Phoenix New Media Limited (NYSE:FENG)

First Quarter 2020 Financial Results

• Total revenues in the first quarter of 2020 decreased by 3.5% to RMB274.8 million (US$38.8 million) from RMB284.9 million in the same period of 2019.
•  Non-GAAP net loss per diluted ADS in the first quarter of 2020 was RMB0.68 (US$0.10), compared to RMB1.54 in the same period of 2019.
  

Mr. Shuang Liu, CEO of Phoenix New Media, commented, "As the COVID-19 pandemic swept the globe, we continued to leverage our superior content capabilities and further streamline our operating efficiency. For our news app, we introduced and optimized several innovative features in the first quarter, resulting in a 38% year-over-year boost in user retention rates. On the news front, our team of leading media professionals continued delivering a wealth of highly-differentiated and premium COVID-19 outbreak coverage. Moreover, our vertical content teams also created an abundance of in-depth reports, highlighting such topical areas as the struggles of healthcare workers on the frontlines as well as the tenacity of Chinese entrepreneurs facing the crisis. In recognition of our role as a trusted source of information, we were ranked among the top 10 online media outlets providing the most social value by the State Information Center."

"Notably, as many businesses have opted to adjust their marketing strategies and reduce their advertising budgets amid COVID-19, we have taken active measures to refine our cost structures, further enhance our operating efficiency and decisively reduce spending on user acquisition channels with low returns, successfully reducing traffic acquisition costs in the quarter by close to 50% on a year-over-year basis. Despite the near-term headwinds in online advertising, we believe that our pervasive brand influence, distinguished reputation, and loyal user base will remain appealing to those advertisers seeking productive sales leads and attractive ROIs going forward. As the world gradually reopens for business, we expect that our content leadership, strong advertising value proposition, new business initiatives, and prudent financial management will drive our return to profitability and help to generate sustainable growth over the long term."

Mr. Edward Lu, CFO of Phoenix New Media, further stated, "Despite facing industry-wide challenges, our first quarter performance was better than our previous expectations. We continued to implement initiatives to refine our cost and expense structures, which enabled us to increase our margins. During the quarter, we delivered a 38.3% year-over-year increase in gross profit. In light of the COVID-19 outbreak, we plan to remain prudent in our resource allocation methodologies. We will also continue to focus on streamlining our operations, bolstering our cash reserves, and prioritizing investments that can both achieve high returns and enhance our growth quality. Importantly, these measures should enable us to weather the current headwinds while further improving our ability to capitalize on those opportunities which will emerge in the post-pandemic period."

Business Outlook

For the second quarter of 2020, the Company expects its total revenues to be between RMB308.7 million and RMB338.7 million; net advertising revenues are expected to be between RMB276.4 million and RMB291.4 million; and paid services revenues are expected to be between RMB32.3 million and RMB47.3 million.

All of the above forecasts reflect the current and preliminary view of Company management, which are subject to change and substantial uncertainty, particularly in view of the potential impact of the COVID-19 outbreak, the effects of which are difficult to analyse and predict.

Fourth Quarter 2019 Financial Results

• Total revenues in the fourth quarter of 2019 increased by 17.9% to RMB470.9 million (US$67.6 million) from RMB399.2 million in the same period of 2018. 
  
• Non-GAAP net loss per diluted ADS in the fourth quarter of 2019 was RMB1.14 (US$0.16), compared to Non-GAAP net loss per diluted ADS of RMB0.52 in the same period of 2018.
  

Mr. Shuang Liu, CEO of Phoenix New Media, commented, "We are so pleased to deliver better-than-expected top-line performance for the fourth quarter of 2019. During the quarter, our consistent coverage of impactful social events further cemented our market leadership while boosting our operating metrics in turn. Additionally, we successfully enhanced our brand influence and heightened our dominance in key content verticals through the organization of multiple large-scale offline events during the quarter. Going forward, we remain committed to executing our business strategies and delivering strong results."

Mr. Liu continued, "At the start of 2020, we moved swiftly to protect and promote the wellbeing of our employees, our users, and the society at large in response to the coronavirus outbreak. To keep our users informed, we have maintained a consistent stream of authentic, professional, and in-depth news coverage. Moreover, to uphold our social responsibility, we were among the first batch of internet companies to donate RMB1.0 million in support of medical workers on the frontlines. In the near term, we are mindful of the headwinds that will inevitably occur as domestic companies reevaluate their advertising budgets due to the impacts of the epidemic. Nevertheless, our focus on creating premium content, augmenting our robust brand influence, and generating highly relevant sales leads will remain attractive to those advertisers who are focused on maximizing their ROI and operating under their budgetary constraints. In the long run, we remain convinced of the new media industry and our own company's upward growth trajectory."

Mr. Edward Lu, CFO of Phoenix New Media, further stated, "In the fourth quarter of 2019, our total revenues increased by 17.9% year over year to RMB470.9 million. During the quarter, total net advertising revenues increased by 11.0% , and total paid services revenues increased by 75.1% year over year, mainly driven by the consolidation of revenues from Tianbo and Tadu. As we assess and monitor the financial impact of the COVID-19 outbreak, we have started to implement several cost restructuring initiatives to further optimize our operating efficiency. Going forward, we plan to prioritize the returns on our investments in user acquisition, content development, and new project adoption. We are confident that this investment strategy will enable us to improve our overall profitability and generate value for our shareholders in the long term."

Business Outlook

For the first quarter of 2020, the Company expects its total revenues to be between RMB252.8 million and RMB272.8 million; net advertising revenues are expected to be between RMB211.8 million and RMB226.8 million; and paid services revenues are expected to be between RMB41.0 million and RMB46.0 million.

All of the above forecasts reflect the Company's management's current and preliminary view, which is subject to change and substantial uncertainty, particularly in view of the potential impact of the COVID-19, the effects of which are difficult to analyse and predict.

BEIJING, Nov. 14, 2019 /PRNewswire/ -- Phoenix New Media Limited (FENG), a leading new media company in China ("Phoenix New Media", "ifeng" or the "Company"), today announced the results of its annual general meeting and the declaration of a special cash dividend.

The Company held its 2019 annual general meeting of shareholders (the "AGM") on November 14, 2019. All of the resolutions proposed at the AGM were duly passed by the shareholders. Among others, the shareholders have passed the resolution approving the election of Ms. Xiaoyan Chi as a director of the Company upon retirement of Ms. Betty Yip Ho as a director at the AGM. The board of directors of the Company would like to thank the shareholders for their ongoing support.

The Company also announced today that its Board of Directors declared a special cash dividend of US$0.1714 per ordinary share, equivalent to US$1.3712 per American depositary share ("ADS"), totaling approximately US$100 million, payable on December 13, 2019 to holders of record of the Company's ordinary shares at the close of business on November 29, 2019 (the "Record Date").

JPMorgan Chase Bank, N.A., as depositary of the ADSs (the "Depositary"), is expected to pay a cash distribution of US$1.3512 per ADS to the Company's ADS holders of record at the close of business on the Record Date after receipt of cash dividends on the Company's ordinary shares and deduction of its fees and expenses. The Depositary expects to pay the cash distribution to the Company's ADS holders on December 13, 2019.

In connection with the declaration of special cash dividend, the Board of Directors also approved a special cash compensation to the Company's option holders in the aggregate amount of approximately US$8.3 million.

Third Quarter 2019 Financial Results

• Total revenues for the third quarter of 2019 were RMB380.2 million (US$53.2 million), representing an increase of 15.4% from RMB329.3 million in the third quarter of 2018. 
  
• Non-GAAP net loss attributable to Phoenix New Media Limited for the third quarter of 2019, which excluded share-based compensation, income or loss from equity method investments, net of impairments, and changes in fair value of financial assets-contingent returnable consideration, was RMB50.8 million (US$7.1 million), as compared to RMB18.3 million in the third quarter of 2018. 
  
• Non-GAAP net margin for the third quarter of 2019 was negative13.4%, as compared to negative 5.6%  in the third quarter of 2018. 
  
• Non-GAAP net loss per diluted ADS in the third quarter of 2019 was RMB0.70 (US$0.10), as compared to RMB0.25 in the third quarter of 2018.

Mr. Shuang Liu, CEO of Phoenix New Media, commented, "Despite the continuing macroeconomic headwinds, we have been able to revitalize and sustain the growth of our businesses. Leveraging our continued professional journalism and by combining our seasoned editorial daily picks and AI-powered recommendation engine, we have improved our user acquisition, retention, and engagement rates. During the third quarter, we upgraded our iFeng app, expanded our proprietary content library, advanced our in-house production capability, and enhanced our vertical channels. As a result, we sharpened our competitive edge and cultivated our monetization potential. While we continue to optimize our cost structure, the first tranche of proceeds from the Yidian transaction has provided us with sufficient working capital to fuel our long-term growth engine. Looking ahead, we are confident that we have the right team, strategy, and knowhow to adapt to the changing market dynamics and thrive in the new media industry."

Ms. Betty Ho, CFO of Phoenix New Media, further stated, "In the third quarter of 2019, our total revenues increased by 15.4% year-over-year, out of which, total net advertising revenues increased by 16.4% and total paid services revenues increased by 10.0% year-over-year, mainly driven by the consolidation of revenues from Tianbo and Tadu. As I pass the financial leadership role to our next CFO, Edward Lu, we are confident that as we continuing to optimize our product, to strengthen our content initiatives, and with the adequate working capital resources, we are well positioned for a renewed growth cycle."

Business Outlook

For the fourth quarter of 2019, the Company expects its total revenues to be between RMB431.2 million and RMB451.2 million; net advertising revenues are expected to be between RMB370.9 million and RMB385.9 million; and paid services revenues are expected to be between RMB60.3 million and RMB65.3 million.

BEIJING, Oct. 4, 2019 /PRNewswire/ -- Phoenix New Media Limited ("Phoenix New Media", "ifeng" or the "Company") (FENG), a leading new media company in China, today announced further update on its proposed sale of 34% of the total outstanding shares of Particle Inc. ("Particle" or "Yidian") to Run Liang Tai and its designated entities (the "Proposed Buyers") (the "Proposed Transaction").

As previously announced by the Company, the Company entered into a share purchase agreement (the "SPA") with the Proposed Buyers on March 22, 2019 for the Proposed Transaction, and entered into a supplemental agreement (the "Supplemental Agreement") to the SPA on July 23, 2019. The Supplemental Agreement is subject to approval by the shareholders of the Company's parent company, Phoenix Media Investment (Holdings) Limited (2008.HK), a company listed on The Stock Exchange of Hong Kong ("Phoenix TV"), and may also be terminated if Particle's other shareholders do not waive their rights under Particle's existing shareholders agreement (the "Shareholders Agreement") with respect to the transactions contemplated by the Supplemental Agreement.

After the Company executed the Supplemental Agreement, two shareholders of Particle, Long De Cheng Zhang Culture Communication (Tianjin) Co., Ltd. and Long De Holdings (Hong Kong) Co., Limited (collectively, the "Long De Entities") notified the Company that they intend to exercise their co-sale rights under the Shareholders Agreement with respect to 16 million shares of Particle for a total selling price of approximately RMB240 million while reserving their rights to co-sell more shares up to the maximum amount allowed under the Shareholders Agreement or fewer shares if they can find other buyers for their shares.

Based on discussion with its legal advisers, the Company is of the view that the notice by which Long De Entities purported to exercise their co-sale right does not constitute a valid notice under the terms of the Shareholders Agreement , and thus the co-sale rights should not be considered as properly exercised within the exercise period specified in the Shareholders Agreement. However, the Long De Entities continued to assert their co-sale right. While the Company is still discussing with the Long De Entities for an amicable resolution, the Company cannot assure you that this dispute will be resolved in the Company's favor.

If the Long De Entities are able to validly exercise their co-sale rights, the Company may have to reduce the Particle shares that it can sell in the Proposed Transaction if it decides to proceed with the transaction, and the proceeds to the Company from the transaction will be reduced accordingly. Alternatively, the Company may decide to terminate the Supplemental Agreement and reverse all transactions occurred under the Supplemental Agreement, which will include return to the Proposed Buyers of installment payments already made by the Proposed Buyers under the Supplemental Agreement in the aggregate amount of US$100 million. In such case, the Company may have to resume its dispute with the Proposed Buyers under the original SPA as announced by the Company in its press release dated June 28, 2019.

Notwithstanding the disputes, the Company understands that Phoenix TV plans to submit the Supplemental Agreement to its shareholders for approval. If Phoenix TV's shareholders approve the Supplemental Agreement notwithstanding the disputes, the Proposed Buyers should pay the Company a further cash deposit of US$50 million under the Supplemental Agreement. There can be no assurance that Phoenix TV's shareholders will approve the Supplemental Agreement. Even if Phoenix TV's shareholders approve the Supplemental Agreement, there can be no assurance that the Company's disputes with the Long De Entities, or with the Proposed Buyers under the original SPA will be resolved in the Company's favor. There can be no assurance that the Proposed Transaction will ever be closed.

BEIJING, July 23, 2019 /PRNewswire/ -- Phoenix New Media Limited ("Phoenix New Media", "ifeng" or the "Company") (FENG), a leading new media company in China, today announced that it has entered into a supplemental agreement (the "Supplemental Agreement") to the share purchase agreement (the "SPA") dated March 22, 2019between the Company and Run Liang Tai Management Limited ("Run Liang Tai") for the sale of 32% of the total outstanding shares of Particle Inc. ("Particle" or "Yidian") to Run Liang Tai and its designated entities (the "Proposed Buyers") (the "Proposed Transaction").

The Supplemental Agreement made the following major revisions to the SPA:

• The Company agrees to increase the number of Particle shares to be transferred to the Proposed Buyers from 199,866,509 shares to 212,358,165 shares while the total purchase price will remain unchanged at US$448 million. The Company will own approximately 3.63% of the total outstanding shares of Particle on an as-if converted and fully diluted basis if the Proposed Transactions are completed as contemplated by the Supplemental Agreement.
• Instead of requiring full payment of the purchase price within 15 working days after satisfaction of all closing conditions, the Supplemental Agreement allows the Proposed Buyers to pay the purchase price in several installments. The Company has received the first installment of US$20 million. The second and third installments of US$20 million and US$60 million will become due on July 30, 2019 and August 10, 2019, respectively. Unless otherwise agreed by both parties, the Proposed Buyers may pay the remaining purchase price on or before August 10, 2020, but they will be required to pay a further cash deposit of US$50 million. After the second and third installments as well as the further cash deposit of US$50 million are paid, the US$100 million cash deposit previously paid by the Proposed Buyers will be deemed as an additional purchase price payment and the Company will transfer 94,802,752 shares of Particle (the "First Batch of Delivered Shares") to the Proposed Buyers, corresponding to US$200 million of purchase price paid . If the Proposed Buyers fail to pay the remaining purchase price before its due date, they will be required to entrust the voting rights of the First Batch of Delivered Shares to the Company. The Company and the Proposed Buyers agree to close the Proposed Transactions as described above regardless of any dispute raised by any party in respect of satisfaction of the closing conditions under the original SPA.

The Supplemental Agreement is subject to approval by the shareholders of the Company's parent company, Phoenix Media Investment (Holdings) Limited (2008.HK), a company listed on The Stock Exchange of Hong Kong ("Phoenix TV"). The Supplemental Agreement may also be terminated if Particle's other shareholders do not waive their rights under Particle's existing shareholders agreement with respect to the transactions contemplated by the Supplemental Agreement. There can be no assurance that Phoenix TV's shareholders will approve the Supplemental Agreement or Particle's other shareholders will waive their rights. As such, there can be no assurance that the disputes between the Company and the Proposed Buyers as previously announced by the Company will be resolved in the Company's favor; and there can be no assurance that the Proposed Transaction will ever be closed.

