RMB2,854.5 million in the corresponding period of 2019. Revenue-sharing fees and content costs increased to RMB2,840.3 million (US$418.3 million) in the third quarter of 2020 from RMB1,951.0 million in the corresponding period of 2019 as a result of the increase in live streaming revenues of the Company. Bandwidth costs decreased to RMB236.9 million (US$34.9 million) in the third quarter of 2020 from RMB286.3 million in the corresponding period of 2019, primarily related to the termination of service and access to users in India after its measures to block certain Chinese-owned apps in late June.

Gross profit increased by 31.9% to RMB2,324.7 million (US$342.4 million) in the third quarter of 2020 from RMB1,762.7 million in the corresponding period of 2019. Gross margin was 37.0% in the third quarter of 2020, compared to 38.2% in the corresponding period of 2019. The gross margin contraction was primarily caused by the fact that Bigo segment had lower gross margin but contributed significantly greater portions of net revenues in the third quarter of 2020, compared to the corresponding period of 2019.

OPERATING INCOME

Operating expenses were RMB1,999.9 million (US$294.6 million) in the third quarter of 2020, compared to RMB1,807.9 million in the corresponding period of 2019. Among the operating expenses, sales and marketing expenses increased to RMB1,083.0 million (US$159.5 million) in the third quarter of 2020 from RMB957.3 million in the corresponding period of 2019, primarily due to the Company’s increased efforts in sales and marketing activities in overseas markets. Research and development expenses increased to RMB636.0 million (US$93.7 million) in the third quarter of 2020 from RMB538.1 million in the corresponding period of 2019, mostly due to the increasing headcount and investments in talent recruitment as part of the Company’s efforts to enhance its research and development capabilities. General and administrative expenses were RMB280.8 million (US$41.4 million) in the third quarter of 2020, compared to RMB312.5 million in the corresponding period of 2019. The decrease of general and administrative expenses was mainly attributable to a decrease in provision for loss allowances of receivables.

Operating income was RMB466.6 million (US$68.7 million) in the third quarter of 2020, compared to RMB96.4 million in the corresponding period of 2019. Operating margin was 7.4% in the third quarter of 2020, compared to 2.1% in the corresponding period of 2019, primarily due to the decrease in operation loss of Bigo segment.

Non-GAAP operating income⁶ increased by 77.8% to RMB825.8 million (US$121.6 million) in the third quarter of 2020 from RMB464.4 million in the corresponding period of 2019. Non-GAAP operating margin⁷ was 13.1% in the third quarter of 2020, compared to 10.1% in the corresponding period of 2019.

NET INCOME

Net income from continuing operations attributable to controlling interest of JOYY Inc. was RMB2,303.2 million (US$339.2 million) in the third quarter of 2020, compared to RMB61.8 million in the corresponding period of 2019. Net margin was 36.6% in the third quarter of 2020, compared to 1.3% in the corresponding period of 2019, mainly due to the gain from partial disposal of investments in Huya.

Non-GAAP net income from continuing operations attributable to controlling interest and common shareholders of JOYY Inc. increase by 64.0% to RMB809.4 million (US$119.2 million) in the third quarter of 2020 from RMB493.4 million in the corresponding period of 2019. Non-GAAP net margin⁸ increased to 12.9% in the third quarter of 2020 from 10.7% in the corresponding period of 2019.

NET INCOME PER ADS

Diluted net income from continuing operations per ADS⁹ was RMB25.92 (US$3.82) in the third quarter of 2020, compared to RMB 0.56 in the corresponding period of 2019.

Non-GAAP diluted net income from continuing operations per ADS¹⁰ increased by 58.8% to RMB8.89 (US$1.31) in the third quarter of 2020 from RMB5.60 in the corresponding period of 2019.

BALANCE SHEET AND CASH FLOWS

As of September 30, 2020, the Company had cash and cash equivalents, restricted cash and cash equivalents, short-term deposits, restricted short-term deposits and short-term investments of RMB24,469.7 million (US$3,604.0 million). For the third quarter of 2020, net cash from operating activities was RMB1,029.9 million (US$151.7 million).

SHARES OUTSTANDING

As of September 30, 2020, the Company had a total of 1,619.7 million common shares, or the equivalent of 81.0 million ADSs, outstanding.

Quarterly Dividend

On August 11, 2020, the Company’s board of directors approved a quarterly dividend policy for the next three years commencing in the third quarter of 2020. Under the policy, quarterly dividends will be set at approximately US$25.0 million in each fiscal quarter. The board of directors has accordingly declared a dividend of US$0.31 per ADS, or US$0.0155 per common share, for the third quarter of 2020, which is expected to be paid on December 23, 2020 to shareholders of record as of the close of business on December 11, 2020. The ex-dividend date will be December 10, 2020. Under the policy, the board of directors of the Company reserves the discretion relating to the determination to make dividend distributions and the amount of such distributions in any particular quarter, depending on the Company’s operations and earnings, cash flow, financial condition and other relevant factors.

Recent Developments

On November 16, 2020, the Company entered into definitive agreements with Baidu, Inc. (“Baidu”). Pursuant to the agreements, Baidu will acquire JOYY’s domestic video-based entertainment live streaming business (“YY Live”), which includes YY mobile app, YY.com website and PC YY, among others, for an aggregate purchase price of approximately US$3.6 billion in cash, subject to certain adjustments. The closing of the transaction is subject to certain conditions and is currently expected to occur in the first half of 2021.

Conference Call Information

The Company will hold a conference call on 9:00 PM U.S. Eastern Time on Monday, November 16, 2020 (10:00 AM Beijing/Hong Kong Time on Tuesday, November 17, 2020). Details for the conference call are as follows:

Event Title: JOYY’s Third Quarter 2020 Earnings Conference Call
Conference ID: #8576720

All participants must use the link provided below to complete the online registration process in advance of the conference call. Upon registering, each participant will receive a set of participant dial-in numbers, the Direct Event passcode, and a unique registrant ID by email.
PRE-REGISTER LINK:
http://apac.directeventreg.com/registration/event/8576720

A live and archived webcast of the conference call will also be available at the Company’s investor relations website at http://ir.yy.com/.

The replay will be accessible through November 24, 2020 by dialing the following numbers:

United States: +1-646-254-3697
International: +61-2-8199-0299
Conference ID: #8576720

Exchange Rate

This press release contains translations of certain Renminbi amounts into U.S. dollars at specified rates solely for the convenience of readers. Unless otherwise noted, all translations from Renminbi to U.S. dollars, in this press release, were made at a rate of RMB6.7896 to US$1.00, the noon buying rate in effect on September 30, 2020 in the City of New York for cable transfers in Renminbi per U.S. dollar as certified for customs purposes by the Federal Reserve Bank of New York.

About JOYY Inc.

JOYY Inc. is a global social media platform. The Company’s highly engaged users contribute to a vibrant social community by creating, sharing, and enjoying a vast range of entertainment content and activities. JOYY enables users to interact with each other in real time through online live media and offers users a uniquely engaging and immersive entertainment experience. JOYY owns Bigo, a fast-growing global tech company headquartered in Singapore. Bigo owns several popular video based social platforms including Bigo Live, a leading global live streaming platform outside China; Likee, a leading global short-form video social platform; and video communication service and others. JOYY has created an online community for global video and live streaming users. JOYY Inc. was listed on the NASDAQ in November 2012.

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” and similar statements. Among other things, the business outlook and quotations from management in this announcement, as well as JOYY’s strategic and operational plans, contain forward-looking statements. JOYY may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (“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 JOYY’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: JOYY’s goals and strategies; JOYY’s future business development, results of operations and financial condition; the expected growth of the online communication social platform market in China; the expectation regarding the rate at which to gain active users, especially paying users; JOYY’s ability to monetize the user base; fluctuations in general economic and business conditions in China; the impact of the COVID-19 to JOYY’s business operations and the economy in China and elsewhere generally; and assumptions underlying or related to any of the foregoing. Further information regarding these and other risks is included in JOYY’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 JOYY does not undertake any obligation to update any forward-looking statement, except as required under applicable law.

Use of Non-GAAP Financial Measures

The unaudited condensed consolidated financial information is prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). JOYY uses non-GAAP operating income, non-GAAP operating margin, non-GAAP net income from continuing operations attributable to controlling interest of JOYY Inc., non-GAAP net margin attributable to controlling interest of JOYY Inc., non-GAAP net income from continuing operations attributable to common shareholders of JOYY Inc., and basic and diluted non-GAAP net income per ADS, which are non-GAAP financial measures. Non-GAAP operating income is operating income excluding share-based compensation expenses, impairment of goodwill and investments, amortization of intangible assets from business acquisitions, and gain on disposal of subsidiaries and business. Non-GAAP operating margin is non-GAAP operating income as a percentage of net revenues. Non-GAAP net income from continuing operations is net income from continuing operations excluding share-based compensation expenses, impairment of goodwill and investments, amortization of intangible assets from business acquisitions, gain on disposal of subsidiaries and business, (loss) gain on disposal and deemed disposal of investments, gain (loss) on fair value change of investments, reconciling items on the share of equity method investments, fair value change on derivatives, interest expenses related to the convertible bonds’ amortization to face value, and income tax effects of above non-GAAP reconciling items. Non-GAAP net income from continuing operations attributable to controlling interest of JOYY Inc. is net income from continuing operations attributable to controlling interest of JOYY Inc. excluding share-based compensation expenses, impairment of goodwill and investments, amortization of intangible assets from business acquisitions, (loss) gain on disposal and deemed disposal of subsidiaries and business, gain on disposal of investments, gain (loss) on fair value change of investments, reconciling items on the share of equity method investments, fair value change on derivatives, interest expenses related to the convertible bonds’ amortization to face value, income tax effects of above non-GAAP reconciling items and adjustments for non-GAAP reconciling items for the net (loss) income from continuing operations attributable to non-controlling interest shareholders. Non-GAAP net margin is non-GAAP net income from continuing operations attributable to controlling interest of JOYY Inc. as a percentage of net revenues. Non-GAAP net income from continuing operations attributable to common shareholders of JOYY Inc. is net income from continuing operations attributable to common shareholders of JOYY Inc. excluding share-based compensation expenses, impairment of goodwill and investments, amortization of intangible assets from business acquisitions, (loss) gain on disposal and deemed disposal of subsidiaries and business, gain on disposal of investments, gain (loss) on fair value change of investments, reconciling items on the share of equity method investments, fair value change on derivatives, interest expenses related to the convertible bonds’ amortization to face value, accretion, cumulative dividend and deemed dividend to subsidiaries’ preferred shareholders and income tax effects of above non-GAAP reconciling items and adjustments for non-GAAP reconciling items for the net (loss) income from continuing operations attributable to non-controlling interest shareholders. After the non-GAAP reconciliation, non-GAAP net income from continuing operations attributable to controlling interests of JOYY Inc. is equal to the non-GAAP net income from continuing operations attributable to common shareholders of JOYY Inc. Basic and diluted non-GAAP net income from continuing operations per ADS is non-GAAP net income from continuing operations attributable to common shareholders of JOYY Inc. divided by weighted average number of ADS used in the calculation of basic and diluted net income per ADS. The Company believes that separate analysis and exclusion of the non-cash impact of above reconciling items adds clarity to the constituent parts of its performance. The Company reviews these non-GAAP financial measures together with GAAP financial measures to obtain a better understanding of its operating performance. It uses the non-GAAP financial measure for planning, forecasting and measuring results against the forecast. The Company believes that non-GAAP financial measure is useful supplemental information for investors and analysts to assess its operating performance without the non-cash effect of (i) share-based compensation expenses and amortization of intangible assets from business acquisitions, fair value change on derivatives, interest expenses related to the convertible bonds’ amortization to face value, which have been and will continue to be significant recurring expenses in its business, (ii) impairment of goodwill and investments, gain on disposal of subsidiaries and business, (loss) gain on disposal and deemed disposal of investments, gain (loss) on fair value change of investments, reconciling items on the share of equity method investments, and accretion, cumulative dividend and deemed dividend to subsidiaries’ preferred shareholders, which may not be recurring in its business, and (iii) income tax expenses and non-GAAP adjustments for net (loss) income from continuing operations attributable to non-controlling interest shareholders, which are affected by above non-GAAP reconciling items. However, the use of non-GAAP financial measures has material limitations as an analytical tool. One of the limitations of using non-GAAP financial measures is that they do not include all items that impact the Company’s net income for the period. In addition, because non-GAAP financial measures are not measured in the same manner by all companies, they may not be comparable to other similar titled measures used by other companies. In light of the foregoing limitations, you should not consider non-GAAP financial measure in isolation from or as an alternative to the financial measure prepared in accordance with U.S. GAAP.

