Overview
Yalla Group Q2 revenue rises 4.1% yr/yr, beating analyst expectations
Adjusted net income for Q2 beats estimates, reaching $39.4 mln
Company repurchased $41 mln in shares
Outlook
Yalla expects Q3 2025 revenue between $78 mln and $85 mln
Company plans to release two Match-3 titles in Q3 2025
Yalla set to debut roguelike game in Q4 2025
Company aims to expand into new verticals in MENA
Result Drivers
USER BASE EXPANSION - Revenue growth driven by 8.8% increase in average MAUs to 42.4 mln
ENHANCED MONETIZATION - Improved monetization capabilities contributed to revenue increase
OPERATIONAL EFFICIENCY - Boosted net margin to 43.2% through improved internal processes
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Revenue | Beat | $84.60 mln | $83.60 mln (2 Analysts) |
Q2 Adjusted Net Income | Beat | $39.40 mln | $39 mln (2 Analysts) |
Q2 Net Income | $36.50 mln | ||
Q2 Adjusted Operating Income | Beat | $33.50 mln | $30.20 mln (2 Analysts) |
Q2 Operating Income | $30.60 mln |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 1 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the online services peer group is "buy"
Wall Street's median 12-month price target for Yalla Group Ltd is $7.75, about 12.5% below its August 11 closing price of $8.72
The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 9 three months ago
Press Release: ID:nPn81MPxga
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)