The second quarter loss narrowed, sohu sogou gratifying video still drag on


today, sohu announced the second quarter of 2014 without the audit results. Data show that sohu in the second quarter of the total revenue of $400 million, rose 10%, year-on-year growth of 18%; Net loss of $45 million, from $56 million last quarter narrowed, but less than the same period last year net profit of $22 million.

main performance in the second quarter:

– sohu in the second quarter of the total revenue of a record $400 million, up 18% from a year earlier, compared with the previous quarter growth of 10%.

– sohu in the second quarter of the total online advertising revenue of $218 million, up 49% from a year earlier, compared with the previous quarter growth of 25%. Internet advertising revenue, including brand advertising and search and other revenue, among them, the brand advertising revenue of $133 million, up 33% from a year earlier, compared with the previous quarter growth of 20%. Sohu brand advertising revenues in the second quarter year-on-year growth, thanks to online video and 17173 advertising revenue increase. Sohu brand advertising revenues in the second quarter rose, mainly due to online video and automobile advertising business growth; Search and other business revenue of $85 million, up 84% from a year earlier, compared with the previous quarter growth of 32%. Sohu search and other revenue year-on-year in the second quarter and rose, mainly because of increased user traffic and cashability ascension.

– sohu network game business revenue of $154 million in the second quarter, down 9% year-on-year, compared with the previous quarter fell 6%.

– sohu sogou business revenue of $91 million in the second quarter, up 82% from a year earlier, compared with the previous quarter growth of 30%.

– according to us gaap, in the second quarter of attribution of sohu net loss of $45 million, or American depositary receipts diluted loss of $1.16 per share. Not in accordance with us gaap, in the second quarter belong to sohu net loss of $34 million, or American depositary receipts diluted loss of $0.88 per share. In terms of the structure of the current business, video business is still is the most important reason of sohu loss.

Gross margin

according to us gaap, sohu in the second quarter gross margin was 58%, down from 62% last quarter, less than 66% in the same period last year. Sohu network advertising business gross margin of 44% in the second quarter, down from 45% last quarter, less than 48% in the same period last year.

according to us gaap, sohu network advertising business gross margin of 44% in the second quarter, down from 45% last quarter, less than 48% in the same period last year.

sohu brand advertising business gross margin in the second quarter was 38%, down from 42% last quarter, less than 49% in the same period last year. Sohu brand advertising business gross margin in the second quarter and fell over the previous year, mainly due to the content and the growth of the bandwidth costs.

according to the general principles, the second quarter of sohu search and other business gross margin was 52%, up from 51% last quarter, up from 47% during the same period last year. Not in accordance with us gaap, sohu search and other business gross margin in the second quarter was 53%, up from 51% last quarter, up from 47% during the same period last year. Sohu search and other business gross margin in the second quarter year-on-year growth, purchasing cost is mainly due to the flow of search and other business income decline; Sohu search and other business gross margin in the second quarter rose, is mainly due to the bandwidth and depreciation cost decline to search, and other business income.

in accordance with the general rules and in accordance with us gaap, sohu network game business gross margins are 80% in the second quarter, down from 84% last quarter, less than 86% in the same period last year. Sohu in the second quarter and annulus compared to online games business gross margin decline, mainly due to the second quarter of 2014 games the rising cost of operating personnel salary welfare.

sohu wireless business in the second quarter gross margin of 41%, up from 33% last quarter, up from 35% during the same period last year.

As the cost

sohu as the cost in the second quarter was $292 million, up 82% from a year earlier, compared with the previous quarter fell 1%. Not in accordance with us gaap, sohu as the cost in the second quarter was $267 million, up 67% from a year earlier, compared with the previous quarter fell 8%. Sohu operating expenses in the second quarter year-on-year growth, mainly due to swim the rising cost of marketing, a variety of software applications, and because of the number of employees and the average salary growth caused by the rising cost of c&b.

operating loss

the second quarter operating loss was $62 million, sohu last quarter operating loss was $69 million, compared with the same period last year operating profit of $64 million.

is not in accordance with the general accounting rules, the second quarter operating loss was $35 million, sohu last quarter operating loss was $63 million, compared with the same period last year operating profit of $66 million.

net

, prior to the deduction of the non-controlling interests in accordance with the general accounting rules, the second quarter net loss of $51 million, sohu last quarter net loss of $56 million, compared with the same period last year net profit of $53 million. Not in accordance with the general accounting standards, the second quarter net loss of $24 million, sohu last quarter net loss of $51 million, compared with the same period last year net profit of $54 million.

according to us gaap, in the second quarter of attribution of sohu net loss of $45 million, or American depositary receipts diluted loss of $1.16 per share. Not in accordance with us gaap, in the second quarter belong to sohu net loss of $34 million, or American depositary receipts diluted loss of $0.88 per share.

cash balances

as of June 30, 2014, sohu holdings of cash and cash equivalents totaled $1.05 billion, less than $2013 as of December 31, 2013.

earnings outlook:

sohu is expected, the company in the third quarter of 2014 total revenue will be $427 million to $442 million. Among them, the brand advertising revenue will be $148 million to $153 million, rose 11% to 15%, year-on-year growth of 19% to 23%; Sogou revenue will be $100 million to $105 million, rose 10% to 15%, year-on-year growth of 76% to 84%; Online gaming revenue will be $158 million to $163 million, rose 3% to 6%, fell by 2% to 1% growth.

button before unless a controlling interest, in accordance with us gaap, sohu in the third quarter net loss will be $28 million to $34 million. Not in accordance with the general accounting standards in the third quarter, attribution of sohu net loss will be $29 million to $33 million, or American depositary receipts diluted loss per share of $0.75 to $0.80.