The presentation of these non-GAAP financial measures is not intended to be considered in isolation from, or as a substitute for, the financial information prepared and presented in accordance with U.S. GAAP. For more information on these non-GAAP financial measures, please see the table captioned “JOYY Inc. Reconciliation of GAAP and Non-GAAP Results” near the end of this release.

Investor Relations Contact

JOYY Inc.
Jane Xie/Maggie Yan
Tel: +86 (20) 8212-0000
Email: [email protected]

ICR, Inc.
Jack Wang
Tel: +1 (646) 915-1611
Email: [email protected]

¹ Starting from the second quarter of 2020, the Company deconsolidated HUYA Inc. (“Huya”) and Huya’s historical financial results are and will be reflected in the Company’s consolidated financial statements as discontinued operations accordingly. The financial information and non-GAAP financial information of the Company disclosed in this press release is presented on a continuing operations basis, unless otherwise specifically stated. After the deconsolidation of Huya, the Company accounts for its investment in Huya as an equity method investment and applies the equity method accounting one quarter in arrears. Share of income or loss from the investment in Huya will be included in net income or loss from continuing operations.

² Net income from continuing operations attributable to controlling interest of JOYY Inc., is net income from continuing operations less net (loss) income from continuing operations attributable to the non-controlling interest shareholders and the mezzanine equity classified as non-controlling interest shareholders.

³ Non-GAAP net income from continuing operations attributable to controlling interest of JOYY Inc. is a non-GAAP financial measure, which is defined as net income from continuing operations attributable to controlling interest of JOYY Inc. excluding share-based compensation expenses, impairment of goodwill and investment, amortization of intangible assets from business acquisitions, gain on disposal of subsidiaries and business, gain on disposal of investments, gain (loss) on fair value change of investments, reconciling items on the share of equity method investments which refer to those similar non-GAAP reconciling items of the Company, fair value change on derivatives, interest expenses related to the convertible bonds amortization to face value, income tax effects on non-GAAP adjustments and non-GAAP adjustments for net (loss) income attributable to non-controlling interest shareholders. These adjustments amounted to reversal of RMB1,493.8 million (US$220.0 million) and RMB431.7 million in the third quarter of 2020 and 2019, respectively. Please refer to the section titled “Reconciliation of GAAP and Non-GAAP Results” for more details.

⁴ Refers to mobile average monthly active users. Average mobile MAU for any period is calculated by dividing (i) the sum of the Company’s mobile active users for each month of such period, by (ii) the number of months in such period.

⁵ Refers to a registered user that has purchased virtual items on YY’s platforms at least once during the period presented.

⁶ Non-GAAP operating income is a non-GAAP financial measure, which is defined as operating income excluding share-based compensation expenses, amortization of intangible assets from business acquisitions, impairment of goodwill and investments and gain on disposal of subsidiaries and business. Please refer to the section titled “Reconciliation of GAAP and Non-GAAP Results” for details.

⁷ Non-GAAP operating margin is a non-GAAP financial measure, which is defined as non-GAAP operating income as a percentage of net revenues. Please refer to the section titled “Reconciliation of GAAP and Non-GAAP Results” for details.

⁸ Non-GAAP net margin is non-GAAP net income from continuing operations attributable to controlling interest of JOYY Inc. as a percentage of net revenues.

⁹ ADS is American Depositary Share. Each ADS represents twenty Class A common shares of the Company. Diluted net income per ADS is net income attributable to common shareholders of JOYY Inc. divided by weighted average number of diluted ADS.

¹⁰ Non-GAAP diluted net income from continuing operations per ADS is a non-GAAP financial measure, which is defined as non-GAAP net income from continuing operations attributable to common shareholders of JOYY Inc. divided by weighted average number of ADS used in the calculation of diluted net income per ADS. Please refer to the section titled “Reconciliation of GAAP and Non-GAAP Results” for details.

JOYY INC.

UNAUDITED
CONDENSED
CONSOLIDATED BALANCE SHEETS

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

	December 31, 2019	September 3 0 , 2020	September 3 0 , 2020
	RMB	RMB	US$
Assets
Current assets
Cash and cash equivalents	2,780,345	12,466,359	1,836,096
Restricted cash and cash equivalents	3,500	3,500	515
Short-term deposits	10,027,440	8,190,367	1,206,311
Restricted short-term deposits	653,034	504,312	74,277
Short-term investments	3,402,658	3,305,128	486,793
Accounts receivable, net	675,196	1,049,931	154,638
Amounts due from related parties	1,709	2,279	336
Financing receivables, net	105,344	1,469	216
Prepayments and other current assets	569,730	617,810	90,994
Assets held for sale	10,581,013	–	–

Total current assets	28,799,969	26,141,155	3,850,176

Non-current assets
Deferred tax assets	81,819	77,429	11,404
Investments⁽¹⁾	1,983,483	8,375,126	1,233,523
Property and equipment, net	2,159,674	2,511,631	369,923
Land use rights, net	1,736,544	1,700,472	250,452
Intangible assets, net	3,134,778	2,544,297	374,734
Right-of-use assets, net	172,783	143,381	21,118
Goodwill	12,947,192	12,639,182	1,861,550
Financing receivables, net	129,380	128,627	18,945
Other non-current assets	289,131	157,274	23,164
Assets held for sale	774,730	–	–

Total non-current assets	23,409,514	28,277,419	4,164,813

Total assets	52,209,483	54,418,574	8,014,989

Liabilities, mezzanine equity and shareholders’ equity
Current liabilities
Accounts payable	120,826	108,245	15,943
Deferred revenue	548,303	579,704	85,381
Advances from customers	99,130	69,314	10,209
Income taxes payable	425,572	452,729	66,680
Accrued liabilities and other current liabilities	3,150,303	3,610,862	531,821
Amounts due to related parties	205,921	30,672	4,517
Lease liabilities due within one year	83,686	94,581	13,930
Short-term loans	557,203	1,004,125	147,892
Liabilities held for sale	2,446,677	–	–

Total current liabilities	7,637,621	5,950,232	876,373

Non-current liabilities
Convertible bonds	5,008,571	5,197,691	765,537
Lease liabilities	92,669	53,849	7,931
Deferred revenue	75,628	68,238	10,050
Deferred tax liabilities	264,639	302,708	44,584
Other non-current liabilities	11,495	–	–
Liabilities held for sale	235,023	–	–

Total non-current liabilities	5,688,025	5,622,486	828,102

Total liabilities	13,325,646	11,572,718	1,704,475

JOYY INC.

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (CONTINUED)

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

	December 31, 2019		September 3 0 , 2020		September 3 0 , 2020
	RMB		RMB		US$

Mezzanine equity	466,071		484,638		71,379

Shareholders’ equity
Class A common shares (US$0.00001 par value; 10,000,000,000 and 10,000,000,000 shares authorized, 1,301,845,404 shares issued and 1,293,162,504 shares outstanding as of December 31, 2019; 1,312,572,924 shares issued and 1,293,160,576 shares outstanding as of September 30, 2020, respectively)	80		80		12
Class B common shares (US$0.00001 par value; 1,000,000,000 and 1,000,000,000 shares authorized, 326,509,555 and 326,509,555 shares issued and outstanding as of December 31, 2019 and September 30, 2020, respectively)	24		24		4
Treasury Shares (US$0.00001 par value; 8,682,900 and 19,412,348 shares held as of December 31, 2019 and September 30, 2020, respectively)	(168,072	)	(320,858	)	(47,257	)
Additional paid-in capital	21,921,562		22,601,191		3,328,796
Statutory reserves	149,961		85,282		12,561
Retained earnings	10,272,122		19,834,864		2,921,360
Accumulated other comprehensive income	890,209		150,707		22,197

Total JOYY Inc.’s shareholders’ equity	33,065,886		42,351,290		6,237,673

Non-controlling interests	5,351,880		9,928		1,462

Total shareholders’ equity⁽²⁾	38,417,766		42,361,218		6,239,135

Total liabilities, mezzanine equity and shareholders’ equity	52,209,483		54,418,574		8,014,989

(1)	Increase in the amounts of investments was mainly attributable to the Group’s investment in Huya. On April 3rd, 2020, Huya ceased to be a subsidiary of the Company and the Company recognized its investment in Huya as an equity method investment.

(2)	On January 1, 2020, the Company adopted ASC326, “Financial Instruments-Credit Losses” using modified-retrospective transition approach. Following the adoption of this guidance, a cumulative-effect adjustment to shareholders’ equity, amounting to RMB12.1 million, was recognized as of January 1, 2020.

JOYY INC.

