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NetEase Announces Second Quarter 2021 Unaudited Financial Results

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Cision

HANGZHOU, China, Aug. 31, 2021 /PRNewswire/ -- NetEase, Inc. (NASDAQ: NTES and HKEX: 9999, "NetEase" or the "Company"), one of China's leading internet and online game services providers, today announced its unaudited financial results for the second quarter ended June 30, 2021.

Second Quarter 2021 Financial Highlights

  • Net revenues were RMB20.5 billion (US$3.2 billion), an increase of 12.9% compared with the second quarter of 2020.

  • Gross profit was RMB11.2 billion (US$1.7 billion), an increase of 14.3% compared with the second quarter of 2020.

  • Total operating expenses were RMB7.4 billion (US$1.2 billion), an increase of 32.2% compared with the second quarter of 2020.

  • Net income attributable to the Company's shareholders was RMB3.5 billion (US$548.5 million). Non-GAAP net income attributable to the Company's shareholders was RMB4.2 billion (US$654.8 million). [1]

  • Basic net income per share was US$0.16 (US$0.82 per ADS). Non-GAAP basic net income per share was US$0.20 (US$0.98 per ADS). [1]

Second Quarter 2021 and Recent Operational Highlights

  • Expanded user base and diversified portfolio with new games including:

  • Invigorated players with longstanding flagship titles including the Fantasy Westward Journey and Westward Journey Online series, as well as popular hit games including Life-After, Onmyoji and Onmyoji Arena.

  • Announced that the mobile game Harry Potter: Magic Awakened, co-developed by NetEase and Warner Bros. Interactive Entertainment under the Portkey Games label, will launch on September 9.

  • Enriched strong game development pipeline with exciting titles including Nightmare Breaker, The Lord of the Rings: Rise to War, Diablo® Immortal™ and Ghost World Chronicle.

[1] As used in this announcement, non-GAAP net income attributable to the Company's shareholders and non-GAAP basic and diluted net income per share and per ADS are defined to exclude share-based compensation expenses. See "Unaudited Reconciliation of GAAP and Non-GAAP Results" at the end of this announcement.

"Our businesses continued to thrive in the second quarter generating total net revenues of RMB20.5 billion, growing 12.9% year-over-year," said Mr. William Ding, Chief Executive Officer and Director of NetEase. "Our existing games grew steadily despite a high base last year, and we are excited about our robust pipeline of new titles that builds on our leading game roster. We kicked off our game-release schedule for the second half of the year with several gripping new hits such as Naraka: Bladepoint, capturing wide interest from passionate game players globally. With confirmed plans to release the game Harry Potter: Magic Awakened on September 9, we are eager to introduce more amazing titles later this year. In addition, we continue to boost our content ecosystem and bring innovative product additions to NetEase Cloud Music strengthening its highly engaged music-centric community," Mr. Ding concluded.

Second Quarter 2021 Financial Results

Net Revenues

Net revenues for the second quarter of 2021 were RMB20,524.5 million (US$3,178.8 million), compared with RMB20,517.2 million and RMB18,184.8 million for the preceding quarter and the second quarter of 2020, respectively.

Net revenues from online game services were RMB14,528.1 million (US$2,250.1 million) for the second quarter of 2021, compared with RMB14,981.8 million and RMB13,828.3 million for the preceding quarter and the second quarter of 2020, respectively. Net revenues from mobile games accounted for approximately 72.1% of net revenues from online game services for the second quarter of 2021, compared with 72.8% and 72.3% for the preceding quarter and the second quarter of 2020, respectively.

Net revenues from Youdao were RMB1,293.4 million (US$200.3 million) for the second quarter of 2021, compared with RMB1,339.9 million and RMB623.3 million for the preceding quarter and the second quarter of 2020, respectively.

Net revenues from innovative businesses and others were RMB4,703.0 million (US$728.4 million) for the second quarter of 2021, compared with RMB4,195.6 million and RMB3,733.3 million for the preceding quarter and the second quarter of 2020, respectively.

Gross Profit

Gross profit for the second quarter of 2021 was RMB11,189.6 million (US$1,733.1 million), compared with RMB11,052.6 million and RMB9,792.2 million for the preceding quarter and the second quarter of 2020, respectively.

