Jianpu Technology Inc. Reports Third Quarter 2022 Unaudited Financial Results

<br /> Jianpu Technology Inc. Reports Third Quarter 2022 Unaudited Financial Results<br />

PR Newswire



BEIJING


,


Dec. 2, 2022


/PRNewswire/ —

Jianpu Technology Inc.

(“Jianpu,” or the “Company”) (NYSE: JT), a leading independent open platform for the discovery and recommendation of financial products in

China

, today announced its unaudited financial results for the third quarter ended

September 30, 2022

.


Third Quarter 2022 Operational and Financial Highlights:

  • Total revenues from recommendation services for the third quarter of 2022 increased by 30.3% to

    RMB211.6 million

    (

    US$29.7 million

    ) from

    RMB162.4 million

    in the same period of 2021, primarily driven by the increases in credit card volume and the number of domestic loan applications, as well as the increase in average fee per domestic loan application. The credit card volume and number of domestic loan applications for recommendation services increased by 6.5% to approximately 1.1 million and 18.5% to approximately 5.0 million, respectively, in the third quarter of 2022 compared with the same period of 2021.
  • Revenues from big data and system-based risk management services decreased by 18.8% to

    RMB25.0 million

    (

    US$3.5 million

    ) in the third quarter of 2022 from

    RMB30.8 million

    in the same period of 2021. The decrease was mainly attributable to a decrease in the number of paying customers related to the impact of COVID-19 on the Company’s cooperation with customers and product adjustments.
  • Revenues from advertising and marketing services and other services increased by 66.0% to

    RMB32.2 million

    (

    US$4.5 million

    ) in the third quarter of 2022 from

    RMB19.4 million

    in the same period of 2021. The increase was mainly attributable to the growth of insurance brokerage services and other new business initiatives.
  • Loss from operations was

    RMB31.9 million

    (

    US$4.5 million

    ) in the third quarter of 2022, compared with

    RMB60.6 million

    in the same period of 2021. Operating loss margin was 11.9% in the third quarter of 2022, compared with 28.5% in the same period of 2021. The improvement in loss from operations was mainly attributable to an increase in revenues and a decrease in operating expenses resulting from efficiency improvement and cost optimization.
  • Net loss was

    RMB25.1 million

    (

    US$3.5 million

    ) in the third quarter of 2022, compared with

    RMB60.0 million

    in the same period of 2021. Net loss margin was 9.3% in the third quarter of 2022, compared with 28.2% in the same period of 2021.
  • Non-GAAP adjusted net loss

    [1]

    was

    RMB9.4 million

    (

    US$1.3 million

    ) in the third quarter of 2022, compared with Non-GAAP adjusted net loss

    [1]

    of

    RMB50.8 million

    in the same period of 2021. Non-GAAP adjusted net loss margin

    [1]

    was 3.5% in the third quarter of 2022, compared with 23.9% in the same period of 2021.


First Nine Months 2022 Operational and Financial Highlights:

  • The credit card volume and number of domestic loan applications for recommendation services increased by 19.6% to approximately 3.2 million and 40.2% to approximately 13.2 million, respectively, in the first nine months of 2022 compared with the same period of 2021. As a result, total revenues from recommendation services for the first nine months of 2022 increased by 34.3% to

    RMB560.4 million

    (

    US$78.8 million

    ) from

    RMB417.3 million

    in the same period of 2021.
  • Revenues from big data and system-based risk management services decreased by 27.6% to

    RMB68.0 million

    (

    US$9.6 million

    ) in the first nine months of 2022 from

    RMB93.9 million

    in the same period of 2021. The decrease was mainly attributable to a decrease in the number of paying customers related to the impact of COVID-19 on the Company’s cooperation with customers and product adjustments.
  • Revenues from advertising and marketing services and other services increased by 151.7% to

    RMB113.0 million

    (

    US$15.9 million

    ) in the first nine months of 2022 from

    RMB44.9 million

    in the same period of 2021. The increase was mainly attributable to the growth of insurance brokerage services and other new business initiatives.
  • Loss from operations was

    RMB122.4 million

    (

    US$17.2 million

    ) in the first nine months of 2022, compared with

    RMB197.3 million

    in the same period of 2021. Operating loss margin was 16.5% in the first nine months of 2022, compared with 35.5% in the same period of 2021. The improvement of loss from operations was mainly attributable to an increase in revenues and a decrease in operating expenses resulting from efficiency improvement and cost optimization.
  • Net loss was

    RMB114.1 million

    (

    US$16.0 million

    ) in the first nine months of 2022, compared with

    RMB155.8 million

    in the same period of 2021. Net loss margin was 15.4% in the first nine months of 2022, compared with 28.0% in the same period of 2021.
  • Non-GAAP adjusted net loss

    [1]

    was

    RMB92.2 million

    (

    US$13.0 million

    ) in the first nine months of 2022, compared with Non-GAAP adjusted net loss

    [1]

    of

    RMB140.8 million

    in the same period of 2021. Non-GAAP adjusted net loss margin

    [1]

    was 12.4% in the first nine months of 2022, compared with 25.3% in the same period of 2021.

