SINA Reports Third Quarter 2018 Unaudited Financial Results

BEIJING,Nov. 28,2018 -- SINA Corporation (the "Company" or "SINA") (NASDAQ: SINA),a leading online media company serving China and the global Chinese communities,today announced its unaudited financial results for the third quarter ended September 30,2018.

"We are pleased with SINA's third quarter results. Despite intensified competition and macro headwinds,we delivered healthy growth in both revenues and profitability driven by the continued momentum of Weibo business." said Charles Chao,Chairman and CEO of SINA.

Third Quarter 2018 Highlights

Both net revenues and non-GAAP net revenues increased 26% year-over-year to $557.2 million and $554.6 million,respectively.

Advertising revenues increased 33% year-over-year to $483.8 million.

Non-advertising revenues were $73.4 million. Non-GAAP non-advertising revenues were $70.8 million.

Income from operations increased 6% year-over-year to $127.4 million. Non-GAAP income from operations increased 16% year-over-year to $168.1 million.

Net income attributable to SINA was $45.4 million,or $0.62 for diluted net income per share attributable to SINA's ordinary shareholders. Non-GAAP net income attributable to SINA was $67.7 million,or $0.93 for non-GAAP diluted net income per share attributable to SINA's ordinary shareholders.

Third Quarter 2018 Financial Results

For the third quarter of 2018,SINA reported net revenues of $557.2 million,an increase of 26% compared to $443.1 million for the same period last year. Non-GAAP net revenues for the third quarter of 2018 were $554.6 million,an increase of 26% compared to $440.5 million for the same period last year.

Advertising revenues for the third quarter of 2018 were $483.8 million,an increase of 33% compared to $364.0 million for the same period last year,primarily driven by an increase of $132.5 million,or 48% growth in Weibo advertising and marketing revenues.

Non-advertising revenues for the third quarter of 2018 were $73.4 million,compared to $79.2 million for the same period last year. Non-GAAP non-advertising revenues for the third quarter of 2018 were $70.8 million,compared to $76.6 million for the same period last year. The year over year decline in non-advertising revenues was attributable to our revenue reporting changed from gross basis to net basis,negative currency translation impact as well as lackluster SINA fin-tech businesses due to regulatory headwind. The decrease was partially offset by increase in Weibo value-added service ("VAS") revenues.

Gross margin for the third quarter of 2018 was 80%,compared to 76% for the same period last year. Advertising gross margin for the third quarter of 2018 was 81%,compared to 76% for the same period last year. The increase in advertising gross margin was mainly resulted from our revenue reporting changed from gross basis to net basis under the new accounting standard adopted. Non-advertising gross margin for the third quarter of 2018 was 71%,flat year over year.

Operating expenses for the third quarter of 2018 totaled $316.0 million,compared to $214.3 million for the same period last year. Apart from the inclusion of marketing expense related to barter transactions recorded under the new accounting standard as illustrated below,the increase in operating expenses was primarily attributable to the step up of sales and marketing expenses for Weibo's user acquisition,the increase in personnel related costs,as well as goodwill and acquired intangibles impairment charge for non-core business line. Non-GAAP operating expenses for the third quarter of 2018 totaled $276.4 million,compared to $189.7 million for the same period last year.

Income from operations for the third quarter of 2018 was $127.4 million,compared to $120.3 million for the same period last year. Operating margin was 23%,down from 27% for the same period last year. Non-GAAP income from operations for the third quarter of 2018 was $168.1 million,compared to $145.0 million for the same period last year. Non-GAAP operating margin was 30%,down from 33% for the same period last year.

Non-operating income for the third quarter of 2018 was $77.3 million,compared to $11.1 million for the same period last year. Non-operating income for the third quarter of 2018 included (i) a $50.1 million net gain on sale of investments,fair value changes and impairment on investments,which is excluded under non-GAAP measure; (ii) a $17.1 million net interest and other income; and (iii) a $10.2 million net earnings from equity-method investments,which is reported one quarter in arrears and is mainly resulted from the earnings pick-up related to the Company's investment in Tian Ge Interactive Holding Limited. Non-operating income for the third quarter of 2017 included (i) a $10.2 million net gain on sale of and impairment on investments,which is excluded under our non-GAAP measure; (ii) a $11.1 million loss pick-up from equity-method investments,which is accounted for under the equity-method and reported one quarter in arrears,mainly resulting from the loss pick-up from the Company's investment in Leju Holding Limited; and (iii) a $12.0 million net interest and other income.

