OYY Inc. (NASDAQ:YY) Q2 2022 Earnings Conference Call August 29, 2022 9:00 PM ET Company Participants Jane Xie - Senior Manager of Investor Relations David Xueling Li - Chairman & Chief Executive Officer Alex Liu - General Manager of Finance Ting Li - Chief Operating Officer Conference Call Participants Alex Poon - Morgan Stanley Thomas Chong - Jefferies Daniel Chen - JPMorgan Yiwen Zhang - China Renaissance Operator Good morning, ladies and gentlemen. Thank you for standing by, and welcome to the JOYY Inc. ...

JOYY Inc. (NASDAQ:YY) Q1 2022 Earnings Conference Call May 31, 2022 9:00 PM ET Company Participants Jane Xie - Senior Manager of Investor Relations David Xueling Li - Chairman & Chief Executive Officer Alex Liu - General Manager of Finance Conference Call Participants Alex Poon - Morgan Stanley Thomas Chong - Jefferies Yiwen Zhang - China Renaissance Operator Ladies and gentlemen, thank you for standing by and welcome to the JOYY Inc.'s First Quarter 2022 Earnings Call. At this time, all participants are in ...

Financial Data and Key Metrics Changes - Total revenues increased by 16.8% year-over-year to $663.7 million in Q4 2021, with full-year revenues reaching $2.62 billion, a 36.5% increase from 2020 [5][31][26] - Non-GAAP net profit for the group was $98.3 million in Q4 2021, with a non-GAAP net margin of 14.8% [30][31] - BIGO's non-GAAP net profit expanded to $103.5 million in Q4 2021, with a non-GAAP net margin improving to 18% from 0.4% in the prior year [31][30] Business Line Data and Key Metrics Changes - BIGO's revenue grew by 30.2% year-over-year to $576.1 million in Q4 2021, contributing significantly to overall revenue growth [5][31] - BIGO LIVE's MAU increased by 11.9% year-over-year to 32.2 million, with live streaming revenue and paying users rising by 12.5% and 10.3%, respectively [11][12] - Likee's live streaming revenue grew by 26.5% year-over-year, with a 59.1% increase in revenue from the Middle East [18][19] - HAGO's live streaming revenue and paying users increased by 32.1% and 33.9% year-over-year, respectively [21] Market Data and Key Metrics Changes - Revenue and paying users from Europe increased by 42.2% and 40.7%, respectively, while Southeast Asia and other emerging markets saw increases of 16.6% and 24.4% [12] - Likee's MAU reached 67 million, experiencing short-term fluctuations but showing signs of recovery [17][50] Company Strategy and Development Direction - The company aims to enhance its leadership position in the social entertainment industry through globalization strategies and localized content [10][16] - Continued investment in content and marketing strategies for Likee and HAGO is planned to improve user engagement and monetization [8][20] - The company is focused on constructing interest-based online communities to enrich user experiences and drive monetization growth [17] Management's Comments on Operating Environment and Future Outlook - Management noted increased uncertainty and volatility in the macroenvironment, impacting user engagement and paying behavior [37] - Despite challenges, the company expects steady top-line growth in 2022, driven by key regions and product monetization [39][38] - The company anticipates a gradual acceleration in business growth in the second half of 2022 [39] Other Important Information - The company authorized an additional share repurchase program for $1.2 billion and has repurchased approximately $393 million of shares as of December 31, 2021 [23][33] - A dividend of $0.51 per ADS for Q4 2021 is expected to be paid on April 29, 2022 [32] Q&A Session Summary Question: Revenue growth outlook in 2022 and margin improvements - Management highlighted the complexity of the macroenvironment but noted the effectiveness of their diversified globalization strategy, expecting steady growth driven by multiple regions and products [37][38] Question: Competitive landscape in overseas markets - Management emphasized the resilience of their business and competitive advantages gained from profitability, while acknowledging disruptions caused by the pandemic [45][46] Question: Plans for Likee's marketing and monetization - Management stated that Likee will continue to invest in content creators and expects to narrow operating losses while maintaining steady monetization growth [50][49]

