E-House Announces Proposed Transfer of E-House Capital Asset Management Business to Jupai and Jupai’s Confidential Submission of Draft Registration Statement

SHANGHAI, April 7, 2015 /PRNewswire-FirstCall/ — E-House (China) Holdings Limited (“E-House”) (NYSE: EJ), a leading real estate services company in China, today announced that it has entered into a definitive agreement (the “Definitive Agreement”) with Jupai Holdings Limited (“Jupai”), a leading third-party wealth management service provider in China, regarding the proposed transfer of E-House Capital, the asset management business unit of E-House focusing on the design and management of real estate or related investment projects and funds, to Jupai (the “Transaction”). E-House, through E-House (China) Capital Investment Management Limited (“E-House Investment”), a wholly owned subsidiary of E-House, currently owns approximately 33% of the total issued and outstanding shares of Jupai.

The asset management business of E-House Capital is currently operated by Scepter Pacific Limited, a company incorporated in the British Virgin Islands (“Scepter Pacific”), and its subsidiaries and consolidated entities. E-House, through E-House Investment, owns 51% of Scepter Pacific, while Reckon Capital Limited, a company incorporated in the British Virgin Islands (“Reckon Capital”), owns the remaining 49%. Reckon Capital is majority owned by Mr. Xin Zhou, who is the chief executive officer and co-chairman of E-House. Under the Definitive Agreement, E-House Investment and Reckon Capital will transfer all of their respective equity interests in Scepter Pacific in exchange for Jupai’s issuance, on a pro rata basis, to E-House Investment and Reckon Capital an aggregate number of Jupai’s ordinary shares equal to 20% of Jupai’s total post-issuance equity interest on a fully diluted basis (without giving effect to shares issued in the proposed initial public offering of Jupai) upon completion of a proposed initial public offering of Jupai and listing of Jupai’s American depositary shares representing its ordinary shares on a major stock exchange in the U.S. (the “Proposed IPO”). The closing of the Transaction is conditional upon the closing of the Proposed IPO and certain other customary closing conditions. Immediately upon the closing of the Transaction and the Proposed IPO, E-House will become the largest shareholder of Jupai with an approximately 37% equity interest in Jupai (without giving effect to the shares issued in the Proposed IPO).

E-House also announced today that Jupai has submitted, on a confidential basis, a draft registration statement on Form F-1 in compliance with the U.S. Securities Act of 1933, as amended (the “Securities Act”) to the U.S. Securities and Exchange Commission (the “SEC”) for the Proposed IPO. The Proposed IPO is expected to commence as capital markets conditions permit and is subject to Jupai’s public filing of the registration statement with the SEC in compliance with the Securities Act, and the SEC declaring such registration statement effective. The proposed number of American depositary shares to be offered and sold in the Proposed IPO has not yet been determined.

This announcement is being made pursuant to and in accordance with Rule 135 under the Securities Act. This press release is not intended to, and does not, constitute an offer to sell or a solicitation of an offer to purchase any securities, in the United States or elsewhere, and it is not intended to, and does not, constitute an offer, solicitation or sale of any securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful. Any public offering of securities to be made in the United States will be made by means of a prospectus that may be obtained from the issuer or the selling security holder and that will contain detailed information about the issuer and management, as well as financial statements.

About E-House

E-House (China) Holdings Limited (“E-House”) (NYSE: EJ) is China’s leading real estate services company with a nationwide network covering more than 250 cities. E-House offers a wide range of services to the real estate industry, including real estate online services through our 70%-owned subsidiary, Leju Holdings Limited (NYSE: LEJU), primary sales agency, secondary brokerage, information and consulting, offline advertising and promotion, real estate investment management and financial services, and community value-added services. E-House has received numerous awards for its innovative and high-quality services, including “China’s Best Company” from the National Association of Real Estate Brokerage and Appraisal Companies and “China Enterprises with the Best Potential” from Forbes. For more information about E-House, please visit http://www.ehousechina.com.

Safe Harbor: Forward-Looking Statements

This announcement contains forward-looking statements. These statements are made under the “safe harbor” provisions of Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates,” “may,” “intend,” “confident,” “is currently reviewing,” “it is possible,” “subject to” and similar statements. Among other things, the quotations from management and discussion of the Proposed IPO in this press release contain forward-looking statements. E-House or Jupai may also make written or oral forward-looking statements in its reports filed or furnished with the U.S. Securities and Exchange Commission. Statements that are not historical facts, including statements about beliefs and expectations of E-House or Jupai, are forward-looking statements and are subject to change, and such change may be material and may have a material adverse effect on E-House’s or Jupai’s financial condition and results of operations for one or more prior periods. Forward-looking statements involve inherent risks and uncertainties. For example, the Transaction and the Proposed IPO may not be consummated or may not result in the benefits that we anticipate. A number of important factors could cause actual results to differ materially from those contained, either expressly or impliedly, in any of the forward-looking statements in this press release. Potential risks and uncertainties include, but are not limited to, difficulties in integrating the transferred businesses, changes in market conditions that may prevent or delay the Proposed IPO, a severe or prolonged downturn in the global economy and other risks outlined in E-House’s and Jupai’s filings with the U.S. Securities and Exchange Commission. All information provided in this press release is current as of the date of this press release, and neither E-House nor Jupai undertakes any obligation to update any such information, except as required under applicable law.

For investor and media inquiries please contact:

Ms. Michelle Yuan
Director of Investor Relations
E-House (China) Holdings Limited
Phone: +86 (21) 6133-0754
E-mail: michelleyuan@ehousechina.com

Mr. Derek Mitchell
Ogilvy Financial
In the U.S.: +1 (646) 867-1888
In China: +86 (10) 8520-6139
E-mail: ej@ogilvy.com

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E-House Reports Fourth Quarter and Full Year 2014 Results and Declares Cash Dividend

SHANGHAI, March 18, 2015 /PRNewswire/ — E-House (China) Holdings Limited (“E-House” or the “Company”) (NYSE: EJ), a leading real estate services company in China, today announced its unaudited financial results for the fiscal quarter and full year ended December 31, 2014.

Fourth Quarter 2014 Highlights

  • Total revenues increased by 22% year-on-year to $312.3 million
    • Revenues from real estate online services increased by 36% year-on-year to $171.8 million, including $124.5 million in revenues from e-commerce services, which grew by 61% year-on-year
    • Revenues from real estate information and consulting services increased by 30% year-on-year to $31.7 million
    • Revenues from primary real estate agency services increased by  6% year-on-year to $95.0 million
  • Non-GAAP[1] income from operations was $39.7 million; excluding spending of $11.7 million in new business units (community value-added services and real estate financial services) launched in 2014, non-GAAP income from operations was $51.5 million
  • Non-GAAP net income attributable to E-House shareholders was $25.9 million, or $0.14 per diluted American depositary share (“ADS”)

[1] E-House uses in this press release the following non-GAAP financial measures: (1) income (loss) from operations, (2) net income (loss), (3) net income (loss) attributable to E-House shareholders, (4) net income (loss) attributable to E-House shareholders per basic ADS, and (5) net income (loss) attributable to E-House shareholders per diluted ADS, each of which excludes share-based compensation expense and amortization of intangible assets resulting from business acquisitions. See “About Non-GAAP Financial Measures” and “Unaudited Reconciliation of GAAP and Non-GAAP Results” below for more information about the non-GAAP financial measures included in this press release.

Full Year 2014 Financial Highlights

  • Total revenues increased by 24% year-on-year to $904.5 million
    • Revenues from real estate online services increased by 48% year-on-year to $495.9 million, including $326.7 million in revenues from e-commerce services, which grew by 92% year-on-year
    • Revenues from real estate information and consulting services increased by 8% year-on-year to $82.7 million
    • Revenues from primary real estate agency services increased by 2% year-on-year to $273.9 million
  • Non-GAAP income from operations was $99.1 million; excluding spending of $19.9 million in new business units (community value-added services and real estate financial services) launched in 2014, non-GAAP income from operations was $119.0 million
  • Non-GAAP net income attributable to E-House shareholders was $70.9 million, or $0.46 per diluted ADS

Xin Zhou, E-House’s co-chairman and CEO, said, “We achieved strong revenue growth in 2014 despite overall weakness in China’s real estate market. This was driven primarily by continued high growth of our online services unit Leju, which became a stand-alone public company in April 2014. In addition, our real estate information and consulting services and primary real estate agency services continued to grow as well in 2014, due to solid execution by our team.”

Mr. Zhou continued, “While our existing business units continued to deliver solid growth, we launched two new business units in the second half of 2014 to broaden our service scope from serving mainly home buyers to home owners as well, and to help position our company for continued growth well into the future. The two new business units, community value-added services and real estate financial services, have seen very encouraging early results within the first several months of their operations and are reflective of the types of innovative products and services we aim to bring to our customers. Our real estate financial services peer-to-peer platform ‘Fang Jin Suo’ has introduced a variety of real estate-related financial products since its launch and has attracted over 14,000 individuals, resulting in over $47 million of transaction flows through the platform. Our mobile community services app ‘Shi Hui’ attracts significant mobile users by offering free products and services, mostly supplied by retailers and service providers, and has already grown its user base to more than 3.3 million, with approximately 390,000 daily active users. Retailers and service providers have found Shi Hui more effective in brand promotion than regular mobile ads due to active user engagement and participation. In addition, a portion of Shi Hui users are directed to the official websites of these retailers and service providers for additional opportunities to win free awards and discounts, driving increased online traffic to these websites. Due to the unique mobile marketing solutions Shi Hui provides, retailers and service providers have increased their activities on Shi Hui by providing nearly RMB4 billion (approximately US$650 million) worth of free offers and discounts. In addition, Shi Hui has also been used as a community social network app as it groups its users by their residential compounds, office buildings or schools. Because of Shi Hui’s initial success, we expanded its operations from Shanghai and Beijing to a total of 10 cities as of the end of 2014 and expect to continue expanding into at least 50 cities in 2015. We believe both Shi Hui and Fang Jin Suo complement our existing services and will add new potential growth drivers to the company. Therefore, we plan to invest $200 million to $300 million in these new businesses during the next two years.”

Bin Laurence, E-House’s CFO, said, “We are very pleased that E-House achieved top-line growth in all of our existing business segments in 2014, despite a difficult real estate market with overall real estate transaction volume reductions. Our margins have been impacted by our spending on new business initiatives; yet, excluding the new business-related expenditures, we achieved profitability in both Leju and E-House’s remaining businesses, as well as solid growth in operating income. Based on the initial results that we have seen, we believe the investments in our new businesses will create additional value for our shareholders. Furthermore, we continued to pay attractive dividends in the form of a special dividend which included both cash and shares in Leju in January 2015, and a cash dividend that we are announcing today.”

Fourth Quarter 2014 Results

Total revenues were $312.3 million, an increase of 22% from $255.4 million for the same quarter of 2013, primarily driven by the growth of revenues from real estate online services.

Revenues from real estate online services were $171.8 million, an increase of 36% from $126.3 million for the same quarter of 2013, mainly contributed by the growth of revenues from e-commerce services. Revenues from e-commerce services were $124.5 million, an increase of 61% from $77.5 million for the same quarter of 2013, primarily due to a 28% increase in discount coupons redeemed (see “Selected Operating Data” below for more details on the discount coupons sold and redeemed). Revenues from online advertising services were $43.8 million, a slight increase from $43.2 million for the same quarter of 2013. Revenues from listing services were $3.5 million, compared to $5.6 million for the same quarter of 2013, primarily due to the slowdown in secondary home sales.

