MoneyHero's Q2 2025 Earnings Call: Contradictions Unveiled on Insurance Revenue, AI Integration, and Expansion Plans

The above is the analysis of the conflicting points in this earnings call

Date of Call: September 19, 2025

Financials Results

• Revenue: $18.0M, down 13% YOY; up >20% sequentially

Guidance:

• Expect similar >20% sequential revenue growth across H2 2025
• On track for adjusted EBITDA breakeven in the second half of 2025
• Insurance and wealth targeted to reach 28%–30% of group revenue in H2
• Growth to be driven by new bank/insurer actions, scaling insurance, and fixed-fee programs
• Maintain cost of revenue in the low-50% range as mix shifts to higher-margin verticals
• Longer-term objective (not formal guidance): 5%–10% adjusted EBITDA margins over 2–3 years

Business Commentary:

• Revenue Mix Shift and Growth:
• MoneyHero Limited reported $80 million in revenue for Q2, with over 20% sequential growth and 27% of total revenue contributed by insurance and wealth.

• The shift towards higher-margin verticals was driven by a focus on insurance brokerage, provider partnerships, and strategic investments in digital assets.

• Cost Efficiency and Profitability Improvement:

• The company's adjusted EBITDA loss narrowed to $1.95 million in Q2, down from $9.3 million a year ago, and cost of revenue improved to 51% of revenue from 67% last year.

• These improvements were attributed to disciplined reward collaboration, better approval quality, and improved partner terms, enabled in part by AI integration.

• AI Integration and Operational Efficiency:

• MoneyHero embedded AI in customer acquisition, conversion, and support to enhance efficiency and reduce costs.

• AI-driven initiatives such as AI-assisted Whatsapp for auto insurance and AI media creation contributed to lower cost per approval, reduced service costs, and higher conversion rates.

• Insurance and Wealth Expansion:

• Insurance and wealth contributed 27% of group revenue in Q2, reflecting a strategic focus on scaling in auto and travel insurance, as well as digital asset partnerships.
• The expansion was driven by real-time pricing, end-to-end digital journeys, and strategic partnerships with licensed providers.

Sentiment Analysis:

• Management expects similar sequential growth in H2 and is on track for adjusted EBITDA breakeven in H2 2025. Net income was $0.2M in Q2 versus a $12.2M loss a year ago. Cost of revenue improved to 51% vs 67% last year, reflecting stronger unit economics and mix shift toward higher-margin insurance and wealth.

Q&A:

• Question from William Gregozeski (Greenridge Global): You've referenced using AI—what specific initiatives are live, and are they focused on cost savings or revenue generation?
  Response: AI is operationalized to cut costs and lift conversion: 70–80% of inquiries automated with steady CSAT, ~90% reduction in competitive research time, WhatsApp AI agent (auto) to raise conversion, and AI-generated creatives targeting 70–80% lower production spend—reducing CAC/CPA and enabling growth without adding headcount.

• Question from William Gregozeski (Greenridge Global): What are the key growth drivers for 2026, plans to scale insurance, and an update on wealth/crypto?
  Response: Regulatory-first, capital-light wealth/digital asset partnerships (e.g., OSL) monetized via CPA/rev share; insurance scaling via real-time pricing and end-to-end journeys (travel 3-click >40% completion), broader product shelf incl. life; target insurance+wealth ≥30% of revenue; AI to improve conversion/CAC; deepen partnerships/memberships (CreditHero Club) and expand in the Philippines.

• Question from Stephen Wall (Speaker Capital): Q2 revenue declined YOY; what actions will restore revenue to last year's level?
  Response: Decline was intentional to prioritize higher-margin mix; momentum has returned with >20% sequential growth. Plans: scale insurance/wealth (target 28%–30% mix) via real-time pricing and end-to-end integrations, deepen member engagement (CreditHero Club), deploy AI-assisted journeys, and leverage fixed-fee/sponsorship programs while keeping cost of revenue in the low-50% range.

• Question from Stephen Wall (Speaker Capital): Despite lower revenue, net loss and EBITDA improved YOY—what drove this?
  Response: Mix shift to higher-margin verticals (insurance+wealth 27% vs 20% last year), cost of revenue improved to 51% from 67%, and opex down 37% to $20.6M; AI efficiencies reduced service and acquisition costs. Adjusted EBITDA loss narrowed to $2M (from $9.3M), and net income was $0.2M—reflecting structural, not one-off, improvements.