Soufun Holdings (NYSE:SFUN)

First Quarter 2013 Financial Results

• Revenue in the first quarter of 2013 was $91.0 million, a 55.6% increase from the corresponding period in 2012.
• Operating income in the first quarter of 2013 was $37.2 million, a 161.9% increase from the corresponding period in 2012. Non-GAAP operating income in the first quarter of 2013 was $39.0 million, a 151.9% increase from the corresponding period in 2012.
• Net income attributable to SouFun Holdings Limited's shareholders was $28.4 million, or $0.34 per fully diluted share, which was a year-over-year increase of 95.5%. Non-GAAP net income attributable to SouFun Holdings Limited's shareholders was $33.2 million, or $0.40 per fully diluted share, which was a year-over-year increase of 134.3%.

"We had a very strong quarter to start 2013," said Vincent Mo, Executive Chairman of SouFun. "Our focus on expanding existing business and constant innovation has allowed SouFun to deliver solid results quarter after quarter. We will continue to invest in our people, technology, and local city infrastructure. We believe such investments are critical to ensure SouFun's long-term sustainable expansion and will create significant value for our shareholders in the long run."

Business Outlook

SouFun raises its total revenue guidance for 2013 from between $516.0 million and $527.0 million to between$527.0 million and $538.0 million, or from a year-over-year increase of between 20.0% and 22.5% to between 22.5% and 25.0%, despite uncertainties in China's property market. This forecast reflects SouFun's current and preliminary view, which is subject to change.

BEIJING, April 23, 2013 /PRNewswire/ -- SouFun Holdings Limited (NYSE: SFUN, "SouFun", the "Company"), the leading real estate and home related product and services Internet portal in China, responded to a short seller's third report today:

A short seller (Glaucus Research Group: "We are short seller. We are biased.") released yet another biased and self-serving report on SouFun today. Unfortunately, as persistent as the short seller seems, his report once again is based on inaccurate or incomplete facts and intentionally misleading speculations, resulting in misleading and incorrect conclusions. Here are our comments with respect to the report:

1. As the founder of SouFun, our Chairman has been continuously contributing to SouFun's overall growth with whatever resources he has irrespective of whether SouFun pays or not as long as it is in compliance with related rules. Our Chairman's majority owned private company Beijing Pukai Shijie Investment Consultancy Company ("Beijing Pukai") provided consulting services to SouFun as disclosed in related filings but it was free to SouFun. In addition, due to the insignificance of the services in relation to SouFun, no specific disclosure in our 20-F is considered necessary.

2. Sanya Property: Nothing new. We commented earlier.

Again, SouFun welcomes all kinds of opinions and comments with respect to its business and corporate governance even if some of them may not correctly reflect the fact. We regard these opinions and comments as useful to improve our future operations. We are confident that SouFun will be bigger, better, and stronger with its continuous efforts and positive attitude from its management and staff members.

BEIJING, April 5, 2013 /PRNewswire/ -- SouFun Holdings Limited (NYSE: SFUN, "SouFun"), the leading real estate and home related product and services Internet portal in China, responded to a short seller's report today:

A short seller (Glaucus Research Group: "We are short seller. We are biased.") published a report yesterday on SouFun. We think their conclusions are misleading. Here are our comments with respect to the report's 7 summaries:

1. Our Chairman's family formed a not-for-profit corporation called Research Center on Natural Conservation (Research Center) to purchase the Arden House, a former Columbia University Executive Programs training center. Our Chairman's family (not SouFun) paid full for the purchase. The Research Center did use SouFun's New York office address to receive corresponding letters before the completion of the purchase (and some corresponding letters may still coming to SouFun's New York office address as the change of address may take longer). Our Chairman (also a director of the Research Center) occasionally invites SouFun's visiting employees and clients to use the Arden House for free. SouFun'sNew York office contact on the website of Arden House is to answer any question from SouFun's visiting employees and clients.
2. SouFun purchased 72 Wall Street for its long term strategy of SouFun's internal global training programs collectively called SouFun Business School. The facility needs renovation and is now not in a condition for full operations. The company has been using it as a temporary office and occasionally for visiting SouFun employees and clients (62 visitors in 2011, 241 visitors in 2012, and planning for 350 visitors in 2013). It is preliminarily planned to open in full in two years from today. SouFun's visiting employees and clients for training purposes are mostly arranged by a related party called Wall Street Global Training Center (a not for profit organization in application), of which our Chairman is a director. In the past two plus years, SouFun paid roughly $2 million (which has been disclosed with SEC) to Wall Street Global Training Center for the 300 plus visitors.
3. SouFun's properties in Sanya, Hainan Island purchased in March 2012 have been in use for SouFun's training and employee award and other business purposes.
4. Shun Cheong Holdings (HKEX: 0650), a public company on the Hong Kong Stock Exchange, is about 60% owned by our Chairman's family and the company is in full compliance with Hong Kong Stock Exchange in respect to its shareholders, directors, and employees.
5. SouFun has been with its current auditor E&Y for more than 5 years and the company keeps a transparent and professional way in working with E&Y. All auditing related information past and present has been fully disclosed with SEC.
6. SouFun had three dividends since it has been listed with NYSE two and half years ago. Its cash will be used for its business expansion as first priority and then the company will need a $100-150 million cash reserve and after that the company may consider dividend to its shareholders.
7. SouFun's VIE structure has been there since it was founded in 1999 and has never been changed since almost 14 years ago.

SouFun welcomes all kinds of opinions and comments with respect to its business and corporate governance even if some of them may not correctly reflect the fact. We regard these opinions and comments as useful to improve our future operations. We are confident that SouFun will be bigger, better, and stronger with its continuous efforts and positive attitude from its management and staff members.

Fourth Quarter 2012

• Revenue in the fourth quarter of 2012 was $147.5 million, a 29.6% increase from the corresponding period in 2011.
• Operating income in the fourth quarter of 2012 was $71.6 million, a 52.8% increase from the corresponding period in 2011. Non-GAAP operating income in the fourth quarter of 2012 was $74.8 million, a 53.5% increase from the corresponding period in 2011.
• Net income attributable to shareholders recorded a year-over-year increase of 85.3% to $55.8 million, or $0.68 per fully diluted share. Non-GAAP net income attributable to shareholders recorded a year-over-year increase of 66.0% to $65.1 million, or $0.79per fully diluted share.

Business Outlook

SouFun estimates its total revenue for 2013 to be around $520.0 million, representing a year-on-year increase of 20.0% to 22.5%. This forecast reflects SouFun's current and preliminary view, which is subject to change.

BEIJING, January 2, 2013 /PRNewswire/ -- SouFun Holdings Limited (NYSE: SFUN; "SouFun"), the leading real estate Internet portal in China, today announced that it has formally established its Shanghai Headquarters to support the expansion of its operations in Shanghai and East China area, which consists of 15 cities including Jiangsu Provincial Capital Nanjing and Zhejiang Provincial Capital Hangzhou. At the same time, SouFun announced that it has entered into an agreement to acquire a portion of the BaoAn Building in Shanghai for its Shanghai Headquarters through the acquisition of the entire equity interests in three companies that own and operate the property from China BaoAn Group Co., Ltd., a Chinese company, and its affiliated companies, for RMB800 million (US$127.3 million) in cash. The property, located at 800 Dongfang Road, Pudong, Shanghai, has usable space of approximately 42,000 square meters and is currently used for offices, retail space and a hotel, which will be converted into office and training space to support SouFun's expansion in Shanghai and East China area. The acquisition is expected to be completed in the first quarter of 2013.

"Shanghai and East China area houses China's most active economic zones and have been contributing substantially to SouFun's growth. We have been testing our operations in Shanghai and East China area for the past year and the official establishment of our Shanghai Headquarters will definitely boost our operations in that area." said Mr. Vincent Mo, SouFun's Executive Chairman. "The office space acquisition for our Shanghai Headquarters shows SouFun's commitment to Shanghai and East China area and will support Shanghai Headquarters' ever increasing need for office space."

Third Quarter 2012 Highlights

• Revenue in the third quarter of 2012 was US$127.2 million, or a 17.1% increase from the corresponding period in 2011.
• Operating income in the third quarter of 2012 was US$66.3 million, a 30.6% increase from the corresponding period in 2011. Non-GAAP operating income in the third quarter of 2012 was US$67.8 million, a 28.8% increase from the corresponding period in 2011.
• Net income attributable to shareholders recorded a year-over-year increase of 14.7% to US$49.2 million, orUS$0.61 per fully diluted share. Non-GAAP net income attributable to shareholders recorded a year-over-year increase of 25.6% to US$56.2 million, or US$0.70 per fully diluted share.