Revenues from real estate brokerage services were $97.8 million, an increase of 6% from $92.1 million for the same quarter of 2013. Real estate brokerage services include primary real estate agency services and secondary real estate brokerage services. Revenues from primary real estate agency services were $95.0 million, an increase of 6% from $89.2 million for the same quarter of 2013. The increase was caused by the increase of average commission rate, despite the slight decreases in the total gross floor area (“GFA”) of new properties sold and the total transaction value of new properties sold compared to the same quarter of 2013. (See “Selected Operating Data” below for more details on the total GFA and transaction value of new properties sold.) Revenues from secondary real estate brokerage services were $2.8 million, which was relatively flat compared to $2.9 million for the same quarter of 2013.

Revenues from real estate information and consulting services were $31.7 million, an increase of 30% compared to $24.4 million for the same quarter of 2013, due to increased revenues in both information services and consulting services.

Revenues from other services were $11.0 million, a decrease of 12% from $12.6 million for the same quarter of 2013. Other services include offline real estate advertising services, promotional events services, real estate fund management services, community value-added services and real estate financial services. No material revenues were generated by the newly launched community value-added services and real estate financial services. The revenue decrease from other services in the fourth quarter was primarily due to the decrease in revenues from offline promotional events services.

Cost of revenues was $96.5 million, an increase of 16% from $83.2 million for the same quarter of 2013, primarily due to increased staff costs from primary real estate agency services, and increased consulting project costs from real estate information and consulting services, in line with the revenue increases.

Selling, general and administrative (“SG&A”) expenses were $186.0 million, an increase of 36% from $136.3 million for the same quarter of 2013, primarily due to higher SG&A expenses for real estate online services, as well as $8.0 million in expenses related to community value-added services and $3.7 million in expenses related to real estate financial services, both of which commenced in the third quarter of 2014.

Income from operations was $30.5 million, a decrease of 20% from $38.0 million for the same quarter of 2013. Non-GAAP income from operations was $39.7 million, a decrease of 17% from $48.1 million for the same quarter of 2013. Excluding the expenses related to newly-launched community value-added services and real estate financial services, non-GAAP income from operations was $51.5 million.

Net income was $21.6 million, a decrease of 28% from $29.9 million for the same quarter of 2013. Non-GAAP net income was $31.2 million, a decrease of 14% from $36.5 million for the same quarter of 2013.

Net income attributable to E-House shareholders was $18.6 million, or $0.12 per diluted ADS, a decrease of 41% from $31.8 million, or $0.22 per diluted ADS, for the same quarter of 2013. Non-GAAP net income attributable to E-House shareholders was $25.9 million, or $0.14 per diluted ADS, a decrease of 32% from $38.3 million, or $0.26 per diluted ADS, for the same quarter of 2013.

Full Year 2014 Results

Total revenues were $904.5 million, an increase of 24% from $731.1 million for 2013, primarily driven by the growth of revenues from real estate online services and real estate information and consulting services.

Revenues from real estate online services were $495.9 million, an increase of 48% from $335.4 million for 2013, contributed by the growth of revenues from e-commerce and online advertising services. Revenues from e-commerce services were $326.7 million, an increase of 92% from $170.2 million for 2013, primarily due to a 61% increase in discount coupons redeemed (see “Selected Operating Data” below for more details on the discount coupons sold and redeemed). Revenues from online advertising services were $154.9 million, an increase of 7% from $145.4 million for 2013, due to growth in both the Company’s new home and home furnishing channels. Revenues from listing services were $14.3 million, compared to $19.8 million for 2013, primarily due to the slowdown in secondary home sales.

Revenues from real estate brokerage services were $283.4 million, a slight increase from $280.8 million for 2013. Revenues from primary real estate agency services were $273.9 million, an increase of 2% from $269.6 million for 2013. Revenues from secondary real estate brokerage services were $9.5 million, a decrease of 15% from $11.2 million for 2013, due to the Company’s decision to close unprofitable physical stores.

Revenues from real estate information and consulting services were $82.7 million, an increase of 8% from $76.7 million for 2013, mainly due to an increase in revenues from real estate information services.

Revenues from other services were $42.5 million, an increase of 11% from $38.2 million for 2013, primarily attributable to carried interest recognized from real estate fund management services of $5.4 million during the third quarter of 2014.

Cost of revenues was $306.1 million, an increase of 12% from $274.0 million for 2013, due to increased staff costs from primary real estate agency services, and increased consulting project costs from real estate information and consulting services, partially offset by the decrease of the fees paid to third parties for services in connection with the Company’s online listing business, and the decrease of the amortization expenses of intangible assets.

SG&A expenses were $545.5 million, an increase of 36% from $400.9 million for 2013, primarily due to higher SG&A expenses for real estate online services, as well as $15.8 million in expenses related to community value-added services and $3.9 million in expenses related to real estate financial services, both of which commenced in the third quarter of 2014.

Income from operations was $61.7 million, a slight increase from $61.0 million for 2013. Non-GAAP income from operations was $99.1 million, a decrease of 3% from $102.5 million for 2013. Excluding the expenses related to newly-launched community value-added services and real estate financial services, non-GAAP income from operations was $119.0 million.

Net income was $52.3 million, an increase of 2% from $51.1 million for 2013. Non-GAAP net income was $88.0 million, an increase of 4% from $84.9 million for 2013.

Net income attributable to E-House shareholders was $40.0 million, or $0.26 per diluted ADS, a decrease of 23% from $52.0 million, or $0.38 per diluted ADS, for 2013. Non-GAAP net income attributable to E-House shareholders was $70.9 million, or $0.46 per diluted ADS, a decrease of 17% from $85.4 million, or $0.63 per diluted ADS, for 2013.

Cash Flow

As of December 31, 2014, the Company’s cash and cash equivalents balance was $630.6 million.

Fourth quarter 2014 net cash provided by operating activities was $42.2 million, mainly attributable to non-GAAP net income of $31.2 million, as well as increases in accrued payroll and welfare of $39.9 million, an increase in income tax payables and other tax payables of $26.4 million and a decrease in customer deposits of $22.5 million, offset by an increase in accounts receivable of $39.2 million and an increase in restricted cash of $38.6 million. Net cash used in investing activities was $17.3 million, mainly comprised of $15.2 million in capital expenditures, and $5.9 million prepayment for business acquisition, partially offset by the collection of short-term investment of $1.3 million and proceeds from the disposal of property and equipment of $2.3 million. Net cash provided by financing activities was $18.1 million, mainly comprised of $36.0 million cash received from short-term loan, partially offset by $15.5 million in dividends paid to shareholders and $2.2 million paid for the acquisition of the remaining non-controlling interests in the Company’s online business.

Declaration of Cash Dividend

E-House announced today that its board of directors had authorized and approved the Company’s payment of a cash dividend of $0.15 per ordinary share ($0.15 per ADS). The cash dividend will be payable on or about May 15, 2015 to shareholders of record as of the close of business on April 10, 2015. Dividends to be paid to the Company’s ADS holders through the depositary bank will be subject to the terms of the deposit agreement, including the fees and expenses payable thereunder.

Business Outlook

The Company estimates that its fiscal 2015 total revenues will be approximately $1.05 billion to $1.10 billion, which would represent an increase of approximately 16% to 22% from $904.5 million in 2014. This forecast reflects the Company’s current and preliminary view, which is subject to change.

Conference Call Information

E-House’s management will host an earnings conference call on March 18, 2015 at 8:15 a.m. U.S. Eastern Time (8:15 p.m. Beijing/Hong Kong time).

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

U.S./International:

+1-845-675-0437

Hong Kong:

+852-3018-6771

Mainland China:

+86-10-800-819-0121

Please dial in 10 minutes before the call is scheduled to begin and provide the passcode to join the call. The passcode is “E-House earnings call.”

A replay of the conference call may be accessed by phone at the following number until March 25, 2015:

International:

+1-646-254-3697

Passcode:

1002518

Additionally, a live and archived webcast will be available at http://ir.ehousechina.com.

About E-House

E-House (China) Holdings Limited (“E-House”) (NYSE: EJ) is China’s leading real estate services company with a nationwide network covering more than 250 cities. E-House offers a wide range of services to the real estate industry, including real estate online services through our 70%-owned subsidiary, Leju Holdings Limited (NYSE: LEJU), primary sales agency, secondary brokerage, information and consulting, offline advertising and promotion, real estate investment management and financial services, and community value-added services. E-House has received numerous awards for its innovative and high-quality services, including “China’s Best Company” from the National Association of Real Estate Brokerage and Appraisal Companies and “China Enterprises with the Best Potential” from Forbes. For more information about E-House, please visit http://www.ehousechina.com.

Safe Harbor: Forward-Looking Statements

This announcement contains forward-looking statements. These statements are made under the “safe harbor” provisions of Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates,” “may,” “intend,” “confident,” “is currently reviewing,” “it is possible,” “subject to” and similar statements. Among other things, the Business Outlook section and quotations from management in this press release, as well as E-House’s strategic and operational plans, contain forward-looking statements. E-House may also make written or oral forward-looking statements in its reports filed or furnished with the U.S. Securities and Exchange Commission, including Forms 20-F and 6-K, 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 statements about E-House’s beliefs and expectations, are forward-looking statements and are subject to change. Forward-looking statements involve inherent risks and uncertainties. A number of important factors could cause actual results to differ materially from those contained, either expressly or impliedly, in any of the forward-looking statements in this press release. Potential risks and uncertainties include, but are not limited to, a severe or prolonged downturn in the global economy, E-House’s susceptibility to fluctuations in the real estate market of China, government measures aimed at China’s real estate industry, failure of the real estate services industry in China to develop or mature as quickly as expected, diminution of the value of E-House’s brand or image, E-House’s inability to successfully execute its strategy of expanding into new geographical markets in China, E-House’s failure to manage its growth effectively and efficiently, E-House’s failure to successfully execute the business plans for its strategic alliances and other new business initiatives, E-House’s loss of its competitive advantage if it fails to maintain and improve its proprietary CRIC system or to prevent disruptions or failure in the system’s performance, E-House’s failure to compete successfully, fluctuations in E-House’s results of operations and cash flows, E-House’s reliance on a concentrated number of real estate developers, natural disasters or outbreaks of health epidemics and other risks outlined in E-House’s filings with the U.S. Securities and Exchange Commission. All information provided in this press release is current as of the date of this press release, and E-House does not undertake any obligation to update any such information, except as required under applicable law.

About Non-GAAP Financial Measures

To supplement E-House’s consolidated financial results presented in accordance with United States Generally Accepted Accounting Principles (“GAAP”), E-House uses in this press release the following non-GAAP financial measures: (1) income (loss) from operations, (2) net income (loss), (3) net income (loss) attributable to E-House shareholders, (4) net income (loss) attributable to E-House shareholders per basic ADS, and (5) net income (loss) attributable to E-House shareholders per diluted ADS, each of which excludes share-based compensation expense and amortization of intangible assets resulting from business acquisitions. 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 GAAP. For more information on these non-GAAP financial measures, please see the table captioned “Unaudited Reconciliation of GAAP and Non-GAAP Results” set forth at the end of this press release.