BEIJING, June 28, 2019 /PRNewswire/ -- Phoenix New Media Limited ("Phoenix New Media", "ifeng" or the "Company") (NYSE: FENG), a leading new media company in China, today announced certain update on the proposed sale of 32% of the total outstanding shares of Particle Inc. ("Particle") to Run Liang Tai Management Limited ("Run Liang Tai") and its designated entities (the "Proposed Buyers") for a total consideration of US$448 million in cash (the "Proposed Transaction").

As previously announced by the Company, the Company entered into a share purchase agreement (the "SPA") with Run Liang Tai for the Proposed Transaction on March 22, 2019; the Proposed Buyers have paid cash deposit of US$100 millionto the Company; and completion of the Proposed Transaction is subject to certain closing conditions specified in the SPA (the "Closing Conditions").

The Company sent a completion confirmation letter to Run Liang Tai on May 31, 2019 to confirm the satisfaction of all of the Closing Conditions. Run Liang Tai, however, disputed the satisfaction of certain Closing Conditions. The Company is in discussion with Run Liang Tai in order to find an amicable resolution. However, there can be no assurance that the dispute will be resolved in the Company's favor, and there can be no assurance that the Proposed Transaction will ever be closed.

First Quarter 2019 Financial Results

• Total revenues for the first quarter of 2019 were RMB284.9 million (US$42.4 million), which were flat as compared with the same quarter last year,
• Non-GAAP net loss per diluted ADS in the first quarter of 2019 was RMB1.54 (US$0.23), as compared to non-GAAP net loss per diluted ADS of RMB0.71 in the first quarter of 2018. 

Mr. Shuang Liu, CEO of Phoenix New Media, commented, "I am so pleased that our topline exceeded our expectations. In the first quarter of 2019, we continued to focus on enhancing our AI framework by further improving its synergies with our editorial system. The successful integration of human expertise and AI algorithms not only strengthened our ability to generate and distribute high-quality content, but also allowed us to maintain our professional journalism standards and provide unbiased, premium content to our users. In addition, our new growth initiatives in our content offering strategy, digital reading and our expansion in lifestyle related verticals have all out-performed our expectations.

Despite headwinds from macroeconomic uncertainties and industry challenges, we are confident that our ability to generate accurate and highly relevant sales leads in a variety of niche verticals can help our clients achieve a high ROI with a limited marketing budget."

Ms. Betty Ho, CFO of Phoenix New Media, further stated, "For the first quarter of 2019, our total revenues reached RMB284.9 million, exceeding the high end of our previous guidance as a result of the better than expected performance of the digital reading business of Tadu. The total consolidated paid services revenues for the first quarter of 2019 increased by 66.1% year over year to RMB68.9 million. However, our net advertising revenues for the first quarter of 2019 decreased to RMB216.0 million primarily as a result of macroeconomic uncertainties and increased competition. Looking ahead, we will continue to invest in the expansion of original content and to further diversify our product offerings. We are actively exploring potential investment in premium content and expect the synergies between our different businesses to enable us to enter into a fresh growth cycle."

Business Outlook

For the second quarter of 2019, the Company expects its total revenues to be between RMB374.1 million and RMB394.1 million; net advertising revenues are expected to be between RMB308.8 million and RMB323.8 million; and paid services revenues are expected to be between RMB65.3 million and RMB70.3 million.

All of the above forecasts reflect the Company's current and preliminary view on the market and operational conditions, which are subject to change.

BEIJING, April 1, 2019 /PRNewswire/ -- Phoenix New Media Limited ("Phoenix New Media", "ifeng" or the "Company") (FENG), a leading new media company in China, today announced that as part of its ongoing strategy to accelerate the development of its real estate vertical, it will fully consolidate the financial statements of Beijing Fenghuang Tianbo Network Technology Co., Ltd. ("Tianbo") starting from April 1, 2019.

Tianbo is principally engaged in the operation of the real estate channel and sales of real estate advertisements for the Company's website, ifeng.com. Tianbo was previously a consolidated subsidiary of the Company. In December 2014, the Company disposed of certain equity interest of, and lost control over Tianbo, to allow Tianbo to pursue its independent development. Since then, the Company has held 50% of the equity interest in Tianbo and accounted for it using the equity method of accounting. For illustrative purposes only, Tianbo's unaudited revenues were approximately 13.4% of the Company's revenues (which did not consolidate Tianbo's revenues) in 2018. The Company recorded income from equity method investment of RMB5.4 million due to its investment in Tianbo, which represented 50% of Tianbo's net income, in 2018.

To further bolster the development of the Company's real estate vertical and to create more synergies on Tianbo's new business expansion as a second-hand real estate platform, shareholders of Tianbo recently agreed to make certain revisions to the articles of association of Tianbo to allow the Company to regain control over Tianbo. As a result, the Company will fully consolidate the financial statements of Tianbo as a subsidiary starting from April 1, 2019, which may have material impacts on the Company's consolidated financial statements for periods ending after such date.

Mr. Shuang Liu, Chief Executive Officer of ifeng, commented, "We saw Tianbo has grown tremendously with over 70% CAGR (Compound Annual Growth Rate) of revenues in the past 5 years. By leveraging our resources and brand influence, the integration of Tianbo's service offerings will further solidify the industry-leading position of our real estate vertical, especially the growth potential of our second-hand housing business. Going forward, we are confident that our enhanced real estate vertical will become a partner of choice for realtors and property developers in China. More importantly, by offering coverage of all the essential aspects of the housing market in China, our real estate vertical will serve as an integral part of our strategy to help our users cultivate a healthy, happy, and fulfilling lifestyle."

BEIJING, March 22, 2019 /PRNewswire/ -- Phoenix New Media Limited ("Phoenix New Media", "ifeng" or the "Company") (FENG), a leading new media company in China, today announced that it has entered into a share purchase agreement (the "SPA") with Run Liang Tai Management Limited ("Run Liang Tai") to sell 32% of the total outstanding shares of Particle Inc. ("Particle") to Run Liang Tai and its designated entities (the "Proposed Buyers") for a total consideration of US$448 million in cash (the "Proposed Transactions"). Particle owns Yidian Zixun ("Yidian"), a rapidly-growing personalized news and lifestyle information application in China that allows users to efficiently define and explore individualized content over mobile devices. The Company currently owns approximately 37.63% of the total outstanding shares of Particle on an as-if converted basis and is expected to own approximately 5.63% if the Proposed Transactions are completed.

As previously announced by the Company, the Company entered into a binding letter of intent (the "LOI") for the Proposed Transactions on February 23, 2019. The Proposed Buyers have paid cash deposit of US$100 million to the Company, and the Company and the Proposed Buyers entered into the SPA on March 22, 2019, the deadline set forth in the LOI.

Completion of the Proposed Transactions, however, are still subject to certain closing conditions (the "Closing Conditions"), including but not limited to approvals by the board of directors and shareholders of the Company's parent company, Phoenix Media Investment (Holdings) Limited (including any related necessary approval by The Stock Exchange of Hong Kong Limited), as well as approvals, consents and waivers, as applicable, of other shareholders of Particle. There is no assurance that the Proposed Transactions will ever be closed.

As previously announced by the Company, the Company may be required to return the US$100 million of deposit to the Proposed Buyers together with interests, and may be required to pay liquidated damages, if the Proposed Transactions fail to close for certain reasons. While the SPA includes substantially the same terms as set forth in the LOI, the Company also agreed in the SPA that it will (i) pay liquidated damages of US$40 millionand otherwise fully compensate the Proposed Buyers if the Company materially breaches its representations, warranties and obligations under the SPA, and (ii) pay to the Proposed Buyers additional compensation calculated at an annual rate of 6% for the period in which the Company has held the US$100 million of deposit if the Proposed Transactions fail to close before July 22, 2019 or within such longer period as agreed by the parties due to failure to obtain approvals by the board of directors and shareholders of Phoenix Media Investment (Holdings) Limited for the Proposed Transactions.

"We are moving one more step closer towards realizing the return on our investment in Yidian,"said Mr. Shuang Liu, Chief Executive Officer of iFeng. "We believe that selling partial ownership of Yidian to a strategic buyer will help maximize Yidian's growth potential as well as fuel our own growth in the long-run."

Fourth Quarter 2018 Financial Results

• Total revenues for the fourth quarter of 2018 were RMB399.2 million (US$58.1 million) under the new accounting standard, which represented a decrease of 13.5% from RMB461.8 million in the fourth quarter of 2017.
• Non-GAAP net loss per diluted ADS in the fourth quarter of 2018 was RMB0.52 (US$0.08), as compared to non-GAAP net income per diluted ADS of RMB0.16 in the fourth quarter of 2017.

"As online content regulation in China became increasingly stringent during 2018, we continued to adapt and evolve with the changing media landscape. As an industry leader, we remain steadfast in our commitment to providing our users with leading professional journalism and world-class news content," Mr. Shuang Liu, CEO of Phoenix New Media, commented. "In the fourth quarter, we actively expanded our user base and service offerings by diversifying into lifestyle verticals like entertainment and fashion, refining our We-Media operations, increasing investments in our digital reading business, enhancing our video operations, and accelerating our in-house original content production capabilities. Looking forward to 2019, we will maintain our focus on optimizing both our users' experience and the ROI for our advertisers. We are also looking for opportunities to expand our products and content offerings through mergers and acquisitions."

Ms. Betty Ho, CFO of Phoenix New Media, further stated, "In the fourth quarter of 2018, our total revenues decreased by 13.5% year over year to RMB399.2 million under the new accounting standard of ASC606 and decreased by 6.0% year over year to RMB434.1 million under the prior accounting standard of ASC605, primarily as a result of 14-day temporary service suspension and the macroeconomic slowdown. However, as the fourth quarter normally is our strongest quarter, our total revenues increased by 21.2% sequentially, driven by a 26.5% growth of our advertising revenues compared to the third quarter of 2018 under the new accounting standard of ASC606. The advertising revenue generated from our FENG app has increased by 24.5% year-over-year in the fourth quarter of 2018 under the prior accounting standard. While we are expecting the economic headwind to continue into 2019, we are confident that our continuous efforts in diversifying our revenue streams and improving the synergies between our business lines will help us weather through the near-term uncertainties and deliver long-term value to our shareholders."

Business Outlook

For the first quarter of 2019, the Company expects its total revenues to be between RMB254.8 million and RMB274.8 million; net advertising revenues are expected to be between RMB193.8 million and RMB208.8 million; and paid services revenues are expected to be between RMB61.0 million and RMB66.0 million.

BEIJING, March 1, 2019 /PRNewswire/ -- Phoenix New Media Limited ("Phoenix New Media", "ifeng" or the "Company") (FENG), a leading new media company in China, today announced that it has exercised the option to acquire 25.5% equity interests in Beijing Yitian Xindong Network Technology Co., Ltd. ("Yitian Xindong") from Shenzhen Bingruixin Technology Co., Ltd. ("Bingruixin") pursuant to the agreements with Bingruixin, Telling Telecommunication Co., Ltd and Yitian Xindong entered in December 2018.

After satisfaction of certain closing conditions for the option exercise, the Company will be required to pay a preliminary purchase price of RMB144.1 million to Bingruixin, subject to adjustment mechanisms based on Yitian Xindong's operating and financial performance in 2019 and 2020. If Yitian Xindong fails to satisfy these performance requirements, the final purchase price may be reduced to RMB58.8 million and Bingruixin will be required to refund the Company the difference between the final purchase price and the preliminary purchase price paid by the Company.

As previously announced, the Company acquired 25.5% equity interests in Yitian Xindong in December 2018 and started to consolidate Yitian Xindong as a result of certain voting rights entrustment arrangement with Bingruixin. The Company expects to continue to consolidate Yitian Xindong after closing of the option exercise. Yitian Xindong owns the mobile application Tadu, a leading online reading application in China that currently has more than one million daily active users.

"The strategic investment in Tadu is about unleashing Fanyue's full potential, building upon our collective synergies," said Mr. Shuang Liu, Chief Executive Officer of Phoenix New Media. "We believe that will enable us to further expand our user base, differentiate our content, strengthen our IP developments and further optimize our revenue stream."

BEIJING, Feb. 25, 2019 /PRNewswire/ -- Phoenix New Media Limited ("Phoenix New Media", "ifeng" or the "Company") (FENG), a leading new media company in China, today announced that it has entered into a binding letter of intent ("LOI") with a proposed investor (the "Proposed Investor") for the sale of 32% of the total outstanding shares of Particle Inc. ("Particle"). Particle owns Yidian Zixun ("Yidian"), a rapidly-growing personalized news and lifestyle information application in China that allows users to efficiently define and explore individualized content over mobile devices. The Company currently owns approximately 37.63% of the total outstanding shares of Particle on an as-if converted basis and is expected to own approximately 5.63% if the transactions contemplated by the LOI are completed.

Under the terms of the LOI, the Company will commit to sell and transfer 32% of the total outstanding shares of Particle to the Proposed Investor and its designated entities (the "Proposed Buyers") for a total consideration of US$448 million in cash, reflecting a preliminary valuation of Particle at US$1.4 billion. The Company, the Proposed Buyers, Particle and other parties as applicable are expected to execute definitive agreements for the proposed transactions (the "Definitive Agreements") on or before March 22, 2019 or other deadline agreed by the Company and the Proposed Buyers. Completion of the proposed transactions will be subject to certain closing conditions (the "Closing Conditions"), such as approvals by the board and shareholders (if applicable) of the Proposed Buyers, Particle, the Company and the Company's parent, Phoenix Media Investment (Holdings) Limited, related approval of The Stock Exchange of Hong Kong Limited, and the delivery of valuation result of an independent valuation firm. There is no assurance that any Definitive Agreement will ever be entered into or that the proposed transactions will ever be closed.

Pursuant to the LOI, the Company has already received a cash deposit of RMB100 million (the "RMB Deposit") from the Proposed Buyers. According to the LOI, the Proposed Buyers shall pay the Company another cash deposit of US$100 million (the "USD Deposit") in two installments with the first installment of not less than US$50 million due on February 28, 2019 and the second installment for the remaining amount due on March 5, 2019. The Company will refund the RMB Deposit to the Proposed Buyers within one business day after the receipt of the first installment of the USD Deposit, but will be entitled to terminate the LOI and keep the RMB Deposit or the first installment of the USD Deposit as applicable if the first or second installment of the USD Deposit is not paid on time.

If the Company unilaterally decides to terminate the proposed transactions after receipt of the USD Deposit, the Company will refund the USD Deposit to the Proposed Buyers and pay liquidated damages to the Proposed Buyers. If (i) the Definitive Agreements are not entered into on or before March 22, 2019 or other deadline agreed by the Company and the Proposed Buyers due to reasons not attributable to the Proposed Buyers, or (ii) the proposed transactions fail to close because any of the Closing Conditions is not satisfied before the mutually agreed deadline, the Company will refund the USD Deposit to the Proposed Buyers together with interests. Except as described above, the deposit will not be refundable, and the deposit together with accrued interest will be applied towards the purchase price to be paid by the Proposed Buyers upon closing of the proposed transactions.

The Company agrees to delegate all of its rights as a shareholder of Particle (excluding economic interests) to the Proposed Buyers and cause its representatives on Particle's board of directors to delegate all of their rights to the Proposed Buyers after the execution of the Definitive Agreements. Upon the payment of the full purchase price, the Proposed Buyers will be entitled to appoint two directors of Particle to replace the two directors appointed by the Company.

"With the Letter of Intent now reached, we are proud to announce that an important milestone has been achieved," said Mr. Shuang Liu, Chief Executive Officer of iFeng. "Yidian has attained tremendous user base and forged remarkably close relationship with leading Chinese handset manufacturers. We are confident that Yidian will generate a handsome return on our investments. We also expect that our remaining interests in Particle will allow us to share in any further growth of Yidian. The significant cash infusion from the proposed transaction will help fuel our own growth engine and expand both our product line and content through strategic investment opportunities."