Income tax expenses for the third quarter of 2018 were $68.1 million,compared to $24.6 million for the same period last year,largely attributable to the deferred tax liability recognized from the fair value changes of investments. Non-GAAP income tax expenses for the third quarter of 2018 were $27.8 million,compared to $24.8 million for the same period last year.

Net income attributable to SINA's ordinary shareholders for the third quarter of 2018 was $45.4 million,compared to $49.3 million for the same period last year. Diluted net income per share attributable to SINA's ordinary shareholders for the third quarter of 2018 was $0.62,compared to $0.66 for the same period last year. Non-GAAP net income attributable to SINA's ordinary shareholders for the third quarter of 2018 was $67.7 million,compared to $57.7 million for the same period last year. Non-GAAP diluted net income per share attributable to SINA's ordinary shareholders for the third quarter of 2018 was $0.93,compared to $0.77 for the same period last year.

As of September 30,2018,SINA's cash,cash equivalents and short-term investments totaled $2.5 billion,compared to $3.4 billion as of December 31,2017. The decrease of SINA's cash,cash equivalents and short-term investments was mainly resulted from continued investment activities and the execution of the Company's share repurchase program. For the third quarter of 2018,net cash provided by operating activities was $100.8 million,capital expenditures totaled $46.8 million,and depreciation and amortization expenses amounted to $9.9 million.

Financial Impact from New Revenue Guidance

As the Company adopted new revenue guidance ASC Topic 606 on January 1,2018,results for reporting periods beginning after January 1,2018 are presented under Topic 606 ('New Basis'),while prior period amounts are not adjusted and continue to be reported under Topic 605 ('Old Basis'),which is the Company's historic accounting method.

The Company's current period reported results which reflected the impact from the adoption of the new revenue guidance are as follows:

Three months ended September 30,2018

Adjustments

Old Basis

ASC 605

VAT

Barter

Transaction

New Basis

ASC 606

($ In thousands,except for percentage)

Net revenues

561,228

(31,490)

27,463

557,201

- Portal

106,459

(5,857)

638

101,240

- Weibo

459,232

(25,886)

26,825

460,171

Cost of revenues

145,305

(31,490)

-

113,815

Operating expenses

285,794

-

30,160

315,954

- Sales and marketing

155,318

-

30,160

185,478

Income from operations

130,129

-

(2,697)

127,432

Gross margin

74.1%

79.6%

Operating margin

23.2%

22.9%

Annual General Meeting

On November 23,the Company held its annual general meeting of shareholders,where the shareholders re-elected Mr. Yan Wang and Mr. James Jianzhang Liang as directors of the Company and ratified the appointment of PricewaterhouseCoopers Zhong Tian LLP as the Company's independent auditors for the fiscal year ending December 31,2018. The shareholders also approved the adoption of the amended and restated memorandum and articles of association ("MAA") in substitution for and to the exclusion of the currently effective MAA of the Company.

Business Outlook

In light of macro-economic conditions and regulatory factors,we are revising our fiscal year 2018 net revenue guidance to a range of RMB 14.0 billion to RMB 14.2 billion,or $2.09 billion to $2.12 billion,assuming US dollar and RMB exchange rate of 6.70. It represents a year over year growth rate of 32% to 34% and reflects a 5% to 7% adjustment to the midpoint of the original revenue guidance.

Non-GAAP Measures

This release contains the following non-GAAP financial measures: non-GAAP net revenues,non-GAAP non-advertising revenues,non-GAAP advertising and non-advertising gross margin,non-GAAP operating expenses,non-GAAP income from operations,non-GAAP operating margin,non-GAAP net income attributable to SINA's ordinary shareholders and non-GAAP diluted net income per share attributable to SINA's ordinary shareholders. These non-GAAP financial measures should be considered in addition to,not as a substitute for,measures of the Company's financial performance prepared in accordance with U.S. GAAP. The Company's non-GAAP financial measures may be defined differently than similar terms used by other companies. Accordingly,care should be exercised in understanding how the Company defines its non-GAAP financial measures.