E-House believes that these non-GAAP financial measures provide meaningful supplemental information to investors regarding its operating performance by excluding share-based compensation expense and amortization of intangible assets resulting from business acquisitions, , which may not be indicative of E-House’s operating performance. These non-GAAP financial measures also facilitate management’s internal comparisons to E-House’s historical performance and assist its financial and operational decision making. A limitation of using these non-GAAP financial measures is that share-based compensation expense and amortization of intangible assets resulting from business acquisitions that may continue to exist in E-House’s business for the foreseeable future. Management compensates for these limitations by providing specific information regarding the GAAP amounts excluded from each non-GAAP measure. The accompanying tables have more details on the reconciliation between non-GAAP financial measures and their most comparable GAAP financial measures.

For investor and media inquiries please contact:

Ms. Michelle Yuan
Director of Investor Relations
E-House (China) Holdings Limited
Phone: +86 (21) 6133-0754
E-mail: michelleyuan@ehousechina.com

Mr. Derek Mitchell
Ogilvy Financial
In the U.S.: +1 (646) 867-1888
In China: +86 (10) 8520-6139
E-mail: ej@ogilvy.com

E-HOUSE (CHINA) HOLDINGS LIMITED

UNAUDITED CONSOLIDATED BALANCE SHEET

(In thousands of U.S. dollars)

December 31,

December 31,

2013

2014

ASSETS

Current assets

Cash and cash equivalents

413,319

630,617

Restricted cash

2,310

40,402

Customer deposits, net

67,602

92,797

Accounts receivable, net

357,442

415,150

Advance payment for properties, current

60,076

51,983

Properties held for sale

15,305

34,842

Short-term investment

1,279

Deferred tax assets, net

66,332

64,805

Prepaid expenses and other current assets

44,235

39,339

Amounts due from related parties

1,263

6,094

Total current assets

1,029,163

1,376,029

Property and equipment, net

50,077

49,109

Intangible assets, net

141,232

120,381

Investment in affiliates

39,052

51,681

Goodwill

51,600

51,540

Customer deposits, non-current, net

652

797

Investment in preferred shares of a private entity

39,485

Other non-current assets

43,744

87,902

Total assets

1,355,520

1,776,924

LIABILITIES AND EQUITY

Current liabilities

Accounts payable

11,265

8,261

Accrued payroll and welfare expenses

102,632

116,577

Income tax payable

98,686

117,594

Other tax payable

40,001

49,390

Amounts due to related parties

5,536

7,356

Advance from property buyers

2,453

2,261

Short-term borrowings

35,954

Dividend payables

12,902

Advance from customers and deferred revenue

24,617

19,013

Liability for exclusive rights, current

8,968

Other current liabilities

62,467

85,837

Total current liabilities

356,625

455,145

Deferred tax liabilities

29,901

28,203

Convertible senior notes

131,651

132,752

Other non-current liabilities

1,472

658

Total liabilities

519,649

616,758

Equity

Ordinary shares ($0.001 par value): 1,000,000,000 and 1,000,000,000 shares authorized, 137,816,482 and 142,123,368 shares issued and outstanding, as of December 31, 2013 and December 31, 2014, respectively

138

142

Additional paid-in capital

859,468

991,646

Subscription receivables

(2,148)

(196)

Accumulated deficit

(107,705)

(67,703)

Accumulated other comprehensive income

72,185

83,901

Total E-House equity

821,938

1,007,790

Non-controlling interests

13,933

152,376

Total equity

835,871

1,160,166

TOTAL LIABILITIES AND EQUITY

1,355,520

1,776,924

 

E-HOUSE (CHINA) HOLDINGS LIMITED

UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS

(In thousands of U.S. dollars, except share data and per share data)

Three months ended

Year ended

December 31,

December 31,

2013

2014

2013

2014

Revenues

255,376

312,325

731,079

904,499

Cost of revenues

(83,243)

(96,515)

(274,036)

(306,133)

Selling, general and administrative expenses

(136,340)

(185,975)

(400,947)

(545,492)

Other operating income

2,235

653

4,918

8,787

Income from operations

38,028

30,488

61,014

61,661

Interest expenses

(193)

(1,334)

(193)

(5,325)

Interest income

594

1,030

2,180

3,210

Other income (expenses), net

(189)

678

(1,051)

3,858

Income before taxes and equity in affiliates

38,240

30,862

61,950

63,404

Income tax expense

(7,691)

(9,522)

(13,678)

(14,901)

Income before equity in affiliates

30,549

21,340

48,272

48,503

Income (loss) from equity in affiliates

(668)

282

2,814

3,835

Net income

29,881

21,622

51,086

52,338

Less: net income (loss) attributable to

non-controlling interests

(1,871)

3,026

(871)

12,336

Net income attributable to E-House shareholders

31,752

18,596

51,957

40,002

Earnings per share:

Basic

0.23

0.13

0.40

0.29

Diluted

0.22

0.12

0.38

0.26

Shares used in computation:

Basic

135,829,362

141,427,003

130,163,165

139,211,442

Diluted

146,664,066

146,710,603

135,779,997

146,687,835

Note 1: The conversion of Renminbi (“RMB”) amounts into USD amounts is based on the rate of USD1 = RMB6.1190 on December 31, 2014 and USD1 = RMB6.1380 for the three months ended December 31, 2014

 

E-HOUSE (CHINA) HOLDINGS LIMITED

UNAUDITED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

(In thousands of U.S. dollars)

Three months ended

Year ended

December 31,

December 31,

2013

2014

2013

2014

Net income

29,881

21,622

51,086

52,338

Other comprehensive income, net of tax of nil:

Foreign currency translation adjustment

5,042

3,321

17,533

(2,120)

Unrealized holding gains for investment in preferred shares of a private entity

9,136

13,765

Comprehensive income

34,923

34,079

68,619

63,983

Less: Comprehensive income (loss) attributable to non-controlling interests

(1,778)

3,290

(404)

12,270

Comprehensive income attributable to E-House shareholders

36,701

30,789

69,023

51,713

 

 

E-HOUSE (CHINA) HOLDINGS LIMITED

Unaudited Reconciliation of GAAP and Non-GAAP Results

(In thousands of U.S. dollars, except share data and per ADS data)

Three months ended

Year ended

December 31,

December 31,

2013

2014

2013

2014

(unaudited)

(unaudited)

(unaudited)

(unaudited)

GAAP income from operations

38,028

30,488

61,014

61,661

Share-based compensation expense

 

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Leju Reports Fourth Quarter and Full Year 2014 Results and Declares Cash Dividend

BEIJING, March 18, 2015 /PRNewswire/ — Leju Holdings Limited (“Leju” or the “Company”) (NYSE: LEJU), a leading online-to-offline (“O2O”) real estate services provider in China, today announced its unaudited financial results for the fiscal quarter and full year ended December 31, 2014.

Fourth Quarter 2014 Financial Highlights

  • Total revenues increased by 36% year-on-year to $171.8 million
    • Revenues from e-commerce services increased by 61% year-on-year to $124.5 million
    • Revenues from online advertising services increased by 1% year-on-year to $43.8 million
  • Non-GAAP[1] income from operations increased by 8% year-on-year to $36.8 million
  • Non-GAAP net income attributable to Leju shareholders increased by 12% year-on-year to $31.3 million, or $0.23 per diluted American depositary share (“ADS”)

Full Year 2014 Financial Highlights

  • Total revenues increased by 48% year-on-year to $496.0 million
    • Revenues from e-commerce services increased by 92% year-on-year to $326.7 million
    • Revenues from online advertising services increased by 7% year-on-year to $155.1 million
  • Non-GAAP income from operations increased by 44% year-on-year to $107.0 million
  • Non-GAAP net income attributable to Leju shareholders increased by 44% year-on-year to $90.7 million, or $0.68 per diluted ADS

“We are pleased to report strong results for our first year as a public company,” said Mr. Geoffrey He, Leju’s chief executive officer. “During 2014, Leju further strengthened its O2O platform for real estate services across the primary, secondary and home furnishing markets through continuous product innovation and with a strong focus on execution. We also successfully incorporated mobile marketing into our service portfolio through our cooperation with leading social media platforms Weibo and Weixin. In a softer primary real estate market, our new mobile platform and various product launches allow us to offer differentiated advantages and deliver positive results for our clients as they turn to us for support in marketing and promoting their projects.”

“Looking ahead, we expect that China’s real estate market will continue to experience a period of change, and we remain committed to executing on our business strategies in 2015,” Mr. He continued. “We believe the e-commerce market offers unique opportunities and we plan to further grow this business through the use of mobile solutions. We will stay focused on building a transparent informational platform in the secondary listing business through the promotion of reliable home data using our verified listing model along with our brokerage partners. Furthermore, we also plan to expand our home furnishing business in 2015 through a new platform that brings together customers with individual contractors, who serve a pivotal role in home furnishing projects. We believe that our service-oriented business model and strong online and offline execution make us well-positioned to address our clients’ marketing needs and generate and capture further growth.”

“We are reporting strong top-line growth, with our e-commerce business in particular delivering another year of high revenue growth,” said Ms. Min Chen, Leju’s chief financial officer. “We generated strong operating cash flows for the year which will support the company’s operations and strategic investments in 2015.”

[1] Leju uses in this press release the following non-GAAP financial measures: (1) income (loss) from operations, (2) net income (loss), (3) net income (loss) attributable to Leju shareholders, (4) net income (loss) attributable to Leju shareholders per basic ADS, and (5) net income (loss) attributable to Leju shareholders per diluted ADS, each of which excludes share-based compensation expense and amortization of intangible assets resulting from business acquisitions. See “About Non-GAAP Financial Measures” and “Unaudited Reconciliation of GAAP and Non-GAAP Results” below for more information about the non-GAAP financial measures included in this press release.

Fourth Quarter 2014 Results

Total revenues were $171.8 million, an increase of 36% from $126.4 million for the same quarter of 2013, mainly driven by growth of revenues from e-commerce services.

Revenues from e-commerce services were $124.5 million, an increase of 61% from $77.5 million for the same quarter of 2013, primarily due to a 28% increase in discount coupons redeemed,[2] as a result of the expansion of the Company’s e-commerce business through partnerships with property developers.

Revenues from online advertising services were $43.8 million, a slight increase from $43.2 million for the same quarter of 2013, primarily due to revenue growth in the Company’s new home channels.

Revenues from listing services were $3.5 million, a decrease of 38% from $5.6 million for the same quarter of 2013, primarily due to the slowdown in secondary home sales.

Cost of revenues was $14.3 million, an increase of 2% from $14.1 million for the same quarter of 2013, primarily due to increased editorial department headcount which was partially offset by decreased fees paid to third parties for services in connection with the Company’s listing business and decreased amortization expenses of intangible assets.

Selling, general and administrative expenses were $128.8 million, an increase of 52% from $84.8 million for the same quarter of 2013, primarily due to increased marketing expenses related to the growth of the Company’s e-commerce business, along with increased staff costs and bonuses resulting from increased headcount and improved profit.

Income from operations was $29.1 million in the fourth quarter of 2014, an increase of 5% from $27.6 million for the same quarter of 2013. Non-GAAP income from operations was $36.8 million, an increase of 8% from $34.2 million for the same quarter of 2013.

Net income was $22.9 million, a decrease of 7% from $24.6 million for the same quarter of 2013. Non-GAAP net income was $31.0 million, an increase of 12% from $27.8 million for the same quarter of 2013.

Net income attributable to Leju shareholders was $23.2 million, or $0.17 per diluted ADS, a decrease of 6% from $24.7 million, or $0.21 per diluted ADS, for the same quarter of 2013. Non-GAAP net income attributable to Leju shareholders was $31.3 million, or $0.23 per diluted ADS, an increase of 12% from $27.8 million, or $0.23 per diluted ADS, for the same quarter of 2013.

