Chinese Tech Giants Kuaishou and Kingsoft Cloud Report Strong Q2 2024 Financial Results

Kuaishou Technology Announces Second Quarter and Interim 2024 Unaudited Financial Results - Kuaishou Tech (OTC:KSHTY)

HONG KONG, Aug. 20, 2024 /PRNewswire/ -- Kuaishou Technology ("Kuaishou" or the "Company"; HKD Counter Stock Code: 01024 / RMB Counter Stock Code: 81024), a leading content community and social platform, today announced its unaudited consolidated results for the three months and six months ended June 30, 2024. Second Quarter 2024 Key Highlights Average DAUs on Kuaishou APP were 395.3 million, representing an increase of 5.1% from 376.0 million for the same period of 2023.Average MAUs on Kuaishou APP were 691.8 million, representing an increase of 2.7% from 673.3 million for the same period of 2023.Total e-commerce GMV(1) was RMB305.3 billion, representing an increase of 15.0% from RMB265.5 billion for the same period of 2023.Total revenue increased by 11.6% to RMB31.0 billion from RMB27.7 billion for the same period of 2023. Online marketing services and live streaming contributed 56.5% and 30.0%, respectively, to the total revenue. The other 13.5% came from other services.Gross profit increased by 23.0% to RMB17.1 billion from RMB13.9 billion for the same period of 2023. Gross profit margin in the second quarter of 2024 was 55.3%, improving from 50.2% for the same period of 2023.Profit for the period was RMB4.0 billion, compared to RMB1.5 billion for the same period of 2023. Adjusted net profit(2) increased to RMB4.7 billion from RMB2.7 billion for the same period of 2023.Operating profit from the domestic segment(3) increased to RMB4.5 billion from RMB3.0 billion for the same period of 2023. Operating loss from the overseas segment(3) decreased to RMB277 million by 64.5% year-over-year. First Half 2024 Key Highlights Average DAUs on Kuaishou APP were 394.6 million, representing an increase of 5.2% from 375.1 million for the same period of 2023.Average MAUs on Kuaishou APP were 694.6 million, representing an increase of 4.6% from 663.9 million for the same period of 2023.Total e-commerce GMV(1) was RMB593.3 billion, representing an increase of 21.0% from RMB490.2 billion for the same period of 2023.Total revenue increased by 14.0% to RMB60.4 billion from RMB53.0 billion for the same period of 2023. Online marketing services and live streaming contributed 56.6% and 29.6%, respectively, to the total revenue. The other 13.8% came from other services.Gross profit increased by 29.7% to RMB33.3 billion from RMB25.6 billion for the same period of 2023. Gross profit margin in the first half of 2024 was 55.1%, improving from 48.4% for the same period of 2023.Profit for the period was RMB8.1 billion, compared to RMB605 million for the same period of 2023. Adjusted net profit(2) increased to RMB9.1 billion from RMB2.7 billion for the same period of 2023.Operating profit from the domestic segment(3) increased to RMB8.5 billion from RMB4.0 billion for the same period of 2023. Operating loss from the overseas segment(3) decreased to RMB545 million by 66.0% year-over-year. Mr. Cheng Yixiao, Co-founder, Chairman, and Chief Executive Officer of Kuaishou, said, "In the second quarter of 2024, we actively advanced our strategic initiatives within our user and commercial ecosystems. Employing clear and efficient operating strategies, we focused on enhancing user experiences in line with our revenue-generating activities, which led to high-quality and accelerated growth in user traffic. Additionally, we substantially enhanced our financial results. With a gross margin exceeding 55% and an adjusted net profit of RMB 4.7 billion, our adjusted net margin expanded to 15.1%, all record highs that tangibly reflect our growth and efficiency. In terms of technological innovation, we have achieved industry-leading breakthroughs in AI research and development and integrated these technologies into various business scenarios across our platform, enhancing the quality of content creation and improving commercial monetization efficiency. Notably, our large video generation model, Kling AI, has gained widespread acceptance among both domestic and global users. Looking ahead, we remain committed to leveraging our deep technological expertise to explore how AI can further empower our existing businesses and create new business opportunities, driving the Company forward with efficiency and stability." Second Quarter 2024 Financial Review Revenue from our online marketing services increased by 22.1% to RMB17.5 billion for the second quarter of 2024, from RMB14.3 billion for the same period of 2023, primarily attributable to the increased consumption from marketing clients driven by optimized smart marketing solution and advanced algorithms. Revenue from our live streaming business decreased by 6.7% to RMB9.3 billion for the second quarter of 2024 from RMB10.0 billion for the same period of 2023, as a result of our continuous efforts in building a healthy live streaming ecosystem. Revenue from our other services increased by 21.3% to RMB4.2 billion for the second quarter of 2024, from RMB3.4 billion for the same period of 2023, primarily due to the growth of our e-commerce business, represented by the growth in our e-commerce GMV. The growth in e-commerce GMV was driven by increases in the number of active e-commerce paying users and active merchants as a result of our diversified omni-domain operations. Other Key Financial Information for the Second Quarter of 2024 Operating profit was RMB3.9 billion, increasing from RMB1.3 billion for the same period of 2023. Adjusted EBITDA(4) was RMB6.3 billion, increasing from RMB4.3 billion for the same period of 2023. Total available funds(5) reached RMB77.7 billion as of June 30, 2024. Notes: (1) Placed on or directed to our partners through our platform. (2) We define "adjusted net profit" as profit for the period adjusted by share-based compensation expenses and net fair value changes on investments. (3) Unallocated items, which consist of share-based compensation expenses, other income, and other gains/(losses), net, are not included. (4) We define "adjusted EBITDA" as adjusted net profit for the period adjusted by income tax (benefits)/expenses, depreciation of property and equipment, depreciation of right-of-use assets, amortization of intangible assets, and finance income, net. (5) Total available funds which we considered in cash management included but not limited to cash and cash equivalents, time deposits, financial assets and restricted cash. Financial assets mainly included wealth management products and others. Business Review In the second quarter of 2024, we continued to grow our revenues and profits amid a highly competitive landscape, making advancements across industry-leading