{"id":3273,"date":"2021-11-30T12:00:00","date_gmt":"2021-11-30T12:00:00","guid":{"rendered":"https:\/\/www.prnasia.com\/story\/archive\/3591163_CN91163_0"},"modified":"2021-11-30T12:00:00","modified_gmt":"2021-11-30T12:00:00","slug":"iclick-interactive-asia-group-limited-reports-2021-third-quarter-unaudited-financial-results","status":"publish","type":"post","link":"https:\/\/transmediavictoria.net.au\/?p=3273","title":{"rendered":"iClick Interactive Asia Group Limited Reports 2021 Third-Quarter Unaudited Financial Results"},"content":{"rendered":"\n\n\n
<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

– Enterprise Solutions achieves eighth consecutive quarter of record results –
– Marketing Solutions revenue grows 11% year-over-year to US$67 million<\/span> –<\/i><\/p>\n

HONG KONG<\/span>, Nov. 30, 2021<\/span> \/PRNewswire\/ — iClick Interactive Asia Group Limited (“iClick” or the “Company”) (Nasdaq: ICLK), a leading enterprise and marketing cloud platform in China<\/span> that empowers worldwide brands with full-stack consumer lifecycle solutions, today announced unaudited financial results for the third quarter ended September 30, 2021<\/span>.<\/p>\n

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<\/td>\n<\/td>\n\n

Three Months Ended September 30,<\/b><\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n<\/tr>\n
<\/td>\n<\/td>\n\n

2021<\/b><\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n\n

2020<\/b><\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n\n

Percentage<\/b><\/span><\/p>\n

change<\/b><\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n<\/tr>\n
<\/td>\n<\/td>\n\n

(US$ in thousands)<\/i><\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/tr>\n
<\/td>\n<\/td>\n\n

(Unaudited)<\/i><\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/tr>\n
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Financial Metrics:<\/b><\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/tr>\n
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Revenue<\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/tr>\n
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Marketing Solutions<\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n\n

66,556<\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n<\/td>\n\n

60,124<\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n<\/td>\n\n

11<\/span><\/p>\n<\/td>\n

\n

%<\/span><\/p>\n<\/td>\n

<\/td>\n<\/tr>\n
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Enterprise Solutions<\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n\n

20,261<\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n<\/td>\n\n

8,781<\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n<\/td>\n\n

131<\/span><\/p>\n<\/td>\n

\n

%<\/span><\/p>\n<\/td>\n

<\/td>\n<\/tr>\n
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Total revenue<\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n\n

86,817<\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n<\/td>\n\n

68,905<\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n<\/td>\n\n

26<\/span><\/p>\n<\/td>\n

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%<\/span><\/p>\n<\/td>\n

<\/td>\n<\/tr>\n
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Gross profit<\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n\n

21,718<\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n<\/td>\n\n

20,121<\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n<\/td>\n\n

8<\/span><\/p>\n<\/td>\n

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%<\/span><\/p>\n<\/td>\n

<\/td>\n<\/tr>\n
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Net loss<\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n\n

(2,632)<\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n<\/td>\n\n

(7,097)<\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n\n

N\/M<\/span><\/p>\n<\/td>\n

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Adjusted EBITDA[1]<\/sup><\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n\n

3,580<\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n<\/td>\n\n

4,701<\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n<\/td>\n\n

(24)<\/span><\/p>\n<\/td>\n

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%<\/span><\/p>\n<\/td>\n

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Adjusted net income[1]<\/sup><\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n\n

827<\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n<\/td>\n\n

2,424<\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n<\/td>\n\n

(66)<\/span><\/p>\n<\/td>\n

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%<\/span><\/p>\n<\/td>\n

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Diluted adjusted net income per American Depositary Shares
(“ADS”)[1]<\/sup><\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n\n

0.01<\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n<\/td>\n\n

0.03<\/span><\/p>\n<\/td>\n

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(67)<\/span><\/p>\n<\/td>\n

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%<\/span><\/p>\n<\/td>\n

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Operating Metrics:<\/b><\/span><\/p>\n<\/td>\n

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Gross billing<\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n\n

195,405<\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n<\/td>\n\n

167,084<\/span><\/p>\n<\/td>\n

<\/td>\n<\/td>\n<\/td>\n\n

17<\/span><\/p>\n<\/td>\n

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%<\/span><\/p>\n<\/td>\n

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[1]<\/sup> For more details on these non-GAAP financial measures, please see the tables captioned “Unaudited Reconciliations of GAAP and Non-GAAP Results” set forth at the end of this press release.<\/span><\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table><\/div>\n

Jian “T.J.” Tang, Chairman, Chief Executive Officer and Co-Founder of iClick, said, “iClick achieved the eighth consecutive quarter of record revenues in our Enterprise Solutions business, which grew 131% year-over-year to US$20 million<\/span> as demand for private domain traffic and online and offline integrations remained robust. Marketing Solutions revenues grew 11% year-over-year to US$67 million<\/span>, a deceleration from the growth in prior quarters due to the weak advertising environment.  <\/p>\n

“While China’s entire advertising sector was adversely affected by the changing regulatory environment and heightened macroeconomic uncertainties, we remain confident in the long-term growth of China’s<\/span> digital advertising industry. In response to current challenges, during the quarter we adopted a strategy to balance sales growth and profitability in order to maximize long-term client retention. With a strong and diverse clients portfolio, we believe we are well positioned to capture the growth opportunities when the market recovers. <\/p>\n