[2] See “Selected Operating Data” below for more details on the discount coupons sold and redeemed.

Full Year 2014 Results

Total revenues were $496.0 million, an increase of 48% from $335.4 million for 2013, mainly driven by the growth of revenues from e-commerce services.

Revenues from e-commerce services were $326.7 million, an increase of 92% from $170.2 million for 2013, primarily due to a 61% increase in discount coupons redeemed,[2] as a result of the expansion of the Company’s e-commerce business through partnerships with property developers.

Revenues from online advertising services were $155.1 million, an increase of 7% from $145.4 million for 2013, primarily due to revenue growth in both the Company’s new home and home furnishing channels.

Revenues from listing services were $14.3 million, a decrease of 28% from $19.8 million for 2013, primarily due to the slowdown in secondary home sales.

Cost of revenues was $51.1 million, a decrease of 20% from $64.0 million for 2013, primarily due to decreased fees paid to third parties for services in connection with the Company’s listing business and decreased amortization expenses of intangible assets.

Selling, general and administrative expenses were $366.3 million, an increase of 62% from $226.1 million for 2013, primarily due to increased marketing expenses related to the growth of the Company’s e-commerce business, along with increased staff costs and bonuses resulting from increased headcount and improved profit.

Income from operations was $81.1 million, an increase of 77% from $45.9 million for 2013. Non-GAAP income from operations was $107.0 million, an increase of 44% from $74.2 million for 2013.

Net income was $66.7 million, an increase of 56% from $42.7 million for 2013. Non-GAAP net income was $90.9 million, an increase of 43% from $63.4 million for 2013.

Net income attributable to Leju shareholders was $66.5 million, or $0.50 per diluted ADS, an increase of 56% from $42.5 million, or $0.35 per diluted ADS, for 2013. Non-GAAP net income attributable to Leju shareholders was $90.7 million, or $0.68 per diluted ADS, an increase of 44% from $63.0 million, or $0.53 per diluted ADS, for 2013.

Cash Flow

As of December 31, 2014, the Company’s cash and cash equivalents balance was $317.8 million.

Fourth quarter 2014 net cash provided by operating activities was $59.7 million, mainly attributable to non-GAAP net income of $31.0 million, an increase in accrued payroll and welfare of $9.0 million, an increase in income tax payables and other tax payables of $9.5 million, and an increase in other current liabilities of $7.2 million. Net cash used in investing activities was $4.0 million, mainly comprised of a payment of $3.3 million to Baidu related to the Company’s exclusive right to sell Baidu’s real estate-related Brand-Link product and to build and operate the Baidu real estate and home furnishing channels. Net cash used in financing activities was $1.6 million, and mainly comprised of a payment of $2.2 million to acquire non-controlling interests.

Declaration of Cash Dividend

Leju also announced today that its board of directors has authorized and approved the Company’s payment of a cash dividend of $0.20 per ordinary share ($0.20 per ADS). The cash dividend will be payable on or about May 15, 2015 to shareholders of record as of the close of business on April 10, 2015. Dividends to be paid to the Company’s ADS holders through the depositary bank will be subject to the terms of the deposit agreement, including the fees and expenses payable thereunder.

Business Outlook

The Company estimates that its fiscal 2015 total revenues will be approximately $600 million to $620 million, which would represent an increase of approximately 21% to 25% from $496.0 million in 2014. This forecast reflects the Company’s current and preliminary view, which is subject to change.

Conference Call Information

Leju’s management will host an earnings conference call on March 18, 2015 at 7 a.m. U.S. Eastern Time (7 p.m. Beijing/Hong Kong time).

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

U.S./International: +1-631-514-2526
Hong Kong: +852-5808-3202
Mainland China: +86-10-4001-200-539

Please dial in 10 minutes before the call is scheduled to begin and provide the passcode to join the call. The passcode is “Leju earnings call.”

A replay of the conference call may be accessed by phone at the following number until March 25, 2015:

International: +1-866-846-0868
Passcode: 6617697

Additionally, a live and archived webcast will be available at http://ir.leju.com.

About Leju

Leju Holdings Limited (“Leju”) (NYSE: LEJU) is a leading online-to-offline, or O2O, real estate services provider in China, offering real estate e-commerce, online advertising and online listing services. Leju’s integrated online platform comprises various mobile applications along with local websites covering more than 250 cities, enhanced by complementary offline services to facilitate residential property transactions. In addition to the Company’s own websites, Leju operates the real estate and home furnishing websites of leading internet companies such as SINA Corporation and Baidu Inc., and maintains a strategic partnership with Tencent Holdings Limited. For more information about Leju, please visit http://ir.leju.com.

Safe Harbor: Forward-Looking Statements

This announcement contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in 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,” “target,” “going forward,” “outlook” and similar statements. Leju may also make written or oral forward-looking statements in its reports filed or furnished with the U.S. Securities and Exchange Commission, 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 statements about Leju’s beliefs and expectations, are forward-looking statements that involve inherent risks and uncertainties. A number of important factors could cause actual results to differ materially from those contained, either expressly or impliedly, in any of the forward-looking statements. Such factors include, but are not limited to, fluctuations in China’s real estate market; the highly regulated nature of, and government measures affecting, the real estate and internet industries in China; Leju’s ability to compete successfully against current and future competitors; its ability to continue to develop and expand its content, service offerings and features, and to develop or incorporate the technologies that support them; its limited operating history and lack of experience as a stand-alone public company, given its recent carve-out from E-House and prior reliance on E-House for various corporate services; its reliance on SINA, Baidu and others with which it has developed, or may develop in the future, strategic partnerships; substantial revenue contribution from a limited number of real estate markets; complexities resulting from its ongoing relationships with E-House, due to E-House’s controlling interest in Leju; and relevant government policies and regulations relating to the corporate structure, business and industry of Leju. Further information regarding these and other risks, uncertainties or factors is included in the Company’s filings with the U.S. Securities and Exchange Commission. All information provided in this press release is current as of the date of the press release, and the Company does not undertake any obligation to update any forward-looking statement as a result of new information, future events or otherwise, except as required under applicable law.

About Non-GAAP Financial Measures

To supplement Leju’s consolidated financial results presented in accordance with United States Generally Accepted Accounting Principles (“GAAP”), Leju uses in this press release the following non-GAAP financial measures: (1) income (loss) from operations, (2) net income (loss), (3) net income (loss) attributable to Leju shareholders, (4) net income (loss) attributable to Leju shareholders per basic ADS, and (5) net income (loss) attributable to Leju shareholders per diluted ADS, each of which excludes share-based compensation expense and amortization of intangible assets resulting from business acquisitions. 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 GAAP. For more information on these non-GAAP financial measures, please see the table captioned “Unaudited Reconciliation of GAAP and Non-GAAP Results” set forth at the end of this press release.

Leju believes that these non-GAAP financial measures provide meaningful supplemental information to investors regarding its operating performance by excluding share-based compensation expense, and amortization of intangible assets resulting from business acquisitions, which may not be indicative of Leju’s operating performance. These non-GAAP financial measures also facilitate management’s internal comparisons to Leju’s historical performance and assist its financial and operational decision making. A limitation of using these non-GAAP financial measures is that share-based compensation expense and amortization of intangible assets resulting from business acquisitions may continue to exist in Leju’s business for the foreseeable future. Management compensates for these limitations by providing specific information regarding the GAAP amounts excluded from each non-GAAP measure. The accompanying tables provide more details on the reconciliation between non-GAAP financial measures and their most comparable GAAP financial measures.

For investor and media inquiries please contact:

Ms. Melody Liu
Leju Holdings Limited
Phone: +86 (10) 5895-1062
E-mail: ir@leju.com

Mr. Derek Mitchell
Ogilvy Financial
In the U.S.: +1 (646) 867-1888
In China: +86 (10) 8520-6139
E-mail: leju@ogilvy.com

LEJU HOLDINGS LIMITED

UNAUDITED CONSOLIDATED BALANCE SHEET

(In thousands of U.S. dollars)

December 31,

December 31,

2013

2014

ASSETS

Current assets

Cash and cash equivalents

98,730

317,811

Accounts receivable, net

87,316

119,742

Deferred tax assets, net

27,714

29,858

Prepaid expenses and other current assets

5,556

13,355

Amounts due from related parties

3,472

1

Total current assets

222,788

480,767

Property and equipment, net

7,028

7,159

Intangible assets, net

128,530

105,419

Investment in affiliates

251

273

Goodwill

40,611

40,563

Other non-current assets

3,730

4,085

Total assets

402,938

638,266

LIABILITIES AND EQUITY

Current liabilities

Accounts payable

1,423

371

Accrued payroll and welfare expenses

30,504

48,007

Income tax payable

41,437

57,246

Other tax payable

18,514

27,805

Amounts due to related parties

4,501

5,289

Advance from customers and deferred revenue

7,163

5,054

Liability for exclusive rights, current

8,968

Other current liabilities

11,074

53,528

Total current liabilities

123,584

197,300

Deferred tax liabilities

27,564

26,042

Total liabilities

151,148

223,342

Equity

Ordinary shares ($0.001 par value): 500,000,000 shares
authorized, 120,000,000 and 134,015,621 shares issued and
outstanding, as of December 31, 2013 and December 31,
2014, respectively

120

134

Additional paid-in capital

686,378

788,247

Accumulated deficit

(443,294)

(377,876)

Subscription receivables

(120)

(689)

Accumulated other comprehensive income

5,622

5,030

Total Leju equity

248,706

414,846

Non-controlling interests

3,084

78

Total equity

251,790

414,924

TOTAL LIABILITIES AND EQUITY

402,938

638,266


LEJU HOLDINGS LIMITED

UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS

(In thousands of U.S. dollars, except share data and per share data)

Three months ended

Year ended

December 31,

December 31,

2013

2014

2013

2014

Revenues

E-commerce

77,486

124,489

170,205

326,680

Online advertising services

43,222

43,832

145,445

155,050

Listing services

5,644

3,524

19,772

14,293

Total revenues

126,352

171,845

335,422

496,023

Cost of revenues

(14,102)

(14,339)

(63,991)

(51,130)

Selling, general and administrative expenses

(84,844)

(128,828)

(226,143)

(366,342)

Other operating income

186

387

600

2,526

Income from operations

27,592

29,065

45,888

81,077

Interest income

283

510

1,082

1,316

Other income (expenses), net

(149)

(7)

(1,185)

36

Income before taxes and equity in affiliates

27,726

29,568

45,785

82,429

Income tax expense

(3,091)

(6,586)

(3,066)

(15,546)

Income before equity in affiliates

24,635

22,982

42,719

66,883

Loss from equity in affiliates

(56)

(64)

(69)

(224)

Net income

24,579

22,918

42,650

66,659

Less: net income (loss) attributable to
non-controlling interests

(144)

(307)

125

138

Net income attributable to Leju shareholders

24,723

23,225

42,525

66,521

Earnings per share:

Basic

0.21

0.17

0.35

0.51

Diluted

0.21

0.17

0.35

0.50

Shares used in computation:

Basic

120,000,000

133,626,542

120,000,000

129,320,666

Diluted

120,000,000

137,505,730

120,000,000

132,502,100

Note 1

The conversion of Renminbi (“RMB”) amounts into USD amounts is based on the rate of USD1 = RMB6.1190 on December 31, 2014 and USD1 = RMB 6.1380 for the three months ended December 31, 2014