AI technology, robust content and commercial ecosystems as well as efficient organization collaboration that set the stage for our platform to thrive in a dynamic market. Our total revenue increased by 11.6% year-over-year to RMB31.0 billion in the second quarter of 2024. In terms of profitability, our gross margin climbed to over 55% in the second quarter of 2024, and our adjusted net profit reached RMB4.7 billion, making our adjusted net profit margin 15.1%. As an AI-driven technology company, we have constructed advanced infrastructure to support the trainings and inference of large models with trillions of parameters. Based on this, we developed industry-leading AI matrix including KwaiYii Large Language Models (快意大語言模型), large visual generation models and recommendation models. In the second quarter of 2024, we made considerable strides in large visual generation models. We launched full beta testing for our large video generation model Kling AI (可靈AI) and rolled out a membership program to global users, bringing further upgraded features. Our advanced text-to-image AI generation model Kolors (可圖) has been officially open-sourced to encourage a collaborative, robust ecosystem. Our AI matrix is now seamlessly embedded across various business scenarios, supporting content creation, content understanding and recommendations, and user interactions. This powerful combination significantly enhances our commercial competitiveness by providing merchants and marketing clients with more effective and efficient tools. In the first half of 2024, nearly 20,000 merchants utilized our AI matrix to optimize their operations on the Kuaishou platform, and marketing clients' daily spending with AIGC marketing materials peaked at RMB20 million in the second quarter of 2024. User and content ecosystem In the second quarter of 2024, the average DAUs and MAUs on the Kuaishou App reached 395 million and 692 million, representing year-over-year increases of 5.1% and 2.7%, respectively. The average daily time spent per DAU on the Kuaishou App was 122 minutes. We achieved accelerated growth in user traffic, with total user time spent on Kuaishou App increasing by 9.5% year-over-year. We deepened our strategy of high-quality growth. By improving our traffic allocation mechanism and building scenarios for user demand insight, we successfully enhanced user experience in synergy with our revenue-generating businesses. By optimizing measures such as hot comments ranking, we fostered a vibrant community atmosphere and improved user long-term retention rate, achieving high-quality growth in DAUs. Additionally, we improved the ROI of user retention costs through refined operational strategies. We are dedicated to cultivating a healthy and vibrant content creation ecosystem and supporting high quality content creators with algorithm optimization. We continued to bring users premium content that showcases the unique characteristics of our platform across differentiated operating strategies in vertical industries. For example, we focus on creating native sports content that the public enjoys in our sports vertical. Riding on the booming interest for sports content before the start of the Olympic Games Paris 2024, we launched Kuaishou Village Olympics (快手村奧會), which attracted a live crowd of over 135,000 spectators and captivated more than 520 million viewers online, amassing more than 6.4 billion impressions. As a pioneer and leader in the short play industry, we leveraged our cutting-edge Kling AI to launch Legendary Mirrors of Mountains and Seas (山海奇鏡), the first-ever original AIGC fantasy short play in China. Within two weeks after its release, it had attracted over 50 million views, demonstrating the significant appeal of our advanced large models' capabilities to craft content with depth. For our search business, in the second quarter of 2024, we continued to optimize our "search after watching" feature and introduced single column format in displaying search results. This enhanced user experience and unlocked the commercialization potentials. Our search user penetration rate was further improved with MAUs for Kuaishou search reached nearly 500 million in the second quarter of 2024 while daily searches increased by over 20% year-over-year. Online marketing services In the second quarter of 2024, revenue from online marketing services increased by 22.1% year-over-year to RMB17.5 billion, despite the overall softer consumer sentiment. Our revenue growth was fueled by enhanced smart marketing solutions and deeper sales funnel conversion paths for our marketing clients, which led to higher bids. Additionally, our advanced algorithms greatly supported the exploration of demographic interests and improvements in matching efficiency, significantly boosting the number of effective users with online marketing potentials. Revenue from our external marketing services grew notably in the second quarter of 2024, with the year-over-year growth rate surpassing that of the first quarter of 2024, particularly in the media information, e-commerce platforms, and local services industries. For paid short plays under the media information industry, we continued to improve user experience by refining native sales funnels and increase the scale of paying users through smart subsidies. This drove rapid growth in paid short plays marketing placement, with average daily marketing spending on paid short plays increasing by more than twofold year-over-year. Regarding smart placement, in the second quarter of 2024, the penetration rate of our external marketing product, Universal Auto X (UAX), continued to increase across multiple industries, with total marketing spending through UAX accounting for over 30% of overall external marketing spending. Revenue growth from our enclosed loop marketing services remained robust in the second quarter of 2024. The growth was driven by the ongoing optimization of our smart placement product strategies and capabilities, which led to total marketing spending by merchants using our omni-platform marketing solution or smart hosting products accounting for 40% of overall enclosed-loop marketing spending. For small- and medium-sized merchants, we leveraged major promotional events to boost marketing placement. We also offered simplified, automated marketing solutions through composite products that enhanced the stability and efficiency of their automated marketing placements, driving a 60% year-over-year surge in these merchants' spending in the second quarter of 2024. In our brand marketing efforts, we launched a unique marketing initiative in collaboration with fashion media. By blending Eastern esthetics with trendy culture, intangible cultural heritage, and avant-garde art, the initiative attracted numerous leading brands