Aurora(US:JG) Ge Long Hui·2025-11-13 11:01Core Viewpoint - The company, Aurora (NASDAQ: JG), reported strong financial results for Q3 2025, achieving net profit under US GAAP for two consecutive quarters, indicating sustainable profitability and robust business performance across all segments [1][2][21]. Financial Performance - Aurora's total revenue reached 90.9 million RMB, marking a 15% year-over-year increase and a 1% quarter-over-quarter growth, aligning with previous performance guidance [2][12]. - The company achieved a net profit of 650,000 RMB for the third quarter, signaling a positive trend in profitability [2][10]. - Operating cash flow reached 23.3 million RMB, the highest in 20 quarters, reflecting strong cash collection capabilities [19]. Business Segments - All business lines reported double-digit year-over-year growth, with developer services revenue increasing by 12%, subscription services by 11%, value-added services by 22%, and industry applications by 23% [5][12][14]. - The flagship product, EngageLab, saw its annual recurring revenue (ARR) grow by 160% year-over-year, reaching 53.7 million RMB [1][7]. Strategic Initiatives - The company is leveraging AI advancements to enhance its SaaS offerings, transitioning from tool provision to value co-creation, which is opening new growth avenues [1][21]. - Strategic collaborations, such as with ZohoSalesIQ and Tellvoice, are expanding Aurora's market reach and enhancing its service offerings [9][10]. Operational Efficiency - Gross profit reached 63.8 million RMB, with a gross margin of 70.2%, reflecting a 20% year-over-year increase and the highest level in 15 quarters [17]. - The company maintains a "light cost" operational strategy, ensuring low operational expenses while investing in core business areas [18]. Customer Retention and Future Outlook - The developer subscription service's net dollar retention rate (NDR) reached 104%, indicating strong customer loyalty and the ability to offset potential revenue losses from churn [19][20]. - Deferred revenue hit a record high of 166 million RMB, demonstrating a solid customer base willing to commit long-term [20]. Conclusion - Overall, Aurora's Q3 results highlight a strong and sustainable growth trajectory, supported by strategic initiatives, operational efficiency, and robust financial health, positioning the company favorably for future developments [21][22].