IFM Investments Ltd

CIK:0001477324|SEC Filings

Consolidated Statements of Operations In Thousands, except Per Share data, unless otherwise specified	12 Months Ended
	Dec. 31, 2014 USD ($)	Dec. 31, 2014 CNY	Dec. 31, 2013 CNY	Dec. 31, 2012 CNY
Consolidated Statements of Operations
Net revenue	$ 86,167us-gaap_SalesRevenueNet	534,634us-gaap_SalesRevenueNet	877,451us-gaap_SalesRevenueNet	748,133us-gaap_SalesRevenueNet
Costs and expenses:
Commissions and other agent-related costs	(55,117)us-gaap_SalesCommissionsAndFees	(341,982)us-gaap_SalesCommissionsAndFees	(562,436)us-gaap_SalesCommissionsAndFees	(455,282)us-gaap_SalesCommissionsAndFees
Operating costs	(24,004)us-gaap_OperatingCostsAndExpenses	(148,938)us-gaap_OperatingCostsAndExpenses	(184,393)us-gaap_OperatingCostsAndExpenses	(175,330)us-gaap_OperatingCostsAndExpenses
Selling, general and administrative expenses	(27,740)	(172,118)	(234,065)	(177,475)
Goodwill impairment losses		0us-gaap_GoodwillImpairmentLoss	(20,384)us-gaap_GoodwillImpairmentLoss	(10,755)us-gaap_GoodwillImpairmentLoss
Net change in fair value (Note 2(q) and Note 21)	8	52	22,069	11,989
Total costs and expenses	(106,853)us-gaap_CostsAndExpenses	(662,986)us-gaap_CostsAndExpenses	(979,209)us-gaap_CostsAndExpenses	(806,853)us-gaap_CostsAndExpenses
Loss from operations	(20,686)us-gaap_OperatingIncomeLoss	(128,352)us-gaap_OperatingIncomeLoss	(101,758)us-gaap_OperatingIncomeLoss	(58,720)us-gaap_OperatingIncomeLoss
Interest income	166us-gaap_InvestmentIncomeInterest	1,032us-gaap_InvestmentIncomeInterest	4,162us-gaap_InvestmentIncomeInterest	2,324us-gaap_InvestmentIncomeInterest
Other income	1,682us-gaap_OtherNonoperatingIncome	10,435us-gaap_OtherNonoperatingIncome	7,360us-gaap_OtherNonoperatingIncome	6,497us-gaap_OtherNonoperatingIncome
Foreign currency exchange loss	(6)	(37)	(113)	(19)
Loss before income tax and share of associates' income (loss)	(18,844)	(116,922)	(90,349)	(49,918)
Income tax	915us-gaap_IncomeTaxExpenseBenefit	5,677us-gaap_IncomeTaxExpenseBenefit	2,332us-gaap_IncomeTaxExpenseBenefit	(2,713)us-gaap_IncomeTaxExpenseBenefit
Share of associates' income	298	1,847	2,074	2,547
Net Loss	(17,631)us-gaap_ProfitLoss	(109,398)us-gaap_ProfitLoss	(85,943)us-gaap_ProfitLoss	(50,084)us-gaap_ProfitLoss
Net loss (income) attributable to non-controlling interest	76	474	12,792	2,094
Net loss attributable to IFM Investments Limited	$ (17,555)us-gaap_NetIncomeLoss	(108,924)us-gaap_NetIncomeLoss	(73,151)us-gaap_NetIncomeLoss	(47,990)us-gaap_NetIncomeLoss
Net loss per share, basic (in dollars per share)	$ (0.03)us-gaap_EarningsPerShareBasic	(0.16)us-gaap_EarningsPerShareBasic	(0.11)us-gaap_EarningsPerShareBasic	(0.07)us-gaap_EarningsPerShareBasic
Net loss per share, diluted (in dollars per share)	$ (0.03)us-gaap_EarningsPerShareDiluted	(0.16)us-gaap_EarningsPerShareDiluted	(0.11)us-gaap_EarningsPerShareDiluted	(0.07)us-gaap_EarningsPerShareDiluted
Net loss per ADS, basic (in dollars per share)	$ (1.18)	(7.33)	(4.93)	(3.23)
Net loss per ADS, diluted (in dollars per share)	$ (1.18)	(7.33)	(4.93)	(3.23)
Number of shares used in calculating net loss per share, basic	669,132	669,132	668,198	667,672
Number of shares used in calculating net loss per share, diluted	669,132	669,132	668,198	667,672
Number of ADSs used in calculating net loss per ADS, basic	14,870	14,870	14,849	14,837
Number of ADSs used in calculating net loss per ADS, diluted	14,870	14,870	14,849	14,837

Consolidated Statements of Cash Flows In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2014 USD ($)	Dec. 31, 2014 CNY	Dec. 31, 2013 CNY	Dec. 31, 2012 CNY
Cash flows from operating activities:
