ContextLogic Inc. (d/b/a Wish) (Nasdaq: WISH), one of the largest
mobile ecommerce platforms, today reported its financial results
for the quarter and six months ended June 30, 2023.
Second Quarter 2023 Financial
Highlights
- Revenues: Revenues
were $78 million, a decrease of 42% YoY
- Core Marketplace
revenues were $24 million, down 56% YoY
- Product Boost
revenues were $6 million, down 45% YoY
- Logistics revenues
were $48 million, down 30% YoY
- Net Loss: Net loss
was $80 million, compared to a net loss of $90 million in the
second quarter of 2022
- Net loss per share
was $3.38, compared to a net loss of $4.05 per share in the second
quarter of 2022
- Adjusted EBITDA:
Adjusted EBITDA(1) was a loss of $66 million, compared to a loss of
$58 million in the second quarter of 2022
- Cash Flow: Cash
flows from operating activities were negative $88 million
- Free Cash Flow(1)
was negative $91 million, compared to negative $67 million in the
second quarter of 2022
"Our second quarter results reflect a
continuingly challenging operating environment. While our adjusted
EBITDA results were in-line with expectations, we experienced macro
and competitive pressure on our top-line performance with total
revenues declining 42% year-over-year," said Joe Yan, Wish CEO.
“Looking ahead to the remainder of the year, we recognize that
macroeconomic uncertainties and competitive pressures will likely
persist. In response to this dynamic environment and to position
Wish to thrive over the longer term, we are taking aggressive
actions to significantly lower our cost structure and improve our
operational efficiencies. To that end, and with the intention of
putting us back on the path to sustainable growth, the entire Wish
team remains focused on further improving customer experiences and
deepening merchant relationships."
Third Quarter Fiscal 2023 Financial
Guidance
- Revenue: Revenue is expected to be in
the range of $55 million to $65 million.
- Adjusted EBITDA: Adjusted EBITDA(1)(2)
is expected to be a loss in the range of $55 million to $65
million.
Second Quarter Consolidated Financials
The following tables include unaudited GAAP and non-GAAP
financial highlights for the periods presented:
Revenue(in millions, except percentages;
unaudited)
|
Three Months Ended |
|
|
|
|
|
|
|
Six Months Ended |
|
|
|
|
|
|
|
June 30, |
|
|
|
|
June 30, |
|
|
|
|
2023 |
|
2022 |
|
$ |
|
|
YoY% |
|
|
2023 |
|
2022 |
|
$ |
|
|
YoY% |
|
Core marketplace revenue |
$ |
24 |
|
$ |
54 |
|
$ |
(30 |
) |
|
(56 |
)% |
|
$ |
52 |
|
$ |
144 |
|
$ |
(92 |
) |
|
(64 |
)% |
ProductBoost revenue |
|
6 |
|
|
11 |
|
|
(5 |
) |
|
(45 |
)% |
|
|
14 |
|
|
25 |
|
|
(11 |
) |
|
(44 |
)% |
Marketplace revenue |
|
30 |
|
|
65 |
|
|
(35 |
) |
|
(54 |
)% |
|
|
66 |
|
|
169 |
|
|
(103 |
) |
|
(61 |
)% |
Logistics revenue |
|
48 |
|
|
69 |
|
|
(21 |
) |
|
(30 |
)% |
|
|
108 |
|
|
154 |
|
|
(46 |
) |
|
(30 |
)% |
Revenue |
$ |
78 |
|
$ |
134 |
|
$ |
(56 |
) |
|
(42 |
)% |
|
$ |
174 |
|
$ |
323 |
|
$ |
(149 |
) |
|
(46 |
)% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other Financial Data(in millions, except
percentages; unaudited)
|
Three Months Ended |
|
|
Six Months Ended |
|
|
June 30, |
|
|
June 30, |
|
|
2023 |
|
|
2022 |
|
|
2023 |
|
|
2022 |
|
Net loss |
$ |
(80 |
) |
|
$ |
(90 |
) |
|
$ |
(169 |
) |
|
$ |
(150 |
) |
% of Revenue |
|
(102 |
)% |
|
|
(67 |
)% |
|
|
(97 |
)% |
|
|
(47 |
)% |
Adjusted EBITDA(1) |
$ |
(66 |
) |
|
$ |
(58 |
) |
|
$ |
(128 |
) |
|
$ |
(98 |
) |
% of Revenue |
|
(85 |
)% |
|
|
(43 |
)% |
|
|
(74 |
)% |
|
|
(30 |
)% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Forward Looking Guidance - Third Quarter
2023(in millions, except percentages, unaudited)
We expect the following financial results for revenue and
Adjusted EBITDA in the period presented below:
|
|
Three Months Ended |
|
|
|
September 30, 2023 |
|
Revenue |
|
$ |
55 |
|
to |
$ |
65 |
|
% YoY |
|
|
(56 |
)% |
|
|
(48 |
)% |
Adjusted
EBITDA(1)(2) |
|
$ |
(55 |
) |
to |
$ |
(65 |
) |
% YoY |
|
|
42 |
% |
|
|
32 |
% |
|
(1) Indicates non-GAAP metric. See below for more information
