eastunder
15 years ago
Shanda Online Announces Appointment of New Chief Technology Officer
Tuesday , December 01, 2009 17:30ET
SHANGHAI, Dec. 1 /PRNewswire-Asia/ -- Shanda Online Holdings Limited ("Shanda Online"), a wholly-owned subsidiary of Shanda Interactive Entertainment Limited (Nasdaq: SNDA) ("Shanda" or the "Company"), today announced the appointment of Dr. Jing Zhu as the Chief Technology Officer.
Dr. Zhu joins Shanda Online from Yahoo! Inc. where he served as a Senior Director from 2001 to 2009. In his most recent post, he was in charge of Yahoo!'s next generation contextual ad-matching technology platform from 2007 to 2009. Under his leadership, the team took a research prototype and, in less than one year, launched a successful product that serves hundreds of millions of ad calls daily. From 2001 to 2006, he was in charge of the engineering team for Yahoo! Mail, Yahoo! Address Book and Yahoo! Calendar. In this role, he was responsible for the overall engineering vision, strategy and execution of these applications. He helped significantly improve everything from anti-spam technology to back-end architecture, system reliability and performance, and the end-user experience. During the period, Yahoo! Mail had seen significant market share and user growth both in the US and worldwide. Dr. Zhu also managed the operations team that runs one of world's largest distributed server and storage systems.
Prior to Yahoo!, from 1998 to 2001, Dr. Zhu served in various senior technical management positions in mobile and optical networking companies in Silicon Valley.
From 1993-1998, Dr. Zhu worked as a scientist at the Lawrence Livermore National Laboratory where he designed, developed and maintained C/C++ and Java-based software for scientific research in solid state and material physics.
Dr. Zhu graduated from Fudan University in Shanghai at the age of 17 and later obtained a Masters in Physics from the University of California, Berkeley and a Ph.D. in Theoretical Computational Solid State Physics from the same university. He is the author and co-author of six US patents.
"I am pleased that Dr. Jing Zhu has decided to join Shanda Online as our Chief Technology Officer," commented Ms. Judy Wang, Chief Executive Officer of Shanda Online. "His extensive experience and education will ensure that Shanda Online continues to forge ahead as a leader in the Chinese online digital content delivery, customer relationship management, and promotion-payment community businesses."
eastunder
15 years ago
Shanda Reports Third Quarter 2009 Unaudited Results
Tuesday , December 01, 2009 18:50ET
SHANGHAI, Dec. 1 /PRNewswire-Asia/ -- Shanda Interactive Entertainment Limited (Nasdaq: SNDA), or Shanda, a leading interactive entertainment media company in China, today announced its unaudited consolidated financial results for the third quarter ended September 30, 2009.
Third Quarter 2009 Highlights(1)
-- Consolidated net revenues increased 48% year-over-year and
12% quarter-over-quarter to RMB1,382.9 million (US$202.5 million),
compared to the Company's previous guidance of quarter-over-quarter
growth between 8% and 11%.
-- Shanda Games' revenues increased 45% year-over-year and 10%
quarter-over-quarter to RMB1,272.0 million (US$186.3 million).
-- Shanda Online's revenues increased 38% year-over-year and 9%
quarter-over-quarter to RMB283.3 million (US$41.5 million).
-- Other revenues increased 43% year-over-year and 24%
quarter-over-quarter to RMB133.0 million (US$19.5 million).
-- Non-GAAP(2) operating income increased 51% year-over-year
and 12% quarter-over-quarter to RMB595.0 million (US$87.1 million)
-- Non-GAAP(2) net income attributable to ordinary shareholders
increased 49% year-over-year and 17% quarter-over-quarter
to RMB519.6 million (US$76.0 million). Non-GAAP earnings per
diluted ADS were RMB7.40 (US$1.08), compared with RMB4.78 in
the third quarter of 2008 and RMB6.40 in the second quarter of 2009.
(1) The conversion of Renminbi (RMB) into U.S. dollars in this release is based on RMB6.8290 to US$1.00 as published by the People's Bank of China on September 30, 2009. The percentages stated in this press release are calculated based on the RMB amounts.
(2) Explanation of the Company's non-GAAP financial measures and related reconciliations to GAAP financial measures are included in the accompanying "Non-GAAP Financial Measures".
"Shanda achieved record high revenue during the third quarter of 2009," said Tianqiao Chen, Chairman and Chief Executive Officer of Shanda. "Shanda just celebrated its 10-year anniversary last week on November 28th. Over the past decade, a powerful combination of the Internet, new technology, and our proprietary content has made Shanda into an engine of cultural creativity. It has been Shanda's long-term vision to build up a leading role in the interactive entertainment industry."
Conference Call and Webcast Notice
Shanda will host a conference call at 9:30 p.m. on December 1, 2009 Eastern Standard Time (10:30 a.m. on December 2, 2009 Beijing/Hong Kong time), to present an overview of the Company's financial performance and business operations. A live webcast of the conference call will be available on the Company's corporate website at http://www.snda.com.
Third Quarter 2009 Financial Results(1)
Net Revenues. In the third quarter of 2009, Shanda reported net revenues of RMB1,382.9 million (US$202.5 million), representing an increase of 48% from RMB936.5 million year-over-year and 12% from RMB1,237.2 million in the second quarter of 2009.
Shanda Games' revenues, including MMORPGs and advanced casual games, were RMB1,272.0 million (US$186.3 million) in the third quarter of 2009, representing an increase of 45% from RMB878.3 million year-over-year and 10% from RMB1,158.5 million in the second quarter of 2009.
Shanda Online's revenues in the third quarter of 2009 increased 38% year- over-year and 9% quarter-over-quarter to RMB283.3 million (US$41.5 million).
Other revenues including Shanda Literature, chess and board game platform, e-sports platform and other businesses in the third quarter of 2009 increased 43% year-over-year and 24% quarter-over-quarter to RMB133.0 million (US$19.5 million).
Gross Profit. Consolidated gross profit for the third quarter of 2009 was RMB983.4 million (US$144.0 million), representing a 44% increase from RMB683.5 million in the third quarter of 2008 and a 9% increase from RMB899.0 million in the second quarter of 2009. Gross margin was 71.1 % in the third quarter of 2009, compared with 73.0% in the third quarter of 2008 and 72.7% in the second quarter of 2009.
Shanda Games gross profit for the third quarter of 2009 was RMB754.0 million (US$110.4 million), representing a 45% increase from RMB519.4 million in the third quarter of 2008 and a 9% increase from RMB692.1 million in the second quarter of 2009. Shanda Games gross margin was 59.3% in the third quarter of 2009, compared with 59.1% in the third quarter of 2008 and 59.7% in the second quarter of 2009.
Shanda Online gross profit for the third quarter of 2009 was RMB230.3 million (US$33.7 million), representing a 34% increase from RMB172.3 million in the third quarter of 2008 and a 8% increase from RMB213.4 million in the second quarter of 2009. Shanda Online gross margin was 81.3% in the third quarter of 2009, compared with 84.2% in the third quarter of 2008 and 81.9% in the second quarter of 2009.
Other businesses gross profit for the third quarter of 2009 was RMB56.3 million (US$8.3 million), representing a 43% increase from RMB39.3 million in the third quarter of 2008 and compared with RMB56.5 million in the second quarter of 2009. Other business gross margin was 42.3% in the third quarter of 2009, compared with 42.2% in the third quarter of 2008 and 52.5% in the second quarter of 2009.
Operating Income. Operating income for the third quarter of 2009 was RMB510.7 million (US$74.8 million), an increase of 34% from RMB381.5 million in the third quarter of 2008 and a decrease of 1% from RMB513.4 million in the second quarter of 2009. Operating margin was 36.9% in the third quarter of 2009, compared with 40.7% in the third quarter of 2008 and 41.5% in the second quarter of 2009.
Non-GAAP(2) Operating Income. Non-GAAP operating income for the third quarter of 2009 was RMB595.0 million (US$87.1 million), an increase of 51% from RMB392.8 million in the third quarter of 2008 and an increase of 12% from RMB531.5 million in the second quarter of 2009. Non-GAAP operating margin was 43.0% in the third quarter of 2009, compared with 41.9% in the third quarter of 2008 and 43.0% in the second quarter of 2009.