across cosmetics, food and beverage, apparel and 3C products. Furthermore, major brands, including Tmall, renewed their sponsorships for our Kuaishou Astral Short Plays (快手星芒短劇), resulting in an over 20-fold revenue growth year-over-year from marketing sponsorship of Kuaishou Astral Short Plays in the second quarter of 2024. E-commerce Despite the consumer demand challenges faced by domestic e-commerce businesses, rapidly evolving consumption trend and e-commerce infrastructure are driving e-commerce's growth. Amid the new trends, lower-tier markets are emerging as mainstream markets with the largest population and the greatest potential for growth. We aim to help consumers discover affordable quality products that fit their needs through trustworthy streamers and content on Kuaishou. We are committed to fostering a sustainable, healthy KOL ecosystem while propelling multi-faceted, omni-domain operations for brands and merchants in self-operated live streaming, pan shelf-based e-commerce and short video e-commerce. In the second quarter of 2024, our e-commerce GMV grew by 15% year-over-year to RMB305.3 billion. On the demand side, the number of e-commerce monthly active paying users increased by 14.1% year-over-year to 131 million in the second quarter of 2024, and our MAU penetration rate reached a new high of 18.9%. We are committed to our user-centric strategy, coupled with a focused approach to tapping specific industries, which empowers us to swiftly capture and respond to fast-evolving consumer preferences. Specifically, we remain focused on iterating initiatives for acquiring new users as well as growing active users, expanding our user reach through product and subsidy strategies that encourage repeat purchases. On the supply side, the number of average monthly active merchants in the second quarter of 2024 grew by more than 50% year-over-year, primarily due to our concerted efforts in new merchants' cold-starts, growth and sustained operations, in addition to empowering existing merchants to tap into omni-domain operations. Designed especially for small and medium-sized merchants, our Set Sail Initiative (啟航計劃) provides new merchants with up to 100 billion traffic resources throughout the year, coupled with our Uplift Initiative (扶搖計劃) that helps new merchants rapidly scale their businesses after a cold start. Additionally, we enhanced merchants' overall omni-domain operating capabilities by building follower-base growth initiatives, as well as by integrating short video and live-streaming content. Regarding KOL strategies, we recommended high-quality merchandise to KOLs internally while helping medium-tier KOLs select merchandise via external facilitator, particularly with targeted recommendations based on the follower profiles of medium-tier KOLs. At the same time, we leveraged AI technology, marketing tools and follower operation tools to enrich marketing strategies for KOL. We lowered the barriers for KOLs to conduct e-commerce live streaming, encouraged live-streaming user interactions, and comprehensively enhanced our platform's capabilities in matching KOLs with products. For brand merchants, we prioritized our Trade-in, Trade-up (以舊換新) program, membership operations, and Big Brand, Big Subsidy (大牌大補) channel to attract a wider variety of brand merchandise offerings on our platform. During the 618 Shopping Festival, GMV from consumer electronics brands and household items grew by over 83% year-over-year, a testament to increased mindshare for affordable branded products. In terms of e-commerce scenarios, pan shelf-based e-commerce GMV in the second quarter of 2024 continued to outpace the overall platform, accounting for over 25% of total GMV. The number of pan shelf-based e-commerce orders during the 618 Shopping Festival grew by 65% year-over-year, a key growth driver of our e-commerce business. In terms of our shopping mall, in the second quarter of 2024, the number of average daily active merchants and average daily paying users grew by over 50% and 70%, respectively on a year-over-year basis. On the user front, both the average number of product cards viewed per user and the volume of product searches in our shopping mall surged year-over-year, highlighting consumers' growing mindshare for browsing and searching for products in the Kuaishou shopping mall. The introduction of our large models has also improved our ability to identify user purchasing intentions, driving a more than 80% year-over-year increase in search-induced e-commerce GMV in the second quarter of 2024. In addition, we launched sales hosting services for Kuaishou shopping mall that integrates our platform's omni-domain traffic, aiming to lower merchants' operational barriers, providing merchants with predictable sales channels. Additionally, our short video e-commerce GMV continued its rapid growth in the second quarter of 2024, with a year-over-year increase of nearly 70%. Merchants leverage short videos to attract potential users before live streaming and extend the sales cycle of blockbuster products afterwards. This approach has further strengthened the integration between short videos and live streaming scenarios. Live streaming In the second quarter of 2024, revenue from our live-streaming business decreased by 6.7% year-over-year to RMB9.3 billion. We continued to iterate our refined operating approach to bolster a healthy and positive live-streaming ecosystem. On the supply side, we established regional teams dedicated to attracting high-quality talent agencies through targeted industry promotions and impactful offline presentations. This strategy led to a nearly 50% increase in the number of partnering talent agencies and a 60% growth in the number of talent agency-managed streamers by the end of the second quarter of 2024, both on a year-over-year basis. Meanwhile, we continued to promote emerging streaming features, such as multi-host live streaming and the "Grand Stage", which attracted significantly more talent agencies and streamers, driving core growth in our live streaming business. We are dedicated to attracting mid-tier streamers, enhancing interactive live-streaming features, and encouraging streamers to produce high-quality content, all of which provide more reasons for users to engage with our platform. Additionally, as the official short video partner for CrossFire (穿越火線) and King Pro League (王者榮耀職業聯賽), we effectively helped generate greater attention to broader audience by leveraging our "short video + live streaming + community" ecosystem. As an example of "live streaming+" services empowering traditional industries, in the second quarter of 2024, the daily average number of resume submissions on Kwai Hire (快聘) increased by more than 130%, and matching rate grew by over 150%, both on a