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What is Agora's latest dividend and current dividend yield?

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What were the key takeaways from Agora’s earnings call?

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- **Revenue Growth**: Q3 2025 revenue $35.4M (+12% YoY), with Q4 guidance of $37-38M (7.2-10.1% YoY growth).
- **AI Innovation**: Conversational AI Engine 2.0 and zero-code Studio drive 150% QoQ usage growth, targeting H1 2026 revenue contribution.
- **Profitability**: Q3 net income $2.7M (7.8% margin), Q4 GAAP operating breakeven, FY26 targeting GAAP net profit expansion.
- **Market Momentum**: US/international live commerce growth outpaces China, IoT and smart toys adoption accelerating.

**【CEO Summary Section】**
- Q3 2025 revenue reached $35.4 million, up 12% year-over-year, with 4 consecutive quarters of GAAP profitability.
- Launched Conversational AI Engine 2.0, featuring AI-powered noise suppression, acoustic echo cancellation, and zero-code AI Studio for voice agent development.
- Expanded real-time infrastructure across North America, Europe, and Asia, supporting high-concurrency use cases like call centers, education, and smart toys.
- Conversational AI revenue expected to contribute meaningfully in H1 2026, with early adoption from outbound marketing, customer service, and IoT devices.

**【CFO Financial Commentary】**
- Agora division revenue grew 15.9% YoY to $18.2 million, Shengwang up 8.4% YoY to RMB 122.4 million.
- Gross margin 66%, with R&D expenses down 52.8% YoY to $13.8 million.
- Q3 net income $2.7 million (7.8% margin), with Q4 guidance of $37-38 million revenue (7.2-10.1% YoY growth).
- Repurchased $4.8 million in shares, maintaining $374.3 million cash balance.

**【Q&A Key Highlights】**
- **Demand Trends**: US/international live commerce growth outpaces China, IoT and digital transformation driving China demand.
- **AI Adoption**: Sequential conversational AI usage growth >150%, with Robopoet's AI toys generating recurring subscriptions.
- **Profitability Outlook**: Q4 2025 GAAP operating breakeven, FY26 targeting GAAP net profit expansion.
- **Infrastructure Expansion**: Real-time inference services for low-latency AI applications in call centers and IoT.

Agora, Inc. (API) Q3 2025 Earnings Call Transcript

- **Revenue & Profit Growth**: Q2 revenue up 11% YoY to $34.3 million, GAAP net profit tripled to $1.5 million with 4.3% margin.
- **AI Innovation Breakthrough**: Launch of attention locking, vision-based AI, and avatars drives real-world adoption in call centers, education, and companion toys (e.g., Fuzuzu).
- **Pricing Power**: Conversational AI priced 10x higher than standard audio, unlocking premium revenue streams.
- **Margin Expansion**: Gross margin stable at 66.8%, targeting 15-20% operating margin long-term through cost efficiency and AI scale.

**【CEO Summary Section】**
- **Q2 Financial Highlights**: Total revenue of $34.3 million (+11% YoY), GAAP net profit of $1.5 million (triple Q1), and 4.3% net margin. Active customers grew 121% (Agora) and 120% (Sheng Huang) YoY.
- **Conversational AI Breakthroughs**: Launched advanced attention locking, vision-based intelligence, and interactive avatars. Key use cases include call centers, education, and companion toys (e.g., Fuzuzu, which achieved 50+ interaction rounds).
- **Pricing & Revenue Potential**: Conversational AI solution priced 10x higher than standard RTC audio, unlocking significant revenue growth.
- **Management Changes**: Shang Zhong resigned as CTO; Tony Wang assumes operational leadership. New board members: Tony Wang (CRO) and Jingbo Wang (CFO).

**【CFO Financial Commentary】**
- **Revenue Growth**: Core revenue +16.7% YoY ($18.2 million), Shenglong +6.7% YoY ($115.5 million). Sequential dip due to customer usage fluctuation.
- **Gross Margin**: 66.8% (excluding low-margin products), slight 1.2% YoY decline due to product mix.
- **Expense Efficiency**: R&D (-23% YoY), S&M (+4% YoY), G&A (-26.6% YoY). Net income margin improved to 4.3% vs. -23% YoY.
- **Cash Flow & Share Repurchase**: Operating cash flow negative $0.4 million. Repurchased $12.7 million shares since Feb 2025.
- **Q3 Guidance**: Revenue $34-33 million (+7.6-13.9% YoY), sequential net income growth expected.

**【Q&A Key Highlights】**
- **AI Adoption Trends**: Call centers, education, and companion toys leading. Fuzuzu adoption validates conversational AI's engagement potential.
- **Gross Margin Outlook**: RTC gross margin stable (~66-68%). Conversational AI may start with lower margins but expects to match or exceed RTC over time.
- **Long-Term Margin Target**: Aiming for 15-20% operating margin through scale and efficiency improvements.

