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JOYY Reports Net Profit of US$60.6 Million, Share Buybacks Surpass US$117.8 Million in Q3

Business

JOYY Reports Net Profit of US$60.6 Million, Share Buybacks Surpass US$117.8 Million in Q3
Business

Business

JOYY Reports Net Profit of US$60.6 Million, Share Buybacks Surpass US$117.8 Million in Q3

2024-11-27 10:52 Last Updated At:11:15

SINGAPORE, Nov. 27, 2024 /PRNewswire/ -- JOYY Inc. (NASDAQ: YY) ("JOYY" or the "Company"), a global leading technology company, announced its unaudited financial results for the third quarter of 2024.

For the third quarter, JOYY's revenue reached US$558.7 million, while the Company's core business segment, BIGO, generated revenues of US$496.0 million. JOYY's GAAP and non-GAAP operating income[1] were US$16.4 million and US$34.9 million, respectively, up by 623.5% and 16.4% on a quarterly basis. JOYY recorded a net profit and non-GAAP net profit[1] of US$60.6 million and US$61.2 million, for a GAAP and non-GAAP net margin[1] of 10.8% and 10.9%, respectively. BIGO's GAAP and non-GAAP operating income[1] reached US$62.7 million and US$72.9 million, respectively, marking sequential increases of 8.2% and 5.0%. The Company sustained its positive operating cash flows, generating US$61.1 million in the third quarter.

During the third quarter, JOYY actively advanced shareholder returns by buying back an additional US$117.8 million worth of its shares. During the first three quarters of 2024, the Company has repurchased 7.31 million of its ADSs for a total of US$243.7 million, demonstrating confidence in the company's long-term prospects.

Ms. Ting Li, Chairperson and Chief Executive Officer of JOYY, commented, "We continued to execute effectively on our strategic priorities during the third quarter, cultivating our global social and content ecosystem, and enhancing our global operational capabilities and efficiencies, which yielded solid results. Our group's GAAP and non-GAAP operating income were US$16.4 million and US$34.9 million, respectively, up by 623.5% and 16.4% on a quarterly basis. During the third quarter, we continued to cultivate long-term initiatives that will further diversify our revenue streams. Our Group non-livestreaming revenue grew by 13.1% to US$119.2 million quarter over quarter, contributing 21.3% of total revenues. Looking ahead, we remain focused on enhancing user experiences through product innovation, further diversifying our revenue streams, and advancing operational excellence across our global footprint. Supported by our strong cash flow and healthy financial position, we are well-positioned to deliver sustainable, profitable growth and create enduring value for our shareholders."

Third Quarter 2024 Financial Highlights

Third Quarter 2024 Business Highlights

In the third quarter, Bigo Live sharpened its operational strategy by prioritizing advertising investments and operational resources toward developed countries and premium users, and simultaneously enhanced its content quality and social experiences to drive long-term user monetization potential. This targeted approach yielded strong results in core developed countries, where MAUs grew 3.4% year over year and 3.7% quarter over quarter, and paying users increased 9.1% year over year. Bigo Live also achieved encouraging momentum in the Middle East, where its revenue increased 5.6% sequentially.

To further enhance its global content and social ecosystem, Bigo Live implemented a series of upgrades to boost the creation, quality, and distribution of content on its platform. For example, Bigo Live fine-tuned its content recommendation algorithms to better facilitate content sharing within same-language regions and expand cross-regional content flow between highly interactive markets. These enhancements streamlined its cross-regional content delivery and better served users' growing appetite for global content and social connections.

In the last quarter, Bigo Live successfully hosted the third season of "BIGO's Most Talented", featuring categories in Music, Dance and Beauty Pageantry. The event attracted outstanding creators from around the world. Building on previous seasons, the third season introduced a more rounded judging system incorporating key audience engagement metrics. This allowed a seamless merger of interactive livestreaming elements with traditional talent show elements. The event resonated strongly with viewers, amassing an impressive 5.79 million audience votes. Bigo Live also strengthened bonds with its business partners and user community through a series of mid-year galas across Saudi Arabia, Vietnam, Thailand, and the Philippines. These gatherings brought together the cornerstone members of Bigo Live's ecosystem - top creators, users and partners - to celebrate their achievements and vital contributions to the platform's progress in the first half of the year.