year-over-year basis. Meanwhile, daily lead generation on our Ideal Housing (理想家) expanded by nine-fold compared to the same period last year. Overseas We continued to deepen our local operations in key overseas markets during the second quarter of 2024 through advanced content offering, operation capabilities, and marketing initiatives. Under our ROI-driven growth strategies, we have been refining operations in traditional marketing channels and exploring new growth avenues. These initiatives drove steady growth in average DAUs in key overseas markets such as Brazil and Indonesia. Notably, DAUs in Brazil rose by 15.4% year-over-year and also improved quarter-over-quarter. Regarding content operations overseas, we continued to engage high-quality content creators, enriching our content offering and enhancing the vibrancy of our community-based ecosystem. Meanwhile, our optimized algorithm, enhanced traffic mechanisms and diverse monetization initiatives have gradually strengthened the positive flywheel effect of content production, consumption and monetization for creators. Average daily time spent per DAU in key overseas markets increased by 5% year-over-year to nearly 80 minutes in the second quarter of 2024. In terms of monetization capabilities, our overseas revenues increased by 141.4% year-over-year to RMB1.1 billion in the second quarter of 2024. Our overseas online marketing team actively expanded the client base across multiple industries by optimizing product capabilities and upgrading clients' experiences. As a result, online marketing revenue from our overseas business increased by over 200% year-over-year and continued to grow quarter-over-quarter. With improvements in our overseas monetization efficiency, we gained further operating leverage, leading to a reduction in the operating loss from our overseas business by 64.5% year-over-year to RMB277 million in the second quarter of 2024. Business Outlook The strong technological foundation we built with our AI matrix paves the way for innovations and our next stage of growth across our thriving content and commercial ecosystem. In the second half of 2024, we will continue our trajectory of high-quality growth, with a strong emphasis on technological innovation, leveraging our integrated AI matrix to explore the vast content and commercial potentials. We are confident that these strategic efforts will enable Kuaishou to sustain leading position in a competitive market environment, achieve long-term growth and deliver increased value and opportunities for our users, creators and partners. About Kuaishou Kuaishou is a leading content community and social platform with its mission to be the most customer-obsessed company in the world. Kuaishou has relentlessly been focusing on serving its customers and creating value for them through the continual innovation and optimization of its products and services. At Kuaishou, any user can chronicle and share their life experiences through short videos and live streams and showcase their talents. Working closely with content creators and businesses together, Kuaishou provides product and service offerings that address various user needs that arise naturally, including entertainment, online marketing services, e-commerce, online games, online knowledge-sharing, and more. Forward-Looking Statements Certain statements included in this press release, other than statements of historical fact, are forward-looking statements. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "may", "might", "can", "could", "will", "would", "anticipate", "believe", "continue", "estimate", "expect", "forecast", "intend", "plan", "seek", or "timetable". These forward-looking statements, which are subject to risks, uncertainties, and assumptions, may include our business outlook, estimates of financial performance, forecast business plans, growth strategies and projections of anticipated trends in our industry. These forward-looking statements are based on information currently available to the Group and are stated herein on the basis of the outlook at the time of this press release. They are based on certain expectations, assumptions and premises, many of which are subjective or beyond our control. These forward-looking statements may prove to be incorrect and may not be realized in the future. Underlying these forward-looking statements are a large number of risks and uncertainties. In light of the risks and uncertainties, the inclusion of forward-looking statements in this press release should not be regarded as representations by the Board or the Company that the plans and objectives will be achieved, and investors should not place undue reliance on such statements. Except as required by law, we are not obligated, and we undertake no obligation, to release publicly any revisions to these forward-looking statements that might reflect events or circumstances occurring after the date of this press release or those that might reflect the occurrence of unanticipated events. For investor and media inquiries, please contact Kuaishou Technology Investor Relations Email: [email protected] CONDENSED CONSOLIDATED INCOME STATEMENT Unaudited Unaudited Three Months Ended Six Months Ended June 30, 2024 March 31, 2024 June 30, 2023 June 30, 2024 June 30, 2023 RMB'Million RMB'Million RMB'Million RMB'Million RMB'Million Revenues 30,975 29,408 27,744 60,383 52,961 Cost of revenues (13,840) (13,288) (13,810) (27,128) (27,315) Gross profit 17,135 16,120 13,934 33,255 25,646 Selling and marketing expenses (10,040) (9,384) (8,636) (19,424) (17,359) Administrative expenses (792) (462) (945) (1,254) (1,864) Research and development expenses (2,805) (2,843) (3,155) (5,648) (6,075) Other income 34 118 113 152 165 Other gains/(losses), net 374 445 (15) 819 85 Operating profit 3,906 3,994 1,296 7,900 598 Finance income, net 66 114 158 180 269 Share of losses of investments accounted for using the equity method (19) (3) (18) (22) (32) Profit before income tax 3,953 4,105 1,436 8,058 835 Income tax benefits/(expenses) 27 15 45 42 (230) Profit for the period 3,980 4,120 1,481 8,100 605 Attributable to: -- Equity holders of the Company 3,979 4,119 1,480 8,098 607 -- Non-controlling interests 1 1 1 2 (2) 3,980 4,120 1,481 8,100 605 CONDENSED CONSOLIDATED BALANCE SHEET Unaudited Audited As of June 30, 2024 As of December 31, 2023 RMB'Million RMB'Million ASSETS Non-current assets Property and equipment 11,871 12,356 Right-of-use assets 8,908 10,399 Intangible assets 1,032 1,073 Investments accounted for using the equity method 179 214 Financial assets at fair value through profit or loss 13,695 5,245 Other financial assets at amortized cost 143 283 Deferred tax assets 5,854 6,108 Long-term time deposits 13,580 9,765 Other non-current assets 536 492 55,798 45,935 Current