DUBAI, UAE, March 11, 2024 /PRNewswire/ -- Yalla Group
Limited ("Yalla" or the "Company") (NYSE: YALA), the largest
Middle East and North Africa (MENA)-based online social
networking and gaming company, today announced its unaudited
financial results for the fourth quarter and full year ended
December 31, 2023.
Fourth Quarter 2023 Financial and Operating
Highlights
- Revenues were US$80.9 million in the fourth quarter of
2023, representing an increase of 7.7% from the fourth quarter of
2022.
- Revenues generated from chatting services in the fourth quarter
of 2023 were US$52.2 million.
- Revenues generated from games services in the fourth quarter of
2023 were US$28.5 million.
- Net income was US$29.7
million in the fourth quarter of 2023, a 79.0% increase from
US$16.6 million in the fourth quarter
of 2022. Net margin[1]
was 36.6% in the fourth quarter of 2023.
- Non-GAAP net income[2] was US$33.4 million in the fourth quarter of
2023, a 53.8% increase from US$21.7
million in the fourth quarter of 2022. Non-GAAP net
margin[3] was 41.3% in the fourth quarter of
2023.
- Average MAUs[4] increased by 13.3% to
36.2 million in the fourth quarter of 2023 from 32.0 million
in the fourth quarter of 2022.
- The number of paying users[5] on our
platform decreased by 4.2% to 11.9 million in the fourth
quarter of 2023 from 12.5 million in the fourth quarter of 2022 due
to a near-term game mechanism adjustment.
|
[1]
Net margin is net income as a percentage of revenues.
|
|
[2]
Non-GAAP net income represents net income excluding share-based
compensation. Non-GAAP net income is a non-GAAP financial measure.
See the sections entitled "Non-GAAP Financial Measures" and
"Reconciliations of GAAP and Non-GAAP Results" for more information
about the non-GAAP measures referred to in this press release.
|
|
[3]
Non-GAAP net margin is non-GAAP net income as a percentage of
revenues.
|
|
[4]
"Average MAUs" refers to the average monthly active users in a
given period calculated by dividing (i) the sum of active users for
each month of such period, by (ii) the number of months in such
period. "Active users" refers to registered users who accessed any
of our main mobile applications at least once during a given
period. Yalla, Yalla Ludo and Yalla Parchis have been our main
mobile applications for the periods presented herein; YallaChat and
101 Okey Yalla have been our main mobile applications since the
fourth quarter of 2022; WeMuslim has been our main mobile
application since the second quarter of 2023; and Ludo Royal has
been our main mobile application since the third quarter of
2023.
|
|
[5]
"Paying users" refers to registered users who played a game or
purchased our virtual items or upgrade services using virtual
currencies on our main mobile applications at least once in a given
period, except for users who received all of their virtual
currencies directly or indirectly from us for free; YallaChat and
WeMuslim do not involve the usage of virtual currencies, and the
metrics of "paying users" and "ARPPU" do not reflect user
activities on YallaChat and WeMuslim. "Registered users" refers to
users who have registered accounts on our main mobile applications
as of a given time; a registered user is not necessarily a unique
user, as an individual may register multiple accounts on our main
mobile applications.
|
Full Year 2023 Highlights
- Revenues were US$318.9 million in 2023, representing an
increase of 5.0% from 2022.
- Revenues generated from chatting services in 2023 were
US$211.8 million.
- Revenues generated from games services in 2023 were
US$106.7 million.
- Net income was US$113.1
million in 2023, a 43.0% increase from US$79.0 million in 2022. Net margin was 35.5% in
2023.
- Non-GAAP net income was US$131.0 million in 2023, a 23.9% increase
from US$105.7 million in 2022. Non-GAAP net margin was 41.1%
in 2023.
|
Key Operating
Data
|
For the three months
ended
|
|
|
December 31,
2022
|
|
|
December 31,
2023
|
|
|
|
|
|
|
|
|
Average MAUs (in
thousands)
|
|
31,987
|
|
|
|
36,237
|
|
|
|
|
|
|
|
|
Paying users (in
thousands)
|
|
12,457
|
|
|
|
11,930
|
|
"2023 was a pivotal year for Yalla. Amid the dynamic global
landscape, we forged ahead with our effective strategy for
high-quality growth and capped the year with strong fourth quarter
financial and operational results," said Mr. Yang Tao, Founder, Chairman and CEO of Yalla.