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(All amounts in thousands, except share, ADS and per ADS data)

	Three Months Ended								Nine Months Ended
	September 30 , 201 9		June 3 0 , 2020		September 30 , 2020		September 30 , 2020		September 30, 2019		September 30, 2020		September 30, 2020
	RMB		RMB		RMB		US$		RMB		RMB		US$

Net revenues
Live streaming⁽¹⁾	4,317,840		5,607,748		6,049,090		890,935		11,251,654		16,138,599		2,376,959
Others	299,425		232,344		237,285		34,948		799,503		725,365		106,835

Total net revenues	4,617,265		5,840,092		6,286,375		925,883		12,051,157		16,863,964		2,483,794

Cost of revenues⁽²⁾	(2,854,546	)	(3,769,095	)	(3,961,719	)	(583,498	)	(7,155,814	)	(10,739,492	)	(1,581,756	)

Gross profit	1,762,719		2,070,997		2,324,656		342,385		4,895,343		6,124,472		902,038

Operating expenses⁽²⁾
Research and development expenses	(538,089	)	(693,458	)	(636,015	)	(93,675	)	(1,402,791	)	(1,895,637	)	(279,197	)
Sales and marketing expenses	(957,261	)	(909,825	)	(1,083,038	)	(159,514	)	(2,393,235	)	(2,925,127	)	(430,825	)
General and administrative expenses	(312,516	)	(412,714	)	(280,831	)	(41,362	)	(764,774	)	(891,681	)	(131,330	)

Total operating expenses	(1,807,866	)	(2,015,997	)	(1,999,884	)	(294,551	)	(4,560,800	)	(5,712,445	)	(841,352	)

Other income	141,570		40,243		141,801		20,885		211,469		202,854		29,877

Operating income	96,423		95,243		466,573		68,719		546,012		614,881		90,563

Interest expenses	(123,456	)	(131,656	)	(135,193	)	(19,912	)	(141,943	)	(391,364	)	(57,642	)
Interest income and investment income	116,598		162,519		152,429		22,450		291,900		429,341		63,235
Foreign currency exchange gains (losses), net	15,748		3,246		(55,002	)	(8,101	)	30,469		(63,735	)	(9,387	)
(Loss) gain on disposal and deemed disposal of investments⁽³⁾	–		(13,444	)	2,040,359		300,512		–		2,135,818		314,572
(Loss) gain on fair value change of investments	(11,492	)	708,633		(39,792	)	(5,861	)	2,652,642		1,002,635		147,672
Fair value change on derivatives	(1,753	)	2,174		(29,664	)	(4,369	)	(1,753	)	(17,144	)	(2,525	)
Other non-operating expenses	–		(4,257	)	(1,000	)	(147	)	–		(17,257	)	(2,542	)

Income before income tax expenses	92,068		822,458		2,398,710		353,291		3,377,327		3,693,175		543,946

Income tax expenses	(58,692	)	(187,246	)	(127,215	)	(18,737	)	(285,959	)	(458,917	)	(67,591	)

Income before share of income in equity method investments, net of income taxes	33,376		635,212		2,271,495		334,554		3,091,368		3,234,258		476,355

Share of income (loss) in equity method investments, net of income taxes	21,189		(23,544	)	26,550		3,910		35,337		(9,085	)	(1,338	)

Net income from continuing operations	54,565		611,668		2,298,045		338,464		3,126,705		3,225,173		475,017

Net income from discontinued operations⁽⁴⁾	123,242		6,343,255		–		–		308,503		6,514,481		959,480

Net income	177,807		6,954,923		2,298,045		338,464		3,435,208		9,739,654		1,434,497

Less: Net income (loss) attributable to the non-controlling interest shareholders and the mezzanine equity classified as non-controlling interest shareholders	67,879		(43,062	)	(5,148	)	(758	)	162,770		51,811		7,631

Net income attributable to controlling interest of JOYY Inc.	109,928		6,997,985		2,303,193		339,222		3,272,438		9,687,843		1,426,866

Including:
Net income from continuing operations attributable to controlling interest of JOYY Inc.	61,757		619,426		2,303,193		339,222		3,148,022		3,242,757		477,606
Net income from discontinued operations attributable to controlling interest of JOYY Inc.	48,171		6,378,559		–		–		124,416		6,445,086		949,260

Less: Accretion of subsidiaries’ redeemable convertible preferred shares to redemption value	9,715		9,865		9,642		1,420		28,556		29,212		4,302
Cumulative dividend on subsidiary’s Series A Preferred Shares	6,982		7,090		6,930		1,021		20,523		20,995		3,092

Net income attributable to common shareholders of JOYY Inc.	93,231		6,981,030		2,286,621		336,781		3,223,359		9,637,636		1,419,472

Including:
Net income from continuing operations attributable to common shareholders of JOYY Inc.	45,060		602,471		2,286,621		336,781		3,098,943		3,192,550		470,212
Net income from discontinued operations attributable to common shareholders of JOYY Inc.	48,171		6,378,559		–		–		124,416		6,445,086		949,260

JOYY INC.

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (CONTINUED)

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

	Three Months Ended				Nine Months Ended
	September 30, 2019	June 30, 2020	September 30, 2020	September 30, 2020	September 30, 2019	September 30, 2020	September 30, 2020
	RMB	RMB	RMB	US$	RMB	RMB	US$

Net income per ADS
—Basic	1.16	87.69	28.49	4.20	42.24	120.55	17.76
Continuing operations	0.56	7.57	28.49	4.20	40.61	39.93	5.88
Discontinued operations	0.60	80.12	–	–	1.63	80.62	11.88
—Diluted	1.11	85.68	25.92	3.82	41.20	108.54	15.99
Continuing operations	0.56	7.39	25.92	3.82	39.79	38.67	5.70
Discontinued operations	0.55	78.29	–	–	1.41	69.87	10.29

Weighted average number of ADS used in calculating net income per ADS
—Basic	80,033,607	79,609,517	80,262,892	80,262,892	76,310,648	79,949,342	79,949,342
—Diluted	80,973,447	81,477,788	93,076,688	93,076,688	81,040,767	92,186,612	92,186,612

(1)	Live streaming revenues by geographical areas were as follows:

	Three Months Ended				Nine Months Ended
	September 30, 201 9	June 30, 2020	September 30 , 2020	September 30, 2020	September 30, 2019	September 30, 2020	September 30, 2020
	RMB	RMB	RMB	US$	RMB	RMB	US$

PRC	3,138,668	2,965,737	3,110,451	458,120	8,886,950	8,895,787	1,310,208
Non-PRC	1,179,172	2,642,011	2,938,639	432,815	2,364,704	7,242,812	1,066,751

(2)	Share-based compensation was allocated in cost of revenues and operating expenses as follows:

	Three Months Ended				Nine Months Ended
	September 30 , 201 9	June 30, 2020	September 30 , 2020	September 30 , 2020	September 30 2019	September 30, 2020	September 30, 2020
	RMB	RMB	RMB	US$	RMB	RMB	US$

Cost of revenues	12,111	9,637	13,676	2,014	33,734	34,962	5,149
Research and development expenses	105,002	92,465	86,504	12,741	309,883	266,969	39,320
Sales and marketing expenses	1,175	2,024	2,744	404	4,792	6,683	984
General and administrative expenses	46,223	91,019	85,254	12,557	145,718	221,475	32,620

(3)	(Loss) gain on disposal and deemed disposal of investments mainly represented the gain from our further disposal of our equity interest in Huya in the third quarter of 2020.

(4)	Gain from the disposal and deconsolidation amounted to around RMB6.4 billion was reported as part of the net income from discontinued operations in the second quarter of 2020.

JOYY INC.

RECONCILIATION OF GAAP AND NON-GAAP RESULTS

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

	Three Months Ended				Nine Months Ended
	September 30 , 201 9	June 3 0 , 2020	September 30 , 2020	September 30 , 2020	September 30, 2019	September 30, 2020	September 30, 2020
	RMB	RMB	RMB	US$	RMB	RMB	US$

Operating income	96,423	95,243	466,573	68,719	546,012	614,881	90,563
Share-based compensation expenses	164,511	195,145	188,178	27,716	494,127	530,089	78,073
Impairment of goodwill and investments	10,000	43,861	–	–	10,000	43,861	6,460
Amortization of intangible assets from business acquisitions	193,487	175,043	171,085	25,198	444,227	532,317	78,402

Non-GAAP operating income	464,421	509,292	825,836	121,633	1,494,366	1,721,148	253,498

Net income from continuing operations	54,565		611,668		2,298,045		338,464		3,126,705		3,225,173		475,017
Share-based compensation expenses	164,511		195,145		188,178		27,716		494,127		530,089		78,073
Impairment of goodwill and investments	10,000		43,861		–		–		10,000		43,861		6,460
Amortization of intangible assets from business acquisitions	193,487		175,043		171,085		25,198		444,227		532,317		78,402
(Loss) gain on disposal and deemed disposal of investments	–		13,444		(2,040,359	)	(300,512	)	–		(2,135,818	)	(314,572	)
(Loss) gain on fair value change of investments⁽¹⁾	11,492		(708,633	)	39,792		5,861		(2,652,642	)	(1,002,635	)	(147,672	)
Reconciling items on the share of equity method investments⁽¹⁾	(9,461	)	8,805		25,879		3,812		(13,997	)	37,117		5,467
Fair value change on derivatives	1,753		(2,174	)	29,664		4,369		1,753		17,144		2,525
Interest expenses related to the convertible bonds’ amortization to face value	100,885		106,908		107,728		15,867		105,172		316,878		46,671
Income tax effects on non-GAAP adjustments	(40,166	)	42,452		(15,241	)	(2,245	)	(89,053	)	47,766		7,035

Non-GAAP net income from continuing operations	487,066		486,519		804,771		118,530		1,426,292		1,611,892		237,406

Net income from continuing operations attributable to common shareholders of JOYY Inc.	45,060		602,471		2,286,621		336,781		3,098,943		3,192,550		470,212
Share-based compensation expenses	164,511		195,145		188,178		27,716		494,127		530,089		78,073
Impairment of goodwill and investments	10,000		43,861		–		–		10,000		43,861		6,460
Amortization of intangible assets from business acquisitions	193,487		175,043		171,085		25,198		444,227		532,317		78,402
(Loss) gain on disposal and deemed disposal of investments	–		13,444		(2,040,359	)	(300,512	)	–		(2,135,818	)	(314,572	)
(Loss) gain on fair value change of investments	11,492		(708,633	)	39,792		5,861		(2,652,642	)	(1,002,635	)	(147,672	)
Reconciling items on the share of equity method investments	(9,461	)	8,805		25,879		3,812		(13,997	)	37,117		5,467
Fair value change on derivatives	1,753		(2,174	)	29,664		4,369		1,753		17,144		2,525
Interest expenses related to the convertible bonds’ amortization to face value	100,885		106,908		107,728		15,867		105,172		316,878		46,671
Accretion, cumulative dividend and deemed dividend to subsidiaries’ preferred shareholders	16,697		16,955		16,572		2,441		49,079		50,207		7,394
Income tax effects on non-GAAP adjustments	(40,166	)	42,452		(15,241	)	(2,245	)	(89,053	)	47,766		7,035
Non-GAAP adjustments for net income (loss) attributable to the non-controlling interest shareholders	(847	)	(688	)	(569	)	(84	)	(1,666	)	19		3

Non-GAAP net income from continuing operations attributable to controlling interest and common shareholders of JO YY Inc.	493,411		493,589		809,350		119,204		1,445,943		1,629,495		239,998

Non-GAAP net income from continuing operations per ADS
—Basic	6.17	6.20	10.08	1.49	18.95	20.38	3.00
—Diluted	5.60	5.57	8.89	1.31	18.09	18.28	2.69
Weighted average number of ADS used in calculating Non-GAAP net income from continuing operations per ADS
—Basic	80,033,607	79,609,517	80,262,892	80,262,892	76,310,648	79,949,342	79,949,342
—Diluted	91,400,547	91,904,888	93,076,688	93,076,688	81,040,767	92,186,612	92,186,612

(1)	(Loss) gain on fair value change of equity investees’ investments was reclassified to the reconciling items on the equity method investments from gain on fair value change of investments

JOYY INC.