assets Trade receivables 6,526 6,457 Prepayments, other receivables and other current assets 4,346 4,919 Financial assets at fair value through profit or loss 31,180 25,128 Other financial assets at amortized cost 845 950 Short-term time deposits 9,578 9,874 Restricted cash 89 128 Cash and cash equivalents 11,437 12,905 64,001 60,361 Total assets 119,799 106,296 CONDENSED CONSOLIDATED BALANCE SHEET Unaudited Audited As of June 30, 2024 As of December 31, 2023 RMB'Million RMB'Million EQUITY AND LIABILITIES Equity attributable to equity holders of the Company Share capital - - Share premium 271,804 273,459 Treasury shares (284) (88) Other reserves 34,298 33,183 Accumulated losses (249,393) (257,491) 56,425 49,063 Non-controlling interests 13 11 Total equity 56,438 49,074 LIABILITIES Non-current liabilities Borrowings 4,500 - Lease liabilities 6,985 8,405 Deferred tax liabilities 16 18 Other non-current liabilities 21 21 11,522 8,444 Current liabilities Accounts payables 24,897 23,601 Other payables and accruals 19,192 16,592 Advances from customers 4,124 4,036 Income tax liabilities 269 1,222 Lease liabilities 3,357 3,327 51,839 48,778 Total liabilities 63,361 57,222 Total equity and liabilities 119,799 106,296 Financial Information by Segment Unaudited Three Months Ended June 30, 2024 March 31, 2024 June 30, 2023 Domestic Overseas Unallocated items Total Domestic Overseas Unallocated items Total Domestic Overseas Unallocated items Total RMB'Million RMB'Million RMB'Million Revenues 29,896 1,079 - 30,975 28,417 991 - 29,408 27,297 447 - 27,744 Operating profit/(loss) 4,498 (277) (315) 3,906 3,991 (268) 271 3,994 3,034 (780) (958) 1,296 Unaudited Six Months Ended June 30, 2024 June 30, 2023 Domestic Overseas Unallocated items Total Domestic Overseas Unallocated items Total RMB'Million RMB'Million Revenues 58,313 2,070 - 60,383 52,176 785 - 52,961 Operating profit/(loss) 8,489 (545) (44) 7,900 3,997 (1,603) (1,796) 598 Reconciliation of Non-IFRS Accounting Standards Measures to the Nearest IFRS Accounting Standards Measures Unaudited Unaudited Three Months Ended Six Months Ended June 30, March 31, June 30, June 30, June 30, 2024 2024 2023 2024 2023 RMB'Million RMB'Million RMB'Million RMB'Million RMB'Million Profit for the period 3,980 4,120 1,481 8,100 605 Add: Share-based compensation expenses 723 292 1,056 1,015 2,046 Net fair value changes on investments(1) (24) (24) 157 (48) 85 Adjusted net profit 4,679 4,388 2,694 9,067 2,736 Adjusted net profit 4,679 4,388 2,694 9,067 2,736 Add: Income tax (benefits)/expenses (27) (15) (45) (42) 230 Depreciation of property and equipment 997 977 978 1,974 1,942 Depreciation of right-of-use assets 735 716 808 1,451 1,596 Amortization of intangible assets 26 27 39 53 77 Finance income, net (66) (114) (158) (180) (269) Adjusted EBITDA 6,344 5,979 4,316 12,323 6,312 Note: (1) Net fair value changes on investments represents net fair value (gains)/losses on financial assets at fair value through profit or loss of our investments in listed and unlisted entities, net (gains)/losses on deemed disposals of investments and impairment provision for investments, which is unrelated to our core business and operating performance and subject to market fluctuations, and exclusion of which provides investors with more relevant and useful information to evaluate our performance. 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Kingsoft Cloud Announces Unaudited Second Quarter 2024 Financial Results - Kingsoft Cloud Hldgs (NASDAQ:KC)

BEIJING, Aug. 20, 2024 (GLOBE NEWSWIRE) -- Kingsoft Cloud Holdings Limited ("Kingsoft Cloud" or the "Company") KC, a leading independent cloud service provider in China, today announced its unaudited financial results for the second quarter ended June 30, 2024. Mr. Tao Zou, Chief Executive Officer of Kingsoft Cloud, commented, "We are pleased to record another strong quarter with advances in revenue expansion, margin improvements and operating cash net inflow. Our high-quality and sustainable development strategy continued to bear fruits. During the past quarter, embracing AI opportunities, we have recorded AI revenue of RMB326 million, approximately 26% of revenues from public cloud services, doubling from 13% last quarter. We have also been enhancing our AI capabilities, successfully deploying AI solutions to enterprises and organizations to improve our customers' data management performances." Mr. Henry He, Chief Financial Officer of Kingsoft Cloud, added, "We are pleased to achieve growth in both revenue and profits. This quarter our total revenues returned to year-over-year growth track, arriving at RMB1,891.8 million, increased by 3.1% year-over-year and 6.5% quarter-over-quarter. This quarter our adjusted gross margin was 17.1%, significantly increased by 5.8 percentage points from 11.3% in the same quarter of 2023. Adjusted gross profit was RMB323.4 million, increased by 56.4% from RMB206.8 million in the same quarter of 2023. Adjusted EBITDA turned to profit last quarter and steadily increased to RMB60.6 million, significantly improving from negative RMB61.4 million in the same quarter of 2023. This quarter we have recorded net inflow of operating cash at RMB151.2 million, compared with RMB65.2 million in the same period and negative RMB321.3 million last quarter." Second Quarter 2024 Financial Results Total revenues reached RMB1,891.8 million (US$260.31 million), increased by 3.1% year-over-year and 6.5% quarter-over-quarter from RMB1,835.4 million in the same quarter of 2023 and RMB1,775.7 million in the first quarter of 2024. The increase was mainly due to the expanded revenue from AI related customers and partially offset by our proactive scale-down of content delivery network (CDN) services, and more stringent project selection of enterprise cloud projects. Revenues from public cloud services were RMB1,234.5 million (US$169.9 million), increased by 6.5% from RMB1,159.5 million in the same quarter of 2023 and 4.0% from RMB1,187.4 million last quarter. The increase was mainly due to the growth of AI demands and partially offset by the proactive scale-down of our CDN services. Revenues from enterprise cloud services were RMB657.2 million (US$90.4 million), representing a decrease of 2.7% from RMB675.2 million in the same quarter of 2023 and an increase of 11.7% from RMB588.2 million last quarter. We keep focus in selected verticals such as public services cloud, state-owned assets cloud, healthcare and financial services, enhance our solutions with AI capabilities and take profitability and sustainability of the enterprise cloud projects as our priorities. Other revenues were nil this quarter. Cost of revenues was RMB1,573.4 million (US$216.5 million), representing a decrease of 3.4% from RMB1,628.8 million in the same quarter of 2023. IDC