SINGAPORE, Aug. 28, 2024 /PRNewswire/ -- JOYY Inc. (NASDAQ: YY) ("JOYY" or the "Company"), a global leading technology company, announced its unaudited financial results for the second quarter of 2024.
(PRNewsfoto/JOYY Inc.)
During the second quarter, JOYY's revenue came in at US$565.1 million, a year-over-year increase of 3.3%. The Company's core business segment BIGO continued its topline recovery trend for the fourth consecutive quarter, generating revenues of US$507.2 million, a year-over-year increase of 7.7%. JOYY recorded net profit and non-GAAP net profit[1] of US$52.1 million and US$74.0 million, representing sequential increases of 15.0% and 10.2%, respectively. The Company sustained its positive operating cash flows, generating US$71.1 million in the second quarter.
JOYY continued to advance shareholder returns in the second quarter by repurchasing an additional 2.3 million ADS for a total consideration of US$71.4 million.
Ms. Ting Li, Chairperson and Chief Executive Officer of JOYY, commented, "In the second quarter, we continued to build on our growth momentum, delivering solid results. BIGO revenue reached US$507.2 million, a 7.7% year-over-year increase, marking the fourth consecutive quarter of recovery. By consistently expanding and diversifying our revenue streams, BIGO's advertising business maintained rapid growth, emerging as a key driver behind our topline recovery. Our focus on operational refinements and cost optimizations across our business has led to improved efficiency, driving quarter-over-quarter increases in both GAAP and non-GAAP net profits[1]. Globalization through localization remains a strategic priority, and we believe there is still ample room for expansion. Looking ahead, we will continue to innovate product features, enhance user experiences, and drive operational efficiencies to generate sustainable and profitable growth for our global business."
Second Quarter 2024 Financial Highlights
Net revenues increased by 3.3% to US$565.1 million in the second quarter of 2024, compared to US$547.3 million in the corresponding period of 2023.
Net income attributable to controlling interest of JOYY was US$52.1 million in the second quarter.
Non-GAAP net income[1] attributable to controlling interest and common shareholders of JOYY was US$74.0 million in the second quarter.
Second Quarter 2024 Business Highlights
In the second quarter, Bigo Live's MAUs increased by 1.6% quarter over quarter, reaching 37.7 million. Bigo Live's targeted strategy of reallocating advertising budgets and operational resources to regions with high-monetization potential yielded positive results, particularly in developed countries. In these markets, Bigo Live achieved 9.4% year-over-year growth in MAUs, 20.3% in paying users, and 11.0% in revenue. Bigo Live further enhanced its operational efficiency with the launch of an advanced management system for streamers and agencies. This innovative system has automated the streamer contracting process, significantly improving talent discovery and management capabilities.
During the second quarter, Bigo Live launched a series of innovative marketing initiatives tailored to local customs and user preferences, which brought fresh, diverse content to the platform and injected new energy into its user community. A standout example was Bigo Live's partnership with the Esports World Cup (EWC) from June to July. Bigo Live broadcast all Free Fire, MLBB, and PUBG Mobile events, offering users an immersive gaming experience and unique opportunities to interact directly with professional e-sports players. In June, Bigo Live also participated in the 13th VidCon, held in the United States. This event showcased Bigo Live's vibrant creator ecosystem and cutting-edge livestreaming features to top American content creators, laying the groundwork for Bigo Live to expand its reach and boost its performance in key markets.
Bigo Live's Real Match feature, launched last year, creates a space for users to meet new people. After several rounds of optimization, Real Match's DAU penetration rate has nearly doubled in the past six months, now exceeding 20%. This success has had a ripple effect, boosting Bigo Live's user registration, payment conversion, and overall ROI. Bigo Live further optimized its Real Match feature by upgrading its sorting algorithm and integrating Bigo Live Wealth points into users' profile pages, which improved matchmaking efficiency and enhanced overall user engagement. In the second quarter, the total number of Real Match connections increased by 14.9% sequentially, and the number of direct chat messages between matched users rose by 9.4% over the same period. Bigo Live further elevated its livestreaming experience with a suite of upgrades including more dynamic emoji interactions, seamless cross-room engagement features, and improved functionality for the Match feature. These enhancements drove sequential increases of 4.2% in the number of streamers, 4.8% in the number of streamers in multi-guest rooms, and 6.5% in the number of users going live.
In the second quarter, Likee remained profitable. Sequential DAU growth in Europe and advertising inventory optimization contributed to a 34.7% year-over-year increase in Likee's advertising revenue. Likee launched a series of creator-centric events and interactive features, helping content creators deepen their connections with their core fan base. This strategic approach is yielding positive results, with strengthened community ties and enhanced user retention. In June, Likee hosted its first fantasy music festival, Likee Fantasy Fest, where outstanding regional creators took the stage and interacted with fans. Held in Europe, the event provided local users with an electrifying live experience centered around their love of animation, film, music, and gaming. These initiatives underscore its commitment to evolving Likee into a deeply engaging platform.
In the second quarter, Likee introduced significant upgrades to its video toolkit by adding advanced AI-powered filters and effects. These enhancements have enabled the creation of higher-quality videos, leading to more diverse content and driving a 1.3% sequential increase in average DAU time spent.
In the second quarter, Hago sustained its positive operating cash flow. Hago launched a zodiac-themed activity that featured customized visual gifts, along with collection and ranking features. The campaign was a major hit, engaging more than 60% of total paying users. In the Middle East, Hago integrated local traditions to create exclusive interactive features, virtual gifts, and visual effects for Eid celebration. These initiatives successfully enhanced user activity in Hago's live rooms.
Hago continued to enhance its user engagement with new interactive features, including live bullet screen games in voice rooms and tools to quickly summon Family members into live sessions. Average time spent per user in Hago's social channels increased sequentially to 103 minutes, accompanied by steady improvements in the product's next-day retention rate.
[1]. For details of the non-GAAP measures, including the reconciliations of GAAP measures to non-GAAP measures, please refer to the press release titled "JOYY Reports Second Quarter 2024 Unaudited Financial Results" issued by the Company on August 28, 2024.
