Indicate by check mark whether the registrant files or will file annual
reports under cover of Form 20-F or Form 40-F.
Pursuant to the requirements of the Securities Exchange
Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Exhibit 99.1
Weibo Announces First Quarter 2026
Unaudited Financial Results
BEIJING, China – May 28, 2026
– Weibo Corporation (“Weibo” or the “Company”) (Nasdaq: WB and HKEX: 9898), a leading social media in China,
today announced its unaudited financial results for the first quarter ended March 31, 2026.
“We are pleased with the first
quarter results,” said Gaofei Wang, CEO of Weibo. “On the user and product front, we optimized the homepage feed consumption
experience and enhanced supply and distribution of quality video content, driving user retention and engagement on our platform. On the
content ecosystem front, we enhanced user content consumption efficiency and engagement by improving the quality of trending content,
deepening community interaction, and strengthening AI-powered search capabilities. On the monetization front, our advertising business
exhibited stabilized trend in the first quarter. We continued to expand our unique content marketing approach across more industries and
clients, while leveraging AI to systematically improve advertising conversion effectiveness.”
First Quarter 2026 Highlights
| · | Net
revenues were US$421.3 million, an increase of 6% year-over-year or an increase of 1% year-over-year on a constant currency basis [1]. |
| · | Advertising and marketing revenues were US$369.8 million, an increase of 9% year-over-year
or an increase of 3% year-over-year on a constant currency basis [1]. |
| · | Value-added
services ("VAS") revenues were US$51.6 million, a decrease of 11% year-over-year or a decrease of 15% year-over-year on a constant
currency basis [1]. |
| · | Income from operations was US$110.9 million, representing an operating margin of 26%. |
| · | Net income attributable to Weibo’s shareholders was US$34.7 million and diluted
net income per share was US$0.14. |
| · | Non-GAAP income from operations was US$119.8 million, representing a non-GAAP operating
margin of 28%. |
| · | Non-GAAP net income attributable to Weibo’s shareholders was US$91.9 million
and non-GAAP diluted net income per share was US$0.34. |
| · | Monthly active users ("MAUs") were 562 million in March 2026. |
| · | Average daily active users ("DAUs") were 254 million in March 2026. |
[1]
We define constant currency (non-GAAP) by assuming that the average exchange rate in the first quarter of 2026 was the same as it was
in the first quarter of 2025, or RMB7.25=US$1.00.
First Quarter 2026 Financial Results
For the first
quarter of 2026, Weibo’s total net revenues were US$421.3 million, an increase of 6% compared
to US$396.9 million for the same period last year.
Advertising and marketing revenues for
the first quarter of 2026 were US$369.8 million, an increase of 9% compared to US$339.1 million for the same period last year. Advertising
and marketing revenues excluding advertising revenues from Alibaba were US$326.5 million, an increase of 10% compared to US$296.5 million
for the same period last year. The increase mainly resulted from favorable foreign exchange impact on the reported numbers as well as
incremental advertising demand from certain sectors, such as internet services, automobile and local services. Advertising and marketing
revenues from Alibaba were US$43.3 million, an increase of 2% compared to US$42.6 million for the same period last year.
VAS revenues for the first quarter of 2026
were US$51.6 million, a decrease of 11% compared to US$57.7 million for the same period last year, primarily due to less revenue contribution
from game-related business.
Costs and expenses for the first quarter of 2026
totaled US$310.4 million, an increase of 8% compared to US$286.5 million for the same period last year, mainly due to the increase of
ad production cost and marketing expense, partially offset by the decrease of general and administrative expense.
Income from operations for the first quarter
of 2026 was US$110.9 million, compared to US$110.3 million for the same period last year. Operating margin was 26%, compared to 28% last
year. Non-GAAP income from operations was US$119.8 million, compared to US$129.5 million for the same period last year. Non-GAAP operating
margin was 28%, compared to 33% last year.
Non-operating loss for the first quarter
of 2026 was US$59.9 million, compared to non-operating income of US$22.1 million for the same period last year. Non-operating loss for
the first quarter of 2026 mainly included (i) loss from fair value change of investments of US$35.0 million, which was excluded under
non-GAAP measures; and (ii) net interest and other loss of US$24.9 million, which included equity pick up losses of US$22.1 million.
Income tax expenses for the first quarter of
2026 were US$15.7 million, compared to US$24.3 million for the same period last year. The decrease in tax expenses in the first
quarter of 2026 was mainly due to the reversal of US$6.7 million deferred tax liability related to equity pick up losses which was recognized in prior periods.
