WEIBO Corp - 20-F filing on 2022-03-10

Related Party Transactions (Tables)

12 Months Ended

Dec. 31, 2021

Schedule of significant related parties and their relationships with the Company


Company Name		Relationship with the Company
SINA		Parent and affiliates under common control.

Alibaba		Strategic partner and significant shareholder of the Company.


	Year Ended December 31,
	2019		2020		2021

	(In US$ thousands)
Transactions with SINA
Revenue billed through SINA		109,949		41,754		68,351
Revenue from services provided to SINA		27,274		20,348		43,170
Total		137,223		62,102		111,521

Costs and expenses allocated from SINA⁽¹⁾		51,848		43,011		38,270
Interest income on loans to SINA		9,295		13,458		17,943

Transactions with Alibaba
Advertising and marketing revenues from Alibaba – as an advertiser		97,772		152,000		139,561
Advertising and marketing revenues from Alibaba – as an agent		—		36,597		41,680
Services provided by Alibaba		50,205		52,338		44,006

(1)

Costs and expenses allocated from SINA represented the charges for certain services provided by SINA’s affiliates and charged to the Group using actual cost allocation based on proportional utilization (Note 1). In addition to the allocated costs and expenses, SINA also billed US$37.5 million,US $48.3 million and US$48.0 million for other costs and expenses incurred by Weibo but paid by SINA for the years ended December 31, 2019, 2020 and 2021, respectively. During the years ended December 31, 2020 and 2021, Weibo allocated US$9.7 million and US$0.8 million to SINA for costs and expenses related to certain of SINA’s activities for which Weibo made the payments, respectively.


	As of December 31,
	2020		2021

		(In US$ thousands)
Amount due from SINA⁽²⁾		548,900		494,200
Accounts receivable due from Alibaba		135,321		89,344

Loans to and interest receivable⁽³⁾ ⁽⁴⁾
- Company A (an investee in e-commerce business)		79,762		—
- Company B (an investee providing social and new media marketing services)		21,771		2,789
- Company C (an investee providing online brokerage services)		41,205		211,583
- Others		15,884		5,307
Subtotal (included in prepaid expenses and other current assets)		158,622		219,679
- Company D (an investee in real estate business) (included in other non-current assets)		—		480,786
Total		158,622		700,465

(2)

The Group uses amount due from/to SINA to settle balances arising from cost and expenses allocated from SINA based on proportional utilization, other expenditures incurred by Weibo business but paid by SINA, transactions with third-party customers and suppliers settled through SINA, as well as business transactions between Weibo and SINA. As of December 31, 2020 and 2021, the amount due from SINA also included loans to and interest receivable from SINA of US$547.9 million and US$479.6 million at an annual interest rate ranging from 1.0% to 4.5% of maturity within one year, respectively, which are non-trade in nature.

(3)	The annual interest rates of the loans were ranging from 4.0% to 10.0% (interest free for Company B and partial loans to Company D) at both dates. These balances are non-trade in nature.

(4)

The Group assessed the collectability of outstanding loans at least on annual basis or whenever impairment indicators noted. For the years ended December 31, 2020 and 2021, the Group recognized US$82.2 million and nil impairment charges on loans to and interest receivable from other related parties due to their unsatisfied financial performance and decline in forecasted revenues, respectively.

SINA

Related party transactions

Schedule of significant related party transactions with the Group


	Year Ended December 31,
	2019		2020		2021

	(In US$ thousands)
Transactions with SINA
Advertising and marketing revenues		112,974		48,353		96,359
Value-added services revenues		24,249		13,749		15,162
Total		137,223		62,102		111,521