- **Record Profitability**: 2nd consecutive quarter of GAAP profitability with $33.3M revenue (+12% YoY) and $0.4M net income (1.2% margin).
- **AI Innovation**: Conversational AI engine and IoT device kit drive developer engagement, with 6,000-star open-source project TEN supported by AWS and Oracle.
- **Strong Growth Momentum**: Q2 2025 revenue guidance $33-35M (+6.8%-13.3% YoY), fueled by live commerce adoption and AI use cases in education/IoT.
- **Cost Efficiency**: Operating expenses down $6.1M YoY, gross margin 68%, and $17.6M operating cash flow (vs -$6.5M YoY).

**【CEO Summary Section】**
- **Revenue Growth & Profitability**: Q1 2025 revenue reached $33.3 million, up 12% YoY (excluding low-margin products), marking the second consecutive quarter of GAAP profitability. GAAP net profit more than doubled QoQ, driven by double-digit revenue growth and disciplined cost management.
- **AI Product Progress**: Launched conversational AI engine in China (public beta globally) with industry-leading performance in latency, noise suppression, and network resilience. Device kit for IoT enables AI in toys, robots, and smart speakers, with customer Robopod showcasing real-time interaction capabilities. Open-source project TEN gained 6,000 stars, supported by AWS and Oracle Cloud.
- **Customer Expansion**: 1,800+ active Agora customers and 2,000+ Shenwang customers (excluding indiscernible), both up 5% YoY. Net retention rates improved to 96% (Agora) and 85% (Shenwang).

**【CFO Financial Commentary】**
- **Revenue Breakdown**: Agora revenue $18.6 million (+17.7% YoY), Shengwang $105.5 million (+6.7% YoY). Live shopping and entertainment adoption drove growth, with Q1 operating cash flow of $17.6 million (vs -$6.5 million YoY).
- **Cost Efficiency**: Gross margin 68% (68.6% for continuing business). Operating expenses decreased $6.1 million YoY, with R&D, marketing, and G&A expenses as a % of revenue down 12.4pt, 1.8pt, and 6.4pt YoY, respectively.
- **Profitability & Cash Flow**: Net income $0.4 million (1.2% margin), up from -28.7% YoY. Q2 2025 revenue guidance $33-35 million (+6.8%-13.3% YoY). Share buybacks totaled $116.4 million since 2022, with $8 million in Q2 2025.

**【Q&A Key Takeaways】**
- **AI Growth Drivers**: Education (AI teaching assistants), IoT (conversational toys), and customer service. Tipping point depends on vertical-specific product-market fit (e.g., call centers for different industries).
- **Market Demand**: U.S./global growth 18%+ YoY, China recovery in education and entertainment. Pricing stable in developed markets, moderate pressure in China. Live commerce adoption accelerating in emerging markets.
- **Competition**: China consolidation leaves 3 major players. Agora focuses on high-value use cases and cost optimization to maintain margins (lower in China, stable globally).

Agora, Inc (API) Q1 2025 Earnings Call Transcript

- **GAAP Profitability Achieved**: Q4 net income $0.2 million, driven by 4% YoY revenue growth.
- **AI Innovation**: Launch of conversational AI engine with low-latency features, targeting companionship, education, and IoT.
- **Revenue Growth**: Q1 2025 guidance up 7.7% YoY, with Agora leading at 13.7% YoY growth.
- **Operational Efficiency**: Operating expenses reduced by $4.1 million QoQ, gross margin stable at 66.6%.

**【CEO Opening Remarks】**
- Achieved GAAP profitability with Q4 revenue of $34.5 million, up 4% year-over-year (excluding low-margin products). Growth driven by live shopping, entertainment, and IoT in China and global markets.
- Active customers: 1,700 for Agora (up 2% YoY) and 2,000 for Shengwang (up 8% YoY, excluding Easemob).
- Launched conversational AI engine with features like 500ms latency, selective attention, and compatibility with major models (e.g., Gemini, DeepSeek). Target use cases include virtual companions, education, IoT devices, and customer support.

**【CFO Financial Commentary】**
- Q4 2024: Total revenue $34.5 million (3.6% YoY), with Agora up 13.7% YoY and Shengwang down 5.4% YoY due to regulatory challenges.
- Gross margin 66.6%, stable; operating expenses decreased $4.1 million QoQ.
- Net income $0.2 million, achieving GAAP profitability. Cash balance of $363.8 million.
- Q1 2025 guidance: Revenue $31-33 million (7.7% YoY growth), targeting sustained profitability.

**【Q&A Highlights】**
- **Market Trends**: China IoT and digital transformation; global live commerce and Chinese companies expanding overseas.
- **AI Demand**: High interest in companionship apps, education platforms, and customer service automation.
- **Profitability Targets**: Gross margin ~67%; net profit growth driven by expense control and revenue expansion.

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