Core Insights - Opera's fourth quarter revenue increased by 22% year-over-year, reaching $177 million, which was 8% above the midpoint of guidance, with adjusted EBITDA of $42 million, representing a 23.6% margin [1][7][8] Revenue Growth - The growth in revenue was driven by advertising, which saw a sequential increase of $19 million and a year-over-year growth of 25%, attributed to scaling of "Emoas" and an increase in performance-based advertising partners [3][6] - Intent query revenue grew by 16% year-over-year, with non-search query revenue increasing over 200% year-over-year, contributing more than $5 million in the quarter [2][6][18] User Metrics - Opera reported 284 million monthly active users (MAUs) with an average revenue per user (ARPU) of $2.49, which is a 26% increase [5][14] - Opera GX, the gaming browser, surpassed 34 million MAUs, marking a 5% sequential increase [14] Product Development - The company introduced new products such as Opera Air and subscription-based Opera Neon, aimed at AI-demanding users, and enhanced features in Opera One, including improved tab management and an integrated AI assistant [12][13] MiniPay Growth - MiniPay, Opera's stablecoin wallet, surpassed 13 million activated wallets and 390 million transactions, making it the fastest-growing stablecoin wallet in Africa [19][20] Future Guidance - For Q1 2026, Opera expects revenue between $169 million and $172 million, representing 18% to 21% year-over-year growth, and for the full year 2026, revenue guidance is set at $720 million to $735 million [21] - A new $300 million share repurchase authorization was announced, which exceeds all prior buybacks combined and represents over 25% of Opera's market cap [22]

Financial Data and Key Metrics Changes - Q4 advertising revenue increased by $19 million sequentially, resulting in a 25% year-over-year growth [4] - Annual revenue growth for 2025 was 28%, an acceleration from 21% growth in 2024 [5] - Adjusted EBITDA for Q4 was $42 million, representing a 23.6% margin, exceeding guidance [19] - Full-year adjusted EBITDA for 2025 was $143 million, a 23.2% margin, reflecting a solid increase [20] Business Line Data and Key Metrics Changes - Monetization of user intent query revenue grew by 16% year-over-year, with non-search power revenue growing over 200% [5] - Opera GX reached over 34 million monthly active users (MAUs) in Q4, a 5% sequential increase [12] - MiniPay, a stablecoin wallet, saw activated wallets increase from 10 million to over 13 million [16] Market Data and Key Metrics Changes - The user base ended the year with 284 million MAUs, including 60 million users in Western markets [13] - ARPU grew by 26% to $2.49 in Q4, indicating strong user acquisition in key markets [13] - E-commerce advertising grew by 25% year-over-year, with the top 50 advertisers increasing their average spend by 56% [36] Company Strategy and Development Direction - The company launched two new browsers, Opera Air and subscription-based Opera Neon, to cater to distinct audiences [10] - Focus on enhancing the user experience through AI integration, positioning the browser as a gateway to online journeys [9] - Plans to invest in making MiniPay a more global platform, expanding its functionality and user base [16] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about user growth in Western markets despite increased competition [30] - The company anticipates continued growth in e-commerce and user intent monetization, viewing AI advancements as a significant opportunity [34] - Guidance for Q1 2026 revenue is set at $720 million-$735 million, reflecting a growth of 17%-20% [22] Other Important Information - A major share buyback program of $300 million was announced, representing over 25% of the market cap [25] - The company aims to maintain a healthy balance between growth and profitability while returning cash to shareholders [9] Q&A Session Summary Question: User growth in Western markets and competition - Management noted positive user performance in Q4, particularly in smartphone and desktop users, with growth attributed to attractive offerings and AI advancements [30][31] Question: E-commerce growth and advertising traction - E-commerce is a significant growth driver, with management highlighting its potential in a large market and the opportunity to capture user intent revenue [34] Question: Engagement and monetization of Opera Neon - Management indicated that it is early to assess Neon’s performance but sees potential for growth and monetization through query revenue and subscription models [41][42] Question: Gross margin sustainability - Management expects continued growth in Opera Ads, which will contribute positively to EBITDA margins while managing costs effectively [44] Question: OPay IPO timing - Management expressed excitement about OPay's performance and indicated that while an IPO is a natural next step, no specific timing has been confirmed [65]

Q4 2025 INVESTOR PRESENTATION OPERA February 2026 OPERA INVESTOR PRESENTATION / 2 February 2026 SAFE HARBOR STATEMENT & DISCLAIMERS This presentation has been prepared by Opera Limited (the "Company") for investors, solely for informational purposes. This presentation contains "forward-looking" statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the Private Securities Litigation Reform A ...

