Link Mobility released its 2017 Q4 and full-year financial report with a net profit of US$111.4 million in Q4

On April 11, 2018, Beijing time, Link Mobility (NYSE: LKM), a leading smart car and smart travel company, announced its financial results for the fourth quarter and full year ended December 31, 2017. Net revenue for the fourth quarter of 2017 was $13.4 million, of which advertising revenue increased by 14.2% year-on-year to $3.2 million due to the growth of overseas business promotion. Net profit for the quarter was $111.4 million (net loss of $111.2 million in the same period of 2016) according to US GAAP. Net revenue for the full year of 2017 was $57.6 million. Operating income for 2017 was $57.6 million, of which enterprise user revenue increased by 10.3% year-on-year to $43.2 million (US$39.2 million in 2016) due to the growth of Zhengding hardware sales. Net loss attributable to the company for the full year of 2017 according to US GAAP was $5.3 million (net loss of $127.6 million in 2016).

The Company completed the spin-off of Feiliu and Xiuse assets, with the transaction price exceeding the book value of the disposed businesses by $342 million. The Company recognized a gain of $161.5 million in the fourth quarter and recorded the remaining $180.4 million as deferred income from the disposal of discontinued operations. As of the end of 2017, the Company had cash, cash equivalents and time deposits totaling $319.8 million (US$266.9 million at the end of 2016), as well as notes receivable of $270.9 million from the Feiliu and Xiuse asset spin-off transaction completed in the fourth quarter of 2017.

Subsequently, the company's business focus shifted to intelligent car brain and intelligent travel business driven by the car brain platform, and phased progress has been made in 2017. The application of the company's Lingdong car brain platform has extended from passenger cars to public transportation, becoming the supplier of pure electric bus platforms for Qingdao Public Transport Company. The company has reached a partnership with Hangzhou Botan Technology Engineering Co., Ltd. to jointly design passenger-centric smart cars for Lingdong Pinzhi travel business; reached a partnership with Chery Automobile to jointly develop a new generation of technology platforms for connected cars including fully autonomous vehicles; and also reached a partnership with Aidid, a world leader in digital safety platforms, to provide products that combine Aidid's safe driving with Lingdong car brain overall solutions for connected cars and autonomous vehicles.

"2017 is a transformation year for Link Motion, as we are committed to seizing the huge opportunities in the smart car industry, which we believe is in its early stages of development," said Dr. Shi Wenyong, Founder and Chairman of Link Motion. "In the past, NetQin was born out of the smartphone revolution, and today, Link Motion represents the upcoming smart car revolution. This year, we will continue to form partnerships with more key companies in the field and gradually achieve our three business milestones this year, including the commercialization of smart travel business in the summer of 2018; further development of the "Car Brain" platform; and the ultimate revenue growth brought by these new businesses."

"As part of our commitment to increasing transparency with shareholders and institutional investors, Link Mobility plans to host events for investors and analysts in China in the summer of 2018 after announcing our first operational city. As part of our new investor relations strategy and communications plan, we will actively update the company on its business progress and implement best investor relations practices in North America and around the world. We also plan to actively participate in global investor roadshows and conferences in 2018," said Dr. Shi Wenyong.
For more detailed financial report data, please visit the ir website. //ir.lkmotion.com/phoenix.zhtml?c=243152&p=irol-newsArticle&ID=2341948