Second Quarter 2014 Financial Highlights

 • Revenues were RMB274.6 million (US$44.3 million1), compared with RMB72.0 million in the second quarter of 2013 and RMB214.7 million in the first quarter of 2014. Revenues were 281.4% higher year-over-year and 27.9% higher quarter-over-quarter.

 • Operating income was RMB43.6 million (US$7.0 million), compared with operating loss of RMB13.2 million in the second quarter of 2013 and operating income of RMB37.6 million in the first quarter of 2014. Operating income was RMB56.8 million higher year-over-year and 16.0% higher quarter-over-quarter.

 • Pre-tax income was RMB50.5 million (US$8.1 million), compared with pre-tax loss of RMB12.1 million in the second quarter of 2013 and pre-tax income of RMB40.6 million in the first quarter of 2014. Pre-tax income was RMB62.6 million higher year-over-year and 24.4% higher quarter-over-quarter.

 • Net income was RMB54.9 million (US$8.8 million), compared with net loss of RMB12.6 million in the second quarter of 2013 and net income of RMB34.7 million in the first quarter of 2014. Net income was RMB67.5 million higher year-over-year and 58.2% higher quarter-over-quarter.

 • Non-GAAP2 net income, excluding (1) share-based compensation expenses and (2) independent committee investigation costs, was RMB63.1 million (US$10.2 million), compared with non-GAAP net loss of RMB3.9 million in the second quarter of 2013 and non-GAAP net income of RMB38.3 million in the first quarter of 2014. Non-GAAP net income was RMB67.0 million higher year-over-year and 64.8% higher quarter-over-quarter.

 • Basic and diluted earnings per American depositary share3 (“ADS”) were RMB1.76 (US$0.28) and RMB1.66 (US$0.27), respectively, compared with basic and diluted loss per ADS of RMB0.66 in the second quarter of 2013. Basic and diluted earnings per ADS were RMB1.26 and RMB1.16, respectively, in the first quarter of 2014.