Agora (API) Q4 2025 earnings summary

Executive summary

• Achieved fifth consecutive quarter of GAAP profitability and first full year of profitability since 2018, driven by double-digit revenue growth and disciplined cost management.

• Platform scalability demonstrated during a Super Bowl live shopping event with nearly 600,000 peak concurrent viewers, driving high-profile app rankings.

• Rapid adoption of Conversational AI engine, with usage more than doubling each quarter since launch in March 2025, and strong reception for new multimodal device kits at CES 2026.

• Supported major livestream and multi-agent collaboration events, expanding real-time AI participation and teamwork capabilities.

Financial highlights

• Q4 2025 total revenue: $38.2M, up 10.7% year-over-year; FY 2025 revenue: $141.1M, up 5.9% year-over-year.

• Q4 2025 net income: $4.9M (12.9% margin); FY 2025 net income: $9.5M (6.8% margin), reversing prior year losses.

• Gross margin for Q4 2025: 65.1%, down 1.5 percentage points year-over-year; FY 2025 gross margin: 66.4%.

• Operating cash flow: $9.3M in Q4 2025, $27.2M for FY 2025, a significant improvement from prior years.

• Ended Q4 2025 with $374.9M in cash, cash equivalents, and financial products.

Outlook and guidance

• Q1 2026 revenue guidance: $36M–$37M, representing 8.1%–11.1% year-over-year growth.

• Expect net income and operating income to grow in 2026, with flat gross margins and improved operating leverage.

• Conversational AI revenue expected to ramp up, targeting 5% of annualized revenue contribution by year-end.

• Guidance reflects current market and operational conditions and is subject to change.