The year-over-year increase in online game services gross profit was primarily due to increased net revenues from both mobile and PC games, including the newly launched Revelation mobile game and other existing games such as Fantasy Westward Journey Online.

The year-over-year increase in Youdao gross profit was primarily attributable to the significant increase in net revenues from, improved economies of scale and faculty compensation structure optimization for its learning services.

The quarter-over-quarter and year-over-year increases in innovative businesses and others gross profit were primarily due to the increased net revenues from, and improved cost control at, NetEase Cloud Music.

Gross Profit Margin

Gross profit margin for online game services for the second quarter of 2021 was 66.1%, compared with 64.6% and 63.8% for the preceding quarter and the second quarter of 2020, respectively. Gross profit margin for online game services is generally stable, fluctuating within a narrow band based on the revenue mix of mobile and PC games, as well as NetEase's self-developed and licensed games.

Gross profit margin for Youdao for the second quarter of 2021 was 52.3%, compared with 57.3% and 45.2% for the preceding quarter and the second quarter of 2020, respectively. The year-over-year increase was primarily attributable to the factors enumerated above.

Gross profit margin for innovative businesses and others for the second quarter of 2021 was 19.3%, compared with 14.4% and 18.5% for the preceding quarter and the second quarter of 2020, respectively. The quarter-over-quarter and year-over-year increases were primarily attributable to the factors enumerated above.

Operating Expenses

Total operating expenses for the second quarter of 2021 were RMB7,431.5 million (US$1,151.0 million), compared with RMB6,777.1 million and RMB5,622.3 million for the preceding quarter and the second quarter of 2020, respectively. The quarter-over-quarter and year-over-year increases were mainly due to increased marketing expenditures related to Youdao and other businesses, as well as higher staff-related costs and research and development investments.

Other Income/ (Expenses)

Other income/ (expenses) consisted of investment income, interest income, exchange gains/ (losses) and others. The quarter-over-quarter and year-over-year decreases were mainly due to unrealized exchange losses arising from the Company's U.S. dollar-denominated bank deposits and short-term loan balances as the exchange rate of the U.S. dollar against the RMB fluctuated over the periods.

Income Taxes

The Company recorded a net income tax charge of RMB1,113.2 million (US$172.4 million) for the second quarter of 2021, compared with RMB1,273.4 million and RMB1,064.5 million for the preceding quarter and the second quarter of 2020, respectively. The effective tax rate for the second quarter of 2021 was 24.3%, compared with 22.0% and 18.6% for the preceding quarter and the second quarter of 2020, respectively. The effective tax rate represents certain estimates by the Company as to the tax obligations and benefits applicable to it in each quarter.

Net Income and Non-GAAP Net Income

Net income attributable to the Company's shareholders totaled RMB3,541.8 million (US$548.5 million) for the second quarter of 2021, compared with RMB4,439.2 million and RMB4,537.8 million for the preceding quarter and the second quarter of 2020, respectively.

Non-GAAP net income attributable to the Company's shareholders totaled RMB4,227.9 million (US$654.8 million) for the second quarter of 2021, compared with RMB5,080.7 million and RMB5,226.0 million for the preceding quarter and the second quarter of 2020, respectively.

NetEase reported basic net income of US$0.16 per share (US$0.82 per ADS) for the second quarter of 2021, compared with US$0.21 per share (US$1.03 per ADS) and US$0.22 per share (US$1.08 per ADS) for the preceding quarter and the second quarter of 2020, respectively.

NetEase reported non-GAAP basic net income of US$0.20 per share (US$0.98 per ADS) for the second quarter of 2021, compared with US$0.24 per share (US$1.17 per ADS) and US$0.25 per share (US$1.25 per ADS) for the preceding quarter and the second quarter of 2020, respectively.

Quarterly Dividend

The board of directors has approved a dividend of US$0.0480 per share (US$0.2400 per ADS) for the second quarter of 2021, to holders of ordinary shares and holders of ADSs as of the close of business on September 14, 2021, Beijing/ Hong Kong Time and New York Time, respectively, payable in U.S. dollars. For holders of ordinary shares, in order to qualify for the dividend, all valid documents for the transfer of shares accompanied by the relevant share certificates must be lodged for registration with the Company's Hong Kong branch share registrar, Computershare Hong Kong Investor Services Limited, at Shops 1712-1716, 17th Floor, Hopewell Centre, 183 Queen's Road East, Wanchai, Hong Kong no later than 4:30 p.m. on September 14, 2021 (Beijing/ Hong Kong Time). The payment date is expected to be on September 27, 2021 for holders of ordinary shares and on or around September 30, 2021 for holders of ADSs.