The Company's non-GAAP financial measures exclude recognition of deferred revenues related to the license granted to Leju,stock-based compensation,amortization of intangible assets,goodwill impairment,adjustment for non-GAAP to GAAP reconciling items on the share of equity method investments,gain (loss) on sale of investment,deemed disposal,fair value changes and impairment on investment,and income tax effects of above non-GAAP to GAAP reconciling items and adjustment for non-GAAP to GAAP reconciling items for the income attributable to non-controlling interests and amortization of convertible debt issuance cost. The Company's management uses these non-GAAP financial measures in their financial and operating decision-making,because management believes these measures reflect the Company's ongoing business operations in a manner that allows more meaningful period-to-period comparisons. The Company believes that these non-GAAP financial measures provide useful information to investors and others in the following ways: (i) in comparing the Company's current financial results with the Company's past financial results in a consistent manner,and (ii) in understanding and evaluating the Company's current operating performance and future prospects in the same manner as management does,if they so choose. The Company also believes that the non-GAAP financial measures provide useful information to both management and investors by excluding certain expenses,gain/loss and other items (i) that are not expected to result in future cash payments or (ii) that are non-recurring in nature or may not be indicative of the Company's core operating results and business outlook.

Use of non-GAAP financial measures has limitations. The Company's non-GAAP financial measures do not include all income and expense items that affect the Company's operations. They may not be comparable to non-GAAP financial measures used by other companies. Management compensates for these limitations by also considering the Company's financial results prepared in accordance with U.S. GAAP. Reconciliations of the Company's non-GAAP measures to the nearest comparable GAAP measures are set forth in the section below titled "Unaudited Reconciliation of Non-GAAP to GAAP Results."

Conference Call

SINA will host a conference call from 7:10 a.m.- 7:40 a.m. Eastern Time on November 28,2018 (or 8:10 p.m.- 8:40 p.m. Beijing Time on November 28,2018) to present an overview of the Company's financial performance and business operations. A live webcast of the call will be available through the Company's corporate website at http://ir.sina.com. The conference call can be accessed as follows:

US:

+1 845 675 0438

Hong Kong:

+852 3018 6776

China:

400 120 0654

International:

+65 6713 5440

Passcode for all regions:

7479215

A replay of the conference call will be available through morning Eastern Time December 6,2018. The dial-in number is +61 2 9003 4211. The passcode for the replay is 7479215.

About SINA

SINA is a leading online media company serving China and the global Chinese communities. Its digital media network of SINA.com (portal),SINA mobile (mobile portal and mobile apps) and Weibo (social media) enables internet users to access professional media and user generated content in multi-media formats from personal computers and mobile devices and share their interests with friends and acquaintances.

SINA.com offers distinct and targeted professional content on each of its region-specific websites and a full range of complementary offerings. SINA mobile provides news information,professional and entertainment content customized for mobile users through mobile applications and mobile portal site SINA.cn.

Weibo is a leading social media platform for people to create,distribute and discover content. Based on an open platform architecture,Weibo provides unprecedented and simple way for people and organizations to publicly express themselves in real time,interact with others on a massive global platform and stay connected with the world.

Through these properties and other product lines,SINA offer an array of online media and social media services to its users to create a rich canvas for businesses and advertisers to effectively connect and engage with their targeted audiences.

Safe Harbor Statement

This press release contains forward-looking statements that relate to,among other things,SINA's expected financial performance and SINA's strategic and operational plans (as described,without limitation,in quotations from management in this press release). SINA may also make forward-looking statements in the Company's periodic reports to the U.S. Securities and Exchange Commission,in its annual report to shareholders,in press releases and other written materials and in oral statements made by its officers,directors or employees to third parties. Statements that are not historical facts,including statements about the Company's beliefs and expectations,are forward-looking statements. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "confidence," "estimates" and similar statements. SINA assumes no obligation to update the forward-looking statements in this press release and elsewhere. Forward-looking statements involve inherent risks and uncertainties. A number of important factors could cause actual results to differ materially from those contained in any forward-looking statement. Potential risks and uncertainties include,but are not limited to failure to meet internal or external expectations of future performance given the rapidly evolving markets; condition of the global financial and credit market; the uncertain regulatory landscape in China; fluctuations in the Company's quarterly operating results; the Company's reliance on online advertising sales and value-added services for a majority of its revenues; failure to successfully develop,introduce,drive adoption of or monetize new features and products,including portal,Weibo and fin-tech products; failure to enter and develop the small and medium enterprise market by the Company or through cooperation with other parties,such as Alibaba; failure to successfully integrate acquired businesses; risks associated with the Company's investments,including equity pick-up and impairment; and failure to compete successfully against new entrants and established industry competitors. Further information regarding these and other risks is included in SINA's 2017 annual reports on Form 20-F and other filings with the Securities and Exchange Commission.