LEJU HOLDINGS LIMITED

UNAUDITED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

(In thousands of U.S. dollars)

Three months ended

Year ended

December 31,

December 31,

2013

2014

2013

2014

Net income

24,579

22,918

42,650

66,659

Other comprehensive income (loss), net of tax of nil

Foreign currency translation adjustment

530

236

2,712

(605)

Comprehensive income

25,109

23,154

45,362

66,054

Less: Comprehensive income (loss) attributable
to non-controlling interest

(72)

(282)

280

130

Comprehensive income attributable to Leju shareholders

25,181

23,436

45,082

65,924

LEJU HOLDINGS LIMITED

Unaudited Reconciliation of GAAP and Non-GAAP Results

(In thousands of U.S. dollars, except share data and per ADS data)

Three months ended

Year ended

December 31,

December 31,

2013

2014

2013

2014

(unaudited)

(unaudited)

(unaudited)

(unaudited)

GAAP income from operations

27,592

29,065

45,888

81,077

Share-based compensation expense

1,074

4,429

6,311

11,311

Amortization of intangible assets resulting from business
acquisitions

5,509

3,275

22,017

14,569

Non-GAAP income from operations

34,175

36,769

74,216

106,957

GAAP net income

24,579

22,918

42,650

66,659

Share-based compensation expense (net of tax)

1,074

4,429

6,311

11,311

Amortization of intangible assets resulting from
business acquisitions (net of tax)

2,101

3,644

14,482

12,957

Non-GAAP net income

27,754

30,991

63,443

90,927

Net income attributable to Leju shareholders

24,723

23,225

42,525

66,521

Share-based compensation expense
(net of tax and non-controlling interests)

1,074

4,429

6,311

11,311

Amortization of intangible assets resulting from business
acquisitions (net of tax and non-controlling interests

2,029

3,644

14,197

12,842

Non-GAAP net income attributable to Leju
shareholders

27,826

31,298

63,033

90,674

GAAP earnings per ADS ———— basic

0.21

0.17

0.35

0.51

GAAP earnings per ADS ———— diluted

0.21

0.17

0.35

0.50

Non-GAAP earnings per ADS ———— basic

0.23

0.23

0.53

0.70

Non-GAAP earnings per ADS ———— diluted

0.23

0.23

0.53

0.68

Shares used in calculating basic GAAP / non-GAAP net
income attributable to shareholders per ADS

120,000,000

133,626,542

120,000,000

129,320,666

Shares used in calculating diluted GAAP / non-GAAP net
income attributable to shareholders per ADS

120,000,000

<

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glispa Receives Strategic Investment from Market Tech Holdings Accelerating Global Growth for Mobile Advertising Leader

– Market Tech Holdings’ Portfolio of Technology and Real Estate Combined with glispa’s Mobile Advertising Reach Opens New Markets for Global Brands

BERLIN, SAN FRANCISCO and LONDON, March 16, 2015 /PRNewswire/ — glispa, the high performance digital marketing and mobile advertising pioneer, today announced that it has secured a deal worth $77M USD from Market Tech Holdings (LON: MKT) who is acquiring a majority stake in the company. The Market Tech group has a market cap of $1.4B USD.

Photo – http://photos.prnewswire.com/prnh/20150316/181867
Logo – http://photos.prnewswire.com/prnh/20150316/181868LOGO

With this investment, glispa will continue to focus on opening additional offices and expanding its global footprint, bolstering its proprietary advertising and optimization technology, attracting top talent and adding engineering as well as client focused staff. Furthermore, the newly formed glispa Global Group will look at acquiring the most talented adtech teams and technologies to enhance the value proposition specifically within the mCommerce market.

glispa complements Market Tech’s strategic portfolio of both ecommerce and technology companies. glispa will play a key role within Market Tech’s digital strategy by becoming a full service solution provider for its own brands along with both current and future retailers. Market Tech recognizes glispa’s growing global strength in mCommerce, which analyst firm Digi-Capital expects to will be the dominant business model creating over $516 billion in sales and driving more than 70 percent of all mobile internet revenue by 2017.

glispa is known for helping the world’s top mobile advertisers across industries like mCommerce, gaming, travel, as well as utilities/productivity reach billions of people on mobile devices in the burgeoning worldwide mobile advertising market. According to eMarketer, the worldwide mobile ad market will grow to nearly $65 billion in 2015, up over 60 percent from 2014. That figure will reach $158.55 billion by 2018, when mobile ads will account for 22.3% of all advertising spending worldwide.

glispa maintains an international reach of about one billion active mobile users and serves over 400 billion ad impressions monthly. The world’s largest mobile brands, including Alibaba, Amazon, Flipkart, Gilt Group, OLX, Baidu, Hasbro, Zynga and Gumi, rely on glispa’s global impact and dedicated, multicultural teams to expand their business and accelerate growth around the world.

“This strategic investment helps us in realizing our vision – to help people discover brands and products that enrich and empower their lives through mobile advertising,” said glispa Founder and CEO, Gary Lin. “With the Market Tech portfolio strength and the strategic investment, we’re now even more capable of providing advertisers our unprecedented global reach, technology innovations, and our stellar team, who are focused on helping clients reach their growth objectives.”

“glispa’s market-leading technologies and team will add significant value to our business and I want to start by welcoming glispa to Market Tech group, ” said Charles Butler, chief executive of Market Tech. “We see the future of online retail being via mobile devices and glispa’s proprietary technologies are at the cutting edge of m-commerce, helping businesses interact with their customers on-the-go. “

About glispa
glispa is a high performance digital marketing pioneer empowering our clients to activate global audiences and move markets. Providing a full suite of services – gBoost, gPerform, gNative and Media Services – glispa partners with global advertisers helping them reach user acquisition and monetization goals. glispa was recently awarded the prestigious Deloitte Technology Fast 50TM for technical innovation and entrepreneurialism reaching 740.9% organic fiscal year revenue growth from 2009 to 2013. Headquartered in Berlin with offices in Beijing, Bangalore, San Francisco and Sao Paulo glispa employs a multinational team representing 39 nationalities speaking 24 languages. To get started with glispa, connect with us: http://www.glispa.com.

About Market Tech Holdings
Market Tech combines the iconic Camden Market real estate assets with an e-commerce business operated through an online platform called market.com. Its real estate assets business is focused on retail, leisure and entertainment. The Company owns approximately 11 acres of real estate assets in Camden, including the Stables Market; Union Street Market, (also known as Buck Street Market); Camden Lock Market; and Hawley Wharf, (also known as Camden Lock Village). The Company also owns separate real estate assets on Camden High Street; Kentish Town Road; properties on Jamestown Road, (including the Camden Wharf Building); and The Interchange Building on Oval Road. www.market-tech.com

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E-House to Report Fourth Quarter and Full Year 2014 Financial Results on March 18, 2015

SHANGHAI, March 5, 2015 /PRNewswire-FirstCall/ — E-House (China) Holdings Limited (“E-House”) (NYSE: EJ), a leading real estate services company in China, today announced that it will report its unaudited financial results for the fourth quarter and full year ended December 31, 2014 before the U.S. markets open on March 18, 2015.

E-House’s management will host an earnings conference call on March 18, 2015 at 8:15 a.m. U.S. Eastern Time (8:15 p.m. Beijing/Hong Kong time).

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

U.S./International: +1-845-675-0437
Hong Kong: +852-3018-6771
Mainland China: +86-10-800-819-0121

Please dial in 10 minutes before the call is scheduled to begin and provide the passcode to join the call. The passcode is “E-House earnings call.”

A replay of the conference call may be accessed by phone at the following number until March 25, 2015:

International: +1-646-254-3697
Passcode: 1002518

Additionally, a live and archived webcast will be available at http://ir.ehousechina.com .

About E-House

E-House (China) Holdings Limited (“E-House”) (NYSE: EJ) is China’s leading real estate services company with a nationwide network covering more than 250 cities. E-House offers a wide range of services to the real estate industry, including real estate online services, primary sales agency, secondary brokerage, information and consulting, offline advertising and promotion and real estate investment management services. E-House has received numerous awards for its innovative and high-quality services, including “China’s Best Company” from the National Association of Real Estate Brokerage and Appraisal Companies and “China Enterprises with the Best Potential” from Forbes. For more information about E-House, please visit http://www.ehousechina.com.

For investor and media inquiries, please contact:

Ms. Michelle Yuan
Director of Investor Relations
E-House (China) Holdings Limited
Phone: +86 (21) 6133-0754
E-mail: michelleyuan@ehousechina.com

Mr. Derek Mitchell
Ogilvy Financial
In the U.S.: +1 (646) 867-1888
In China: +86 (10) 8520-6139
E-mail: ej@ogilvy.com

To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/e-house-to-report-fourth-quarter-and-full-year-2014-financial-results-on-march-18-2015-300045997.html

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Leju to Report Fourth Quarter and Full Year 2014 Financial Results on March 18, 2015

BEIJING, March 5, 2015 /PRNewswire/ — Leju Holdings Limited (“Leju” or the “Company”) (NYSE: LEJU), a leading online-to-offline (“O2O”) real estate services provider in China, today announced that it will report its unaudited financial results for the fourth quarter and full year ended on December 31, 2014 before the U.S. markets open on March 18, 2015.

Leju’s management will host an earnings conference call on March 18, 2015 at 7 a.m. U.S. Eastern Time (7 p.m. Beijing/Hong Kong time).

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

U.S./International: +1-631-514-2526
Hong Kong: +852-5808-3202
Mainland China: +86-10-4001-200-539

Please dial in 10 minutes before the call is scheduled to begin and provide the passcode to join the call. The passcode is “Leju earnings call“.

A replay of the conference call may be accessed by phone at the following number until March 25, 2015:

International: +1-866-846-0868
Passcode: 6617697

Additionally, a live and archived webcast will be available at http://ir.leju.com/.

About Leju

Leju Holdings Limited (“Leju”) (NYSE: LEJU) is a leading online-to-offline, or O2O, real estate services provider in China, offering real estate e-commerce, online advertising and online listing services. Leju’s integrated online platform comprises various mobile applications along with local websites covering more than 250 cities, enhanced by complementary offline services to facilitate residential property transactions. In addition to the Company’s own websites, Leju operates the real estate and home furnishing websites of leading internet companies such as SINA Corporation and Baidu Inc., and maintains a strategic partnership with Tencent Holdings Limited. For more information about Leju, please visit http://ir.leju.com.

For investor and media inquiries, please contact:

Ms. Melody Liu
Leju Holdings Limited
Phone: +86 (10) 5895-1062
E-mail: ir@leju.com

Mr. Derek Mitchell
Ogilvy Financial
In the U.S.: +1 (646) 867-1888
In China: +86 (10) 8520-6139
E-mail: leju@ogilvy.com

To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/leju-to-report-fourth-quarter-and-full-year-2014-financial-results-on-march-18-2015-300045996.html

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58.com Acquires Anjuke to Create Largest Online Secondary Real Estate Platform in China

— Company Will Host Conference Call at 8:00 a.m. EST Monday, March 2, 2015 —

BEIJING, March 2, 2015 /PRNewswire/ — 58.com Inc. (NYSE: WUBA) (“58.com”) today announced that it has acquired Anjuke, a major online real estate listing platform in China. 58.com paid approximately US$ 267,010,000, including approximately 5,087,585 new ordinary shares of 58.com (one ADS represents two class A ordinary shares) and $160,170,715 in cash for a 100% equity stake.