Share-based compensation was RMB84.3 million (US$12.3 million) in the third quarter of 2009, compared with RMB11.3 million in the third quarter of 2008 and RMB18.1 million in the second quarter of 2009. The increase was mainly due to the one-time expenses related to the consummation of Shanda Games' initial public offering.
Non-Operating Income. Net non-operating income for the third quarter of 2009 was RMB55.8 million (US$8.2 million), compared with RMB48.8 million in the third quarter of 2008 and RMB23.8 million in the second quarter of 2009. The quarter-over-quarter difference was primarily due to the difference in government financial incentives between the third quarter compared with the second quarter of 2009. Non-operating income contributed from government financial incentives amounted to RMB92.7 million (US$13.6 million) in the third quarter of 2009, compared with RMB40.6 million in the third quarter of 2008 and RMB36.5 million in the second quarter of 2009.
Income Tax Expense. Income tax expense for the third quarter of 2009 was RMB131.2 million (US$19.2 million), as compared with income tax expenses of RMB93.3 million in the third quarter of 2008 and RMB110.3 million in the second quarter of 2009.
Net Income Attributable to Ordinary Shareholders. Net income for the third quarter of 2009 was RMB435.3 million (US$63.7 million), an increase of 29% from RMB337.1million in the third quarter of 2008 and an increase of 2% from RMB426.9 million in the second quarter of 2009. Earnings per diluted ADS in the third quarter of 2009 were RMB6.18 (US$0.90), compared with RMB4.62 in the third quarter of 2008 and RMB6.14 in the second quarter of 2009.
Non-GAAP(2) Net Income Attributable to Ordinary Shareholders. Non-GAAP net income for the third quarter of 2009 was RMB519.6 million (US$76.0 million), an increase of 49% from RMB348.4 million in the third quarter of 2008 and an increase of 17% from RMB445.0 million in the second quarter of 2009. Non-GAAP earnings per diluted ADS in the third quarter of 2009 were RMB7.40 (US$1.08), compared with RMB4.78 in the third quarter of 2008 and RMB6.40 in the second quarter of 2009.
Recent Business Highlights
On September 3, 2009. Shanda Online announced executive appointments within its leadership team. Jiang Bian was named Vice President of operations. Qianghua Yu was named Chief Architect and Xinhua Ji has been named Chief Security Officer of Shanda Online.
On September 7, 2009, Shanda announced board changes. Bruno Wu resigned from the Board of Directors of the Company, effective September 1, 2009. Concurrently, Shanda announced the appointment of Mr. Kai Zhao to the Board of Directors of the Company.
On September 25, 2009, Shanda announced the initial public offering of American Depositary Shares ("ADSs") of Shanda Games Limited has been declared effective by the United States Securities and Exchange Commission. The ADS was priced at US$12.50 per ADS and began trading on the NASDAQ Global Select Market on September 25, 2009 under the symbol "GAME".
On October 19, 2009, Shanda Literature attended the Frankfurt Book Fair where its digital publishing model was recognized for achievements in digital publishing.
On November 12, 2009, Shanda Pictures announced a strategic cooperation with Hunan Broadcasting and Television.
On December 1 2009, Shanda Online announced the appointment of Dr. Jing Zhu as its Chief Technology Officer.
*Please visit Shanda's website (http://www.snda.com) for details about these and other announcements.
Note to the Financial Information
The unaudited financial information disclosed above is preliminary. The results for the nine months ended September 30, 2009 are not necessarily indicative of the results expected for the full fiscal year or for any future period. Adjustments to the financial statements may be identified when audit work is completed, which could result in significant differences from the audited financial statements to this preliminary unaudited financial information.
Non-GAAP Financial Measures
To supplement the financial measures prepared in accordance with generally accepted accounting principals in the United States, or GAAP, this press release includes non-GAAP financial measures of adjusted net income and adjusted earning per ADS, each of which is adjusted to exclude share-based compensation. The Company believes these non-GAAP financial measures are important to help investors understand the Company's current financial performance and future prospects, compare business trends among different reporting periods on a consistent basis and assess the Company's core operating results. These non-GAAP financial measures should be considered in addition to financial measures prepared in accordance with GAAP, but should not be considered a substitute for, or superior to, financial measures prepared in accordance with GAAP. For a reconciliation of each of these non- GAAP financial measures to the most directly comparable GAAP financial measure, please see the financial statements included with this press release.
Safe Harbor Statement
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. Statements in this announcement that are not historical facts, including but not limited to statements regarding the continuous growth of the Company, the introduction of expansion packs to existing titles, the introduction and timing of new MMORPG game titles and the introduction of new casual game titles, represent only the Company's current expectations, assumptions, estimates and projections and are forward-looking statements. These forward-looking statements involve various risks and uncertainties. Important risks and uncertainties that could cause the Company's actual results to be materially different from expectations include but are not limited to the risk that there are delays in the localization and/or development of the MMORPGs and casual games Shanda intends to release in 2009, the risk that such MMORPGs and casual games are not well received by users in China, the risk that the games fail to be commercialized or the commercialized results fail to meet the expectations of end users, the risk that the Company fails to deliver continuous growth in 2009, and the risks set forth in the Company's filings with the U.S. Securities and Exchange Commission, including the Company's annual report on Form 20-F. The Company does not undertake any obligation to update any forward-looking statement, except as required under applicable law.
About Shanda Interactive Entertainment Limited
Shanda Interactive Entertainment Limited (NasdaqGS: SNDA) ("Shanda Interactive") is a leading interactive entertainment media company in China. Leveraging its integrated interactive services platform, Shanda Interactive offers a diversified portfolio of high quality content through its subsidiaries and affiliates, including Shanda Games, Shanda Literature, Hurray!, and various other online community and business units. The broad variety of content ranges from massively multi-player online role-playing games (MMORPGs) and advanced casual games, to chess and board games, e-sports, cartoons, literature, film, television, mobile ringtones and music. By providing a centralized platform through which Shanda Interactive can deliver its own content as well as third-party content, Shanda Interactive allows its users to interact with thousands of other users while enjoying some of the best entertainment content available in China today. Shanda Interactive: "Interaction enriches your life". For more information about Shanda Interactive, please visit SNDA
For more information
http://www.knobias.com/story.htm?eid=3.1.99fe998e0e3bc20c8208f02673f2c47ce5fc09c88e234f1f9d8de8f3838fc092
eastunder
15 years ago
Shanda Games Spinoff: Good Move for Shanda Interactive
by: Chimin Sang September 27, 2009
Chimin Sang
http://seekingalpha.com/article/163586-shanda-games-spinoff-good-move-for-shanda-interactive?source=yahoo
Shanda Interactive (SNDA), a Chinese game company, did a very interesting transaction last week, carving out a game company, Shanda Games (GAME), out of itself. This transaction went beyond imaginations of quite a few analysts, as the carved-out company was essentially Shanda itself, with 95% of the revenue of SNDA.
SNDA successfully issued 83.5 million ADRs at $12.5 per ADR, out of which 70.5 million went to SNDA and 13 million went to GAME. The share nevertheless flopped on its first day of debut, shedding 14% to 10.75. SNDA also dropped 12% to $50 at the end of Friday, making its market value $3.34 billion.
This made SNDA a very interesting stock to look at now that we know exactly how much its game business is worth and we can calculate how much the rest of the business is worth.
From the SEC filings, we know the following:
The total number of shares of GAME is 288 million, of which 83.5 million were issued last Thursday night, 204.5 million (or 71%) is still held by SNDA.
Out of the 83.5 million shares issued, 70.5 million were issued by SNDA and 13 million were issued by GAME. Net proceeds discounted by 7% to the bankers were $820 million and $158 million respectively.
The market value of GAME as of EOD Friday is $3.1 billion (288 million x $10.75 per ADR).
The value of GAME stocks held by SNDA equals 71% x $3.1 billion = $2.2 billion.
After accounting for a line of long-term debt, the net cash position of SNDA is $1.4 billion after the carve-out.
