GlobeNewswire Inc | Aug 30, 2021 04:30PM EDT

August 30, 2021

GUANGZHOU, China, Aug. 30, 2021 (GLOBE NEWSWIRE) -- LIZHI INC. (LIZHI or the Company or We) (NASDAQ: LIZI), a leading online UGC1 audio community and interactive audio entertainment platform in China, today announced its unaudited financial results for the second quarter ended June30, 2021.

Second Quarter 2021 Financial and Operational Highlights

-- Net revenues were RMB559.3 million (US$86.6 million) in the second quarter of 2021, representing a 59% increase from RMB350.9 million in the second quarter of 2020. -- Average total mobile MAUs2 in the second quarter of 2021 reached 60.9 million, representing an increase of 9% from 55.9 million in the second quarter of 2020. -- Average total monthly paying users3 in the second quarter of 2021 reached 494.4 thousand, representing an increase of 7% from 463.4 thousand in the second quarter of 2020.

We are very pleased to continue our strong growth momentum in the second quarter of 2021, highlighted by 59% year-on-year revenue increase and growing MAUs and paying user base. We remain committed to our globalization strategy and leveraging optimized product features as well as strengthened technological capabilities to improve user engagement on our platforms. We believe our robust performance reflects the widespread appeal of our comprehensive and engaging audio-centric ecosystem, said Mr. Jinnan (Marco) Lai, Founder and Chief Executive Officer of LIZHI. Our continuous efforts to enhance the vibrancy of our user community and propel the integration of pre-recorded content division and audio entertainment division within the LIZHI App have strengthened our commercialization capabilities.

With regards to our overseas business, it is worth noting that our TIYA App, specializing in audio-based social networking, continues its strong growth in user base with MAUs in June surpassing 3.5 million, up by 92% over average MAUs in the first quarter of 2021. We are also working to execute our product strategy by optimizing TIYA Apps features as well as enhancing its social networking capabilities. We see our podcast business and in-car audio initiatives are also making meaningful progresses as we leverage our extensive industry know-how and state-of-the-art proprietary audio technology solution DOREME. In the second quarter, we formed partnerships with more leading auto companies and intelligent in-car platforms to make LIZHI Podcast accessible to more vehicles. We believe innovation and effective execution are keys to our success and competitiveness in the online audio space. Going forward, we will continue to enrich user experience across our audio ecosystem, explore diversified commercialization pathways and advance our core technologies, increasing values to our users and all stakeholders, Mr. Lai concluded.

Ms. Chengfang Lu, Acting Chief Financial Officer of LIZHI, stated, As we move forward with our expansion strategy, our operational and financial performance for the second quarter continued to demonstrate our strong growth trajectory and strengthened commercialization capabilities. Were also pleased to see gross margin expansion of 400 basis points year-over-year alongside our strong topline growth during the quarter. Looking ahead, we will remain focused on our globalization strategy and improving our operational and technological capabilities to foster our global audio ecosystem and deliver long-term sustainable growth.

________________1 Refers to user-generated content.2 Refers to the average monthly number of active users across our platforms and Apps in a given period, calculated by dividing (i) the sum of mobile active users for each month of such period, by (ii) the number of months in the same period.3 Refers to the average monthly number of paying user in a given period, calculated by dividing (i) the total number of paying users in each month of such period by (ii) the number of months in the same period.

Second Quarter 2021 Unaudited Financial Results

Net revenues were RMB559.3million (US$86.6 million) in the second quarter of 2021, representing an increase of 59% from RMB350.9million in the second quarter of 2020, mainly attributable to the Companys continuously expanding user base and the increase in the average spending of paying users in our audio entertainment products. While the COVID-19 pandemic continues to unfold in various parts of the world, the extent to which the COVID-19 impacts on the Companys operations beyond the second quarter of 2021 depends on the future development of the pandemic in China and across the globe, which is subject to change and substantial uncertainty, and therefore cannot be predicted.