regarding our presentation of non-GAAP metrics in the section
titled: “Use of Non-GAAP Financial Measures.” |
|
(2) Wish has not provided a quantitative reconciliation of
forecasted Adjusted EBITDA to forecasted GAAP net income (loss) for
Adjusted EBITDA within this release because the company is unable,
without making unreasonable efforts, to calculate certain
reconciling items with confidence. These items include, but are not
limited to stock-based compensation and income taxes which are
impacted by unpredictable fluctuations in the market price of the
company's Class A common stock. |
|
Conference Call & Webcast
Information
Information about Wish’s financial results,
including a link to the live webcast and replay will be made
available on the company’s investor relations website at
https://ir.wish.com. The live conference call may be accessed by
registering using this online form. Upon registration, all
telephone participants will receive the dial-in number along with a
unique PIN number that can be used to access the call.
About Wish
Wish brings an affordable and entertaining
shopping experience to millions of consumers around the world.
Since our founding in San Francisco in 2010, we have become one of
the largest global ecommerce platforms, connecting millions of
value-conscious consumers to hundreds of thousands of merchants
globally. Wish combines technology and data science capabilities
and an innovative discovery-based mobile shopping experience to
create a highly-visual, entertaining, and personalized shopping
experience for its users. For more information about the company or
to download the Wish mobile app, visit www.wish.com or follow @Wish
on Facebook, Instagram and TikTok or @WishShopping on Twitter and
YouTube.
Use of Non-GAAP Financial
Measures
We provide Adjusted EBITDA, a non-GAAP financial
measure that represents our loss before interest and other income,
net (which includes foreign exchange gain or loss and other
non-operating income and expenses), income tax expense, and
depreciation and amortization, adjusted to eliminate stock-based
compensation expense, lease termination and impairment related
expenses, restructuring and other discrete charges, and to add back
certain recurring items. Additionally, we provide Adjusted EBITDA
Margin, a non-GAAP financial measure that represents Adjusted
EBITDA Margin divided by revenue. The reconciliation between
historical GAAP and non-GAAP results of operations is provided
below. Our management uses Adjusted EBITDA and Adjusted EBITDA
Margin in conjunction with GAAP and other operating performance
measures as part of its overall assessment of the company’s
performance for planning purposes, including the preparation of its
annual operating budget, to evaluate the effectiveness of its
business strategies and to communicate with its board of directors
concerning its financial performance. Adjusted EBITDA and Adjusted
EBITDA Margin should not be considered as an alternative financial
measure to net loss and net loss as a percentage of revenue, which,
respectively, are the most directly comparable financial measures
calculated in accordance with GAAP, or any other measure of
financial performance calculated in accordance with GAAP. We also
provide Free Cash Flow, a non-U.S. GAAP financial measure that
represents net cash used in operating activities less purchases of
property and equipment. We believe that Free Cash Flow is an
important measure since we use third parties to host our services
and therefore we do not incur significant capital expenditures to
support revenue generating activities. The reconciliation between
net cash used in operating activities and Free Cash Flow is
provided below. Free Cash Flow has limitations as an analytical
measure, and you should not consider it in isolation or as a
substitute for analysis of our net cash used in operating
activities, which is the most directly comparable financial measure
calculated in accordance with GAAP, or any other measure of
financial performance calculated in accordance with GAAP.