Founded in Shanghai in 2007, Anjuke provides potential home buyers and renters an efficient and user-friendly experience to search for primary and secondary real estate. It also enables developers and real estate agents to effectively market their properties online. Following the acquisition, Anjuke will continue to operate its website and mobile app under the Anjuke brand.

Mr. Michael Jinbo Yao, Chairman and CEO of 58.com, commented, “There is still very robust demand for real estate in China and the opportunity for the best online real estate platform remains massive. This transaction allows us to create China’s largest secondary and rental real estate platform by combining 58.com’s housing content category with Anjuke’s platform. Our housing category has been one of 58.com’s fastest growing businesses and this acquisition allows us to generate new growth drivers by expanding into primary real estate services, which we previously did not cover. Anjuke has a highly recognizable brand and an incredibly talented team. We will continue to aggressively invest in our business as we seek to extend our leadership in the market. ”

Mr. Mike Weiping Liang, Chairman and CEO of Anjuke, added, “We are pleased to join 58.com since it will immediately allow Anjuke to access a large platform with significant traffic, financial resources, nationwide presence and strong marketing capabilities. I feel both companies share very similar DNA in how we focus on generating growth, attracting the best talent and creating the best user experience. Both businesses also have complementary user and customer demographics and geographic coverage. Anjuke looks forward to leveraging 58.com’s resources to explore new opportunities across China’s real estate market.”

China Renaissance acted as the financial advisor of the transaction.

58.com’s management will host a conference call to discuss the acquisition on Monday, March 2, 2015 at 8:00 a.m. U.S. Eastern Standard Time (9:00 p.m. Beijing / Hong Kong the same day).

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

International:

+1-412-902-4272

U.S. Toll Free:

+1-888-346-8982

Hong Kong:

800-905945

China:

4001-201203

Passcode:

WUBA

Please dial in 15 minutes before the call is scheduled to begin and provide the passcode to join the call.

A telephone replay of the call will be available after the conclusion of the conference call through 8:00 a.m. U.S. Eastern Standard Time, March 9, 2015. The dial-in details for the replay are as follows:

International:

+1-412-317-0088

U.S. Toll Free:

+1-877-344-7529

Passcode:

10061596

Additionally, a live and archived webcast of the conference call will be available on the Investor Relations section of 58.com’s website at http://www.58.com.

About Anjuke

Anjuke is an online real estate sales and renting service provider in China. Anjuke offers efficient and user-friendly listing services for buyers and owners of primary and secondary residential and commercial properties as well as real estate agents. Anjuke’s platform covers 67 cities in China and provides real estate agents with an effective online marketing platform.

About 58.com Inc.

58.com Inc. (NYSE: WUBA) operates China’s largest online marketplace serving local merchants and consumers, as measured by monthly unique visitors on both its www.58.com website and mobile applications. The Company’s online marketplace enables local merchants and consumers to connect, share information and conduct business. 58.com’s broad, in-depth and high quality local information, combined with its easy-to-use website and mobile applications, has made it a trusted marketplace for consumers. 58.com’s strong brand recognition, large and growing user base, merchant network and massive database of local information create a powerful network effect. For more information on 58.com, please visit http://www.58.com .

Safe Harbor Statements

This press release contains forward-looking statements made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates,” “confident” and similar statements. 58.com may also make written or oral forward-looking statements in its reports filed with or furnished to the U.S. Securities and Exchange Commission, 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. Any statements that are not historical facts, including statements about 58.com’s beliefs and expectations, are forward-looking statements that involve factors, risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Such factors and risks include, but not limited to the following: 58.com’s goals and strategies; its future business development, financial condition and results of operations; its ability to retain and grow its user base and network of local merchants for its online marketplace; the growth of, and trends in, the markets for its services in China; the demand for and market acceptance of its brand and services; competition in its industry in China; its ability to maintain the network infrastructure necessary to operate its website and mobile applications; relevant government policies and regulations relating to the corporate structure, business and industry; and its ability to protect its users’ information and adequately address privacy concerns. Further information regarding these and other risks, uncertainties or factors is included in the Company’s filings with the U.S. Securities and Exchange Commission. All information provided in this press release is current as of the date of the press release, and 58.com does not undertake any obligation to update such information, except as required under applicable law.

For more information, please contact:

58.com Inc.
ir@58.com

Christensen
In China
Mr. Christian Arnell
Phone: +86-10-5900-1548
E-mail: carnell@christensenir.com

In US
Ms. Linda Bergkamp
Phone: +1-480-614-3004
Email: lbergkamp@ChristensenIR.com

To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/58com-acquires-anjuke-to-create-largest-online-secondary-real-estate-platform-in-china-300043333.html

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On Demand Storage: A Business of Selling “space”

HONG KONG, Feb. 13, 2015 /PRNewswire/ — Receiving capital injection of more than 10 million US dollars from GGV Capital, an international investment fund who funded famous enterprises like Pandora, Alibaba, and Flipboard, Mini Koala Limited had its grand launch in Hong Kong this year. Their product, AirBox, is aiming at solving the overcrowded living environment problem in Hong Kong by providing a breakthrough mobile storage service at anytime, anywhere, anyhow.

The Hong Kong Market

Many believe Hong Kong’s monopolized business environment barely makes room for start-ups. But Sean, founder of Mini Kola, doesn’t agree. He takes advantage of Mini Koala’s recent capital injection and proudly brings Mini Koala to Hong Kong. He sees Hong Kong as a gateway to Asia and as a headquarter to expand to other markets. He also hopes AirBox can provide Hong Kong people a bigger and better home. “Through the use of technology, we can provide a lot of flexibility that wasn’t available before,” Sean said.

To begin with, customers can enjoy simple booking, management and transportation services through AirBox online system and Mobile App. AirBox comes to customers’ doors to provide storage services, and will re-deliver stored items when the customers need. Customer can even share their stored goods with their friends to use.

Secondly, unlike most of the storage services in the existing market, AirBox doesn’t require their client to sign a fixed contract, make a prepayment, or pay expensive transportation fees. Instead, charges are calculated only base on how much space the customer uses ($49/box/month).

Last but not least, each AirBox has an embedded Bluetooth lock – first in the world – that is linked to its bank-level security system, allowing user to check on the location, status of the AirBox and unlock each AirBox through their app. In other word, it is realizing the remote control with App.

Being a “down-to-earth” entrepreneur

Sean is an American born Chinese (ABC) who obtained his Bachelor Degree and Master Degree from Harvard University. He had worked at the US White House and at top tiered consulting company McKinsey&Co. But Sean chose to give those up for the tough road of starting his own business. Talking about this decision, Sean explained, “I want to create something with my own hands that change the way we live, even just a little bit.” Sean believes being an entrepreneur is not just about sitting on an executive chair and simply making phone calls, but about rolling up your sleeves. “When we started, we were doing surveys on the street”, Sean said, “most of the people wouldn’t stop to help us, but they didn’t stop us — we were so excited by anyone who would help us, or give us advice.”

Talking about the future development, before expanding the service to other cities, Sean now focuses on perfecting the service without lift. “Live small, dream big. That’s my philosophy,” he claimed.

Website: www.airbox.hk

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NetSuite OneWorld Powers PropertyGuru Group’s Asia Pacific Expansion

— One of Asia’s Leading Property Portals Triples Revenue Since Deployment

SINGAPORE, Feb. 11, 2015 /PRNewswire/ — NetSuite Inc. (NYSE: N), the industry’s leading provider of cloud-based financials / ERP and omnichannel commerce software suites, today announced that Singapore-based PropertyGuru Group (“PropertyGuru”), one of Asia’s leading online property portals, has deployed cloud-based business management solution NetSuite OneWorld to accelerate its expansion across Asia Pacific. Replacing MYOB, Saleforce.com and numerous Excel spreadsheets, NetSuite OneWorld was deployed in 2012 to support financials, revenue recognition, subsidiary management, workflows to manage lead orders to cash and tax calculations in four currencies (SGD, MYR, IDR and THB) across Singapore, Malaysia, Indonesia and Thailand. Since deploying NetSuite OneWorld, PropertyGuru has grown from 100 to 300 employees and tripled its revenues in the same period. NetSuite OneWorld can also support PropertyGuru’s planned IPO on the Australian Securities Exchange later this year, enabling the company to run global auditing and accounting compliance reporting in multiple countries and currencies.

The PropertyGuru network comprises five regional portals that connect buyers, renters, real estate agents and developers in Singapore, Malaysia, Indonesia and Thailand. It was established in Singapore in 2007 and now supports the needs of 10 million visitors a month across the region. As soon as the company began to expand beyond Singapore, it became clear that its previous software systems were inadequate to support its Asia Pacific growth ambitions. PropertyGuru reviewed Microsoft Dynamics NAV and Sage, which were quickly dismissed as dated on-premise solutions, whilst NetSuite offered a true cloud-based business management solution with financial consolidation across its four subsidiaries, at a fraction of the cost. In addition, NetSuite OneWorld eliminates the need for a dedicated IT department and in-house servers.

“PropertyGuru is growing rapidly and we needed a solution that would scale with us and manage our business operations across multiple countries,” said Jani Rautiainen, co-founder and managing director of PropertyGuru Group. “NetSuite OneWorld allows us to consolidate financials from four different currencies in real-time, which has given us unprecedented insight into our operations, wherever and whenever we need it.”

NetSuite OneWorld offers PropertyGuru a unified cloud platform that enables the company to manage and run mission-critical business processes in real-time, driving business growth and unprecedented benefits that include:

  • Time savings – By implementing NetSuite OneWorld, PropertyGuru has slashed the time it takes for month-end close reconciliation from over a month to an average of 10 days. NetSuite’s financial management solution also offers strong expense management, streamlined and auditable revenue management, as well as full integration with order management, inventory and CRM functions to enable all stakeholders to work from a single source of finance, sales and customer data.
  • Efficiency – NetSuite OneWorld has transformed PropertyGuru’s revenue recognition process, which is highly complex due to the range of property listings available to customers and variable sales strategies in each region. It provides the customisation capabilities and flexible options required to streamline this process and ensure revenue transparency and reporting consistency. Since deployment, PropertyGuru’s online advertising revenue, which accounts for the majority of its revenue, has tripled.
  • Visibility – PropertyGuru has gained real-time global financial consolidation, including a 360-degree view of customers, data and financials across four countries, in four currencies. NetSuite provides real-time financial dashboards, reporting and analysis, enabling true value-added insights for PropertyGuru to identify issues, trends and opportunities and immediately drill down to the underlying transaction to take action.
  • Scalability – NetSuite OneWorld gives PropertyGuru the agility to expand into a new country with simple and swift in-house deployment, as it is an entirely scalable solution. This gives PropertyGuru the ability to match its business software spend with actual business needs, ensuring both controlled capital expenditure and a single unified platform across all markets.
  • Compliance – NetSuite OneWorld enables PropertyGuru to remain compliant with evolving accounting standards and regulations in the different countries within which it operates. It also has an audit and compliance reporting feature, which provides an always-on audit trail as well as built-in analytics and enhanced compliance support, which will help PropertyGuru as it prepares to IPO in Australia later this year.

“NetSuite has allowed us to fulfil our vision and really grow across the region—our senior management team has much better visibility into the entire business, enabling them to make more informed business decisions,” Mr Rautiainen said. “Our finance department has also significantly improved its processes. The real-time insights NetSuite OneWorld affords us from wherever we are across the world, has provided our finance team with much needed predictability and consistency. NetSuite is now core to our operations and we have big plans for how we can utilise it.”