Net income attributable to Weibo’s
shareholders for the first quarter of 2026 was US$34.7 million, compared to US$107.0 million for the same period last year. Diluted net
income per share attributable to Weibo’s shareholders for the first quarter of 2026 was US$0.14, compared to US$0.41 for the same
period last year. Non-GAAP net income attributable to Weibo’s shareholders for the first quarter of 2026 was US$91.9 million, compared
to US$119.5 million for the same period last year. Non-GAAP diluted net income per share attributable to Weibo’s shareholders for
the first quarter of 2026 was US$0.34, compared to US$0.45 for the same period last year.
As of March 31, 2026, Weibo’s cash, cash equivalents
and short-term investments totaled US$2.59 billion. For the first quarter of 2026,
cash provided by operating activities was US$164.0 million, capital expenditures totaled US$11.9 million, and depreciation and amortization
expenses amounted to US$15.5 million.
Conference Call
Weibo's management team will host a conference
call from 7:00 AM to 8:00 AM Eastern Time on May 28, 2026 (or 7:00 PM to 8:00 PM Beijing Time on May 28, 2026) to present an overview
of the Company's financial performance and business operations.
Participants who wish to dial in to the teleconference
must register through the below public participant link. Dial-in and instructions will be provided in the confirmation email upon registering.
Participants Registration Link:
https://register-conf.media-server.com/register/BIb549b1f6935046d98b52a0fe61be918e
Additionally, a live and archived webcast of this
conference call will be available at http://ir.weibo.com.
Non-GAAP Financial Measures
This release contains the following non-GAAP
financial measures: non-GAAP income from operations, non-GAAP net income attributable to Weibo’s shareholders, non-GAAP diluted
net income per share attributable to Weibo’s shareholders and adjusted EBITDA. These non-GAAP financial measures should be considered
in addition to, not as a substitute for, measures of the Company’s financial performance prepared in accordance with U.S. GAAP.
The Company’s non-GAAP financial
measures exclude stock-based compensation, amortization of intangible assets resulting from business acquisitions, net results of impairment
and provision on investments, gain/loss on sale of investments and fair value change of investments, non-GAAP to GAAP reconciling items
on the share of equity method investments, non-GAAP to GAAP reconciling items for the income/loss attributable to non-controlling interests,
income tax expense related to the amortization of intangible assets resulting from business acquisitions and fair value change of investments
(other non-GAAP to GAAP reconciling items have no tax effect), and amortization of issuance cost of convertible senior notes, unsecured
senior notes and long-term loans. Adjusted EBITDA represents non-GAAP net income attributable to Weibo’s shareholders before interest
income/expense, net, income tax expenses/benefits, and depreciation expenses.
The Company’s management uses these
non-GAAP financial measures in their financial and operating decision-making, because management believes these measures reflect the Company’s
ongoing operating performance in a manner that allows more meaningful period-to-period comparisons. The Company believes that these non-GAAP
financial measures provide useful information to investors and others in the following ways: (i) in comparing the Company’s current
financial results with the Company’s past financial results in a consistent manner, and (ii) in understanding and evaluating the
Company’s current operating performance and future prospects in the same manner as management does. The Company also believes that
the non-GAAP financial measures provide useful information to both management and investors by excluding certain expenses, gains/losses
and other items (i) that are not expected to result in future cash payments or (ii) that are non-recurring in nature or may not be indicative
of the Company’s core operating results and business outlook.
Use of non-GAAP financial measures has
limitations. The Company’s non-GAAP financial measures do not include all income and expense items that affect the Company’s
operations. They may not be comparable to non-GAAP financial measures used by other companies. Accordingly, care should be exercised in
understanding how the Company defines its non-GAAP financial measures. Reconciliations of the Company’s non-GAAP financial measures
to the nearest comparable GAAP measures are set forth in the section below titled “Unaudited Reconciliation of Non-GAAP to GAAP
Results.”
About Weibo
Weibo is a leading social media for
people to create, share and discover content online. Weibo combines the means of public self-expression in real time with a powerful platform
for social interaction, content aggregation and content distribution. Any user can create and post a feed and attach multi-media and long-form
content. User relationships on Weibo may be asymmetric; any user can follow any other user and add comments to a feed while
reposting. This simple, asymmetric and distributed nature of Weibo allows an original feed to become a live viral conversation
stream.
Weibo enables its advertising and
marketing customers to promote their brands, products and services to users. Weibo offers a wide range of advertising and marketing
solutions to companies of all sizes. Weibo generates a substantial majority of its revenues from the sale of advertising and marketing
services, including the sale of social display advertisement and promoted marketing offerings. Weibo displays content in a simple information
feed format and offers native advertisement that conforms to the information feed on our platform. We are continuously refining our
social interest graph recommendation engine, which enables our customers to perform people marketing and target audiences based on user
demographics, social relationships, interests and behaviors, to achieve greater relevance, engagement and marketing effectiveness.