Mr.

David Ye

, Co-founder, Chairman and Chief Executive Officer of Jianpu, commented, “In the third quarter, we maintained solid total revenue growth of 26.4% year-over-year and our Non-GAAP adjusted net loss margin

[1]

significantly reduced to 3.5% from 23.9% a year earlier and 12.1% in the previous quarter, against the backdrop of a challenging macro environment. These resilient results were primarily driven by our balanced and diversified revenue structure, continued operating efficiency improvements, and cost optimization measures. We continued to execute on our strategy for optimizing company resources and streamlining operations to enhance our operational efficiency. In addition, our ongoing disciplined cost optimization measures continued to enhance our overall productivity.”

The uncertainties around both COVID control measures and macro

economy

may persist into the fourth quarter. Therefore, we are adopting a cautious outlook on our business growth, which could moderate further in the fourth quarter. Looking ahead, we believe our industry leading position, technological capabilities, diversified revenue structure and continued efficiency gains will enable us to successfully navigate through the cycle and maintain a healthy and sustainable rate of growth. We remain committed to progressing on our vision of ‘Becoming everyone’s financial partner’, thereby delivering greater long-term value to the company and shareholders,” concluded Mr. Ye.

“Our third-quarter results highlight our relentless effort to maintain a good balance between business growth and operational efficiency. Our revenues from recommendation services increased by 30.3% year-over-year, while revenues from advertising, marketing services and other services were up 66.0% year-over-year. With the continued optimization of our cost structure and improvement in productivity, our Non-GAAP adjusted net loss

[1]

reduced significantly by 81.5% year-over-year to just

RMB9.4 million

in the third quarter. We will maintain disciplined cost control, and strive to improve our productivity and margin further,” said

Oscar Chen

, Chief Financial Officer of Jianpu.


Third Quarter


2022 Financial Results


Total revenues

for the third quarter of 2022 increased by 26.4% to

RMB268

.8 million (

US$37.8 million

) from

RMB212

.6 million in the same period of 2021.


Total revenues from recommendation services

increased by 30.3% to

RMB211

.6 million (

US$29.7 million

) in the third quarter of 2022 from

RMB162

.4 million in the same period of 2021.


Revenues from recommendation services for credit cards

increased by 11.9% to

RMB129.5 million

(

US$18

.2 million) in the third quarter of 2022 from

RMB115.7 million

in the same period of 2021. Credit card volume in the third quarter of 2022 increased by 6.5% to approximately 1.1 million from 1.0 million in the same period of 2021. The average fee per credit card were

RMB116

.4 (US$16.4) in the third quarter of 2022 and

RMB110

.8 in the same period of 2021, respectively.


Revenues from recommendation services for loans

increased by 75.8% to

RMB82.1 million

(

US$11

.5 million) in the third quarter of 2022 from

RMB46

.7 million in the same period of 2021. The number of domestic loan applications on the Company’s platform was approximately 5.0 million in the third quarter of 2022, representing an 18.5% increase from that in the same period of 2021. The average fee per domestic loan application increased to

RMB16

.5 (US$2.3) in the third quarter of 2022 from

RMB11

.2 in the same period of 2021, resulting from a more optimized product revenue mixture.


Revenues from big data and system-based risk management services

decreased by 18.8% to

RMB25

.0 million (

US$3

.5 million) in the third quarter of 2022 from

RMB30.8 million

in the same period of 2021. The decrease was mainly attributable to a decrease in the number of paying customers related to the impact of COVID-19 on the Company’s cooperation with customers and product adjustments.


Revenues from advertising and marketing services and other services

increased by 66.0% to

RMB32

.2 million (

US$4

.5 million) in the third quarter of 2022 from

RMB19

.4 million in the same period of 2021, primarily due to the growth of the Company’s insurance brokerage services and other new business initiatives.


Cost of promotion and acquisition

increased by 22.1% to

RMB180.2 million

(

US$25.3 million

) in the third quarter of 2022 from

RMB147

.6 million in the same period of 2021. The increase was primarily due to the growth of the Company’s revenues from recommendation services, insurance brokerage services and other new business initiatives.