NetEase paid a dividend of US$0.0600 per share (US$0.3000 per ADS) for the first quarter of 2021 in June 2021.

The Company's policy is to set quarterly dividends at an amount equivalent to approximately 20%-30% of the Company's anticipated net income after tax in each fiscal quarter. The determination to make dividend distributions and the amount of such distributions in any particular quarter will be made at the discretion of the board of directors and will be based upon the Company's operations and earnings, cash flow, financial condition and other relevant factors.

Other Information

As of June 30, 2021, the Company's total cash and cash equivalents, current and non-current time deposits and short-term investments balance totaled RMB108.0 billion (US$16.7 billion), compared with RMB100.1 billion as of December 31, 2020. Cash flow generated from operating activities was RMB4.7 billion (US$731.5 million) for the second quarter of 2021, compared with RMB5.5 billion and RMB4.8 billion for the preceding quarter and the second quarter of 2020, respectively.

Update on PRC Regulatory Policy Related to Youdao

As previously announced by Youdao, its business, financial condition and corporate structure are expected to be materially affected in future periods by the changing regulatory environment primarily in China's K-12 education industry, although the magnitude of the impact remains uncertain at this time.

Share Repurchase/ Purchase Program

On February 25, 2021, the Company announced that its board of directors had approved a new share repurchase program of up to US$2.0 billion of the Company's outstanding ADSs and ordinary shares in open market transactions for a period not to exceed 24 months beginning on March 2, 2021. As of June 30, 2021, approximately 4.6 million ADSs had been repurchased under this program for a total cost of US$0.5 billion. The Company today announced that its board of directors has approved an amendment to such program to increase the total authorized repurchase amount to US$3.0 billion.

The Company today also announced that its board of directors has approved a share purchase program of up to US$50.0 million of Youdao's outstanding ADSs for a period not to exceed 36 months beginning on September 2, 2021. Under the terms of this program, NetEase may purchase Youdao's ADSs in open-market transactions on the New York Stock Exchange.

The extent to which NetEase repurchases its ADSs and its ordinary shares or purchases Youdao's ADSs will depend upon a variety of factors, including market conditions. These programs may be suspended or discontinued at any time.

** The United States dollar (US$) amounts disclosed in this announcement are presented solely for the convenience of the reader. Translations of amounts from RMB into United States dollars for the convenience of the reader were calculated at the noon buying rate of US$1.00 = RMB6.4566 on June 30, 2021 as set forth in the H.10 statistical release of the U.S. Federal Reserve Board. No representation is made that the RMB amounts could have been, or could be, converted into US$ at that rate on June 30, 2021, or at any other certain date. The percentages stated are calculated based on RMB.

Conference Call

NetEase's management team will host a teleconference call with simultaneous webcast at 8:00 a.m. New York Time on Tuesday, August 31, 2021 (Beijing/ Hong Kong Time: 8:00 p.m., Tuesday, August 31, 2021). NetEase's management will be on the call to discuss the quarterly results and answer questions.

Interested parties may participate in the conference call by dialing 1-646-828-8193 and providing conference ID: 7055363, 10-15 minutes prior to the initiation of the call. A replay of the call will be available by dialing 1-719-457-0820 and entering passcode 7055363#. The replay will be available through September 13, 2021.

This call will be webcast live and the replay will be available for 12 months. Both will be available on NetEase's Investor Relations website at http://ir.netease.com/.

About NetEase, Inc.

As a leading internet technology company based in China, NetEase, Inc. (NASDAQ: NTES and HKEX: 9999, "NetEase") provides premium online services centered around innovative and diverse content, community, communication and commerce. NetEase develops and operates some of China's most popular mobile and PC games. In more recent years, NetEase has expanded into international markets including Japan and North America. In addition to its self-developed game content, NetEase partners with other leading game developers, such as Blizzard Entertainment and Mojang AB (a Microsoft subsidiary), to operate globally renowned games in China. NetEase's other innovative service offerings include the intelligent learning services of its majority-controlled subsidiary, Youdao (NYSE: DAO); music streaming through its leading NetEase Cloud Music business; and its private label e-commerce platform, Yanxuan. For more information, please visit: http://ir.netease.com/.