"Our revenues increased by 7.7% year-over-year to US$80.9 million for the fourth quarter, exceeding
the upper end of our guidance, primarily driven by robust revenue
growth from games services of 35.2% year-over-year. Furthermore,
our game mechanism enhancements aimed at boosting user engagement
and delivering better user experiences are bearing fruit. In
the fourth quarter, our average MAUs reached 36.2 million, up 13.3%
year-over-year, and paying users increased by 6.2% from last
quarter to 11.9 million, indicating users' growing willingness to
pay on our platform.
"Along with our constant efforts to optimize our flagship
applications, we made great strides with our mid- and hard-core
games in the past year. With the successful launch of our two
hard-core games, we have deepened our engagement in the mid- and
hard-core game business and gained vast experience across key
aspects of MENA's gaming market. Furthermore, we are honored to be
included in the inaugural Fortune 500 Arabia list rolled out in
2023, an award that highlights the most prominent companies in the
MENA region. As MENA's rich emerging opportunities attract growing
interest and investment from around the globe, we will continue
leveraging our profound local insights to broaden our business
horizons, fortifying our position as the most popular destination
for online social networking and entertainment in MENA," Mr. Yang
concluded.
Ms. Karen Hu, CFO of Yalla,
commented, "We achieved robust 2023 results with full-year revenue
rising to US$318.9 million, another
testament to our ability to deliver growth in a rapidly evolving
environment. We continued to actively optimize costs and expenses
to improve our overall efficiency, greatly enhancing profitability
for both the fourth quarter and the full year. Fourth quarter net
income increased by 79.0% year-over-year to US$29.7 million with a net margin of 36.6%, while
full-year net income increased by 43.0% year-over-year to
US$113.1 million with a net margin of
35.5%. Moving forward, we will continue to pursue quality growth,
improve operational efficiency, and invest in our Yalla ecosystem.
We are confident that our solid business fundamentals and healthy
cash position will empower us to capitalize on future
opportunities, driving sustainable growth and creating value for
all of our stakeholders."
Fourth Quarter 2023 Financial Results
Revenues
Our revenues were US$80.9 million in the fourth quarter of
2023, a 7.7% increase from US$75.1
million in the fourth quarter of 2022. The increase was
primarily driven by the broadening of our user base and our
enhanced monetization capability. Our average MAUs increased by
13.3% from 32.0 million in the fourth quarter of 2022 to 36.2
million in the fourth quarter of 2023. Our solid revenue growth was
also partially attributable to the significant increase in
ARPPU[6], which grew from US$6.01 in the fourth quarter of 2022 to
US$6.58 in the fourth quarter of
2023.
In the fourth quarter of 2023, our revenues generated from
chatting services were US$52.2
million, and revenues from games services were US$28.5 million.
Costs and expenses
Our total costs and expenses were US$57.6 million in the fourth quarter of
2023, a 4.1% decrease from US$60.1
million in the fourth quarter of 2022.
Our cost of revenues was US$30.6 million in the fourth quarter of
2023, an 11.4% increase from US$27.4
million in the same period last year, primarily due to an
increase in incentive compensation and a one-time game cost
related to UI design fees. Cost of revenues as a percentage of our
total revenues increased to 37.8% in the fourth quarter of 2023,
compared with 36.5% in the fourth quarter of 2022.
Our selling and marketing expenses were US$10.4 million in the fourth quarter of 2023, a
27.3% decrease from US$14.3 million
in the same period last year, primarily driven by our more
disciplined advertising and promotion approach and lower
share-based compensation expenses recognized in the fourth quarter
of 2023. Selling and marketing expenses as a percentage of our
total revenues decreased from 19.0% in the fourth quarter of 2022
to 12.8% in the fourth quarter of 2023.
Our general and administrative expenses were US$11.3 million in the fourth quarter of 2023, a
13.3% decrease from US$13.0 million
in the same period last year, primarily driven by lower share-based
compensation expenses recognized in the fourth quarter of 2023.
General and administrative expenses as a percentage of our total
revenues decreased from 17.4% in the fourth quarter of 2022 to
14.0% in the fourth quarter of 2023.
Our technology and product development expenses remained stable
at US$5.4 million in the fourth
quarter of 2023 and in the same period last year. Technology and
product development expenses as a percentage of our total revenues
decreased from 7.2% in the fourth quarter of 2022 to 6.7% in the
fourth quarter of 2023.
