JOYY Reports Second Quarter 2024 Unaudited Financial Results

Financial Performance - Net revenues for the second quarter of 2024 were US$565.1 million, an increase from US$547.3 million in the same period of 2023, representing a year-over-year growth of 3.3% [2][5] - Net income attributable to controlling interest was US$52.1 million, down from US$155.1 million in the corresponding period of 2023, reflecting a significant decline of 66.5% [2][10] - Non-GAAP net income attributable to controlling interest and common shareholders was US$74.0 million, compared to US$97.3 million in the same period of 2023, a decrease of 23.9% [2][10] Operational Highlights - Average mobile monthly active users (MAUs) for Bigo Live were 37.7 million, down from 38.5 million in the same period of 2023 [3] - Average mobile MAUs for Likee decreased to 35.6 million from 43.2 million, primarily due to disciplined spending on user acquisition [3] - The total number of paying users for BIGO increased to 1.66 million, up from 1.53 million in the corresponding period of 2023 [3] Revenue Breakdown - Live streaming revenues were US$459.7 million, a decrease from US$477.0 million in the same period of 2023 [5] - Other revenues saw a substantial increase of 49.8%, reaching US$105.4 million compared to US$70.4 million in the same period of 2023, driven by growth in advertisement revenues [5] Cost and Profitability - Cost of revenues increased by 4.8% to US$366.2 million from US$349.6 million in the corresponding period of 2023 [6] - Gross profit was US$198.9 million, slightly up from US$197.8 million in the same period of 2023, with a gross margin of 35.2% compared to 36.1% [7] - Operating income was US$2.3 million, down from US$9.4 million in the same period of 2023, resulting in an operating income margin of 0.4% [8][9] Shareholder Returns - The company repurchased US$71.4 million worth of its shares during the quarter as part of its ongoing share repurchase program [4][16] - The board has authorized an extension of the share repurchase program for another 12 months, allowing for up to US$400 million in additional repurchases [16] Business Outlook - For the third quarter of 2024, the company expects net revenues to be between US$555 million and US$569 million, reflecting current market conditions and operational strategies [14]