Third Quarter 2018 Financial Results

• Total revenues for the third quarter of 2018 were RMB328.7 million (US$47.9 million) under the new accounting standard, which represented a decrease of 22.8% from RMB425.6 million in the third quarter of 2017.
• Non-GAAP net loss attributable to Phoenix New Media Limited for the third quarter of 2018, which excluded share-based compensation and gain or loss from equity method investments, including impairments, was RMB18.3 million (US$2.7 million), as compared to non-GAAP net income attributable to Phoenix New Media Limited of RMB34.4 million in the third quarter of 2017. Non-GAAP net margin for the third quarter of 2018 decreased to negative 5.6% from positive 8.1% in the third quarter of 2017. Non-GAAP net loss per diluted ADS in the third quarter of 2018 was RMB0.25 (US$0.04), as compared to Non-GAAP net income per diluted ADS of RMB0.48 in the third quarter of 2017.

"This is a very difficult quarter for us with the slowdown of the macroeconomics and the 14-day suspension of ifeng News mobile application and WAP website as well as some channels on ifeng.com from September 26, 2018,"  Mr. Shuang Liu, CEO of Phoenix New Media commented, "However, we have reviewed and improved our internal operating procedures to ensure that we continue to produce top-tier, informative and regulatory compliant content. We have enhanced our content operations team, particularly in video, bolstering our capabilities to deliver outstanding original content. We will continue to execute our long-term strategy to diversify our growth drivers, pushing beyond our core business of news and current affairs into lifestyle-related verticals to help our users cultivate a healthy, happy and fulfilling lifestyle."

Ms. Betty Ho, CFO of Phoenix New Media, further stated, "Our total revenues experienced a 16.6% year-over-year decrease to RMB355.0 million under the old accounting standard, mainly due to market condition and the tightening of rules and regulations on advertisements for certain specific industries in addition to the impact of the suspension. However, we have implemented a series of initiatives to cultivate a sustainable growth by strengthening our content operations and diversifying our revenue streams, to prepare for the macroeconomic uncertainties in the following quarters."

Business Outlook

Based on the new accounting standard (ASC606), for the fourth quarter of 2018, the Company expects its total revenues to be between RMB376.1 million and RMB399.1 million; net advertising revenues are expected to be between RMB338.5 million and RMB356.5 million; and paid services revenues are expected to be between RMB37.6 million and RMB42.6 million.

If the old accounting standard (ASC605) were to be used, for the fourth quarter of 2018, the Company would expect its total revenues to be between RMB414.2 million and RMB437.2 million, its net advertising revenues to be between RMB374.0 million and RMB392.0 million, and its paid services revenues to be between RMB40.2 million and RMB45.2 million.

BEIJING, Oct. 31, 2018 /PRNewswire/ -- Phoenix New Media Limited (FENG) ("Phoenix New Media", "ifeng" or the "Company"), a leading new media company in China, today announced the appointment of Mr. Chun Liu as its Senior Vice President to oversee the Company's development of original and proprietary short video content.

Mr. Chun Liu has participated in the production, distribution and monetization of numerous television programs in the past, including one of the most influential live television interview programs, A Date with Luyu, which has won multiple awards in the industry since its initial launch. During his tenure at Phoenix Satellite Television Holdings Ltd between 2000 and 2011, Mr. Liu served as the Executive Director of Phoenix Chinese TV. Mr. Chun Liu holds a master's degree from the Communication University of China.

Mr. Shuang Liu, CEO of Phoenix New Media, stated, "We are fortunate to add Chun's extensive knowledge and incredible talent to our operation team as a Senior Vice President. With over 20 years of experience in news media, Chun has established a long track record of producing, distributing and monetizing some of the nation's most popular TV shows. We are confident that his specialized expertise in content operations will be a tremendous asset to us, as we continue our mission to produce the highest quality content for our users worldwide."

BEIJING, Sept. 28, 2018 /PRNewswire/ -- Phoenix New Media Limited (FENG) ("Phoenix New Media", "ifeng" or the "Company"), a leading new media company in China, today announced that it has taken active measures to fully comply with government notice.

Starting from 3:00 pm September 26, 2018, the Company has temporarily suspended the services of its ifeng News mobile application and WAP website as well as its general news and finance channel on ifeng.com for two weeks and its technology channel on ifeng.com for 30 days under the notice of the government. However, all other channels on ifeng.com will maintain their normal operations at this time.

During the suspension period, the Company will strengthen its content review teams and establish more comprehensive guidelines for its internal content review process while actively communicating with the relevant government authorities to ensure that the Company's content offerings are compliant with the latest regulations.

The Company expects it will have negative impact on its advertising revenue for the suspension period. However, the Company notes that the suspension period includes the seven-day Chinese National Day holiday, a typically slow period for online traffic, which may help minimize the suspension's impact on its business.

Second Quarter 2018 Financial Results

• Total revenues for the second quarter of 2018 were RMB362.5 million (US$54.8 million) under the new accounting standard, which represented a decrease of 7.8% from RMB393.3 million in the second quarter of 2017.
• Net income attributable to Phoenix New Media Limited for the second quarter of 2018 was RMB49.2 million (US$7.4 million), as compared to RMB24.9 million in the second quarter of 2017. Net margin for the second quarter of 2018 was 13.6%, as compared to 6.3% in the second quarter of 2017. Net income per diluted ADS[5] in the second quarter of 2018 was RMB0.67 (US$0.10), as compared to RMB0.35 in the second quarter of 2017.

Mr. Shuang Liu, CEO of Phoenix New Media commented, "We made significant progress on product innovation and content enrichment in the second quarter of 2018. We further enhanced our content production capabilities focusing on providing users with premium, original, unbiased, and exclusive content in the forms of news reports, live broadcasts, as well as documentaries and talk shows in video series format based on our original creation.

In addition, we have maximized users' satisfaction while optimizing our algorithms to effectively screen our content library to ensure full compliance with emerging regulations. Going forward, we will continue to leverage the credibility, authenticity and influence of our premium content and our brand to further fortify our leadership in the media industry in China."

Ms. Betty Ho, CFO of Phoenix New Media, further stated, "We are delighted to deliver solid financial results in the second quarter of 2018. The advertising revenue generated from our FENG app has increased by 43.2% year-over-year in the second quarter of 2018 under the old accounting standard. In order to diversify our content, we are looking for new investment opportunities in lifestyle related verticals, such as travel, health and fashion, to expand our user base and improve retention rate. Looking ahead, we will remain committed to investing in content and product innovations to strengthen our competitive edge while focusing on improving our profitability and maintaining our growth momentum."

Business Outlook

Based on the new accounting standard (ASC606), for the third quarter of 2018, the Company expects its total revenues to be between RMB376.1 million and RMB391.1 million; net advertising revenues are expected to be between RMB342.7 million and RMB352.7 million; and paid services revenues are expected to be between RMB33.4 million and RMB38.4 million.

If the old accounting standard (ASC605) were to be used, for the third quarter of 2018, the Company would expect its total revenues to be between RMB413.2 million and RMB428.2 million, its net advertising revenues to be between RMB378.0 million and RMB388.0 million, and its paid services revenues to be between RMB35.2 million and RMB40.2 million.

BEIJING, Aug. 8, 2018 /PRNewswire/ -- Phoenix New Media Limited ("Phoenix New Media", "ifeng" or the "Company") (FENG), a leading new media company in China, today announced the completion of assignment to Long De Cheng Zhang Culture Communication (Tianjin) Co., Ltd. ("Long De") of the Company's rights under a loan to Particle Inc. ("Particle") with a principal amount of US$14.8 million originally granted in August 2016 (the "August 2016 Loan").

As previously announced by the Company, the Company entered into a loan assignment agreement with Long De in April 2018 for the assignment. Long De's designated affiliate paid the assignment price of approximately US$17.0 million to the Company on August 7, 2018 and the loan assignment was completed.

BEIJING, April 3, 2018 /PRNewswire/ -- Phoenix New Media Limited ("Phoenix New Media", "ifeng" or the "Company") (FENG), a leading new media company in China, today announced certain financing update of Particle Inc. ("Particle"). Particle owns Yidian Zixun ("Yidian"), a rapidly-growing personalized news and life-style information application in China, which allows users to efficiently define and explore individualized content over mobile devices. The Company currently owns approximately 41.82% of the total outstanding shares of Particle on an as-if converted basis.

The Company previously announced an agreement (the "Previous Agreement") among the Company, Particle and Long De Cheng Zhang Culture Communication (Tianjin) Co., Ltd. ("Long De") pursuant to which the Company was expected to assign to Long De or its affiliates the Company's rights under a loan to Particle with a principal amount of US$14.8 million granted in August 2016 (the "August 2016 Loan"), and Long De or its affiliates were expected to subscribe for Series E preferred shares and warrants of Particle. Long De subsequently informed the Company and Particle that it has not obtained necessary government approval for remitting funds offshore to make payments to the Company or Particle, and therefore, neither the assignment of the August 2016 Loan to Long De nor the proposed subscription for Series E preferred shares and warrants of Particle by Long De or its affiliate has been completed.

Given the delay in completion of the transactions contemplated by the Previous Agreement, the Company and other parties to the Previous Agreement agreed to terminate the agreement and replace it with a loan assignment agreement, pursuant to which the Company will assign the August 2016 Loan to Long De or its affiliates with an assignment price of approximately US$17.0 million, and warrants issued by Particle to Long De and its affiliates which allow them to subscribe for Series E preferred shares of Particle that are expected to represent 7.69% of the total shares outstanding of Particle on an as-if converted basis for an aggregate price of approximately US$73.5 million. Both the loan assignment and warrants exercise are expected to be completed only after Long De and its affiliates have obtained necessary funds offshore to make payments to the Company and Particle, as applicable. Concurrent with issuance of the warrants, Long De and its affiliates agreed to provide interest-free, Renminbi-denominated loans to consolidated affiliated entities of Particle in China in amounts substantially the same as their expected payment obligations for the warrants exercise. Such loans are expected to be repaid when Long De and its affiliates inform Particle that they are ready to start the process for remitting funds offshore in order to complete the warrants exercise. It is, however, uncertain when Long De and its affiliates can obtain necessary funds offshore to make payments to the Company and Particle and there is uncertainty as to whether and when the loan assignment and warrant exercises can be completed.

The purpose of the above mentioned transactions is to enable Particle to receive the gross proceeds as soon as possible. After such transactions have been completed as described above, Particle will receive gross proceeds of approximately RMB464.5 million (equivalent of US$73.5 million) from Long De and its affiliates as a result of their exercise of the warrants and expects to close its E round of financing then.

BEIJING, Dec. 8, 2017 /PRNewswire/ -- Phoenix New Media Limited (FENG), a leading new media company in China ("Phoenix New Media", "ifeng" or the "Company"), today announced that it has, through certain of its affiliated consolidated entities (the "Licensees"), entered into new trademark license agreements (the "New Agreements") with a subsidiary of its parent company, Phoenix Satellite Television Holdings Limited ("Phoenix TV"), to replace previous trademark license agreements between the parties (the "Previous Agreements").

Under the New Agreements, Phoenix TV agreed to continue to license to the Licensees certain trademarks containing the double-phoenix logo and the Chinese or English words of "Phoenix New Media" or "ifeng" for an initial term of three years, while the Licensees are not allowed to use the double-phoenix logo on a stand-alone basis. The Licensees are also granted a one-year license to continue to use the current marks of the Company's two mobile applications which contain the Chinese words of "Phoenix News" and "Phoenix Video" which will be automatically renewed upon its expiration unless Phoenix TV raises any objection.

The annual license fee payable to Phoenix TV by each of the Licensees will be the greater of 2% of the Licensee's annual revenue or US$100,000, while the annual fee under the Previous Agreements was US$10,000.

Third Quarter 2017 Financial Results

• Total revenues for the third quarter of 2017 increased by 18.2% to RMB425.6 million (US$64.0 million) from RMB360.0 million in the third quarter of 2016.
• Non-GAAP net income per diluted ADS in the third quarter of 2017 increased by 38.8% to RMB0.48 (US$0.07) from RMB0.34 in the third quarter of 2016.

"In the third quarter of 2017, we not only delivered solid financial and operating performance, but also achieved several important milestones," stated Mr. Shuang Liu, CEO of Phoenix New Media. "Among others, Yidian, a company in which we invested and accounted for as available-for-sale investments, received the License for Internet News Information Service, which is the first license  issued by the Cyberspace Administration of China that covers PC, mobile and we-media platforms since new regulations in China came into effect on June 1, 2017. This license will allow Yidian to differentiate and gain competitive advantages over its peers, especially on content acquisition on its we-media platform Yidianhao. The license also fulfills a prerequisite for an equity investment in Yidian by Long De Cheng Zhang Culture Communication (Tianjin) Co., Ltd., which together with the other two investors that we discussed in the second quarter, are expected to invest approximately US$112.1 million in total at an estimated transaction valuation of Yidian of about US$1.0 billion. We are very pleased to have finalized this round of investments as certain major terms, including the valuation, were negotiated late last year.

We also further executed our content strategy during the third quarter. We continued to be a leading news distributor in China of major current affairs around the world. According to a report from iResearch, during the 19th National Congress of the Communist Party of China, the growth rate of weekly active users of our iFeng News App surpassed all of our peers and we also ranked first on the PC platform based on the number of page views of featured stories.

Looking ahead, we will remain focused on market share expansion. By leveraging our professional journalism, cutting-edge technology, extensive partnership resources as well as our branding power, we believe we can maintain our leading position in the highly competitive market."

Ms. Betty Ho, CFO of Phoenix New Media, further stated, "We are delighted to have strong financial results this quarter. Net advertising revenues increased by 17.0% year-over-year to RMB363.1 million, primarily driven by a 50.0% year-over-year increase in our mobile advertising revenues. In particular, revenues from our programmatic advertising showed robust year-over-year growth of 106.0% to RMB142.1 million during the third quarter, mainly resulted from our strong operations and product optimization. Non-GAAP net income attributable to Phoenix New Media increased by 38.9% year-over-year to RMB34.4 million. We are very pleased with the results we achieved during the third quarter and expect our mobile advertising business will continue to grow in line with the industry trend. On the other hand, in order to expand our market share, we need to further invest in traffic acquisition while adopting strict cost control measures and closely monitoring the investment return of our products."

Business Outlook

For the fourth quarter of 2017, the Company expects its total revenues to be between RMB433.0 million and RMB448.0 million. Net advertising revenues are expected to be between RMB386.2 million and RMB396.2 million. Paid services revenues are expected to be between RMB46.8 million and RMB51.8 million. These forecasts reflect the Company's current and preliminary view on the market and operational conditions, which are subject to change.

BEIJING, Oct. 31, 2017 /PRNewswire/ -- Phoenix New Media Limited (FENG), a leading new media company in China ("Phoenix New Media", "ifeng" or the "Company"), today announced that Beijing Yidianwangju Technology Co., Ltd. ("Yidian"), in which ifeng has invested in the preferred shares of Particle Inc. ("Particle"), the holding company of Yidian, received the License for Internet News Information Service (the "License") from the Cyberspace Administration of China (the "CAC") on October 31, 2017.

This is the first License issued by CAC since the new Provisions for the Administration of Internet News Information Services went into effect on June 1, 2017. The License issued to Yidian is applicable to both PC and mobile news services. In addition to news services, this License also explicitly authorizes Yidian to operate Yidianhao, Yidian's we-media platform, in China.

The Company views the License as an official recognition of Yidian's credibility, which will further differentiate Yidian from other internet news service providers in China. With the License, the Company expects Yidian will gain additional competitive advantages in channel expansion, partnership establishment, content operation, and we-media development.

Yidian is an affiliated consolidated entity of Particle and owns Yidian Zixun, a rapidly-growing personalized news and life-style information application in China, which allows users to efficiently define and explore individualized content over mobile devices. The Company currently owns certain preferred shares of Particle which represented approximately 41.8% of the total outstanding shares of Particle on an as-if converted basis.