UNAUDITED SEGMENT REPORT

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

	Three Months Ended
	September 30 , 2020

	YY		Bigo			Elimination⁽¹⁾			Total			Total
	RMB		RMB			RMB			RMB			US$

Net revenues
Live streaming	2,770,876			3,278,214			–			6,049,090			890,935
Others	120,661			116,624			–			237,285			34,948

Total net revenues	2,891,537			3,394,838			–			6,286,375			925,883

Cost of revenues⁽²⁾	(1,624,172	)		(2,337,547	)		–			(3,961,719	)		(583,498	)

Gross profit	1,267,365			1,057,291			–			2,324,656			342,385
Operating expenses⁽²⁾
Research and development expenses	(303,147	)		(332,868	)		–			(636,015	)		(93,675	)
Sales and marketing expenses	(230,230	)		(852,808	)		–			(1,083,038	)		(159,514	)
General and administrative expenses	(90,752	)		(190,079	)		–			(280,831	)		(41,362	)

Total operating expenses	(624,129	)		(1,375,755	)		–			(1,999,884	)		(294,551	)

Other income	135,286			6,515			–			141,801			20,885

Operating income (loss)	778,522			(311,949	)		–			466,573			68,719

Other non-operating expenses	(1,000	)		–			–			(1,000	)		(147	)
Interest expenses	(127,167	)		(12,516	)		4,490			(135,193	)		(19,912	)
Interest income and investment income	156,780			139			(4,490	)		152,429			22,450
Foreign currency exchange gains (loss), net	1,014			(56,016	)		–			(55,002	)		(8,101	)
Fair value change on derivatives	(29,664	)		–			–			(29,664	)		(4,369	)
Gain on disposal and deemed disposal of investments	2,040,359			–			–			2,040,359			300,512
Loss on fair value change of investments	(39,792	)		–			–			(39,792	)		(5,861	)

Income (loss) before income tax expenses	2,779,052			(380,342	)		–			2,398,710			353,291

Income tax expenses	(124,579	)		(2,636	)		–			(127,215	)		(18,737	)

Income (loss) before share of loss in equity method investments, net of income taxes	2,654,473			(382,978	)		–			2,271,495			334,554

Share of gain in equity method investments, net of income taxes	26,550			–			–			26,550			3,910

Net income (loss ) from continuing operations	2,681,023			(382,978	)		–			2,298,045			338,464

(1)	The elimination mainly consists of interest income and interest expenses generated from the loan between YY and Bigo segments.
(2)	Share-based compensation was allocated in cost of revenues and operating expenses as follows:

	Three Months Ended
	September 30 , 2020

	YY		Bigo	Total	Total
	RMB		RMB	RMB	US$

Cost of revenues	9,738		3,938	13,676	2,014
Research and development expenses	36,643		49,861	86,504	12,741
Sales and marketing expenses	1,772		972	2,744	404
General and administrative expenses	(7,860	)	93,114	85,254	12,557

JOYY INC.

RECONCILIATION OF GAAP AND NON-GAAP RESULTS OF UNAUDITED SEGMENT REPORT

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

	Three Months Ended
	September 30 , 2020

	YY		Bigo			Total			Total
	RMB		RMB			RMB			US$

Operating income (loss)	778,522			(311,949	)		466,573			68,719
Share-based compensation expenses	40,293			147,885			188,178			27,716
Amortization of intangible assets from business acquisitions	–			171,085			171,085			25,198

Non-GAAP operating income	818,815			7,021			825,836			121,633

Net income (loss) from continuing operations	2,681,023			(382,978	)		2,298,045			338,464
Share-based compensation expenses	40,293			147,885			188,178			27,716
Amortization of intangible assets from business acquisitions	–			171,085			171,085			25,198
Gain on disposal and deemed disposal of investments	(2,040,359	)		–			(2,040,359	)		(300,512	)
Loss on fair value change of investments	39,792			–			39,792			5,861
Reconciling items on the share of equity method investments	25,879			–			25,879			3,812
Fair value change on derivatives	29,664			–			29,664			4,369
Interest expenses related to the convertible bonds’ amortization to face value	107,728			–			107,728			15,867
Income tax effects on non-GAAP adjustments	(7,248	)		(7,993	)		(15,241	)		(2,245	)

Non-GAAP n et income (loss) from continuing operations	876,772			(72,001	)		804,771			118,530

JOYY INC.

UNAUDITED SEGMENT REPORT

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

	Three Months Ended
	June 30 , 2020

	YY		Bigo			Elimination⁽¹⁾			Total			Total
	RMB		RMB			RMB			RMB			US$

Net revenues
Live streaming	2,661,788			2,945,960			–			5,607,748			793,725
Others	115,618			116,726			–			232,344			32,886

Total net revenues	2,777,406			3,062,686			–			5,840,092			826,611

Cost of revenues⁽²⁾	(1,583,125	)		(2,185,970	)		–			(3,769,095	)		(533,481	)

Gross profit	1,194,281			876,716			–			2,070,997			293,130
Operating expenses⁽²⁾
Research and development expenses	(292,459	)		(400,999	)		–			(693,458	)		(98,153	)
Sales and marketing expenses	(224,955	)		(684,870	)		–			(909,825	)		(128,777	)
General and administrative expenses	(232,427	)		(180,287	)		–			(412,714	)		(58,416	)

Total operating expenses	(749,841	)		(1,266,156	)		–			(2,015,997	)		(285,346	)

Other income	31,679			8,564			–			40,243			5,696

Operating income (loss)	476,119			(380,876	)		–			95,243			13,480

Other non-operating expenses	–			(4,257	)		–			(4,257	)		(603	)
Interest expenses	(126,282	)		(14,231	)		8,857			(131,656	)		(18,635	)
Interest income and investment income	171,299			77			(8,857	)		162,519			23,003
Foreign currency exchange gains, net	2,839			407			–			3,246			459
Fair value change on derivatives	2,174			–			–			2,174			308
Loss on disposal and deemed disposal of investments	(13,444	)		–			–			(13,444	)		(1,903	)
Gain on fair value change of investments	708,633			–			–			708,633			100,300

Income (loss) before income tax expenses	1,221,338			(398,880	)		–			822,458			116,409

Income tax (expenses) benefits	(203,468	)		16,222			–			(187,246	)		(26,503	)

Income (loss) before share of loss in equity method investments, net of income taxes	1,017,870			(382,658	)		–			635,212			89,906

Share of loss in equity method investments, net of income taxes	(23,544	)		–			–			(23,544	)		(3,332	)

Net income (loss) from continuing operations	994,326			(382,658	)		–			611,668			86,574

(1)	The elimination mainly consists of interest income and interest expenses generated from the loan between YY and Bigo segments.
(2)	Share-based compensation was allocated in cost of revenues and operating expenses as follows:

	Three Months Ended
	June 30 , 2020

	YY	Bigo	Total	Total
	RMB	RMB	RMB	US$

Cost of revenues	1,103	8,534	9,637	1,364
Research and development expenses	26,528	65,937	92,465	13,088
Sales and marketing expenses	816	1,208	2,024	286
General and administrative expenses	53,199	37,820	91,019	12,883

JOYY INC.

RECONCILIATION OF GAAP AND NON-GAAP RESULTS OF UNAUDITED SEGMENT REPORT

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

	Three Months Ended
	June 30 , 2020

	YY		Bigo			Total			Total
	RMB		RMB			RMB			US$

Operating income (loss)	476,119			(380,876	)		95,243			13,480
Share-based compensation expenses	81,646			113,499			195,145			27,621
Impairment of goodwill and investments	43,861			–			43,861			6,208
Amortization of intangible assets from business acquisitions	–			175,043			175,043			24,776

Non-GAAP operating income (loss)	601,626			(92,334	)		509,292			72,085

Net income (loss) from continuing operations	994,326			(382,658	)		611,668			86,574
Share-based compensation expenses	81,646			113,499			195,145			27,621
Impairment of goodwill and investments	43,861			–			43,861			6,208
Amortization of intangible assets from business acquisitions	–			175,043			175,043			24,776
Loss on disposal and deemed disposal of investments	13,444			–			13,444			1,903
Gain on fair value change of investments	(708,633	)		–			(708,633	)		(100,300	)
Reconciling items on the share of equity method investments	8,805			–			8,805			1,246
Fair value change on derivatives	(2,174	)		–			(2,174	)		(308	)
Interest expenses related to the convertible bonds’ amortization to face value	106,908			–			106,908			15,132
Income tax effects on non-GAAP adjustments	65,180			(22,728	)		42,452			6,009

Non-GAAP n et income (loss) from continuing operations	603,363			(116,844	)		486,519			68,861

JOYY INC.

UNAUDITED SEGMENT REPORT

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

	Three Months Ended
	September 30 , 201 9

	YY		Bigo			Elimination⁽¹⁾			Total			Total
	RMB		RMB			RMB			RMB			US$

Net revenues
Live streaming	2,899,044			1,418,796			–			4,317,840			604,088
Others	181,006			118,419			–			299,425			41,891

Total net revenues	3,080,050			1,537,215			–			4,617,265			645,979

Cost of revenues⁽²⁾	(1,729,389	)		(1,125,157	)		–			(2,854,546	)		(399,366	)

Gross profit	1,350,661			412,058			–			1,762,719			246,613
Operating expenses⁽²⁾
Research and development expenses	(249,620	)		(288,469	)		–			(538,089	)		(75,281	)
Sales and marketing expenses	(340,619	)		(616,642	)		–			(957,261	)		(133,926	)
General and administrative expenses	(225,281	)		(87,235	)		–			(312,516	)		(43,723	)

Total operating expenses	(815,520	)		(992,346	)		–			(1,807,866	)		(252,930	)

Other income	136,535			5,035			–			141,570			19,806

Operating income (loss)	671,676			(575,253	)		–			96,423			13,489

Interest expenses	(123,456	)		(11,078	)		11,078			(123,456	)		(17,272	)
Interest income and investment income	127,068			608			(11,078	)		116,598			16,313
Foreign currency exchange (losses) gains, net	2,798			12,950			–			15,748			2,203
Fair value change on derivatives	(1,753	)		–			–			(1,753	)		(245	)
Loss on fair value change of investments	(11,492	)		–			–			(11,492	)		(1,608	)

Income (loss) before income tax expenses	664,841			(572,773	)		–			92,068			12,880

Income tax (expenses) benefits	(146,835	)		88,143			–			(58,692	)		(8,211	)

Income (loss) before share of income in equity method investments, net of income taxes	518,006			(484,630	)		–			33,376			4,669

Share of income in equity method investments, net of income taxes	21,189			–			–			21,189			2,964

Net income (loss) from continuing operations	539,195			(484,630	)		–			54,565			7,633

(1)	The elimination mainly consists of interest income and interest expenses generated from the loan between YY and Bigo segments.
(2)	Share-based compensation was allocated in cost of revenues and operating expenses as follows:

	Three Months Ended
	September 30 , 201 9

	YY	Bigo	Total	Total
	RMB	RMB	RMB	US$

Cost of revenues	5,043	7,068	12,111	1,694
Research and development expenses	26,848	78,154	105,002	14,690
Sales and marketing expenses	419	756	1,175	164
General and administrative expenses	41,265	4,958	46,223	6,467

JOYY INC.