Cost of operation

increased by 5.0% to

RMB21

.0 million (

US$3

.0 million) in the third quarter of 2022 from

RMB20

.0 million in the same period of 2021. The increase was primarily attributable to an increase in software development and maintenance costs related to the big data and system-based risk management services, partially offset by decreases in payroll costs and depreciation expenses.


Sales and marketing expenses

increased by 1.2% to

RMB34

.5 million (

US$4

.9 million) in the third quarter of 2022 from

RMB34

.1 million in the same period of 2021. The increase was primarily due to an increase in call center outsourcing expenses, partially offset by a decrease in payroll expenses.


Research and development expenses

decreased by 11.2% to

RMB28

.6 million (

US$4.0 million

) in the third quarter of 2022 from

RMB32

.2 million in the same period of 2021, primarily due to a decrease in payroll expenses resulting from the Company’s continued efforts in cost optimization.


General and administrative expenses

decreased by 41.6% to

RMB23

.0 million (

US$3

.2 million) in the third quarter of 2022 from

RMB39

.4 million in the same period of 2021, primarily due to decreases in professional fees, payroll expenses, credit loss expenses and share-based compensation expenses.


I


mpairment


of


goodwill


and


intangible


assets

was RMB13.3 million (

US$1

.9 million) in the third quarter of 2022, which was the impairment of the goodwill and intangible assets of an acquired subsidiary, Newsky Wisdom Treasure (

Beijing

) Co.,Ltd, which experienced a decline in revenue due to the impact of COVID-19 prevention and control measures. There was no such impairment loss in the same period of 2021.


Loss from operations

was

RMB31.9 million

(

US$4

.5 million) in the third quarter of 2022, compared with

RMB60

.6 million in the same period of 2021. Operating loss margin was 11.9% in the third quarter of 2022, compared with 28.5% in the same period of 2021. The decrease in operating loss was mainly attributable to an increase in revenues and a decrease in operating expenses resulting from efficiency improvement and cost optimization, partially offset by the impairment of goodwill and intangible assets.


Others


, net

increased by 341.2% to

RMB7.5 million

(

US$1

.1 million) in the third quarter of 2022 from

RMB1

.7 million in the same period of 2021, primarily attributable to tax benefits for value-added tax.


Net loss

was

RMB25

.1 million (

US$3

.5 million) in the third quarter of 2022 compared with

RMB60

.0 million in the same period of 2021. Net loss margin was 9.3% in the third quarter of 2022, compared with 28.2% in the same period of 2021.


Non-GAAP adjusted net loss

[1]


, which excluded share-based compensation expenses, investment impairment loss, impairment of goodwill and intangible assets, investment gain of deconsolidation of subsidiaries and tax effects of above Non-GAAP adjustments was

RMB9.4 million

(

US$1.3 million

) in the third quarter of 2022, compared with

RMB50.8 million

in the same period of 2021. Non-GAAP adjusted net loss margin

[1]

was 3.5% in the third quarter of 2022 compared with 23.9% in the same period of 2021.


Non-GAAP adjusted EBITDA

[2]


, which excluded share-based compensation expenses, investment impairment loss, impairment of goodwill and intangible assets, investment gain of deconsolidation of subsidiaries, depreciation and amortization, interest income and expenses, and income tax benefits from net loss, for the third quarter of 2022 was a loss of

RMB7.2 million

(

US$1.0 million

), compared with a loss of

RMB47

.9 million in the same period of 2021.

As of

September 30, 2022

, the Company had cash and cash equivalents, restricted cash and time deposits of

RMB700.5 million

(

US$98.5 million

), and working capital of approximately

RMB400.3 million

(

US$56.3 million

). Compared to those as of

December 31, 2021

, cash and cash equivalents, time deposits, restricted cash and time deposits and short-term investment decreased by

RMB62

.3 million, which was primarily attributable to net cash outflow due to the deconsolidation of one of the Company’s subsidiaries and net cash used in operating activities, partially offset by net cash inflow from financing activities.


First Nine Months


2022 Financial Results


Total revenues

for the first nine months of 2022 increased by 33.3% to

RMB741

.4 million (

US$104.2 million

) from

RMB556

.2 million in the same period of 2021.


Total revenues from recommendation services

increased by 34.3% to

RMB560

.4 million (

US$78.8 million

) in the first nine months of 2022 from

RMB417

.3 million in the same period of 2021.