"We are happy to deliver another solid quarter in what has been the toughest quarter of this year." said Vincent Mo, Executive Chairman of SouFun. "Focus on SouFun's existing Marketing and Listing Services, together with creative and innovative SouFun membership services in China's new home market and SouFun Online Shop in the resale market, has supported and will continuously support SouFun's growth story and its stronger leadership in China's home related internet sector."

BEIJING, August 28, 2012 /PRNewswire-Asia/ -- SouFun Holdings Limited (the "Company" or "SouFun") (NYSE: SFUN), the leading real estate and home furnishing Internet portal in China, today announced that its board declared a cash dividend of US$1.00 per share on the Company's ordinary shares, which will be paid by September 28, 2012 to shareholders of record as of the close of business on September 6, 2012. Dividends to be paid to holders of SouFun's American depositary shares ("ADSs") through the depositary bank, JPMorgan Chase Bank, N.A., will be subject to the terms of the deposit agreement, including the fees and expenses payable thereunder. Each of the SouFun's ADSs represents one ordinary share.

Second Quarter 2012 Highlights

• Revenues in the second quarter of 2012 were US$97.0 million, a 20.4% increase from the corresponding period in 2011.
• Operating income in the second quarter of 2012 was US$47.0 million, a 27.3% increase from the corresponding period in 2011. Non-GAAP operating income in the second quarter of 2012 was US$48.2 million, a 25.7% increase from the corresponding period in 2011.
• Net income attributable to shareholders recorded a year-over-year increase of 41.1% to US$32.3 million, or US$0.40 per fully diluted share. Non-GAAP net income attributable to shareholders recorded a year-over-year increase of 21.1% to US$38.8 million, or US$0.48 per fully diluted share. 

"We are delighted to report another solid quarter, even under China's volatile real estate market condition." saidVincent Mo, Executive Chairman of SouFun. "Our solid fundamentals with strong brand, effective website platform, innovative products and services supported our continued growth. We believe that China's real estate market is stabilizing and SouFun is well positioned to capture the immense opportunities in China's real estate and home furnishing industries."

Business Outlook

SouFun raises its revenue guidance for fiscal year of 2012 from between US$380.0 million and US$400.0 million to between US$390.0 million and US$410.0 million, representing a year-on-year increase of 13.4% to 19.2%. This forecast reflects SouFun's current and preliminary view, which is subject to change.

First Quarter 2012 Highlights

• Revenues grew 43.4% to US$58.5 million compared to the first quarter of 2011.
• Operating income was US$13.7 million, an increase of 131.3% compared to the first quarter of 2011. Non-GAAP operating income was US$15.0 million, an increase of 89.0% compared to the first quarter of 2011.
• Net income attributable to shareholders was US$14.5 million, an increase of 152.9% compared to the first quarter of 2011. Non-GAAP net income attributable to shareholders was US$14.2 million, an increase of 83.3% compared to the first quarter of 2011.

We are happy to deliver the 6^th consecutive better than guidance results after IPO, said Vincent Mo, Executive Chairman of SouFun. �SouFun�s strong market leadership and sound fundamental plus its creative innovations made its great performance, even though China�s real estate and home furnishing markets were very dynamic. In addition, we are pleased that SouFun successfully passed its first year SOX 404 audit after IPO and the company will continue its efforts to implement tight internal control.

Business Outlook

We maintain and are confident in our revenue guidance for fiscal year of 2012 to be between US$380.0 million and US$400.0 million, even though uncertainties remain in China�s property market.

SouFun Holdings Limited (NYSE: SFUN)  China, today announced its unaudited financial results for the fourth quarter and fiscal year 2011.

Fourth Quarter 2011 Highlights

• Revenues grew 15.1% to US$113.9 million compared to the fourth quarter of 2010, and up 18.8% year-over-year excluding the effect from prepaid card business.
• Operating income was US$45.6 million, an increase of 5.7% compared to the fourth quarter of 2010. Non-GAAP operating income was US$47.4 million, an increase of 3.9% compared to the fourth quarter of 2010.
• Net income attributable to shareholders was US$30.1 million, a decrease of 24.2% compared to the fourth quarter of 2010. Non-GAAP net income attributable to shareholders was US$39.4 million, a decrease of 6.7% compared to the fourth quarter of 2010.