RECONCILIATION OF GAAP AND NON-GAAP RESULTS OF UNAUDITED SEGMENT REPORT

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

	Three Months Ended
	September 30 , 2019

	YY		Bigo			Total			Total
	RMB		RMB			RMB			US$

Operating income (loss)	671,676			(575,253	)		96,423			13,489
Share-based compensation expenses	73,575			90,936			164,511			23,015
Impairment of goodwill and investments	10,000			–			10,000			1,399
Amortization of intangible assets from business acquisitions	–			193,487			193,487			27,070

Non-GAAP operating income (loss)	755,251			(290,830	)		464,421			64,973

Net income (loss) from continuing operations	539,195			(484,630	)		54,565			7,633
Share-based compensation expenses	73,575			90,936			164,511			23,015
Impairment of goodwill and investments	10,000			–			10,000			1,399
Amortization of intangible assets from business acquisitions	–			193,487			193,487			27,070
Gain on fair value change of investments	11,492			–			11,492			1,608
Reconciling items on the share of equity method investments	(9,461	)		–			(9,461	)		(1,324	)
Fair value change on derivatives	1,753			–			1,753			245
Interest expenses related to the convertible bonds’ amortization to face value	100,885			–			100,885			14,114
Income tax effects on non-GAAP adjustments	(188	)		(39,978	)		(40,166	)		(5,619	)

Non-GAAP n et income (loss) from continuing operations	727,251			(240,185	)		487,066			68,141

November 16, 2020 5:17 pm

Babcock & Wilcox Thermal to Supply Components for Natural Gas Upgrade at Power Plant in North America

Babcock & Wilcox Thermal to Supply Components for Natural Gas Upgrade at Power Plant in North America

AKRON, Ohio–(BUSINESS WIRE)–
Babcock & Wilcox (B&W) (NYSE: BW) announced today that its B&W Thermal segment will supply equipment to upgrade burners and provide other boiler related equipment for a power plant in North America to allow it to utilize cleaner-burning natural gas as its main fuel. The contract is valued at approximately $3 million.

“As utilities look to perform maintenance and upgrades to their existing fleets, B&W has the depth of knowledge and expertise to supply these components and perform a broad range of services that allow customers to produce power more cleanly and efficiently,” said B&W Chief Operating Officer Jimmy Morgan. “We see continued opportunities in this market as more U.S. plants look to utilize natural gas to generate power.”

B&W will supply natural gas valve trains and other burner related components for the plant’s boiler. Material delivery is scheduled for early 2021.

In addition to steam generation and related auxiliary equipment, B&W’s field engineers can provide expert support for emissions control systems, heat recovery steam generators, and other power plant equipment.

About Babcock & Wilcox

Headquartered in Akron, Ohio, Babcock & Wilcox is a global leader in energy and environmental technologies and services for the power and industrial markets. Follow us on LinkedIn and learn more at www.babcock.com.

About B&W Thermal

Babcock & Wilcox Thermal designs, manufactures and erects steam generation equipment, aftermarket parts, construction, maintenance and field services for plants in the power generation, oil & gas, and industrial sectors. Babcock & Wilcox Thermal has an extensive global base of installed equipment for utilities and general industrial applications including refining, petrochemical, food processing, metals and more.

Forward-Looking Statements

B&W cautions that this release contains forward-looking statements, including, without limitation, statements relating to the execution and completion of a contract to supply components for a natural gas upgrade at a power plant in North America. These forward-looking statements are based on management’s current expectations and involve a number of risks and uncertainties. For a more complete discussion of these risk factors, see our filings with the Securities and Exchange Commission, including our most recent annual report on Form 10-K. If one or more of these risks or other risks materialize, actual results may vary materially from those expressed. We caution readers not to place undue reliance on these forward-looking statements, which speak only as of the date of this release, and we undertake no obligation to update or revise any forward-looking statement, except to the extent required by applicable law.

View source version on businesswire.com: https://www.businesswire.com/news/home/20201116006049/en/

Investor Contact:

Megan Wilson

Vice President, Corporate Development & Investor Relations

Babcock & Wilcox

704.625.4944 | [email protected]

Media Contact:

Ryan Cornell

Public Relations

Babcock & Wilcox

330.860.1345 | [email protected]

KEYWORDS: Ohio United States North America

INDUSTRY KEYWORDS: Manufacturing Other Energy Nuclear Utilities Other Manufacturing Oil/Gas Coal Alternative Energy Environment Energy Chemicals/Plastics

MEDIA:

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November 16, 2020 5:14 pm

LendingTree Announces Secondary Offering Of 2,955,984 Shares Of Common Stock

PR Newswire

CHARLOTTE, N.C., Nov. 16, 2020 /PRNewswire/ — LendingTree, Inc. (NASDAQ: TREE) (“LendingTree” or the “Company”), a leading online loan marketplace, today announced an underwritten public offering (the “Public Offering”) of 2,955,984 shares of common stock by Ventures Holdco II, LLC (the “Selling Stockholder”), which is a wholly-owned subsidiary of GCI Liberty, Inc. (“GCI Liberty”). Contemporaneously with the Public Offering, the Selling Stockholder is also offering an additional 488,005 shares of common stock pursuant to a private placement to be purchased by Royal Bank of Canada (the “Concurrent Private Placement”). The Public Offering is not contingent on the completion of the Concurrent Private Placement, but the Concurrent Private Placement is contingent on the completion of the Public Offering.

After giving effect to the Public Offering and the Concurrent Private Placement, GCI Liberty will not beneficially own any of our shares of common stock. As a result, our “Spinco Agreement” with GCI Liberty will terminate and GCI Liberty will no longer have the right to designate directors for nomination to LendingTree’s board of directors. It is expected that Courtnee Chun will resign as a member of LendingTree’s board of directors effective upon completion of the Public Offering.

LendingTree is not selling any shares of common stock in, and will not receive any proceeds from the Public Offering or the Concurrent Private Placement.

Goldman Sachs & Co. LLC is acting as the sole underwriter for the Public Offering.

The issuer has filed a registration statement on Form S-3 (File No. 333-233034) with the U.S. Securities and Exchange Commission (“SEC”) for the Public Offering to which this communication relates and which has become effective. A preliminary prospectus supplement relating to the Public Offering will also be filed with the SEC. Before you invest, you should read the prospectus in that registration statement, the applicable preliminary prospectus supplement and other documents the issuer has filed with the SEC for more complete information about the issuer, the Selling Stockholder and the Public Offering. You may get these documents for free by visiting EDGAR on the SEC website at www.sec.gov. The issuer, underwriter or any dealer participating in the Public Offering will arrange to send you the prospectus supplement and accompanying prospectus, when available, if you request it from; Goldman Sachs & Co. LLC, Prospectus Department, 200 West Street, New York, NY 10282, or by telephone at 1 (866) 471-2526, or by emailing [email protected].

This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.

About LendingTree, Inc.
LendingTree (NASDAQ: TREE) is the nation’s leading online marketplace that connects consumers with the choices they need to be confident in their financial decisions. LendingTree empowers consumers to shop for financial services the same way they would shop for airline tickets or hotel stays, by comparing multiple offers from a nationwide network of approximately 800 partners in one simple search and choosing the option that best fits their financial needs. Services include mortgage loans, mortgage refinances, auto loans, personal loans, business loans, student refinances, credit cards, insurance and more. Through the My LendingTree platform, consumers receive free credit scores, credit monitoring and recommendations to improve credit health. My LendingTree proactively compares consumers’ credit accounts against offers on our network and notifies consumers when there is an opportunity to save money. In short, LendingTree’s purpose is to help simplify financial decisions for life’s meaningful moments through choice, education and support.

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995
The matters contained in the discussion above may be considered to be “forward-looking statements” within the meaning of the Securities Act and the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act of 1995, as amended. Those statements include statements regarding the intent, belief or current expectations or anticipations of the Company and members of its management team. Factors currently known to management that could cause actual results to differ materially from those in forward-looking statements include the following: uncertainty regarding the duration and scope of the coronavirus referred to as COVID-19 pandemic; actions governments and businesses take in response to the pandemic, including actions that could affect levels of advertising activity; the impact of the pandemic and actions taken in response to the pandemic on national and regional economies and economic activity; the pace of recovery when the COVID-19 pandemic subsides; adverse conditions in the primary and secondary mortgage markets and in the economy, particularly interest rates; default rates on loans, particularly unsecured loans; demand by investors for unsecured personal loans; the effect of such demand on interest rates for personal loans and consumer demand for personal loans; seasonality of results; potential liabilities to secondary market purchasers; changes in the Company’s relationships with network lenders, including dependence on certain key network lenders; breaches of network security or the misappropriation or misuse of personal consumer information; failure to provide competitive service; failure to maintain brand recognition; ability to attract and retain consumers in a cost-effective manner; the effects of potential acquisitions of other businesses, including the ability to integrate them successfully with the Company’s existing operations; accounting rules related to contingent consideration and excess tax benefits or expenses on stock-based compensation that could materially affect earnings in future periods; ability to develop new products and services and enhance existing ones; competition; allegations of failure to comply with existing or changing laws, rules or regulations, or to obtain and maintain required licenses; failure of network lenders or other affiliated parties to comply with regulatory requirements; failure to maintain the integrity of systems and infrastructure; liabilities as a result of privacy regulations; failure to adequately protect intellectual property rights or allegations of infringement of intellectual property rights; and changes in management. These and additional factors to be considered are set forth under “Risk Factors” in the Company’s Annual Report on Form 10-K for the period ended December 31, 2019, the Company’s Quarterly Report on Form 10-Q for the quarters ended March 31, 2020, June 30, 2020 and September 30, 2020 and other filings with the Securities and Exchange Commission. The Company undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results or expectations.

