Q Results Presentation. November 2018

Transcription

1 Q3 Results Presentation November

2 Safe Harbor This presentation has been prepared by Viomi Technology Co., Ltd. ( Viomi or the Company ) solely for informational purposes and does not constitute an offer to sell or issue or the solicitation of an offer to buy or acquire securities of the Company in any jurisdiction or an inducement to enter into investment activity, nor may it or any part of it form the basis of or be relied on in connection with any contract or commitment whatsoever. This document has been prepared by the Company solely for use at this presentation. The information contained in this presentation, including the Company s unaudited result of operation for the first quarter of, has not been independently verified. No representation, warranty or undertaking, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or the opinions contained herein. None of the Company or any of its affiliates, directors, officers, advisors or representatives will be liable (in negligence or otherwise) for any loss howsoever arising from any use of this presentation or its contents or otherwise arising from or in connection with this presentation. This presentation contains statements that constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements include descriptions regarding the intent, belief or current expectations of the Company or its officers with respect to the consolidated results of operations and financial condition of the Company, which can be identified by terminology such as will, expects, anticipates, future, intends, plans, believes, estimates, confident and similar statements. Such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and actual results may differ from those in the forward-looking statements as a result of various factors and assumptions. The Company or any of its affiliates, directors, officers, advisors or representatives has no obligation and does not undertake to revise forward-looking statements to reflect new information, future events or circumstances after the date of this presentation, except as required by law. 2

3 Q3 Financial Highlights Net Revenues Net Revenue Growth Non-GAAP Net Income (1) Cash Flow from Operations RMB565.3 MM 170.9% Y-o-Y RMB38.7 MM RMB29.8 MM Note 1. Non-GAAP net income is defined as net income excluding share-based compensation expenses 3

4 Rapid Top-line Growth with Healthy Profitability Net Revenues Gross Profit Non-GAAP Net Income (1) (RMB MM) (RMB MM) (RMB MM) Margin 30.0% Margin 6.9% % % % Q Q3 Q Q3 Q Q3 Note 1. Non-GAAP net income is defined as net income excluding share-based compensation expenses 4

5 Robust Growth in IoT Products Business Q3 Net Revenues from IoT Products: RMB482.5 million Range Hood Water Purifier Connected Oven Steamer 1s Instant Heating Water Purifier Refrigerator 181.7% y-o-y growth Gas Stove Dish Washer Smart Door Lock Fan Successfully introduced ~15 new product lines in Sweeper Robot Magic Mirror Q3, including our 21 Face Smart Refrigerator, Viomi Two-in-One Smart Washer Dryer and Viomi Smart Water Heater products, Gas Water Heater Washing Machine VioV Water Heater among others Central Water Processing System Smart Curtain Smart Instant Heating Water Purifier Further complemented our IoT-enabled smart home product portfolio to enable a complete Home experience for our users Now 60+ product lines in IoT product portfolio VioV 5

6 Continued Increase in Household Users and Product Penetration Number of Household Users (1) ( 000) Percentage of Household Users with at least 2 Connected Products (1) ~1, % ~1, % Q2 Q3 Q2 Q3 Note 1. At end of respective period 6

7 Further Expansion of Nationwide Sales Channel Network Number of Viomi Offline Experience Stores (1) ~1,500 ~1,200 ~700 Q2 Q3 End- (Target) Note 1. At end of respective period 7

8 Strong Liquidity Position and Cash Flow Profile Cash and Cash Equivalents (1) (RMB MM) Cash Flow from Operations: RMB29.8 million Q Q Q3 Note 1. At end of respective period 8

9 Q4 and Full Year Outlook Q4 Net revenues: RMB850 million to RMB880 million representing year-over-year growth of approx % to 123.4% FY Net revenues: RMB2.46 billion to RMB2.49 billion representing year-over-year growth of approx % to 184.6% 9

10 Thank You! 10

11 Appendix Selected Unaudited Financial Data 11

12 Selected Unaudited Income Statement Data For the Three Months Ended September 30, For the Nine Months Ended September 30, (in thousands) 2017 (RMB) (RMB) (USD) 2017 (RMB) (RMB) (USD) Total Revenues 208, ,314 82, , , ,353 Total Cost of Revenues (141,464) (395,450) (57,579) (331,925) (1,146,080) (166,873) Gross Profit 67, ,864 24, , ,413 66,891 Operating Expenses Research and Development Expenses (12,808) (33,371) (4,859) (34,985) (82,418) (12,000) Selling and Marketing Expenses (20,786) (97,440) (14,188) (53,208) (244,029) (35,531) General and Administrative Expenses (2,862) (99,412) (14,475) (8,731) (114,249) (16,635) Total Operating Expenses (36,456) (230,223) (33,522) (96,924) (440,696) (64,166) Other Income (Expenses) 249 1, ,115 1, Income (Loss) from Operations 30,996 (59,154) (8,615) 52,558 20,070 2,922 Interest Income 765 2, ,691 5, Income (Loss) before Income Tax Expenses 31,761 (56,370) (8,210) 54,249 25,513 3,715 Income Tax Expenses (4,439) (3,465) (505) (8,008) (15,057) (2,192) Net Income (Loss) 27,322 (59,835) (8,715) 46,241 10,456 1,523 Share-based Compensation Expenses 1,244 98,584 14,355 5, ,358 15,486 Non-GAAP Net Income (1) 28,566 38,749 5,640 51, ,814 17,009 Note 1. Non-GAAP net income is defined as net income excluding share-based compensation expenses 12

13 Selected Unaudited Balance Sheet Data (in thousands) As of December 31, 2017 (RMB) As of September 30, (RMB) As of September 30, (USD) Assets Current Assets Cash and Cash Equivalents 279, , ,889 Accounts and Notes Receivable from Third Parties 4,348 87,958 12,807 Accounts Receivable from A Related Party 249, ,947 35,083 Other Receivables from Related Parties 57,608 59,061 8,599 Inventories 50, ,102 29,281 Prepaid Expenses and Other Assets 23,283 89,389 13,017 Total Current Assets 665,431 1,611, ,676 Total Non-current Assets 6,134 13,705 1,995 Total Assets 671,565 1,625, ,671 Current Liabilities Accounts Payable 291, ,133 60,445 Advances from Customers 27,015 64,731 9,425 Amount due to Related Parties 35,953 2, Accrued Expenses and Other Liabilities 61, ,308 19,118 Share-based Compensation Liabilities 4, Income Tax Payables 11,612 5, Total Current Liabilities 432, ,601 90,070 Non-current Liabilities Total Liabilities 432, ,825 90,103 Total Shareholders (Deficit) Equity (169,208) 1,006, ,568 Total Liabilities, Mezzanine Equity and Shareholders (Deficit) Equity 671,565 1,625, ,671 13