Fiscal year 2011 Highlights

• Revenues grew 53.2% to US$343.8 million compared to the fiscal year 2010, and up 62.5% year-over-year excluding the effect from prepaid card business.
• Operating income was US$139.2 million, an increase of 77.5% compared to the fiscal year 2010. Non-GAAP operating income was US$146.3 million, an increase of 69.6% compared to the fiscal year 2010.
• Net income attributable to shareholders was US$101.6 million, an increase of 61.0% compared to the fiscal year 2010. Non-GAAP net income attributable to shareholders was US$123.9 million, an increase of 66.6% compared to the fiscal year 2010.

“I am happy that SouFun had another great quarter and the company was way above its original 2011 guidance” said Vincent Mo, Executive Chairman of SouFun. “SouFun’s leadship in the market and its sound fundamental and overall experiences made its great performance happen in China’s tough real estate market in 2011. The current market situation won’t get better very soon but I’m confident that SouFun will continue to grow in 2012.”

Third Quarter 2011 Results

• For the third quarter of 2011, SouFun had total revenues of US$108.6 million, an increase of 89.2% compared to US$57.4 million for the same period of 2010. After excluding the effect from prepaid card business, total revenues for the third quarter of 2011 grow 99.4% compared to the same period of 2010.
• Net income attributable to shareholders for the third quarter of 2011 was US$42.9 million, an increase of 136.6% from US$18.1 million for the same period of 2010. Non-GAAP net income attributable to shareholders for the third quarter of 2011 was US$44.7 million, an increase of 126.9% compared to US$19.7 million for the same period of 2010. EPS of $0.52 vs $0.22

"SouFun's resilient internet model works very well in China's challenging real estate market," said Vincent Mo, Executive Chairman of SouFun. "With a stronger competitive position in the market, I'm confident in SouFun's continuous growth into the future."

Second Quarter of 2011 

Revenues up 93.0% year-over-year to US$80.6 million, and a 117.0% year-over-year increase excluding the effect from prepaid card business. 

Operating income up 305.3% year-over-year to US$36.9 million and non-GAAP operating income up 245.0% year-over-year to US$38.3 million. 

Net income attributable to shareholders up 681.0% year-over-year to US$22.9 million,and non-GAAP net income attributable to shareholders up 283.3% year-over-year to US$32.0 million. NON-GAAP EPS was $0.38 vs $0.11

Business Outlook 

SouFun adjusted up its estimate of total revenues for fiscal year of 2011 to be between US$290.0 million and US$300.0 million, representing a 37.1% to 41.8% growth compared to the total revenues (excluding those from prepaid card business) for fiscal year 2010.

First Quarter Results:

• For the first quarter of 2011, SouFun had total revenues of US$40.8 million, an increase of 54.2% compared to US$26.4 million for the same period of 2010.
• Non-GAAP operating income for the first quarter of 2011 was US$7.9 million, an increase of 69.8% compared to US$4.7 million for the same period in 2010.
• Non-GAAP net income attributable to shareholders for the first quarter of 2011 was US$7.7 million, an increase of 89.7% compared to US$4.1 million for the same period of 2010.
• SouFun adjusted up its estimate of total revenues for fiscal year of 2011 to be between US$280.0 million and US$290.0 million, representing a 32.3% to 37.1% year-over-year growth compared to the total revenues (excluding the effects from prepaid card business) for fiscal year 2010.

"We are happy to see our continuous growth momentum in the first quarter of 2011," said Vincent Mo, Executive Chairman of SouFun. "SouFun benefits from its strong market leadership in China’s dynamic real estate and home furnishing markets. SouFun will continue to focus on providing internet products and services to everything home in China and its new e-commerce initiative is expected to bring in new revenue potentials."