Yidian's receipt of the License fulfills a prerequisite for equity investment in Particle from Long De Cheng Zhang Culture Communication (Tianjin) Co., Ltd. ("Long De"), a company affiliated with Beijing Culture Investment Development Group Co., Ltd.

Pursuant to the agreement among the Company, Particle and Long De, as soon as possible after Yidian's receipt of the License, the Company will assign to Long De or its designated affiliate the Company's rights under a term loan granted to Particle in August 2016 with a principal amount of US$14.8 million (the "Loan"), and Long De or its affiliate will have the right to convert all or a portion of the Loan into Series D1 preferred shares of Particle. Long De or its affiliate will pay the Company approximately US$17.0 million for the Loan assignment. Pursuant to the agreement, Long De or its affiliate will also subscribe for Series E preferred shares and warrants of Particle that represent 7.69% of the total shares outstanding of Particle on an as-if converted basis for an aggregate price of approximately US$73.5million (assuming full exercise of the warrants). Upon completion of the conversion of the Loan, subscription for the Series E preferred shares and exercise of the warrants by Long De or its affiliate as defined in the agreement (the "Series E Transactions"), Long De will own approximately 10.0% of the total shares outstanding of Particle on an as-if converted basis for an aggregate price of approximately US$90.4 million; and the Company's equity interest in Particle is expected to decrease to 37.6% of the total shares outstanding of Particle on an as-if converted basis.

The Company expects that after completion of the Series E Transactions, Yidian will be able to accelerate its progress in talent acquisition, brand building, and user experience optimization, thus improving its financial and operating performance and generating incremental value for all of its stakeholders.

Mr. Shuang Liu, CEO of Phoenix New Media, stated, "As the single largest preferred shares holder of Yidian, we are proud to know that Yidian has been awarded the License. It is a major milestone in Yidian's development. We expect it will further boost the synergy between ifeng and Yidian in content development, advertising sales and algorithm improvement. Going forward, we believe the License should also open up additional opportunities for Yidian to strengthen strategic partnerships with content providers and handset manufactures."

BEIJING, Sept. 29, 2017 /PRNewswire/ -- Phoenix New Media Limited (FENG), a leading new media company in China ("Phoenix New Media", "ifeng" or the "Company"), today announced that it has reached an agreement with its parent company, Phoenix Satellite Television Holdings Limited ("Phoenix TV"), to extend the expiration date of the existing trademark license agreement between certain consolidated affiliated entities of the Company and a subsidiary of Phoenix TV (the "Existing Agreement") from October 8, 2017 to December 8, 2017.

Pursuant to the Existing Agreement, Phoenix TV has been licensing its trademarks to the Company for use in its businesses. The Company and Phoenix TV are working on a new agreement (the "New Agreement") to amend and replace the Existing Agreement and provide the terms of their future trademark licenses. Considering the various internal procedures and compliance requirements to be satisfied before the New Agreement can be finalized and become effective, both the Company and Phoenix TV agreed to extend the Existing Agreement's expiration date to December 8, 2017 or when the parties conclude the New Agreement.

Second Quarter 2017 Financial Results

• Total revenues for the second quarter of 2017 increased by 12.3% to RMB393.3 million (US$58.0 million) from RMB350.1 million in the second quarter of 2016.
• Net income attributable to Phoenix New Media Limited for the second quarter of 2017 was RMB24.9 million (US$3.7 million), as compared to net loss attributable to Phoenix New Media Limited of RMB2.5 million in the second quarter of 2016. Net margin for the second quarter of 2017 was 6.3%, as compared to negative 0.7% in the second quarter of 2016. Net income per diluted ADS[6] in the second quarter of 2017 was RMB0.35 (US$0.05), as compared to net loss per diluted ADS of RMB0.03 in the second quarter of 2016.

"We are pleased to announce better than expected financial and operating performances during the second quarter of 2017," stated Mr. Shuang Liu, CEO of Phoenix New Media. "Our mobile advertising revenues increased by 66% year-over-year in the past quarter. We are encouraged to see our mobile strategy continued to achieve great results in both ifeng news application and Yidian Zixun ("Yidian"[1], a strategic investment of ifeng) in terms of user acquisition, viewership improvement, content enrichment and product offerings, as well as strategic cooperation. In order to stay ahead of the competition, we remain committed to expanding our user base and market share, and expect to continue investing in traffic acquisition. We will remain prudent in our traffic acquisition spending and have proper mechanisms in place to ensure effective return on investment, or ROI. Meanwhile, we will continue to leverage our core media DNA, advanced A.I. technology and differentiated content offerings to capitalize on various growth opportunities. Looking ahead, we believe we have the right strategy and team in place to maintain our leadership position in the highly competitive market and generate value for our shareholders."

Mr. Ya Li, co-president of Phoenix New Media, further stated, "By leveraging our strong content production capability and expertise in native marketing solutions, we acquired about 20 renowned brand advertisers during the second quarter at some highly visible events and projects, including the Belt and Road Forum, Davos World Economic Forum and the BRICs Forum. Meanwhile, we officially launched a new version of performance-based advertising platform, Fengyu, in the second quarter. Driven by this powerful new platform, our performance-based advertising experienced a robust 104% year-over-year growth in the second quarter. On the Yidian side, we understand that Yidian's user base continued to grow rapidly in the second quarter. Currently Yidian is the No. 1 content provider on OPPO's branded handsets in terms of user time spent. In addition, on both Xiaomi and OPPO's mobile handsets, Yidian will further strengthen its brand recognition through integrated campaigns cooperated with the two parties."

Business Outlook

For the third quarter of 2017, the Company expects its total revenues to be between RMB396 million and RMB411 million. Net advertising revenues are expected to be between RMB345 million and RMB355 million. Paid services revenues are expected to be between RMB51 million and RMB56 million. These forecasts reflect the Company's current and preliminary view on the market and operational conditions, which are subject to change.

BEIJING, June 23, 2017 /PRNewswire/ - Phoenix New Media Limited ("Phoenix New Media" or the "Company") (FENG), a leading new media company in China, today announced that it has received a public notice (the "Notice") issued by the State Administration of Press, Publication, Radio, Film and Television of the People's Republic of China (the "SAPPRFT") in connection with the Company's and certain other internet companies' regulatory non-compliances. The Notice requires the Company to suspend its ifeng video and audio services due to the lack of the internet audio-visual program transmission license and certain commentary programs that violates government regulations.

Phoenix New Media will continue to take measures to strengthen content management, make sure all content are copyrighted and regulated, in order to continue the Company's video and audio operation. The Company will cooperate with SAPPRFT to make the necessary changes to its ifeng video and audio services. The Company is committed to complying with government regulation and continuing to improve the management and operation of the ifeng video and audio business. The Company believes that the daily operation of Phoenix New Media will not be impacted by this process.

Phoenix New Media became aware that, due to its rapid growth, it did not implement sufficiently robust supervision of ifeng video and audio services, especially the we-media video content provided by users and other third-parties. The Company is making great efforts to eliminate the content in question and to strengthen management of the ifeng video and audio business.

Going forward, Phoenix New Media will continue to strengthen cooperation with qualified media, such as CCTV and Xinhua News Agency, to ensure ifeng's healthy development and compliance. Meanwhile, the Company will continue to proactively fulfill its corporate social responsibility, enhance its self-regulation and welcome public supervision to provide further improved video and audio services for users.

First Quarter 2017 Financial Results

• Total revenues for the first quarter of 2017 were RMB294.5 million (US$42.8 million), as compared to RMB322.9 million in the first quarter of 2016.
• Net loss attributable to Phoenix New Media Limited for the first quarter of 2017 was RMB32.2 million (US$4.7 million), as compared to net income attributable to Phoenix New Media Limited of RMB11.6 million in the first quarter of 2016. Net profit margin for the first quarter of 2017 was negative 10.9%, as compared to positive 3.6% in the first quarter of 2016. Net loss per diluted ADS6 in the first quarter of 2017 was RMB0.45 (US$0.07), as compared to net income per diluted ADS of RMB0.16 in the first quarter of 2016.

"We entered the year of 2017 with a challenging first quarter due to the continuing headwinds and changes in the Chinese advertising industry," stated Mr. Shuang Liu, CEO of Phoenix New Media. "However, we are pleased to see continued strengths on our ifeng news application, (we also see similar situation in Yidian Zixun, "Yidian" 1, a strategic investment of ifeng), as our mobile strategy continues to gain traction. Leveraging our strong media DNA and cutting-edge technology, we remain focused on providing our users with high-quality, professional media content tailored to their interests on their preferred medium. ifeng news application's daily active users increased by more than 10% quarter over quarter notwithstanding the Chinese New Year period in the first quarter when media outlets normally experience traffic drops. This clearly demonstrates that our differentiated media content is a top choice for high-end users and further underscores our achievements in balancing algorithm-driven news feeds and high-quality journalism that meets our users' individualized needs and interests. We remain confident that we have the right team and strategy in place to withstand the headwinds in the market and expand our market share with the increasing demand of newsfeed services throughout China."

Mr. Ya Li, co-president of Phoenix New Media, further stated, "In the past quarter, we continued to focus on and invest in content development, particularly through our consolidated we-media business and Feng Zhibo, our own live broadcasting brand. We live broadcasted more than 1,600 sessions in the first quarter of 2017, all of which were highly popular with our users and provided potential monetization opportunities. Looking ahead, in the mobile Internet era, the credibility of media outlets is becoming increasingly more important to both users and communities. Leveraging ifeng news application, we will be able to find the ideal balance between algorithm-driven content and professional journalism, making us one of the most efficient and valuable mobile gateways for Chinese users' media consumption, rather than a simple tool of news aggregation and distribution. We believe it applies to Yidian as well."

Business Outlook
For the second quarter of 2017, the Company expects its total revenues to be between RMB362 million and RMB382 million. Net advertising revenues are expected to be between RMB311 million and RMB326 million. Paid services revenues are expected to be between RMB51 million and RMB56 million. These forecasts reflect the Company's current and preliminary view on the market and operational conditions, which are subject to change.

BEIJING, Dec. 30, 2016 /PRNewswire/ -- Phoenix New Media Limited ("Phoenix New Media", "ifeng" or the "Company") (FENG), a leading new media company in China, today announced that it has agreed to exercise its right to convert US$20 million of loans granted by the Company to Particle Inc. ("Particle") in January and April 2016 into Series D1 preferred shares to be issued by Particle. Upon completion of the conversion, the Company is expected to own approximately 47.8% of the total outstanding shares of Particle.

Particle owns Yidian Zixun ("Yidian"), a rapidly-growing personalized news and life-style information application in China, which allows users to efficiently define and explore individualized content over mobile devices. The Company has the option to consolidate Particle's financial statements into the Company once Yidian's user base reaches a certain level.

BEIJING, Nov. 2, 2016 /PRNewswire/ -- Phoenix New Media Limited ("Phoenix New Media", "ifeng" or the "Company") (FENG), a leading new media company in China, today announced that its board of directors has authorized the Company to grant new unsecured term loans (the "Loans") to Particle Inc. ("Particle") on or before January 15, 2017 with an aggregate principal amount of RMB120 million or U.S. dollar equivalent at an interest rate of 9% per annum and with a term of no more than six (6) months. Pursuant to the board approval, the Company granted an initial Loan of RMB46 million to Particle on November 2, 2016. The Company may grant the remaining Loans to Particle after obtaining approval of the Company's parent company, Phoenix TV, for such Loans.

Particle owns Yidian Zixun ("Yidian"), a rapidly-growing personalized news and life-style information application in China, which allows users to efficiently define and explore individualized content over mobile devices. The Company currently owns approximately 45.1% of the total outstanding shares of Particle (or 41.2% on a fully diluted basis assuming issuance of all shares reserved under Particle's employee share option plan) and has the option to consolidate Particle's financial statements into the Company once Yidian's user base reaches a certain level. The Company also granted unsecured term loans in the aggregate amount of US$34.8 million to Particle in January, April and August 2016.

Particle informed the Company that it intends to use the proceeds of the Loans mainly for market promotion and expansion of its user base.  Particle will not be required to provide any security or guarantees for the Loans.

BEIJING, August 11, 2016 /PRNewswire/ -- Phoenix New Media Limited ("Phoenix New Media", "ifeng" or the "Company") (NYSE: FENG), a leading new media company in China, today announced that its board of directors has authorized the Company to grant a new unsecured term loan (the "Loan") to Particle Inc. ("Particle") on or before August 10, 2016 with a principal amount of US$14.8 million at an interest rate of 4.35% per annum and with a term of no more than six (6) months.

Particle owns Yidian Zixun ("Yidian"), a rapidly-growing personalized news and life-style information application in China, which allows users to efficiently define and explore individualized content over mobile devices. The Company currently owns approximately 45.1% of the total outstanding shares of Particle (or 41.2% on a fully diluted basis assuming issuance of all shares reserved under Particle's employee share option plan) and has the option to consolidate Particle's financial statements into the Company once Yidian's user base reaches a certain level. The Company also granted US$20 million of unsecured term loans to Particle in January and April 2016.

Particle informed the Company that it intends to use the proceeds of the Loan mainly for market promotion and expansion of its user base. Particle will not be required to provide any security or guarantees for the Loan.

Second Quarter 2016 Financial Results

• Total revenues for the second quarter of 2016 were RMB350.1 million (US$52.7 million), as compared to RMB422.9 million in the second quarter of 2015.
• Non-GAAP net income per diluted ADS in the second quarter of 2016 was RMB0.05 (US$0.01), as compared to non-GAAP net income per diluted ADS of RMB0.56 in the second quarter of 2015.

"For the second quarter of 2016, we are pleased to report a solid financial results which were close to our top end guidance," stated Mr. Shuang Liu, CEO of Phoenix New Media. "In addition, our flagship ifeng news app continues to see strong progress in terms of content enrichment, vertical development and video traffic. This point of confluence firmly places ifeng uniquely at the leading edge of both technology and serious journalism. With mobile devices having become the major gateway for content consumption, we will continue to focus on expanding our user base across our differentiated mobile apps, optimizing our targeting technology and integrating next-generation high-efficiency ad solutions. Looking forward, we will remain cautious on the PC advertising market in China, but are confident that our mobile strategy, recent strategic hires, as well as the continued development of our mobile applications will further strengthen ifeng's growth opportunities and reputation as one of the most diversified news and life-style information providers in China's mobile Internet space."

"As stated in the press release on July 22, 2016," Mr. Ya Li, president of Phoenix New Media, further commented, "the strategic partnership between Yidian, a strategic investment of ifeng, and OPPO, one of world's top 5 mobile handset manufacturers in the second quarter 2016 according to IDC, as well as Yidian's ongoing partnership with Xiaomi, positions Yidian as China's leading personalized content recommendation application with two of China's top smartphone manufacturers as strategic investors. We expect the growth of Yidian's user base to accelerate heading into the second half of 2016 and into 2017. Going forward, with the combined strengths of our differentiated mobile platforms, we are confident that we will further strengthen our competitive position and solidify our leading role in providing Chinese readers the best of both high-quality news and customized content from around the world."

Business Outlook

For the third quarter of 2016, the Company expects its total revenues to be between RMB342 million and RMB362 million. Net advertising revenues are expected to be between RMB301 million and RMB316 million. Paid service revenues are expected to be between RMB41 million and RMB46 million. These forecasts reflect the Company's current and preliminary view on the market and operational conditions, which are subject to change.

BEIJING, July 18, 2016 /PRNewswire/ -- Phoenix New Media Limited (FENG), a leading new media company in China ("Phoenix New Media", "ifeng" or the "Company"), today announced that it has appointed JPMorgan Chase Bank, N.A. ("JPMorgan") as the successor depositary for the Company's American depositary receipt (ADR) program. JPMorgan will replace Deutsche Bank Trust Company Americas ("Deutsche Bank") as the depositary for the Company's ADR program effective from July 18, 2016.