Combining the GAME holding and the cash, we know that SNDA should be worth at least $3.6 billion, which is already higher than the current SNDA market value. What does SNDA have left besides cash and stock of GAME? SNDA actually has two lines of business left: One is the content business, which is small in revenue (5% of the revenue) and essentially makes no money at this point. The other one is a game platform business, which runs the games for GAME. GAME pays SNDA 20% of its revenue in order to “use” the platform. This business turns out to be a really sweet piece of pie for SNDA. The platform is all developed and enjoys a very high margin. If we do a simple math and assume this piece of business should have 20% of the market value of GAME and the content business value is zero, we arrive at $0.6 million.
Adding three pieces of SNDA together, we should have $2.2 + $1.4 + $0.6 = $4.2 million, which is equivalent to $63 per share. There is a 26% upside to the current price of SNDA.
eastunder
15 years ago
Oy, What A Shanda: Chinese Gaming IPO Flops
http://blogs.barrons.com/techtraderdaily/2009/09/25/oy-what-a-shanda-chinese-gaming-ipo-flops/?mod=yahoobarrons
By Eric Savitz
I wonder if the people who run China-based Shanda Interactive (SNDA), or its newly public spin-off Shanda Games (GAME), know that in Yiddish the word “shanda” refers to something that is deeply shameful. You might say something like, “Oy, what a shanda that the rabbi is eating a ham sandwich on Yom Kippur!” Or alternatively, “This could be a promising stock, what a shanda that the bankers were such a bunch of schmegeggeies.”
Well, this Shanda Games deal is looking like something of shanda.
This morning, Shanda Games went public with an offering of 83.5 million American Depositary Shares at $12.50, of which 13,043,500 ADSs are offered by Shanda Games, and 70,456,500 by parent Shanda Interactive. The size of the offering was increased by 20 million shares over previous expectations. Raising $1 billion, it was the biggest IPO of the year to date. But apparently, they were a little too greedy: look what happens if your underwriters behave like a bunch of chazzers.
GAME not been well received: the stock has fallen 83 cents, or 6.6%, to $11.67. And parent Shanda Interactive shares are getting hit even harder: SNDA is down $5.83, or 10.3%, to $50.94.
eastunder
15 years ago
Shanda Interactive Announces Shanda Games' Pricing of Initial Public Offering on NASDAQ Global Select Market
Shanghai, China - September 25, 2009 - Shanda Interactive Entertainment Limited (NASDAQ: SNDA) ("Shanda Interactive") today announced that the registration statement relating to the initial public offering of American Depositary Shares ("ADSs") of Shanda Games Limited ("Shanda Games") (NASDAQ: GAME), an online game developer, operator and publisher in China and its subsidiary, has been declared effective by the United States Securities and Exchange Commission. The ADS was priced at US$12.50 per ADS and will begin trading on the NASDAQ Global Select Market on September 25, 2009 under the symbol "GAME".
Of the 83,500,000 ADSs being offered, 13,043,500 ADSs are offered by Shanda Games, and 70,456,500 ADSs are offered by the selling shareholder, a wholly owned subsidiary of Shanda Interactive. The underwriters have been granted an over-allotment option to purchase up to 12,525,000 ADSs from the selling shareholder.
Goldman Sachs (Asia) L.L.C. and J.P. Morgan Securities Inc. are acting as the joint bookrunners for the offering.
Shanda Games' registration statement relating to these securities has been declared effective by the United States Securities and Exchange Commission. This release shall not constitute an offer to sell or the solicitation of an offer to buy the securities described herein nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
The offering of the securities was made only by means of a prospectus forming part of the registration statement, as amended. A copy of the prospectus relating to the offering may be obtained by contacting Goldman Sachs (+1-212-902-6276) or J.P. Morgan (+1-718-242-8002).
eastunder
15 years ago
Shanda Games Limited Announces Filing of a Registration Statement for an Initial Public Offering of American Depositary Shares
Shanghai, September 3, 2009—Shanda Games Limited (“Shanda Games”), a wholly-owned subsidiary of Shanda Interactive Entertainment Limited (NasdaqGS: SNDA) (“Shanda”), today announced that it has filed a registration statement with the U.S. Securities and Exchange Commission (the "SEC") for an initial public offering ("IPO") of American Depositary Shares ("ADSs"). The offering will include secondary shares to be sold by Shanda. The number of ADSs to be offered and the price range for the offering have not yet been determined.
Goldman Sachs (Asia) L.L.C. and J.P. Morgan Securities Inc. are serving as joint bookrunners for the offering.
A registration statement relating to these securities has been filed with the SEC, but has not yet become effective. These securities may not be sold nor may offers to buy be accepted before the registration statement becomes effective. This release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
When available, copies of the written preliminary prospectus relating to the offering can be obtained by contacting the prospectus department at Goldman, Sachs & Co. at 85 Broad Street, New York, New York 10004, Attention: Prospectus Department, by telephone at 212-902-1171 or by emailing Prospectus-ny@ny.email.gs.com; or J.P. Morgan Securities Inc. at 4 Chase Metrotech Center, CS Level, Brooklyn, NY 11245, Attention: Prospectus Library, by telephone at 718-242-8002.
THIS ANNOUNCEMENT IS BEING ISSUED PURSUANT TO AND IN ACCORDANCE WITH RULE 134 UNDER THE SECURITIES ACT OF 1933, AS AMENDED.
eastunder
15 years ago
9-3-09 Shanda Reports Second Quarter 2009 Unaudited Results
Second Quarter 2009 Net Revenues Increased 11.8% QoQ to US$181.1 Million, Operating Income Increased 12.7% QoQ to US$75.2 Million, Diluted Earnings per ADS US$0.90
First Half 2009 Net Revenues Increased 44.9% YoY to US$343.1 Million, Operating Income Increased 49.6% YoY to US$141.8 Million, Diluted Earnings per ADS US$1.68
Shanghai, China—September 3, 2009—Shanda Interactive Entertainment Limited (NasdaqGS: SNDA), or Shanda, a leading interactive entertainment media company in China, today announced its unaudited consolidated financial results for the second quarter ended June 30, 2009.
Second Quarter 2009 Highlights(1)
Consolidated net revenues increased 47.7% year-over-year and 11.8% quarter-over-quarter to RMB1,237.2 million (US$181.1 million), compared to the Company's previous guidance of quarter-over-quarter growth between 8% and 10%.
Massively multi-player online role-playing games (MMORPGs) related revenues increased 54.6% year-over-year and 13.8% quarter-over-quarter to RMB1,074.7 million (US$157.3 million).
Casual games(2) related revenues decreased 4.3% year-over-year and 12.7% quarter-over-quarter to RMB102.9 million (US$15.1 million).
Operating income increased 53.0% year-over-year and 12.7% quarter-over-quarter to RMB513.4 million (US$75.2 million).
Net income attributable to ordinary shareholders increased 52.6% year-over-year and 18.2% quarter-over-quarter to RMB426.9 million (US$62.5 million). Earnings per diluted ADS were RMB6.14 (US$0.90), compared with RMB3.80 in the second quarter of 2008 and RMB5.28 in the first quarter of 2009.
Non-GAAP(3) operating income increased 51.6% year-over-year and 13.2% quarter-over-quarter to RMB 531.5 million (US$77.9 million)
Non-GAAP(3) net income attributable to ordinary shareholders increased 50.9% year-over-year and 18.7% quarter-over-quarter to RMB445.0 million (US$65.2 million). Non-GAAP earnings per diluted ADS were RMB6.40 (US$0.94), compared with RMB4.00 in the second quarter of 2008 and RMB5.48 in the first quarter of 2009.
Active paying accounts (APA) for MMORPGs increased 19.4% quarter-over-quarter to 8.58 million. As a result, average monthly revenue per active paying account (ARPU) for MMORPGs decreased 4.7% quarter-over-quarter to RMB41.7.
APA for casual games(2) decreased 9.6% quarter-over-quarter to 1.86 million. As a result, ARPU for casual games(2) decreased 3.4% quarter-over-quarter to RMB18.4.
(1) The conversion of Renminbi (RMB) into U.S. dollars in this release is based on RMB6.8319 to US$1.00 as published by the People's Bank of China on June 30, 2009. The percentages stated in this press release are calculated based on the RMB amounts.