Cost of revenues was RMB400.5 million (US$62.0 million) in the second quarter of 2021, representing an increase of 51% from RMB265.2 million in the second quarter of 2020, primarily driven by an increase in revenue sharing fees to our content creators, payment handling costs and bandwidth costs, which were generally in line with the Companys growth in business.

Gross profit was RMB158.8 million (US$24.6 million) in the second quarter of 2021, representing an increase of 85% from RMB85.7 million in the second quarter of 2020.

Non-GAAP gross profit4 was RMB161.9 million (US$25.1 million) in the second quarter of 2021, representing an increase of 79% from RMB90.5 million in the second quarter of 2020.

Gross margin for the second quarter of 2021 increased to 28% from 24% in the second quarter of 2020. Non-GAAP gross margin for the second quarter of 2021 grew to 29% from 26% in the second quarter of 2020.

Operating expenses were RMB190.3 million (US$29.5 million) in the second quarter of 2021, representing an increase of 72% from RMB110.8million in the second quarter of 2020.

Research and development expenses were RMB60.9 million (US$9.4 million) in the second quarter of 2021, representing an increase of 11% from RMB54.8 million in the second quarter of 2020. The increase was primarily due to the increasing salary and welfare benefits expenses related to an increase in the number of our research and development staff.

Selling and marketing expenses were RMB106.3 million (US$16.5 million) in the second quarter of 2021, representing an increase of 241% from RMB31.2 million in the second quarter of 2020, primarily attributable to increased branding and marketing expenses from our branding and marketing activities for products and brand name in the second quarter of 2021.

General and administrative expenses were RMB23.1 million (US$3.6 million) in the second quarter of 2021, representing a decrease of 7% from RMB24.8 million in the second quarter of 2020. The decrease was mainly due to decreasing other professional service fee, partially offset by higher salary and welfare benefits expenses.

Operating loss was RMB31.6 million (US$4.9 million) in the second quarter of 2021, up by 26% from an operating loss of RMB25.0 million in the second quarter of 2020.

Non-GAAP operating loss5 was RMB21.7 million (US$3.4 million) in the second quarter of 2021, compared to RMB11.2 million in the second quarter of 2020.

________________4 Non-GAAP gross profit is a non-GAAP financial measure, which is defined as gross profit excluding share-based compensation expenses. This adjustment amounted to RMB3.1 million (US$0.5 million) in the second quarter of 2021. Please refer to the section below titled Unaudited Reconciliations of GAAP and Non-GAAP Results for details.5 Non-GAAP operating loss is a non-GAAP financial measure, which is defined as operating loss excluding share-based compensation expenses. This adjustment amounted to RMB9.8 million (US$1.5 million) in the second quarter of 2021. Please refer to the section below titled Unaudited Reconciliations of GAAP and Non-GAAP Results for details.

Net loss was RMB29.0 million (US$4.5 million) in the second quarter of 2021, up by 32% from RMB22.0 million in the second quarter of 2020.

Non-GAAP net loss6 was RMB19.2 million (US$3.0 million) in the second quarter of 2021, compared to RMB8.2 million in the second quarter of 2020.

Net loss attributable to LIZHI INC.s ordinary shareholders was RMB29.0 million (US$4.5 million) in the second quarter of 2021, compared to RMB22.0 million in the second quarter of 2020.

Non-GAAP net loss attributable to LIZHI INC.s ordinary shareholders7 was RMB19.2 million (US$3.0 million) in the second quarter of 2021, compared to RMB8.2 million in the second quarter of 2020.

Basic and diluted net loss per ADS8 were RMB0.58 (US$0.09) in the second quarter of 2021, compared to RMB0.48 in the second quarter of 2020.

Non-GAAP basic and diluted net loss per ADS9 were RMB0.38 (US$0.06) in the second quarter of 2021, compared to RMB0.18 per ADS in the second quarter of 2020.

Balance Sheets

As of June 30, 2021, the Company had cash and cash equivalents, restricted cash and short-term investments of RMB494.7 million (US$76.6 million).