Revenues from recommendation services for credit cards

increased by 23.6% to

RMB365

.2 million (

US$51

.3 million) in the first nine months of 2022 from

RMB295.5 million

in the same period of 2021. Credit card volume in the first nine months of 2022 increased by 19.6% to approximately 3.2 million from 2.7 million in the same period of 2021. The average fee per credit card were

RMB113.4

(

US$15.9

) in the first nine months of 2022 and

RMB110

.0 in the same period of 2021, respectively.


Revenues from recommendation services for loans

increased by 60.3% to

RMB195.2 million

(

US$27

.4 million) in the first nine months of 2022 from

RMB121

.8 million in the same period of 2021, primarily due to an increase in the number of loan applications on our platform. The number of domestic loan applications on the Company’s platform was approximately 13.2 million in the first nine months of 2022, representing a 40.2% increase from that in the same period of 2021. The average fee per domestic loan application increased to

RMB14

.8 (US$2.1) in the first nine months of 2022 from

RMB13

.0 in the same period of 2021.


Revenues from big data and system-based risk management services

decreased by 27.6% to

RMB68

.0 million (

US$9

.6 million) in the first nine months of 2022 from

RMB93.9 million

in the same period of 2021, primarily due to the COVID-19 impact on our cooperation with customers as well as product adjustments.


Revenues from advertising and marketing services and other services

increased by 151.7% to

RMB113

.0 million (

US$15

.9 million) in the first nine months of 2022 from

RMB44

.9 million in the same period of 2021, primarily due to the growth of the Company’s insurance brokerage services and other new business initiatives.


Cost of promotion and acquisition

[3]


increased by 39.1% to

RMB521.5 million

(

US$73.3 million

) in the first nine months of 2022 from

RMB374

.9 million in the same period of 2021. The increase was in line with the growth of the Company’s revenues from recommendation services, insurance brokerage services and other new business initiatives.


Cost of operation

decreased by 4.8% to

RMB59

.9 million (

US$8

.4 million) in the first nine months of 2022 from

RMB62

.9 million in the same period of 2021. The decrease was primarily attributable to decreases in payroll costs and depreciation expenses, partially offset by an increase in software development and maintenance costs related to big data and system-based risk management services.


Sales and marketing expenses

decreased by 6.5% to

RMB101.6 million

(

US$14

.3 million) in the first nine months of 2022 from

RMB108

.7 million in the same period of 2021. The decrease was primarily due to a decrease in payroll expenses, partially offset by an increase in call center outsourcing expenses.


Research and development expenses

decreased by 14.3% to

RMB87.7 million

(

US$12.3 million

) in the first nine months of 2022 from

RMB102

.3 million in the same period of 2021, primarily due to a decrease in payroll expenses resulting from our continued efforts in cost optimization.


General and administrative expenses

decreased by 23.7% to

RMB79

.9 million (

US$11

.2 million) in the first nine months of 2022 from

RMB104

.7 million in the same period of 2021, primarily due to decreases in professional fees, share-based compensation expenses and payroll costs, partially offset by an increase in credit loss expenses.


I


mpairment of


goodwill


and


intangible


assets

was RMB13.3 million (

US$1

.9 million) in the first nine months of 2022, which was the impairment of the goodwill and intangible assets of an acquired subsidiary, Newsky Wisdom Treasure (

Beijing

) Co., Ltd. There was no such impairment loss in the same period of 2021.


Loss from operations

was

RMB122.4 million

(

US$17

.2 million) in the first nine months of 2022, compared with

RMB197.3 million

in the same period of 2021. Operating loss margin was 16.5% in the first nine months of 2022, compared with 35.5% in the same period of 2021. The decrease in operating loss was mainly attributable to an increase in revenues and a decrease in operating expenses resulting from efficiency improvement and cost optimization, partially offset by the impairment of goodwill and intangible assets.


Others


, net

decreased by 73.6% to

RMB11

.6 million (

US$1

.6 million) in the first nine months of 2022 from

RMB44

.0 million in the same period of 2021. The Company recognized an impairment loss of

RMB8.7 million

on investments and an investment gain of

RMB6.1 million

resulting from the deconsolidation of one of its subsidiaries

[4]

in the first nine months of 2022; while the Company recognized a realized investment gain of

RMB40.3 million

from the investment in Conflux Global, a decentralized applications block-chain solution provider, in the first nine months of 2021. There was no such gain in the same period of 2022.


Net loss

was

RMB114

.1 million (

US$16

.0 million) in the first nine months of 2022 compared with

RMB155

.8 million in the same period of 2021. Net loss margin was 15.4% in the first nine months of 2022 compared with 28.0% in the same period of 2021.


