- Gross Revenue: RMB193.2 million, 20% growth year over year.
- Adjusted EBITDA: Positive for the full year 2024, marking the first full year profitability.
- Net Operating Cash Inflow: RMB19.5 million, highest in the past 17 quarters.
- Cash Balance: Close to RMB120 million as of December 31, 2024.
- Subscription Services Revenue: RMB54.7 million, 12% growth year over year and 6% quarter over quarter.
- Value-Added Services Revenue: RMB16.3 million, 142% growth year over year and 180% quarter over quarter.
- Engage Lab Revenue: Grew close to 200% year over year.
- Financial Risk Management Revenue: 34% growth year over year and 4% quarter over quarter.
- Operating Expenses (OpEx): RMB16.3 million, 1% decrease year over year, 6% increase quarter over quarter.
- R&D Expenses: Decreased 10% year over year to RMB24.3 million.
- Selling and Marketing Expenses: Increased 11% year over year to RMB24.6 million.
- G&A Expenses: Decreased 6% year over year to RMB11.4 million.
- Net Dollar Retention Rate: 95% for core developer subscription business.
- Deferred Revenue: Record high of RMB147.1 million.
- Accounts Receivable Turnover Days: 44 days.
- Total Assets: RMB378 million as of December 31, 2024.
- Q1 2025 Revenue Guidance: RMB74 million to RMB77.5 million, 15% to 20% growth year over year.
- Share Repurchase: 33,000 ADS repurchased in Q4 2024, total of 279,000 ADS repurchased since program start.
Release Date: March 13, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Aurora Mobile Ltd (JG, Financial) achieved its first full year of profitability with a positive adjusted EBITDA for 2024.
- The company reported a 20% year-over-year growth in gross revenue for Q4 2024, reaching RMB193.2 million.
- Subscription services revenue increased by 12% year-over-year and 6% quarter-over-quarter, with a record high of RMB54.7 million in Q4.
- The company's overseas business showed strong momentum, with revenue growing close to 200% year-over-year.
- Aurora Mobile Ltd (JG) recorded a net operating cash inflow of RMB19.5 million, the highest in the past 17 quarters.
Negative Points
- Market intelligence revenue decreased by 36% year-over-year and remained flat quarter-over-quarter.
- Operating expenses increased by 6% quarter-over-quarter, primarily due to higher sales and marketing costs.
- R&D expenses decreased by 10% year-over-year, which might impact future innovation and development.
- The company's total current liabilities were at RMB261.6 million, which includes significant deferred revenue and accrued liabilities.
- Despite strong revenue growth, the company faces challenges in maintaining growth momentum in a competitive market.
Q & A Highlights
Q: Hello, management. To achieve such a strong quarter, what measures or actions were taken by the management?
A: Thanks, William. Our revenue grew 20% year over year, and our core developer service exceeded RMB50 million in revenue for two consecutive quarters. Our overseas business also showed strong momentum with a 200% year-over-year increase. We have been diligent in spending, maintaining optimal OpEx, and achieving six consecutive quarters of positive adjusted EBITDA. This success is due to hard work, dedication, and strategic restructuring over the past two years, including streamlining products and focusing on global markets.
Q: What is the management's view on the future trend of developer subscription revenue, which has surpassed RMB150 million in two consecutive quarters?
A: The subscription business has been a standout, crossing the RMB150 million mark due to strong demand from developers and enterprises for effective user engagement services. We offer a suite of products, including app push, web push, email, and more, attracting customers from incumbent providers. Growth is driven by both customer numbers and average revenue per user, indicating a healthy trend for sustained growth.
Q: Can you elaborate on the strategic focus and future growth potential of Aurora Mobile's overseas expansion?
A: Our overseas expansion has been a core strategy, contributing significantly to revenue growth. We have acquired new customers globally, with contracted customer numbers reaching 678, a 32% increase. The total contract value has grown by RMB10 million quarter over quarter. We are directing more resources to capture overseas market share, and we believe this will drive long-term growth.
Q: How has the recent advancement in AI technology influenced Aurora Mobile's business strategy?
A: AI technology is central to our strategy, driving revenue growth and operational efficiency. We have integrated AI into various workflows and use it as a KPI for performance assessments. Our AI-driven enhancements, such as email editing and data analytics, enable customer innovation. We continue to invest in AI development, positioning us for growth in the emerging AI-driven enterprise market.
Q: What are the key financial metrics and outlook for Aurora Mobile in the upcoming quarter?
A: For Q1 2025, we project revenue between RMB74 million and RMB77.5 million, representing 15% to 20% year-over-year growth. Key financial metrics include a net dollar retention rate of 95% and a record-high deferred revenue of RMB147.1 million. We maintain a healthy AR turnover of 44 days and achieved a net operating cash inflow of RMB19.5 million, the highest in 17 quarters.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
