SINA Corporation (SINA - Free Report) reported second-quarter 2018 non-GAAP earnings of 89 cents per share, which beat the Zacks Consensus Estimate of 71 cents and increased 27.1% from the year-ago quarter.
Non-GAAP net revenues grew 50.1% to $534.8 million. Advertising revenues (84.5% of total revenues) surged 53.8% year over year to $454.1 million.
The increase in advertising revenues was driven by growth in Weibo segment’s advertising and marketing revenues.
Non-advertising (non-GAAP) revenues increased 31.9% year over year to $80.7 million driven by increased revenues from SINA fin-tech business and live broadcasting business as well as increased Weibo membership fees.
Revenues from Weibo business grew 68.4% year over year to $426.6 million, primarily driven by growth in user base and monetization. Non-ad revenues grew 61.7% to $56.6 million and ad and marketing revenues grew 69.4% to $369.9 million in the reported quarter.
Portal advertising revenues were up 8% year over year to $84.2 million driven by increased monetization of the mobile segment.
Mobile app revenues accounted for 82% of total portal ad revenues compared with 57% in the year-ago quarter. The upside can be attributed to growth in mobile traffic for SINA News and Finance applications.
Daily Active Users for News app and Finance app increased approximately 25% and 144%, respectively.
Portal non-advertising revenues increased 6.6% to $30.6 million driven by growth in the micro loan business. However, for the coming two quarters, stricter regulations in the micro-lending sector continue to remain an overhang.
Sina Corporation Price, Consensus and EPS Surprise