Financial Data and Key Metrics Changes - Total quarterly revenues increased by 21.7% year-over-year to $651 million, with BIGO's revenue rising by 60.1% year-over-year to $569 million [5][23] - Non-GAAP net profit reached $35.1 million, marking the first non-GAAP profitability at the group level since deconsolidating YY Live [5][28] - Gross profit increased by 35.5% year-over-year to $210.8 million, with gross margin improving to 32.4% from 29.1% [25] - GAAP net income from continuing operations was $7.5 million, compared to $91 million in the same period of 2020 [27] Business Line Data and Key Metrics Changes - Bigo Live's revenue increased by 8.6% year-over-year, with MAU rising by 10.7% to 31 million [7][8] - Likee's MAU declined to $76.8 million, but live streaming revenue grew by 58.1% year-over-year, driven by the Middle East [14][15] - HAGO's live streaming revenue grew by 78.7% year-over-year, with the number of paying users increasing by 1.5 times [17] Market Data and Key Metrics Changes - Revenue from Europe for Bigo Live increased by 50.6%, while Southeast Asia and other emerging regions saw revenue growth of 29.6% and 31.7% respectively [8] - The penetration rates for live streaming remain low, indicating significant growth opportunities ahead [8] Company Strategy and Development Direction - The company is focused on globalization, diversifying content offerings, and enhancing synergy among products to improve profitability [6][20] - Plans to deepen penetration in key markets including North America, Europe, and the Middle East, while dedicating resources to emerging markets [9] - Emphasis on cultivating a community of content creators and enhancing user engagement through innovative features [12][20] Management's Comments on Operating Environment and Future Outlook - Management noted increased uncertainty due to COVID-19, impacting user behavior and monetization capabilities [36] - Q4 revenue guidance is projected between $652 million and $661 million, reflecting a year-over-year increase of 14.7% to 16.3% [31][32] - The company aims for steady growth while balancing profitability, with expectations for Bigo to remain profitable in 2022 [38][49] Other Important Information - The company announced a new share repurchase plan, allowing for the repurchase of up to $1 billion of shares to demonstrate confidence in long-term growth [21][30] - A dividend of $0.51 per ADS is expected to be paid on December 23, 2021 [29] Q&A Session Summary Question: Impact of COVID-19 on user behavior and monetization - Management acknowledged fluctuations in user engagement due to COVID-19, with some regions experiencing weakened consumer confidence affecting payment behavior [36] Question: Q4 revenue guidance and business line trends - Management expects modest increases in content costs and sales and marketing expenses in Q4, leading to slight decreases in gross margin [37] Question: New features and content for Bigo Live and Likee - Management highlighted the introduction of new features like BIGO Marketplace and Super Like, which have received positive user feedback [40][42] Question: Likee's marketing strategy and market trends - Management emphasized a shift towards private traffic and supporting KOLs to monetize their fan groups, differentiating from competitors [46][48]

JOYY Inc. (NASDAQ:YY) Q2 2021 Earnings Conference Call August 18, 2021 9:00 PM ET Company Participants Jane Xie - Senior Manager, IR David Xueling Li - Chairman and CEO Alex Leo - General Manager, Finance Conference Call Participants Thomas Chung - Jefferies Alex Poon - Morgan Stanley Yiwen Zhang - China Renaissance Lei Zhang - Bank of America Tian Hou - TH Capital Operator Ladies and gentlemen, thank you for standing by, and welcome to the JOYY Inc.'s Second Quarter 2021 Earnings Call. At this time, all pa ...

Financial Data and Key Metrics Changes - JOYY's total revenue for Q1 2021 increased by 88.1% year-over-year to $643 million, exceeding market expectations [6][24] - Revenue from Bigo grew by 92.5% year-over-year to $581 million, with paying users increasing by 72.1% to 1.67 million [6][24] - Gross profit rose by 119.8% year-over-year to $200.2 million, with gross margin improving to 31.1% from 26.6% [25][28] - GAAP net loss from continuing operations was $87.3 million, compared to $62.3 million in the same period of 2020 [28] Business Line Data and Key Metrics Changes - Bigo Live's MAU grew by 9% year-over-year to 29.1 million, with revenue increasing by 106.2% year-over-year [12][24] - Likee's MAUs declined by 12.6% year-over-year to 115 million, but its revenue multiplied by 4.2 times year-over-year [16][24] - HAGO's MAUs were 13.1 million, with revenue increasing by 66.8% year-over-year [18][24] Market Data and Key Metrics Changes - Revenue from Europe grew by 227.8% year-over-year, with paying users increasing by 118.9% [13] - Revenue from the Eastern Pacific region grew by 147.5%, with paying users increasing by 63.2% [13] - Revenue from the Middle East grew by 46.1%, with paying users increasing by 39.9% [13] Company Strategy and Development Direction - The company aims to enhance its competitive edge through globalization and localization strategies, focusing on short-form video and live streaming [6][7] - JOYY plans to continue augmenting its localized content ecosystem and empower users with video production tools [9][10] - The company is exploring new business opportunities in cross-border e-commerce and cloud-based audio and video enterprise services [11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in Bigo's growth potential, indicating that it could achieve four to five times the revenue of YY Live in the near future [34] - The company is adjusting its advertising strategy to prioritize content ecosystem development over aggressive market share acquisition [35] - Management acknowledged geopolitical risks but emphasized compliance with local regulations and a diversified server network to mitigate these risks [46][47] Other Important Information - JOYY plans to distribute a dividend of $0.51 per ADS for Q1 2021, expected to be paid on June 28, 2021 [29] - The company has repurchased approximately $196.8 million of its shares as part of its share repurchase program [29] Q&A Session Summary Question: Management changes at Bigo and impact on operations - Management confirmed personnel changes at Bigo to better execute long-term strategies, emphasizing confidence in global market potential [34] Question: Update on the Baidu deal regarding YY Live - Management stated that the sale of YY Live to Baidu has been substantially completed, with customary matters still in progress [38] Question: Content cost trends and margin outlook - Management indicated that reduced advertising spending will be redirected to R&D and content ecosystem development, expecting improved operating margins for Bigo [40][41] Question: Monetization strategies and geopolitical risks - Management highlighted live streaming as a promising monetization tool and acknowledged challenges in advertising revenue, while emphasizing compliance with local regulations to mitigate geopolitical risks [44][46]