What happened Shares of Cheetah Mobile (NYSE: CMCM) briefly sprinted higher this morning, up as much as 9% in early trading, after the company reported second-quarter earnings. The stock has since given back most of those gains and is up 2% as of 12:20 p.m. EDT. So what Revenue in the second quarter declined by 59% to 394.2 million yuan ($55.8 million), which translated into adjusted net income of 243.9 million yuan ($34.5 million), or 1.74 yuan ($0.25) per American depositary share (ADS). Image source: Getty Images. The Chinese mobile tech company said that its advertising revenue was significantly impacted by the COVID-19 pandemic, as many large advertising customers are located in big cities like Beijing. Cheetah also acknowledged that its mobile entertainment business took a major hit after Alphabet's Google suspended its apps and kicked the company off its advertising platforms in February. "Our second quarter revenue came in ahead of management's expectations despite the unfavorable macro environment caused by the outbreak of COVID-19," CEO Sheng Fu said in a statement. "We have shifted our business focus from overseas markets to the domestic market." Now what Looking ahead, revenue in the third quarter is expected to be in the range of 310 million yuan ($43.9 million) to 360 million yuan ($51 million), which includes the deconsolidation of LiveMe's revenue since Cheetah Mobile no longer holds a majority stake in that company. "In addition, Cheetah Mobile has a very strong balance sheet," added CFO Thomas Ren. "Backed by our clear, strategic focus, strict cost saving measures, and strong cash position, we are confident in our ability to improve our financial condition in the coming quarters." 10 stocks we like better than Cheetah MobileWhen investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* David and Tom just revealed what they believe are the ten best stocks for investors to buy right now... and Cheetah Mobile wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of August 1, 2020 Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors. Evan Niu, CFA has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends Alphabet (A shares) and Alphabet (C shares). The Motley Fool has a disclosure policy.Source