Investor Relations Contact:

Trent Ziegler

[email protected]

704-943-8294

Media Contact:

Megan Greuling

[email protected]

704-943-8208

View original content to download multimedia:http://www.prnewswire.com/news-releases/lendingtree-announces-secondary-offering-of-2-955-984-shares-of-common-stock-301174061.html

SOURCE LendingTree, Inc.

November 16, 2020 5:13 pm

CI Global Asset Management Files Preliminary Prospectus for CI Galaxy Bitcoin Fund

CI Global Asset Management Files Preliminary Prospectus for CI Galaxy Bitcoin Fund

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICESOR FOR DISSEMINATION IN THE UNITED STATES

TORONTO–(BUSINESS WIRE)–
CI Global Asset Management (“CI GAM”) and Galaxy Digital Capital Management L.P. (“Galaxy Digital”) announced today that CI GAM has filed and obtained a receipt for a preliminary prospectus for the initial public offering of CI Galaxy Bitcoin Fund (the “Fund”).

The Fund is a closed-end investment fund which seeks to provide unitholders with exposure to bitcoin through an institutional-quality fund platform. The Fund will invest directly in bitcoin with the Fund’s holdings of bitcoin priced using the Bloomberg Galaxy Bitcoin Index (the “BTC”), which is designed to measure the performance of a single bitcoin traded in U.S. dollars. The BTC is owned and administered by Bloomberg Index Services Ltd.

CI GAM will be the manager of the Fund and Galaxy Digital will act as the bitcoin sub-advisor for the Fund. As sub-advisor, Galaxy Digital will execute all bitcoin trading on behalf of the Fund. Galaxy Digital is a diversified financial services and investment management company in the digital asset and blockchain technology sector. The team has extensive experience spanning investing, capital markets, venture capital, asset management and blockchain technology.

The initial public offering consists of Class A Units at a price of US$10 per Class A Unit and Class F Units at a price of US$10 per Class F Unit (the “Offering”).

Units of the Fund are being offered on a best-efforts basis in each of the provinces and territories of Canada. The syndicate of agents for the Offering was led by CIBC Capital Markets and included BMO Capital Markets, Canaccord Genuity Corp., Industrial Alliance Securities Inc., Richardson GMP Limited, Echelon Wealth Partners, Inc., Hampton Securities Ltd., Leede Jones Gable Inc., Mackie Research Corp. and PI Financial Corp.

The Offering is only made by the preliminary prospectus of the Fund dated November 16, 2020. The preliminary prospectus containing important information relating to these securities has been filed with the securities commissions or similar authorities in each of the provinces and territories of Canada. The preliminary prospectus is still subject to completion or amendment. Copies of the preliminary prospectus may be obtained from one of the agents noted above or through www.sedar.com. There will not be any sale or any acceptance of an offer to buy the securities until a receipt for the final prospectus has been issued by the relevant securities commissions in Canada. Investors should read the prospectus before making an investment decision.

About CI Global Asset Management

CI Global Asset Management is one of Canada’s largest investment management companies. It offers a wide range of investment products and services and is on the Web at www.ci.com. CI Global Asset Management is a subsidiary of CI Financial Corp. (TSX: CIX), an independent company offering global asset management and wealth management advisory services with approximately $202.4 billion in assets as of October 31, 2020.

About Galaxy Digital

Galaxy Digital Capital Management L.P. is an affiliate of Galaxy Digital Holdings Ltd. (TSX: GLXY) (“Galaxy Digital”). Galaxy Digital currently operates four distinct business lines, which include: Trading, Asset Management, Principal Investments and Investment Banking. Galaxy Digital’s CEO and Founder is Michael Novogratz. The Company is headquartered in New York City, with offices in Chicago, San Francisco, London, Tokyo, Hong Kong, the Cayman Islands (registered office) and New Jersey. Additional information about the Company’s businesses and products is available on www.galaxydigital.io.

The securities offered have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or any applicable exemption from the registration requirements. This news release does not constitute an offer to sell or the solicitation of an offer to buy securities nor will there be any sale of such securities in any state in which such offer, solicitation or sale would be unlawful.

This communication is provided as a general source of information and should not be considered personal, legal, accounting, tax or investment advice, or construed as an endorsement or recommendation of any entity or security discussed. Individuals should seek the advice of professionals, as appropriate, regarding any particular investment. Investors should consult their professional advisors prior to implementing any changes to their investment strategies.

CI Global Asset Management is a registered business name of CI Investments Inc.

View source version on businesswire.com: https://www.businesswire.com/news/home/20201116006045/en/

Murray Oxby

Vice-President, Corporate Communications

CI Global Asset Management

416-681-3254

[email protected]

Galaxy Digital Capital Management L.P.

Steve Kurz

Head of Asset Management

212-390-9216

[email protected]

Aidan O’Connor,

Prosek Partners

646-818-9283

[email protected]

KEYWORDS: North America Canada

INDUSTRY KEYWORDS: Professional Services Finance

MEDIA:

November 16, 2020 5:12 pm

Cenovus and Husky to hold special shareholder meetings on proposed Plan of Arrangement

Shareholders asked to vote in favour of board-approved agreement to combine businesses

CALGARY, Alberta, Nov. 16, 2020 (GLOBE NEWSWIRE) — Cenovus Energy Inc. (TSX: CVE) (NYSE: CVE) and Husky Energy Inc. (TSX: HSE) announce they have filed a joint management information circular dated November 9, 2020 and related meeting and proxy materials, which will be mailed to Cenovus common shareholders and to Husky common shareholders, preferred shareholders and optionholders in connection with the proposed plan of arrangement to create a resilient integrated energy leader.

Cenovus and Husky agreed to combine their respective businesses and entered into an arrangement agreement dated October 24, 2020. The boards of directors of Cenovus and Husky have unanimously approved the arrangement agreement and determined that it is in the best interests of their respective companies.

Cenovus and Husky Special Meetings

Special meetings for Cenovus common shareholders and for Husky common shareholders, preferred shareholders and optionholders will be held in order to consider and vote on resolutions in connection with the plan of arrangement, as described in the circular. Due to COVID-19, and in alignment with the recommendations of Canadian public health officials, the meetings will be conducted via live webcasts.

The Husky virtual meeting will be held at 9:00 a.m. MT/11:00 a.m. ET on Tuesday, December 15, 2020 and the Cenovus virtual meeting will commence at 1:00 p.m. MT/3:00 p.m. ET on the same day.

How to Vote

All securityholders are encouraged to vote in person (virtually) or by proxy. Details on how to vote and how to participate in the live webcasts are contained in the circular.

The completion of the arrangement is subject to, among other things, (i) the approval of the arrangement by not less than 66⅔% of the votes cast by Husky common shareholders at the Husky virtual meeting, (ii) the approval of the arrangement by not less than 66⅔% of the votes cast by Husky common shareholders and optionholders, voting together as a single class, at the Husky virtual meeting, (iii) the approval of the issuance of Cenovus common shares under the arrangement by a simple majority of the votes cast by Cenovus shareholders at the Cenovus virtual meeting, (iv) the approval of the Court of Queen’s Bench of Alberta, and (v) the receipt of all other necessary regulatory approvals. In addition, Husky will seek the approval of not less than 66⅔% of the votes cast by Husky preferred shareholders, voting together as a single class, at the Husky virtual meeting. If Husky preferred shareholder approval is obtained, each Husky preferred share will be exchanged for one Cenovus preferred share having substantially identical terms as the Husky preferred shares. It is not a condition to completion of the arrangement that Husky preferred shareholder approval be obtained, and, if not obtained, the Husky preferred shares will remain outstanding in a subsidiary of the combined company and listed on the TSX.

About the Transaction

The arrangement is currently anticipated to be completed in the first quarter of 2021, subject to satisfaction of all closing conditions. Upon completion of the transaction, the combined company will continue to operate as Cenovus and remain headquartered in Calgary, Alberta.

The circular has been filed on each company’s profile on the System for Electronic Document Analysis and Retrieval (SEDAR) at sedar.com and on each company’s profile on the Electronic Data Gathering, Analysis and Retrieval System (EDGAR) at sec.gov, and is available on Cenovus’s website at cenovus.com and on Husky’s website at huskyenergy.com.

Advisory

Note Regarding Forward-looking Information

This news release contains certain forward-looking statements and forward-looking information (collectively referred to as “forward-looking information”) within the meaning of applicable securities legislation, including the United States Private Securities Litigation Reform Act of 1995, about our current expectations, estimates and projections about the future, based on certain assumptions made by Cenovus and Husky in light of their experience and perception of historical trends. Although Cenovus and Husky believe that the expectations represented by such forward-looking information are reasonable, there can be no assurance that such expectations will prove to be correct. Readers are cautioned not to place undue reliance on forward-looking information as actual results may differ materially from those expressed or implied. Cenovus and Husky undertake no obligation to update or revise any forward-looking information except as required by law.

This forward-looking information is identified by words such as “anticipated”, “opportunity”, “potential”, “will”, or similar expressions and includes suggestions of future outcomes, including statements about: the holding of shareholder meetings; the timing of closing of the transaction; and the future operation and headquarters of the combined company.

Developing forward-looking information involves reliance on a number of assumptions and consideration of certain risks and uncertainties, some of which are specific to Cenovus and Husky and others that apply to the industry generally. Material factors or assumptions on which the forward-looking information in this news release is based include: successful closing of the transaction, including obtaining necessary shareholder, court and regulatory approvals and satisfaction of all other conditions to closing and within expected timelines.

Additional information about risks, assumptions, uncertainties and other factors that could cause Cenovus’s actual results to differ materially from those expressed or implied by its forward-looking statements is contained under “Risk Management and Risk Factors” in Cenovus’s Annual Management’s Discussion and Analysis (MD&A) or Form 40-F for the year ended December 31, 2019 and in the updates in the “Risk Management and Risk Factors” section of Cenovus’s MD&A for the period ended September 30, 2020.

Husky’s Annual Information Form for the year ended December 31, 2019, Management’s Discussion and Analysis for the three and nine months ended September 30, 2020 and other documents filed with securities regulatory authorities (accessible through the SEDAR website at sedar.com and the EDGAR website at sec.gov) describe some of the risks, material assumptions and other factors that could influence actual results in respect of Husky and are incorporated herein by reference.

About Cenovus

Cenovus Energy Inc. is a Canadian integrated oil and natural gas company. It is committed to maximizing value by sustainably developing its assets in a safe, innovative and cost-efficient manner, integrating environmental, social and governance considerations into its business plans. Operations include oil sands projects in northern Alberta, which use specialized methods to drill and pump the oil to the surface using a technique called steam-assisted gravity drainage (SAGD). The company also has conventional crude oil, natural gas and natural gas liquids assets in Alberta and British Columbia as well as 50% ownership in two U.S. refineries. Cenovus shares trade under the symbol CVE and are listed on the Toronto and New York stock exchanges. For more information, visit cenovus.com.

Find Cenovus on Facebook, Twitter, LinkedIn , YouTube and Instagram.