PropertyGuru expects to expand its use of NetSuite OneWorld to encompass sales force commission, incentive compensation management and inventory management.

According to Reginald Singh, Vice President and General Manager, NetSuite Asia: “Advertising driven businesses like PropertyGuru that operate in numerous countries with multiple languages, require an agile, intelligent and entirely scalable solution like NetSuite OneWorld to ensure financial transactions and customer data flow seamlessly across functions and country operations. PropertyGuru is realising the efficiencies, insights and reduction in operating costs that deploying NetSuite can afford.”

Today, approximately 24,000 companies and subsidiaries depend on NetSuite to run complex, mission-critical business processes globally in the cloud. Since its inception in 1998, NetSuite has established itself as the leading provider of enterprise-class cloud ERP suites for divisions of large enterprises and mid-sized organisations seeking to upgrade their antiquated client/server ERP systems. NetSuite excels at streamlining business operations, as demonstrated by a recent Gartner study naming NetSuite as the fastest growing top 10 financial management systems vendor in the world. NetSuite continues its success in delivering the best cloud ERP/financial suites to businesses around the world, enabling them to lower IT costs significantly while increasing productivity, as the global adoption of the cloud accelerates.

For more information about NetSuite please visit www.netsuite.com.sg.

Follow @NetSuiteAPAC on Twitter for NetSuite news and real-time updates.

NOTE: NetSuite and the NetSuite logo are service marks of NetSuite Inc.

Logo – http://photos.prnewswire.com/prnh/20090924/SF81218LOGO-b

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SouFun Announces Fourth Quarter 2014 Results and Declares Cash Dividend to Shareholders

BEIJING, February 10, 2015 /PRNewswire/ — SouFun Holdings Limited (NYSE: SFUN) (“SouFun“), the leading real estate Internet portal in China, announced today its unaudited financial results for the fourth quarter of 2014. In addition, SouFun declared a cash dividend of $1.00 per ordinary share to its shareholders (one ordinary share equals five ADSs).

Fourth Quarter 2014 Highlights

  • Total Revenue increased by 2.7% year-on-year to $223.0 million.
    • Revenue from e-commerce services increased by 47.2% year-on-year to $98.7 million.
    • Revenue from marketing services decreased by 5.0% year-on-year to $92.2 million.
  • Operating income decreased by 15.1% year-on-year to $107.6 million. Non-GAAP operating income decreased by 16.1% year-on-year to $107.8 million. A description of the adjustments from GAAP to non-GAAP operating income is described below.
  • Net income attributable to SouFun‘s shareholders decreased by 26.4% year-on-year to $82.5 million.
    Fully diluted earnings per ADS decreased by 24.0% year-on-year to $0.19.
  • Non-GAAP net income attributable to SouFun’s shareholders decreased by 24.5% year-on-year to $95.2 million.
    Non-GAAP fully diluted earnings per ADS decreased by 25.0% year-on-year to $0.21.

Fiscal Year 2014 Highlights

  • Total Revenue increased by 10.3% year-on-year to $702.9 million.
  • Operating income decreased by 11.7% year-on-year to $309.5 million. Non-GAAP operating income decreased by 12.1% year-on-year to $314.2 million.
  • Net income attributable to SouFun‘s shareholders decreased by 15.2% year-on-year to $253.2 million.
    Fully diluted earnings per ADS decreased by 19.7% year-on-year to $0.57.
  • Non-GAAP net income attributable to SouFun‘s shareholders decreased by 10.5% year-on-year to $284.8 million.
    Non-GAAP fully diluted earnings per ADS decreased by 14.7% year-on-year to $0.64.

“We tried very hard to maintain a double digit growth for the whole year 2014 with our revenue but still saw net income decreasing for the first time in the past five years,” said Vincent Mo, Chairman and CEO of SouFun. “The transformation and expansion from a media platform to media, transaction and financial platforms is getting material and we hope to see contribution from these new business initiatives in the second half of this year.”

Fourth Quarter 2014 Results

Revenues

SouFun reported total revenues of $223.0 million for the fourth quarter of 2014, representing an increase of 2.7% from $217.2 million for the corresponding period in 2013, primarily driven by the growth in e-commerce services.

Revenue from marketing services was $92.2 million for the fourth quarter of 2014, a decrease of 5.0% from $97.1 million for the corresponding period in 2013, primarily due to difficult real estate market conditions.

Revenue from e-commerce services was $98.7 million for the fourth quarter of 2014, a 47.2% increase from $67.1 million for the same period in 2013, primarily due to the fast growth of our new e-commerce business.

Revenue from listing services was $25.2 million for the fourth quarter of 2014, a decrease of 49.7% from $50.0 million for the corresponding period in 2013, primarily due to discounts which the Company has offered to the agency clients since the end of June 2014.

Revenue from other value-added services was $6.8 million for the fourth quarter of 2014, an increase of 126.8% from $3.0 million for the corresponding period in 2013, primarily due to the rapid growth of our financial services and research related products. We began offering financial services on our financial platform since September in 2014, which primarily include loans to developers and home buyers.

Cost of Revenue

Cost of revenue was $42.7 million for the fourth quarter of 2014, an increase of 53.6% from $27.8 million for the corresponding period in 2013. The increase in cost of revenue was mainly driven by our new e-commerce model, increased staff cost, as well as an increase in VAT taxes and surcharges.

Gross margin was 80.8% for the fourth quarter of 2014, compared to 87.2% for the corresponding period in 2013.

Operating Expenses

Operating expenses were $72.8 million for the fourth quarter of 2014, an increase of 15.6 % from $63.0 million for the corresponding period in 2013.

Selling expenses were $47.6 million for the fourth quarter of 2014, an increase of 36.6% from $34.8 million for the corresponding period in 2013, primarily due to the new e-commerce model, and increased advertising and promotional expenses.

General and administrative expenses were $25.2 million for the fourth quarter of 2014, a decrease of 10.4% from $28.2 million for the corresponding period in 2013 primarily due to our cost control efforts.

Operating Income

Operating income was $107.6 million for the fourth quarter of 2014, a decrease of 15.1% from $126.7 million for the corresponding period in 2013.

Income Tax Expenses

Income tax expenses were $23.6 million for the fourth quarter of 2014, a 22.6% increase compared to $19.2 million for the corresponding period in 2013. Our effective tax rate was 22.2% for the fourth quarter of 2014 as compared to 14.6% for the same period in 2013. The increase in the effective tax rate was primarily due to the Fin48 effect of releasing our deferred tax liabilities in the fourth quarter of 2013, which drove down our effective tax rate in that earlier period.

Net Income and EPS

Net income attributable to SouFun’s shareholders was $82.5 million for the fourth quarter of 2014, a 26.4% decrease from $112.1 million for the corresponding period in 2013. Fully diluted earnings per ADS was $0.19 for the fourth quarter of 2014, a 24.0% decrease from $0.25 for the corresponding period in 2013.

Adjusted EBITDA

Adjusted EBITDA, defined as non-GAAP net income before income taxes, interest expenses, interest income, depreciation and amortization, was $112.2 million for the fourth quarter of 2014, a decrease of 15.0% as compared to $132.0 million for the corresponding period in 2013.

Cash

As of December 31, 2014, SouFun had cash, cash equivalents, and short-term investments of $809.9 million, compared to $896.9 million as of September 30, 2014. Cash flow used in operating activities was $5.0 million for the fourth quarter of 2014, compared to cash flow generated from operating activities of $142.4 million for the same period in 2013, which was mainly due to micro loans of approximately $45.3 million provided to developers and home buyers under our financial services platform, customer deposits of approximately $47.3 million paid to real estate developers in the fourth quarter of 2014.

Fiscal Year 2014 Results

Revenues

SouFun reported total revenues of $702.9 million for 2014, representing an increase of 10.3% from $637.4 million for 2013, primarily driven by the growth in marketing services and e-commerce services.

Revenue from marketing services was $294.5 million for 2014, an increase of 5.8% from $278.3 million for 2013.

Revenue from e-commerce services was $244.3 million for 2014, a 29.9% increase from $188.1 million for 2013. The growth was primarily driven by the fast growth of our new e-commerce business.

Revenue from listing services was $145.7 million for 2014, a decrease of 9.8% from $161.5 million for 2013. This decrease was primarily due to the slowdown in secondary home sales and our reduction in listing service fees.

Revenue from other value-added services was $18.4 million for 2014, an increase of 95.7% from $9.4 million for 2013, primarily due to the rapid growth of our financial services and research related products.

Cost of Revenue

Cost of revenue was $145.7 million for 2014, an increase of 42.2% from $102.5 million 2013. The increase in cost of revenue was mainly driven by our new e-commerce model, increased staff costs, as well as an increase in VAT taxes and surcharges.

Gross margin was 79.3% for 2014, compared to 83.9% for the corresponding period in 2013.

Operating Expenses

Operating expenses were $248.4 million for 2014, an increase of 34.1% from $185.3 million for 2013.

Selling expenses were $147.9 million for 2014, an increase of 45.1% from $101.9 million for 2013, primarily due to the new e-commerce model, increased advertising and promotional expenses and staff cost.

General and administrative expenses were $100.6 million for 2014, an increase of 20.6% from $83.4 million for 2013, primarily due to increased staff costs.

Operating Income

Operating income was $309.5 million for 2014, a decrease of 11.7% from $350.4 million for 2013.

Income Tax Expenses

Income tax expenses were $81.6 million for 2014, a 17.0% increase compared to $69.8 million for the corresponding period in 2013. The effective tax rate was 24.4% for 2014, compared to 18.9% for the corresponding period in 2013. The increase in the effective tax rate was primarily due to the release of deferred tax assets under Fin48 in 2013, which was not repeated in 2014.

Net Income and EPS

Net income attributable to SouFun’s shareholders was $253.2 million for 2014, a decrease of 15.2% from $298.6 million for the corresponding period in 2013. Fully diluted earnings per ADS was $0.57 for 2014, a 19.7% decrease from $0.71 for 2013.

Adjusted EBITDA

Adjusted EBITDA, defined as non-GAAP net income before income taxes, interest expenses, interest income, depreciation and amortization, was $333.0 million for 2014, a decrease of 10.3% as compared to $371.1 million for 2013.

Cash

Cash flow from operating activities was $214.4 million for 2014, a 47.5% decrease from $408.1 million for 2013, which was mainly due to entrust loans and micro loans of approximately $81.8 million provided to developers and home buyers under our financial services platform, customer deposits of approximately $47.3 million paid to real estate developers in 2014.

Business Outlook

SouFun estimates its total revenue for 2015 will be between $773 million and $780 million, representing a year-on-year increase of 10.0% to 11.0%. This forecast reflects SouFun’s current and preliminary view, which is subject to change.

Cash Dividend to Shareholders

In addition, SouFun declared a cash dividend of US$1.00 per share on SouFun’s ordinary shares. Five SouFun’s American depositary shares (“ADS”) represent one ordinary share.

The cash dividend will be paid by March 31, 2015 to shareholders of record as of the close of business on March 13, 2015. Dividends will be paid to SouFun’s ADS holders through the depositary bank, JPMorgan Chase Bank, N.A., subject to the terms of the deposit agreement, including the fees and expenses payable there under.

Conference Call Information

SouFun’s management team will host a conference call on the same day at 8:00 AM U.S. EST (9:00 PM Beijing / Hong Kong time).