Completion of Registered Direct Offering of American Depositary Shares

On April 13, 2021, the Company completed a registered direct offering of 3,685,504 American Depositary Shares (the ADSs) and warrants to purchase up to 2,764,128 ADSs, at an offering price of US$8.14 per ADS and corresponding warrant. The gross proceeds of this registered direct offering were US$30,000,002 before deducting placement agent fees and other offering expenses.

________________6 Non-GAAP net loss is a non-GAAP financial measure, which is defined as net loss excluding share-based compensation expenses. These adjustments amounted to RMB9.8 million (US$1.5 million) in the second quarter of 2021. Please refer to the section below titled Unaudited Reconciliations of GAAP and Non-GAAP Results for details.7 Non-GAAP net loss attributable to LIZHI INC.s ordinary shareholders is a non-GAAP financial measure, which is defined as net loss attributable to LIZHI INC.s ordinary shareholders excluding accretions to preferred shares redemption value and share-based compensation expenses. These adjustments amounted to RMB9.8 million (US$1.5 million) and RMB13.8 million in the second quarter of 2021 and 2020, respectively. Please refer to the section below titled Unaudited Reconciliations of GAAP and Non-GAAP Results for details.8 ADS refers to American Depositary Share. Each ADS represents twenty Class A ordinary shares of the Company. Basic and diluted net loss per ADS is net loss attributable to LIZHI INC.s ordinary shareholders divided by weighted average number of ADS.9 Non-GAAP basic and diluted net loss per ADS is a non-GAAP financial measure, which is defined as non-GAAP net loss attributable to LIZHI INC.s ordinary shareholders divided by weighted average number of ADS used in the calculation of basic and diluted net loss per ADS.

Conference Call

The Companys management will host an earnings conference call at 9:00 PM U.S. Eastern Time on August 30, 2021 (9:00 AM Beijing/Hong Kong Time on August 31, 2021).

To facilitate all participants dialing into the earnings conference call, online registration is required prior to the start of the call.

Please complete the Direct Event online registration at http://apac.directeventreg.com/registration/event/1284703 at least 15 minutes prior to the scheduled call start time. Upon registration, participants will receive by email the conference call access information, including dial-in numbers, Direct Event Passcode, unique Registrant ID, and further detailed instructions.

After the registration is completed, please dial-in at least 10 minutes before the scheduled start time of the earnings call and enter the Direct Event Passcode and Registrant ID as instructed to connect to the call.

Additionally, a live and archived webcast of the conference call will be available on the Company's investor relations website at http://ir.lizhi.fm.

A replay of the conference call will be accessible approximately two hours after the conclusion of the call until September 6, 2021, by dialing the following telephone numbers:

United States: +1-855-452-5696International: +61-2-8199-0299Hong Kong, China: 800-963-117Mainland China: 400-632-2162Replay Access Code: 1284703

About LIZHI INC.

LIZHI INC. has built an audio ecosystem with a global presence consisting of audio-based social networks, podcast content portfolios and audio communities. The Company aims to bring people closer together through voices by its product portfolios. LIZHIs audio-based social networking products offering, including TIYA App, caters to users evolving interest in social interactions in real time online and enables users to connect with friends having similar interests, entertain, chat online, and share their daily lives through voices. LIZHI also offers a vertical podcast platform, LIZHI Podcast, that provides users with curated content drawn from its extensive content library built over the years, as well as new podcasts provided by selected content creators. Since the launch of LIZHI App in 2013, the Companys flagship platform, LIZHI has cultivated a vibrant and growing online UGC audio community and interactive audio entertainment platform where users are encouraged to create, share, discover and enjoy audio, and experience immersive and diversified entertainment features through audio. LIZHI envisions a global audio ecosystem a place where everyone can be connected through voices and across cultures. LIZHI INC. has been listed on Nasdaq since January 2020.

For more information, please visit: http://ir.lizhi.fm.