Non-GAAP adjusted net loss

[1]


, which excluded share-based compensation expenses, investment impairment loss, impairment of goodwill and intangible assets, investment gain of deconsolidation of subsidiaries and tax effects of above Non-GAAP adjustments, was

RMB92.2 million

(

US$13.0 million

) in the first nine months of 2022, compared with

RMB140.8 million

in the same period of 2021. Non-GAAP adjusted net loss margin

[1]

was 12.4% in the first nine months of 2022 compared with 25.3% in the same period of 2021.


Non-GAAP adjusted EBITDA

[2]


, which excluded share-based compensation expenses, investment impairment loss, impairment of goodwill and intangible assets, investment gain of deconsolidation of subsidiaries, depreciation and amortization, interest income and expenses, and income tax benefits from net loss, for the first nine months of 2022 was a loss of RMB84.7 million (

US$11

.9 million), compared with a loss of

RMB129

.5 million in the same period of 2021.


Conference Call

The Company’s management will host an earnings conference call at

7:00 AM

U.S. Eastern Time on

December 2, 2022

(

8:00 PM

Beijing/Hong Kong Time on

December 2

, 2022).

Dial-in details for the earnings conference call are as follows:


United States (toll free):


1-888-346-8982


International:


1-412-902-4272


Hong Kong, China (toll free):


800-905-945


Hong Kong, China:


852-3018-4992


Mainland China:


400-120-1203

Participants should dial-in at least 5 minutes before the scheduled start time and ask to be connected to the call for “Jianpu Technology Inc.”

Additionally, a live and archived webcast of the conference call will be available on the Company’s investor relations website at


http://ir.jianpu.ai


.

A replay of the conference call will be accessible approximately one hour after the conclusion of the live call until

December 9, 2022

, by dialing the following telephone numbers:


United States (toll free):


1-877-344-7529


International:


1-412-317-0088


Replay Access Code:


3587296


About Jianpu Technology Inc.

Jianpu Technology Inc. is a leading independent open platform for the discovery and recommendation of financial products in

China

. The Company connects users with financial service providers in a convenient, efficient, and secure way. By leveraging its proprietary technology, Jianpu provides users with customized search results and recommendations tailored to each user’s particular financial needs and profile. The Company also enables financial service providers with sales and marketing solutions to reach and serve their target customers more effectively through integrated channels and enhance their competitiveness by providing them with tailored data, risk management services and solutions. The Company is committed to maintaining an independent open platform, which allows it to serve the needs of users and financial service providers impartially. For more information, please visit


http://ir.jianpu.ai


.


Use of Non-GAAP Financial Measures

The Company uses adjusted EBITDA and adjusted net (loss)/income, each a Non-GAAP financial measure, in evaluating its operating results and for financial and operational decision-making purposes.

The Company believes that adjusted EBITDA and adjusted net (loss)/income help identify underlying trends in its business that could otherwise be distorted by the effect of the expenses and gains that the Company include in (loss)/income from operations and net (loss)/income. The Company believes that adjusted EBITDA and adjusted net (loss)/income provide useful information about its operating results, enhance the overall understanding of its past performance and future prospects and allow for greater visibility with respect to key metrics used by its management in its financial and operational decision-making.

Adjusted EBITDA and adjusted net (loss)/income should not be considered in isolation or construed as alternatives to net (loss)/income or any other measure of performance or as indicators of the Company’s operating performance. Investors are encouraged to review the historical Non-GAAP financial measures to the most directly comparable GAAP measures. Adjusted EBITDA and adjusted net (loss)/income presented here may not be comparable to similarly titled measures presented by other companies. Other companies may calculate similarly titled measures differently, limiting their usefulness as comparative measures to the Company’s data. The Company encourages investors and others to review its financial information in its entirety and not rely on a single financial measure.

Adjusted EBITDA represents EBITDA before share-based compensation expenses, investment impairment loss, impairment of goodwill and intangible assets, investment gain of deconsolidation of subsidiaries and tax effects of above Non-GAAP adjustments. EBITDA represents net (loss)/income before interest, tax, depreciation and amortization.

Adjusted net (loss)/income represents net (loss)/income before share-based compensation expenses, investment impairment loss, impairment of goodwill and intangible assets, investment gain of deconsolidation of subsidiaries and tax effects of above Non-GAAP adjustments.

For more information on this Non-GAAP financial measure, please see the table captioned “Unaudited Reconciliations of GAAP and Non-GAAP results” set forth at the end of this press release.