(2) Casual games include advanced casual games, online chess and board game platforms, and e-sports platform.
(3) Non-GAAP measures are disclosed below and reconciled to the corresponding GAAP measures in the section below titled "Non-GAAP Financial Measures".
"We are pleased to report another solid quarter of growth during the second quarter of 2009," said Tianqiao Chen, Chairman and Chief Executive Officer of Shanda. "Shanda remains very committed to the interactive entertainment media industry, and we hope to enrich the life of every member of our large user community by providing high quality service and diversified interactive entertainment content offerings."
Conference Call and Webcast Notice
Shanda will host a conference call at 9:00 p.m. on September 3, 2009 Eastern Time (9:00 a.m. on September 4, 2009 Beijing/Hong Kong time), to present an overview of the Company's financial performance and business operations. A live webcast of the conference call will be available on the Company's corporate website at http://www.snda.com.
Second Quarter 2009 Financial Results(1)
Net Revenues. In the second quarter of 2009, Shanda reported net revenues of RMB1,237.2 million (US$181.1 million), representing an increase of 47.7% from RMB837.6 million year-over-year and 11.8% from RMB1,107.1 million in the first quarter of 2009.
Online game related revenues, including MMORPGs and casual games(2), were RMB1,177.6 million (US$172.4 million) in the second quarter of 2009, representing an increase of 46.7% from RMB802.6 million year-over-year and 10.9% from RMB1,062.4 million in the first quarter of 2009.
MMORPGs related revenues in the second quarter of 2009 increased 54.6% year-over-year and 13.8% quarter-over-quarter to RMB1,074.7 million (US$157.3million), accounting for 86.9% of net revenues. The sequential growth in MMORPG related revenues was primarily driven by newly launched games as well as the continued release of expansion packs for our existing games in the second quarter of 2009.
The number of APA for MMORPGs increased 19.4% sequentially to 8.58 million in the second quarter of 2009, mainly due to the Company's continuous efforts to convert free players to paying users and the launch of new games. As a result, ARPU for MMORPGs was RMB41.7 in the second quarter of 2009, compared with RMB43.8 in the first quarter of 2009.
Casual games(2) related revenues in the second quarter of 2009 decreased 4.3% year-over-year and 12.7% quarter-over-quarter to RMB102.9 million (US$15.1million). The sequential decrease in casual games(2) related revenues was primarily due to seasonality in casual games for which the first quarter of each year is usually a high season with the winter holidays and Chinese New Year.
The number of APA for casual games(2) decreased 9.6% sequentially to 1.86 million in the second quarter of 2009. As a result, ARPU for casual games(2) declined 3.4% sequentially to RMB18.4 in the second quarter of 2009.
Other revenues in the second quarter of 2009 increased 70.6% year-over-year and 33.6% quarter-over-quarter to RMB59.6 million (US$8.7 million).
Gross Profit. Gross profit for the second quarter of 2009 was RMB899.0 million (US$131.6 million), representing a 47.4% increase from RMB610.1 million in the second quarter of 2008 and a 12.3% increase from RMB801.0 million in the first quarter of 2009. Gross margin was 72.7% in the second quarter of 2009, compared with 72.8% in the second quarter of 2008 and 72.3% in the first quarter of 2009.
Income from Operations. Operating income for the second quarter of 2009 was RMB513.4 million (US$75.2 million), representing a 53.0% increase from RMB335.6 million in the second quarter of 2008 and a 12.7% increase from RMB455.7 million in the first quarter of 2009. Operating margin was 41.5% in the second quarter of 2009, compared with 40.1% in the second quarter of 2008 and 41.2% in the first quarter of 2009.
Share-based compensation was RMB18.1 million (US$2.7 million) in the second quarter of 2009, compared with RMB15.1 million in the second quarter of 2008 and RMB13.7 million in the first quarter of 2009.
Non-Operating Income. Net non-operating income for the second quarter of 2009 was RMB23.8 million (US$3.5 million), compared with RMB5.8 million in the second quarter of 2008 and RMB0.6 million in the first quarter of 2009. The quarter-over-quarter difference was primarily due to the difference in government financial incentives between the second quarter compared with the first quarter of 2009. Non-operating income contributed from government financial incentives amounted to RMB36.5 million (US$5.3 million) in the second quarter of 2009, compared with RMB5.4 million in the second quarter of 2008 and RMB1.6 million in the first quarter of 2009.
Income Tax Expense. Income tax expense for the second quarter of 2009 was RMB 110.3 million (US$16.2 million), as compared with income tax expenses of RMB61.5 million in the second quarter of 2008 and RMB95.3 million in the first quarter of 2009.
The Company's subsidiaries and VIEs are at various stages of progress depending on the requirements of the different local tax authorities in recognition of qualification of the NEW/HIGH Technology Enterprises preferred tax treatment pursuant to "Working Guidelines for Assessment of NEW/HIGH Technology Enterprises" issued by the Chinese tax authorities on July 8, 2008. In December 2008, government recognition of certain entities as NEW/HIGH Technology Enterprise was acknowledged by the local tax authority and these entities are entitled to a preferential tax rate of 15%, which is effective retroactively to January 1, 2008.
As a result, the Directors of the Company believe it is appropriate to report the Company's income tax provision at the new statutory income tax rate of 25%, except for entities that are still subject to tax holidays or other preferential income tax policies. The future tax benefits arising from the deductible temporary differences as of June 30, 2009 are recognized in the balance sheet to the extent it is considered recoverable upon management's periodic assessment.
Net Income Attributable to Ordinary Shareholders. Net income for the second quarter of 2009 was RMB426.9 million (US$62.5million), compared with RMB279.8 million in the second quarter of 2008 and RMB361.0 million in the first quarter of 2009.
Net margin was 34.5% in the second quarter of 2009, compared with 33.4% in the second quarter of 2008 and 32.6% in the first quarter of 2009. Earnings per diluted ADS in the second quarter of 2009 were RMB6.14 (US$0.90), compared with RMB3.80 in the second quarter of 2008 and RMB5.28 in the first quarter of 2009.
Non-GAAP(3) Operating Income. Non-GAAP operating income for the second quarter of 2009 was RMB531.5 million (US$77.9 million), an increase of 51.6% from RMB350.7 million in the second quarter of 2008 and an increase of 13.2% from RMB469.4 million in the first quarter of 2009. Non-GAAP operating margin was 43.0% in the second quarter of 2009, compared with 41.9% in the second quarter of 2008 and 42.4% in the first quarter of 2009.
Non-GAAP(3) Net Income Attributable to Ordinary Shareholders. Non-GAAP net income for the second quarter of 2009 was RMB445.0 million (US$65.2 million), an increase of 50.9% from RMB294.9 million in the second quarter of 2008 and an increase of 18.7% from RMB374.7 million in the first quarter of 2009. Non-GAAP earnings per diluted ADS in the second quarter of 2009 were RMB6.40 (US$0.94), compared with RMB4.00 in the second quarter of 2008 and RMB5.48 in the first quarter of 2009.
Recent Business Highlights
On June 18, 2009. Shanda Online announced that it has established a strategic cooperation with Shanghai Hongli Digital Technology Co. Ltd. ("Goldcool Games"). Goldcool Games will join Shanda Online's "Golden Land" program and will be able to enjoy the beneficial services offered by Shanda Online.
On July 22, 2009, Shanda announced final results and completion of the tender offer for Hurray! Holding Co., Ltd. After giving effect to the acquisition of Shares (including Shares represented by ADSs) in the tender offer, Shanda will hold, through Shanda Music, approximately 51% of Hurray!'s total outstanding Shares calculated on a fully-diluted basis.
On July 31, Shanda announced that it was ranked highest for all three awards issued at the Ten-Year China Online Game Industry Award Ceremony.
On August 19, Shanda announced that the Company was ranked seventh in the list of 100 fastest-growing companies and second in the list of fastest-growing entertainment companies by Fortune Magazine.
On September 3, Shanda Online announced executive appointments.
*Please visit Shanda's website (http://www.snda.com) for details about these and other announcements.