Net Loss	$ (17,631)us-gaap_ProfitLoss	(109,398)us-gaap_ProfitLoss	(85,943)us-gaap_ProfitLoss	(50,084)us-gaap_ProfitLoss
Adjustments to reconcile net loss to net cash used in operating activities:
Goodwill impairment		0us-gaap_GoodwillImpairmentLoss	20,384us-gaap_GoodwillImpairmentLoss	10,755us-gaap_GoodwillImpairmentLoss
Net change in fair value	(8)	(52)	(22,069)	(11,989)
Depreciation and amortization	3,420	21,219	23,498	28,246
Allowance for doubtful accounts	1,076us-gaap_ProvisionForDoubtfulAccounts	6,678us-gaap_ProvisionForDoubtfulAccounts	14,681us-gaap_ProvisionForDoubtfulAccounts	12,129us-gaap_ProvisionForDoubtfulAccounts
Effects of foreign currency exchange loss	6	37	113	19
Share-based compensation	23us-gaap_ShareBasedCompensation	142us-gaap_ShareBasedCompensation	242us-gaap_ShareBasedCompensation	3,465us-gaap_ShareBasedCompensation
Deferred tax assets and liabilities	(1,474)us-gaap_DeferredIncomeTaxExpenseBenefit	(9,146)us-gaap_DeferredIncomeTaxExpenseBenefit	(5,621)us-gaap_DeferredIncomeTaxExpenseBenefit	(5,771)us-gaap_DeferredIncomeTaxExpenseBenefit
Share of associates' income	(298)	(1,847)	(2,074)	(2,547)
Loss on disposal of equipment and leasehold improvement	1,729us-gaap_GainLossOnDispositionOfAssets	10,729us-gaap_GainLossOnDispositionOfAssets	5,056us-gaap_GainLossOnDispositionOfAssets	5,598us-gaap_GainLossOnDispositionOfAssets
Changes in operating assets and liabilities:
Accounts receivable	872	5,408	(7,266)	(91,326)
Amount due from related parties	(15)	(95)	(32)	(39)
Interest receivable	246	1,527	521	(225)
Receipt of loan principals	128,966	800,182	99,605
Issuance/repurchase of loan	(129,567)	(803,912)	(107,625)
Prepaid expenses and other current assets	3,623	22,481	(3,214)	(3,896)
Other non-current assets	456	2,828	1,437	3,297
Accounts payable	(170)	(1,052)	(1,774)	4,478
Amount due to related parties	1,853	11,500	10	6
Accrued expenses and other current liabilities	(8,223)	(51,019)	24,104	67,023
Deferred revenue	(1,949)	(12,094)	11,370	766
Long-term deposits payable	(24)	(152)	41	(1,639)
Net cash used in operating activities	(17,089)	(106,036)	(34,556)	(31,734)
Cash flows from investing activities:
Decrease in Restricted cash	(1)	(5)	904	447
Purchases of equipment and leasehold improvement	(1,997)	(12,389)	(17,553)	(8,119)
Loan issuance	(7,672)	(47,600)	(120,420)	(98,053)
Receipt of loan principals	13,379	83,010	115,998	100,560
Business combinations, net of cash acquired			(5,979)
Net cash (used in) provided by investing activities	3,709	23,016	(27,050)	(5,165)
Cash flows from financing activities:
Restricted cash-customers deposits	699	4,337	3,897	(7,486)
Proceeds from issuance of ordinary shares upon exercise of share options	12	77	185
Dividend	(943)us-gaap_PaymentsOfOrdinaryDividends	(5,850)us-gaap_PaymentsOfOrdinaryDividends
Short term loan	790us-gaap_ProceedsFromBankDebt	4,900us-gaap_ProceedsFromBankDebt
Transfer of loans	601	3,730	74,370
Repurchase of loans	(3,575)	(22,180)	(62,143)
Net cash (used in) provided by financing activities	(2,416)	(14,986)	16,309	(7,486)
Effects of foreign exchange rate changes on cash and cash equivalents	2	12	(141)	(17)
Net decrease in cash and cash equivalents	(15,794)	(97,994)	(45,438)	(44,402)
Cash and cash equivalents at the beginning of the year	23,468	145,610	191,048	235,450
Cash and cash equivalents at the end of the year	7,674	47,616	145,610	191,048
Supplemental schedule of non-cash activities
Consideration payable for business combination	906	5,623	5,623	33,774
Supplemental disclosure of cash flow information
Income tax paid	$ 13us-gaap_IncomeTaxesPaid	81us-gaap_IncomeTaxesPaid	378us-gaap_IncomeTaxesPaid	594us-gaap_IncomeTaxesPaid

