Page 1

Cheetah Mobile Announces Second Quarter 2021 Unaudited Consolidated Financial Results BEIJING , September 7 , 2021 Cheetah Mobile Inc. ( NYSE : CMCM ) ( " Cheetah Mobile " or the " Company " ) , a leading internet company , today announced its unaudited consolidated financial results for the second quarter 2021 ended June 30 , 2021 . Management Commentary Mr. Sheng Fu , Cheetah Mobile's Chairman and Chief Executive Officer , stated , " We delivered a healthy quarter with total revenue of RMB212 million ( USD33 million ) , which is within our previous guidance . For the first time in 10 quarters , we achieved a quarter over quarter sequential revenue growth . In this quarter , our Internet membership business maintained a strong momentum in both membership number and revenue , especially the revenue from renewal . We are also happy to see more and more members choosing longer - term service now . For our AI business , the business model of shopping - mall coupon - selling robots has been working well . In this quarter , we have opened up more new use cases and GMV ( Gross Merchandise Volume ) was up by double digits . We are optimistic about the progress we are making and confident that we will continue to achieve our strategic goals steadily . " Mr. Thomas Ren , Cheetah Mobile's Chief Financial Officer , commented , “ In the second quarter of 2021 , our gross margin kept improving to 76.1 % , compared to 71.2 % in the same period last year and 70.1 % in the first quarter 2021. This result reflects our continuous efforts in improving operational efficiency . We ended this quarter with RMB1,672 million ( US $ 259 million ) in cash and cash equivalents , restricted cash and short - term investments . The robust balance sheet makes it possible for us to invest across our core business to support our long - term growth plans . ” Second Quarter 2021 Consolidated Financial Results REVENUES Total revenues were RMB211.7 million ( US $ 32.8 million ) in the second quarter of 2021 , representing a decrease of 46.3 % year over year and an increase of 6.7 % quarter over quarter . Revenues from the Company's internet business decreased by 45.6 % year over year and increased by 8.6 % quarter over quarter to RMB203.8 million ( US $ 31.6 million ) in the second quarter of 2021. The year - over - year decrease was due to the Company's strategic efforts to diminish the gaming - related business in past quarters . The quarter- over - quarter increase was mainly from the growth of our membership business and the commertialization of some new utility products on mobile platform . 1 / 13