Forward-Looking Statements
This news release contains forward-looking
statements within the meaning of the Safe Harbor provisions of the
Private Securities Litigation Reform Act of 1995. All statements
other than statements of historical fact could be deemed
forward-looking, including, but not limited to, statements
regarding Wish’s outlook including expectations with respect to
revenues, adjusted EBITDA, expectations regarding new business
strategies, including cost-savings strategies, and ability to
capitalize on opportunities, and other quotes of management. In
some cases, forward-looking statements can be identified by terms
such as “anticipates,” “believes,” “could,” “estimates,” “expects,”
“foresees,” “forecasts,” “guidance,” “intends” “goals,” “may,”
“might,” “outlook,” “plans,” “potential,” “predicts,” “projects,”
“seeks,” “should,” “targets,” “will,” “would” or similar
expressions and the negatives of those terms. These forward-looking
statements are subject to risks, uncertainties, and assumptions. If
the risks materialize or assumptions prove incorrect, actual
results could differ materially from the results implied by these
forward-looking statements. Risks include, but are not limited to:
our ability to attract, retain and monetize users; risks associated
with software updates to the platform; compliance with Nasdaq
continued listing requirements; increasing requirements on
collection of sales and value added taxes; the success of our
execution on new business strategies; compromises in security;
changes by third-parties that restrict our access or ability to
identify users; competition; disruption, degradation or
interference with the hosting services we use and infrastructure;
our financial performance and fluctuations in operating results;
pressure and fluctuation in our stock price, including as a result
of short selling and short squeezes; challenges in our logistics
programs; challenges in growing new initiatives; material
weaknesses in our internal control over financial reporting and the
effectiveness of our internal controls generally; the continued
services and retention of members of our senior management team and
key talent; our ability to offer and promote our app on the Apple
App Store and the Google Play Store; the risk of merchants on our
platform using unethical or illegal business practices or if our
policies and practices with respect to such sales are perceived or
found to be inadequate; our ability to promote, maintain, and
protect our brand and reputation; litigation matters; the ongoing
COVID-19 pandemic; supply chain issues; general economic
conditions, including the impact of inflation, higher interest
rates, potential economic downturns; global conflicts, including
the Russian invasion of Ukraine; economic tension between the
United States and China; and the risk our cost savings strategies
will not yield the savings we expect or otherwise result in
material adverse effects on us. New risks emerge from time to time.
It is not possible for our management to predict all risks, nor can
we assess the impact of all factors on our business or the extent
to which any factor, or combination of factors, may cause actual
results to differ materially from those contained in any
forward-looking statements we may make. Further information on
these and additional risks that could affect Wish’s results is
included in its filings with the Securities and Exchange Commission
(“SEC”), including its most recent Annual Report on Form 10-K and
Quarterly Report on Form 10-Q, and future reports that Wish may
file with the SEC from time to time, which could cause actual
results to vary from expectations. Any forward-looking statement
made by Wish in this news release speaks only as of the day on
which Wish makes it. Wish assumes no obligation to, and does not
currently intend to, update any such forward-looking statements
after the date of this release.
The unaudited financial results in this news
release are estimates based on information currently available to
Wish. While Wish believes these estimates are meaningful, they
could differ from the actual amounts that the company ultimately
reports in its Quarterly Report on Form 10-Q for the three and six
months ended June 30, 2023. Wish assumes no obligation and does not
intend to update these estimates prior to filing its Quarterly
Report on Form 10-Q for the three months and six months ended June
30, 2023.