Note to the Financial Information
The unaudited financial information disclosed above is preliminary. The results for the six months ended June 30, 2009 are not necessarily indicative of the results expected for the full fiscal year or for any future period. Adjustments to the financial statements may be identified when audit work is completed, which could result in significant differences from the audited financial statements to this preliminary unaudited financial information.
Non-GAAP Financial Measures
To supplement the financial measures prepared in accordance with generally accepted accounting principals in the United States, or GAAP, this press release includes non-GAAP financial measures of adjusted net income and adjusted earning per ADS, each of which is adjusted to exclude share-based compensation. The Company believes these non-GAAP financial measures are important to help investors understand the Company's current financial performance and future prospects, compare business trends among different reporting periods on a consistent basis and assess the Company's core operating results. These non-GAAP financial measures should be considered in addition to financial measures prepared in accordance with GAAP, but should not be considered a substitute for, or superior to, financial measures prepared in accordance with GAAP. For a reconciliation of each of these non-GAAP financial measures to the most directly comparable GAAP financial measure, please see the financial statements included with this press release.
eastunder
15 years ago
July 30, 2009
Shanda Games and SNK Playmore Announce Co-Development of KOF WORLD
Shanghai, China – July 30, 2009 – Shanda Interactive Entertainment Limited (the “Company”) (NasdaqGS: SNDA), a leading interactive entertainment media company in China, announced today that its wholly-owned subsidiary Shanda Games Limited (“Shanda Games”) has entered into an agreement with SNK Playmore Corporation (“SNK Playmore”), a Japanese game developer, to co-develop THE KING OF FIGHTERS’ WORLD (“KOF WORLD”), which is an online version of SNK Playmore’s flagship game THE KING OF FIGHTERS (“KOF”). Under the agreement, Shanda Games will be granted the right to operate KOF WORLD in mainland China and a number of other countries.
KOF WORLD is adapted from THE KING OF FIGHTERS XII (“KOF XII”), the latest installment of SNK Playmore’s KOF franchise. In addition to porting the main game content of KOF XII to an online platform, KOF WORLD will also combine traditional fighting game and MMORPG features by adding a complete multiplayer role playing game (RPG) mode. The RPG part of KOF WORLD will be customized for the Chinese market by including scenes of Shanghai, Xi'an, Beijing and other Chinese cities in the game.
“KOF is a fighting franchise with 15 years of history, and we are excited to partner with SNK Playmore on the game’s online version,” said Ms. Diana Li, CEO of Shanda Games. “SNK Playmore has very strong expertise in fighting and action genres. The partnership between Shanda Games and SNK Playmore combines and leverages our strengths in game development and operation. With the original KOF feel and rich RPG content, we believe KOF WORLD will be a very exciting online game.”
“We are very pleased to work with Shanda Games and very optimistic about the prospects of our partnership,” said Mr. Soichiro Hosoya, President of SNK Playmore. “We are honored that the KOF series has always been favored by Chinese game players, and KOF WORLD is a game that we will work closely together with Shanda Games to develop, especially for Chinese players. We look forward to the game’s continued success.”
eastunder
15 years ago
July 22, 2009
Shanda Interactive Entertainment Limited Announces Final Results and Completion of the Tender Offer for Hurray! Holding Co., Ltd.
Shanghai, China – July 22, 2009 – Shanda Interactive Entertainment Limited (“Shanda”) (NasdaqGS: SNDA), a leading interactive entertainment media company in China, and Shanda Music Group Limited (“Shanda Music”), a wholly owned subsidiary of Shanda, today announced final results and completion of the tender offer for 1,155,045,300 ordinary shares, par value $0.00005 per ordinary share (“Shares”), of Hurray! Holding Co., Ltd. (“Hurray!”), including Shares represented by American Depositary Shares (“ADSs”, each representing 100 Shares) at a purchase price of $0.04 per Share (equivalent to $4.00 per ADS) in cash, without interest and subject to any applicable withholding taxes.
The tender offer expired at 12:01 a.m., New York City time, on July 15, 2009.
Citibank, N.A., the ADS tender agent, has advised Shanda that based on its final tabulation, 11,568,039 ADSs (representing 1,156,803,900 Shares) were validly tendered and not withdrawn. Conyers Dill & Pearman, the Share tender agent, has advised Shanda that based on its final tabulation, 266,232,760 Shares were validly tendered and not withdrawn. Based on these final results, the aggregate number of Shares (including Shares represented by ADSs) validly tendered and not withdrawn was 1,423,036,660 Shares (including Shares represented by ADSs).
Shanda Music has accepted for payment 1,155,045,300 Shares (including Shares represented by ADSs) that were validly tendered and not withdrawn. Because 1,423,036,660 Shares (including Shares represented by ADSs) were validly tendered and not withdrawn, the resulting proration factor is approximately 81.2% of the number of Shares (including Shares represented by ADSs) validly tendered and not withdrawn. Accordingly, Shanda Music will purchase from each tendering shareholder approximately 81.2% of the Shares (including Shares represented by ADSs) that were validly tendered and not withdrawn, subject to adjustments to avoid purchases of fractional Shares or fractional ADSs. Citibank, N.A., the ADS tender agent, will promptly issue checks as payment for the ADSs accepted for payment based on this proration factor and adjustments to avoid purchases of fractional ADSs. Shanda will promptly wire the payments for the Shares accepted for payment based on this proration factor and adjustments to avoid purchase of fractional Shares. All ADSs and Shares tendered but not accepted for payment in the tender offer will be returned to the tendering shareholders.
After giving effect to the acquisition of Shares (including Shares represented by ADSs) in the tender offer, Shanda will hold, through Shanda Music, approximately 51% of Hurray!’s total outstanding Shares calculated on a fully-diluted basis
eastunder
15 years ago
July 15, 2009
Shanda Interactive Entertainment Limited Announces Expiration and Preliminary Results of the Tender Offer for Hurray! Holding Co., Ltd.
Shanghai, China – July 15, 2009 – Shanda Interactive Entertainment Limited (“Shanda”) (NasdaqGS: SNDA), a leading interactive entertainment media company in China, and Shanda Music Group Limited (“Shanda Music”), a wholly owned subsidiary of Shanda, today announced the expiration and preliminary results of the tender offer for 1,155,045,300 ordinary shares, par value $0.00005 per share (“Shares”), of Hurray! Holding Co., Ltd. (“Hurray!”), including Shares represented by American Depositary Shares (“ADSs,” each representing 100 Shares), at a purchase price of $0.04 per Share (equivalent to $4.00 per ADS) in cash, without interest and subject to any applicable withholding taxes.
The tender offer expired at 12:01 a.m., New York City time, on July 15, 2009.
Citibank, N.A., the ADS tender agent, has advised Shanda that, as of the expiration of the tender offer, approximately 11,568,183 ADSs (including 6,965 ADSs that were tendered pursuant to guaranteed delivery procedures) were validly tendered and not withdrawn. Conyers Dill & Pearman, the Share tender agent, has advised Shanda that, as of the expiration of the tender offer, approximately 266,232,760 Shares were validly tendered and not withdrawn. Based on these preliminary results, the aggregate number of Shares (including Shares represented by ADSs) validly tendered and not withdrawn was approximately 1,423,051,060 Shares (including Shares represented by ADSs).
Shanda Music offered to purchase 1,155,045,300 Shares (including Shares represented by ADSs) in the tender offer. Because the number of Shares (including Shares represented by ADSs) validly tendered and not withdrawn exceeded the number of Shares (including Shares represented by ADSs) that Shanda Music offered to purchase, the number of Shares (including Shares represented by ADSs) that Shanda Music will purchase from each tendering shareholder of Shares (including Shares represented by ADSs) will be reduced on a pro rata basis. The resulting estimated proration factor is approximately 81.2% of the Shares (including Shares represented by ADSs) validly tendered and not withdrawn.
Both the number of Shares (including Shares represented by ADSs) validly tendered and not withdrawn and the estimated proration factor are preliminary and are subject to verification. The actual number of Shares (including Shares represented by ADSs) validly tendered and not withdrawn and the final proration factor will be announced promptly following the completion of the verification process, which is expected to be by July 22, 2009. Promptly after such announcement, Citibank, N.A., the ADS tender agent, will issue checks as payment for the ADSs accepted for payment in the tender offer (based on the final proration factor and adjustments to avoid purchases of fractional ADSs), and Shanda will wire the payments for the Shares accepted for payment in the tender offer (based on the final proration factor and adjustments to avoid purchases of fractional Shares). All ADSs and Shares tendered but not accepted for payment in the tender offer will be returned to the tendering shareholders.