Forward Looking Statements

This announcement contains statements of a forward-looking nature. These statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. You can identify these forward-looking statements by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates" and similar statements. In addition, statements that are not historical facts, including statements about NetEase's strategies and business plans, its expectations regarding the growth of its business and its revenue and the quotations from management in this announcement are or contain forward-looking statements. NetEase may also make forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (the "SEC"), in announcements made on the website of The Stock Exchange of Hong Kong Limited (the "Hong Kong Stock Exchange"), in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. The accuracy of these statements may be impacted by a number of business risks and uncertainties that could cause actual results to differ materially from those projected or anticipated, including risks related to: the risk that the online game market will not continue to grow or that NetEase will not be able to maintain its position in that market in China or globally; potential changes in government regulations, or changes in the interpretation and implementation of government regulations, that could adversely affect the industries and geographical markets in which NetEase and its subsidiaries operate, including, among others, recently announced government initiatives to enhance supervision of overseas-listed, China-based companies and increase scrutiny of data security and cross-border data flow, as well as recent guidelines restricting certain activities in China's education market; the risk that COVID-19 or other health risks in China or globally could adversely affect the Company's operations or financial results; risks associated with NetEase's business and operating strategies and its ability to implement such strategies; NetEase's ability to develop and manage its operations and business; competition for, among other things, capital, technology and skilled personnel; the risk that NetEase may not be able to continuously develop new and creative online services or that NetEase will not be able to set, or follow in a timely manner, trends in the market; competition in NetEase's existing and potential markets; and the risk that fluctuations in the value of the Renminbi with respect to other currencies could adversely affect NetEase's business and financial results. Further information regarding these and other risks is included in NetEase's filings with the SEC and announcements on the website of the Hong Kong Stock Exchange. NetEase does not undertake any obligation to update this forward-looking information, except as required under the applicable law.

Non-GAAP Financial Measures

NetEase considers and uses non-GAAP financial measures, such as non-GAAP net income attributable to the Company's shareholders and non-GAAP basic and diluted net income per ADS and per share, as supplemental metrics in reviewing and assessing its operating performance and formulating its business plan. The presentation of non-GAAP financial measures is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP").

NetEase defines non-GAAP net income attributable to the Company's shareholders as net income attributable to the Company's shareholders excluding share-based compensation expenses. Non-GAAP net income attributable to the Company's shareholders enables NetEase's management to assess its operating results without considering the impact of share-based compensation expenses. NetEase believes that these non-GAAP financial measures provide useful information to investors in understanding and evaluating the Company's current operating performance and prospects in the same manner as management does, if they so choose. NetEase also believes that the use of this non-GAAP financial measure facilitates investors' assessment of its operating performance.

Non-GAAP financial measures are not defined under U.S. GAAP and are not presented in accordance with U.S. GAAP. Non-GAAP financial measures have limitations as analytical tools. One of the key limitations of using non-GAAP net income attributable to the Company's shareholders is that it does not reflect all items of expense/ income that affect our operations. Share-based compensation expenses have been and may continue to be incurred in NetEase's business and are not reflected in the presentation of non-GAAP net income attributable to the Company's shareholders. In addition, the non-GAAP financial measures NetEase uses may differ from the non-GAAP measures used by other companies, including peer companies, and therefore their comparability may be limited.

NetEase compensates for these limitations by reconciling non-GAAP net income attributable to the Company's shareholders to the nearest U.S. GAAP performance measure, all of which should be considered when evaluating the Company's performance. See "Unaudited Reconciliation of GAAP and Non-GAAP Results" at the end of this announcement. NetEase encourages you to review its financial information in its entirety and not rely on a single financial measure.

Contact for Media and Investors:

Margaret Shi
Email: ir@service.netease.com
Tel: (+86) 571-8985-3378
Twitter: https://twitter.com/NetEase_Global

NETEASE, INC.