Operating income
Operating income was US$23.3
million in the fourth quarter of 2023, a 55.2% increase from
US$15.0 million in the fourth quarter
of 2022.
Non-GAAP operating
income[7]
Non-GAAP operating income in the fourth quarter of 2023 was
US$27.1 million, a 34.1% increase
from US$20.2 million in the same
period last year.
|
[6]
"ARPPU" refers to average revenues per paying user in a given
period, which is calculated by dividing (i) revenues for such
period, by (ii) the number of paying users for such period. When
calculating the ARPPU, we include revenues generated from Yalla,
Yalla Ludo, Yalla Parchis, 101 Okey Yalla (since the fourth quarter
of 2022) and Ludo Royal (since the third quarter of 2023) in a
given period.
|
|
[7]
Non-GAAP operating income represents operating income excluding
share-based compensation. Non-GAAP operating income is a non-GAAP
financial measure. See the sections entitled "Non-GAAP Financial
Measures" and "Reconciliations of GAAP and Non-GAAP Results" for
more information about the non-GAAP measures referred to in this
press release.
|
Interest income
Our interest income was US$6.5
million in the fourth quarter of 2023, compared with
US$2.3 million in the fourth quarter
of 2022, primarily due to an increase in interest rates applicable
to the Company's bank deposits and a continued increase in the
Company's cash position.
Income tax expense
Our income tax expense was US$0.54
million in the fourth quarter of 2023, compared with
US$0.42 million in the fourth quarter
of 2022.
Net income
As a result of the foregoing, our net income was US$29.7 million in the fourth quarter of 2023, a
79.0% increase from US$16.6 million
in the fourth quarter of 2022.
Non-GAAP net income
Non-GAAP net income in the fourth quarter of 2023 was
US$33.4 million, a 53.8% increase
from US$21.7 million in the same
period last year.
Earnings per ordinary share
Basic and diluted earnings per ordinary share were US$0.20 and US$0.17, respectively, in the fourth quarter of
2023, while basic and diluted earnings per ordinary share were
US$0.11 and US$0.09, respectively, in the same period of
2022.
Non-GAAP earnings per ordinary
share[8]
Non-GAAP basic and diluted earnings per ordinary share were
US$0.22 and US$0.19, respectively, in the fourth quarter of
2023, compared with US$0.14 and
US$0.12, respectively, in the same
period of 2022.
Cash and cash equivalents, restricted cash, term deposits
and short-term investments
As of December 31, 2023, we had
cash and cash equivalents, restricted cash, term deposits and
short-term investments of US$535.7
million, compared with US$453.0
million as of December 31,
2022.
Full Year 2023 Financial Results
Revenues
Our revenues were US$318.9 million
in 2023, a 5.0% increase from US$303.6
million in 2022. The increase was primarily driven by the
broadening of our user base and our enhanced monetization
capability.
Our revenues generated from chatting services were US$211.8 million in 2023, and our revenues
generated from games services were US$106.7
million in 2023.
|
[8]
Non-GAAP earnings per ordinary share is non-GAAP net income
attributable to Yalla Group Limited's shareholders, divided by
weighted average number of basic and diluted shares outstanding.
Non-GAAP net income attributable to Yalla Group Limited's
shareholders represents net income attributable to Yalla Group
Limited's shareholders, excluding share-based compensation.
Non-GAAP earnings per ordinary share and non-GAAP net income
attributable to Yalla Group Limited's shareholders are non-GAAP
financial measures. See the sections entitled "Non-GAAP Financial
Measures" and "Reconciliations of GAAP and Non-GAAP Results" for
more information about the non-GAAP measures referred to in this
press release.
|
Costs and expenses
Our total costs and expenses were US$222.5 million in 2023, compared with
US$224.9 million in 2022.
Our cost of revenues remained relatively stable at US$114.5 million in 2023, compared with
US$113.8 million last year. Cost of
revenues as a percentage of our total revenues decreased from 37.5%
in 2022 to 35.9% in 2023.
Our selling and marketing expenses were US$45.4 million in 2023, a 9.1% decrease from
US$49.9 million in 2022, primarily
due to our more disciplined advertising and promotion approach.
Selling and marketing expenses as a percentage of our total
revenues decreased from 16.4% in 2022 to 14.2% in 2023.
Our general and administrative expenses remained relatively
stable at US$36.8 million in 2023,
compared with US$36.6 million in
2022. General and administrative expenses as a percentage of our
total revenues decreased from 12.0% in 2022 to 11.5% in 2023.
