Table of Contents


UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 6-K

 

Report of Foreign Private Issuer

Pursuant to Rule 13a-16 or 15d-16 of

the Securities Exchange Act of 1934

 

November 23, 2022

 

YANDEX N.V.

 

Schiphol Boulevard 165

1118 BG, Schiphol, the Netherlands.

Tel: +31 202 066 970

(Address, Including ZIP Code, and Telephone Number,

Including Area Code, of Registrant’s Principal Executive Offices)

 

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

 

Form 20-F      Form 40-F 

 

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): 

 

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): 


EXPLANATORY NOTE

Filed as Exhibit 99.1 to this Report on Form 6-K is a copy of the unaudited condensed consolidated financial statements of Yandex N.V. as of and for the three and nine months ended September 30, 2022.

INCORPORATION BY REFERENCE

Exhibit 99.1 to this Report on Form 6-K shall be deemed to be incorporated by reference into the registration statements on Form S-8 (Nos. 333-177622 and 333-213317) and Form F-3ASR (No. 333-239391) of Yandex N.V. (including any prospectuses forming a part of such registration statements) and to be a part thereof from the date on which this report is filed, to the extent not superseded by documents or reports subsequently filed or furnished.


SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

 

YANDEX N.V.

 

 

 

 

 

 

Date: November 23, 2022

By:

/s/ Svetlana Demyashkevich

 

 

Svetlana Demyashkevich

 

 

Chief Financial Officer


INDEX TO EXHIBITS

Exhibit No.

Description

99.1

Unaudited Condensed Consolidated Financial Statements of Yandex N.V. as of and for the three and nine months ended September 30, 2022


EXHIBIT 99.1

YANDEX N.V.

INDEX TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Page

Unaudited Condensed Consolidated Balance Sheets as of December 31, 2021 and September 30, 2022

F-2

Unaudited Condensed Consolidated Statements of Operations for the Three and Nine Months Ended September 30, 2021 and 2022

F-3

Unaudited Condensed Consolidated Statements of Comprehensive Income/(Loss) for the Three and Nine Months Ended September 30, 2021 and 2022

F-4

Unaudited Condensed Consolidated Statements of Cash Flows for the Nine Months Ended September 30, 2021 and 2022

F-5

Unaudited Condensed Consolidated Statements of Shareholders’ Equity for the Three and Nine Months Ended September 30, 2021 and 2022

F-7

Notes to the Unaudited Condensed Consolidated Financial Statements

F-9

F-1


YANDEX N.V.

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS

(In millions of Russian rubles (“RUB”) and U.S. dollars (“$”), except share and per share data)

d

As of

    

Notes

    

December 31,
2021*

    

September 30,
2022

    

September 30,
2022

RUB

RUB

$

ASSETS

Cash and cash equivalents

4

79,275

99,866

1,739.4

Term deposits

23,415

1,232

21.5

Investments in marketable equity securities

4

4,049

Trade accounts receivable, less allowance for doubtful accounts of RUB 2,716 and RUB 3,556, respectively

    

4

43,568

46,839

815.8

Inventory

9,587

17,317

301.6

Prepaid expenses

12,663

15,519

270.3

VAT reclaimable

13,498

15,032

261.8

Funds receivable, net

6,180

4,180

72.8

Other current assets

4

7,740

8,660

150.9

Total current assets

199,975

208,645

3,634.1

Goodwill

8

117,864

143,125

2,492.9

Property and equipment, net

6

98,325

109,077

1,899.9

Operating lease right-of-use assets

7

36,245

29,980

522.2

Intangible assets, net

8

22,359

31,881

555.3

Content assets, net

10

13,767

15,802

275.2

Equity method investments

4

9,425

6,441

112.2

Deferred tax assets

5,625

4,444

77.4

Long-term prepaid expenses

3,278

3,840

66.9

Other non-current assets

4

8,633

9,858

171.7

Total non-current assets

315,521

354,448

6,173.7

TOTAL ASSETS

515,496

563,093

9,807.8

LIABILITIES AND SHAREHOLDERS’ EQUITY

Accounts payable, accrued and other liabilities

4

81,555

96,259

1,676.6

Debt, current portion

12

2,940

20,946

364.8

Income and non-income taxes payable

4

16,196

27,132

472.6

Deferred revenue

10,415

11,779

205.2

Total current liabilities

111,106

156,116

2,719.2

Debt, non-current portion

12

85,835

29,885

520.5

Operating lease liabilities

7

24,642

18,870

328.7

Finance lease liabilities

7

15,350

18,208

317.1

Deferred tax liabilities

2,989

2,840

49.5

Other accrued liabilities

2,649

10,472

182.4

Total non-current liabilities

131,465

80,275

1,398.2

Total liabilities

242,571

236,391

4,117.4

Commitments and contingencies

10,11

Redeemable noncontrolling interests

869

41

0.7

Shareholders’ equity:

Priority share: €1 par value; 1 share authorized, issued and outstanding

Ordinary shares: par value (Class A €0.01, Class B €0.10 and Class C €0.09); shares authorized (Class A: 500,000,000, Class B: 37,138,658 and Class C: 37,748,658); shares issued (Class A: 323,800,479 and 326,016,891, respectively, Class B: 35,698,674, and Class C: 10,000); shares outstanding (Class A: 323,004,678 and 325,458,228, respectively, Class B: 35,698,674 and Class C: nil)

    

281

282

4.9

Treasury shares at cost (Class A: 795,801 and 558,663, respectively)

(2,728)

(1,393)

(24.3)

Additional paid-in capital

112,942

116,755

2,033.6

Accumulated other comprehensive income

16,193

22,579

393.3

Retained earnings

131,488

168,759

2,939.4

Total equity attributable to Yandex N.V.

258,176

306,982

5,346.9

Noncontrolling interests

13,880

19,679

342.8

Total shareholders’ equity

272,056

326,661

5,689.7

TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY

    

    

515,496

    

563,093

    

9,807.8

* Derived from audited consolidated financial statements and adjusted for certain reclassifications (Note 1)

The accompanying notes are an integral part of the unaudited condensed consolidated financial statements.

F-2


YANDEX N.V.

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(In millions of Russian rubles and U.S. dollars, except share and per share data)

Three months ended September 30,

Nine months ended September 30,

Notes

2021

2022

2022

2021

2022

2022

    

    

RUB

    

RUB

$

RUB

    

RUB

    

$

Revenues

4

91,305

133,163

2,319.4

245,843

356,921

6,216.7

Operating costs and expenses:

Cost of revenues(1)

45,671

55,654

969.4

121,487

 

155,386

2,706.5

Product development(1)

12,222

17,058

297.1

34,465

 

53,045

923.9

Sales, general and administrative(1)

32,961

42,186

734.7

83,532

 

118,733

2,068.0

Depreciation and amortization

6,135

7,468

130.1

17,033

 

22,648

394.5

Total operating costs and expenses

96,989

122,366

2,131.3

256,517

 

349,812

6,092.9

Income/(loss) from operations

(5,684)

10,797

188.1

(10,674)

 

7,109

123.8

Interest income

4

1,146

1,127

19.6

3,503

 

3,526

61.4

Interest expense

(938)

(779)

(13.6)

(2,592)

 

(2,508)

(43.7)

Gain on restructuring of convertible debt

12

 

9,305

162.1

Effect of the News and Zen deconsolidation

3

38,051

662.8

 

38,051

662.8

Income/(loss) from equity method investments

1,967

(890)

(15.5)

1,961

(1,341)

(23.4)

Other income/(loss), net

4

723

4,053

70.6

1,412

 

(514)

(8.9)

Net income/(loss) before income taxes

(2,786)

52,359

912.0

(6,390)

 

53,628

934.1

Income tax expense

 

9

1,122

6,818

118.8

5,402

 

13,068

227.6

Net income/(loss)

(3,908)

45,541

793.2

(11,792)

 

40,560

706.5

Net (income)/loss attributable to noncontrolling interests

523

(2,373)

(41.3)

1,551

 

(6,049)

(105.4)

Net income/(loss) attributable to Yandex N.V.

(3,385)

43,168

751.9

(10,241)

 

34,511

601.1

Net income/(loss) per Class A and Class B share:

Basic

 

2

(9.32)

116.38

2.03

(28.28)

 

94.02

1.64

Diluted

 

2

(9.32)

116.23

2.02

(28.28)

 

69.62

1.21

Weighted average number of Class A
and Class B shares used in per share computation

Basic

 

2

363,390,831

370,925,704

370,925,704

362,097,366

 

367,071,728

367,071,728

Diluted

 

2

363,390,831

371,390,423

371,390,423

362,097,366

 

375,794,547

375,794,547


(1)These balances exclude depreciation and amortization expenses, which are presented separately, and include share-based compensation expenses of:

Cost of revenues

    

117

 

169

2.9

367

 

449

7.8

Product development

 

2,734

 

3,771

65.7

8,768

 

11,237

195.7

Sales, general and administrative

 

2,284

 

2,523

44.0

6,666

 

7,537

131.3

The accompanying notes are an integral part of the unaudited condensed consolidated financial statements.