costs decreased significantly by 15.4% year-over-year from RMB860.7 million to RMB728.2 million (US$100.2 million) this quarter. The decrease was in line with the scale down of our CDN services and our strict control over procurement costs. Depreciation and amortization costs increased by 31.6% from RMB202.1 million in the same quarter of 2023 to RMB265.9 million (US$36.6 million) this quarter. The increase was mainly due to the depreciation of newly acquired servers which were allocated to AI business. Solution development and services costs increased by 8.4% year-over-year from RMB452.9 million in the same quarter of 2023 to RMB491.1 million (US$67.6 million) this quarter. The increase was mainly due to the solution personnel expansion of Camelot. Fulfillment costs and other costs were RMB37.6 million (US$5.2 million) and RMB50.6 million (US$6.9 million) this quarter. ______________________ 1 This announcement contains translations of certain Renminbi (RMB) amounts into U.S. dollars (US$) at a specified rate solely for the convenience of the reader. Unless otherwise noted, the translation of RMB into US$ has been made at RMB7.2672 to US$1.00, the noon buying rate in effect on June 30, 2024 as certified for customs purposes by the Federal Reserve Bank of New York. Gross profit was RMB318.3 million (US$43.8 million), representing a significant increase of 54.1% from RMB206.6 million in the same quarter of 2023, demonstrating our improvements in revenue quality. Gross margin was 16.8%, compared with 11.3% in the same period in 2023. Non-GAAP gross profit2 was RMB323.4 million (US$44.5 million), compared with RMB206.8 million in the same period in 2023. Non-GAAP gross margin2 was 17.1%, compared with 11.3% in the same period in 2023. The significant improvement of our gross profit and margin was mainly due to our strategic adjustment of revenue mix, expansion of AI revenues, optimized enterprise cloud project selection and efficient cost control measures. Total operating expenses were RMB595.9 million (US$82.0 million), increased by 4.6% from RMB569.7 million in the same period in 2023 and 5.0% from RMB567.4 million last quarter. Among which: Selling and marketing expenses were RMB125.7 million (US$17.3 million), decreased by 2.7% from RMB129.3 million in the same period in 2023 and increased by 7.7% from RMB116.8 million last quarter, the sequential increase was due to the increase of personnel costs and promotional expense, partially offsetting by the reversal of share-based compensation related to forfeiture. General and administrative expenses were RMB266.2 million (US$36.6 million), compared with RMB246.5 million in the same period in 2023 and RMB218.7 million last quarter. The sequential increase was mainly due to the one-time-off gain of property disposal of last quarter and the year- over-year increase was mainly due to the increase in personnel costs. Research and development expenses were RMB204.0 million (US$28.1 million), increased by 5.2% from RMB193.9 million in the same period in 2023 and decreased by 12.1% from RMB232.0 million last quarter. The sequential decrease was mainly due to the reversal of share-based compensation expense related to forfeiture and the year-over-year increase was mainly due to the increase in personnel costs, partially offsetting by the reversal of share-based compensation related to forfeiture. Operating loss was RMB277.6 million (US$38.2 million), significantly decreased compared with operating loss of RMB363.1 million in the same quarter of 2023 and slightly increased from RMB274.2 million last quarter. The year-over-year improvement was mainly due to our gross profit expansion and we have been taking strict control over expenses, bearing fruit from our high-quality and sustainable development strategy. The sequential increase was mainly due to the above-mentioned expenses increase and partially offset by the increase of gross profit. Net loss was RMB353.7 million (US$48.7 million), significantly decreased compared with net loss of RMB498.3 million in the same quarter of 2023 and RMB363.6 million last quarter. The improvements of our profitability were in line with our strategies of high quality and sustainable development, as we focus on profitable business and execute strict control over costs and expenses. ______________________ 2 Non-GAAP gross profit is defined as gross profit excluding share-based compensation allocated in the cost of revenues and we define Non-GAAP gross margin as Non-GAAP gross profit as a percentage of revenues. See "Use of Non-GAAP Financial Measures" set forth at the end of this press release. Non-GAAP net loss3 was RMB301.1 million (US$41.4 million), compared with RMB315.0 million in the same quarter of 2023 and RMB217.3 million last quarter. Non-GAAP EBITDA4 was RMB60.6 million (US$8.3 million), compared with RMB-61.4 million in the same quarter of 2023 and RMB33.2 million last quarter. Non-GAAP EBITDA margin was 3.2%, compared with -3.3% in the same quarter of 2023 and 1.9% last quarter. The increase was mainly due to the expansion in gross profit and our strict control over costs and expenses. Basic and diluted net loss per share was RMB0.10 (US$0.01), compared with RMB0.14 in the same quarter of 2023 and RMB0.10 last quarter. Cash and cash equivalents were RMB1,837.8 million (US$252.9 million) as of June 30, 2024, compared with RMB1,881.7 million as of March 31, 2024. The decrease was mainly due to the investment into the procurement of high performance servers and the payment to daily operation. Outstanding ordinary shares were 3,596,874,352 as of June 30, 2024, equivalent to about 239,791,623 ADSs. Conference Call Information Kingsoft Cloud's management will host an earnings conference call on Tuesday, August 20, 2024 at 8:15 am, U.S. Eastern Time (8:15 pm, Beijing/Hong Kong Time on the same day). Participants can register for the conference call by navigating to https://register.vevent.com/ register/BI2ed9e3a7930e4c958cfbd29da2a97c19. Once preregistration has been completed, participants will receive dial-in numbers, direct event passcode, and a unique access PIN. To join the conference, simply dial the number in the calendar invite you receive after preregistering, enter the passcode followed by your PIN, and you will join the conference instantly. Additionally, a live and archived webcast of the conference call will also be available on the Company's investor relations website at http://ir.ksyun.com. ______________________ 3 Non-GAAP net loss is defined as net loss excluding share-based compensation, impairment of long-lived assets and foreign exchange loss, and we define Non-GAAP net loss margin as adjusted net loss as a percentage of revenues. See "Use of Non-GAAP Financial Measures" set forth at the end of this press release. 