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS

(in thousands)



December 31,


June 30,


June 30,



2020


2021


2021



RMB


RMB


USD (Note 1)

Assets







Current assets:







Cash and cash equivalents


9,117,219


9,935,805


1,538,860

Time deposits


71,079,327


75,702,252


11,724,786

Restricted cash


3,051,386


3,222,560


499,111

Accounts receivable, net


4,576,445


4,452,504


689,605

Inventories, net


621,207


884,311


136,962

Prepayments and other current assets, net


6,112,433


6,516,881


1,009,337

Short-term investments


13,273,026


15,244,872


2,361,130

Total current assets


107,831,043


115,959,185


17,959,791








Non-current assets:







Property, equipment and software, net


4,555,406


4,694,354


727,063

Land use right, net


4,178,257


4,134,607


640,369

Deferred tax assets


1,086,759


1,104,852


171,120

Time deposits


6,630,000


7,100,000


1,099,650

Restricted cash


-


600


93

Other long-term assets, net


17,593,117


21,863,425


3,386,213

Total non-current assets


34,043,539


38,897,838


6,024,508

Total assets


141,874,582


154,857,023


23,984,299








Liabilities, Redeemable Noncontrolling Interests
and Shareholders' Equity







Current liabilities:







Accounts payable


1,134,413


889,722


137,800

Salary and welfare payables


3,538,732


3,203,904


496,222

Taxes payable


4,282,835


4,443,565


688,221

Short-term loans


19,504,696


27,188,198


4,210,916

Deferred revenue


10,945,143


11,364,656


1,760,161

Accrued liabilities and other payables


7,337,672


7,251,678


1,123,142

Total current liabilities


46,743,491


54,341,723


8,416,462








Non-current liabilities:







Deferred tax liabilities


713,439


1,266,791


196,201

Other long-term payable


623,728


733,665


113,630

Total non-current liabilities


1,337,167


2,000,456


309,831

Total liabilities


48,080,658


56,342,179


8,726,293








Redeemable noncontrolling interests


10,796,120


11,091,541


1,717,861








NetEase, Inc.'s shareholders' equity


82,126,798


86,136,044


13,340,774

Noncontrolling interests


871,006


1,287,259


199,371

Total shareholders' equity


82,997,804


87,423,303


13,540,145








Total liabilities, redeemable noncontrolling
interests and shareholders' equity


141,874,582


154,857,023


23,984,299








The accompanying notes are an integral part of this announcement.





NETEASE, INC.

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(in thousands, except per share data or per ADS data)



Three Months Ended


Six Months Ended




June 30,


March 31,


June 30,


June 30,


June 30,


June 30,


June 30,




2020


2021


2021


2021


2020


2021


2021




RMB


RMB


RMB


USD (Note 1)


RMB


RMB


USD (Note 1)

















Net revenues



18,184,806


20,517,211


20,524,501


3,178,840


35,247,173


41,041,712


6,356,552

Cost of revenues



(8,392,631)


(9,464,572)


(9,334,887)


(1,445,790)


(16,077,376)


(18,799,459)


(2,911,665)

Gross profit



9,792,175


11,052,639


11,189,614


1,733,050


19,169,797


22,242,253


3,444,887

















Operating expenses:
















Selling and marketing expenses



(2,321,397)


(2,766,682)


(3,013,447)


(466,724)


(4,184,468)


(5,780,129)


(895,228)

General and administrative expenses



(892,622)


(950,194)


(1,011,183)


(156,612)


(1,778,056)


(1,961,377)


(303,779)

Research and development expenses



(2,408,306)


(3,060,189)


(3,406,859)


(527,655)


(4,550,955)


(6,467,048)


(1,001,618)

Total operating expenses



(5,622,325)


(6,777,065)


(7,431,489)


(1,150,991)


(10,513,479)


(14,208,554)


(2,200,625)

Operating profit



4,169,850


4,275,574


3,758,125


582,059


8,656,318


8,033,699


1,244,262

















Other income/(expenses):
















Investment income, net



711,159


695,298


889,392


137,749


601,428


1,584,690


245,437

Interest income, net



396,519


388,928


386,207


59,816


741,703


775,135


120,053

Exchange gains/(losses), net



17,008


279,319


(591,720)


(91,646)


261,065


(312,401)


(48,385)

Other, net



421,199


147,967


147,588


22,858


487,907


295,555


45,776

Income before tax



5,715,735


5,787,086


4,589,592


710,836


10,748,421


10,376,678


1,607,143

Income tax



(1,064,455)