After giving effect to the acquisition of Shares (including Shares represented by ADSs) in the tender offer, Shanda will hold, through Shanda Music, approximately 51% of Hurray!’s total outstanding Shares calculated on a fully-diluted basis
eastunder
15 years ago
June 18, 2009
Goldcool Games Join Shanda's "Golden Land" to Cooperate in the Launch of In-House Developed Online Games
Shanghai, China – June 18, 2009 – Shanda Online Holdings Limited ("Shanda Online"), a wholly-owned subsidiary of Shanda Interactive Entertainment Limited (NasdaqGS: SNDA) (the "Company"), today announced that it has established a strategic cooperation with Shanghai Hongli Digital Technology Co. Ltd. ("Goldcool Games"), a leading innovative game developer in China. Goldcool Games will join Shanda Online’s “Golden Land” program and will be able to enjoy the beneficial services offered by Shanda Online.
"Golden Land" is Shanda Online’s initiative to integrate its three core modules, namely a digital content delivery system, a promotion-payment community system and a customer relationship management system, to provide high quality services to third-party content providers based on a revenue-sharing model.
"We are glad to introduce Goldcool Games as our partner in launching its internally developed online game 'Zhu Hou Online'," said Ms. Judy Wang, Chief Executive Officer of Shanda Online. "After the optimization and integration of the resources on our platform and the implementation of 'Golden Land' program, we believe this program will further supplement and strengthen our platform for the better experience of our users."
"Shanda Online is a pioneer in promoting open cooperation with different entertainment content providers," said Mr. Alan Tan, Shanda's President and Chief Technology Officer. "The implementation of 'Golden Land' program demonstrates the determination and confidence of Shanda Online to create a fully open platform providing services to the internet industry and community. This cooperation with Goldcool Games marks the formal launch of Shanda's 'Golden Land' program and carries great significance to both companies and to the industry."
"'Golden Land' program is an innovative form of cooperation in the internet industry. We are very pleased that Goldcool Games will become one of the first enterprises to join 'Golden Land'," said Mr. Ge Binbin, President of Goldcool Games. "Previously, Goldcool Games and Shanda Online have already had a successful cooperation for the operation of Goldcool's 'Demon World Online'. We are very confident that this strategic partnership in the 'Golden Land' program will strengthen our cooperation with Shanda Online."
"Zhu Hou Online' is Goldcool Games' 2D in-house developed Chinese-style MMORPG featuring battles, city sieges and individual confrontations replicating scenes in the Chinese war history. The game offers elaborate graphics and innovative playing modes. "Zhu Hou Online" is expected to start open beta testing on July 3, 2009.
eastunder
15 years ago
June 8, 2009
Shanda to Purchase Majority Stake In Hurray!
Shanghai, China – June 8, 2009 – Shanda Interactive Entertainment Limited (or Shanda) (NASDAQ: SNDA), a leading interactive entertainment media company in China, and Hurray! Holding Co., Ltd. (or Hurray!) (NASDAQ: HRAY), a leader in artist development, music production and wireless music distribution and other wireless value-added services in China, today announced that they have entered into a definitive agreement under which Shanda, through a wholly-owned subsidiary, will commence a tender offer to acquire 51% of the total outstanding ordinary shares of Hurray! on a fully diluted basis (including shares represented by the American Depositary Shares of Hurray! (“ADSs”)) at a price of US$0.04 per ordinary share (or US$4.00 per ADS).
The offer price represents an approximately 25% premium over Hurray!’s closing price on NASDAQ on June 5, 2009. The total transaction value is approximately US$46.2 million.
Completion of the tender offer will be subject to the condition that at least 51% of Hurray!’s outstanding shares, on a fully diluted basis, are tendered in the offer and other customary conditions. If more than 51% of the outstanding shares of Hurray! are tendered in the offer, then the number of shares Shanda will purchase from each tendering shareholder will be reduced on a pro rata basis. The transaction is not subject to any financing conditions. The Board of Directors of Hurray! has unanimously recommended the offer to Hurray!’s shareholders.
Hurray!, a NASDAQ-listed company, is a leader in artist development, music production and offline distribution and also organizes concerts and other music events in China through its affiliated music companies. Hurray! is also a leading online distributor of music and music-related products such as ringtones, ringbacktones, and truetones and other types of wireless value-added services to mobile phone users in China.
Mr. Tianqiao Chen, Chairman of the Board of Shanda said, “We respect the work by Hurray!’s board and management and their efforts in defining Hurray!’s strategies and direction and believe that Shanda’s user base, resources and platform will facilitate the continued execution of these strategies.”
Mr. Qindai Wang, Chairman of the Board of Hurray! said, “We believe that Hurray! and Shanda share a common vision to be leaders in digital entertainment in which the complementary content, distribution platforms and large user base will present both companies with opportunities to achieve synergies going forward.”
eastunder
15 years ago
June 2, 2009 Shanda Reports First Quarter 2009 Unaudited Results
First Quarter 2009 Net Revenues Increased 9.1% QoQ to US$162.0 Million,
Operating Income Increased 10.3% QoQ to US$66.7 Million
Diluted Earnings per ADS US$0.78
Shanghai, China—June 2, 2009—Shanda Interactive Entertainment Limited (NasdaqGS: SNDA), or Shanda, a leading interactive entertainment media company in China, today announced its unaudited consolidated financial results for the first quarter ended March 31, 2009.
First Quarter 2009 Highlights(1)
• Consolidated net revenues increased 42.0% year-over-year and 9.1% quarter-over-quarter to a record high of RMB1,107.1 million (US$162.0 million), compared to the Company’s previous guidance of quarter-over-quarter growth between 3% and 5%.
• Massively multi-player online role-playing games (MMORPGs) related revenues increased 47.4% year-over-year and 8.0% quarter-over-quarter to RMB944.5 million (US$138.2 million).
• Casual games(2) related revenues increased 1.1% year-over-year and 21.3% quarter-over-quarter to RMB117.9 million (US$17.2 million).
• Operating income increased 46.0% year-over-year and 10.3% quarter-over-quarter to RMB455.7 million (US$66.7 million).
• Non-GAAP(3) net income increased 23.2% year-over-year and 10.0% quarter-over-quarter to RMB374.7 million (US$54.8 million). Non-GAAP earnings per diluted ADS were RMB5.48 (US$0.80), compared with RMB4.14 in the first quarter of 2008 and RMB4.90 in the fourth quarter of 2008.
• Net income increased 25.0% year-over-year and 10.6% quarter-over-quarter to RMB361.0 million (US$52.8 million). Earnings per diluted ADS were RMB5.28 (US$0.78), compared with RMB3.94 in the first quarter of 2008 and RMB4.70 in the fourth quarter of 2008.
• Active paying accounts (APA) for MMORPGs increased 22.1% quarter-over-quarter to 7.19 million. Average monthly revenue per active paying account (ARPU) for MMORPGs decreased 11.5% quarter-over-quarter to RMB43.8.
• APA for casual games(2) increased 37.7% quarter-over-quarter to 2.06 million. ARPU for casual games(2) decreased 11.9% quarter-over-quarter to RMB19.1.
(1) The conversion of Renminbi (RMB) into U.S. dollars in this release is based on RMB6.8359 to US$1.00 as published by the People's Bank of China on March 31, 2009. The percentages stated in this press release are calculated based on the RMB amounts.
(2) Casual games include advanced casual games, online chess and board game platforms, and e-sports platform.
(3) Non-GAAP measures are disclosed below and reconciled to the corresponding GAAP measures in the section below titled "Non-GAAP Financial Measures".
"Shanda achieved another solid quarter of growth during the first quarter of 2009, which further demonstrates the Company’s leadership position in the interactive entertainment media industry," said Tianqiao Chen, Chairman and Chief Executive Officer of Shanda. “Looking forward, we will make continuous efforts to enhance our users' interactive entertainment experience by combining our integrated service platform with our diversified content businesses.”