4 Non-GAAP EBITDA is defined as Non-GAAP net loss excluding interest income, interest expense, income tax expense (benefit) and depreciation and amortization, and we define Non-GAAP EBITDA margin as Non-GAAP EBITDA as a percentage of revenues. See "Use of Non-GAAP Financial Measures" set forth at the end of this press release. 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"). In evaluating our business, we consider and use certain non-GAAP measures, Non-GAAP gross profit, Non-GAAP gross margin, Non-GAAP EBITDA, Non-GAAP EBITDA margin, Non-GAAP net loss and Non-GAAP net loss margin, as supplemental measures to review and assess our operating performance. The presentation of these 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 U.S. GAAP. We define Non-GAAP gross profit as gross profit excluding share-based compensation allocated in the cost of revenues, and we define Non-GAAP gross margin as Non-GAAP gross profit as a percentage of revenues. We define Non-GAAP net loss as net loss excluding share-based compensation, foreign exchange loss and impairment of long-lived assets, and we define Non-GAAP net loss margin as Non-GAAP net loss as a percentage of revenues. We define Non-GAAP EBITDA as Non-GAAP net loss excluding interest income, interest expense, income tax expense (benefit) and depreciation and amortization, and we define Non-GAAP EBITDA margin as Non-GAAP EBITDA as a percentage of revenues. We present these non-GAAP financial measures because they are used by our management to evaluate our operating performance and formulate business plans. We also believe that the use of these non-GAAP measures facilitates investors' assessment of our operating performance. These non-GAAP financial measures are not defined under U.S. GAAP and are not presented in accordance with U.S. GAAP. These non-GAAP financial measures have limitations as analytical tools. One of the key limitations of using these non-GAAP financial measures is that they do not reflect all items of income and expense that affect our operations. Further, these non-GAAP measures may differ from the non-GAAP information used by other companies, including peer companies, and therefore their comparability may be limited. We compensate for these limitations by reconciling these non-GAAP financial measures to the nearest U.S. GAAP performance measure, all of which should be considered when evaluating our performance. We encourage you to review our financial information in its entirety and not rely on a single financial measure. Exchange Rate Information This press release contains translations of certain RMB amounts into U.S. dollars at specified rates solely for the convenience of readers. Unless otherwise noted, all translations from RMB to U.S. dollars, in this press release, were made at a rate of RMB7.2672 to US$1.00, the noon buying rate in effect on June 30, 2024 as certified for customs purposes by the Federal Reserve Bank of New York. 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 Kingsoft Cloud's strategic and operational plans, contain forward-looking statements. Kingsoft Cloud 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 third parties. Statements that are not historical facts, including but not limited to statements about Kingsoft Cloud'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: Kingsoft Cloud's goals and strategies; Kingsoft Cloud's future business development, results of operations and financial condition; relevant government policies and regulations relating to Kingsoft Cloud's business and industry; the expected growth of the cloud service market in China; the expectation regarding the rate at which to gain customers, especially Premium Customers; Kingsoft Cloud's ability to monetize the customer base; fluctuations in general economic and business conditions in China; and the economy in China and elsewhere generally; China's political or social conditions and assumptions underlying or related to any of the foregoing. Further information regarding these and other risks is included in Kingsoft Cloud'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 Kingsoft Cloud does not undertake any obligation to update any forward-looking statement, except as required under applicable law. About Kingsoft Cloud Holdings Limited Kingsoft Cloud Holdings Limited KC is a leading independent cloud service provider in China. With extensive cloud infrastructure, cutting-edge cloud-native products based on vigorous cloud technology research and development capabilities, well-architected industry-specific solutions and end-to-end fulfillment and deployment, Kingsoft Cloud offers comprehensive, reliable and trusted cloud service to customers in strategically selected verticals. For more information, please visit: http://ir.ksyun.com. For investor and media inquiries, please contact: Kingsoft Cloud Holdings Limited Nicole Shan Tel: +86 (10) 6292-7777 Ext. 6300 Email: [email protected] KINGSOFT CLOUD HOLDINGS LIMITEDUNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS(All amounts in thousands) Dec 31, 2023Jun 30, 2024Jun 30, 2024 RMBRMBUS$ASSETS Current assets: Cash and cash equivalents2,255,287 1,837,757 252,884 Restricted cash234,194 258,647 35,591 Accounts receivable, net1,529,915 1,680,965 231,308 Prepayments and other assets1,812,692 2,150,626 295,935 Amounts due from related parties266,036 373,059 51,335 Total current assets6,098,124 6,301,054 867,053 Non-current assets: Property and equipment, net2,186,145 3,882,522 534,253 Intangible assets, net834,478 748,537 103,002 Goodwill4,605,724 4,605,724 633,769 Prepayments and other assets870,781 518,929 71,407 Equity investments259,930 247,176 34,013 Amounts due from related parties56,264 12,264 1,688 Operating lease right-of-use assets158,832 144,754 19,919 Total non-current assets8,972,154 10,159,906 1,398,051 Total assets15,070,278 16,460,960 2,265,104 LIABILITIES, NON-CONTROLLING INTERESTS AND SHAREHOLDERS' EQUITY Current liabilities: Accounts payable1,805,083 1,980,088 272,469 Accrued expenses and other current liabilities2,838,085 2,938,720 404,381 Short-term bank loans1,110,896 1,385,769 190,688 Income tax payable63,961 59,185 8,144 Amounts due to related parties931,906 1,070,842 147,353 Current operating lease liabilities78,659 47,827 6,581 Total current liabilities6,828,590 7,482,431 1,029,616 Non-current liabilities: Long-term bank loans100,000 197,352 27,157 Amounts due to related parties40,069 1,052,160 144,782 Deferred tax liabilities142,565 108,503 14,931 Other liabilities634,803 848,825 116,802 Non-current operating lease liabilities78,347 69,903 9,619 Total non-current liabilities995,784 2,276,743 313,291 Total liabilities7,824,374 9,759,174 1,342,907 Shareholders' equity: Ordinary shares25,443 25,688 3,535 Treasury stock(208,385)(208,385)(28,675)Additional