Use of Non-GAAP Financial Measures

The unaudited condensed consolidated financial information is prepared in conformity with accounting principles generally accepted in the United States of America (U.S. GAAP).

LIZHI uses non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating loss/income, non-GAAP net loss/income, non-GAAP net loss/income attributable to LIZHI INC.s ordinary shareholders and non-GAAP basic and diluted net loss/income per ADS, which are non-GAAP financial measures. Non-GAAP gross profit is gross profit excluding share-based compensation expenses. Non-GAAP gross margin is non-GAAP gross profit as a percentage of net revenues. Non-GAAP operating loss/income is operating loss/income excluding share-based compensation expenses. Non-GAAP net loss/income is net loss excluding share-based compensation expenses. Non-GAAP net loss/income attributable to LIZHI INC.s ordinary shareholders is net loss attributable to LIZHI INC.s ordinary shareholders excluding accretions to preferred shares redemption value and share-based compensation expenses. Non-GAAP basic and diluted net loss/income per ADS is non-GAAP net loss/income attributable to LIZHI INC.s ordinary shareholders divided by weighted average number of ADS used in the calculation of basic and diluted net loss per ADS. The Company believes that separate analysis and exclusion of the non-cash impact of above reconciling items adds clarity to the constituent parts of its performance. The Company reviews these non-GAAP financial measures together with GAAP financial measures to obtain a better understanding of its operating performance. It uses the non-GAAP financial measure for planning, forecasting and measuring results against the forecast. The Company believes that non-GAAP financial measure is useful supplemental information for investors and analysts to assess its operating performance without the non-cash effect of accretions to preferred shares redemption value and share-based compensation expenses.

However, the use of non-GAAP financial measures has material limitations as an analytical tool. One of the limitations of using non-GAAP financial measures is that they do not include all items that impact the Companys net loss for the period. In addition, because non-GAAP financial measures are not measured in the same manner by all companies, they may not be comparable to other similar titled measures used by other companies. In light of the foregoing limitations, you should not consider non-GAAP financial measure in isolation from, superior to, or as an alternative to the financial measure prepared in accordance with U.S. GAAP.

The presentation of these non-GAAP financial measures is not intended to be considered in isolation from, or as a substitute for, the financial information prepared and presented in accordance with U.S. GAAP. For more information on these non-GAAP financial measures, please see the table captioned Unaudited Reconciliations of GAAP and Non-GAAP Results near the end of this release.

Statement Regarding Preliminary Unaudited Financial Information

The unaudited financial information set out in this earnings release is preliminary and subject to potential adjustments. Adjustments to the condensed consolidated financial statements may be identified when audit work has been performed for the Companys year-end audit, which could result in significant differences from the preliminary unaudited financial information contained in this earnings release.

Exchange Rate Information

This announcement contains translations of certain RMB amounts into U.S. dollars at a specified rate solely for the convenience of the reader.Unless otherwise noted, all translations from RMB to U.S. dollars and from U.S. dollars to RMB are made at a rate of RMB6.4566 to US$1.00, the exchange rate on June 30, 2021 set forth in the H.10 statistical release of the Federal Reserve Board. The Company makes no representation that the RMB or U.S. dollars amounts referred could be converted into U.S. dollars or RMB, as the case may be, at any particular rate or at all.

Safe Harbor Statement

This press release contains forward-looking statements. These statements are made under the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Statements that are not historical facts, including statements about the Companys beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties, and a number of factors could cause actual results to differ materially from those contained in any forward-looking statement. In some cases, forward-looking statements can be identified by words or phrases such as may, will, expect, anticipate, target, aim, estimate, intend, plan, believe, potential, continue, is/are likely to or other similar expressions. Further information regarding these and other risks, uncertainties or factors is included in the Companys filings with the Securities Exchange Commission. All information provided in this press release is as of the date of this press release, and the Company does not undertake any duty to update such information, except as required under applicable law.