Core Viewpoint - Opera Limited (NASDAQ: OPRA) is identified as one of the 10 undervalued growth stocks for the next five years, with a Buy rating and a price target of $24, indicating an 82.4% upside potential from current levels [1]. Group 1: Financial Performance - Opera Limited raised its fourth-quarter revenue outlook, now expecting revenue to exceed $170 million, up from previous guidance of $162 million to $165 million, and surpassing the consensus estimate of $164.55 million [2]. - The company also increased its full-year revenue expectations, projecting total revenue for 2025 to exceed $608 million, reflecting over 26% growth compared to the previous year [2]. Group 2: User Growth and Market Position - CEO Lin Song emphasized that the Opera browser is designed for demanding users, which is beneficial as more users seek optimal browsers for web content and AI tools [3]. - The high-ARPU Western user base of Opera increased by approximately 2 million users sequentially from Q3 to Q4, providing a strong boost for monetization efforts [3]. Group 3: Product Offerings - Opera Limited provides web browsers and related products for PCs and mobile devices, including Opera Mini, Opera GX for PCs & Mobile, and Opera browser for Android & iOS [4].

Summary of Opera Limited's Q3 Conference Call Company Overview - **Company**: Opera Limited - **Industry**: Internet and Technology - **Core Business**: Transitioned from a browser company to a diversified consumer internet platform, including search, advertising, and fintech services - **Monthly Active Users**: Approximately 300 million, representing about 6% of the global internet user base [3][6] Financial Highlights - **Revenue Guidance for 2025**: Expected to be around $600 million with an Adjusted EBITDA of $140 million [4] - **Dividend Policy**: Opera pays a recurring dividend every six months, yielding approximately 5%-6% [4] - **Share Buybacks**: Totaling about $500 million since 2020 [4] - **Revenue Composition**: 37% from query-based revenue and two-thirds from advertising [16] Product Innovation and Development - **Browser Variants**: Multiple versions of the Opera browser tailored for different user segments, including Opera One for general users, GX for gamers, and Opera Neon for a unique browsing experience [5][11] - **AI Integration**: Early adopter of integrating large language models (LLMs) into its products, enhancing user experience through features like Opera AI, which assists users in tasks across websites [7][9] - **Gaming Browser**: The GX browser is specifically designed for gamers, featuring optimizations for performance and user experience [11][12] Market Position and Growth Potential - **User Base Growth**: Significant potential for growth in the gaming segment, with a 10x potential in Western markets [12] - **Emerging Markets**: Launched MiniPay, a non-custodial wallet for stablecoins, which has rapidly grown to over 12 million wallets and 360 million transactions [13] - **Brand Awareness**: 44% awareness in the U.S., 60% in the U.K., and 70% in Germany, indicating room for growth in brand recognition [15] Revenue Streams and Advertising Model - **Advertising Model**: Primarily performance-based, with revenue generated through partnerships and user engagement [31][32] - **Long-standing Partnerships**: Maintains a 20-year partnership with Google for search-related revenue [17] Challenges and Market Dynamics - **Concerns about Fraud**: Addressed concerns regarding fraudulent activities in the advertising space, emphasizing the importance of genuine user traffic [24][25] - **Impact of AI on Browsing**: Discussed potential risks of generative AI affecting traditional search and advertising models, but emphasized the unique value of the Opera browser in enhancing user experience [33][34] Financial Health and Strategy - **Profitability**: Stable profit margins with a guided EBITDA margin of 23% for the year [19] - **Cash Flow Management**: High conversion from EBITDA to cash flow, with no financial debt and a solid cash position [21][22] - **Investment vs. Profitability**: Balancing growth investments with profitability, receiving mixed feedback from stakeholders on the approach [20][21] Conclusion - Opera Limited is positioned as a significant player in the internet and technology sector, leveraging innovation and a diversified product portfolio to drive growth. The company maintains a strong financial profile with a focus on user engagement and market expansion, particularly in gaming and fintech services.