The dial-in details for the live conference call are:

International Toll:

+65 6723-9381

Local Toll:

United States

+1 866-519-4004/+1 845-675-0437

Hong Kong

+852 800-906-601/ 3018-6771

Mainland China

+86 400-620-8038 / +86 800-819-0121

Passcode:

SFUN

A telephone replay of the call will be available after the conclusion of the conference call from 11:00 AM U.S. EST on February 10 through 11:59 PM February 18, 2015. The dial-in details for the telephone replay are:

International Toll:

+61 2-8199-0299

Toll-Free:

United States

+1 855-452-5696 / +1 646-254-3697

Hong Kong

+852 800-963-117 / +852 3051-2780

Mainland China

+86 400-602-2065 / +86 800-870-0206

Conference ID number:

75472858

A live and archived webcast of the conference call will be available on SouFun’s website at http://ir.fang.com.

About SouFun

SouFun operates the leading real estate Internet and mobile portal in China in terms of the number of page views and visitors to our websites and Apps in 2014. Through SouFun’s websites and Apps, we provide marketing, e-commerce, listing and other value-added services for China’s real estate and home furnishing and improvement sectors. Our user-friendly websites and Apps support active online communities and networks of users seeking information on, and other value-added services for, the real estate and home-related sectors in China. SouFun currently maintains about 100 offices to focus on local market needs and its website, Apps and database contains real estate related content covering more than 330 cities in China. For more information about SouFun, please visit http://ir.fang.com.

Safe Harbor Statements

This announcement contains 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. Such forward-looking 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,” “is expected to,” “anticipates,” “aim,” “future,” “intends,” “plans,” “believes,” “are likely to,” “estimates,” “may,” “should” and similar expressions. Such forward-looking statements include, without limitation, statements regarding the revenue outlook for 2015, SouFun’s strategic and operational plans to transform its business, expand transaction related products and financial services and invest in technology, products and people. Statements that are not historical facts, including statements about SouFun’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, the impact of the slowdown in the PRC real estate market on SouFun and the impact on revenues of our existing and new service fees reductions, the ability of SouFun to retain real estate listing agencies as customers during challenging economic periods, the success of SouFun’s new business initiatives, the ability of SouFun to manage its operating expenses, the impact of, measures taken or to be taken by the Chinese government to control real estate growth and prices and other events which could occur in the future, economic challenges in China’s real estate market, the impact of competitive market conditions for our services, our ability to maintain and increase our leadership in China’s home related internet sector, the uncertain regulatory landscape in China, fluctuations in our quarterly operating results, our continued ability to execute business strategies including our transaction and financial platforms, our ability to continue to expand in local markets, our reliance on online advertising sales and listing services for our revenues, any failure to successfully develop and expand our content, service offerings and features, including the success of new features to meet evolving market needs, and the technologies that support them, the impact on our results of any micro or other loans or other new products we launch, and, should we in the future make acquisitions, any failure to successfully integrate acquired businesses. In addition, our actual results are subject to completion of our audit for 2014 by our independent auditors and could differ, and such differences could be material, from the unaudited 2014 results reported herein.

Further information regarding these and other risks and uncertainties is included in our annual report on Form 20-F and other documents we have filed with the U.S. Securities and Exchange Commission. SouFun does not assume any obligation to update any forward-looking statements in this release and elsewhere, which apply only as of the date of this press release.

About Non-GAAP Financial Measures

To supplement SouFun’s consolidated financial results presented in accordance with United States Generally Accepted Accounting Principles (“GAAP”), SouFun uses in this press release the following measures defined as non-GAAP financial measures by the United States Securities and Exchange Commission: (1) non-GAAP operating income, (2) non-GAAP net income and (3) non-GAAP basic and diluted earnings per ordinary share and (4) adjusted EBITDA. The presentation of the non-GAAP financial information is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP. For more information on these non-GAAP financial measures, please see the table captioned “Reconciliation of GAAP and non-GAAP Results” set forth at the end of this press release.

SouFun believes that these non-GAAP financial measures provide meaningful supplemental information to investors regarding its operating performance by excluding share-based compensation expenses and the related tax effects, realized gain on available-for-sale security, interest income and expenses, income tax expenses, and depreciation expense for the three months ended Dec 31, 2014 and the year of 2014, which (1) may not be indicative of SouFun’s recurring core business operating results or (2) are not expected to result in future cash payments. These non-GAAP financial measures also facilitate management’s internal comparisons to SouFun’s historical performance and assist its financial and operational decision making. A limitation of using these non-GAAP financial measures is that share-based compensation, interest income and expenses, income tax expenses, and depreciation expenses have been and will continue to be a significant recurring expense that will continue to exist in SouFun’s business for the foreseeable future. Management compensates for these limitations by providing specific information regarding the GAAP amounts excluded from each non-GAAP measure. The accompanying tables have more details on the reconciliation between non-GAAP financial measures and their most directly comparable GAAP financial measures.

For investor and media inquiries, please contact:

Dr. Hua Lei
Deputy CFO
Phone: +86-10-5631-8661
Email: leihua@soufun.com

SouFun Holdings Limited

Condensed Consolidated Balance Sheets

(in thousands of U.S. dollars, except as noted)

ASSETS

December 31,

December 31,

2014

2013

Current assets:

(Unaudited)

(Audited)

Cash and cash equivalents

354,760

581,010

Restricted cash, current

97,988

255,917

Short-term investments

455,184

10,138

Accounts receivable, net

49,691

44,541

Funds receivable

62,163

37,124

Prepayment and other current assets

30,161

31,758

Customer deposits

47,312

Loan receivable, current

79,641

Deferred tax assets, current

2,991

3,165

Total current assets

1,179,891

963,653

Non-current assets:

Property and equipment, net

217,105

221,442

Loan receivable, non-current

2,009

Restricted cash, non-current

109,495

257,499

Deferred tax assets, non-current

1,570

1,728

Deposit for non-current assets

86,515

38,140

Long-term investments

121,292

Prepayment for business acquisition

9,806

Other non-current assets

16,556

22,627

Total non-current assets

564,348

541,436

Total assets

1,744,239

1,505,089

LIABILITIES AND SHAREHOLDERS’ EQUITY

Current liabilities:

Short-term loans

80,750

90,000

Deferred revenue

119,042

115,043

Accrued expenses and other liabilities

221,901

143,292

Income tax payable

35,394

43,688

Customers’ refundable fees

42,392

53,066

Amounts due to a related party

660

537

Total current liabilities

500,139

445,626

Non-current liabilities:

Long-term loans

100,000

180,750

Convertible senior notes

400,000

350,000

Deferred tax liabilities, non-current

111,026

84,767

Other non-current liabilities

385

479

Total non-current liabilities

611,411

615,996

Total Liabilities

1,111,550

1,061,622

Equity:

Class A ordinary shares, par value Hong Kong Dollar (“HK$”) 1 per share, 600,000,000 shares authorized for Class A and Class B in aggregate, and 58,364,924 shares and 57,440,895 shares issued and outstanding as at December 31, 2014 and December 31, 2013, respectively

7,495

7,376

Class B ordinary shares, par value HK$1 per share, 600,000,000 shares authorized for Class A and Class B in aggregate, and 24,336,650 shares and 24,336,650 shares issued and outstanding as at December 31, 2014 and December 31, 2013 , respectively

3,124

3,124

Additional paid-in capital

101,072

89,071

Accumulated other comprehensive income

49,566

43,381

Retained earnings

471,352

300,515

Total SouFun Holdings Limited shareholders’ equity

632,609

443,467

Noncontrolling interests

80

Total equity

632,689

443,467

TOTAL LIABILITIES AND EQUITY

1,744,239

1,505,089

SouFun Holdings Limited

Condensed Consolidated Statements of Comprehensive Income

(in thousands of U.S. dollars, except share data and per share data)

Three months ended

Year ended

December 31,

December 31,

December 31,

December 31,

2014

2013

2014

2013

(Unaudited)

(Unaudited)

(Unaudited)

(Audited)

Revenues:

Marketing services

92,227

97,077

294,484

278,322

E-commerce services

98,744

67,078

244,344

188,107

Listing services

25,157

49,979

145,654

161,547

Other value-added services

6,846

3,019

18,400

9,403

Total revenues

222,974

217,153

702,882

637,379

Cost of Revenues:

Cost of services

(42,712)

(27,802)

(145,739)

(102,488)

Total Cost of Revenues

(42,712)

(27,802)

(145,739)

(102,488)

Gross Profit

180,262

189,351

557,143

534,891

Operating expenses and income:

Selling expenses

(47,571)

(34,823)

(147,874)

(101,935)

General and administrative expenses

(25,228)

(28,161)

(100,571)

(83,384)

Other income

130

345

835

786

Operating Income

107,593

126,712

309,533

350,358

Foreign exchange gain (loss)

(34)

1

(44)

3

Interest income

9,606

8,278

43,857

27,803

Interest expense

(4,069)

(4,488)

(17,308)

(14,675)

Government grants

1,389

786

7,205

4,031

Other-than-temporary impairment on available -for-sale securities

(8,417)

(8,417)

Realized gain on available-for-sale security (includes $821 accumulated other comprehensive income reclassifications for unrealized net gains on available-for-sale security)

821

Gain on bargain purchase

102

Income before income taxes and noncontrolling interests

106,068

131,289

334,826

368,443

Income tax expenses

Income tax expenses

(23,566)

(19,215)

(81,609)

(69,781)

Net income

82,502

112,074

253,217

298,662

Net income attributable to noncontrolling

interests

(18)

53

Net income attributable to SouFun Holdings Limited shareholders

82,502

112,092

253,217

298,609

Other comprehensive income, net of tax

Foreign currency

Translation

5,908

6,941

(4,323)

20,150

Realized gain on available-for-sale security

(821)

Unrealized gain on available-for-sale security

(4,145)

10,508

78

Total other comprehensive income, net of tax

1,763

6,941

6,185

19,407

Comprehensive income

84,265

119,015

259,402

318,069

Earnings per share for Class A and Class B ordinary shares

Basic

1.01

1.43

3.08

3.82

Diluted

0.94

1.27

2.87

3.54

Earnings per ADS

Basic

0.20

0.29

0.62

0.76

Diluted

0.19

0.25

0.57

0.71

Weighted average number of Class A and Class B ordinary shares outstanding:

Basic

81,965,501

78,346,884

82,163,135

78,101,205

Diluted

91,186,744

88,469,234

92,208,620

84,602,678

Weighted average number of ADSs outstanding:

Basic

409,827,505

391,734,420

410,815,675

390,506,025

Diluted

455,933,720

442,346,170

461,043,100

423,013,390

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SouFun Holdings Limited

Reconciliation of GAAP and Non-GAAP Results

(in thousands of U.S. dollars, except share data and per share data)

Three months ended

Year ended

December 31,

December 31,

December 31,

December 31,

2014

2013

2014

2013

GAAP income from operations

107,593

126,712

309,533

350,358

Share-based compensation expense

184

1,793

4,682

7,028

Non-GAAP income from operations

107,777

128,505

314,215

357,386

GAAP net income

82,502

112,074

253,217

298,662

One-off tax benefit

(4,657)

(15,101)

Withholding tax related to dividends

4,075

12,103

23,164

28,632

Realized gain on available-for-sale security (includes $821 accumulated other comprehensive

Income reclassifications for unrealized net gains on available-for-sale security)

(821)

Other-than-temporary impairment on available-for-sale securities

8,417

8,417

Share-based compensation expense

184

1,793

4,682

7,028

Gain on bargain purchase

(102)

Non-GAAP net income

95,178

125,970

284,823

318,298