F-3


YANDEX N.V.

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME/(LOSS)

(In millions of Russian rubles and U.S. dollars)

Three months ended September 30,

Nine months ended September 30,

    

2021

2022

2022

2021

2022

2022

RUB

RUB

$

RUB

RUB

$

Net income/(loss)

(3,908)

45,541

793.2

(11,792)

40,560

706.5

Foreign currency translation, net of tax of nil

135

(656)

(11.4)

(1,239)

6,197

107.9

Total comprehensive income/(loss)

(3,773)

44,885

781.8

(13,031)

46,757

814.4

Total comprehensive (income)/loss attributable to noncontrolling interests

626

(2,442)

(42.5)

1,437

(5,860)

(102.1)

Total comprehensive income/(loss) attributable to Yandex N.V.

(3,147)

42,443

739.3

(11,594)

40,897

712.3

The accompanying notes are an integral part of the unaudited condensed consolidated financial statements.

F-4


YANDEX N.V.

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(In millions of Russian rubles and U.S. dollars)

Nine months ended September 30,

    

Notes

2021

2022

2022

RUB

RUB

$

CASH FLOWS PROVIDED BY OPERATING ACTIVITIES:

Net income/(loss)

(11,792)

40,560

706.5

Adjustments to reconcile net income/(loss) to net cash provided by operating activities:

Depreciation of property and equipment

6

12,719

17,279

301.0

Amortization of intangible assets

8

4,314

5,369

93.5

Amortization of content assets

10

5,445

6,677

116.3

Operating lease right-of-use assets amortization and the lease liability accretion

8,040

11,087

193.1

Amortization of debt discount and issuance costs

12

1,554

585

10.2

Share-based compensation expense (excluding cash settled awards of nil and

13

15,801

4,270

74.4

RUB 14,953, respectively)

Deferred income tax expense/(benefit)

(5,403)

1,399

24.4

Foreign exchange gains

4

(86)

(11)

(0.2)

Loss/(income) from equity method investments

(1,961)

1,341

23.4

Gain on restructuring of convertible debt

12

(9,305)

(162.1)

Effect of the News and Zen deconsolidation

3

(38,051)

(662.8)

Impairment of long-lived assets

3,644

63.5

Provision for expected credit losses

986

1,769

30.8

Other

(325)

801

14.0

Changes in operating assets and liabilities excluding the effect of acquisitions:

Trade accounts receivable

(7,423)

(4,296)

(74.8)

Prepaid expenses

(8,464)

(5,129)

(89.4)

Inventory

(2,257)

(7,526)

(131.1)

Accounts payable, accrued and other liabilities and non-income taxes payable

9,849

22,861

398.1

Deferred revenue

1,173

1,654

28.8

Other assets

(8,809)

(1,533)

(26.7)

Content assets

(9,603)

(8,718)

(151.8)

Content liabilities

2,132

(1,440)

(25.1)

Net cash provided by operating activities

5,890

43,287

754.0

CASH FLOWS PROVIDED BY/(USED IN) INVESTING ACTIVITIES:

Purchases of property and equipment and intangible assets

 

(25,742)

(30,296)

(527.7)

Acquisitions of businesses, net of cash acquired

 

(8,236)

(820)

(14.3)

Investments in marketable equity securities

(9,869)

Proceeds from sale of marketable equity securities

5,652

5,859

102.1

Investments in debt securities

100

1.7

Net cash acquired as a result of the News and Zen deconsolidation and the Company's acquisition of Delivery Club

1,795

31.3

Investments in term deposits

(240,676)

(3,235)

(56.3)

Maturities of term deposits

292,031

25,769

448.7

Loans granted

(1,103)

(169)

(2.9)

Proceeds from repayments of loans

1,277

480

8.4

Other investing activities

(596)

(471)

(8.2)

Net cash provided by/(used in) investing activities

12,738

(988)

(17.2)

The accompanying notes are an integral part of the unaudited condensed consolidated financial statements.

F-5


YANDEX N.V.

