YY Latest Report

Performance Review

JOYY (stock code: YY) recorded an operating revenue of RMB549,446,000 as of December 31, 2024, a YoY decrease of approximately 3.69%. This decline reflects the pressure faced by the company in terms of operating revenue, which may have an impact on its overall financial health.

Key Data in the Financial Report

1. Operating Revenue: RMB549,446,000 in 2024, RMB569,839,000 in 2023, a YoY decrease of 3.69%.

2. Live Streaming Revenue: Live streaming revenue in Q3 2024 was US$439.5 million, a YoY decrease of 11.4%.

3. User Engagement: Bigo Live's monthly active users (MAU) decreased from 40.3 million to 36.5 million.

4. Hago Platform Users: From 4.6 million to 4.5 million.

5. Non-Live Revenue: The rapid growth of the advertising business has significantly increased the proportion of non-live revenue.

Peer Comparison

1. Industry-wide Analysis: The social and online entertainment industry as a whole faces challenges in slowing user growth and weak revenue growth, especially in the post-pandemic market recovery context, where many companies in the industry are experiencing similar revenue decline trends.

2. Peer Evaluation Analysis: Compared with other companies in the same industry, JOYY's operating revenue decline is relatively smaller, but its competitive position and market share changes still need attention.

Summary

JOYY's operating revenue decline is mainly affected by multiple factors such as intensified competition, decreasing user engagement, and economic environment. Although the company has seen growth in non-live revenue, the overall revenue decline pressure remains significant. The decrease in user engagement directly affects the company's revenue performance, indicating that effective measures need to be taken to restore user engagement and payment willingness.

Opportunities

1. Strengthening Non-Live Business: JOYY's rapid growth in the advertising business provides opportunities for further development.

2. New Function Launch: New interactions and paid features on the Hago platform may attract more users and enhance user experience.

3. International Market Expansion: Strategic adjustments to gradually shift to markets in the Middle East and Europe may bring new growth opportunities.

4. Creator Activities: By discovering outstanding creators, improving content quality and user participation, it may promote user return.

Risks

1. Competitive Pressure: Facing fierce competition from TikTok and other competitors, JOYY's market share may be threatened.

2. Persistently Decreasing User Engagement: If user engagement fails to improve, it may continue to affect the company's revenue.

3. Macroeconomic Risks: Changes in the economic environment may suppress users' payment willingness, further affecting revenue.

4. Challenges in Live Streaming Business: The declining trend in live streaming revenue may continue to affect the company's overall financial performance.