Fourth Quarter Earnings:

• Revenues up 68.2% year-over-year to US$98.9 million.
• Operating income up 43.3% year-over-year to US$43.1 million and non-GAAP operating income up 45.9% year-over-year to US$45.7 million.
• Net income attributable to shareholders up 43.1% year-over-year to US$39.7 million.
• Non-GAAP net income attributable to shareholders up 45.9% year-over-year to US$42.2 million.
• Operating cash flow up 131.9% year-over-year to US$58.6 million.
• Basic net income per ADS up 40.5% year-over-year to US$0.52
• Non-GAAP basic net income per ADS up 43.6% year-over-year to US$0.56, both adjusted by a 4-for-1 ADS split effective since February 18, 2011.

Fiscal year 2010

• Total revenues up 76.7% year-over-year to US$224.5 million
• Operating income up 62.2% year-over-year to US$78.4 million and non-GAAP operating income up 64.4% year-over-year to US$86.3 million.
• Net income attributable to shareholders up 19.9% year-over-year to US$63.1 million.
• Non-GAAP net income attributable to shareholders 2010 up 57.4% year-over-year to US$74.4 million.
• Operating cash flow up 63.2% year-over-year to US$107.6 million.
• Basic net income per ADS up 19.7% year-over-year to US$0.85
• Non-GAAP basic net income per ADS up 56.3% year-over-year to US$1.00, both adjusted by a 4-for-1 ADS split effective since February 18, 2011.

Guidance

• SouFun estimates its total revenues for fiscal year of 2011 to be between US$270.0 million and US$280.0 million, representing a 27.6% to 32.3% growth compared to the total revenues (excluding those from prepaid card business) for the fiscal year 2010.

"SouFun’s strong fourth quarter and full year 2010 financial results testified its long- term sustainable growth strategy and its emphasis on its organic growth as well as its resilient business model," said Vincent Mo, Executive Chairman of SouFun, "Sustainable growth at a relatively high rate for a long period of time is what SouFun looks for. We have been continuingly emphasizing on internal staff development and expanding to more markets (cities) for the company’s future growth. We hired more than 2,000 new employees in the past year and expanded our coverage from 102 cities in 2009 to 310 cities by the end of January 2011. We are confident that these efforts will provide strong support to SouFun’s future growth."

Company Snapshot:

Real estate Internet portal in China

Industry Snapshot:

• According to iResearch Inc., a leading PRC online market research company headquartered in Shanghai, China, the online advertising market in China, including brand advertising and paid search, is projected to grow from RMB17.0 billion (US$2.5 billion) in 2008 to RMB58.5 billion (US$8.6 billion) in 2012, representing a compound annual growth rate, or CAGR, of 36.2%.
  
• We believe that Internet users who search for real estate or home furnishing and improvement information on the Internet are an especially attractive demographic for real estate and home furnishing and improvement advertisers in China because they often comprise the more affluent and educated consumers. The Internet also provides a more targeted and cost-effective advertising medium for real estate developers, brokers and suppliers of home furnishing and improvement products and services to reach desirable customers. As such, over the long term, we expect that demand for online advertising, online listing and other Internet services from China’s real estate and home furnishing and improvement sectors will continue to grow.
  
• China’s real estate market, and in particular the market for new residential properties, has experienced significant growth in recent years. According to the 2009 China Statistical Yearbook, the total area of real estate development sold in GFA grew from approximately 720.5 million sq.m. in 2004 to 1,252.5 million sq.m. in 2008, representing an increase of 73.8%. The secondary real estate market in China is at an early stage of development, but we expect it to grow quickly in the coming years as an increasing number of high quality properties in desirable locations become available in the secondary market, as buyers move into secondary properties being vacated by buyers of new properties and as the proportion of government-assigned properties diminishes. We believe that the real estate sector will continue to be one of the major industries in China and will grow significantly in the foreseeable future, largely driven by increasing urbanization, continued macroeconomic growth and rising personal consumption across the nation.

Use Of proceeds:

We plan to use the net proceeds we receive from this offering for general corporate purposes.

Underwriter: Deutsche Bank Securities

Offering price: $42.50

Post IPO Share Calculation: (Using a 4 to 1 Ordinary to ADS conversion ratio).

•  17,500,000: Pre IPO fully diluted share count used in EPS calculation.
•       246,914: Newly issued shares 
•       439,986: Over-allotments

GeoTeam® best effort calculation of total post IPO ADS count to be used in EPS calculations, assuming full conversions and a Ordinary to ADS conversion ratio of 4 to 1:  18,186,900