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uCloudlink Group (UCL) investor relations material

uCloudlink Group Q2 2025 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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Q2 2025 earnings summary13 Aug, 2025

Executive summary

  • Q2 2025 revenues declined 13.3% year-over-year to $19.4 million, with net income at $0.7 million, reflecting stable profitability despite macroeconomic and trade headwinds.

  • Strategic investments focused on GlocalMe Life, SIM, IoT, and PetPhone, with commercialization and scaling of eSIM Trio and UniCord series underway.

  • Maintained leadership in global roaming and international data connectivity, with operational breakeven and stable margins.

  • Diversified product portfolio and monetization through value-added services and strategic partnerships in high-growth verticals.

  • IoT segment experienced exponential user and revenue growth, solidifying its role as a key growth engine.

Financial highlights

  • Q2 2025 total revenue was $19.4 million, down 13.3% year-over-year; service revenue grew 3.3% to $14.6 million, now 75.5% of total revenue.

  • Gross profit was $10.2 million, with overall gross margin rising to 52.8% from 49.2% year-over-year.

  • Net income was $0.7 million, down from $2.2 million in Q2 2024; adjusted EBITDA was $1.4 million, down from $3.3 million.

  • Operating cash outflow for Q2 2025 was $0.9 million; capex was $0.2 million, reflecting an asset-light model.

  • Basic and diluted earnings per ADS were $0.02, compared to $0.06 a year ago.

Outlook and guidance

  • Q3 2025 revenue expected between $22.0 million and $26.0 million, representing -12.7% to +3.2% year-over-year.

  • Full-year 2025 revenue guidance revised to $85–$95 million, down from $95–$130 million, due to macroeconomic and trade headwinds.

  • Strategic investments in R&D, go-to-market, and brand are expected to drive future growth and sustainable profitability.

  • PetPhone global expansion and MeowGo G50 Max launch in Q3 2025 are anticipated to support revenue diversification.

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Frequently asked questions

uCloudlink Group Inc. is a technology company specializing in mobile data connectivity through its innovative cloud SIM technology. The company provides a mobile data traffic sharing marketplace, allowing users to access mobile data across different networks without the need for a physical SIM card. uCloudlink operates through two main business models: the uCloudlink 1.0 model, which caters to international travelers needing mobile data across multiple countries, and the uCloudlink 2.0 model, which offers local data connectivity services within a single country by integrating various mobile network operators. The company is headquartered in Hong Kong, and its shares are listed on the NASDAQ.

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