ContextLogic Inc.Condensed Consolidated
Balance Sheets(in
millions)(unaudited) |
|
|
|
As of June 30, |
|
|
As of December 31, |
|
|
|
2023 |
|
|
2022 |
|
Assets |
|
|
|
|
|
|
Current assets: |
|
|
|
|
|
|
Cash and cash equivalents |
|
$ |
318 |
|
|
$ |
506 |
|
Marketable securities |
|
|
213 |
|
|
|
213 |
|
Funds receivable |
|
|
4 |
|
|
|
14 |
|
Prepaid expenses and other current assets |
|
|
30 |
|
|
|
44 |
|
Total current assets |
|
|
565 |
|
|
|
777 |
|
Property and equipment,
net |
|
|
9 |
|
|
|
9 |
|
Right-of-use assets |
|
|
6 |
|
|
|
9 |
|
Other assets |
|
|
4 |
|
|
|
4 |
|
Total assets |
|
$ |
584 |
|
|
$ |
799 |
|
Liabilities and
Stockholders’ Equity |
|
|
|
|
|
|
Current liabilities: |
|
|
|
|
|
|
Accounts payable |
|
$ |
36 |
|
|
$ |
53 |
|
Merchants payable |
|
|
87 |
|
|
|
120 |
|
Refunds liability |
|
|
3 |
|
|
|
6 |
|
Accrued liabilities |
|
|
110 |
|
|
|
130 |
|
Total current liabilities |
|
|
236 |
|
|
|
309 |
|
Lease liabilities,
non-current |
|
|
9 |
|
|
|
13 |
|
Other liabilities |
|
|
2 |
|
|
|
— |
|
Total liabilities |
|
|
247 |
|
|
|
322 |
|
Stockholders’ equity |
|
|
337 |
|
|
|
477 |
|
Total liabilities and
stockholders’ equity |
|
$ |
584 |
|
|
$ |
799 |
|
|
|
|
|
|
|
|
ContextLogic Inc.Condensed Consolidated
Statements of Operations($ in millions, shares in
thousands, except per share
data)(unaudited) |
|
|
Three Months Ended |
|
|
|
Six Months Ended |
|
|
June 30, |
|
|
|
June 30, |
|
|
2023 |
|
|
|
2022 |
|
|
|
2023 |
|
|
|
2022 |
|
Revenue |
$ |
78 |
|
|
|
$ |
134 |
|
|
|
$ |
174 |
|
|
|
$ |
323 |
|
Cost of revenue(1) |
|
62 |
|
|
|
|
92 |
|
|
|
|
138 |
|
|
|
|
217 |
|
Gross profit |
|
16 |
|
|
|
|
42 |
|
|
|
|
36 |
|
|
|
|
106 |
|
Operating expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales and marketing(1) |
|
39 |
|
|
|
|
56 |
|
|
|
|
76 |
|
|
|
|
101 |
|
Product development(1) |
|
38 |
|
|
|
|
46 |
|
|
|
|
89 |
|
|
|
|
112 |
|
General and administrative(1) |
|
22 |
|
|
|
|
31 |
|
|
|
|
47 |
|
|
|
|
46 |
|
Total operating expenses |
|
99 |
|
|
|
|
133 |
|
|
|
|
212 |
|
|
|
|
259 |
|
Loss from operations |
|
(83 |
) |
|
|
|
(91 |
) |
|
|
|
(176 |
) |
|
|
|
(153 |
) |
Other income, net: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest and other income, net |
|
6 |
|
|
|
|
2 |
|
|
|
|
10 |
|
|
|
|
4 |
|
Loss before provision for
income taxes |
|
(77 |
) |
|
|
|
(89 |
) |
|
|
|
(166 |
) |
|
|
|
(149 |
) |
Provision for income
taxes |
|
3 |
|
|
|
|
1 |
|
|
|
|
3 |
|
|
|
|
1 |
|
Net loss |
|
(80 |
) |
|
|
|
(90 |
) |
|
|
|
(169 |
) |
|
|
|
(150 |
) |
Net loss per share, basic and
diluted |
$ |
(3.38 |
) |
|
|
$ |
(4.05 |
) |
|
|
$ |
(7.21 |
) |
|
|
$ |
(6.77 |
) |
Weighted-average shares used
in computing net loss per share, basic and diluted |
|
23,651 |
|
|
|
|
22,241 |
|
|
|
|
23,451 |
|
|
|
|
22,146 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Includes the following stock-based compensation expense:
|
|
Three Months Ended |
|
|
Six Months Ended |
|
|
|
June 30, |
|
|
June 30, |
|
|
|
2023 |
|
|
2022 |
|
|
2023 |
|
|
2022 |
|
Cost of revenue |
|
$ |
1 |
|
|
$ |
3 |
|
|
$ |
2 |
|
|
$ |
2 |
|
Sales and marketing |
|
|
1 |
|
|
|
2 |
|
|
|
2 |
|
|
|