For investor and media inquiries, please contact:

In China:

LIZHI INC.IR DepartmentTel: +86 (20) 3866-4265E-mail: ir@lizhi.fm

The Piacente Group, Inc.Jenny CaiTel: +86 (10) 6508-0677E-mail: Lizhi@tpg-ir.com

In the United States:

The Piacente Group, Inc. Brandi PiacenteTel: +1-212-481-2050E-mail: Lizhi@tpg-ir.com



LIZHI INC.

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS(All amounts in thousands, except for share, ADS, per share data and per ADSdata) December June June 31, 30, 30, 2020 2021 2021 RMB RMB US$ASSETS Current assets Cash and cash equivalents 315,459 490,082 75,904Short-term investments 73,022 1,613 250Restricted cash 3,695 3,022 468Accounts receivable, net 8,361 7,322 1,134Prepayments and other current assets 19,371 38,276 5,928 Total current assets 419,908 540,315 83,684 Non-current assets Property, equipment and leasehold improvement, 34,518 33,416 5,175netIntangible assets, net 2,929 2,741 425Right-of-use assets, net 4,282 21,106 3,269Other non-current assets 2,181 1,415 219 Total non-current assets 43,910 58,678 9,088 TOTAL ASSETS 463,818 598,993 92,772 LIABILITIES Current liabilities Accounts payable 78,267 71,837 11,126Deferred revenue 17,001 14,512 2,248Salary and welfare payable 93,288 95,858 14,847Taxes payable 5,809 4,888 757Short-term loans 39,508 35,448 5,490Lease liabilities due within one year 3,709 9,290 1,439Accrued expenses and other current liabilities 51,047 82,931 12,845 Total current liabilities 288,629 314,764 48,752 Non-current liabilities Lease liabilities 587 12,545 1,943Other non-current liabilities 5,411 4,934 764 Total non-current liabilities 5,998 17,479 2,707 TOTAL LIABILITIES 294,627 332,243 51,459

LIZHI INC.

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (CONTINUED)(All amounts in thousands, except for share, ADS, per share data and per ADSdata) December June June 31, 30, 30, 2020 2021 2021 RMB RMB US$ SHAREHOLDERS? EQUITY Ordinary shares (US$0.0001 par value, 1,500,000,000 and1,500,000,000 shares authorized asof December 31,2020 and June 30, 2021,respectively, 941,464,520shares issued and 924,318,450 sharesoutstanding as of 640 698 108 December 31, 2020 and 1,030,177,260shares issued and1,005,576,070 shares outstanding asof June 30, 2021,respectively).Treasury stock (12 ) (17 ) (3 )Additional paid in capital 2,409,753 2,610,204 404,269 Accumulated deficit (2,239,281 ) (2,338,346 ) (362,164 )Accumulated other comprehensive (1,909 ) (5,789 ) (897 )incomeTOTAL SHAREHOLDERS? EQUITY 169,191 266,750 41,313 TOTAL LIABILITIES AND SHAREHOLDERS? 463,818 598,993 92,772 EQUITY

LIZHI INC.