The Company has also entered into an amended and restated deposit agreement with JPMorgan to replace the previous deposit agreement with Deutsche Bank. A registration statement on Form F-6 has been filed with the Securities and Exchange Commission in connection with the change of depositary and the form of the amended and restated deposit agreement is filed as an exhibit to the Form F-6.

Holders of Phoenix New Media's ADRs or American depositary shares issued in the ADR program are not required to take any action in connection with the change of depositary.

JPMorgan pioneered the depositary receipts market almost 90 years ago, introducing the first ADR in 1927. JPMorgan provides a full range of ADR, GDR and HKDR services to issuers seeking to have their equity traded beyond their home markets.

BEIJING, May 27, 2016 /PRNewswire/ -- Phoenix New Media Limited (FENG), a leading new media company in China ("Phoenix New Media", "ifeng" or the "Company"), today announced that it has entered into a new set of agreements (the "New Agreements") with its parent company, Phoenix Satellite Television Holdings Limited ("Phoenix TV"), to replace their previous cooperation agreements that expired on May 27, 2016 (the "Previous Cooperation Agreements").

Under the New Agreements, Phoenix TV agreed to continue to license its copyrighted content and trademarks to the Company's affiliated consolidated entities subject to certain revisions to the terms contained in the Previous Cooperation Agreements. In particular,

Phoenix TV agreed to grant the Company's affiliated consolidated entities the license and priority over any third party to broadcast Phoenix TV's copyrighted video content on ifeng.com (the Company's main Internet channel), i.ifeng.com (a mobile Internet channel of the Company), and ifeng News, ifeng Video and ifeng VIP (three mobile applications of the Company) in China concurrently with Phoenix TV's broadcasting of such content on its own television network and to broadcast such content on the above Internet and mobile channels of the Company thereafter.
Phoenix TV agreed to grant the Company's affiliated consolidated entities a non-exclusive license to use Phoenix TV's copyrighted text and graphics on the same Internet and mobile channels of the Company in China for which Phoenix TV's copyrighted video content license, above, was granted.
The fees payable to Phoenix TV by the Company's affiliated consolidated entities for all content licenses described above will be RMB10 million for the first year of the agreements, which will incrementally increase by 15% for each subsequent year of the agreements.
As Phoenix TV is in the process of revising its internal trademark licensing policy, it agreed to renew its existing trademark license agreements with the Company's two affiliated consolidated entities on their original terms until two months after Phoenix TV's new internal trademark licensing policy comes into effect or when the parties reach any new trademark license agreements to replace the existing agreements.
Each of the New Agreements (except the trademark license agreements as described above) has an initial term of three years and will expire on May 26, 2019 and may be renewed on an annual basis thereafter upon agreement of both parties. Each of the parties also has the right to terminate the New Agreements before their expiration date by 6-month prior written notice to the other party.

"We are very pleased to announce the renewal of the agreements with our parent company, Phoenix TV. We really appreciate their continued enormous support," stated Mr. Ya Li, the President of the Company. "In addition to the precious and highly differentiated content from Phoenix TV, ifeng has been dedicated to creating a rich and comprehensive content library, in order to meet the diverse demands from our large and fast growing user base, as well as promoting the shared brand 'Phoenix'  with the 'ifeng' platform across Internet enabled devices in China."

BEIJING, May 17, 2016 /PRNewswire/ -- Phoenix New Media Limited ("Phoenix New Media", "ifeng" or the "Company") (FENG), a leading new media company in China, today announced that its affiliated consolidated entity Beijing Tianying Jiuzhou Network Technology Co., Ltd. ("Tianying Jiuzhou") has entered into a Supplemental Agreement ("Supplemental Agreement") to revise the annual revenue caps (as described below) set forth in the Advertisement Cooperation Framework Agreement ("Framework Agreement") with Beijing Phoenix Lilita Information Technology Co., Ltd. ("Lilita").

As announced by the Company on December 4, 2015, Tianying Jiuzhou entered into the Framework Agreement with Lilita, pursuant to which, among other things, Tianying Jiuzhou agreed to provide advertising services to Lilita for an aggregate transaction amount of not exceeding HK$38 million and HK$57 million for the calendar years ending December 31, 2016 and 2017, respectively, which are referred to as the annual revenue caps. Lilita recently advised Tianying Jiuzhou that its business growth exceeded its expectations in 2016 and the existing annual revenue caps will no longer meet its business needs. The Supplemental Agreement was entered into for the sole purpose of increasing the annual revenue caps for the calendar years ending December 31, 2016 and 2017 to RMB49 million and RMB80 million, respectively.

As previously disclosed by the Company, Lilita may be deemed as a related party of the Company because a major shareholder of Lilita is the son-in-law of Mr. Changle Liu, the chairman of Phoenix Satellite Television Holdings Limited ("Phoenix TV"), which is the parent company of the Company. Phoenix TV has issued an announcement regarding the Supplemental Agreement as it may constitute continuing connected transactions under the listing rules of the Stock Exchange of Hong Kong Limited where Phoenix TV is listed.

First Quarter 2016 Financial Results

• Total revenues for the first quarter of 2016 were RMB322.9 million (US$50.1 million), as compared to RMB365.1 million in the first quarter of 2015.
• Non-GAAP net income per diluted ADS in the first quarter of 2016 was RMB0.20 (US$0.03), as compared to RMB0.32 in the first quarter of 2015.

"As the Internet media landscape in China continues to evolve, ifeng remains focused on strengthening our core capabilities by bridging high-quality journalism with cutting-edge technology," stated Mr. Shuang Liu, CEO of Phoenix New Media. "We are focusing on further integrating our content and marketing resources across the PC and mobile ends to offer a more seamless and comprehensive experience to our users. Along with these resources integration efforts, we are strategically shifting our focus to the mobile end, with an emphasis on boosting consumption of our original content over our ifeng news app and attracting users to our platform through leveraging Yidian's personalized content offering. We are also rolling out marketing solutions for advertisers looking to benefit from the integration of mobile, video and big data technology, and will continue to hone our journalistic capabilities in order to create a more effective and efficient media ecosystem of creation, consumption and monetization."

Mr. Ya Li, president of Phoenix New Media, stated, "We continue to face headwinds associated with the market-wide pressure on PC ad revenues, and our first quarter results reflect this reality. However, our strong 115.3% year-over-year growth in mobile advertising revenues validates our strategy to integrate content and marketing resources with a focus on the mobile front. Yidian Zixun's total number of average daily active users reached 25 million in April. In addition, our ifeng News app's user base was assessed as the stickiest among its peers in the news app space, in terms of average time spent per user, according to iResearch in March 2016. The competitive edge of our mobile offering reflects our media DNA and will support us as we navigate the PC-media industry downturn and focus on capturing new growth opportunities in the mobile era."

Business Outlook

For the second quarter of 2016, the Company expects its total revenues to be between RMB336.0 million and RMB351.0 million. Net advertising revenues are expected to be between RMB290.0 million and RMB300.0 million. Paid service revenues are expected to be between RMB46.0 million and RMB51.0 million. These forecasts reflect the Company's current and preliminary view on the market and operational conditions, which are subject to change.

BEIJING, March 24, 2016 /PRNewswire/ -- Phoenix New Media Limited (FENG), a leading new media company in China ("Phoenix New Media", "ifeng" or the "Company"), today announced that it has reached agreements with its parent company, Phoenix Satellite Television Holdings Limited ("Phoenix TV"), to extend the expiration date of the existing cooperation agreements between certain subsidiaries and consolidated affiliated entities of the Company and Phoenix TV (the "Existing Cooperation Agreements") from March 27, 2016 to May 27, 2016.

Pursuant to the Existing Cooperation Agreements, Phoenix TV has been licensing its content, trademarks and domain names to the Company for use in its businesses. Currently the Company and Phoenix TV are working on a new set of agreements (the "New Cooperation Agreements") to amend and replace the Existing Cooperation Agreements and provide the terms of their future cooperation.

Considering the significant growth and changes in the Company's business since execution of the Existing Cooperation Agreements in 2009, both the Company and Phoenix TV expect longer period to finalize the terms due to various internal procedures and compliance requirements. As such, the Company and Phoenix TV agreed to extend the Existing Cooperation Agreements' expiration date to May 27, 2016.

BEIJING, January 28, 2016 /PRNewswire/ -- Phoenix New Media Limited ("Phoenix New Media", "ifeng" or the "Company") (NYSE: FENG), a leading new media company in China, today announced that its board of directors has authorized the Company to grant unsecured term loans (the "Loans") to Particle Inc. ("Particle") on or before May 31, 2016 in an aggregate principal amount of up to US$20 million at an interest rate of 4.35% per annum and with a term of twelve (12) months. Pursuant to the board approval, the Company granted an initial US$10 million loan to Particle on January 28, 2016 and expects to grant additional Loans to Particle subject to the limit set by the board.

Particle owns Yidian Zixun ("Yidian"), a rapidly-growing personalized news and life-style information application in China, which allows users to efficiently define and explore individualized content over mobile devices. The Company currently owns approximately 49.02% of the total outstanding shares of Particle (or 46.9% on a fully diluted basis assuming issuance of all shares reserved under Particle's employee share option plan) and has the option to consolidate Particle's financial statements into the Company once Yidian's user base reaches a certain level.

Particle is required to use the proceeds of the Loans for its ordinary course working capital requirements. Particle will not be required to provide any security or guarantees for the Loans.

BEIJING, Dec. 4, 2015 /PRNewswire/ -- Phoenix New Media Limited ("Phoenix New Media", "ifeng" or the "Company") (FENG), a leading new media company in China, today announced that its affiliated consolidated entity Beijing Tianying Jiuzhou Network Technology Co., Ltd. ("Tianying Jiuzhou") has entered into an Advertisement Cooperation Framework Agreement ("Framework Agreement") with Beijing Phoenix Lilita Information Technology Co., Ltd. ("Lilita"), which is principally engaged in P2P lending and reward-based crowd-funding businesses. Pursuant to the Framework Agreement, Lilita agreed to place, and Tianying Jiuzhou agreed to launch, internet advertisements provided by Lilita from time to time on the websites and mobile apps operated by Tianying Jiuzhou.

Lilita, a limited liability company established under the laws of the PRC, is owned by Tianying Jiuzhou, Beijing Huibo Advertising Media Co., Ltd. (a wholly-owned subsidiary of Phoenix Satellite Television Holdings Limited), Mr. He Xin, Mr. Zhang Zhen, Beijing Guoke Dingxin Investment Centre and Beijing Wuwu Dongfang Ruitao Chuangye Investment Company Limited as to 5%, 5%, 76.67%, 10%, 2.5% and 0.83% respectively. Lilita may be deemed as a related party of the Company because a major shareholder of Lilita is the son-in-law of Mr. Changle Liu, the chairman of Phoenix Satellite Television Holdings Limited, which is the parent company of the Company ("Phoenix TV"). Phoenix TV has issued an announcement regarding the Framework Agreement as it may constitute continuing connected transactions under the listing rules of the Stock Exchange of Hong Kong Limited where Phoenix TV is listed.

The Framework Agreement amended the Cooperation Agreement originally entered into between Tianying Jiuzhou and Lilita on September 19, 2014, pursuant to which, among other things, Tianying Jiuzhou agreed to provide advertising services to Lilita for the period from September 19, 2014 to December 31, 2016 for an aggregate transaction amount not exceeding HK$4,800,000 on an annual basis. It was advised by Lilita that they achieved a substantial growth in their business in the first half of 2015, and therefore, the existing cap for advertising services set out in the Cooperation Agreement will no longer meet the business needs of Lilita. The Framework Agreement enlarged the scope of advertising services and increased the annual revenue cap for the calendar year ending December 31, 2015 to HK$17.5 million, increased the annual revenue cap for the calendar year ending December 31, 2016 to HK$38 million, and set the annual revenue cap for the calendar year ending December 31, 2017 to HK$57 million.

Total revenues for the third quarter of 2015 decreased by 9.6% to RMB390.4 million(US$61.4 million) from RMB431.8 million in the third quarter of 2014.

Net income per diluted ADS in the third quarter of 2015 was RMB0.29 (US$0.05), compared to RMB0.90 in the third quarter of 2014.

"In the third quarter, we continued to move forward in strengthening and expanding our core mobile apps as well as further honing our journalistic capacities," stated Mr.Shuang Liu, CEO of Phoenix New Media. "The trend towards mobile has brought with it both challenges and significant opportunities. We continue to see soft advertising demand for PC ads, but are encouraged by our 90% year-over-year growth in mobile ad revenues. Even more promising is the progress we have made with our core and complementary mobile products, which place ifeng uniquely at the crossroads of technology and serious journalism. We see mobile as the major gateway for news consumption going forward, and consequentially we are restlessly pursuing our user base expansion across our various mobile apps, optimizing our targeting technology and integrating next-generation high-efficiency ad solutions. We are optimistic about our technology investments and encouraged by the progress we have made so far. Going forward, we will focus on leveraging our premium content and technology to accelerate user base growth and capitalize on emerging monetization opportunities on mobile."

Mr. Ya Li, president of Phoenix New Media, stated, "The third quarter financial results came in line with our guidance. We have been experiencing the macro-economic headwinds which had hindered our advertisement revenue growth thus far in 2015, but we are taking positive steps to address the issue. With Yidian, we continue to amass a broad user-base in a younger demographic, and through continuous innovation in Yidian's 'Interest Engine', we are able to build sophisticated user profiles and enhance big data insights. We believe this capability will continue to increase the stickiness of the app and carry massive untapped monetization potential for us down the road. According to TalkingData, a third party mobile app analytics company, Yidian currently ranks among the top three news and information applications in terms of mobile user coverage in China. Our flagship ifeng News app continues to see strong progress in terms of content enrichment, vertical development and video traffic, solidifying our hold to our traditional middle class and affluent users and demonstrating that our media DNA and journalistic fervor remains unquestionably strong."

Business Outlook

For the fourth quarter of 2015, the Company expects its total revenues to be between RMB368 million and RMB388 million. Net advertising revenues are expected to be between RMB295 million and RMB310 million. Paid service revenues are expected to be between RMB73 million and RMB78 million. These forecasts reflect the Company's current and preliminary view on the market and operational conditions, which are subject to change.

• Total revenues for the second quarter of 2015 increased by 2.9% to RMB422.9 million (US$68.2 million) from RMB410.9 million in the second quarter of 2014.
  
• Net income per diluted ADS in the second quarter of 2015 was RMB0.31 (US$0.05), compared to RMB1.09 in the second quarter of 2014.

"The second quarter witnessed the continuing evolution of ifeng into a diversified big data-enabled mobile platform as a result of having completed its investment in Yidian in April," stated Mr. Shuang Liu, CEO of Phoenix New Media. "With rapid growth in the number of Yidian's mobile users, together with the ifeng news app, we have established a large community of mobile news readers, ranking us one of the top three mobile news and information platforms in China in terms of user coverage, according to Talking Data, a third party mobile data monitoring company. This strong growth momentum will power our success as Yidian begins monetizing in the fourth quarter of this year. In order to expand our influence on our users and foster organic growth around specific areas of their interests, we continue to develop our verticals, and solidify our market leadership in fields such as documentary offerings. We are confident in our strategy and long-term prospects, and our focus remains on driving sustainable growth over the longer term by continuing to bolster our business's three key pillars: content production capability, dedication to serious journalism and cutting-edge technology."

Mr. Ya Li, president of Phoenix New Media, stated, "While we have made encouraging progress in expanding our mobile platform and strengthening our content offerings, we fell short of expectations for growth in advertising revenue due to sector headwinds relating to lower demand for PC-based advertising and the internal sales leadership transition. However, we continue our advance into mobile-based performance-driven advertising territory, where many new avenues for growth are being explored and expanded. To stay ahead of the curve, we will endeavor to leverage the right resources and right talent in this area so as to capitalize on these opportunities as they develop."

Business Outlook

For the third quarter of 2015, the Company expects its total revenues to be between RMB373 million and RMB393 million. Net advertising revenues are expected to be between RMB290 million and RMB300 million. Paid service revenues are expected to be between RMB83 million and RMB93 million. These forecasts reflect the Company's current and preliminary view on the market and operational conditions, which are subject to change.