Contact:

Investor Relations

SINA Corporation

Phone: +86 10 5898 3336

Email: ir@staff.sina.com.cn

SINA CORPORATION

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(U.S. Dollars in thousands,except per share data)

Three months ended

Nine months ended

September 30,

June 30,

September 30,

2018

2017

2018

2018

2017

Net revenues(1):

Advertising

$ 483,806

$ 363,958

$ 454,091

$ 1,304,978

$ 887,110

Non-advertising

73,395

79,191

83,269

230,335

193,036

557,201

443,149

537,360

1,535,313

1,080,146

Cost of revenues(1)(2):

Advertising

92,407

85,757

80,583

256,105

225,636

Non-advertising

21,408

22,814

25,890

72,890

61,831

113,815

108,571

106,473

328,995

287,467

Gross profit

443,386

334,578

430,887

1,206,318

792,679

Operating expenses:

Sales and marketing (1)(2)

185,478

114,345

183,589

508,754

265,836

Product development (2)

91,545

70,509

83,877

260,559

188,415

General and administrative (2)

28,377

29,443

27,242

89,551

78,502

Goodwill and acquired intangibles impairment

10,554

-

-

10,554

-

315,954

214,297

294,708

869,418

532,753

Income from operations

127,432

120,281

136,179

336,900

259,926

Non-operating income:

Earning (Loss) from equity method investments,net

10,150

(11,105)

(2,527)

5,851

(13,227)

Gain (Loss) on sale of investments,fair value changes and impairment

oninvestments,net(3)

50,111

10,209

(16,396)

40,941

9,777

Interest and other income,net

17,051

11,994

20,116

54,265

31,452

77,312

11,098

1,193

101,057

28,002

Income before income taxes

204,744

131,379

137,372

437,957

287,928

Income tax expense

(68,129)

(24,555)

(27,858)

(114,737)

(57,516)

Net income

136,615

106,824

109,514

323,220

230,412

Less: Net income attributable to non-controlling interests

91,176

57,533

74,462

214,035

119,207

Net income attributable to SINA's ordinary shareholders

$ 45,439

$ 49,291

$ 35,052

$ 109,185

$ 111,205

Basic net income per share

$ 0.66

$ 0.69

$ 0.49

$ 1.55

$ 1.56

Diluted net income per share (4)

$ 0.62

$ 0.66

$ 0.47

$ 1.48

$ 1.48

Shares used in computing basic net income per share

69,332

71,468

71,210

70,653

71,208

Shares used in computing diluted net income per share

71,322

74,213

73,553

72,962

73,924

(1) On January 1,the Company adopted ASC 606 Revenue from Contracts with Customers using the modified retrospective method,which means that prior periods amount will be

reported on a historical basis and amounts for 2018 are reported on the new basis. Under the new accounting standard,the main impact to the Company is that it now reports revenue net of

value added tax and recognizes revenues and expenses at fair value for advertising barter transactions.

(2) Stock-based compensation in each category:

Cost of revenues

$ 3,775

$ 2,776

$ 2,890

$ 9,206

$ 7,112

Sales and marketing

7,414

5,568

6,474

18,768

15,420

Product development

11,205

9,073

7,735

26,427

22,731

General and administrative

9,012

8,410

6,915

23,335

23,940

(3) The Company adopted ASU 2016-1,Classification and Measurement of Financial Instrumentsbeginning the first quarter of fiscal year 2018. After the adoption of this new accounting

update,the Company measures long-term investments other than those accounted for under the equity method,at fair value through earnings. The Company recognized $120.5 million of net

gain from fair value changes in the investments for the three months ended September 30,2018. For those investments without readily determinable fair values,the Company elected to record

these investments at cost,less impairment,and plus or minus subsequent adjustments for observable price changes. Changes in the basis of these investments are reported in current

earnings.