Our technology and product development expenses were
US$25.8 million in 2023, a 5.0%
increase from US$24.6 million in
2022, primarily due to an increase in salaries and benefits for our
technology and product development staff, driven by an increase in
the headcount of our technology and product development staff to
support the development of new businesses and expansion of our
product portfolio. Technology and product development expenses as a
percentage of our total revenues remained stable at 8.1% in
2023.
Operating income
Operating income was US$96.4
million in 2023, compared with US$78.7 million in 2022.
Non-GAAP operating income
Non-GAAP operating income in 2023 was US$114.3 million, compared with US$105.4 million in 2022.
Interest income
Our interest income was US$19.8
million in 2023, compared with US$3.3
million in 2022, primarily due to an increase in interest
rates applicable to the Company's bank deposits and a continued
increase in the Company's cash position.
Income tax expense
Our income tax expense was US$2.7
million in 2023, compared with US$2.6
million in 2022.
Net income
Our net income was US$113.1
million in 2023, a 43.0% increase from US$79.0 million in 2022.
Non-GAAP net income
Non-GAAP net income in 2023 was US$131.0
million, a 23.9% increase from US$105.7 million in 2022.
Earnings per ordinary share
Basic and diluted earnings per ordinary share were US$0.74 and US$0.65, respectively, in 2023, compared with
US$0.52 and US$0.45, respectively, in 2022.
Non-GAAP earnings per ordinary share
Non-GAAP basic and diluted earnings per ordinary share were
US$0.85 and US$0.74, respectively, in 2023, compared with
US$0.69 and US$0.60, respectively, in 2022.
Share repurchase program
Pursuant to the Company's share repurchase program beginning on
May 21, 2021 with an extended
expiration date of May 21, 2024, the
Company completed cash repurchases in the open market of 3,972,876
American depositary shares ("ADSs"), representing 3,972,876 Class A
ordinary shares, for an aggregate amount of approximately
US$35.5 million, as of December 31, 2023. The aggregate value of ADSs
and/or Class A ordinary shares that remain available for purchase
under the current share repurchase program was US$114.5 million as of December 31, 2023.
Outlook
For the first quarter of 2024, Yalla currently expects revenues
to be between US$72.0 million and
US$79.0 million.
The above outlook is based on current market conditions and
reflects the Company management's current and preliminary estimates
of market and operating conditions and customer demand, which are
all subject to change.
Conference Call
The Company's management will host an earnings conference call
on Monday, March 11, 2024, at
8:00 PM U.S. Eastern Time,
Tuesday, March 12, 2024, at
4:00 AM Dubai Time, or Tuesday, March 12, 2024, at 8:00 AM Beijing/Hong
Kong time.
Dial-in details for the earnings conference call are as
follows:
|
United States Toll
Free:
|
+1-888-317-6003
|
|
International:
|
+1-412-317-6061
|
|
United Arab Emirates
Toll Free:
|
80-003-570-3589
|
|
Mainland China Toll
Free:
|
400-120-6115
|
|
Hong Kong, China Toll
Free:
|
800-963-976
|
|
Access Code:
|
1609316
|
Additionally, a live and archived webcast of the conference call
will be available on the Company's investor relations website at
https://ir.yalla.com.
A replay of the conference call will be accessible until
March 18, 2024, by dialing the following telephone
numbers:
|
United States Toll
Free:
|
+1-877-344-7529
|
|
International:
|
+1-412-317-0088
|
|
Access Code:
|
1323561
|
Non-GAAP Financial Measures
To supplement the financial measures prepared in accordance with
generally accepted accounting principles in the United States, or GAAP, this press release
presents non-GAAP financial measures, namely non-GAAP operating
income, non-GAAP net income, non-GAAP net margin and non-GAAP basic
and diluted earnings per ordinary share, as supplemental measures
to review and assess the Company's operating performance. The
presentation of the non-GAAP financial measures is not intended to
be considered in isolation or as a substitute for the financial
information prepared and presented in accordance with U.S. GAAP. We
define non-GAAP operating income as operating income excluding
share-based compensation. We define non-GAAP net income as net
income excluding share-based compensation. We define non-GAAP net
margin as non-GAAP net income as a percentage of revenues. We
define non-GAAP net income attributable to Yalla Group Limited's
shareholders as net income attributable to Yalla Group Limited's
shareholders, excluding share-based compensation. We define
non-GAAP earnings per ordinary share as non-GAAP net income
attributable to Yalla Group Limited's shareholders, divided by the
weighted average number of basic and diluted shares
outstanding.