3 |
|
Product development |
|
|
9 |
|
|
|
14 |
|
|
|
25 |
|
|
|
28 |
|
General and
administrative |
|
|
4 |
|
|
|
10 |
|
|
|
12 |
|
|
|
(6 |
) |
Total stock-based compensation |
|
$ |
15 |
|
|
$ |
29 |
|
|
$ |
41 |
|
|
$ |
27 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ContextLogic Inc.Condensed Consolidated
Statements of Cash Flows(in
millions)(unaudited) |
|
|
Three Months Ended |
|
|
|
Six Months Ended |
|
|
June 30, |
|
|
|
June 30, |
|
|
2023 |
|
|
|
2022 |
|
|
|
2023 |
|
|
|
2022 |
|
Cash flows from
operating activities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss |
$ |
(80 |
) |
|
|
$ |
(90 |
) |
|
|
$ |
(169 |
) |
|
|
$ |
(150 |
) |
Adjustments to reconcile net loss to net cash used in operating
activities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noncash inventory write downs |
|
— |
|
|
|
|
— |
|
|
|
|
— |
|
|
|
|
3 |
|
Depreciation and amortization |
|
1 |
|
|
|
|
2 |
|
|
|
|
2 |
|
|
|
|
4 |
|
Noncash lease expense |
|
1 |
|
|
|
|
1 |
|
|
|
|
2 |
|
|
|
|
3 |
|
Impairment of lease assets and property and equipment |
|
1 |
|
|
|
|
2 |
|
|
|
|
1 |
|
|
|
|
6 |
|
Stock-based compensation expense |
|
15 |
|
|
|
|
29 |
|
|
|
|
41 |
|
|
|
|
27 |
|
Net (accretion) amortization of discounts and premiums on
marketable securities |
|
(2 |
) |
|
|
|
1 |
|
|
|
|
(4 |
) |
|
|
|
1 |
|
Other |
|
(3 |
) |
|
|
|
(4 |
) |
|
|
|
(5 |
) |
|
|
|
(2 |
) |
Changes in operating assets
and liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Funds receivable |
|
1 |
|
|
|
|
2 |
|
|
|
|
10 |
|
|
|
|
5 |
|
Prepaid expenses, other current and noncurrent assets |
|
9 |
|
|
|
|
3 |
|
|
|
|
14 |
|
|
|
|
2 |
|
Accounts payable |
|
(3 |
) |
|
|
|
15 |
|
|
|
|
(16 |
) |
|
|
|
(12 |
) |
Merchants payable |
|
(23 |
) |
|
|
|
(17 |
) |
|
|
|
(33 |
) |
|
|
|
(52 |
) |
Accrued and refund liabilities |
|
(3 |
) |
|
|
|
(9 |
) |
|
|
|
(18 |
) |
|
|
|
(42 |
) |
Lease liabilities |
|
(2 |
) |
|
|
|
(2 |
) |
|
|
|
(4 |
) |
|
|
|
(4 |
) |
Other current and noncurrent liabilities |
|
— |
|
|
|
|
— |
|
|
|
|
(1 |
) |
|
|
|
(2 |
) |
Net cash used in operating
activities |
|
(88 |
) |
|
|
|
(67 |
) |
|
|
|
(180 |
) |
|
|
|
(213 |
) |
Cash flows from
investing activities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Purchases of property and equipment and development of internal-use
software |
|
(3 |
) |
|
|
|
— |
|
|
|
|
(3 |
) |
|
|
|
(2 |
) |
Purchases of marketable securities |
|
(45 |
) |
|
|
|
(73 |
) |
|
|
|
(170 |
) |
|
|
|
(226 |
) |
Maturities of marketable securities |
|
91 |
|
|
|
|
87 |
|
|
|
|
176 |
|
|
|
|
137 |
|
Net cash provided by (used) in
investing activities |
|
43 |
|
|
|
|
14 |
|
|
|
|
3 |
|
|
|
|
(91 |
) |
Cash flows from
financing activities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Proceeds from issuance of common stock through employee equity
incentive plans |
|
— |
|
|
|
|
1 |
|
|
|
|
— |
|
|
|
|
1 |
|
Payments of taxes related to RSU settlement |
|
(1 |
) |
|
|
|
(5 |
) |
|
|
|
(4 |
) |
|
|
|
(5 |
) |
Net cash used in financing
activities |
|
(1 |
) |
|
|
|
(4 |
) |
|
|
|
(4 |
) |
|
|
|
(4 |
) |
Foreign currency effects on
cash, cash equivalents and restricted cash |