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS(All amounts in thousands, except for share, ADS, per share data and per ADSdata) Three Months Ended Six Months Ended June March June June June June June 30, 31, 30, 30, 30, 30, 30, 2020 2021 2021 2021 2020 2021 2021 RMB RMB RMB US$ RMB RMB US$ Net revenues Audioentertainment 344,144 489,306 555,073 85,970 710,579 1,044,379 161,754 revenuesPodcast,advertising 6,781 5,747 4,212 652 10,616 9,959 1,542 and otherrevenuesTotal net 350,925 495,053 559,285 86,622 721,195 1,054,338 163,296 revenuesCost of (265,191 ) (369,993 ) (400,531 ) (62,034 ) (562,575 ) (770,524 ) (119,339 )revenues^ (1)Gross profit 85,734 125,060 158,754 24,588 158,620 283,814 43,957 Operating expenses^ (1)Selling andmarketing (31,176 ) (120,790 ) (106,325 ) (16,468 ) (66,921 ) (227,115 ) (35,176 )expensesGeneral andadministrative (24,775 ) (19,617 ) (23,072 ) (3,573 ) (51,167 ) (42,689 ) (6,612 )expensesResearch anddevelopment (54,815 ) (56,868 ) (60,938 ) (9,438 ) (113,262 ) (117,806 ) (18,246 )expensesTotaloperating (110,766 ) (197,275 ) (190,335 ) (29,479 ) (231,350 ) (387,610 ) (60,034 )expenses Operating loss (25,032 ) (72,215 ) (31,581 ) (4,891 ) (72,730 ) (103,796 ) (16,077 ) Interest (682 ) (248 ) (308 ) (48 ) (769 ) (556 ) (86 )expenses, netForeignexchange gains (8 ) (149 ) 1 - (646 ) (148 ) (23 )/(losses)Investment 390 407 53 8 395 460 71 incomeGovernment 3,782 2,917 2,663 412 5,639 5,580 864 grantsOthers, net (478 ) (749 ) 144 22 (2,152 ) (605 ) (94 ) Loss before (22,028 ) (70,037 ) (29,028 ) (4,497 ) (70,263 ) (99,065 ) (15,345 )income taxes Income tax - - - - - - - expenses Net loss (22,028 ) (70,037 ) (29,028 ) (4,497 ) (70,263 ) (99,065 ) (15,345 ) Accretions topreferredshares - - - - (154,066 ) - - redemptionvalue Net lossattributableto LIZHI (22,028 ) (70,037 ) (29,028 ) (4,497 ) (224,329 ) (99,065 ) (15,345 )INC.?sordinaryshareholders

LIZHI INC.

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (CONTINUED)(All amounts in thousands, except for share, ADS, per share data and per ADSdata) Three Months Ended Six Months Ended June March June June June June June 30, 31, 30, 30, 30, 30, 30, 2020 2021 2021 2021 2020 2021 2021 RMB RMB RMB US$ RMB RMB US$ Net loss (22,028 ) (70,037 ) (29,028 ) (4,497 ) (70,263 ) (99,065 ) (15,345 ) Othercomprehensive income/(loss):Foreigncurrency (119 ) 1,136 (5,016 ) (777 ) 6,452 (3,880 ) (601 )translationadjustmentsTotalcomprehensive (22,147 ) (68,901 ) (34,044 ) (5,274 ) (63,811 ) (102,945 ) (15,946 )lossAccretions topreferredshares - - - - (154,066 ) - - redemptionvalueComprehensiveloss attributableto LIZHIINC.?sordinary (22,147 ) (68,901 ) (34,044 ) (5,274 ) (217,877 ) (102,945 ) (15,946 )shareholders Net lossattributable to LIZHIINC.?sordinaryshareholders per share?Basic (0.02 ) (0.08 ) (0.03 ) (0.00 ) (0.27 ) (0.10 ) (0.02 )?Diluted (0.02 ) (0.08 ) (0.03 ) (0.00 ) (0.27 ) (0.10 ) (0.02 )Weightedaveragenumber of ordinaryshares?Basic 921,450,258 930,843,416 997,522,794 997,522,794 840,088,328 964,367,302 964,367,302 ?Diluted 921,450,258 930,843,416 997,522,794 997,522,794 840,088,328 964,367,302 964,367,302 Net lossattributable to LIZHIINC.?sordinaryshareholders per ADS?Basic (0.48 ) (1.50 ) (0.58 ) (0.09 ) (5.34 ) (2.05 ) (0.32 )?Diluted (0.48 ) (1.50 ) (0.58 ) (0.09 ) (5.34 ) (2.05 ) (0.32 )Weightedaverage number of ADS?Basic 46,072,513 46,542,171 49,876,140 49,876,140 42,004,416 48,218,365 48,218,365 ?Diluted 46,072,513 46,542,171 49,876,140 49,876,140 42,004,416 48,218,365 48,218,365

