Moatable Reports Third Quarter 2023 Financial Results

PHOENIX, Nov. 17, 2023 /PRNewswire/ — Moatable, Inc. (NYSE: MTBL) (“Moatable” or the “Company”), which operates two US-based SaaS businesses, Lofty Inc.© and Trucker Path Inc.©, today reported its third quarter 2023 financial results.

Third Quarter 2023 Financial Highlights

Revenue increased 11% from $12.0 million in Q3 2022 to $13.3 million in Q3 2023; Revenue for the nine months ended September 30, 2023 increased 15%, to $38.3 million, compared to $33.3 million in the same period last year.
Gross profit increased 13% from $9.3 million in Q3 2022 to $10.5 million in Q3 2023; Gross profit for the nine months ended September 30, 2023 increased 18% to $30.2 million, compared to $25.7 million in the same period last year.
Loss from operations improved 72% from a loss of $2.9 million in Q3 2022 to a loss of $0.8 million in Q3 2023; loss from operations for the nine months ended September 30, 2023 improved 38% to $7.0 million compared to $11.4 million in the same period last year.
Adjusted (loss) income from operations* improved 102% from a loss of $1.9 million in Q3 2022 to an income of $43 thousand in Q3 2023; adjusted loss from operations* for the nine months ended on September 30, 2023 improved 42% to $4.5 million compared to $7.7 million in the same period last year.
Total cash & cash equivalents and short-term investments of $49.9 million as of the end of Q3 2023 compared to $52.0 million as of the end of 2022.

“We are pleased with our continued steady growth in year-over-year revenue and are particularly encouraged by our return to profitability during the third quarter, on an adjusted income (loss) from operations basis, as we continue to rationalize our cost structure while on our path to profitability”, said Michael Schifsky, interim chief financial officer of the Company.

* Adjusted income (loss) from operations is a non-GAAP measure. We define adjusted income (loss) from operations as income (loss) from operations excluding share-based compensation expenses and depreciation and amortization expenses. See “Reconciliation of Non-GAAP Financial Measure to the Comparable GAAP Financial Measure” below.

About Moatable Inc.

Moatable, Inc. (NYSE: MTBL) operates two US-based SaaS businesses including Lofty Inc. (formerly known as Chime Technologies, Inc.) and Trucker Path, Inc., Moatable’s American depositary shares, each of which currently represents forty-five Class A ordinary shares, trade on NYSE under the symbol “MTBL”.

Forward-Looking Statements

This announcement contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates” and similar statements. Statements that are not historical facts, including statements about Moatable’s beliefs and expectations, including statements on making investments and operating businesses that generate long-term returns for investors, and expectations for future growth and innovation are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: Moatable’s goals and strategies; Moatable’s future business development, financial condition and results of operations; Moatable’s expectations regarding demand for and market acceptance of its services; Moatable’s plans to enhance user experience, infrastructure and service offerings. Further information regarding these and other risks is included in our annual report on Form 10-K for the year ended December 31, 2022 and other documents filed with the SEC. All information provided in this press release is as of the date of this press release, and Moatable does not undertake any obligation to update any forward-looking statement, except as required under applicable law. 

MOATABLE, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)

FOR THE THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2022 and 2023

(In thousands of US dollars)

For the three months ended
September 30,

For the nine months ended
September 30,

2022

2023

2022

2023

Revenues:

 SaaS revenue

$

11,849

$

13,260

$

32,964

$

38,188

 Other services

149

31

340

120

Total revenues

11,998

13,291

33,304

38,308

Cost of revenues:

 SaaS business

2,501

2,782

7,427

8,005

 Other services

191

31

226

152

Total cost of revenues

2,692

2,813

7,653

8,157

Gross profit

9,306

10,478

25,651

30,151

Operating expenses

 Selling and marketing

4,828

4,382

14,456

13,917

 Research and development

4,274

4,267

11,964

14,080

 General and administrative

3,102

2,628

10,663

9,203

Total operating expenses

12,204

11,277

37,083

37,200

Loss from operations

(2,898)

(799)

(11,432)

(7,049)

RECONCILIATION OF NON-GAAP FINANCIAL MEASURE TO THE COMPARABLE GAAP
FINANCIAL MEASURE

FOR THE THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2022 and 2023

(In thousands of US dollars)

For the three months ended September 30,

For the nine months ended September 30,

2022

2023

2022

2023

Loss from operations

$

(2,898)

$

(799)

$

(11,432)

$

(7,049)

Depreciation and
Amortization expenses

60

55

173

325

Share-based
compensation expenses

912

787

3,523

2,265

  Adjusted (loss) income
from operations

$

(1,926)

$

43

$

(7,736)

$

(4,459)

SOURCE Moatable, Inc.


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