Safe Harbor Statement

This announcement contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates,” “confident” and similar statements. Statements that are not historical facts, including statements about the Company’s beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: the Company’s goals and strategies; the Company’s future business development, financial condition and results of operations; the Company’s expectations regarding demand for, and market acceptance of, its solutions and services; the Company’s expectations regarding keeping and strengthening its relationships with users, financial service providers and other parties it collaborates with; trends, competition and regulatory policies relating to the industries the Company operates in; general economic and business conditions globally and in

China

; and assumptions underlying or related to any of the foregoing. Further information regarding these and other risks is included in the Company’s filings with the SEC. All information provided in this press release and in the attachments is as of the date of this press release, and the Company undertakes no obligation to update any forward-looking statement, except as required under applicable law.


For investor and media inquiries, please contact:

In China:

Jianpu Technology Inc.

(IR)

Oscar Chen

, E-mail:

[email protected]


(PR)

Amanda Hu

, E-mail:

[email protected]


Tel: +86 (10) 6242 7068

Christensen Advisory


Suri Cheng

, E-mail:

[email protected]


Tel: +86 185 0060 8364


Crystal Lai

, E-mail:

[email protected]


Tel: +852 2232 3907

In US:

Christensen Advisory


Linda Bergkamp

, E-mail:

[email protected]


Tel: +1 480 353 6648



Jianpu Technology Inc.



Unaudited Condensed Consolidated Balance Sheets



(In thousands)



As of December 31,



As of September 30,



2021



2022



RMB



RMB



US$



ASSETS



Current assets:


Cash and cash equivalents


444,933


356,873


50,168


Time deposits


10,000






Restricted time deposits


234,601


303,412


42,653


Short-term investment


35,950






Accounts receivable, net (including amounts billed through

related party of RMB4,359 and RMB2,298 as of December

31, 2021 and September 30, 2022, respectively)


175,165


190,229


26,742


Amount due from related parties


140


155


22


Prepayments and other current assets


53,466


57,676


8,108



Total current assets



954,255



908,345



127,693



Non-current assets:


Property and equipment, net


12,617


12,189


1,714


Intangible assets, net


21,675


19,019


2,674


Goodwill


10,236






Restricted cash and time deposits


37,266


40,165


5,646


Other non-current assets


33,873


20,850


2,931



Total non-current assets



115,667



92,223



12,965



Total assets



1,069,922



1,000,568



140,658



LIABILITIES, MEZZANINE EQUITY AND

SHAREHOLDERS’ EQUITY



Current liabilities:


Short-term borrowings


181,853


246,606


34,667


Accounts payable (including amounts billed through

related party of RMB2,384 and RMB7,882 as of December

31,2021 and September 30, 2022, respectively)


103,782


97,442


13,698


Advances from customers


47,221


51,848


7,289


Tax payable


14,670


11,530


1,621


Amount due to related parties


29,270


20,157


2,834


Accrued expenses and other current liabilities


152,521


80,436


11,308



Total current liabilities



529,317



508,019



71,417



Non-current liabilities:


Deferred tax liabilities


4,549


3,729


524


Other non-current liabilities


13,604


14,127


1,986



Total non-current liabilities



18,153



17,856



2,510



Total liabilities



547,470



525,875



73,927



Mezzanine equity:


Redeemable noncontrolling interest


1,689


10,667


1,500



Shareholders’ equity:


Ordinary shares


286


286


40


Treasury stock, at cost


(88,130)


(77,629)


(10,913)


Additional paid-in capital


1,902,587


1,889,823


265,667


Accumulated losses


(1,299,846)


(1,403,932)


(197,362)


Statutory reserves


2,027


2,027


285


Accumulated other comprehensive (loss)/income


(15,419)


47,493


6,676



Total Jianpu’s shareholders’ equity



501,505



458,068



64,393


Noncontrolling interests


19,258


5,958


838



Total shareholders’ equity



520,763



464,026



65,231



Total liabilities, mezzanine equity and shareholders’

equity



1,069,922



1,000,568



140,658



Jianpu Technology Inc.