|
(8 |
) |
|
|
|
(9 |
) |
|
|
|
(7 |
) |
|
|
|
(9 |
) |
Net decrease in cash, cash
equivalents and restricted cash |
|
(54 |
) |
|
|
|
(66 |
) |
|
|
|
(188 |
) |
|
|
|
(317 |
) |
Cash, cash equivalents and
restricted cash at beginning of period |
|
379 |
|
|
|
|
767 |
|
|
|
|
513 |
|
|
|
|
1,018 |
|
Cash, cash equivalents and
restricted cash at end of period |
$ |
325 |
|
|
|
$ |
701 |
|
|
|
$ |
325 |
|
|
|
$ |
701 |
|
Reconciliation of
cash, cash equivalents, and restricted cash to the condensed
consolidated balance sheets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents |
$ |
318 |
|
|
|
$ |
693 |
|
|
|
$ |
318 |
|
|
|
$ |
693 |
|
Restricted cash included in
prepaid and other current assets in the condensed consolidated
balance sheets |
|
7 |
|
|
|
|
8 |
|
|
|
|
7 |
|
|
|
|
8 |
|
Total cash, cash equivalents
and restricted cash |
$ |
325 |
|
|
|
$ |
701 |
|
|
|
$ |
325 |
|
|
|
$ |
701 |
|
Supplemental cash flow
disclosures: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash paid for income taxes, net of refunds |
$ |
— |
|
|
|
$ |
3 |
|
|
|
$ |
— |
|
|
|
$ |
6 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ContextLogic Inc.Reconciliation of GAAP
Net Loss to Non-GAAP Adjusted EBITDA($ in
millions, except
percentages)(unaudited) |
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
|
|
Six Months Ended |
|
|
|
June 30, |
|
|
|
June 30, |
|
|
|
2023 |
|
|
|
2022 |
|
|
|
2023 |
|
|
|
2022 |
|
Revenue |
|
$ |
78 |
|
|
|
$ |
134 |
|
|
|
$ |
174 |
|
|
|
$ |
323 |
|
Net loss |
|
|
(80 |
) |
|
|
|
(90 |
) |
|
|
|
(169 |
) |
|
|
|
(150 |
) |
Net loss as a percentage of
revenue |
|
|
(102 |
)% |
|
|
|
(67 |
)% |
|
|
|
(97 |
)% |
|
|
|
(47 |
)% |
Excluding: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest and other income, net |
|
|
(6 |
) |
|
|
|
(2 |
) |
|
|
|
(10 |
) |
|
|
|
(4 |
) |
Provision for income taxes |
|
|
3 |
|
|
|
|
1 |
|
|
|
|
3 |
|
|
|
|
1 |
|
Depreciation and amortization |
|
|
1 |
|
|
|
|
2 |
|
|
|
|
2 |
|
|
|
|
4 |
|
Stock-based compensation expense and related employer payroll
taxes(1)(2)(3) |
|
|
15 |
|
|
|
|
30 |
|
|
|
|
42 |
|
|
|
|
28 |
|
Restructuring and other discrete items(4) |
|
|
— |
|
|
|
|
2 |
|
|
|
|
3 |
|
|
|
|
24 |
|
Lease termination and impairment related expenses(5) |
|
|
1 |
|
|
|
|
— |
|
|
|
|
1 |
|
|
|
|
— |
|
Others |
|
|
— |
|
|
|
|
(1 |
) |
|
|
|
— |
|
|
|
|
(1 |
) |
Adjusted EBITDA |
|
|
(66 |
) |
|
|
|
(58 |
) |
|
|
|
(128 |
) |
|
|
|
(98 |
) |
Adjusted EBITDA margin |
|
|
(85 |
)% |
|
|
|
(43 |
)% |
|
|
|
(74 |
)% |
|
|
|
(30 |
)% |
|
(1) Total amount for the three months ended June 30, 2023 consists
of $15 million of stock-based compensation expense. Total amount
for the three months ended June 30, 2022 consists of $29 million of
stock-based compensation expense and $1 million of related employer
payroll taxes. Total amount for the six months ended June 30, 2023
consists of $41 million of stock-based compensation expense and $1
million of related employer payroll taxes. Total amount for six
months ended June 30, 2022 consists of $27 million of stock-based
compensation expense and $1 million of related employer payroll
taxes. |
|
