Latest stock value to market: Sogou Inc. (NYSE: SOGO)

16 / 100 SEO Score

On 08 May 2020, Sogou Inc. (NYSE: SOGO) stock observed trading -39.83% off 52-week high price. On the other end, the stock has been noted 16.33% away from low price over the last 52-weeks. The stock disclosed a move of -1.08% away from 50 day moving average and -21.45% away from 200 day moving average. Moving closer, we can see that shares have been trading 2.60% off 20-day moving average.

Sogou Inc. (SOGO) recently reported its unaudited financial results for the fourth quarter and full year, ended December 31, 2019.

Fourth Quarter 2019 Highlights

Total revenues [1] were $301.0M, a 1% increase year-over-year, or a 3% increase in RMB terms.

Net income attributable to Sogou Inc. was $35.0M, a 33% increase year-over-year. Non-GAAP[2] net income attributable to Sogou Inc. was $39.0M, a 44% increase year-over-year.

Sogou Mobile Keyboard had 464M DAUs (daily average users), up 9% year-over-year. As China’s largest voice recognition app, it processed up to 802M daily voice requests.

“Our business showed resilience in 2019 despite continued headwinds in the macro environment and in the online advertising industry in China,” stated Xiaochuan Wang, CEO of Sogou. “Search revenue grew faster than the industry average in 2019, as we stepped up efforts to build out our content and service ecosystem. Revenues from our Recommendation Service leveraging Mobile Keyboard increased nearly 90% year-over-year in 2019. The Smart Hardware business maintained healthy growth momentum as we increasingly integrated our core AI capabilities into product upgrades. With respect to our language-centric AI technologies, we have been able to provide industry-leading solutions, including our AI-powered Vocational Avatars and Simultaneous Interpretation.”

Mr. Wang added, “The recent COVID-19 outbreak has increased user requests for reliable information and high efficiency. As a result, our Search traffic and Mobile Keyboard users reached record high levels. We also quickly mobilized our R&D and technological advantages to address the situation and facilitate the development of AI healthcare. While we expect the epidemic to have a short-term dampening impact on our results in the first quarter of 2020, we remain confident in our overall positioning with strong execution of our strategies to further unlock the potential of our core user assets.”

Fourth Quarter 2019 Financial Results

Total revenues were $301.0M, a 1% increase year-over-year.

  • Search and search-related revenues were $274.6M, down 1% year-over-year. However, auction-based pay-for-click services continued to increase year-over-year, accounting for 88.2% of search and search-related revenues, contrast to 84.8% in the corresponding period in 2018.
  • Other revenues were $26.4M, a 26% increase year-over-year. The increase was primarily Because of increased revenues from sales of smart hardware products.

Cost of revenues was $168.7M, a 9% decrease year-over-year. Traffic acquisition cost, a primary driver of cost of revenues, was $129.0M, a 14% decrease year-over-year, representing 42.8% of total revenues, contrast to 50.3% in the corresponding period in 2018.

Gross profit was $132.4M, an 18% increase year-over-year. Non-GAAP gross profit was $132.6M, a 19% increase year-over-year.

Total operating expenses were $95.0M, a 4% decrease year-over-year.

  • Research and development expenses were $48.7M, a 1% increase year-over-year, representing 16.2% of total revenues, largely flat with the corresponding period in 2018.
  • Sales and marketing expenses- were $34.9M, a 16% decrease year-over-year, representing 11.6% of total revenues, contrast to 14.0% in the corresponding period in 2018. The decrease was primarily attributable to a decrease in marketing and promotional spending.
  • General and administrative expenses were $11.3M, a 21% increase year-over-year, representing 3.8% of total revenues, contrast to 3.1% in the corresponding period in 2018. The increase was primarily Because of a raise in professional fees.

Operating income was $37.4M, a 202% increase year-over-year, contrast to $12.4M in the corresponding period in 2018. Non-GAAP operating income was $41.5M, a 216% increase year-over-year, contrast to $13.1M in the corresponding period in 2018.

Other income, net was $0.5M, contrast to $9.6M in the corresponding period in 2018. The decrease was primarily Because of a $9.1M impairment loss on certain equity investments of the Company in 2019.

Income tax expense was $2.0M, contrast to an income tax benefit of $3.6M in the corresponding period of 2018.

Net income attributable to Sogou Inc. was $35.0M, a 33% increase year-over-year, contrast to net income of $26.4M in the corresponding period in 2018. Non-GAAP net income attributable to Sogou Inc. was $39.0M, a 44% increase year-over-year, contrast to net income of $27.1M in the corresponding period in 2018.

The China based company Sogou Inc. moved with change of 0.58% to $3.49 with the total traded volume of 524624 shares in recent session versus to an average volume of 908.71K. SOGO’s shares are at -18.65% for the quarter and driving a -36.55% return over the course of the past year and is now at -23.30% since this point in 2018.

 

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