By excluding the impact of share-based compensation expenses,
which are non-cash charges, the Company believes that the non-GAAP
financial measures help identify underlying trends in its business
and enhance the overall understanding of the Company's past
performance and future prospects. Investors can better understand
the Company's operating and financial performance, compare business
trends among different reporting periods on a consistent basis and
assess its core operating results, as they exclude share-based
compensation expenses, which are not expected to result in cash
payments. The Company also believes that the non-GAAP financial
measures allow for greater visibility with respect to key metrics
used by the Company's management in its financial and operational
decision-making.
The non-GAAP financial measure is not defined under U.S. GAAP
and is not presented in accordance with U.S. GAAP. The non-GAAP
financial measure has limitations as analytical tools. One of the
key limitations of using the non-GAAP financial measures is that
they do not reflect all items of income and expense that affect the
Company's operations. Share-based compensation has been and may
continue to be incurred in the Company's business and is not
reflected in the presentation of non-GAAP financial measures.
Further, the non-GAAP financial measure may differ from the
non-GAAP information used by other companies, including peer
companies, and therefore their comparability may be limited.
The Company compensates for these limitations by providing the
relevant disclosure of its non-GAAP financial measures in the
reconciliations to the nearest U.S. GAAP performance measures, all
of which should be considered when evaluating its performance. The
Company encourages investors and others to review its financial
information in its entirety and not rely on a single financial
measure.
Reconciliations of GAAP and non-GAAP results are set forth at
the end of this press release.
About Yalla Group Limited
Yalla Group Limited is the largest MENA-based online social
networking and gaming company, in terms of revenue in 2022. The
Company operates two flagship mobile applications, Yalla, a
voice-centric group chat platform, and Yalla Ludo, a casual gaming
application featuring online versions of board games, popular in
MENA, with in-game voice chat and localized Majlis functionality.
Building on the success of Yalla and Yalla Ludo, the Company
continues to add engaging new content, creating a
regionally-focused, integrated ecosystem dedicated to fulfilling
MENA users' evolving online social networking and gaming needs.
Through its holding subsidiary, Yalla Game Limited, the Company has
expanded its capabilities in mid-core and hard-core games in the
MENA region, leveraging its local expertise to bring innovative
gaming content to its users. In addition, the growing Yalla
ecosystem includes YallaChat, an IM product tailored for Arabic
users and casual games such as Yalla Baloot and 101 Okey Yalla,
developed to sustain vibrant local gaming communities in MENA.
Yalla is also actively exploring outside of MENA with Yalla
Parchis, a Ludo game designed for the South American markets.
Yalla's mobile applications deliver a seamless experience that
fosters a sense of loyalty and belonging, establishing highly
devoted and engaged user communities through close attention to
detail and localized appeal that profoundly resonates with
users.
For more information, please visit: https://ir.yalla.com.
Safe Harbor Statement
This press release contains statements that may constitute
"forward-looking" statements pursuant to the "safe harbor"
provisions of the U.S. Private Securities Litigation Reform Act of
1995. These forward-looking statements can be identified by
terminology such as "will," "expects," "anticipates," "aims,"
"future," "intends," "plans," "believes," "estimates," "likely to"
and similar statements. Statements that are not historical facts,
including statements about Yalla Group Limited's beliefs, plans and
expectations, are forward-looking statements. Forward-looking
statements involve inherent risks and uncertainties. Further
information regarding these and other risks is included in Yalla
Group Limited's filings with the SEC. All information provided in
this press release is as of the date of this press release, and
Yalla Group Limited does not undertake any obligation to update any
forward-looking statement, except as required under applicable
law.