Bigo Live also further developed its social engagement features, prioritizing improvements to Real Match and messaging functionality. These upgrades drove deeper user connections and more efficient follow conversions. Notably, Real Match's average DAU penetration rate increased significantly to 23.4%, while the number of direct chat messages rose by 15.9% from the previous quarter. Bigo Live also achieved a 4.3% rise in average new follows per user. By directing traffic to premium hosts and upgrading interactive features, Bigo Live boosted creator participation and user engagement in multi-guest rooms. Bigo Live achieved a 3.9% sequential increase in the penetration rate of streamers in multi-guest rooms, alongside a 3.6% sequential increase in the overall rate of users going live as guest speakers.

Likee remains rooted in the Middle East and European markets, where it continues to build momentum and enhance monetization across both livestreaming and advertising. As a result, Likee's advertising revenue grew 33.4% year over year in the third quarter, and Likee maintained its profitability.

During the quarter, Likee elevated its user experience across its core markets through enhanced content quality, interactivity, and community engagement. A standout community-building initiative was its August music festival tour across five European cities, which brought together Likee's top creators, including music bloggers and dance groups, alongside established performers and celebrities. This unique event delivered an unprecedented interactive experience for the Likee community. In September, Likee served as the official media partner for Phygital Games 2024, providing eight days of livestreaming coverage to immerse users in the competitive prowess of top athletes in digital football, basketball, laser shooting, and simulated dance. Likee's expanded premium content offerings and content diversity drove a 12.3% quarter-over-quarter increase in users' video time spent.

In the third quarter, Hago's targeted incentive strategy across different paying user segments drove improved monetization metrics. This strategy resulted in positive momentum in both its paying users and ARPPU, with its revenue growing 6.1% quarter over quarter. Hago maintained a positive operating cash flow in the third quarter, and its operating losses further narrowed. Hago's social engagement metrics also remained strong, with average time spent in social channels increasing 2.5% quarter over quarter to 105.8 minutes, and next-day retention rates showing sustained improvement.

[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 Third Quarter 2024 Unaudited Financial Results" issued by the Company on November 27, 2024.

** The press release content is from PR Newswire. Bastille Post is not involved in its creation. **

JOYY Reports Net Profit of US$60.6 Million, Share Buybacks Surpass US$117.8 Million in Q3

JOYY Reports Net Profit of US$60.6 Million, Share Buybacks Surpass US$117.8 Million in Q3

SINGAPORE, Nov. 27, 2024 /PRNewswire/ -- L'Oréal has reached 100% renewable energy across its operated sites[1] in the South Asia Pacific, Middle East & North Africa (SAPMENA) Zone as at end-2023. This spans all factories, distribution centres, administrative offices and a research & innovation centre within the Zone. This is a significant step in the Zone's sustainability journey and comes amidst a period of dynamic growth for L'Oréal SAPMENA, with double-digit production output and sales growth since 2021.

"Sustainability is at the heart of our business growth strategy. L'Oréal's SAPMENA Zone covers an expansive geography spanning from New Zealand to Morocco and is a major growth engine for L'Oréal where one in two new consumers will come from in the next decade. This region is one of the most affected by climate change and it is critical as the world's leading beauty player that we embed sustainable practices into our operations as we grow. Reaching 100% renewable energy is significant, and I'm very proud of my team's efforts to accelerate and meet this commitment ahead of our 2025 timeline. We're not stopping here, it is one step of many in our sustainability journey and our commitments extend far beyond," said Vismay Sharma, President of L'Oréal SAPMENA Zone.