Safe Harbor Statement
This press release 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,” “confidence,” “estimates”
and similar statements. Among other things, Weibo’s expected financial performance and strategic and operational plans, as described,
without limitation, in quotations from management in this press release, contain forward-looking statements. Weibo may also make written
or oral forward-looking statements in the Company’s periodic reports to the U.S. Securities and Exchange Commission (“SEC”),
in announcements, circulars or other publications made on the website of The Stock Exchange of Hong Kong Limited (the “Hong Kong
Stock Exchange”), in press releases and other written materials and in oral statements made by its officers, directors or employees
to third parties. 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 important factors could cause
actual results to differ materially from those contained in any forward-looking statement. Potential risks and uncertainties include,
but are not limited to, Weibo’s limited operating history in certain new businesses; failure to sustain or grow active user base
and the level of user engagement; the uncertain regulatory landscape in China; fluctuations in the Company’s quarterly operating
results; the Company’s reliance on advertising and marketing sales for a majority of its revenues; failure to successfully develop,
introduce, drive adoption of or monetize new features and products; failure to compete effectively for advertising and marketing spending;
failure to successfully integrate acquired businesses; risks associated with the Company’s investments, including equity pick-up
and impairment; failure to compete successfully against new entrants and established industry competitors; changes in the macro-economic
environment, including the depreciation of the Renminbi; and adverse changes in economic and political policies of the PRC government
and its impact on the Chinese economy. Further information regarding these and other risks is included in Weibo’s annual reports
on Form 20-F and other filings with the SEC and the Hong Kong Stock Exchange. All information provided in this press release is current
as of the date hereof, and Weibo assumes no obligation to update such information, except as required under applicable law.
Contact:
Investor Relations
Weibo Corporation
Phone: +86 10 5898-3336
Email: ir@staff.weibo.com
WEIBO CORPORATION
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands of U.S.
dollars and in thousands for shares, except per share data)
| |
|
Three months ended |
| |
|
March 31, |
|
|
March 31, |
|
| |
|
2025 |
|
|
2026 |
|
| Net revenues: |
|
|
|
|
|
|
|
|
| Advertising and marketing |
|
$ |
339,106 |
|
|
$ |
369,755 |
|
| Value-added services |
|
|
57,749 |
|
|
|
51,570 |
|
| Net revenues |
|
|
396,855 |
|
|
|
421,325 |
|
| |
|
|
|
|
|
|
|
|
| Costs and expenses: |
|
|
|
|
|
|
|
|
| Cost of revenues (1) |
|
|
88,802 |
|
|
|
117,743 |
|
| Sales and marketing (1) |
|
|
95,810 |
|
|
|
112,297 |
|
| Product development (1) |
|
|
76,021 |
|
|
|
73,497 |
|
| General and administrative (1) |
|
|
25,912 |
|
|
|
6,867 |
|
| Total costs and expenses |
|
|
286,545 |
|
|
|
310,404 |
|
| Income from operations |
|
|
110,310 |
|
|
|
110,921 |
|
| |
|
|
|
|
|
|
|
|
| Non-operating income (loss): |
|
|
|
|
|
|
|
|
| Investment related income (loss), net |
|
|
8,357 |
|
|
|
(35,031 |
) |
| Interest and other income (loss), net |
|
|
13,746 |
|
|
|
(24,884 |
) |
| |
|
|
22,103 |
|
|
|
(59,915 |
) |
| |
|
|
|
|
|
|
|
|
| Income before income tax expenses |
|
|
132,413 |
|
|
|
51,006 |
|
| Less: Income tax expenses |