For investor and media inquiries, please contact:
Yalla Group Limited
Investor Relations
Kerry Gao - IR Director
Tel: +86-571-8980-7962
Email: ir@yalla.com
Piacente Financial Communications
Jenny Cai
Tel: +86-10-6508-0677
Email: yalla@tpg-ir.com
In the United States:
Piacente Financial Communications
Brandi Piacente
Tel: +1-212-481-2050
Email: yalla@tpg-ir.com
|
YALLA GROUP
LIMITED
|
|
|
UNAUDITED CONDENSED
CONSOLIDATED BALANCE SHEETS
|
|
|
|
|
|
As of
|
|
|
|
December 31,
2022
|
|
|
December 31,
2023
|
|
|
|
US$
|
|
|
US$
|
|
|
ASSETS
|
|
|
|
|
|
|
|
Current
assets
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
|
407,256,837
|
|
|
|
311,883,463
|
|
|
Restricted
cash
|
|
|
—
|
|
|
|
423,567
|
|
|
Term
deposits
|
|
|
20,000,000
|
|
|
|
213,105,501
|
|
|
Short-term
investments
|
|
|
25,788,304
|
|
|
|
10,282,329
|
|
|
Amounts due from a
related party
|
|
|
—
|
|
|
|
109,507
|
|
|
Prepayments and other
current assets
|
|
|
28,652,840
|
|
|
|
33,340,602
|
|
|
Total current
assets
|
|
|
481,697,981
|
|
|
|
569,144,969
|
|
|
Non-current
assets
|
|
|
|
|
|
|
|
Property and equipment,
net
|
|
|
2,121,613
|
|
|
|
1,583,604
|
|
|
Intangible asset,
net
|
|
|
1,328,470
|
|
|
|
1,133,715
|
|
|
Operating lease
right-of-use assets
|
|
|
1,950,364
|
|
|
|
2,382,026
|
|
|
Long-term
investments
|
|
|
3,833,750
|
|
|
|
51,692,218
|
|
|
Other assets
|
|
|
15,406,078
|
|
|
|
13,015,729
|
|
|
Total non-current
assets
|
|
|
24,640,275
|
|
|
|
69,807,292
|
|
|
Total
assets
|
|
|
506,338,256
|
|
|
|
638,952,261
|
|
|
|
|
|
|
|
|
|
LIABILITIES
|
|
|
|
|
|
|
|
Current
liabilities
|
|
|
|
|
|
|
|
Accounts
payable
|
|
|
5,382,276
|
|
|
|
928,055
|
|
|
Deferred
revenue
|
|
|
35,957,485
|
|
|
|
46,558,571
|
|
|
Operating lease
liabilities, current
|
|
|
858,452
|
|
|
|
1,153,691
|
|
|
Accrued expenses and
other current liabilities
|
|
|
22,821,168
|
|
|
|
26,694,999
|
|
|
Total current
liabilities
|
|
|
65,019,381
|
|
|
|
75,335,316
|
|
|
Non-current
liabilities
|
|
|
|
|
|
|
|
Operating lease
liabilities, non-current
|
|
|
744,612
|
|
|
|
949,970
|
|
|
Amounts due to a
related party
|
|
|
709,789
|
|
|
|
—
|
|
|
Total non-current
liabilities
|
|
|
1,454,401
|
|
|
|
949,970
|
|
|
Total
liabilities
|
|
|
66,473,782
|
|
|
|
76,285,286
|
|
|
|
|
|
|
|
|
|
EQUITY
|
|
|
|
|
|
|
|
Shareholders' equity
of Yalla Group Limited
|
|
|
|
|
|
|
|
Class A Ordinary
Shares
|
|
|
13,356
|
|
|
|
13,778
|
|
|
Class B Ordinary
Shares
|
|
|
2,473
|
|
|
|
2,473
|
|
|
Additional paid-in
capital
|
|
|
294,406,395
|
|
|
|
313,306,523
|
|
|
Treasury
stock
|
|
|
(27,014,697)
|
|
|
|
(35,527,305)
|
|
|
Accumulated other
comprehensive loss
|
|
|
(1,701,111)
|
|
|
|
(2,341,740)
|
|
|
Retained
earnings
|
|
|
174,880,748
|
|
|
|
292,223,525
|
|
|
Total shareholders'
equity of Yalla Group Limited
|
|
|
440,587,164
|
|
|
|
567,677,254
|
|
|
Non-controlling
interests
|
|
|
(722,690)
|
|
|
|
(5,010,279)
|
|
|
Total
equity
|
|
|
439,864,474
|
|
|
|
562,666,975
|
|
|
Total liabilities
and equity
|
|
|
506,338,256
|
|
|
|
