On August 10, Sogou announced the second quarter’s unaudited financial report up to June 30, 2020. According to the financial report data, Sogou’s total revenue in the quarter was 261 million US dollars, a year-on-year decrease of 14%; the net loss attributable to Sogou company was US $08.5 million; under the non US general accounting standards, the net loss attributable to Sogou was US $0.05 billion, the net loss in the previous quarter was $316 million, and the net profit in the same period last year was $213 million. The diluted loss per ads was $0.02, compared with $0.05 per ads in the same period last year. As of the time of publication, Sogou’s share price was $8.61, with a total market value of $3.347 billion.
according to the financial report data, the average daily activity of Sogou mobile input method in the second quarter was 484 million, up 6% year-on-year; the average daily voice requests exceeded 1.4 billion. Sogou had $1.2 billion in cash and cash equivalents and short-term investments as of June 30, 2020, compared with $1.1 billion as of December 31, 2019. Sogou net operating cash inflow in the quarter was $49.2 million and capital expenditure was $5.8 million. Zhou Wenjuan, CFO of Sogou, said that although the company’s quarterly performance was under pressure due to the long-term impact of the epidemic, its net loss has been continuously shrinking.
this may be Sogou’s last financial report, because on July 27, 2020, Sogou announced that it had received Tencent’s initial non binding offer to acquire the remaining shares of the company at a price of US $9 / ads. the proposal letter indicates that Tencent intends to purchase the company in cash. If the deal is reached, Sogou will be privatized from the NYSE.
as of March 31, 2020, Tencent is the single largest shareholder of Sogou, while Sohu. O and Zhang Chaoyang hold 40.2% shares. Wang Xiaochuan, CEO of Sogou, expressed his gratitude to Tencent for its recognition of Sogou’s value, technical ability and product innovation ability. Next, we will seriously discuss and measure the relevant issues, so that Sogou can continue to create greater value for users. Affected by this, Sogou closed up 48% and Sohu closed up 39.96%.
today, Sohu also released the financial report of the second quarter of 2020. According to the financial report data, its total revenue in the second quarter was $421 million; brand advertising revenue was $38 million, down 14% from the same period in 2019, up 48% over the previous quarter; search and search related advertising revenue was $241 million, up 1% month on month; Online%; the net loss of US GAAP attributable to Sohu was $80 million.
after deducting the effect of Changyou’s accrued income tax, the non US GAAP net profit attributable to Sohu company is US $11 million. After further deducting the net loss of Sogou, the non US GAAP net profit attributable to Sohu was US $12 million, compared with us $41 million in the same period last year and US $08 million in the last quarter. When asked about Tencent’s acquisition of Sogou, chairman Zhang Chaoyang of Sohu did not comment on it.
on July 31, 2020, Sogou announced the establishment of an independent special committee to review Tencent’s preliminary non binding acquisition proposal; neither the board of directors nor the special committee made any decision on the company’s acquisition proposal for Tencent. In terms of procedure, the acquisition plan should be voted by the board of directors first, then the shareholders’ meeting should be held to vote, and then the application should be submitted to the sec. According to the first financial reporter, Sogou and Tencent are still in the process of trading.