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First Quarter 2015 Financial Results

• Total revenues for the first quarter of 2015 increased by 2.2% to RMB365.1 million (US$58.9 million) from RMB357.1 million in the first quarter of 2014.
•  Adjusted net income per diluted ADS[4] in the first quarter of 2015 was RMB0.32 (US$0.05), compared to RMB0.73 in the first quarter of 2014.

"The first quarter was marked by further strides in the evolution of our company as an integrated news and information gateway that continues to redefine how users find and consume information anywhere, anytime and on any Internet-enabled device," stated Mr. Shuang Liu, CEO of Phoenix New Media. "Despite of the seasonal impact on advertising revenues associated with the late Chinese New Year, the temporary volatility due to the transition of the sales executive and our increased investments on mobile internet, we made solid operational progress which will pave the way for long-term user growth and business expansion. We are now seeing a powerful virtuous cycle emerge as it relates to our core competencies, namely content production capability, dedication to serious journalism and cutting-edge technology. We are confident that with these strong fundamentals, as well as the ongoing technical evolution of our business through synergy with Yidian, we are well positioned to capitalize on emerging opportunities across China's expanding mobile Internet landscape."

Mr. Ya Li, president of Phoenix New Media, stated, "In April, we completed our strategic investment in Yidian. Going forward, by combining Yidian's proprietary technology, ifeng's premium content, and Xiaomi's strong distribution channels, we will further drive the expansion of our overall user base. With respect to the advertising sales, we are confident that the impact of the transition of the sales executive was temporarily, and it is expected to ramp up toward the second half of the year. To supplement this, we will be rolling out innovative marketing initiatives like personalized interest ads on Yidian, native ad campaigns and programmatic buying ads.

Business Outlook

For the second quarter of 2015, the Company expects its total revenues to be between RMB412 million and RMB432 million. Net advertising revenues are expected to be between RMB322 million and RMB332 million. Paid service revenues are expected to be between RMB90 million and RMB100 million. These forecasts reflect the Company's current and preliminary view on the market and operational conditions, which are subject to change.

BEIJING, April 30, 2015 /PRNewswire/ -- Phoenix New Media Limited ("Phoenix New Media", "ifeng" or the "Company") (NYSE: FENG), a leading new media company in China, today announced that it has closed the transaction contemplated under the definitive share purchase agreement with Particle Inc. ("Particle") dated February 10, 2015. Particle owns Yidian Zixun ("Yidian"), a rapidly-growing personalized news and life-style information application in China, which allows users to efficiently define and explore individualized content over mobile devices. Pursuant to the terms of the transaction, which were announced by the Company in a press release on February 10, 2015, the Company invested approximately US$30 million in total for a 21% equity stake in Particle. Additionally, following the closing of the transaction, Mr. Shuang Liu, the CEO of ifeng, has been appointed as the Chairman of Yidian, and Mr. Ya Li, the President of ifeng, has been appointed as the CEO of Yidian. Simultaneously with the closing of the transaction described above, Phoenix New Media also closed the transactions contemplated under another definitive share purchase agreement with certain existing shareholders of Particle, pursuant to which the Company paid an aggregate of US$27.6 million for an approximately 13.8% stake in Particle. As a result of the closing of the foregoing transactions, Phoenix New Media now owns approximately 46.9% of Particle.

Furthermore, Yidian has also established a new U.S.-based subsidiary to develop an international version of its mobile application. Dr. Zhaohui Zheng, the co-founder and former CEO of Yidian, has been appointed as the CEO of Yidian's U.S. subsidiary, and will be responsible for leading and overseeing the implementation of Yidian's global expansion strategy. Yidian expects to launch the international version of its application later in the second half of this year.

Powered by the world's first patented algorithm-enabled "Interest Engine", which seamlessly integrates cutting-edge search and recommendation technology to provide personalized content based on individual users' demonstrated interests, Yidian redefines the content consumption experience over mobile Internet. The application has tremendous addictive appeal to users and has already gained significant market share in China. According to TalkingData, one of the largest third party mobile data providers in China, Yidian ranked fourth among all news and information apps in China in terms of coverage rate in April 2015. According to the terms of the shareholders' agreement in respect of Particle, Phoenix New Media will have the option to consolidate Yidian's financial statements into the Company once Yidian's user base reaches a certain level.

"The U.S. market is the cornerstone of our global expansion strategy and we're excited to take our first step into this market through launching an international version of Yidian," Mr. Shuang Liu, CEO of ifeng and Chairman of Yidian commented. "Yidian has demonstrated its tremendous potential in China in terms of both enhancing user experience and accelerating user expansion. In the next phase we will invest more in optimizing our Interest Engine and promoting our brand globally. With Yidian's founding team leading the U.S subsidiary and Dr. Zheng heading up the product development and research teams across both China and U.S., we are highly confident that we have the right people and technology in place to bridge Yidian's success into the U.S. market."

Fourth Quarter 2014 Financial Results

• Net advertising revenues for the fourth quarter increased by 28.3% year over year to RMB338.5 million (US$54.6 million).
• Net income per diluted ADS for fiscal year 2014 was RMB3.42 (US$0.55). Adjusted net income per diluted ADS for fiscal year 2014 increased by 4.3% year over year to RMB3.97 (US$0.64).

"We are very pleased with our financial and operating progress during 2014. It was a very encouraging year for us, marked by significant progress related to mobile expansion, our investment in Yidian, innovative advertisement initiatives, and verticalization. We also saw very solid progress in terms of mobile monetization as evidenced by our mobile advertisement revenues growing by 113% year over year in fourth quarter," stated Mr. Shuang Liu, CEO of Phoenix New Media. "We are particularly excited about our strategic investment in Yidian, which demonstrates our resolute determination to lead in the evolution of content generation and consumption in an increasingly mobile and multi-screen world. The investment will provide us with tremendous synergies and potential, as it combines ifeng's unparalleled content library and journalistic infrastructure with Yidian's pioneering search and recommendation technology and Xiaomi's massive distribution capabilities."

Mr. Ya Li, President of Phoenix New Media, stated, "As Phoenix New Media invests in superior technology and mobile expansion opportunities, we will not lose focus on our core strengths and competencies, which are driven by our media DNA and passion for serious journalism. In 2014, we increased our focus on strengthening our urban lifestyle-related offerings. As we continued to maintain our leadership position in the news vertical category, we were excited to see our core strengths crystallize around other key verticals, including fashion and real estate which both ranked number one in China in terms of daily unique visitors in December 2014, according to iResearch. We take a long-term view as we continue to invest in our media platform, in order to further expand our market share and monetization opportunities."

Business Outlook

For the first quarter of 2015, the Company expects its total revenues to be between RMB359 million and RMB379 million. Net advertising revenues are expected to be between RMB269 million and RMB279 million. Paid service revenues are expected to be between RMB90 million and RMB100 million. These forecasts reflect the Company's current and preliminary view on the market and operational conditions, which are subject to change.

BEIJING, February 10, 2015 /PRNewswire/ -- Phoenix New Media Limited ("Phoenix New Media", "ifeng" or the "Company") (NYSE: FENG), a leading new media company in China, today announced that it has entered into a definitive share purchase agreement with Particle Inc. ("Particle") to acquire an additional 21% stake in Particle for an aggregate purchase price of US$30 million (the "Share Subscription Transaction"). Additionally, the Company also entered into another definitive share purchase agreement with certain existing shareholders to acquire an additional 13.8% stake in Particle for an aggregate purchase price of US$27.6 million and the closing of this transaction is conditional on the closing of the Share Subscription Transaction. Following the closing of these two transactions (the "Transactions"), Phoenix New Media will own approximately 46.9% of Particle. The Transactions come after two previous investments made by the Company into Particle, which closed in the fourth quarter of 2014 and brought the Company's ownership stake in Particle to 17.3%. The Transactions are subject to the satisfaction or waiver of the closing conditions stipulated in the respective definitive share purchase agreements and are expected to close in the second quarter of 2015.

Particle owns Yidian Zixun ("Yidian"), a rapidly-growing personalized news application in China, which allows users to efficiently define and explore desired content over mobile devices. Powered by its patented algorithm-enabled "Interest Engine", which seamlessly integrates cutting-edge search and recommendation technology to provide personalized content based on the user's demonstrated interests, Yidian redefines the content consumption experience over mobile Internet. Supported by its large and rapidly-expanding user-base, data analytics technology and user behavior data, Yidian will provide enhanced personalized marketing solutions that target users based on their exhibited preferences. According to the agreement terms of the Transactions, Phoenix New Media will have the option to consolidate Yidian's financial statements into the Company once Yidian's user base reaches a certain level.

In addition to the increased investment by Phoenix New Media, Yidian also signed a strategic cooperation agreement with an affiliate of another major shareholder, Beijing Xiaomi Mobile Software Co., Ltd. ("Xiaomi"), to pre-install the Yidian application on all Xiaomi mobile phone and tablet products sold in China.

"Our increased investment in Yidian not only marks the single largest investment in the Company's history, but also demonstrates our resolute determination to lead in the evolution of content generation and consumption in an increasingly mobile and multi-screen world," stated Mr. Shuang Liu, Chief Executive Officer of ifeng. "Being the gateway of choice for news and life-style information for over 300 million Chinese users, our investment in Yidian will enable us bridge our proprietary content with the functionality of interest-based verticals and search engines made possible by this next generation product. Supported by ifeng's premium content, and Xiaomi's strong distribution channels, we believe that Yidian has the right resources and capabilities to lead in this new arena of mobile media consumption. In addition, advertisers will be increasingly attracted to Yidian's sophisticated big data analytics technology, deep pool of user behavior data and large user base. Such detailed insight into users' behaviors and preferences will prove tremendously useful as we expand into people-based marketing and provide advertiser enhanced mobile brand building solutions such as streaming and LBS ads. Ifeng's mission is to become the primary source of news and life-style content for the Chinese population across any Internet-enabled device. Alongside ifeng News, ifeng Video, ifeng WAP website and ifeng FM, Yidian will be another crucial asset to our mobile media portfolio, becoming our next powerful engine of growth in mobile Internet space."

Mr. Tong Chen, the vice president of Xiaomi, commented, "Xiaomi was one of the earliest investors in Yidian and has stood by Yidian since it was a start-up company. Yidian's founders, who come from the executive ranks of Yahoo! and Baidu, continue to drive Yidian forward with their very strong leadership ability and rich experience in the field of algorithm-enabled interest based search. News content is a basic demand for mobile users and Yidian's news app has proven to be very welcomed by Xiaomi's users. We will continue support Yidian though Xiaomi's eco-system, helping to secure its future leading position in mobile News arena."

Dr. Zhaohui Zheng, the CEO and co-founder of Yidian and Particle, commented, "We feel very excited to strengthen the partnership with Phoenix New Media and establish strategic alliances with Xiaomi. Yidian's product and technology innovation facilitates the connection of people with high quality content of relevance and interest, at the right time and place, in the most efficient and effective way. The significant user growth and strong user engagement of Yidian over the past six months clearly reflect viability of its technology and capability of its leadership. Going forward, by leveraging ifeng's converged multi-screen platform and diversified content offering and Xiaomi's rapidly expanding smart phone customer base, we are very well-positioned to deliver the most personally relevant digital content to an increasing number of mobile Internet users in China."

Third Quarter 2014 Unaudited Financial Results

• Net advertising revenues increased by 45.5% year over year to RMB325.8 million (US$53.1 million).
• Net income per diluted ADS[2] was RMB0.90 (US$0.15). Adjusted net income per diluted ADS increased by 13.6% year over year to RMB1.21 (US$0.20).

"We are very pleased with our strong financial performance in the third quarter," stated Mr. Shuang Liu, CEO of Phoenix New Media. "We are particularly proud of the significant progress ifeng continues to achieve with regards to new advertising initiatives and the growth of our in-house video content production capabilities. On the native advertising side, we partnered with some well-known international brands on innovative native advertisement projects which have turned out to be immensely successful in terms of viewership and revenue contributions. As we expand in the native advertising arena, we are also exploring personalized marketing, as characterized by our strategic investment in the personalized news-feed mobile app, Yidian Zixun. Looking ahead, as we continue to improve our mobile product development and content generation capabilities, we are confident in our ability to remain firmly ahead of the curve in capitalizing on emerging trends in order to continuously expand our user base, strengthen monetization efforts and in turn deliver long-term value to our shareholders. "

Mr. Ya Li, President of Phoenix New Media, stated, "In the third quarter, the incremental revenue growth and operating margin improvement were largely supported by the strong 45.5% year-over-year growth in net advertising revenues. As we have strengthened our advertising capabilities, we continue to invest in our platform by enhancing our mobile product offering and supporting the steady growth of our verticals. Our auto, real estate, fashion, finance, and sports verticals have continued to pick up momentum in attracting new users, serving to further elevate our brand recognition and provide us with future monetization opportunities. Furthermore, on the video side, the ongoing success of several of our in-house productions, which are co-developed with Phoenix TV, continues to demonstrate the strong potential of our convergence strategy and has enabled us to implement multiple monetization strategies that aim to diversify and streamline the content distribution process."

Business Outlook

For the fourth quarter of 2014, the Company expects its total revenues to be between RMB439 million and RMB459 million. Net advertising revenues are expected to be between RMB329 million and RMB339 million. Paid service revenues are expected to be between RMB110 million and RMB120 million. These forecasts reflect the Company's current and preliminary view on the market and operational conditions, which are subject to change.

BEIJING, November 7, 2014 /PRNewswire/ -- Phoenix New Media Limited ("Phoenix New Media", "ifeng" or the "Company") (NYSE: FENG), a leading new media company in China, today announced that it has entered into a definitive share purchase agreement with certain shareholders and option holders of Particle Inc. ("Particle") to acquire an 8.5% stake in Particle for an aggregate purchase price of US$8.5 million, which consists of US$5 million in cash and a number of Class A ordinary shares of the Company valued at US$3.5 million based on the weighted average closing price of the ADSs of the Company during the last 30 trading days immediately prior to the date of the share purchase agreement. This announcement comes after a previous announcement made by the Company on September 10, 2014, where the Company entered into a definitive agreement to purchase an 8.75% stake in Particle for a purchase price of US$6 million. The first investment was closed on October 22, 2014 and the current transaction is subject to the satisfaction or waiver of the closing conditions stipulated in the share purchase agreement, and is expected to close in the fourth quarter of 2014. Following the close of this transaction, Phoenix New Media will own approximately 17.25% of Particle.

Particle is the owner of one of China's pioneering personalized news feed mobile applications called Yidian Zixun ("Yidian"), a technology-driven, interest-oriented content engine, which allows users to efficiently define and explore their interests. Powered by its patented algorithm-enabled "Interest Engine", which seamlessly integrates cutting-edge search and recommendation technology to provide each user with unique and personalized content consumption experience based on the user's demonstrated interests, Yidian redefines the way users consume content over the mobile Internet. Supported by its large user-base, data analytics technology and user behavior data, Yidian is also well-equipped to provide enhanced advertising solutions that target users based on their exhibited preferences over its personalized in-stream news feed.

"We are very excited to become a strategic partner and investor in Yidian, further demonstrating our determination to be a leading player in the evolution of content generation and consumption in the mobile Internet space," stated Mr. Shuang Liu, Chief Executive Officer of ifeng. "This strategic cooperation significantly strengthens our ability to capture the explosive growth opportunities related to the consumption of interest-based information and personalized marketing. Leveraging this investment, we will be able to strengthen our customized offering for both users and advertisers over our flagship mobile product, ifeng News, further bolstering our long-term product development capabilities. In addition, we aim to capitalize on synergies with Yidian's second largest shareholder, the leading handset manufacturer in China, in order to elevate our brand and expand the reach of our applications in the mobile Internet eco-system. Supported by Yidian's sophisticated data analytics technology, deep pool of user data and large user base, we will continue to solidify our leading position as a diversified news and life-style information provider in China's mobile Internet space."