(1)Share-based compensation was allocated in cost of revenues and operating expenses as follows:

Three Months Ended Six Months Ended June March June June June June June 30, 31, 30, 30, 30, 30, 30, 2020 2021 2021 2021 2020 2021 2021 RMB RMB RMB US$ RMB RMB US$ Cost of revenues 4,797 2,670 3,112 482 9,953 5,782 896Selling andmarketing 827 283 1,025 159 1,696 1,308 203expensesGeneral andadministrative 2,406 3,228 3,421 530 9,421 6,649 1,030expensesResearch anddevelopment 5,774 2,064 2,278 353 11,772 4,342 672expenses

LIZHI INC.

UNAUDITED RECONCILIATIONS OF GAAP AND NON-GAAP RESULTS(All amounts in thousands, except for share, ADS, per share data and per ADSdata) Three Months Ended Six Months Ended June March June June June June June 30, 31, 30, 30, 30, 30, 30, 2020 2021 2021 2021 2020 2021 2021 RMB RMB RMB US$ RMB RMB US$ Gross profit 85,734 125,060 158,754 24,588 158,620 283,814 43,957 Share-basedcompensation 4,797 2,670 3,112 482 9,953 5,782 896 expensesNon-GAAP 90,531 127,730 161,866 25,070 168,573 289,596 44,853 gross profit Operating (25,032 ) (72,215 ) (31,581 ) (4,891 ) (72,730 ) (103,796 ) (16,077 )lossShare-basedcompensation 13,804 8,245 9,836 1,524 32,842 18,081 2,801 expensesNon-GAAPoperating (11,228 ) (63,970 ) (21,745 ) (3,367 ) (39,888 ) (85,715 ) (13,276 )loss Net loss (22,028 ) (70,037 ) (29,028 ) (4,497 ) (70,263 ) (99,065 ) (15,345 )Share-basedcompensation 13,804 8,245 9,836 1,524 32,842 18,081 2,801 expensesNon-GAAP net (8,224 ) (61,792 ) (19,192 ) (2,973 ) (37,421 ) (80,984 ) (12,544 )loss Net lossattributable to LIZHIINC.?sordinary (22,028 ) (70,037 ) (29,028 ) (4,497 ) (224,329 ) (99,065 ) (15,345 )shareholdersShare-basedcompensation 13,804 8,245 9,836 1,524 32,842 18,081 2,801 expensesAccretionsto preferredshares - - - - 154,066 - - redemptionvalueNon-GAAP netlossattributable to LIZHIINC.?sordinary (8,224 ) (61,792 ) (19,192 ) (2,973 ) (37,421 ) (80,984 ) (12,544 )shareholders Non-GAAP netlossattributable to LIZHIINC.?sordinaryshareholders per share?Basic (0.01 ) (0.07 ) (0.02 ) (0.00 ) (0.04 ) (0.08 ) (0.01 )?Diluted (0.01 ) (0.07 ) (0.02 ) (0.00 ) (0.04 ) (0.08 ) (0.01 )Weightedaveragenumber of ordinaryshares ?Basic 921,450,258 930,843,416 997,522,794 997,522,794 840,088,328 964,367,302 964,367,302 ?Diluted 921,450,258 930,843,416 997,522,794 997,522,794 840,088,328 964,367,302 964,367,302 Non-GAAP netlossattributable to LIZHIINC.?sordinaryshareholders per ADS?Basic (0.18 ) (1.33 ) (0.38 ) (0.06 ) (0.89 ) (1.68 ) (0.26 )?Diluted (0.18 ) (1.33 ) (0.38 ) (0.06 ) (0.89 ) (1.68 ) (0.26 )Weightedaverage number ofADS?Basic 46,072,513 46,542,171 49,876,140 49,876,140 42,004,416 48,218,365 48,218,365 ?Diluted 46,072,513 46,542,171 49,876,140 49,876,140 42,004,416 48,218,365 48,218,365