Consolidated Balance Sheets In Thousands, unless otherwise specified	Dec. 31, 2014 USD ($)	Dec. 31, 2014 CNY	Dec. 31, 2013 CNY
Current assets:
Cash and cash equivalents	$ 7,674	47,616	145,610
Restricted cash	1,435	8,903	13,235
Accounts receivable, net	25,269us-gaap_AccountsReceivableNetCurrent	156,786us-gaap_AccountsReceivableNetCurrent	168,872us-gaap_AccountsReceivableNetCurrent
Loans receivable, net	41,862	259,738	121,133
Amounts due from related parties	38us-gaap_DueFromRelatedPartiesCurrent	237us-gaap_DueFromRelatedPartiesCurrent	142us-gaap_DueFromRelatedPartiesCurrent
Prepaid expenses and other current assets	3,384	20,998	44,479
Deferred tax assets	2,327	14,437	9,630
Total current assets	81,989us-gaap_AssetsCurrent	508,715us-gaap_AssetsCurrent	503,101us-gaap_AssetsCurrent
Non-current assets:
Equity investments	2,750us-gaap_EquityMethodInvestments	17,062us-gaap_EquityMethodInvestments	15,215us-gaap_EquityMethodInvestments
Property and equipment, net	2,922us-gaap_PropertyPlantAndEquipmentNet	18,129us-gaap_PropertyPlantAndEquipmentNet	33,434us-gaap_PropertyPlantAndEquipmentNet
Intangible assets, net	12,874	79,877	84,747
Goodwill	13,467us-gaap_Goodwill	83,559us-gaap_Goodwill	83,559us-gaap_Goodwill
Other non-current assets	2,479us-gaap_OtherAssetsNoncurrent	15,379us-gaap_OtherAssetsNoncurrent	18,207us-gaap_OtherAssetsNoncurrent
Deferred tax assets	575	3,566
Total assets	117,056us-gaap_Assets	726,287us-gaap_Assets	738,263us-gaap_Assets
Current liabilities (including amounts of the consolidated VIEs without recourse to the Company of RMB155,521 and RMB308,446 (US$49,713) as of December 31, 2013 and 2014, respectively. Note 25)
Accounts payable	1,422us-gaap_AccountsPayableCurrent	8,821us-gaap_AccountsPayableCurrent	10,491us-gaap_AccountsPayableCurrent
Accrued expenses and other current liabilities	69,201	429,376	328,034
Amounts due to related parties	1,899us-gaap_DueToRelatedPartiesCurrent	11,782us-gaap_DueToRelatedPartiesCurrent	282us-gaap_DueToRelatedPartiesCurrent
Deferred revenue	1,260us-gaap_DeferredRevenueCurrent	7,815us-gaap_DeferredRevenueCurrent	19,909us-gaap_DeferredRevenueCurrent
Short-term loan	790us-gaap_ShortTermBorrowings	4,900us-gaap_ShortTermBorrowings
Contingent consideration payable	906	5,623	5,623
Total current liabilities	75,478us-gaap_LiabilitiesCurrent	468,317us-gaap_LiabilitiesCurrent	364,339us-gaap_LiabilitiesCurrent
Long-term deposits payable	1,681us-gaap_CustomerDepositsNoncurrent	10,430us-gaap_CustomerDepositsNoncurrent	10,582us-gaap_CustomerDepositsNoncurrent
Deferred tax liabilities (including amounts of the consolidated VIEs without recourse to the Company of RMB1,399 and RMB 1,310 (US$ 211 ) as of December 31, 2013 and 2014, respectively. Note 25)	2,419	15,008	15,781
Total liabilities	79,578us-gaap_Liabilities	493,755us-gaap_Liabilities	390,702us-gaap_Liabilities
Redeemable non-controlling interest			42,779
Commitments and contingencies (Note 23)
Shareholders' equity:
Additional paid-in capital	167,027	1,036,336	1,036,120
Statutory reserves	902us-gaap_RetainedEarningsAppropriated	5,595us-gaap_RetainedEarningsAppropriated	5,595us-gaap_RetainedEarningsAppropriated
Accumulated deficit	(137,996)us-gaap_RetainedEarningsUnappropriated	(856,209)us-gaap_RetainedEarningsUnappropriated	(747,285)us-gaap_RetainedEarningsUnappropriated
Total IFM Investments Limited shareholders' equity	30,731us-gaap_StockholdersEquity	190,671us-gaap_StockholdersEquity	299,376us-gaap_StockholdersEquity
Non-controlling interests	6,747us-gaap_MinorityInterest	41,861us-gaap_MinorityInterest	5,406us-gaap_MinorityInterest
Total shareholders' equity	37,478	232,532	304,782
TOTAL LIABILITIES, REDEEMABLE NON-CONTROLLING INTEREST AND SHAREHOLDERS' EQUITY	$ 117,056	726,287	738,263