“By contrast, the demand for private domain traffic remains strong and we are capitalizing on this trend through continued investment in our Enterprise Solutions business. Our strong industry solutions, combined with our growing and a loyal client base, are driving strong revenue growth while offsetting volatility in the advertising environment among our brand clients. We will continue to invest in sales and marketing and research and development to support our focus on developing innovative products and further expanding our market share within key accounts clients. For example, we leveraged iSmartGo, our cross-border e-commerce solution, to empower a number of new and existing global brand clients to tap into the increased demand in China<\/span> for international products driven by the pandemic related travel restrictions. We will also devote more resources to developing “SaaS +X”, our enhanced SaaS model, which we believe will prevail over pure SaaS solutions currently available in China<\/span> given additional services and operational support. <\/p>\n

“In summary, we are encouraged by the continued outstanding growth in our Enterprise Solutions and will remain vigilant in preserving our market share in Marketing Solutions. With our clear strategies and solid execution capabilities, we are confident that iClick is well positioned to navigate the current challenging environment and deliver long-term sustainable value for our clients, employees and shareholders.”<\/p>\n

T<\/b>hird<\/b> Quarter 2021 Results:<\/b><\/p>\n

Revenue<\/b> for the third quarter of 2021 grew to US$86.8 million<\/span>, up 26% from US$68.9 million<\/span> for the same period of the prior year, attributable to the increase in contributions from Marketing Solutions and Enterprise Solutions. <\/p>\n

Revenue from Marketing Solutions<\/i> grew to US$66.6 million<\/span> for the third quarter of 2021, up 11% from US$60.1 million<\/span> for the third quarter of 2020, primarily as a result of growing market demand from specified action marketing campaigns.<\/p>\n

Revenue from Enterprise Solutions<\/i> was US$20.3 million<\/span> for the third quarter of 2021, up 131% from US$8.8 million<\/span> for the third quarter of 2020, primarily due to the increasing need for online and offline consumer behavior data integration and digital transformation.<\/p>\n

Gross profit<\/b> for the third quarter of 2021 was US$21.7 million<\/span>, increased 8% compared with US$20.1 million<\/span> for the third quarter of 2020, mainly due to contribution from higher-margin Enterprise Solutions.<\/p>\n

Total operating expenses<\/b> were US$24.1 million<\/span> for the third quarter of 2021, compared with US$20.0 million<\/span> for the third quarter of 2020, primarily due to an increase in share-based compensation expenses and incremental operating expenses incurred for the expansion of business scale.<\/p>\n

Operating loss<\/b> was US$2.3 million<\/span> for the third quarter of 2021, compared with an operating income of US$0.1 million<\/span> for the third quarter of 2020. This increase was as a result of an increase in share-based compensation expenses, and incremental operating expenses incurred for the expansion of business scale, which was partially offset by the growth in gross profit.<\/p>\n

Net loss<\/b> was US$2.6 million<\/span> for the third quarter of 2021, compared with net loss of US$7.1 million<\/span> for the third quarter of 2020. This decrease was mainly because the Company recorded the fair value losses of derivative liabilities and convertible notes of US$6.3 million<\/span> and US$1.4 million<\/span>, respectively, in the third quarter of 2020, while it did not incur such losses in the third quarter of 2021.<\/p>\n

Net loss attributable to the Company’s shareholders per basic and diluted ADS for the third quarter of 2021 were US$0.02, compared with a net loss attributable to the Company’s shareholders per basic and diluted ADS of US$0.08<\/span> for the third quarter of 2020. <\/p>\n

Adjusted EBITDA<\/b> for the third quarter of 2021 was US$3.6 million<\/span>, compared with US$4.7 million<\/span> for the third quarter of 2020. The decrease was mainly due to incremental operating expenses incurred for the expansion of business scale, which was partially offset by the growth in gross profit. For a reconciliation of the Company’s adjusted EBITDA from net loss, its most comparable GAAP measure, please refer to “Unaudited Reconciliations of GAAP and Non-GAAP Results.”<\/p>\n

Adjusted net income<\/b> for the third quarter of 2021 was US$0.8 million<\/span>, compared with an adjusted net income of US$2.4 million<\/span> in the third quarter of 2020. The decrease was mainly due to incremental operating expenses incurred for the expansion of business scale and increase in finance cost, which was partially offset by the growth in gross profit. For a reconciliation of the Company’s adjusted net income from net loss, its most comparable GAAP measure, please refer to “Unaudited Reconciliations of GAAP and Non-GAAP Results.”<\/p>\n

Gross billing<\/b>[2]<\/sup> was US$195.4 million<\/span> for the third quarter of 2021, increased 17% compared with US$167.1 million<\/span> for the third quarter of 2020, driven by increasing marketers’ demand mainly from fashion, food and beverage, premium and luxury sectors.<\/p>\n

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[2]<\/sup> Gross billing is defined as the aggregate dollar amount that clients have to pay the Company after deducting rebates paid and discounts given to.<\/span><\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table><\/div>\n

As of September 30, 2021<\/span>, the Company had cash and cash equivalents, time deposits and restricted cash of US$96.7 million<\/span>, compared with US$94.5 million<\/span> as of December 31, 2020<\/span>.<\/p>\n

Share Repurchase Program<\/b><\/p>\n

On December 10, 2020<\/span>, the Company announced a share repurchase program in which it may purchase its own ADSs with an aggregate value of up to US$15.0 million<\/span> from December 30, 2020<\/span> to December 31, 2021<\/span>. In addition, our board of directors authorized the Company to upsize the share repurchase program from US$15 million<\/span> to US$25 million<\/span> on August 25, 2021<\/span>. As of September 30, 2021<\/span>, the aggregate value of purchased shares was approximately US$7.4 million<\/span>.<\/p>\n

Outlook<\/b><\/p>\n

Based on the information available as of the date of this press release, iClick provides the following outlook for the full year 2021: <\/p>\n