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Continued)

(In millions of Russian rubles and U.S. dollars)

Nine months ended September 30,

    

Notes

2021

2022

2022

RUB

RUB

$

CASH FLOWS USED IN FINANCING ACTIVITIES:

Proceeds from exercise of share options

1,039

Repurchases of ordinary shares

(3,530)

Repayment of convertible debt

(49,364)

(859.8)

Proceeds from issuance of debt

50,228

874.9

Payment of contingent consideration and holdback amount

(5,504)

(195)

(3.4)

Payment for finance leases

(436)

(1,154)

(20.1)

Payment of overdraft borrowings

(2,940)

(51.2)

Purchase of non-redeemable noncontrolling interests

(58,363)

Other financing activities

(1,944)

(1,390)

(24.3)

Net cash used in financing activities

(68,738)

(4,815)

(83.9)

Effect of exchange rate changes on cash and cash equivalents, and restricted cash and cash equivalents

(849)

(15,866)

(276.3)

Net change in cash and cash equivalents, and restricted cash and cash equivalents

(50,959)

21,618

376.6

Cash and cash equivalents, and restricted cash and cash equivalents, beginning of period

132,446

79,398

1,382.9

Cash and cash equivalents, and restricted cash and cash equivalents, end of period

81,487

101,016

1,759.5

RECONCILIATION OF CASH AND CASH EQUIVALENTS, AND RESTRICTED CASH AND CASH EQUIVALENTS:

Cash and cash equivalents, beginning of period

132,398

79,274

1,380.8

Restricted cash and cash equivalents, beginning of period

48

124

2.1

Cash and cash equivalents, and restricted cash and cash equivalents, beginning of period

132,446

79,398

1,382.9

Cash and cash equivalents, end of period

81,425

99,866

1,739.4

Restricted cash and cash equivalents, end of period

62

1,150

20.1

Cash and cash equivalents, and restricted cash and cash equivalents, end of period

81,487

101,016

1,759.5

SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:

 

Cash paid for income taxes

10,460

6,989

 

121.7

Cash paid for acquisitions

8,921

1,031

 

18.0

Convertible notes coupon paid

688

439

7.6

Interest paid for finance leases

301

936

16.3

Interest paid on loans

463

8.1

Operating cash flows from operating leases

8,696

9,889

172.2

Non-cash operating activities:

Increase of right-of-use assets due to new operating lease and lease modification

22,280

4,627

80.6

Non-cash investing activities:

Acquired property and equipment and intangible assets not yet paid for

7,665

2,847

49.6

Non-cash financing activities:

Increase of right-of-use assets due to new finance lease and lease modification

11,531

5,199

90.6

The accompanying notes are an integral part of the unaudited condensed consolidated financial statements.

F-6


Table of Contents

YANDEX N.V.

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS’ EQUITY

(In millions of Russian rubles and U.S. dollars, except share and per share data)

Three months ended September 30, 2021

Priority Share

Ordinary Shares

Accumulated

Redeemable

Issued and

Issued and

Treasury

Additional

Other

Non-

 

non-

Outstanding

Outstanding

shares at

Paid-In

Comprehensive

Retained

controlling

 

controlling

Shares

Amount

Shares

Amount

cost

Capital

Income

Earnings

interests

Total

 

interests

    

    

RUB

    

    

RUB

RUB

RUB

RUB

RUB

RUB

    

RUB

    

RUB

Balance as of June 30, 2021

    

1

    

    

357,380,343

    

280

(5)

173,080

16,332

139,330

19,235

 

348,252

1,783

Share-based compensation

 

5,071

5,071

Exercise of share options

 

1,759,817

174

174

Tax withholding related to exercise of share awards

(59)

(59)

Reissue of shares for options exercised

 

1

(2)

(1)

Repurchase of shares

(581,164)

(3,356)

(3,356)

Repurchase of share options

216

(13)

203

(741)

Foreign currency translation adjustment

 

(206)

(103)

(309)

Change in redemption value of redeemable noncontrolling interests

(16)

(16)

16

Transaction with Uber

(69,676)

444

(3,756)

(72,988)

Net loss

(3,385)

(523)

(3,908)

Other

1

(1)

4

4

Balance as of September 30, 2021

1

358,558,996

281

(3,361)

108,804

16,570

135,920

14,853

273,067

1,058

Three months ended September 30, 2022

Priority Share

Ordinary Shares

Accumulated

Redeemable

Issued and

Issued and

Treasury

Additional

Other

Non-

 

non-

Outstanding

Outstanding

shares at

Paid-In

Comprehensive

Retained

controlling

 

controlling

Shares

Amount

Shares

Amount

cost

Capital

Income

Earnings

interests

Total

 

interests

    