Unaudited Condensed Consolidated Statements of Comprehensive Loss



(In thousands

except for number of shares and per

share data)



For the Three Months Ended September 30,



For the Nine Months Ended September 30,



2021



2022



2021



2022



RMB



RMB



US$



RMB



RMB



US$



Revenues:


Recommendation services:


Loans

[a]


46,749


82,114


11,543


121,843


195,186


27,439


Credit cards


115,688


129,454


18,198


295,492


365,229


51,343


Total recommendation services


162,437


211,568


29,741


417,335


560,415


78,782


Big data and system-based risk

management services

[b]


30,835


24,983


3,512


93,941


68,000


9,559


Advertising, marketing services and other

services

[b]


19,367


32,244


4,533


44,908


113,002


15,886



Total revenues



212,639



268,795



37,786



556,184



741,417



104,227



Costs and expenses:


Cost of promotion and acquisition

[c] [



3]


(147,631)


(180,200)


(25,332)


(374,858)


(521,488)


(73,310)


Cost of operation

[d] [



3]


(19,973)


(20,985)


(2,950)


(62,946)


(59,893)


(8,420)


Total cost of services


(167,604)


(201,185)


(28,282)


(437,804)


(581,381)


(81,730)


Sales and marketing expenses

[



3]


(34,051)


(34,539)


(4,855)


(108,690)


(101,561)


(14,277)


Research and development expenses

[e]


(32,191)


(28,617)


(4,023)


(102,251)


(87,685)


(12,327)


General and administrative expenses


(39,375)


(23,044)


(3,239)


(104,708)


(79,875)


(11,229)


Impairment of goodwill and intangible

assets




(13,327)


(1,873)




(13,327)


(1,873)



Loss from operations



(60,582)



(31,917)



(4,486)



(197,269)



(122,412)



(17,209)


Net interest expenses


(1,251)


(1,218)


(171)


(3,022)


(4,122)


(579)


Others, net


1,719


7,472


1,050


44,042


11,643


1,637



Loss before income tax



(60,114)



(25,663)



(3,607)



(156,249)



(114,891)



(16,151)


Income tax benefits


144


588


83


439


837


118



Net loss



(59,970)



(25,075)



(3,524)



(155,810)



(114,054)



(16,033)


Less: net loss attributable to

noncontrolling interests


(1,559)


(7,562)


(1,063)


(3,393)


(9,968)


(1,401)



Net loss attributable to Jianpu

Technology Inc.



(58,411)



(17,513)



(2,461)



(152,417)



(104,086)



(14,632)


Accretion of mezzanine equity










(8,740)


(1,229)



Net loss attributable to Jianpu’s

shareholders



(58,411)



(17,513)



(2,461)



(152,417)



(112,826)



(15,861)



Other comprehensive income/(loss), net


Foreign currency translation adjustments


3,697


33,676


4,734


(3,868)


63,062


8,865



Total other comprehensive income/

(loss)



3,697



33,676



4,734



(3,868)



63,062



8,865



Total comprehensive income/(loss)



(56,273)



8,601



1,210



(159,678)



(50,992)



(7,168)


Less: total comprehensive loss

attributable to noncontrolling interests


(1,009)


(7,581)


(1,066)


(2,762)


(9,818)


(1,380)



Total comprehensive income/(loss)

attributable to Jianpu Technology Inc.



(55,264)



16,182



2,276



(156,916)



(41,174)



(5,788)


Accretion of mezzanine equity










(8,740)


(1,229)



Total comprehensive income/(loss)

attributable to Jianpu’s shareholders



(55,264)



16,182



2,276



(156,916)



(49,914)



(7,017)



Net loss per share attributable to

Jianpu’s shareholders


Basic


(0.14)


(0.04)


(0.01)


(0.36)


(0.27)


(0.04)


Diluted


(0.14)


(0.04)


(0.01)


(0.36)


(0.27)


(0.04)



Net loss per ADS attributable to

Jianpu’s shareholders


Basic


(2.76)


(0.83)


(0.12)


(7.20)


(5.32)


(0.75)


Diluted


(2.76)


(0.83)


(0.12)


(7.20)


(5.32)


(0.75)



Weighted average number of shares


Basic


423,677,480


424,297,809


424,297,809


423,656,234


423,896,586


423,896,586


Diluted


423,677,480


424,297,809


424,297,809


423,656,234


423,896,586


423,896,586



[a]

Including revenues from related party of RMB133 and RMB282 for the three months ended September 30, 2021 and 2022, respectively,

and RMB403 and RMB416 for the nine months ended September 30, 2021 and 2022, respectively.




[

b


]

Including revenues from related party of RMB1,044 and RMB1,486 for the three months ended September 30, 2021 and 2022, respectively,

and RMB3,487 and RMB3,818 for the nine months ended September 30, 2021 and 2022, respectively.




[

c


]

Including cost of promotion and acquisition from related party of nil and RMB41 for the three months ended September 30, 2021 and 2022,

respectively, and nil and RMB185 for the nine months ended September 30, 2021 and 2022, respectively.



