Aurora Mobile Ltd. Q3 FY2024 earnings call

• Q3 Results: Fifth consecutive quarter of positive adjusted EBITDA. Quarterly revenue exceeded RMB15 million for the first time. Developer subscription revenue saw 7% quarter-over-quarter and 11% year-over-year growth. EngageLab customer numbers grew 42% quarter-over-quarter and cumulative signed contract value grew 23% quarter-over-quarter. Net operating cash inflow was RMB12.3 million, the highest in 16 quarters.
• EngageLab Business: Acquired more overseas customers, contracted customer numbers at 513 (32% sequential growth). Expanded to two additional countries, with products/services in over 31 countries/regions.
• Financials: Operating expenses RMB57.1 million, slight 4% quarter-over-quarter increase and 5% year-over-year decrease. R&D expenses decreased 26% year-over-year. Selling and marketing expenses increased 3% year-over-year. G&A expenses increased 92% year-over-year due to absence of prior year asset disposal gain. Deferred revenue at RMB134.8 million, high for SaaS company.
• Share Repurchase: Repurchased 29,000 ADS in Q3, cumulative 246,000 ADS since start of program.

Developer Subscription Services: Revenue grew 11% year-over-year and 7% quarter-over-quarter. Core subscription services revenue was RMB51.7 million, with 11% year-over-year and 7% quarter-over-quarter growth. Subscription revenue reached RMB50 million in a single quarter for the first time. EngageLab Business: Contracted customer numbers reached 513, a 32% sequential growth. Cumulative signed contract value grew by RMB6 million quarter-over-quarter to approximately RMB48 million. Vertical Applications (Financial Risk Management and Market Intelligence): Financial Risk Management had 29% year-over-year revenue growth (flat quarter-over-quarter). Market Intelligence revenue decreased 41% year-over-year and 22% quarter-over-quarter due to weak market demand for Chinese APP data.

Forward-looking statements based on current expectations, which may differ due to market and operating conditions. Risks detailed in SEC filings.

Q: Calvin Wong asks for more details on five consecutive quarters of positive adjusted EBITDA, core developer subscription revenue over RMB15 million, and EngageLab growth.

A: Shan-Nen Bong attributes to effective execution, starting overseas expansion 18-20 months ago, addressing data storage, IT structure, and on-field execution to achieve milestones.

Q: Jack Sun asks about more overseas offices.

A: Shan-Nen Bong states current offices in Singapore and Kuala Lumpur strategically located for Southeast Asia expansion. More offices will be considered if business in regions like Gulf becomes material.