    

RUB

    

    

RUB

RUB

RUB

RUB

RUB

RUB

    

RUB

    

RUB

Balance as of June 30, 2022

 

1

    

    

358,940,490

    

281

(1,393)

116,634

23,304

125,293

17,237

 

281,356

338

Share-based compensation

718

718

Convertible debt restructuring

 

(596)

(596)

Issue of new shares (Note 12)

2,216,412

1

(1)

Foreign currency translation adjustment

(725)

69

(656)

Change in redemption value of redeemable noncontrolling interests

297

297

(297)

Net income

43,168

2,373

45,541

Other

1

1

Balance as of September 30, 2022

1

361,156,902

282

(1,393)

116,755

22,579

168,759

19,679

326,661

41

Balance as of September 30, 2022, $

 

4.9

(24.3)

2,033.6

393.3

2,939.4

342.8

5,689.7

0.7

The accompanying notes are an integral part of the unaudited condensed consolidated financial statements

F-7


YANDEX N.V.

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS’ EQUITY (CONTINUED)

(In millions of Russian rubles and U.S. dollars, except share and per share data)

Nine months ended September 30, 2021

Priority Share

Ordinary Shares

Accumulated

Redeemable

Issued and

Issued and

Treasury

Additional

Other

Non-

 

non-

Outstanding

Outstanding

shares at

Paid-In

Comprehensive

Retained

controlling

 

controlling

Shares

Amount

Shares

Amount

cost

Capital

Income

Earnings

interests

Total

 

interests

    

    

RUB

    

    

RUB

    

RUB

    

RUB

    

RUB

    

RUB

RUB

    

RUB

    

RUB

Balance as of December 31, 2020

    

1

354,210,532

278

(6)

160,857

17,923

145,789

20,094

344,935

3,167

Share-based compensation

 

15,899

15,899

Exercise of share options

4,929,628

1,030

1,030

Tax withholding related to exercise of share awards

(180)

(180)

Reissue of shares for options exercised

 

4

(5)

(1)

Repurchases of shares

(581,164)

(3,356)

(3,356)

Repurchase of share options

627

1

628

(1,717)

Change in redemption value of redeemable noncontrolling interests

392

392

(392)

Foreign currency translation adjustment

(1,795)

114

(1,681)

Transaction with Uber

 

(69,676)

444

(3,756)

(72,988)

Net loss

(10,241)

(1,551)

(11,792)

Other

3

(3)

252

(2)

(21)

(48)

181

Balance as of September 30, 2021

 

1

358,558,996

281

(3,361)

108,804

16,570

135,920

14,853

273,067

1,058

Nine months ended September 30, 2022

Priority Share

Ordinary Shares

Accumulated

Redeemable

Issued and

Issued and

Treasury

Additional

Other

Non-

 

non-

Outstanding

Outstanding

shares at

Paid-In

Comprehensive

Retained

controlling

 

controlling

Shares

Amount

Shares

Amount

cost

Capital

Income

Earnings

interests

Total

 

interests

    

    

RUB

    

RUB

RUB

RUB

RUB

RUB

RUB

    

RUB

    

RUB

Balance as of December 31, 2021

1

358,703,352

281

(2,728)

112,942

16,193

131,488

13,880

 

272,056

869

Effect of adoption of ASU 2020-06 (Note 1)

(8,573)

2,511

(6,062)

Adjusted balance as of January 1, 2022

1

358,703,352

281

(2,728)

104,369

16,193

133,999

13,880

265,994

869

Share-based compensation

4,345

4,345

Issue of new shares (Note 12)

2,216,412

1

(1)

Exercise of share options

 

237,138

Tax withholding related to exercise of share awards

(25)

(25)

Reissue of shares for options exercised

1,335

(1,335)

Convertible debt restructuring

9,345

9,345

Repurchase of share options

(5)

(105)

(110)

(474)

Change in redemption value of redeemable noncontrolling interests

354

354

(354)

Foreign currency translation adjustment

6,386

(189)

6,197

Net income

34,511

6,049

40,560

Other

62

(61)

1

Balance as of September 30, 2022

1

361,156,902

282

(1,393)

116,755

22,579

168,759

19,679

326,661

41

Balance as of September 30, 2022, $

 

4.9

(24.3)

2,033.6

393.3

2,939.4

342.8