(4) Net income attributable to SINA's ordinary shareholders is adjusted for diluted shares issued by our subsidiary and equity method investments.

SINA CORPORATION

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS

(U.S. Dollars in thousands)

September 30,

December 31,

2018

2017

Assets

Current assets:

Cash and cash equivalents

$ 1,178,966

$ 1,990,552

Short-term investments

1,349,472

1,381,991

Restricted cash

106,579

216,151

Accounts receivable,net

458,504

285,681

Prepaid expenses and other current assets

415,930

228,238

Subtotal

3,509,451

4,102,613

Property and equipment,net

258,542

262,676

Goodwill and intangible assets,net

248,593

104,207

Long-term investments (1)

1,708,579

1,288,816

Other assets

95,687

57,082

Total assets

$ 5,820,852

$ 5,815,394

Liabilities and Shareholders' Equity

Current liabilities:

Accounts payable

$ 149,535

$ 130,431

Amount due to customers

106,151

Accrued expenses and other current liabilities

459,823

446,779

Short-term bank loan

51,306

89,309

Convertible debt

153,085

153,092

Deferred revenues

146,508

134,580

Income taxes payable

106,475

102,458

Subtotal

1,173,311

1,272,800

Convertible debt

883,089

879,983

Long-term deferred revenues

46,261

54,372

Other long-term liabilities

48,178

8,510

Total liabilities

2,150,839

2,215,665

Shareholders' equity

SINA shareholders' equity (1)

2,701,822

2,846,842

Non-controlling interests

968,191

752,887

Total shareholders' equity

3,670,013

3,599,729

Total liabilities and shareholders' equity

$ 5,394

(1)The Company adopted ASU 2016-1,Classification and Measurement of Financial Instrumentsbeginning the first quarter

of fiscal year 2018. After the adoption of this new accounting update,the Company measures long-term investments other

than those investments accounted for under the equity method,at fair value through earnings. For those investments

without readily determinable fair values,the Company elected to record these investments at cost,and plus

or minus subsequent adjustments for observable price changes. Changes in the basis of these investments are reported in

current earnings. The cumulative impact arising from the adoption was a credit to retained earnings as of January 1,2018 of

$49.0 million.

SINA CORPORATION

UNAUDITED ADDITIONAL INFORMATION

(U.S. Dollars in thousands)

Three months ended

Nine months ended

September 30,

2018

2017

2018

2018

2017

Net revenues

Portal:

Portal Advertising

$ 74,533

$ 87,432

$ 84,173

$ 222,838

$ 225,154

Other

26,707

39,785

30,631

84,112

88,693

Subtotal

101,240

127,217

114,804

306,950

313,847

Weibo:

Advertising and marketing

409,273

276,803

369,942

1,082,164

664,440

Weibo VAS

50,898

43,232

56,647

154,479

108,169

Subtotal

460,171

320,035

426,589

1,236,643

772,609

Elimination

(4,210)

(4,103)

(4,033)

(8,280)

(6,310)

$ 557,201

$ 443,149

$ 537,360

$ 1,313

$ 1,146

Cost of revenues

Portal:

Portal Advertising

$ 30,501

$ 30,502

$ 28,546

$ 88,420

$ 85,631

Other

17,508

19,483

20,146

54,123

46,553

Subtotal

48,009

49,985

48,692

142,543

132,184

Weibo

70,016

62,428

61,790

194,708

159,250

Elimination

(4,210)

(3,842)

(4,009)

(8,256)

(3,967)

$ 113,815

$ 108,571

$ 106,473

$ 328,995

$ 287,467

Gross margin

Portal

53%

61%

58%

54%

58%

Weibo

85%

80%

86%

84%

79%

80%

76%

80%

79%

73%

SINA CORPORATION

UNAUDITED RECONCILIATION OF NON-GAAP TO GAAP RESULTS

(U.S. Dollars in thousands,except per share data)