About Husky

Husky Energy is a Canadian-based integrated energy company. It is headquartered in Calgary, Alberta, and its common shares are publicly traded on the Toronto Stock Exchange under the symbol HSE. The Company operates in Canada, the United States and the Asia Pacific region with two business segments. The Integrated Corridor includes bitumen from thermal projects in the Lloydminster area of Saskatchewan, along with the Tucker Thermal Project and the Sunrise Energy Project in Alberta, with production integrated into Husky’s downstream operations, which includes upgrading, refining and marketing of refined petroleum products. The Offshore business includes crude oil production offshore Newfoundland and Labrador and natural gas and liquids production offshore China and Indonesia. For more information, visit huskyenergy.com.

Find Husky on Facebook, Twitter, LinkedIn and Instagram.

Cenovus Contacts
Investor Relations Sherry Wendt, Director, Investor Relations 403-766-7711	Media Relations Brett Harris, Manager, Communications 403-766-3420
Husky Contacts
Investor Relations Leo Villegas, Director, Investor Relations 403-513-7817	Media Relations Kim Guttormson, Manager, Communication Services 403-298-7088

November 16, 2020 5:12 pm

Cenovus and Husky to hold special shareholder meetings on proposed Plan of Arrangement

Shareholders asked to vote in favour of board-approved agreement to combine businesses

Cenovus and Husky Special Meetings

The Husky virtual meeting will be held at 9:00 a.m. MT/11:00 a.m. ET on Tuesday, December 15, 2020 and the Cenovus virtual meeting will commence at 1:00 p.m. MT/3:00 p.m. ET on the same day.

How to Vote

All securityholders are encouraged to vote in person (virtually) or by proxy. Details on how to vote and how to participate in the live webcasts are contained in the circular.

About the Transaction

Advisory

Note Regarding Forward-looking Information

About Cenovus

Find Cenovus on Facebook, Twitter, LinkedIn , YouTube and Instagram.

About Husky

Find Husky on Facebook, Twitter, LinkedIn and Instagram.

Cenovus Contacts

Investor Relations	Media Relations
Sherry Wendt, Director, Investor Relations	Brett Harris, Manager, Communications
403-766-7711	403-766-3420

Husky Contacts

Investor Relations	Media Relations
Leo Villegas, Director, Investor Relations	Kim Guttormson, Manager, Communication Services
403-513-7817	403-298-7088

November 16, 2020 5:12 pm

KE Holdings Inc. Announces Proposed Follow-on Public Offering of American Depositary Shares

KE Holdings Inc. Announces Proposed Follow-on Public Offering of American Depositary Shares

BEIJING–(BUSINESS WIRE)–
KE Holdings Inc. (“Beike” or the “Company”) (NYSE: BEKE), a leading integrated online and offline platform for housing transactions and services, today announced that it intends to offer and sell 35,400,000 American Depositary Shares (“ADSs”), each representing three Class A ordinary shares of the Company, subject to market and other conditions, in an underwritten public offering. The underwriters will have a 30-day option to purchase up to an aggregate of 5,310,000 additional ADSs from the Company.

The Company expects to use the net proceeds from the proposed offering for broadening its service offerings, expansion into new geographical areas and investment in its infrastructure, for potential strategic opportunities that may strengthen its market leadership and facilitate the development of its main businesses, as well as for working capital and general corporate purposes.

Goldman Sachs (Asia) L.L.C., Morgan Stanley & Co. LLC, J.P. Morgan Securities LLC, and China Renaissance Securities (Hong Kong) Limited will act as the joint bookrunners for the proposed ADS offering.

A preliminary prospectus related to the proposed ADS offering has been filed with the SEC and is available on the SEC’s website at www.sec.gov.

This announcement shall not constitute an offer to sell, or a solicitation of an offer to buy, the securities described herein, nor shall there be any offer, solicitation or sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About KE Holdings Inc.

KE Holdings Inc. is a leading integrated online and offline platform for housing transactions and services. The Company is a pioneer in building the industry infrastructure and standards in China to reinvent how service providers and housing customers efficiently navigate and consummate housing transactions, ranging from existing and new home sales, home rentals, to home renovation, real estate financial solutions, and other services. The Company owns and operates Lianjia, China’s leading real estate brokerage brand and an integral part of its Beike platform. With more than 19 years of operating experience through Lianjia since its inception in 2001, the Company believes the success and proven track record of Lianjia pave the way for it to build the industry infrastructure and standards and drive the rapid and sustainable growth of Beike.

Safe Harbor Statement

This press release contains statements that may constitute “forward-looking” statements pursuant to 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,” “aims,” “future,” “intends,” “plans,” “believes,” “estimates,” “likely to,” and similar statements. Statements that are not historical facts, including statements about KE Holdings Inc.’s beliefs, plans, and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. Further information regarding these and other risks is included in KE Holdings Inc.’s filings with the SEC. All information provided in this press release is as of the date of this press release, and KE Holdings Inc. does not undertake any obligation to update any forward-looking statement, except as required under applicable law.

View source version on businesswire.com: https://www.businesswire.com/news/home/20201116006044/en/

For investor and media inquiries, please contact:

In China:

KE Holdings Inc.

Investor Relations

Matthew Zhao

Siting Li

E-mail: [email protected]

The Piacente Group, Inc.

Ross Warner

Tel: +86-10-6508-0677

E-mail: [email protected]

In the United States:

The Piacente Group, Inc.

Brandi Piacente

Tel: +1-212-481-2050

E-mail: [email protected]

KEYWORDS: China Asia Pacific

INDUSTRY KEYWORDS: Technology Entertainment Online Finance Banking Residential Building & Real Estate Commercial Building & Real Estate Professional Services Construction & Property Software Networks Internet REIT Data Management

MEDIA:

November 16, 2020 5:08 pm

AeroGrow Reports 2nd Quarter Results

Revenue Increases 224% to $14.3M
; Favorable Sales Trends Continue in Early Q3
Income From Operations
Rises to $1.3M
–
Gross Margin Improves 800+ basis points to 41.3%
Six month results: Revenue up 245% to $
30
.7M;
Income From Operations
Rises to
$4.0M, up
from a PY
loss of
$2.1M;
Gross Margin Improves 1,000+ basis points to 43.
2
%
Effective 11/11/20, The Company Enters into a
Merger Agreement with a Subsidiary of the Scotts Miracle-Gro Company

BOULDER, Colo., Nov. 16, 2020 (GLOBE NEWSWIRE) — AeroGrow International, Inc. (OTCQB: AERO) (“AeroGrow” or “the Company”), the manufacturer and distributor of AeroGardens – the world’s leading family of In-Home Garden Systems™ – announced results for its 2^nd quarter ended September 30, 2020.

The Company recorded Net Revenue of $14.3 million, an increase 224% vs. the same period in the prior year. Income from Operations was $1.3M, up from a loss of $1.1M in the prior year period. For the first six months of Fiscal Year 2021, Net Revenue was up 245% to $30.7M and Income from Operations rose to $4.0M, up from a loss of $2.1M the prior year.

“Our string of excellent results continued in the second quarter,” said J. Michael Wolfe, AeroGrow’s President & CEO. “Sales across all three of our distribution channels – Amazon, Direct-to-Consumer and Retail – were strong throughout the quarter. This is our fourth consecutive quarter with record sales and profitability, a trend which accelerated due to the COVID-19 pandemic beginning in March. That being said, it appears the significant COVID sales spike that we experienced this spring has moderated – but with the business now routinely operating at a much higher level than it was prior to the pandemic. We believe this spike reflects an increased interest in gardening, at-home meal preparation and access to fresh, safe food sources…and the AeroGarden certainly meets all of these needs.

“Over the past six months we have focused on refining our pricing model and reducing our product costs. This focus helped drive our gross margin up to 43.2%, an increase of over 1,000 bps vs. the same period last year. Our gross margin has also benefited from a larger portion of our sales coming through our Direct-to-Consumer channel (AeroGarden.com), which affords us better margins. In addition, our digital marketing programs continued to help drive our growth with significantly improved efficiencies. These factors drove the significant improvement in our sales and operating profit and demonstrate the leverage in our business as it continues to scale.

“Our general marketing and public relations campaigns for the upcoming holiday selling season launch in earnest beginning later this week. The hallmark of our campaign will be a television spot that you can view here: https://vimeo.com/478249976/71bff315ff. We are also partnering with Olympic Gold Medalist and avid gardener Aly Raisman along with former Iron Chef and restaurateur Cat Cora, who will be supporting our brand digitally to their millions of followers. In addition, the AeroGarden will be featured in Oprah Winfrey’s Holiday Gift Guide, dozens of news articles and podcasts as well as high profile television programs such as Good Morning America and the Kelly Clarkson show.

“A key challenge in the business has been managing our world-wide supply chain to support our triple-digit growth and what appears to be continued strong demand for our products as we approach our peak holiday selling season. While our key vendors have done a good job of delivering for us in a timely fashion, we must acknowledge that there is general infrastructural stress affecting the world’s supply chain (e.g., ocean freight, customs clearance, availability of trucks and trains, FedEx and UPS capacity constraints, etc.) that could impact our inventory levels and which represents a potential risk as we enter the key holiday selling season.

“Last month we introduced a new Farm model and an all new Sprout into our AeroGarden product line. We are also nearing the launch of “Bloom by Botanicare,” our large-plant growing device that we believe is the most advanced in the world. Bloom monitors and dynamically adjusts key environmental factors for each stage of a plant’s development – maximizing the speed of growth, yields, flavor and consistency of thousands of potential plant varieties. While the launch of our Bloom product has experienced several slight delays, we now have numerous units in the field and the feedback is exceptional. We expect the initial launch of the Bloom web site and preliminary marketing efforts to begin in the coming weeks.

“I am extremely pleased with our results for the first six months of this fiscal year. Moreover, we believe we are well prepared to deliver a successful holiday selling season and to continue building on our recent success.”

On November 11, 2020 the Company entered into an Agreement and Plan of Merger with SMG Growing Media, a subsidiary of The Scotts Miracle-Gro Company. The closing of the Merger is subject to, among other conditions, the approval of the Merger Agreement by a majority of the outstanding shares of Common Stock and various customary conditions, including, but not limited to, the obtainment of necessary regulatory approvals.

The Merger Agreement provides that each share of common stock of the Company (other than Excluded Shares and Dissenting Shares), will be automatically converted into the right to receive $3.00 in cash. The Merger Agreement contains certain termination rights, including the right of the Company to terminate the Merger Agreement to accept a Superior Proposal. In addition, subject to certain exceptions and limitations set forth in the Merger Agreement, either party may terminate the Agreement if the Merger is not consummated by March 31, 2021. Details of the Merger Agreement are available on the Company’s Form 8-K filed with the Securities And Exchange Commission on November 12, 2020.