|
|
24,291 |
|
|
|
15,672 |
|
| |
|
|
|
|
|
|
|
|
| Net income |
|
|
108,122 |
|
|
|
35,334 |
|
| Less: Net income attributable to non-controlling interests |
|
|
334 |
|
|
|
424 |
|
| Accretion to redeemable non-controlling interests |
|
|
824 |
|
|
|
195 |
|
| Net income attributable to Weibo’s shareholders |
|
$ |
106,964 |
|
|
$ |
34,715 |
|
| |
|
|
|
|
|
|
|
|
| Basic net income per share attributable to Weibo’s
shareholders |
|
$ |
0.45 |
|
|
$ |
0.15 |
|
| Diluted net income per share attributable to Weibo’s
shareholders |
|
$ |
0.41 |
|
|
$ |
0.14 |
|
| |
|
|
|
|
|
|
|
|
| Shares used in computing basic net income per share
attributable to Weibo’s shareholders |
|
|
238,284 |
|
|
|
239,365 |
|
| Shares used in computing diluted net income per share attributable to Weibo’s shareholders |
|
|
266,494 |
|
|
|
270,121 |
|
| |
|
|
|
|
|
|
|
|
| (1) Stock-based compensation in each category: |
|
|
|
|
|
|
|
|
| Cost of revenues |
|
$ |
1,239 |
|
|
$ |
446 |
|
| Sales and marketing |
|
|
2,929 |
|
|
|
787 |
|
| Product development |
|
|
6,840 |
|
|
|
1,920 |
|
| General and administrative |
|
|
4,039 |
|
|
|
1,383 |
|
WEIBO CORPORATION
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands of U.S. dollars)
| |
|
As of |
|
| |
|
December 31, |
|
|
March 31, |
|
| |
|
2025 |
|
|
2026 |
|
| Assets |
|
|
|
|
|
|
|
|
| Current assets: |
|
|
|
|
|
|
|
|
| Cash and cash equivalents |
|
$ |
2,298,941 |
|
|
$ |
1,516,544 |
|
| Short-term investments |
|
|
106,139 |
|
|
|
1,077,669 |
|
| Accounts receivable, net |
|
|
400,209 |
|
|
|
348,327 |
|
| Prepaid expenses and other current assets |
|
|
330,356 |
|
|
|
339,694 |
|
| Amount due from SINA(1) |
|
|
441,143 |
|
|
|
433,992 |
|
| Current assets subtotal |
|
|
3,576,788 |
|
|
|
3,716,226 |
|
| |
|
|
|
|
|
|
|
|
| Property and equipment, net |
|
|
282,442 |
|
|
|
283,428 |
|
| Goodwill and intangible assets, net |
|
|
265,573 |
|
|
|
264,596 |
|
| Long-term investments |
|
|
1,663,346 |
|
|
|
1,615,457 |
|
| Other non-current assets |
|
|
1,303,037 |
|
|
|
1,313,890 |
|
| Total assets |
|
$ |
7,091,186 |
|
|
$ |
7,193,597 |
|
| |
|
|
|
|
|
|
|
|
| Liabilities, Redeemable Non-controlling Interests and Shareholders’ Equity |
|
|
|
|
|
|
|
|
| Liabilities: |
|
|
|
|
|
|
|
|
| Current liabilities: |
|
|
|
|
|
|
|
|
| Accounts payable |
|
$ |
248,977 |
|
|
$ |
246,496 |
|
| Accrued expenses and other current liabilities |
|
|
648,492 |
|
|
|
642,547 |
|
| Income taxes payable |
|
|
80,049 |
|
|
|
95,663 |
|
| Deferred revenues |
|
|
78,315 |
|
|
|
95,652 |
|
| Dividends payable |
|
|
- |
|
|
|
149,748 |
|
| Current liabilities subtotal |
|
|
1,055,833 |
|
|
|
1,230,106 |
|
| |
|
|
|
|
|
|
|
|
| Long-term liabilities: |
|
|
|
|
|
|
|
|
| Convertible senior notes |
|
|
323,944 |
|
|
|
324,729 |
|
| Unsecured senior notes |
|
|
745,630 |
|
|
|
745,872 |
|
| Long-term loans |
|
|
793,976 |
|
|
|
794,892 |
|
| Other long-term liabilities |
|
|
164,240 |
|
|
|
165,232 |
|
| Total liabilities |
|
|
3,083,623 |
|
|
|
3,260,831 |
|
| |
|
|
|
|
|
|
|
|
| Redeemable non-controlling interests |
|
|
32,828 |
|
|
|
17,152 |
|
| |
|
|
|
|
|
|
|
|
| Shareholders’ equity : |
|
|
|
|
|
|
|
|
| Weibo shareholders’ equity |
|
|
3,920,729 |
|
|
|
3,860,418 |
|
| Non-controlling interests |
|
|
54,006 |
|
|
|
55,196 |
|
| Total shareholders’ equity |
|
|
3,974,735 |
|
|
|
3,915,614 |
|
| Total liabilities, redeemable non-controlling interests and shareholders’ equity |
|
$ |
7,091,186 |
|
|
$ |
7,193,597 |
|
(1) Included short-term
loans to and interest receivable from SINA of US$401.9 million as of December 31, 2025 and US$397.9 million as of March 31, 2026.