Three months ended

September 30,2018

September 30,2017

June 30,2018

Non-GAAP

Non-GAAP

Non-GAAP

Actual

Adjustments

Results

Actual

Adjustments

Results

Actual

Adjustments

Results

Advertising revenues

$ 483,806

$ 483,806

$ 363,958

$ 363,958

$ 454,091

$ 454,091

Non-advertising revenues

73,395

(2,609)

(a)

70,786

79,191

(2,609)

(a)

76,582

83,269

(2,609)

(a)

80,660

Net revenues

$ 557,201

$ (2,609)

$ 554,592

$ 443,149

$ (2,609)

$ 440,540

$ 537,360

$ (2,609)

$ 534,751

(2,609)

(a)

(2,609)

(a)

3,775

(b)

2,776

(b)

2,890

(b)

Gross profit

$ 443,386

$ 1,166

$ 444,552

$ 334,578

$ 167

$ 334,745

$ 430,887

$ 281

$ 431,168

(27,631)

(b)

(1,354)

(c)

(23,051)

(b)

(21,124)

(b)

(10,554)

(d)

(1,538)

(c)

(1,523)

(c)

Operating expenses

$ 315,954

$ (39,539)

$ 276,415

$ 214,297

$ (24,589)

$ 189,708

$ 294,708

$ (22,647)

$ 272,061

(2,609)

(a)

31,406

(b)

(2,609)

(a)

1,354

(c)

25,827

(b)

24,014

(b)

10,554

(d)

1,538

(c)

1,523

(c)

Income from operations

$ 127,432

$ 40,705

$ 168,137

$ 120,281

$ 24,756

$ 145,037

$ 136,179

$ 22,928

$ 159,107

(2,354

(c)

(2,609)

(a)

24,554

(d)

25,827

(b)

1,523

(c)

(6,879)

(e)

1,538

(c)

40

(e)

(50,111)

(f)

1,474

(e)

16,396

(f)

(2,845)

(g)

(10,209)

(f)

(8,849)

(g)

1,035

(h)

(7,391)

(g)

1,035

(h)

40,311

(i)

(254)

(i)

(85)

(i)

Net income attributable to SINA's ordinary shareholders

$ 45,439

$ 22,216

$ 67,655

$ 49,291

$ 8,376

$ 57,667

$ 35,052

$ 31,465

$ 66,517

Diluted net income per share *

$ 0.62

$ 0.93

$ 0.66

$ 0.77

$ 0.47

$ 0.89

Shares used in computing diluted net income per share

71,322

-

71,213

-

74,553

-

73,553

Gross margin - advertising

81%

1%

82%

76%

1%

77%

82%

1%

83%

Gross margin - non-advertising

71%

-1%

70%

71%

-1%

70%

69%

-1%

68%

Operating margin

23%

7%

30%

27%

6%

33%

25%

5%

30%

Nine months ended

September 30,2017

Non-GAAP

Non-GAAP

Actual

Adjustments

Results

Actual

Adjustments

Results

Advertising revenues

$1,978

$1,978

$ 887,110

$ 887,110

Non-advertising revenues

230,335

(7,827)

(a)

222,508

193,036

(7,827)

(a)

185,209

Net revenues

$1,313

$ (7,827)

$1,527,486

$ 1,146

$ (7,072,319

(7,827)

(a)

(7,827)

(a)

9,206

(b)

7,112

(b)

Gross profit

$1,318

$ 1,379

$1,207,697

$ 792,679

$ (715)

$ 791,964

(68,530)

(b)

(4,512)

(c)

(62,091)

(b)

(10,554)

(d)

(2,920)

(c)

Operating expenses

$ 869,418

$ (83,596)

$ 785,822

$ 532,753

$ (65,011)

$ 467,742

(7,827)

(a)

77,736

(b)

(7,827)

(a)

4,512

(c)

69,203

(b)

10,554

(d)

2,920

(c)

Income from operations

$ 336,900

$ 84,975

$ 421,875

$ 259,926

$ 64,296

$ 324,222

(7,736

(b)

4,512

(c)

(7,827)

(a)

10,554

(d)

69,203

(b)

(7,290)

(e)

2,920

(c)

(40,941)

(f)

1,773

(e)

(19,877)

(g)

(9,777)

(f)

3,105

(h)

(20,630)

(g)

40,247

(i)

1,038

(i)

Net income attributable to SINA's ordinary shareholders

$ 109,185

$ 60,219

$ 169,404

$ 111,205

$ 36,700

$ 147,905

Diluted net income per share *

$ 1.48

$ 2.28

$ 1.48

$ 1.97

Shares used in computing diluted net income per share

72,962

-

72,924

-

73,924

Gross margin - advertising

80%

1%

81%

75%

-

75%

Gross margin - non-advertising

68%

-1%

67%

68%

-1%

67%

Operating margin

22%

6%

28%

24%

6%

30%

(a) To exclude the recognition of deferred revenue related to the license granted to Leju.