More at:
http://www.shanda.com.cn/en/investor/newsdetail.aspx?id=761
eastunder
15 years ago
April 13, 2009
Shanda Games to Start Commercial Launch of AION on April 16, 2009
Shanghai, China – April 13, 2009 – Shanda Interactive Entertainment Limited (NasdaqGS: SNDA) ("Shanda" or the "Compan") today announced that its wholly-owned subsidiary Shanda Games Limited ("Shanda Games" or "SDG") plans to start commercial launch of AION: The Tower of Eternity ("AION"), a highly anticipated massively multiplayer online role-playing game (MMORPG) in its games portfolio, on April 16, 2009.
Since the launch of unlimited closed-beta testing on April 8, 2009, AION has been well received by players on the strength of its elaborate graphic design and innovative game play. On the first day of testing, Shanda Games opened 80 servers for AION to meet increasing player demands. Shanda Games will offer the commercialized version of AION entitled "Dragon Fortress" starting April 16, 2009.
"We are very pleased with our users' overwhelming response to and popularity of AION during this short period, which we believe further validates the success of our multi-channel strategy to source content for our games portfolio," said Ms. Diana Li, Chief Executive Officer of Shanda Games. "Our content sourcing and management capabilities coupled with marketing and operational expertise, talent and constant innovation is the foundation for our continuing growth. We believe we will be able to provide AION users with the best possible gaming experience."
AION is a 3D MMORPG developed by NCsoft, a leading Korean game developer. The game combines an eastern-style focus on detailed visuals and design with western action-oriented game-play. In AION, players must fight to save a beautiful and vibrant world from being destroyed by a celestial war. During their adventures, players’ characters earn the ability to fly which adds a fun and strategic dimension to the game-play.
As a visually stunning fantasy 3D MMORPG, AION has received much acclaim and multiple awards since its release in Korea. The game was selected as the "Most Anticipated Online Game in 2009" at the 2008 China Game Industry Annual Conference and the "Most Anticipated Online Game of the Year" at the 2008 Annual Conference of the Chinese e-Game Industry. Both these awards are considered among the most prestigious within China's online game industry.
eastunder
15 years ago
March 24, 2009
Shanda Online Announces Strategic Partnership with LineKong
Shanghai, China – March 24, 2009 – Shanda Online Holdings Limited ("Shanda Online" or "SDO"), a wholly-owned subsidiary of Shanda Interactive Entertainment Limited (NasdaqGS: SNDA) (the "Company"), today announced that it has established a strategic cooperation with LineKong Entertainment Technology Co., Ltd. ("LineKong"), a game company based in China, regarding The Legend of Kung-Fu, which is LineKong's in-house developed 2D turn-based MMORPG. Pursuant to the strategic cooperation, Shanda Online will open its unified platform to support the operation of the game. As a part of SDO's platform, The Legend of Kung-Fu will gain access to SDO's broad user base and LineKong will benefit from SDO's renowned unified services such as billing and payment services, customer services, call center services, and other services.
“We are pleased to work with LineKong, another online game company with strong content offerings,” said Mr. Alan Tan, Shanda's President and Chief Technology Officer. “This marks another important result of Shanda's initiative to further cooperate with more internet content providers.”
“The cooperation between Shanda Online and LineKong marks another win-win example of a high quality content provider leveraging the strength of SDO's unified platform, while at the same time, our users are benefiting from rich and diversified content offerings via SDO's platform,” said Ms. Judy Wang, chief executive officer of Shanda Online. “We expect Shanda Online to further expand cooperation with more companies in the future.”
“We are glad to introduce The Legend of Kung-Fu to Shanda Online's leading platform,” said Mr. Feng Wang, LineKong's Chairman and CEO. “We are confident in this cooperation and look forward to further collaboration with Shanda Online.”
eastunder
15 years ago
February 26, 2009 Shanda Reports Fourth Quarter and Full Year 2008 Unaudited Results
-Fourth Quarter 2008 Net Revenues Increased 8.4% QoQ to US$148.5 Million, Operating Income Increased 8.3% QoQ to US$60.4 Million, Diluted Earnings per ADS US$0.72
-Full Year 2008 Net Revenues Increased 44.7% YoY to US$522.2 Million, Operating Income Increased 43.9% YoY to US$211.0 Million, Diluted Earnings per ADS US$2.52
Shanghai, China—February 26, 2009—Shanda Interactive Entertainment Limited (NasdaqGS: SNDA), or Shanda, a leading interactive entertainment media company in China, today announced its unaudited consolidated financial results for the fourth quarter and full year ended December 31, 2008.
Fourth Quarter 2008 Highlights(1)
• Consolidated net revenues increased 42.1% year-over-year and 8.4% quarter-over-quarter to RMB1,015.2 million (US$148.5 million), compared to the Company’s previous guidance of quarter-over-quarter growth between 5% and 8%.
• Revenues from MMORPGs increased 45.1% year-over-year and 13.3% quarter-over-quarter to RMB874.6 million (US$128.0 million).
• Revenues from casual games(2) increased 13.3% year-over-year and decreased 18.8% quarter-over-quarter to RMB97.1 million (US$14.2 million) due to seasonality.
• Operating income increased 48.1% year-over-year and 8.3% quarter-over-quarter to RMB413.1 million (US$60.4 million).
• Non-GAAP(3) net income increased 15.3% year-over-year and 2.4% quarter-over-quarter to RMB356.9 million (US$52.2 million). Non-GAAP earnings per diluted ADS were RMB5.14 (US$0.76), compared with RMB4.20 in the fourth quarter of 2007 and RMB4.78 in the third quarter of 2008.
• Net income increased 17.1% year-over-year and 1.7% quarter-over-quarter to RMB342.7 million (US$50.1 million). Earnings per diluted ADS were RMB4.92 (US$0.72), compared with RMB3.98 in the fourth quarter of 2007 and RMB4.62 in the third quarter of 2008.
• Active paying accounts (APA) for MMORPGs increased 13.5% quarter-over-quarter to 5.89 million. Average monthly revenue per active paying account (ARPU) for MMORPGs decreased 0.1% quarter-over-quarter to RMB49.5.
• APA for casual games(2) decreased 15.2% quarter-over-quarter to 1.50 million. ARPU for casual games(2) decreased 4.3% quarter-over-quarter to RMB21.6.
Full Year 2008 Highlights(1)
• Consolidated net revenues were RMB3,569.1 million (US$522.2 million), representing an increase of 44.7% from 2007.
• Revenues from MMORPGs increased 46.1% year-over-year to RMB2,982.3 million (US$436.4 million).
• Revenues from casual games(2) increased 33.8% year-over-year to RMB441.0 million (US$64.5 million).
• Operating income was RMB1,442.3 million (US$211.0 million), representing an increase of 43.9% from 2007.
• Non-GAAP(3) net income was RMB1,304.4 million (US$190.9 million), representing an increase of 26.4% from 2007. Non-GAAP earnings per diluted ADS were RMB18.04 (US$2.64), compared with RMB14.10 per diluted ADS in 2007.
• Net income was RMB1,248.4 million (US$182.7 million), compared with net income of RMB1,396.1 million (including a net gain of RMB422.4 million from disposal of SINA shares) in 2007. Earnings per diluted ADS were RMB17.26 (US$2.52), compared with RMB19.08 per diluted ADS in 2007.
(1) The conversion of Renminbi (RMB) into U.S. dollars in this release is based on RMB6.8346 to US$1.00 as published by the People's Bank of China on December 31, 2008. The percentages stated in this press release are calculated based on the RMB amounts.
(2) Casual games include advanced casual games, online chess and board game platforms, and e-sports platform.
(3) Non-GAAP measures are disclosed below and reconciled to the corresponding GAAP measures in the section below titled "Non-GAAP Financial Measures".
"Despite the global economic weakness, Shanda has achieved another quarter of record results to close out an outstanding year," said Tianqiao Chen, Chairman and Chief Executive Officer of Shanda. "2008 was a prosperous year for Shanda as we achieved solid progress in expanding our content offerings, broadening our operational platform, and opening our resources to our partners. As we look ahead, we are confident that the breadth and depth of our business will lead to a continuous growth for the Company in 2009."