Diverse solutions for a diverse region

With 23 operating sites spanning a vast geography, L'Oréal SAPMENA requires diverse renewable energy solutions ranging from solar deployments to existing hydro dams, to choosing electric boilers over fossil fuel powered ones. Where on-site renewable energy production is not possible, L'Oréal SAPMENA has secured long-term Power Purchase Agreements (PPAs) and/or uses green supply contracts and energy attribute certificates.

L'Oréal SAPMENA's multi-prong strategy to reach 100% renewable energy includes:

1)    Reducing energy consumption & withdrawal across all SAPMENA: Implementing energy-efficient equipment and practices across all 23 operating sites[1]. In 2023, overall energy intensity across SAPMENA decreased by 18% compared with 2019.
2)    Factories using diverse renewable energy solutions: L'Oréal SAPMENA's four factories in Egypt, India and Indonesia use renewable energy sourced from wind, biomass, hydro or solar power, to reduce the greenhouse gases produced during operations. For example, all four factories eliminated fossil fuel powered boilers and instead use electric or biomass/ biofuel boilers.
3)    Increasing on-site renewable energy generation at all other sites: Where feasible, L'Oréal has installed photovoltaic solar panels at its offices and distribution centres, ranging from ground-mounted systems, rooftop installations and car park canopies.

In pursuit of Net Zero

Sustainability is an ongoing journey that spans every stage of the value chain, and reaching 100% renewable energy in 2023, two years ahead of the 2025 commitment, is a milestone in L'Oréal SAPMENA's broader sustainability efforts. L'Oréal will continue to invest in and uphold its commitment to operate with 100% renewable energy and manage energy efficiently across all our sites in the years ahead.

L'Oréal is committed to addressing carbon reduction in packaging, logistics, and transportation, and investing in upskilling and educating strategic suppliers. By 2030, we will innovate to enable our consumers to reduce the greenhouse gas emissions resulting from the use of our products by 25% compared to 2016, on average and per finished product.

Globally, the L'Oréal for the Future program, launched in 2020, embodies the Groupe's sustainability ambition built around three major strategic aspects:

1)      Transforming business activities to respect planetary boundaries by limiting the impact on climate, water, biodiversity, and resources;
2)      Empowering its business ecosystem to transition to a sustainable world; and
3)      Contributing to solving the challenges of the world by supporting urgent social and environmental needs.

[1] Excluding safety and security installations.

About L'Oréal

For 115 years, L'Oréal, the world's leading beauty player, has devoted itself to one thing only: fulfilling the beauty aspirations of consumers around the world. Our purpose, to create the beauty that moves the world, defines our approach to beauty as essential, inclusive, ethical, generous and committed to social and environmental sustainability. With our broad portfolio of 37 international brands and ambitious sustainability commitments in our L'Oréal for the Future programme, we offer each and every person around the world the best in terms of quality, efficacy, safety, sincerity and responsibility, while celebrating beauty in its infinite plurality.

With more than 90,000 committed employees, a balanced geographical footprint and sales across all distribution networks (e-commerce, mass market, department stores, pharmacies, perfumeries, hair salons, branded and travel retail), in 2023 the Group generated sales amounting to 41.18 billion euros. With 20 research centers across 11 countries around the world and a dedicated Research and Innovation team of over 4,000 scientists and 6,400 Digital talents, L'Oréal is focused on inventing the future of beauty and becoming a Beauty Tech powerhouse.

More information on https://www.loreal.com/en/mediaroom

** The press release content is from PR Newswire. Bastille Post is not involved in its creation. **

L'ORÉAL REACHES 100% RENEWABLE ENERGY ACROSS SOUTH ASIA PACIFIC, MIDDLE EAST & NORTH AFRICA

L'ORÉAL REACHES 100% RENEWABLE ENERGY ACROSS SOUTH ASIA PACIFIC, MIDDLE EAST & NORTH AFRICA

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