Financial Performance - SaaS revenue for Q3 2023 reached $13,260 million, a 12% increase from $11,849 million in Q3 2022[21]. - Total revenues for the nine months ended September 30, 2023, were $38,308 million, up from $33,304 million in the same period of 2022, representing a 15% growth[21]. - Gross profit for Q3 2023 was $10,478 million, compared to $9,306 million in Q3 2022, indicating a 12.6% increase[21]. - Operating expenses for Q3 2023 totaled $11,277 million, a decrease of 7.6% from $12,204 million in Q3 2022[21]. - Net loss for Q3 2023 was $6,958 million, significantly improved from a net loss of $52,471 million in Q3 2022[24]. - Comprehensive loss attributable to Moatable Inc. for Q3 2023 was $6,706 million, compared to $51,050 million in Q3 2022, reflecting a substantial reduction[24]. - The net loss for the nine months ended September 30, 2023, was $6,850,000, compared to a net loss of $52,134,000 for the same period in 2022, indicating a significant reduction in losses[27]. - For the nine months ended September 30, 2023, the net loss was $10,385, compared to a net loss of $57,703 for the same period in 2022, indicating a significant improvement[31]. - The company reported a net loss per share of $0.008 for Q3 2023, compared to a net loss per share of $0.046 for Q3 2022[21]. Assets and Liabilities - Total assets decreased from $95,656,000 as of December 31, 2022, to $86,452,000 as of September 30, 2023, representing a decline of approximately 9.1%[16]. - Total current liabilities rose from $28,942,000 to $36,176,000, an increase of approximately 25.0%[16]. - Shareholders' equity decreased from $66,714,000 to $50,055,000, reflecting a decline of about 25.0%[19]. - The accumulated deficit increased from $697,299,000 to $714,272,000, indicating a worsening of approximately 2.4%[19]. - The company reported a decrease in long-term investments from $25,768,000 to $19,952,000, a decline of about 22.6%[16]. - The balance of cash and cash equivalents as of September 30, 2023, was $64,906,000, reflecting a decrease from the previous year[27]. - The company had working capital of $20.7 million as of September 30, 2023, down from $31.9 million as of December 31, 2022[156]. Cash Flow and Investments - The company generated nearly 100% of its revenue from the U.S. market through its two SaaS businesses, Lofty and Trucker Path[34]. - The company reported a fair value change on long-term investments of $5,989 for the nine months ended September 30, 2023, compared to a loss of $5,172 in the same period of 2022[31]. - Cash flows from investing activities showed a net cash outflow of $7,370 for the nine months ended September 30, 2023, compared to a net inflow of $18,615 in the prior year[31]. - The company made a payment of $1,164 for the acquisition of subsidiaries, net of cash acquired, during the reporting period[31]. - The company reported a loss of $6.0 million from fair value changes of a long-term investment for the nine months ended September 30, 2023, compared to a gain of $5.2 million in the same period of 2022[152]. Research and Development - The company anticipates future investments in sales and marketing, research and development, and customer service to support growth[10]. - The company aims to expand its sales organization and R&D activities to serve existing and new target markets[10]. - Research and development expenses for the nine months ended September 30, 2023, were $14,080 million, an increase from $11,964 million in the same period of 2022[21]. - The company incurred research and development expenses of $14.1 million for the nine months ended September 30, 2023, up from $12.0 million in the same period of 2022, marking a 17% increase[167]. Shareholder Actions - The company repurchased Class A ordinary shares totaling 152,870,520 shares, resulting in a reduction of $1,249,000 in treasury stock[27]. - The Board approved an increase in the Stock Repurchase Program from $10 million to $15 million, extending the expiration date to December 31, 2024[80]. - The Company repurchased 1,221,451 ADSs for $1,953 million during the nine months ended September 30, 2023, at a weighted average price of $1.60 per ADS[81]. Internal Controls and Compliance - As of September 30, 2023, the company identified two material weaknesses in internal control over financial reporting, which remain unremediated[175]. - The company concluded that its internal control over financial reporting was not effective as of September 30, 2023, despite the consolidated financial statements presenting fairly in all material respects[176]. - The company acknowledges that its internal control system cannot provide absolute assurance due to inherent limitations, including human error and resource constraints[180]. - The management is committed to monitoring the effectiveness of remediation steps and making necessary adjustments[178].
Moatable(MTBL) - 2023 Q3 - Quarterly Report