(2) Total stock-based compensation for the three months June 30,
2023 decreased by $14 million compared to the three months ended
June 30, 2022. This decrease was primarily due to (i) stock-based
compensation of outstanding equity awards during the second quarter
of 2023 was based off a lower weighted average grant date fair
value compared to that of outstanding equity awards from the same
period in 2022 and (ii) the departures of the Company's former
Chief Product Officer ("CPO") and Chief Administrative Officer
("CAO") during the first quarter of 2023. |
|
(3) Total stock-based compensation for the six months ended June
30, 2023 increased by $14 million compared to the six months ended
June 30, 2022 primarily due to (i) accelerated vesting of the
Company's former CPO and CAO's RSUs upon their departures in
accordance to their separation agreements during the first quarter
of 2023, and (ii) forfeitures originating from the resignation of
the Company’s former CEO, and modifications to the Company’s former
Executive Chair’s equity awards, both during the first quarter of
2022. These contributing factors were partially offset by
stock-based compensation of outstanding equity awards during the
six months ended June 2023 was based off a lower weighted average
grant date fair value compared to that of outstanding equity awards
from the same period in 2022. |
|
(4) Total amount for the six months ended June 30, 2023 consisted
of $3 million of employee severance and other personnel reduction
costs. Total amount for the three months ended June 30, 2022
includes restructuring charges consisting of $2 million in
impairment of lease assets and property and equipment. Total amount
for the six months ended June 30, 2022 includes a $15 million
one-time discretionary cash bonus paid to select employees to cover
their respective tax obligations triggered by the settlement of
their RSUs that vested upon the Company’s IPO as well as
restructuring charges consisting of $3 million of employee
severance and $6 million in impairment of lease assets and property
and equipment. |
|
(5) Impairment of lease assets and property and equipment unrelated
to restructuring activities. |
|
ContextLogic Inc.Reconciliation of GAAP
Net Cash Used in Operating Activities to Non-GAAP Free Cash
Flow(in
millions)(unaudited) |
|
|
|
Three Months Ended |
|
|
|
Six Months Ended |
|
|
|
June 30, |
|
|
|
June 30, |
|
|
|
2023 |
|
|
|
2022 |
|
|
|
2023 |
|
|
|
2022 |
|
Net cash used operating activities |
|
$ |
(88 |
) |
|
|
$ |
(67 |
) |
|
|
$ |
(180 |
) |
|
|
$ |
(213 |
) |
Less: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Purchases of property and equipment and development of internal-use
software |
|
|
3 |
|
|
|
|
— |
|
|
|
|
3 |
|
|
|
|
2 |
|
Free Cash Flow |
|
$ |
(91 |
) |
|
|
$ |
(67 |
) |
|
|
$ |
(183 |
) |
|
|
$ |
(215 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Contacts
Investor Relations:Ralph Fong,
Wishir@wish.com
Media contacts:Carys Comerford-Green,
Wishpress@wish.com
ContextLogic (NASDAQ:WISH)
Gráfico Histórico do Ativo
De Abr 2024 até Mai 2024
ContextLogic (NASDAQ:WISH)
Gráfico Histórico do Ativo
De Mai 2023 até Mai 2024