(b) To exclude stock-based compensation.

(c) To adjust amortization of intangible assets.

(d) To exclude goodwill and acquired intangibles impairment

(e) To exclude the non-GAAP to GAAP reconciling items on the share of equity method investments,net of share of amortization of intangibles not on their books.

(f) To exclude (gain) loss on sale of investments,(gain) loss on deemed disposal,net.

(g) To exclude Non-GAAP to GAAP reconciling items for the income attributable to non-controlling interests.

(h) To exclude the amortization of convertible debt issuance cost.

(i) To exclude the provision (benefit) for income tax related to item (c) and (f). Other non-GAAP to GAAP reconciling items have no income tax effect.**

*

Net income attributable to SINA's ordinary shareholders is adjusted for diluted shares issued by our subsidiary and equity method investments.

**

The Company considered the tax implication arising from the reconciliation items,and those items recorded in entities in tax free jurisdictions were without relevant tax implications. For impairment on investments,valuation allowances were made for those differences the Company does not expect they can be realized in the foreseeable future.

UNAUDITED RECONCILIATION OF SINA'S SHARE OF EQUITY INVESTMENTS' NON-GAAP TO GAAP RESULTS*

Three months ended

September 30,2018

Actual

Adjustments

Non-GAAP

Results

Actual

Adjustments

Non-GAAP

Results

Actual

Adjustments

Non-GAAP

Results

To exclude stock-based compensation

$ 674

$ 1,822

$ 833

To exclude amortization of intangible

assets resulting from business acquisitions

1,079

1,127

1,115

Toexclude(gain) lossondisposal and impairment on investments,net

1,245

327

75

To exclude gain resulting from the fair value changes in investments,net

(9,187)

(1,745)

(1,313)

To exclude tax impacts related to amortization of intangible assets

(263)

(166)

(253)

Earning (Loss) from equity method investments,net

$ 9,723

$ (6,452)

$ 3,271

$ (10,996)

$ 1,365

$ (9,631)

$ (2,944)

$ 457

$ (2,487)

Share of amortization of equity investments'

intangibles not on their books

364

(364)

-

(130)

130

-

351

(351)

-

Share of tax impacts related to amortization of

equity investments' intangibles not on their books

63

(63)

-

21

(21)

-

66

(66)

-

$ 10,150

$ (6,879)

$ 3,271

$ (11,105)

$ 1,474

$ (9,527)

$ 40

$ (2,487)

Nine months ended

September 30,2017

Non-GAAP

Non-GAAP

Actual

Adjustments

Results

Actual

Adjustments

Results

To exclude stock-based compensation

$ 2,091

$ 2,878

To exclude amortization of intangible

assets resulting from business acquisitions

3,317

2,264

Toexclude(gain) lossondisposal and impairment on investments,net

2,989

(1,313)

To exclude gain resulting from the fair value changes in

investments,net

(13,839)

(2,343)

To exclude tax impacts related to amortization of intangible assets

(694)

(330)

Earning (Loss) from equity method investments,net

$ 4,697

$ (6,136)

$ (1,439)

$ (12,610)

$ 1,156

$ (11,454)

Share of amortization of equity investments'

intangibles not on their books

939

(939)

-

(778)

778

-

Share of tax impacts related to amortization of

equity investments' intangibles not on their books

215

(215)

-

161

(161)

-

$ 5,851

$ (7,290)

$ (1,439)

$ (13,227)

$ 1,773

$ (11,454)

* Earning (Loss) from equity method investments is recorded one quarter in arrears.

View original content:/news-releases/sina-reports-third-quarter-2018-unaudited-financial-results-300756701.html