Forward-Looking Statements

“Safe Harbor” Statement under the Private Securities Litigation Reform Act of 1995: Statements by J. Michael Wolfe and/or the Company, statements regarding growth of the AeroGarden product line, ability to raise capital, optimism related to the business, expanding sales, market acceptance of developments and enhancements to our product line, improved margins and profitability, and other statements in this press release are forward-looking statements within the meaning of the Securities Litigation Reform Act of 1995. Such statements are based on current expectations, estimates and projections about the Company’s business. Words such as expects, anticipates, intends, plans, believes, sees, estimates and variations of such words and similar expressions are intended to identify such forward-looking statements. These statements are not guarantees of future performance and involve certain risks and uncertainties that are difficult to predict. Actual results could vary materially from the description contained herein due to many factors including continued market acceptance of the Company’s products or the need to raise additional capital. In addition, actual results could vary materially based on changes or slower growth in the indoor garden market; the potential inability to realize expected benefits and synergies; domestic and international business and economic conditions; changes in customer demand or ordering patterns; changes in the competitive environment including pricing pressures or technological changes; technological advances; shortages of manufacturing capacity; future production variables impacting excess inventory and other risk factors listed from time to time in the Company’s Securities and Exchange Commission (SEC) filings, including in “Item 1A Risk Factors” of the Company’s Annual Report on Form 10-K for the fiscal year ended March 31, 2020. The forward-looking statements contained in this press release speak only as of the date on which they are made, and the Company does not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date of this press release.

Additional detailed information concerning a number of the important factors that could cause actual results to differ materially from the forward-looking information contained in this release is readily available in the Company’s publicly filed quarterly, annual and other reports. The Company disclaims any obligation to update developments of these risk factors or to announce publicly any revision to any of the forward-looking statements contained in this release, or to make corrections to reflect future events or developments.



AEROGROW INTERNATIONAL, INC. CONDENSED BALANCE SHEETS

	September 30, 2020			March 31, 2020
(in thousands, except share and per share data)	(Unaudited)			(Derived from Audited Statements)
ASSETS
Current assets
Cash	$	3,815		$	9,046
Restricted cash		15			15
Accounts receivable, net of allowance for doubtful accounts of $694 and $376
at September 30, 2020 and March 31, 2020, respectively		6,217			3,422
Other receivables		391			257
Inventory, net		12,849			4,788
Prepaid expenses and other		3,773			1,392
Total current assets		27,060			18,920
Property and equipment and intangible assets, net of accumulated depreciation of $5,789 and
$5,467 at September 30, 2020 and March 31, 2020, respectively		2,142			1,229
Operating lease right-of-use		1,158			1,229
Deposits		754			669
Total assets	$	31,114		$	22,047

LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities
Accounts payable	$	5,583		$	2,332
Accounts payable related party		1,075			2,396
Accrued expenses		3,842			2,308
Finance lease liability		7			29
Notes payable related party		2,000			–
Debt associated with sale of intellectual property		14			17
Operating lease liability-current portion		141			58
Total current liabilities		12,662			7,140
Long term liabilities
Notes payable related party		900			900
Operating lease liability		1,129			1,201
Other liability		–			297
Total liabilities		14,691			9,538
Commitments and contingencies
Stockholders’ equity
Preferred stock, $.001 par value, 20,000,000 shares authorized, 0 issued and outstanding
at September 30, 2020 and 2019, respectively		–			–
Common stock, $.001 par value, 750,000,000 shares authorized, 34,328,036
shares issued and outstanding at September 30, 2020 and March 31, 2020		34			34
Additional paid-in capital		140,817			140,817
Accumulated deficit		(124,428	)		(128,342	)
Total stockholders’ equity		16,423			12,509
Total liabilities and stockholders’ equity	$	31,114		$	22,047

AEROGROW INTERNATIONAL, INC. CONDENSED STATEMENTS OF OPERATIONS

	Three Months ended September 30,						Six Months ended September 30,
(in thousands, except per share data)	2020			2019			2020			2019
Net revenue	$	14,310		$	4,423		$	30,721		$	8,898
Cost of revenue		8,403			2,958			17,457			5,977
Gross profit		5,907			1,465			13,264			2,921

Operating expenses
Research and development		294			276			595			487
Sales and marketing		2,888			1,369			5,703			2,772
General and administrative		1,406			893			2,980			1,787
Total operating expenses		4,588			2,538			9,278			5,046

Income (loss) from operations		1,319			(1,073	)		3,986			(2,125	)

Other (expense), net
Interest expense – related party		(24	)		(52	)		(47	)		(54	)
Other (expense), net		(29	)		(1	)		(25	)		(5	)
Total other (expense), net		(53	)		(53	)		(72	)		(59	)

Net income (loss)	$	1,266		$	(1,126	)	$	3,914		$	(2,184	)
Net income (loss) per share, basic and diluted	$	0.04		$	(0.03	)	$	0.11		$	(0.06	)

Weighted average number of common
shares outstanding, basic and diluted		34,328			34,328			34,328			34,328

About AeroGrow International, Inc.

Headquartered in Boulder, Colorado, AeroGrow International, Inc. is the leader in the rapidly growing indoor gardening category. AeroGardens allow anyone to grow farmer’s market fresh herbs, salad greens, tomatoes, chili peppers, flowers and more, indoors, year-round, so simply and easily that no green thumb is required. With an AeroGarden…you can grow anything! In April 2013, AeroGrow entered into a strategic partnership with Scotts Miracle-Gro to continue to expand the indoor gardening market. For more information, visit http://www.aerogrow.com.

Investor Relations: 
Grey Gibbs
Senior Vice President of Finance and Accounting
[email protected]
303-444-7755

November 16, 2020 5:08 pm

Jamf Announces Launch of Proposed Follow-on Offering of Common Stock by Selling Shareholders

MINNEAPOLIS, Nov. 16, 2020 (GLOBE NEWSWIRE) — Jamf Holding Corp. (“Jamf”) (NASDAQ: JAMF), the standard in Apple Enterprise Management, today announced the commencement of a public follow-on offering of its common stock by certain of its selling shareholders. The selling shareholders are offering 10,000,000 shares of Jamf common stock pursuant to a registration statement on Form S-1 filed with the Securities and Exchange Commission (the “SEC”). Certain of the selling shareholders also intend to grant the underwriters the right to purchase up to an additional 1,500,000 shares on the same terms and conditions. Jamf will not receive any proceeds from the sale of shares by the selling shareholders, and will not issue any shares of its common stock in the offering.

Goldman Sachs & Co. LLC, J.P. Morgan, BofA Securities and Barclays are acting as lead book-running managers for the proposed offering.

The proposed offering will be made only by means of a prospectus. Copies of the preliminary prospectus relating to the offering may be obtained from: Goldman Sachs & Co. LLC, Attention: Prospectus Department, 200 West Street, New York, NY 10282, by telephone at 1-866-471-2526, or by e-mail at [email protected]; or J.P. Morgan, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, telephone: 1-866-803-9204, or by emailing [email protected]; or BofA Securities, NC1-004-03-43, 200 North College Street, 3rd floor, Charlotte, NC 28255-0001, Attention: Prospectus Department, or by e-mail at [email protected]; or Barclays, Attention: Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, telephone: 1-888-603-5847, or email: [email protected].

A registration statement relating to these securities has been filed with the SEC, but has not yet become effective. These securities may not be sold, nor may offers to buy be accepted, prior to the time the registration statement becomes effective. This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

Note Regarding Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to, statements regarding our financial outlook and market positioning. Forward-looking statements give our current expectations and projections relating to our financial condition, results of operations, plans, objectives, future performance and business. You can identify forward-looking statements by the fact that they do not relate strictly to historical or current facts. These statements may include words such as “anticipate,” “estimate,” “expect,” “project,” “plan,” “intend,” “believe,” “may,” “will,” “should,” “can have,” “likely” and other words and terms of similar meaning in connection with any discussion of the timing or nature of future operating or financial performance or other events. All forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from those that we expected, including: the impact on our operations and financial condition from the effects of the current COVID-19 pandemic; the potential impact of customer dissatisfaction with Apple or other negative events affecting Apple services and devices, and failure of enterprises to adopt Apple products; the potentially adverse impact of changes in features and functionality by Apple on our engineering focus or product development efforts; changes in our continued relationship with Apple; the fact that we are not party to any exclusive agreements or arrangements with Apple; our reliance, in part, on channel partners for the sale and distribution of our products; risks associated with cyber-security events; the impact of reputational harm if users perceive our products as the cause of device failure; our ability to successfully develop new products or materially enhance current products through our research and development efforts; our ability to continue to attract new customers; our ability to retain our current customers; our ability to sell additional functionality to our current customers; our ability to meet service-level commitments under our subscription agreements; our ability to correctly estimate market opportunity and forecast market growth; risks associated with failing to continue our recent growth rates; our dependence on one of our products for a substantial portion of our revenue; our ability to scale our business and manage our expenses; our ability to change our pricing models, if necessary to compete successfully; the impact of delays or outages of our cloud services from any disruptions, capacity limitations or interferences of third-party data centers that host our cloud services, including AWS; our ability to maintain, enhance and protect our brand; our ability to maintain our corporate culture; the ability of Jamf Nation to thrive and grow as we expand our business; the potential impact of inaccurate, incomplete or misleading content that is posted on Jamf Nation; our ability to offer high-quality support; risks and uncertainties associated with potential acquisitions and divestitures, including, but not limited to, disruptions to ongoing operations; diversions of management from day-to-day responsibilities; adverse impacts on our financial condition; failure of an acquired business to further our strategy; uncertainty of synergies; personnel issues; resulting lawsuits and issues unidentified in diligence processes; our ability to predict and respond to rapidly evolving technological trends and our customers’ changing needs; our ability to compete with existing and new companies; the impact of adverse general and industry-specific economic and market conditions; the impact of reductions in IT spending; the impact of real or perceived errors, failures or bugs in our products; the impact of interruptions or performance problems associated with our technology or infrastructure; our ability to attract and retain highly qualified personnel; risks associated with competitive challenges faced by our customers; the impact of statutory and regulatory determinations on our offerings to governmental entities; risks associated with stringent and changing privacy laws, regulations and standards, and information security policies and contractual obligations related to data privacy and security; the impact of any catastrophic events; and, risks associated with our financial results or difficulty in predicting our financial results due to our revenue recognition. Given these factors, as well as other variables that may affect Jamf’s operating results, you should not rely on forward-looking statements, assume that past financial performance will be a reliable indicator of future performance, or use historical trends to anticipate results or trends in future periods. The forward-looking statements included in this press release and on the related teleconference call relate only to events as of the date hereof. Jamf undertakes no obligation to update or revise any forward-looking statement as a result of new information, future events or otherwise, except as otherwise required by law.

About Jamf

Jamf, the standard in Apple Enterprise Management, extends the legendary Apple experience people love to businesses, schools and government organizations through its software and the world’s largest online community of IT admins focused exclusively on Apple, Jamf Nation.

Investor Contact:

Jennifer Gaumond
[email protected]

Media Contact:

Rachel Nauen
[email protected]