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Xunlei Announces Unaudited Fourth Quarter and Full Year 2024 Financial Results
XNETXunlei(XNET) GlobeNewswire·2025-03-13 10:00

Core Viewpoint - Xunlei Limited reported its financial results for Q4 and full year 2024, highlighting a significant impairment charge to goodwill and a notable decline in cloud computing revenue, while subscription and live-streaming revenues showed growth [1][2][14]. Financial Highlights - Fourth Quarter 2024 Financial Results - Total revenues reached US84.3million,up9.384.3 million, up 9.3% year-over-year [2][4]. - Subscription revenues were US34.4 million, an increase of 9.0% year-over-year [2][5]. - Cloud computing revenues fell to US22.7million,down25.622.7 million, down 25.6% year-over-year [2][6]. - Live-streaming and other IVAS revenues surged to US27.2 million, up 80.7% year-over-year [2][7]. - Gross profit was US43.6million,reflectingan8.743.6 million, reflecting an 8.7% increase year-over-year, with a gross profit margin of 51.7% [2][10]. - Net loss was US9.9 million, compared to a net income of US3.7millioninQ42023[2][17].−Non−GAAPnetincomewasUS3.7 million in Q4 2023 [2][17]. - Non-GAAP net income was US11.3 million, up from US4.5millioninthesameperiodlastyear[2][17].−DilutedlossperADSwasUS4.5 million in the same period last year [2][17]. - Diluted loss per ADS was US0.16, compared to diluted earnings of US0.06inQ42023[2][18].−∗∗FullYear2024FinancialResults∗∗−TotalrevenueswereUS0.06 in Q4 2023 [2][18]. - **Full Year 2024 Financial Results** - Total revenues were US324.4 million, down 11.1% year-over-year [22]. - Subscription revenues increased to US133.7million,up12.0133.7 million, up 12.0% year-over-year [23]. - Cloud computing revenues decreased to US104.6 million, down 15.3% year-over-year [24]. - Live-streaming and other IVAS revenues fell to US86.1million,down29.586.1 million, down 29.5% year-over-year [25]. - Gross profit for the year was US167.6 million, a 2.8% increase year-over-year, with a gross profit margin of 51.7% [29]. - Net income was US0.7million,downfromUS0.7 million, down from US14.3 million in the previous year [36]. - Non-GAAP net income remained stable at US23.9million[36].CostStructure−∗∗CostsofRevenues∗∗−CostsofrevenuestotaledUS23.9 million [36]. Cost Structure - **Costs of Revenues** - Costs of revenues totaled US40.4 million in Q4 2024, representing 47.9% of total revenues [8]. - Bandwidth costs were US23.9million,accountingfor28.323.9 million, accounting for 28.3% of total revenues, down from 34.2% in Q4 2023 [9]. - **Operating Expenses** - Research and development expenses were US18.7 million, 22.2% of total revenues [11]. - Sales and marketing expenses increased to US12.5million,14.812.5 million, 14.8% of total revenues [12]. - General and administrative expenses were US12.1 million, 14.4% of total revenues [13]. Impairment and Losses - An impairment charge of US20.7millionwasrecordedinQ42024duetoadeclineincloudcomputingrevenuegrowth[14][33].−OperatinglossforQ4wasUS20.7 million was recorded in Q4 2024 due to a decline in cloud computing revenue growth [14][33]. - Operating loss for Q4 was US20.5 million, compared to a loss of US0.7millioninQ42023[15].CashPositionandShareRepurchase−AsofDecember31,2024,cash,cashequivalents,andshort−terminvestmentstotaledUS0.7 million in Q4 2023 [15]. Cash Position and Share Repurchase - As of December 31, 2024, cash, cash equivalents, and short-term investments totaled US287.5 million, up from US272.0millionasofSeptember30,2024[19].−ThecompanyspentUS272.0 million as of September 30, 2024 [19]. - The company spent US5.6 million on share buybacks under a new program authorized in June 2024 [20]. Future Outlook - For Q1 2025, Xunlei estimates total revenues between US85millionandUS85 million and US89 million, indicating a potential quarter-over-quarter increase of approximately 3.2% [40].