638,952,261
|
|
|
YALLA GROUP
LIMITED
|
|
|
UNAUDITED CONDENSED
CONSOLIDATED STATEMENTS
|
|
|
OF
OPERATIONS
|
|
|
|
|
|
Three Months
Ended
|
|
Year
Ended
|
|
|
|
December 31,
2022
|
|
September 30,
2023
|
|
December 31,
2023
|
|
December 31,
2022
|
|
December 31,
2023
|
|
|
|
US$
|
|
US$
|
|
US$
|
|
US$
|
|
US$
|
|
|
Revenues
|
|
75,113,791
|
|
85,187,360
|
|
80,925,228
|
|
303,603,522
|
|
318,877,564
|
|
|
Costs and
expenses
|
|
|
Cost of
revenues
|
|
(27,439,485)
|
|
(27,772,226)
|
|
(30,571,656)
|
|
(113,808,128)
|
|
(114,527,174)
|
|
|
Selling and marketing
expenses
|
|
(14,254,031)
|
|
(11,292,732)
|
|
(10,356,555)
|
|
(49,939,683)
|
|
(45,382,752)
|
|
|
General and
administrative expenses
|
|
(13,040,902)
|
|
(7,325,451)
|
|
(11,300,036)
|
|
(36,582,626)
|
|
(36,808,454)
|
|
|
Technology and product
development expenses
|
|
(5,376,318)
|
|
(6,396,426)
|
|
(5,411,303)
|
|
(24,575,485)
|
|
(25,804,995)
|
|
|
Total costs and
expenses
|
|
(60,110,736)
|
|
(52,786,835)
|
|
(57,639,550)
|
|
(224,905,922)
|
|
(222,523,375)
|
|
|
Operating
income
|
|
15,003,055
|
|
32,400,525
|
|
23,285,678
|
|
78,697,600
|
|
96,354,189
|
|
|
Interest
income
|
|
2,295,844
|
|
5,612,861
|
|
6,479,095
|
|
3,300,976
|
|
19,833,520
|
|
|
Government
grants
|
|
110,258
|
|
228
|
|
154,908
|
|
322,273
|
|
337,355
|
|
|
Investment
income
|
|
277,122
|
|
435,545
|
|
271,566
|
|
21,407
|
|
1,728,308
|
|
|
Impairment loss of
investments
|
|
(705,428)
|
|
(2,509,480)
|
|
—
|
|
(705,428)
|
|
(2,509,480)
|
|
|
Income before income
taxes
|
|
16,980,851
|
|
35,939,679
|
|
30,191,247
|
|
81,636,828
|
|
115,743,892
|
|
|
Income tax
expense
|
|
(416,342)
|
|
(708,673)
|
|
(539,276)
|
|
(2,598,983)
|
|
(2,685,456)
|
|
|
Net
income
|
|
16,564,509
|
|
35,231,006
|
|
29,651,971
|
|
79,037,845
|
|
113,058,436
|
|
|
Net loss attributable
to non-controlling interests
|
|
198,008
|
|
994,099
|
|
1,533,491
|
|
718,952
|
|
4,284,341
|
|
|
Net income
attributable to Yalla Group
Limited's shareholders
|
|
16,762,517
|
|
36,225,105
|
|
31,185,462
|
|
79,756,797
|
|
117,342,777
|
|
|
Earnings per
ordinary share
|
|
|
——Basic
|
|
0.11
|
|
0.23
|
|
0.20
|
|
0.52
|
|
0.74
|
|
|
——Diluted
|
|
0.09
|
|
0.20
|
|
0.17
|
|
0.45
|
|
0.65
|
|
|
Weighted average
number of shares
outstanding used in computing earnings
per ordinary share
|
|
|
——Basic
|
|
157,373,645
|
|
160,554,831
|
|
159,656,332
|
|
153,526,679
|
|
159,264,843
|
|
|
——Diluted
|
|
177,515,233
|
|
183,111,650
|
|
182,819,044
|
|
176,639,558
|
|
181,800,240
|
|
|
|
|
Share-based
compensation was allocated in cost of revenues, selling and
marketing expenses, general and administrative expenses and
technology and product development expenses as follows:
|
|
|
Three Months
Ended
|
|
|
Year
Ended
|
|
|
|
December 31,
2022
|
|
|
September 30,
2023
|
|
|
December 31,
2023
|
|
|
December 31,
2022
|
|
|
December 31,
2023
|
|
|
|
US$
|
|
|
US$
|
|
|
US$
|
|
|
US$
|
|
|
US$
|
|
|
Cost of
revenues
|
|
|
884,691
|
|
|
|
627,760
|
|
|
|
1,479,600
|
|
|
|
4,798,901
|
|
|
|