More at:
http://www.shanda.com.cn/en/investor/newsdetail.aspx?id=742
eastunder
15 years ago
January 22, 2009
Shanda Receives 20 Golden Phoenix Awards at the 2008 China Game Industry Annual Conference
Shanghai, China - January 22, 2009- Shanda Interactive Entertainment Limited (NasdaqGS: SNDA), or Shanda, announced today that Shanda and its affiliates received a total of 20 Golden Phoenix Awards at the 2008 China Game Industry Annual Conference, in recognition of Shanda's outstanding contributions in the online game industry.
Most Influential Figures in China Game Industry: Tianqiao Chen
Corporate Charity Award of the Year: Shanda Interactive Entertainment
Best Operation Platforms for Casual Games: Hao Fang Gaming Platform
Best Operation Platforms for Casual Games: Bian Feng Online Games
Top Ten Best Game Operator
Top Ten Game Developer
The Best Game Distributor
Overseas Development Awards for Domestic Games
Top Ten Most Popular Online Games in China: The World of Legend
Top Ten Most Popular Domestic Games: The World of Legend
Top Ten Most Popular Casual Games: Maple Story
Top Ten Most Popular Casual Games: Crazy Kart
Top Ten Most Popular Webgames: World Hegemony
2009 Most Anticipated Online Game: AION
In addition, Shanda Games Limited ("Shanda Games" or "SDG"), a wholly-owned subsidiary of Shanda that develops, sources, operates and publishes online game content, received recognition for its investment initiatives through its "18 Fund" in the online game industry. Game studios and entrepreneurs supported by Shanda Games' "18 Fund" won the following six Golden Phoenix awards:
Award for the Fastest Growing Game Companies of the Year：Beijing Zhong Cheng Xie Zuo Technology Co. Ltd.
Award for the Fastest Growing Game Companies of the Year: Shanghai Wei Lai Information Technology Co. Ltd.
Award for the Fastest Growing Game Individuals of the Year: Jinjing Gong (Shanghai Wei Lai Information Technology Co. Ltd.)
Top Ten Most Popular Webgames in China: Might and Hero
Top Ten Most Popular Webgames in China: The Expedition
Top Ten Most Popular Webgames in China: Travian
"The awards demonstrate Shanda's excellence in all areas of operation," said Mr. Tianqiao Chen, Shanda's Chairman and CEO. "With an enduring commitment to open our outstanding resources to the online gaming market and to cooperate with local studios, we believe Shanda will further expand the business scope of the online gaming industry."
The 2008 China Game Industry Annual Conference was held from January 13 through January 15, 2009 in Qingdao, China. Golden Phoenix Awards are considered among the most prestigious in China's online game industry.
Shanda also received the following awards at the 2008 Annual Conference of Chinese e-Game Industry, which was held on December 16th, 2008 in Beijing, China:
2008 Award for Excellence
2008 Model Enterprise for Charitable Contributions
2008 Model Enterprise for Self-Compliance with Industry Regulations
2008 Best Game Operator in China
2008 Outstanding Entrepreneurs of the Year, China Game Industry: Tianqiao Chen
Most Anticipated Online Game in China: AION
2008 Best Webgame: World Hegemony
Best Webgame Developer
The 2008 Annual Conference of Chinese e-Game Industry was hosted by the Game Software Branch of Chinese e-Game Industry Association, supported by the Ministry of Industry and Information Technology, the Ministry of Culture, the Ministry of Science and Technology, and the Ministry of Commerce of the People's Republic of China.
*Shanda Games' "18 Fund" currently combines all of Shanda Games' investments made under 18 Plan and GAMPO Plan.
eastunder
15 years ago
January 13, 2009
Shanda Enters into Extensive Strategic Partnership with Kingsoft
-Shanda Games to Operate JX Online World
-Shanda Online to Support JX Online II Operations
Shanghai, China - January 13, 2009 - Shanda Interactive Entertainment Limited (NasdaqGS: SNDA), or Shanda, a leading interactive entertainment media company in China, today announced that it has established a strategic cooperation with Kingsoft Corporation Limited ("Kingsoft"; SEHK: 3888), China's leading entertainment and applications software developer, regarding JX Online World and JX Online II, which are Kingsoft's in-house developed games. Pursuant to the strategic cooperation, Shanda Games Limited ("SDG") will operate JX Online World, which Kingsoft will also continue to operate. In addition, Shanda Online Holdings Limited ("SDO") will open its unified platform to support the operation of JX Online II. The parties intend to expand further their strategic cooperation in additional areas.
According to the agreements relating to the strategic cooperation, SDG, which develops, sources, operates and publishes online game content, will establish a dedicated team to operate JX Online World. In addition, SDO will introduce JX Online II to the SDO platform, through which Shanda's users access Shanda's interactive entertainment content. As a part of SDO's platform, JX Online II will enjoy SDO's broad user base and renowned unified services such as billing and payment services, customer services, call center services, and other similar services.
"We are pleased to work with Kingsoft, to take advantage of each company's respective strengths, specifically in online game operations and online game development," said Mr. Tianqiao Chen, Shanda's Chairman and CEO. "This marks an important milestone for Shanda as we open our outstanding resources to the online gaming market. We believe that the strategic cooperation between Shanda and Kingsoft represents a new opportunity within China's online interactive entertainment industry to enhance and strengthen the industry in its next stage of growth."
"We are confident the cooperation, which combines Shanda's operational expertise and Kingsoft's game development, will be a win-win for each company," said Mr. Bojun Qiu, Kingsoft's Chairman and CEO. "We look forward to other opportunities to collaborate with Shanda in the future to further develop the online gaming industry."
eastunder
15 years ago
Investor FAQ
1. Where and when was Shanda incorporated?
Shanda was incorporated in the Cayman Islands in November 2003.
2. How many employees does Shanda have?
As of December 31, 2008, Shanda has around 2000 full-time employees.
3. Where is Shanda's stock listed?
Shanda's stock is listed on the NASDAQ National Market under the ticker symbol SNDA.
4. When did Shanda go public, and at what price?
Shanda issued 13,854,487 ADSs (American Depository Shares) on May 13, 2004 at U.S. $11 per ADS in its initial public offering (IPO). On June 2, 2004, Shanda held the closing for the over-allotment option in connection with its IPO. At this closing an additional 1,505,634 ADSs were purchased from Shanda and the selling shareholders, which increased the total outstanding Shanda ADSs to 15,360,121 and the total outstanding Shanda ordinary shares to 141,818,280.
5. What is online game and how does it differ from offline game?
The electronic games industry is broadly divided into offline games and online games. Online games are those in which at least one component must be played through the Internet. The main part of the game software operates on network servers to which end users have no access, and user data are stored on the serves. Although some offline games have network features that allow users to play on a peer to peer basis on a local area network or through a publisher's server, usage data are not stored on the severs.
6. What is an MMORPG?
MMORPG, or massively multiplayer online role-playing games, allow thousands of users to interact with one another in a virtual world by assuming ongoing roles or characters with different features. The games are continuous, and players accumulate features, advance in levels and communicate with one another through instant messaging. The interactive and group-oriented nature of our games creates a strong sense of community among users, and the large size of our user base contributes to user loyalty and helps to attract new users.
7. What is a casual game?
Casual games are less complex and time consuming than MMORPGs, but they attract a broader range of users. Casual games have cartoon style and are typically session based, meaning that a game can be played to a conclusion within a short period of time. So users usually play them for fun.
8. How can I purchase shares of Shanda stock?
Shares of Shanda stock can be purchased through a stockbroker or online brokerage of your choice.
9. Does Shanda distribute dividends or have a Direct Stock Purchase Plan?
We do not issue a quarterly dividend and have no plans to do so for the foreseeable future. We do not have a Direct Stock Purchase Plan.
10. How do I transfer my stock in Shanda or change my address with the transfer agent?
To transfer stock or change your address, please contact our transfer agent, The Bank of New York for American investors at 1-888-BNY-ADRs and for international investors at 001-610-312-5315.
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