Core Insights - Opera has launched Opera Neon, an experimental AI-powered browser aimed at AI power users, now available to the public after a closed "Founders" phase [1][2][4] - The subscription for Opera Neon is priced at $19.90 per month, providing access to advanced AI models and features [3][8] Product Overview - Opera Neon is designed to utilize AI agents for performing tasks and coding web applications, distinguishing it from standard web browsers [2] - The browser integrates top-tier AI models, including Gemini 3 Pro and GPT 5.1, into a single workspace, allowing users to avoid multiple subscriptions [5][10] Community Engagement - Subscribers gain access to an exclusive Discord community for testing features, discussing product development, and influencing the browser's roadmap [7] Availability and Features - Opera Neon is available for download at $19.90 per month, while Opera's main browsers continue to offer free AI features [8] - Current features include tools for booking trips, building websites, generating videos, and conducting deep research with the ODRA agent [10]

Core Insights - Opera (OPRA) is launching new AI capabilities across its web browsers, including Opera One, Opera GX, and Neon, in response to increasing competition in the tech industry to enhance user browsing experiences [1] Group 1 - The new AI features aim to make browsing more agentic, indicating a shift towards more interactive and personalized user experiences [1]

Core Insights - Opera is enhancing its browser capabilities by integrating advanced AI features, providing over 80 million users with free access to the latest Opera browser AI through its Opera One, Opera GX, and Opera Neon browsers [1][2][3] AI Integration and Features - The new Opera AI functions as a side panel, allowing users to interact with it in relation to any webpage, enabling tasks such as research, content summaries, and comparisons across tabs [2] - The AI engine has been redesigned for improved speed, delivering responses 20% faster, and includes features for voice input/output and file analysis across various formats [2] - Privacy features are emphasized, giving users control over the context shared with Opera AI [2] Partnership with Google - The partnership with Google is crucial for Opera, allowing the integration of the latest Gemini models into its browser AI, enhancing user experience with native search and AI features [3][4] - This collaboration is seen as a step towards setting new standards for AI-powered user experiences in browsing [4] Market Performance and User Engagement - Opera reported a 17% annual increase in query revenue, indicating successful monetization of user-initiated actions beyond traditional search, reflecting the growing use of AI tools [3] - The browser is positioned as a key interface for AI, leveraging real-time context from users' browsing activities to provide more relevant assistance [5] Future Outlook - The shift towards AI-powered search is expected to drive deeper user engagement, aligning with Opera's long-term strategy to enhance user experience through innovative products [6]

Financial Data and Key Metrics Changes - The company reported a year-over-year revenue growth of 23%, reaching a record $152 million in the third quarter, exceeding the guidance of 18%-21% growth [11][12] - Annualized ARPU crossed $2 per user, growing 28% year over year to $2.13 [11] - Adjusted EBITDA reached $36.3 million, marking a new quarterly record and an adjusted EBITDA margin of 24% [11][12] Business Line Data and Key Metrics Changes - MiniPay's non-custodial wallets grew to over 10.5 million, with transactions increasing to almost 310 million [16] - Opera GX ended the quarter with 33 million users, up 3% year over year, and achieved a new ARPU record of $3.69 [17] Market Data and Key Metrics Changes - E-commerce revenue streams have doubled year-over-year, indicating strong growth potential [34] - Advertising revenue grew 27% year-over-year to $95.9 million, with e-commerce being the primary driver [22] Company Strategy and Development Direction - The company is focusing on AI integration within its browsers, particularly with the launch of Opera Neon, which aims to enhance user experience through advanced AI functionalities [10][15] - The strategic positioning emphasizes a browser-agnostic approach to AI, allowing users to utilize various large language models without being locked into a single provider [9][68] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the growth trajectory, raising the revenue guidance for 2025 to $600 million-$603 million, reflecting a 25% growth over 2024 [25][26] - The company is well-positioned to capitalize on the increasing demand for alternative browsers as users consider switching [11][12] Other Important Information - The company was recognized by Fortune magazine as one of the 100 fastest-growing companies in 2025 based on revenue, profits, and stock returns [12] - The launch of Opera Neon is seen as a significant step towards transforming web browsing, with a focus on user feedback and community building [31][33] Q&A Session Summary Question: What traction has Opera Neon seen since its launch? - The launch has been well-received, with significant media coverage and positive feedback from early users, although it remains invitation-based for now [31][33] Question: How does the company view the growth of e-commerce? - E-commerce revenue streams have been rapidly scaling, with expectations of continued growth as the company is still under-indexing in the online advertising market [34] Question: What are the adoption trends for the Neon browser? - Early feedback indicates that users appreciate the efficiency and task-based architecture of Neon, which allows for faster execution of tasks compared to competitors [39][40] Question: How is the current demand environment for digital advertising? - The company sees a growing trend in performance-based e-commerce advertising, with year-over-year growth exceeding 100% [48] Question: What is the outlook for MiniPay's growth? - MiniPay is already generating revenue and is expected to expand further through partnerships, with plans to enhance its integration into various markets [50][71] Question: What are the competitive advantages of Opera Neon? - The browser's horizontal approach allows it to work with various AI models, providing users with flexibility and efficiency without being locked into a single provider [68]