paid-in capital18,811,028 18,969,913 2,610,347 Statutory reserves funds21,765 21,765 2,995 Accumulated deficit(12,315,041)(13,027,627)(1,792,661)Accumulated other comprehensive income555,342 575,585 79,203 Total Kingsoft Cloud Holdings Limited shareholders' equity6,890,152 6,356,939 874,744 Non-controlling interests355,752 344,847 47,453 Total equity7,245,904 6,701,786 922,197 Total liabilities, non-controlling interests and shareholders' equity15,070,278 16,460,960 2,265,104 KINGSOFT CLOUD HOLDINGS LIMITEDUNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS(All amounts in thousands, except for share and per share data) Three Months EndedSix Months Ended Jun 30, 2023Mar 31, 2024Jun 30, 2024Jun 30, 2024Jun 30, 2023Jun 30, 2024Jun 30, 2024 RMBRMBRMBUS$RMBRMBUS$Revenues: Public cloud services1,159,509 1,187,370 1,234,542 169,879 2,313,183 2,421,912 333,266 Enterprise cloud services675,176 588,162 657,238 90,439 1,385,152 1,245,400 171,373 Others718 152 - - 1,468 152 21 Total revenues1,835,403 1,775,684 1,891,780 260,318 3,699,803 3,667,464 504,660 Cost of revenues(1,628,797)(1,482,431)(1,573,433)(216,512)(3,299,012)(3,055,864)(420,501)Gross profit206,606 293,253 318,347 43,806 400,791 611,600 84,159 Operating expenses: Selling and marketing expenses(129,253)(116,752)(125,708)(17,298)(217,306)(242,460)(33,364)General and administrative expenses(246,549)(218,695)(266,249)(36,637)(550,042)(484,944)(66,731)Research and development expenses(193,920)(231,963)(203,959)(28,066)(409,290)(435,922)(59,985)Impairment of long-lived assets- - - - (185,135)- - Total operating expenses(569,722)(567,410)(595,916)(82,001)(1,361,773)(1,163,326)(160,080)Operating loss(363,116)(274,157)(277,569)(38,195)(960,982)(551,726)(75,921)Interest income25,568 8,370 9,945 1,368 39,636 18,315 2,520 Interest expense(30,307)(51,066)(59,414)(8,176)(58,234)(110,480)(15,203)Foreign exchange loss(151,515)(42,737)(6,999)(963)(151,422)(49,736)(6,843)Other loss, net(11,841)(8,207)(7,829)(1,077)(19,787)(16,036)(2,207)Other income (expense), net37,781 (11,190)(4,961)(683)50,067 (16,151)(2,222)Loss before income taxes(493,430)(378,987)(346,827)(47,726)(1,100,722)(725,814)(99,876)Income tax (expense) benefit(4,842)15,371 (6,891)(948)(6,371)8,480 1,167 Net loss(498,272)(363,616)(353,718)(48,674)(1,107,093)(717,334)(98,709)Less: net income (loss) attributable to non-controlling interests1,073 (4,206)(542)(75)(760)(4,748)(653)Net loss attributable to Kingsoft Cloud Holdings Limited(499,345)(359,410)(353,176)(48,599)(1,106,333)(712,586)(98,056) Net loss per share: Basic and diluted(0.14)(0.10)(0.10)(0.01)(0.31)(0.20)(0.03)Shares used in the net loss per share computation: Basic and diluted3,554,529,097 3,614,662,846 3,649,307,331 3,649,307,331 3,547,111,168 3,632,583,338 3,632,583,338 Other comprehensive income (loss), net of tax of nil: Foreign currency translation adjustments238,614 20,704 (530)(73)208,781 20,174 2,776 Comprehensive loss(259,658)(342,912)(354,248)(48,747)(898,312)(697,160)(95,933)Less: Comprehensive income (loss) attributable to non-controlling interests1,059 (4,247)(570)(78)(775)(4,817)(663)Comprehensive loss attributable to Kingsoft Cloud Holdings Limited shareholders(260,717)(338,665)(353,678)(48,669)(897,537)(692,343)(95,270) KINGSOFT CLOUD HOLDINGS LIMITEDRECONCILIATION OF GAAP AND NON-GAAP RESULTS(All amounts in thousands, except for percentage) Three Months EndedSix Months Ended Jun 30, 2023Mar 31, 2024Jun 30, 2024Jun 30, 2024Jun 30, 2023Jun 30, 2024Jun 30, 2024 RMBRMBRMBUS$RMBRMBUS$ Gross profit206,606293,253318,34743,806400,791611,60084,159 Adjustments: - Share-based compensation expenses (allocated in cost of revenues)1695,8145,07669839310,8901,499 Adjusted gross profit (Non-GAAP Financial Measure)206,775299,067323,42344,504401,184622,49085,658 KINGSOFT CLOUD HOLDINGS LIMITEDRECONCILIATION OF GAAP AND NON-GAAP RESULTS(All amounts in thousands, except for percentage) Three Months EndedSix Months Ended Jun 30, 2023Mar 31, 2024Jun 30, 2024Jun 30, 2023Jun 30, 2024Gross margin11.3%16.5%16.8%10.8%16.7%Adjusted gross margin (Non-GAAP Financial Measure)11.3%16.8%17.1%10.8%17.0% KINGSOFT CLOUD HOLDINGS LIMITEDRECONCILIATION OF GAAP AND NON-GAAP RESULTS(All amounts in thousands, except for percentage) Three Months EndedSix Months Ended Jun 30, 2023Mar 31, 2024Jun 30, 2024Jun 30, 2024Jun 30, 2023Jun 30, 2024Jun 30, 2024 RMBRMBRMBUS$RMBRMBUS$ Net Loss(498,272)(363,616)(353,718)(48,674)(1,107,093)(717,334)(98,709) Adjustments: - Share-based compensation expenses31,797 103,595 45,649 6,282 43,106 149,244 20,537 - Foreign exchange loss151,515 42,737 6,999 963 151,422 49,736 6,843 - Impairment of long-lived assets- - - - 185,135 - - Adjusted net loss (Non-GAAP Financial Measure)(314,960)(217,284)(301,070)(41,429)(727,430)(518,354)(71,329) Adjustments: - Interest income(25,568)(8,370)(9,945)(1,368)(39,636)(18,315)(2,520) - Interest expense30,307 51,066 59,414 8,176 58,234 110,480 15,203 - Income tax expense (benefit)4,842 (15,371)6,891 948 6,371 (8,480)(1,167) - Depreciation and amortization243,984 223,146 305,304 42,011 510,519 528,450 72,717 Adjusted EBITDA (Non-GAAP Financial Measure)(61,395)33,187 60,594 8,338 (191,942)93,781 12,904 - Loss (gain) on disposal of property and equipment1,456 (23,821)- - 21,672 (23,821)(3,278) Excluding loss or gain on disposal of property and equipment, normalized Adjusted EBITDA(59,939)9,366 60,594 8,338 (170,270)69,960 9,626 KINGSOFT CLOUD HOLDINGS LIMITEDRECONCILIATION OF GAAP AND NON-GAAP RESULTS(All amounts in thousands, except for percentage) Three Months EndedSix Months Ended Jun 30, 2023Mar 31, 2024Jun 30, 2024Jun 30, 2023Jun 30, 2024Net loss margin-27.1%-20.5%-18.7%-29.9%-19.6%Adjusted net loss margin (Non-GAAP Financial Measure)-17.2%-12.2%-15.9%-19.7%-14.1%Adjusted EBITDA margin (Non-GAAP Financial Measure)-3.3%1.9%3.2%-5.2%2.6%Normalized Adjusted EBITDA margin-3.3%0.5%3.2%-4.6%1.9% KINGSOFT CLOUD HOLDINGS LIMITEDUNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS(All amounts in thousands) Three Months Ended Jun 30, 2023Mar 31, 2024Jun 30, 2024Jun 30, 2024 RMBRMBRMBUS$Net cash generated from (used in) operating activities65,230 (321,336)151,169 20,802 Net cash generated from (used in) investing activities256,816 (1,169,017)(654,829)(90,108)Net cash (used in) generated from financing activities(222,767)1,112,096 523,950 72,098 Effect of exchange rate changes on cash, cash equivalents and restricted cash57,623 (20,464)(14,646)(2,015)Net increase (decrease) in cash, cash equivalents and restricted cash156,902 (398,721)5,644 777 Cash, cash equivalents and restricted cash at beginning of period3,666,185 2,489,481 2,090,760 287,698 Cash, cash equivalents and restricted cash at end of period3,823,087 2,090,760 2,096,404 288,475 Market News and Data brought to you by Benzinga APIs