(1,273,408)


(1,113,228)


(172,417)


(2,146,488)


(2,386,636)


(369,643)

Net income



4,651,280


4,513,678


3,476,364


538,419


8,601,933


7,990,042


1,237,500

















Accretion and deemed dividends in
connection with repurchase of
redeemable noncontrolling interests



(150,958)


(143,827)


(145,415)


(22,522)


(536,977)


(289,242)


(44,798)

Net loss attributable to noncontrolling
interests



37,484


69,301


210,805


32,650


23,856


280,106


43,383

Net income attributable to the
Company's shareholders



4,537,806


4,439,152


3,541,754


548,547


8,088,812


7,980,906


1,236,085

















Net income per share *
















Basic



1.40


1.33


1.06


0.16


2.50


2.38


0.37

Diluted



1.38


1.31


1.05


0.16


2.47


2.35


0.36

















Net income per ADS *
















Basic



7.00


6.63


5.29


0.82


12.50


11.92


1.85

Diluted



6.92


6.53


5.23


0.81


12.34


11.76


1.82

















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
















Basic



3,242,061


3,349,638


3,347,507


3,347,507


3,236,728


3,348,567


3,348,567

Diluted



3,281,100


3,399,981


3,385,953


3,385,953


3,277,550


3,392,961


3,392,961

















* Each ADS represents five ordinary shares.










The accompanying notes are an integral part of this announcement.




NETEASE, INC.

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(in thousands)



Three Months Ended


Six Months Ended



June 30,


March 31,


June 30,


June 30,


June 30,


June 30,


June 30,



2020


2021


2021


2021


2020


2021


2021



RMB


RMB


RMB


USD (Note 1)


RMB


RMB


USD (Note 1)

Cash flows from operating activities:















Net income


4,651,280


4,513,678


3,476,364


538,419


8,601,933


7,990,042


1,237,500

Adjustments to reconcile net income to net cash provided
by operating activities:















Depreciation and amortization


892,150


819,830


814,370


126,130


1,582,207


1,634,200


253,105

Fair value changes of equity security investments


(503,281)


(477,597)


(203,720)


(31,552)


(176,241)


(681,317)


(105,523)

Impairment losses of investments and other intangible
assets


-


-


4,797


743


6,600


4,797


743

Fair value changes of short-term investments


(174,738)


(118,004)


(170,676)


(26,434)


(327,844)


(288,680)


(44,711)

Share-based compensation cost


691,945


650,253


700,114


108,434


1,357,759


1,350,367


209,145

(Reversal of)/ allowance for expected credit losses


(1,305)


13,604


27,384


4,241


48,634


40,988


6,348

Losses/ (gains) on disposal of property, equipment and
software


1,070


(159)


1,424


221


1,107


1,265


196

Unrealized exchange (gains)/ losses


(20,159)


(274,047)


572,708


88,701


(262,667)


298,661


46,257

Gains on disposal of long-term investments,
business and subsidiaries


(14,803)


(7,323)


(166,505)


(25,788)


(30,236)


(173,828)


(26,923)

Deferred income taxes


499,509


328,075


202,894


31,424


712,357


530,969


82,237

Share of results on equity method investees and revaluation
gains from previously held equity interest


(10,948)


(51,892)


(342,760)


(53,087)


(57,159)


(394,652)


(61,124)

Changes in operating assets and liabilities:















Accounts receivable


(498,550)


(484,343)


573,111


88,764


(929,085)


88,768


13,748

Inventories


3,329


(253,495)


(9,608)


(1,488)


91,769


(263,103)


(40,749)

Prepayments and other assets


233,607


(785,224)


593,379


91,903


(870,191)


(191,845)


(29,713)

Accounts payable


(271,697)


(60,654)


(178,097)


(27,584)


(370,376)


(238,751)


(36,978)

Salary and welfare payables


132,037


(1,226,155)


856,775


132,698


(405,870)


(369,380)


(57,210)

Taxes payable


(568,138)


1,558,618


(1,397,390)


(216,428)


665,940


161,228


24,971

Deferred revenue


(605,444)


740,938


(381,446)


(59,078)


773,682


359,492


55,678

Accrued liabilities and other payables


336,444


656,564


(250,312)


...

(38,768)


860,638


...