WEIBO CORPORATION
UNAUDITED RECONCILIATION OF NON-GAAP TO GAAP RESULTS
(In thousands of U.S.
dollars and in thousands for shares, except per share data)
| | |
Three months ended | |
| | |
March 31, | | |
March 31, | |
| | |
2025 | | |
2026 | |
| Income from operations | |
$ | 110,310 | | |
$ | 110,921 | |
| Add : Stock-based compensation | |
| 15,047 | | |
| 4,536 | |
| Amortization of intangible assets resulting from business acquisitions | |
| 4,122 | | |
| 4,345 | |
| Non-GAAP income from operations | |
$ | 129,479 | | |
$ | 119,802 | |
| | |
| | | |
| | |
| Net income attributable to Weibo’s shareholders | |
$ | 106,964 | | |
$ | 34,715 | |
| Add: Stock-based compensation | |
| 15,047 | | |
| 4,536 | |
| Amortization of intangible assets resulting from business acquisitions | |
| 4,122 | | |
| 4,345 | |
| Investment related gain/loss, net (1) | |
| (8,357 | ) | |
| 35,031 | |
| Non-GAAP to GAAP reconciling items on the share of equity method investments | |
| 1,039 | | |
| 17,776 | |
| Non-GAAP to GAAP reconciling items for the income/loss attributable to non-controlling interests | |
| (492 | ) | |
| (524 | ) |
| Tax effects on non-GAAP adjustments (2) | |
| (734 | ) | |
| (5,894 | ) |
| Amortization of issuance cost of convertible senior notes, unsecured senior notes and long-term loans | |
| 1,943 | | |
| 1,943 | |
| Non-GAAP net income attributable to Weibo’s shareholders | |
$ | 119,532 | | |
$ | 91,928 | |
| | |
| | | |
| | |
| Non-GAAP diluted net income per share attributable to Weibo’s shareholders | |
$ | 0.45 | * | |
$ | 0.34 | * |
| | |
| | | |
| | |
| Shares used in computing GAAP diluted net income per share attributable to Weibo’s shareholders | |
| 266,494 | | |
| 270,121 | |
| Shares used in computing non-GAAP diluted net income per share attributable to Weibo’s shareholders | |
| 266,494 | | |
| 270,121 | |
| | |
| | | |
| | |
| Adjusted EBITDA: | |
| | | |
| | |
| Net income attributable to Weibo’s shareholders | |
$ | 106,964 | | |
$ | 34,715 | |
| Non-GAAP adjustments | |
| 12,568 | | |
| 57,213 | |
| Non-GAAP net income attributable to Weibo’s shareholders | |
| 119,532 | | |
| 91,928 | |
| Interest (income) expense, net | |
| (13,986 | ) | |
| 2,394 | |
| Income tax expenses | |
| 25,025 | | |
| 21,566 | |
| Depreciation expenses | |
| 9,149 | | |
| 10,865 | |
| Adjusted EBITDA | |
$ | 139,720 | | |
$ | 126,753 | |
| | |
| | | |
| | |
| Net revenues | |
$ | 396,855 | | |
$ | 421,325 | |
| | |
| | | |
| | |
| Non-GAAP operating margin | |
| 33 | % | |
| 28 | % |
| (1) | To adjust impairment and provision on investments, gain/loss
on sale of investments and fair value change of investments. |
| (2) | To adjust the income tax effects of non-GAAP adjustments, which
primarily related to amortization of intangible assets resulting from business acquisitions and fair value change of investments. Other
non-GAAP adjustment items have no tax effect, because (i) they were recorded in entities established in tax free jurisdictions, or (ii)
full valuation allowances were provided for related deferred tax assets as it is more-likely-than-not they will not be realized. |
| * | Net income attributable
to Weibo’s shareholders is adjusted for interest expense of convertible senior notes
for calculating diluted EPS. |
WEIBO CORPORATION
UNAUDITED ADDITIONAL INFORMATION
(In thousands of U.S. dollars)
| |
|
Three months ended |
| |
|
March
31,
2025 |
|
|
March
31,
2026 |
|
| Net revenues |
|
|
|
|
|
|
|
|
| Advertising and marketing |
|
|
|
|
|
|
|
|
| Non-Ali advertisers |
|
$ |
296,494 |
|
|
$ |
326,503 |
|
| Alibaba |
|
|
42,612 |
|
|
|
43,252 |
|
| Subtotal |
|
|
339,106 |
|
|
|
369,755 |
|
| |
|
|
|
|
|
|
|
|
| Value-added services |
|
|
57,749 |
|
|
|
51,570 |
|
| |
|
$ |
396,855 |
|
|
$ |
421,325 |
|