[d


]

Including cost of operation from related party of RMB395 and RMB79 for the three months ended September 30, 2021 and 2022, respectively,

and RMB767 and RMB283 for the nine months ended September 30, 2021 and 2022, respectively.




[

e


]

Including expenses from related party of RMB99 and RMB157 for the three months ended September 30, 2021 and 2022, respectively, and

RMB112 and RMB524 for the nine months ended September 30, 2021 and 2022, respectively.



Jianpu Technology Inc.



Unaudited Reconciliations of GAAP and Non-GAAP Results



(In thousands)



For the Three Months Ended September 30,



For the Nine Months ended September 30,



2021



2022



2021



2022



RMB



RMB



US$



RMB



RMB



US$



Net loss



(59,970)



(25,075)



(3,524)



(155,810)



(114,054)



(16,033)


Add: Share-based compensation expenses


9,137


1,957


275


14,971


6,396


899


Investment impairment loss




893


126




8,716


1,225


Impairment of goodwill and intangible

assets




13,327


1,873




13,327


1,873


Investment gain of deconsolidation of

subsidiaries

[



4]










(6,149)


(864)


Tax effects on


Non


-GAAP adjustments

[



5]




(464)


(65)




(464)


(65)



Non-GAAP adjusted net loss

[1]




(50,833)



(9,362)



(1,315)



(140,839)



(92,228)



(12,965)


Add: Depreciation and amortization


1,866


1,082


152


8,707


3,806


535


Net interest expenses


1,251


1,218


171


3,022


4,122


579


Income tax benefits


(144)


(124)


(18)


(439)


(373)


(53)



Non-GAAP adjusted EBITDA

[




2]




(47,860)



(7,186)



(1,010)



(129,549)



(84,673)



(11,904)



[1]

Non-GAAP adjusted net loss represents net loss before share-based compensation expenses, investment impairment loss, impairment of

goodwill and intangible assets, investment gain of deconsolidation of subsidiaries and tax effects of above Non-GAAP adjustments. See

“Unaudited Reconciliations of GAAP and Non-GAAP Results” at the end of this press release for more details about Non-GAAP adjusted net

loss. Non-GAAP adjusted net loss margin equals Non-GAAP adjusted net loss divided by total revenues.



[2]

Non-GAAP adjusted EBITDA represents EBITDA before share-based compensation expenses, investment impairment loss, impairment of

goodwill and intangible assets, investment gain of deconsolidation of subsidiaries and tax effects of above Non-GAAP adjustments. EBITDA

represents net (loss)/income before interest income and expenses, income tax benefits from net loss and depreciation and amortization. See

“Unaudited Reconciliations of GAAP and Non-GAAP Results” for more details.



[3]

In the second half year of 2021, in light of business development, the Company added a financial statement line item named cost of

promotion and acquisition and reclassified the previous line item of cost of revenue and sales and marketing expenses. Cost of promotion and

acquisition primarily consists of expenditures relating to user traffic acquisition and rewards to business partners for promotion on social

network and social media platform, which are reclassified from sales and marketing expenses, and marketing costs related to advertising and

marketing services including commissions paid to individual insurance brokers, which are reclassified from cost of revenue. Cost of operation,

post the reclassification, consists primarily of costs associated with maintenance of the platform including data acquisition costs, bandwidth and

server hosting costs, call center outsourcing costs, online payment processing fees, depreciation, payroll and other related costs of operations.

Sales and marketing expenses, post the reclassification, consist primarily of marketing expenses relating to marketing activities, payroll costs

and related expenses for employees involved in sales and marketing activities, and expenses for the portion of call center operations that the

Company outsources. The cost of operation, cost of promotion and acquisition, and sales and marketing expenses for prior periods of 2021

presented in this press release have also been retrospectively reclassified. The amount reclassified from sales and marketing expenses and

cost of revenue to cost of promotion and acquisition were RMB177.4 million and RMB49.8 million for the first half year of 2021, respectively.



[4]

In June 2022, Databook Tech Ltd (“Databook”), one of the Company’s subsidiaries, made a cash distribution to its shareholders, through

which the Company received a portion of the cash distribution. Databook also issued additional shares to one minority shareholder and

changed the Company’s board seat in Databook to one director. The Company consequently became a minority shareholder of Databook and

no longer has control over the Databook. The investment gain of RMB6.1 million was realized in the second quarter of 2022, and additional

gains, if any, will be recognized in earnings when such gains are realized.



[5]

Tax effects on Non-GAAP adjustments was tax effects relating to the impairment of intangible assets.

Cision
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SOURCE Jianpu Technology Inc.