Dr. Zhaohui Zheng, the CEO and co-founder of Yidian and Particle, commented, "We are very pleased to establish a strategic cooperation with ifeng. As an 'interest-oriented' mobile app, Yidian seamlessly integrates search and recommendation technology to deliver the most convenient, efficient and personally relevant online content to Chinese Internet users. We believe that by leveraging ifeng's converged multi-screen platform and proprietary and diversified news content, Yidian will be able to deepen its pool of premium content and deliver a more professional content-viewing experience over the mobile platform."

BEIJING, September 10, 2014 /PRNewswire/ -- Phoenix New Media Limited ("Phoenix New Media", "ifeng" or the "Company") (NYSE: FENG), a leading new media company in China, today announced that it has entered into a definitive share purchase agreement with Particle Inc. ("Particle") and its subsidiaries, to acquire an 8.75% stake in Particle for an aggregate purchase price of US$6 million. Subject to the satisfaction or waiver of the closing conditions stipulated in the share purchase agreement, this investment is expected to close in the fourth quarter of 2014. Particle owns the mobile application Yidian Zixun ("Yidian") a leading personalized news feed application in China that currently serves more than 1 million daily active users.

"We are very excited to make a strategic investment into Particle," said Mr. Shuang Liu, Chief Executive Officer of ifeng. "As a leading new media company in China, we aim to further expand our media platform by strategically investing into new avenues of content distribution in order to further broaden our user-reach and content portfolio. Our cooperation with Particle will allow us to leverage Yidian, one of the leading personalized news feed apps in China, in combination with our flagship product, ifeng News, which focuses on editor-recommended professional and premium content, to offer our Chinese audience a more efficient, convenient and individualized mobile experience going forward."

Second Quarter 2014 Unaudited Financial Results

• Total revenues for the second quarter of 2014 increased by 12.8% to RMB410.9 million (US$66.2 million) from RMB364.2 million in the second quarter of 2013.
• Net Income Per ADS (1 ADS represents 8 class A ordinary shares) Diluted RMB1.09 vs. last years same quarter of RMB1.00.

Mr. Shuang Liu, CEO of Phoenix New Media, stated, "We are very pleased to complete the first half of 2014 with strong financial performance for both total revenues and net income exceeding Bloomberg consensus estimates, providing with us significant momentum into the second half of 2014. The second quarter witnessed an impressive operational growth characterized by the increasing traffic on our mobile platform, strong performance of in-house video content, and further expansion of several of our popular verticals. On the video side, we saw encouraging developments, as we began to air several new original productions that have been well received by both advertisers and the public. Two of these original productions were co-broadcasted with our parent company, Phoenix TV, demonstrating tangible progress on the convergence of the Phoenix Group's media resources. Leveraging on this success in the second quarter and fueled by the large audience of many breaking news events, we had the opportunity to attract even more first-time users in recent months through providing comprehensive and in-depth coverage across our multiple platforms."

Mr. Ya Li, President of Phoenix New Media, stated, "In the second quarter, the incremental revenue growth and operating margin improvement were largely supported by the strong 38.9% year-over-year growth in net advertising revenues, which reflected the rapid growth of traffic across our media platforms, as well as the successful integration of advertisement sales teams and emergence of our native advertising and marketing solutions. With the growing demand for lifestyle-oriented content by users, we are confident that ifeng's converged multi-screen platform will continue to grow and expand its footprint in new media industry."

Business Outlook

For the third quarter of 2014, the Company expects its total revenues to be between RMB402 million and RMB422 million. Net advertising revenues are expected to be between RMB307 million and RMB317 million. Paid service revenues are expected to be between RMB95 million and RMB105 million. These forecasts reflect the Company's current and preliminary view on the market and operational conditions, which are subject to change.

First Quarter 2014 Financial Results

• Total revenues increased by 26.9% year-over-year to RMB357.1 million (US$57.5 million), driven by a 41.1% increase in net advertising revenues, and a 6.3% increase in paid service revenues.
• Net income per diluted ADS[2] increased by 60.6% year-over-year to RMB0.80 (US$0.13). Adjusted net income per diluted ADS increased by 49.1% year-over-year to RMB0.73 (US$0.12).

Mr. Shuang Liu, CEO of Phoenix New Media, stated, "We are very pleased with our first quarter financial results which exceeded both consensus estimates and our prior guidance, providing us with a strong start in 2014. The incremental revenue growth and margin improvement was fueled by the expansion of our mobile and video offerings as well as the strong performance of several of our verticals, such as the fashion vertical, which remained the top fashion channel in China, in terms of daily unique users according to iResearch. Our net advertising revenues grew by over 40% year-over-year, reflecting the rapid growth of brand advertising across our PC, video and mobile platforms, as well as demonstrating our progress in creating unique advertiser solutions on our converged media platforms."

Mr. Liu continued, "The first quarter, being a very eventful period in China from a news perspective, allowed us the opportunity to attract many first time users through providing comprehensive, in-depth coverage across our multiple platforms. The strategic partnerships we established with telecom carriers, handset providers and internet TV companies further demonstrate our commitment to remain ahead of technology trends and shifts in the nature of information consumption. Tapping into the Chinese main stream users' demands, ifeng has evolved from a main stream user preferred portal into a multi-screen media platform with diversified content and services offerings, including current affairs, finance, fashion, technology, entertainment and over 40 vertical channels, playing an indispensable role in China's media environment."

Fourth Quarter 2013 Financial Results

• Total revenues for the fourth quarter of 2013 increased by 32.4% to RMB400.1 million (US$66.1 million) from RMB302.2 millionin the fourth quarter of 2012
• Net income per diluted ADS[2] for the fourth quarter of 2013 increased by 203.2% year-over-year to RMB1.07 (US$0.18). Adjusted net income per diluted ADS for the fourth quarter of 2013 increased by 263.9% year-over-year to RMB1.19(US$0.20).

Mr. Shuang Liu, CEO of Phoenix New Media, stated, "In the past year, we saw our company evolve from a news-focused portal leader into a diversified news and lifestyle media company, as we expanded our offering into several new verticals as well as deepening our connection with our Chinese audience by hosting many high-profile offline media events. We are very pleased to close out 2013 with another solid quarter, having achieved total revenues growth of 32% year over year and adjusted net income attributable to PNM growth of 257% in the fourth quarter. Our strong financial performance was fueled by our success in expanding the brand popularity and user-reach of our platform with daily unique visitors to our site growing by over 23% year-over-year. Our homepage has now become the second most visited homepage among all Chinese media websites in terms of daily unique visitor, according to iResearch, further demonstrating our strong competitive positioning among Chinese Internet media companies."

"Serving in my newly-assumed dual role as both CEO of ifeng and COO of Phoenix Satellite TV, I will lead our effort in strategizing, overseeing and allocating resources to implement the convergence of TV and new media businesses, allowing us to further capitalize on the synergies and economies of scale inherent in our expanding media platform. We are confident that we are well-positioned and well-equipped to expand our user-base and meet our audience's dynamic needs as we solidify our cross-platform media leadership in the Chinese market in 2014 and beyond."

Business Outlook

For the first quarter of 2014, the Company expects its total revenues to be between RMB340 million and RMB351 million. Net advertising revenues are expected to be between RMB230 million and RMB235 million. Paid service revenues are expected to be between RMB110 million and RMB116 million. These forecasts reflect the Company's current and preliminary view on the market and operational conditions, which are subject to change.

Third Quarter 2013 Financial Results

• Total revenues increased by 32.3% year-over-year to RMB378.7 million (US$61.9 million), driven by a 59.3% increase in net advertising revenues, and a 6.2% increase in paid service revenues.
• Adjusted net income per diluted ADS² increased by 507.5% year-over-year to RMB1.06 (US$0.17).

Mr. Shuang Liu, CEO of Phoenix New Media, stated, "We are very pleased to report another strong quarter with net advertising revenues growing by almost 60% year-over-year, exceeding our previous guidance. The growth, driven by increased traffic and strong sales execution, has demonstrated the synergy potential of our multiple media platforms, and the increasing receptiveness that our users and advertisers have developed towards our proprietary content and platform offerings. Moreover, the cost synergy from our convergence model has further helped margin expansion, which led to record GAAP net income."

Mr. Liu continued, "Looking forward to 2014, we are focusing on leveraging the economies of scale inherent in our core media platform to expand into additional lifestyle verticals such as real estate, auto, health and several other key areas. We expect these new initiatives will not only help solidify the ifeng brand as a respected and diversified news and lifestyle media company, but they will also further expand our user reach and strengthen user stickiness across the ifeng media platform. As one of China's most influential Internet media companies, we are confident that our strategy of expanding exclusive and premium content across PC, video and mobile Internet platforms will further strengthen our leading position in today's increasingly digital and mobile world."

Business Outlook

For the fourth quarter of 2013, the Company expects its total revenues to be between RMB368 million and RMB378 million. Net advertising revenues are expected to be between RMB244 million and RMB249 million. Paid service revenues are expected to be between RMB124 million and RMB129 million. These forecasts reflect the Company's current and preliminary view on the market and operational conditions, which are subject to change.

BEIJING, Nov. 11, 2013 /PRNewswire/ -- Phoenix New Media Limited ("Phoenix New Media", "ifeng" or the "Company") (NYSE:FENG), a leading new media company in China, today announced that it has entered into definitive agreements with IDG-Accel China Growth Fund III L.P. and IDG-Accel China III Investors L.P. ("IDG-Accel Funds") for an investment of millions of US dollars to accelerate development of the Phoenix FM App business.

This strategic investment in the Phoenix FM App business will focus on developing audio apps for smartphones which offer listeners audio content such as news, radio programs, audiobooks and educational courses. The Phoenix FM App remains one of the most popular non-music audio apps available for both iOS and android devices to date in China. The transaction has been approved by Phoenix New Media's boards of directors and is not subject to shareholder approval. Pursuant to the agreements, Phoenix New Media will inject its Phoenix FM App business into a newly established entity, Phoenix FM Limited ("PFM"), into which IDG-Accel Funds will make the investment. The Company will not consolidate PFM in its financial statement after the closing of the transaction.

Mr. Shuang Liu, Chief Executive Officer of ifeng stated, "As a leading new media company in China, we aim to further enrich our content offerings and broaden our user-reach through the expansion of our platform into new information mediums. Through partnering with one of China's premier internet and media investors, we are able to more aggressively develop the Phoenix FM App by leveraging IDG-Accel Funds' unparalleled media experience and resources. As our users continue to demand access to our premium and differentiated content anytime and anywhere, we are confident we will further expand our user-reach to include the growing number of radio listeners, commuters, and auto-owners in China."

BEIJING, September 30, 2013 /PRNewswire/ -- Phoenix New Media Limited ("Phoenix New Media", "ifeng" or the "Company") (NYSE: FENG), a leading new media company in China, today announced that it entered into a strategic partnership with China Unicom, China's second largest mobile operator, to offer a "Wo+ifeng" mobile video data package to China Unicom 3G subscribers through ifeng's mobile video application.

This partnership marks the first cooperation between a Chinese telecom carrier and an Internet video news platform in China. Pursuant to the agreement, China Unicom's over 100 million 3G subscribers will be able to consume up to 6GB per month of mobile content through the "ifeng Video" mobile app for a monthly fee of 15 RMB. China Unicom users who choose the "Wo+ifeng" package will also have access to VIP services including ifeng's premium news video programs and documentaries not otherwise accessible. In the near future, the parties also plan to offer differentiated bundled packages to meet diverse user needs and viewing habits for news video content.

Mr. Ya Li, Chief Operating Officer and interim Chief Financial Officer of ifeng, commented at the press conference for the partnership, "Partnering with China's second largest mobile operator further demonstrates our recognized leadership in providing unique news-oriented video content. In today's on-the-go Chinese society, watching short-form professional news video clips through smart phones and other tablets devices, is an increasingly convenient and efficient way to consume the latest breaking news and highlights. This partnership will expand ifeng's mobile video audience and further enhance our user's experience on ifeng's mobile platform through mobile devices anytime, anywhere in the China Unicom 3G network."

BEIJING, September 9, 2013 /PRNewswire/ -- Phoenix New Media Limited ("Phoenix New Media", "ifeng" or the "Company") (NYSE: FENG), a leading new media company in China, today announced the appointment of Ms.Betty Yip Ho as the Company's Chief Financial Officer ("CFO"), effective October 8, 2013. Mr. Ya Li, the Company's Chief Operating Officer, will cease to serve as interim CFO upon effectiveness of Ms. Ho's appointment.

Ms. Ho has over 20 years of professional experiences working for publicly listed companies, investment banking and private equity in multiple sectors including Internet, TMT, manufacturing and consumer retail. Prior to joining ifeng, Ms. Ho served as CFO for Rock Mobile Corporations from 2011 to 2013, and CFO and Executive Director for A8 Digital Music Holdings Limited (HKEx: 800) from 2007 to 2011. Prior to that, she was the Senior Vice President at LJ International Inc. (NASDAQ: JADE) responsible for corporate finance, investor relations and mergers and acquisitions from 2001 to 2007. In 1998, Ms. Ho cofounded the Strategic Capital Group, an e-commerce private equity firm. Earlier, she held management positions in audit and direct investment with Arthur Andersen & Co and United Overseas Bank (UOB) Asia. Ms. Ho received her Bachelor degree of Commerce in Finance from the University of Toronto and is a Certified Public Accountant as well as member of the AICPA and HKICPA.

Mr. Shuang Liu, Chief Executive Officer of ifeng, said, "We are very excited to welcome Betty to the ifeng family. Bringing with her a global perspective and diverse experience, Betty's proven financial acumen, having built competencies in the fields of corporate finance, M&A, investment banking, investor relations and accounting make her an ideal choice for this crucial role. We believe that under her financial leadership, we will be able to further enhance our corporate governance, disclosure and financial controls as we continue our overall business growth. We believe that she will be able to provide significant strategic contributions and look forward to working with her."

Second Quarter 2013 Financial Results

• Total revenues increased by 28.5% year-over-year to RMB364.2 million (US$59.3 million), driven by a 41.9% increase in net advertising revenues, and a 14.0% increase in paid service revenues.
• Adjusted net income attributable to Phoenix New Media Limited for the second quarter of 2013, which excludes share-based compensation expenses, increased by 120.4% to RMB83.6 million (US$13.6 million) from RMB37.9 million in the second quarter of 2012. Adjusted net margin for the second quarter of 2013 increased to 23.0% from 13.4% in the second quarter of 2012. Adjusted net income per diluted ADS in the second quarter of 2013 increased by 130.0% to RMB1.08 (US$0.18) from RMB0.47 ($0.07) in the second quarter of 2012
• Net income attributable to Phoenix New Media Limited for the second quarter of 2013 increased by 121.1% to RMB77.4 million(US$12.6 million) from RMB35.0 million in the second quarter of 2012. Net margin for the second quarter of 2013 increased to 21.3% from 12.4% in second quarter of 2012. Net income per diluted ADS in the second quarter of 2013 increased by 130.7% toRMB1.00 (US$0.16) from RMB0.43 in the second quarter of 2012.

"We are very excited to report a strong quarter with revenues growing by 28.5% year-over-year, exceeding our previous guidance. Moreover, improving operational efficiency from our convergence model helped drive margin expansion which led to net income growth on both a GAAP and non-GAAP basis more than doubling year-over-year," said Mr. Shuang Liu, CEO of Phoenix New Media. "By utilizing our premium content, we have developed product and market solutions across our portal, video and mobile platforms, which further enhanced the synergy effect inherent in our convergence model."

Mr. Liu continued, "Going forward, our focus will be to further enhance the user experience through product improvements and expansion, helping to leverage our diverse platform and generate long-term growth. As media consumption continues to increase on mobile devices, our convergence model and proprietary content are both uniquely positioned to capitalize on this growing trend and provide Chinese internet users with their desired content on any device."