4,061,122
|
|
|
Selling and marketing
expenses
|
|
|
1,019,064
|
|
|
|
532,001
|
|
|
|
692,727
|
|
|
|
5,774,985
|
|
|
|
3,210,434
|
|
|
General and
administrative expenses
|
|
|
2,963,686
|
|
|
|
1,633,262
|
|
|
|
1,417,835
|
|
|
|
14,752,580
|
|
|
|
9,539,356
|
|
|
Technology and product
development expenses
|
|
|
315,581
|
|
|
|
255,677
|
|
|
|
198,803
|
|
|
|
1,364,504
|
|
|
|
1,118,930
|
|
|
Total share-based
compensation expenses
|
|
|
5,183,022
|
|
|
|
3,048,700
|
|
|
|
3,788,965
|
|
|
|
26,690,970
|
|
|
|
17,929,842
|
|
|
YALLA GROUP
LIMITED
|
|
|
RECONCILIATIONS OF
GAAP AND NON-GAAP RESULTS
|
|
|
|
|
|
Three Months
Ended
|
|
|
Year
Ended
|
|
|
|
December 31,
2022
|
|
|
September 30,
2023
|
|
|
December 31,
2023
|
|
|
December 31,
2022
|
|
|
December 31,
2023
|
|
|
|
US$
|
|
|
US$
|
|
|
US$
|
|
|
US$
|
|
|
US$
|
|
|
Operating
income
|
|
|
15,003,055
|
|
|
|
32,400,525
|
|
|
|
23,285,678
|
|
|
|
78,697,600
|
|
|
|
96,354,189
|
|
|
Share-based
compensation expenses
|
|
|
5,183,022
|
|
|
|
3,048,700
|
|
|
|
3,788,965
|
|
|
|
26,690,970
|
|
|
|
17,929,842
|
|
|
Non-GAAP operating
income
|
|
|
20,186,077
|
|
|
|
35,449,225
|
|
|
|
27,074,643
|
|
|
|
105,388,570
|
|
|
|
114,284,031
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
|
|
16,564,509
|
|
|
|
35,231,006
|
|
|
|
29,651,971
|
|
|
|
79,037,845
|
|
|
|
113,058,436
|
|
|
Share-based
compensation expenses,
net of tax effect of nil
|
|
|
5,183,022
|
|
|
|
3,048,700
|
|
|
|
3,788,965
|
|
|
|
26,690,970
|
|
|
|
17,929,842
|
|
|
Non-GAAP net
income
|
|
|
21,747,531
|
|
|
|
38,279,706
|
|
|
|
33,440,936
|
|
|
|
105,728,815
|
|
|
|
130,988,278
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income attributable
to Yalla
Group Limited's shareholders
|
|
|
16,762,517
|
|
|
|
36,225,105
|
|
|
|
31,185,462
|
|
|
|
79,756,797
|
|
|
|
117,342,777
|
|
|
Share-based
compensation expenses,
net of tax effect of nil
|
|
|
5,183,022
|
|
|
|
3,048,700
|
|
|
|
3,788,965
|
|
|
|
26,690,970
|
|
|
|
17,929,842
|
|
|
Non-GAAP net income
attributable to
Yalla Group Limited's shareholders
|
|
|
21,945,539
|
|
|
|
39,273,805
|
|
|
|
34,974,427
|
|
|
|
106,447,767
|
|
|
|
135,272,619
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP earnings
per ordinary share
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
——Basic
|
|
|
0.14
|
|
|
|
0.24
|
|
|
|
0.22
|
|
|
|
0.69
|
|
|
|
0.85
|
|
|
——Diluted
|
|
|
0.12
|
|
|
|
0.21
|
|
|
|
0.19
|
|
|
|
0.60
|
|
|
|
0.74
|
|
|
Weighted average
number of shares
outstanding used in computing earnings
per ordinary share
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
——Basic
|
|
|
157,373,645
|
|
|
|
160,554,831
|
|
|
|
159,656,332
|
|
|
|
153,526,679
|
|
|
|
159,264,843
|
|
|
——Diluted
|
|
|
177,515,233
|
|
|
|
183,111,650
|
|
|
|
182,819,044
|
|
|
|
176,639,558
|
|
|
|
181,800,240
|
|
View original
content:https://www.prnewswire.com/news-releases/yalla-group-limited-announces-unaudited-fourth-quarter-and-full-year-2023-financial-results-302085372.html
SOURCE Yalla Group Limited
