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CONSOLIDATED STATEMENTS OF CASH FLOWS - CNY (¥)
¥ in Thousands
12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
Operating activities:      
Net income ¥ 241,854 ¥ 178,760 ¥ 151,850
Adjustments to reconcile net income to net cash provided by operating activities:      
Depreciation 72,757 54,981 43,478
Bad debt expense 33,605 63,103 46,000
Loss on disposal of property and equipment 297 500 1,102
Deferred income tax benefit (18,895) (21,614) (4,190)
Share based compensation expense 67,824 32,919 24,976
Other income 29
Foreign currency exchange losses (gains), net (3,760) 29,499 (6,605)
Changes in operating assets and liabilities, net of effects from acquisition of Hanru Hangzhou      
Accounts receivable 22,928 (66,901) (102,974)
Prepaid expenses and other current assets (60,362) (16,713) (15,125)
Accrued interest income on time deposits 5,264 (655) (17,587)
Other non-current assets (7,071) (3,757) (4,042)
Accounts payable (248) 533 (269)
Amounts due to a related party (800) 879
Income taxes payable 34,947 23,287 14,641
Deferred revenue 101,439 46,570 23,528
Accrued expenses and other current liabilities 36,781 27,362 11,992
Other non-current liabilities (2,559) (1,055) 8,568
Net cash provided by operating activities 524,030 347,698 175,343
Investing activities:      
Purchase of property and equipment (381,982) (99,961) (48,405)
Proceeds from disposal of property and equipment 358 1,040 227
Purchase of short term investments (1,937,000) (945,000) (622,800)
Proceeds from maturity of short term investments 1,937,000 945,000 622,800
Purchase of long-term investments (12,755) (24,000)
Payment for acquisition of Hanru Hangzhou (4,360) (1,000)
Cash acquired from acquisition of Hanru Hangzhou 148
Purchase of time deposits (421,170) (639,019) (708,124)
Proceeds from maturity of time deposits 678,741 690,250 22,325
Issuance of loans to employees (18,525) (1,227) (3,030)
Proceeds from repayment of loans from employees 3,096 1,608 2,468
Net cash provided by (used in) investing activities (156,449) (72,309) (734,539)
Financing activities:      
Amounts received on behalf of a related party 1,432
Repayment of amounts received on behalf of a related party (1,432)
Issuance of Class A ordinary shares upon the IPO 592,161
Issuance of Class A ordinary shares in private placement concurrent with the IPO 83,052
Issuance of Class A ordinary shares in connection with exercise of share options 20,388 22,456 1,518
Payment of dividend (54,026)
Repurchase of treasury shares (44,406) (49,355)
Payment of IPO costs (21,705)
Net cash provided by (used in) financing activities (78,044) (26,899) 655,026
Effect of foreign currency exchange rate changes on cash and cash equivalents 7,197 4,413 5,837
Net increase in cash and cash equivalents 296,734 252,903 101,667
Cash and cash equivalents at beginning of year 513,938 261,035 159,368
Cash and cash equivalents at end of year 810,672 513,938 261,035
Supplemental disclosure of cash flow information:      
Income taxes paid 3,096 2,246 3,479
Non-cash investing and financing activities:      
Accrual for purchase of equipment 3,692 3,685 1,758
Series A [Member]      
Non-cash investing and financing activities:      
Conversion of convertible redeemable preferred shares 3,648
Series B [Member]      
Non-cash investing and financing activities:      
Conversion of convertible redeemable preferred shares 107,994
Series C [Member]      
Non-cash investing and financing activities:      
Conversion of convertible redeemable preferred shares ¥ 592,849