Business Outlook

For the third quarter of 2013, the Company expects its total revenues to be between RMB367 million and RMB382 million. Net advertising revenues are expected to be between RMB207 million and RMB217 million. Paid service revenues are expected to be between RMB160 million and RMB165 million. These forecasts reflect the Company's current and preliminary view on the market and operational conditions, which are subject to change.

First Quarter 2013 Financial Results

• Total revenues for the first quarter of 2013 increased by 17.7% to RMB281.4 million (US$45.3 million) from RMB239.1 million in the first quarter of 2012.
• Net income attributable to Phoenix New Media Limited for the first quarter of 2013 increased by 19.0% to RMB39.2 million(US$6.3 million) from RMB32.9 million in the first quarter of 2012. Net margin for the first quarter of 2013 was 13.9% as compared to 13.8% in first quarter of 2012.Net income per diluted ADS^[5] in the first quarter of 2013 was RMB0.50 (US$0.08) as compared to RMB0.41 in the first quarter of 2012.

Mr. Shuang Liu, CEO of Phoenix New Media, stated, "We are very pleased with our first quarter financial results which exceeded both consensus estimates and our prior guidance, providing us with a strong start in 2013. Our net advertising revenues grew over 29% year-over-year, which was driven by rapid growth of brand advertising across our PC, video and mobile platforms. The increased demand demonstrates our progress in creating unique solutions for advertisers on our converged media platform, helping drive incremental revenue growth and margin improvement. In addition, ifeng remained one of the top four Chinese Internet portals, in terms of average daily unique visitors which grew year-over-year by 49.1%, according to iResearch."

Mr. Liu continued, "We are also excited about the solid progress we have achieved in our growing games business. Launched in the second half of 2012, our game platform has enabled us to leverage our 34 million daily users by supplementing our core media contents with an increasing number of entertainment options. We believe options like these will continue to provide us with an effective way to monetize our growing user traffic, creating new incremental revenue streams in the long run".

Business Outlook

For the second quarter of 2013, the Company expects its total revenues to be between RMB331 million and RMB341 million. Net advertising revenues are expected to be between RMB195 million and RMB200 million. Paid service revenues are expected to be between RMB136 million and RMB141 million. These forecasts reflect the Company's current and preliminary view on the market and operational conditions, which are subject to change.

BEIJING, April 29, 2013 /PRNewswire/ -- Phoenix New Media Limited (NYSE: FENG), a leading new media company in China ("Phoenix New Media", "ifeng" or the "Company"), today announced that Ms. Lily Qianli Liu has tendered her resignation as Chief Financial Officer ("CFO") in order to devote more time to her family. Mr. Ya Li, the Company's Chief Operating Officer ("COO") and previously also ifeng's CFO, will serve as interim CFO while the Company undertakes a search for Ms. Liu's replacement. Ms. Liu will leave the Company at the end of July 2013, but will continue to consult for the Company during the search for her replacement, helping to ensure a smooth transition.

"I would like to sincerely thank Lily for her expertise and dedication to ifeng and for establishing and running strong finance, human resources, legal, internal control and audit, and investor relations teams during her tenure, as well as in leading our overall financial management and internal control activities both before and after our initial public offering. Lily's commitment to high standards of accountability, transparency and integrity has helped us set the tone for how ifeng does business today and going forward. We understand Lily's desire to spend more time with her family and wish her every success in her future endeavors," commented Mr. Shuang Liu, CEO of Phoenix New Media. "In addition, we are pleased to have Ya, who previously served as CFO for five years and has been with our Company since 2006, to step into this interim position. Ya's presence and experience will enable our Company to move seamlessly through this transitioning period."

Ms. Lily Qianli Liu stated, "I have truly enjoyed my time at ifeng and greatly appreciate the management's respect for my decision. I believe the Company's growth potential and the exceptional execution capabilities of the entire executive team will continue to provide a strong and successful future for ifeng. I wish the firm continued success going forward."

Second Quarter 2012 Highlights

• Total revenues increased by 24.5% year-over-year to RMB283.4 million (US$44.6 million), driven by a 29.5% increase in net advertising revenues and a 19.5% increase in paid service revenues.
• Net income attributable to Phoenix New Media was RMB35.0 million (US$5.5 million), as compared to RMB36.2 million in the second quarter of 2011.
• Adjusted net income attributable to Phoenix New Media[1] was RMB37.9 million (US$6.0 million), as compared to RMB44.8 million in the second quarter of 2011.

Mr. Shuang Liu, CEO of Phoenix New Media, stated, "China's continuing macro-economic uncertainty resulted in the second quarter being more challenging than previously anticipated. In particular, our advertising business growth experienced softness as we witnessed a few of our advertisers delaying advertising spending more than initially forecasted. However, our advertisers significantly increased their average spending by 53% resulting in average revenue per advertiser growing to over RMB650,000 from RMB425,000 in the second quarter of 2011. This clearly reflects the value placed on ifeng's media platform by advertisers looking to cost-effectively target the high-end viewer demographics that our platform provides."

Mr. Liu continued, "Even though the advertising front experienced softness, our user traffic growth continued to outpace our peers' over the past quarter. Daily unique visitors grew by over 62% year-over-year, reaching 26.4 million in June, whereas the other major Chinese portals only experienced single digit growth over the same period, according to iResearch. For the second half of 2012 we expect continued strong growth in viewership as we expect news reporting around important global events like the London Olympics and major elections taking place around the world. We believe that our leading global news coverage, coupled with our media offering across portal, mobile and video will continue to drive expansion in our audience base as well as advertising dollars from clients as we continue to solidify our market leadership."

Business Outlook

For the third quarter of 2012, the Company expects its total revenues to be between RMB266 million and RMB279 million. Net advertising revenues are expected to be between RMB132 million and RMB135 million. Paid service revenues are expected to be between RMB134 million and RMB144 million. These forecasts reflect the Company's current and preliminary view on the market and operational conditions, which are subject to change.

BEIJING, June 11, 2012 /PRNewswire-Asia/ -- Phoenix New Media Limited (NYSE: FENG), a leading new media company in China ("Phoenix New Media", "ifeng" or the "Company"), and the National Film Board of Canada ("NFB"), Canada's leading public film producer and distributor, today announced a strategic cooperation to offer Chinese Internet users access to films produced and distributed by NFB via the NFB ZONE, a Canadian branded channel on ifeng's website.

NFB ZONE will be the first digital channel designated to distribute Canadian films in Mainland China. Under the agreement, ifeng has the exclusive right to air and redistribute NFB's current content library of over 130 documentaries and animated films which will be updated regularly over the next three years. Beginning in late June 2012, the entire portfolio will be made available for both on-demand viewing and downloading on ifeng's NFB ZONE channel.

"We are excited that the NFB ZONE will be the first-ever online channel in Mainland China devoted to Canadian entertainment content. By leveraging ifeng's prominent media brand in China, we are now able to deliver globally acclaimed NFB documentaries and animated films. These videos, showcasing Canada's creativity and innovation, will be made available across ifeng's multiple digital platforms. This collaboration represents the latest initiative for Canada's producers and Chinese partners in seeking to strengthen cultural bridges between our two countries by leveraging state-of-the-art digital media distribution platforms," said Tom Perlmutter, Government Film Commissioner and Chairperson of the National Film Board of Canada.

Mr. Shuang Liu, Chief Executive Officer of Phoenix New Media, commented, "We are very pleased to partner with NFB, arguably the most reputable video content powerhouse in Canada. By offering Chinese audiences a dedicated channel to watch and interact with the best Canadian films, we will not only enhance NFB's exposure and brand awareness amongst ifeng's over 220 million monthly users, but we will also enrich ifeng's video content library with differentiated and thought-provoking content. As one of the most influential media companies in China, we believe such an initiative continues to demonstrate our dedication to further promoting cultural communications between the Chinese and the rest of the world, in the pursuit of our mission of bringing China closer to the world."

BEIJING, March 12, 2012 /PRNewswire-Asia/ -- Phoenix New Media Limited (NYSE: FENG), a leading new media company in China ("Phoenix New Media", "ifeng" or the "Company"), and Qihoo 360 Technology Co. Ltd. ("Qihoo 360") (NYSE: QIHU), a leading Internet company in China as measured by active user base, today announced strategic cooperation between the two companies to offer users seamless access to Phoenix New Media's premium content through Qihoo 360's multi-platform products.

Phoenix New Media, China's fourth largest Internet portal by time spent, has become the first media partner to offer Qihoo 360's over 400 million users easy and immediate access to ifeng's premium news content. Pursuant to the agreement, Phoenix New Media will provide content from its portal website, www.ifeng.com, directly to Qihoo 360's multi-platform products, including 360 Browsers and 360 Desktop. Ifeng News will be listed as one of only six default links placed on 360's Personal Start-up Page. Moreover, Phoenix New Media will further expand its news application offerings to 360 Desktop, Qihoo 360's application-based platform for PCs in China. Phoenix New Media will provide breaking news and other media updates to 360 Desktop users through tailored applications and push notifications.

Mr. Xiangdong Qi, President of Qihoo 360 commented, "We are pleased to partner with Phoenix New Media, leveraging its strong media DNA and editorial capabilities to provide our audience a balanced perspective on real-time global news and in-depth featured stories. This strategic cooperation with ifeng will further improve users' engagement and experience on our platform by providing comprehensive and efficient access to global news via ifeng's applications and information services. We believe this partnership will further enhance close interaction between two of China's leading Internet companies going forward."

Mr. Ya Li, Chief Operating Officer of Phoenix New Media, commented, "We are excited to be partnered with Qihoo 360, the leading Internet platform company in China. Our strategic partnership will not only enrich Qihoo 360's content offerings, but also help boost our application downloads, increase our webpage views and further expand our overall user reach. Going forward, we believe that such initiatives, allowing expanded and easier access to our proprietary content, will help further enhance our user loyalty and viewership growth."

Fourth Quarter 2011 Highlights

• Total revenues for the fourth quarter of 2011 increased by 77.2% year-over-year to RMB280.5 million(US$44.6 million), driven by a 100.5% increase in net advertising revenues and a 56.2% increase in paid service revenues.
• Net income attributable to Phoenix New Media for the fourth quarter of 2011 increased by 210.5% year-over-year to RMB35.6 million (US$5.7 million).
• Adjusted net income attributable to Phoenix New Media(1) for the fourth quarter of 2011 increased by 119.8% year-over-year to RMB40.4 million (US$6.4 million

Mr. Shuang Liu, CEO of Phoenix New Media, stated, "We are very excited to report another strong quarter and to close our fiscal year 2011 on a solid note, both operationally and financially. As one of the independent and most influential Internet media companies in China, we continue to expand our exclusive and premium content portfolio targeting ifeng's sophisticated and affluent audience of over 20 million online daily unique viewers. In the fourth quarter of 2011, we hosted a series of sponsored activities, such as the Forever Happiness (Meili Tongxing) Charity Gala Dinner and our annual Chinese Business Leaders Awards Ceremony, further enhancing our brand awareness. Looking forward, we will continue to leverage our portal operations, further develop our media convergence model across Internet enabled devices, and proactively invest in branding, talent acquisition and technology, further strengthening ifeng's platform and remaining the media gateway of choice for Chinese Internet users."

Business Outlook

For the first quarter of 2012, the Company expects its total revenues to be between RMB227 million and RMB237 million, representing year-over-year growth of approximately 32% to 38%. Net advertising revenues are expected to be between RMB125 million and RMB130 million, representing year-over-year growth of approximately 66% to 73%. Paid service revenues are expected to be between RMB102 million and RMB107 million, representing year-over-year growth of approximately 6% to 11%. These forecasts reflect the Company's current and preliminary view on the market and operational conditions, which are subject to change.

Third Quarter 2011 Results

Second Quarter 2011 Highlights

• Total revenues increased by 83.5% to RMB227.6 million (US$35.2million) from RMB124.1 million in the second quarter of 2010, primarily driven by a 150.5% increase in net advertising revenues and a 44.7% increase in paid service revenues.
• Gross profit increased by 89.3% to RMB104.0 million (US$16.1 million) from RMB54.9 million in the second quarter of 2010.
• Net income attributable to Phoenix New Media increased by 55.7% to RMB36.2 million (US$5.6million) from RMB23.3 million in the second quarter of 2010.
• Adjusted net income attributable to Phoenix New Media(1) increased by 76.0% to RMB44.8 million (US$6.9 million) from RMB25.5 million in the second quarter of 2010.
• Adjusted EPS was $0.11 vs $0.09

Mr. Shuang Liu, CEO of Phoenix New Media, stated, "We are extremely proud to have reached a milestone quarter in our company's history where our quarterly net advertising revenues contributed over 50% of total revenues. This exceptional growth from early 2010 when we completed the integration of our advertising sales team has validated our belief in the tremendous value of our unique and highly valued content offerings.

We believe that future revenue growth would continue to be driven by advertising, and our increased product innovations will continue to benefit both our users and advertisers. Kuaibo, our recently announced social media platform that will be officially launched in the third quarter, is one of these innovations that we are confident will help drive future traffic growth, further cementing Phoenix New Media's portal as the gateway of choice among China's mainstream internet users. We firmly believe that the Kuaibo platform has the potential to enable us to capture our target users evolving demand in the era of fragmented media consumption and further enhance interaction among users with shared common interests."

Business Outlook

For the third quarter of 2011, the Company expects its net advertising revenues to be between RMB121 million and RMB125 million, which represents year-over-year growth of approximately 145% to 153%.

Paid service revenues are expected to be between RMB115 million and RMB120 million, which represents year-over-year growth of approximately 15% to 20%.

As a result, total revenues are expected to be between RMB236 million to RMB245 million, which represents year-over-year growth of approximately 58% to 64%.These forecasts reflect the Company's current and preliminary view on the market and operational conditions, which may be subject to change.

First Quarter Results:

• Total revenues increased by 77.0% to RMB171.7 million (US$26.2 million) from RMB97.0 million in the first quarter of 2010. The increase was driven by a 118.1% increase in net advertising revenues and a 54.4% increase in paid service revenues on a year-over-year basis. Both net advertising revenues and paid service revenues also increased on a sequential basis.
• Gross profit increased by 24.1% to RMB56.9 million (US$8.7 million) from RMB45.8 million in the first quarter of 2010.
• Non-GAAP adjusted net income attributable to Phoenix New Media increased by 24.9% to RMB21.8 million (US$3.3 million) in the first quarter of 2011 from RMB17.5 million in the first quarter of 2010, and increased by 18.5% from RMB18.4 million in the fourth quarter of 2010.

Mr. Shuang Liu, Chief Executive Officer, stated, "We are very excited to announce strong first quarter 2011 financial results in both our advertising and paid services segments. Although the first quarter is typically the weakest quarter for advertising due to the seasonal effect of the Chinese holidays, we have continued to deliver sequential growth for net advertising revenues for nine consecutive quarters.

• Adjusted net income attributable to Phoenix New Media per diluted ADS (non-GAAP) was RMB0.48 (US$0.07) in the first quarter of 2011, which increased by 10.4% as compared to RMB0.43 in the first quarter of 2010.

For the second quarter of 2011, the Company expects its net advertising revenues to be between RMB110 million to RMB112 million, which represents growth of approximately 142% to 146% from the second quarter of 2010, and 46% to 49% growth, approximately, sequentially compared to this first quarter.

Paid service revenues are expected to be between RMB106 million to RMB109 million, which represents 35% to 39% growth, approximately, from the second quarter of 2010, and 10% to 13% growth, approximately, sequentially compared to this first quarter.

As a result, total revenues are expected to be between RMB216 million to RMB221 million, which represents 74% to 78% growth, approximately, from the second quarter of 2010, and 26% to 29% growth, approximately, sequentially from this first quarter. These forecasts reflect the Company's current and preliminary view on the market and operational conditions, which may be subject to change.