Financial Data and Key Metrics Changes - The company reported a year-over-year revenue growth of 23%, reaching a record $152 million in the third quarter, exceeding the guidance of 18% to 21% growth [10][19] - The annualized ARPU crossed $2 per user, growing 28% year over year to $2.13 [10] - Adjusted EBITDA reached $36.3 million, marking a new quarterly record and translating to an adjusted EBITDA margin of 24% [10][19] - The updated revenue guidance for 2025 is now between $600 million and $603 million, representing a 25% growth over 2024 [24] Business Line Data and Key Metrics Changes - MiniPay has grown the number of non-custodial wallets to over 10.5 million, up from 9 million, with transactions increasing to almost 310 million from 250 million [16] - Opera GX ended the quarter with 33 million users, up 3% year over year, and achieved a new ARPU record of $3.69 on an annualized basis [17] Market Data and Key Metrics Changes - E-commerce revenue streams have doubled year-over-year, indicating strong growth potential in this segment [33] - Advertising revenue grew 27% year-over-year to $95.9 million, with e-commerce being the primary driver [21] Company Strategy and Development Direction - The company is focusing on AI integration within its browsers, particularly with the launch of Opera Neon, which showcases a task-based system for AI assistance [12][14] - Opera aims to maintain a competitive edge by being agnostic to underlying large language models, allowing for a more flexible and user-friendly browsing experience [6][63] - The company is positioning itself to capture a growing segment of users who are considering switching browsers, emphasizing innovation and reliability [10] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the strategic position in the evolving AI landscape and the potential for growth in browser usage [4][10] - The company noted that the broader recognition of web browsers' strategic importance is increasing, with significant investments from AI companies [5] - Management highlighted the importance of user feedback in shaping the future of Opera Neon and the overall product strategy [30][40] Other Important Information - The company was recognized by Fortune magazine as one of the 100 fastest-growing companies in 2025 based on revenue, profits, and stock returns [11] - The company maintains a solid financial position with cash at $119 million and no financial debt [23] Q&A Session Summary Question: What traction has Opera Neon seen since its launch? - The launch of Opera Neon has been well received, with significant media coverage and positive feedback from early users, although it remains invitation-based for now [30][32] Question: How does the company view the growth of e-commerce? - E-commerce revenue streams have been rapidly scaling, with expectations of continued growth as the company develops deeper partnerships with leading players in the market [33][34] Question: What is the current demand environment for digital advertising? - The demand for performance-based e-commerce advertising remains strong, with the company experiencing over 100% year-over-year growth in this segment [47][48] Question: What are the plans for MiniPay's growth and monetization? - MiniPay is already generating revenue through partnerships, with plans to reinvest earnings into marketing and expanding its user base [66] Question: What is the outlook for Opera GX's user base? - While the user base for Opera GX has plateaued, there are still growth opportunities in various regions, and the company is optimistic about future developments [68]