Mobvista (1860) Q2 2024 earnings summary

Executive summary

• Revenue for the six months ended 30 June 2024 rose 26.1% year-over-year to US$638.3 million, driven by strong growth in the programmatic advertising business.

• Net profit attributable to equity holders was US$9.3 million, down from US$10.2 million in the prior year period.

• Adjusted EBITDA increased 21.4% year-over-year to US$62.9 million, reflecting improved operational efficiency.

• Gross profit rose 27.4% year-over-year to US$131.2 million, with gross margin stable at 20.6%.

• The company achieved seven consecutive quarters of profitability since Q4 2022.

Financial highlights

• Programmatic advertising (Mintegral) revenue grew 29.0% to US$603.7 million, accounting for 95.9% of Ad-tech revenue.

• Non-programmatic advertising revenue declined 16.4% to US$25.9 million.

• Mar-tech revenue increased 18.8% to US$8.7 million, representing 1.4% of total revenue.

• Adjusted net profit reached US$11.8 million, a 32.4% increase year-over-year.

• Net cash flow from operating activities surged 147.4% to US$118.7 million.

Outlook and guidance

• The company expects continued healthy growth in Ad-tech, driven by Mintegral’s competitive advantages and scale benefits.

• Mar-tech is in early product refinement stages, with ongoing overseas expansion and narrowing losses.

• Focus remains on strengthening the intelligent bidding system and expanding into non-gaming verticals.

• The company aims to be a growth hub for small and medium-sized developers, focusing on SaaS toolkits and global market penetration.