YY Earnings Prediction
The chart below shows how YY performed 10 days before and after its earnings report, based on data from the past quarters. Typically, YY sees a +4.69% change in stock price 10 days leading up to the earnings, and a +5.60% change 10 days following the report. On the earnings day itself, the stock moves by -0.17%. This data can give you a slight idea of what to expect for the next quarter's release.
YY Key Earning Data
YY Earnings Analysis
Positive
Live Streaming Business Sale: Successfully completed the sale of the live streaming business for Mainland China, marking a new chapter for corporate development.
Ticker Symbol Change: Change of Nasdaq ticker symbol from YY to Joy, aligning with the strategic vision and globalization strategy.
Global Market Revenue Insights: In 2024, global market revenue excluding Mainland China accounted for 89.6% of total revenue, with developed countries seeing a 24.6% year-over-year revenue increase.
Q4 Revenue and Profit Surge: Achieved a group revenue of $549.4 million in Q4 2024, with a non-GAAP net profit of $96.1 million, up 57.1% quarter-over-quarter.
Bigo Revenue and Profit Growth: Bigo segment achieved revenues of $480 million in Q4 2024, with a non-GAAP operating profit of $81 million, up 11.2% quarter-over-quarter.
Bigo Segment Revenue Growth: For the full year 2024, group revenue was $2.24 billion, with Bigo segment revenues of $1.99 billion, a year-over-year increase of 3.3%.
Non-GAAP Operating Profit Growth: Achieved a non-GAAP operating profit of $136 million for the full year 2024, a year-over-year increase of 4.2%.
Shareholder Return Focus: Shareholder returns remain a high priority, with $309.2 million repurchased in 2024, representing 15.1% of total outstanding shares.
Dividend and Share Repurchase Program: Board approved a quarterly cash dividend program for the next three years, totaling approximately $600 million, and an additional share repurchase program of up to $300 million until December 2027.
Community Guidelines Update: Bigo Life's community guidelines were updated, enhancing safety and quality of content, and the annual Big O Awards Gala was successfully held, showcasing the platform's vibrant community.
Advertising Revenue Growth: Bigo's advertising revenue grew significantly, contributing 16.6% to total revenue, with expectations for continued double-digit growth in 2025.
Negative
Non-Live Streaming Revenue Growth: In Q4, the group’s non live streaming revenues continued to grow substantially both year over year and quarter over quarter, while our live streaming revenue experienced a decline.
Live Streaming Revenue Decline: The decline in live streaming revenue was primarily due to adjustments made to interactive features of Bigo’s non-core audio live streaming product and an unexpected temporary removal from platforms in Q4.
Gala Performance Amid Disruption: Despite the disruption, the annual gala delivered stronger than expected results, but the overall revenue was still affected by the live streaming decline.
Seasonal Impact Forecast: Looking ahead to Q1 2025, a stronger than usual negative seasonality impact is expected due to the coinciding Lunar New Year and Ramadan, which may affect user acquisition and operational events.
Impact of Product Adjustments: The adjustments made to the non-core audio live streaming product may still exert a negative impact on Bigo’s overall top line growth, especially when compared with the high base during the first three quarters of 2024.
Gross Margin Decline: Bigo’s non GAAP gross margin was down quarter on quarter due to shifts in revenue mix, which saw increased contribution from lower margin audience network advertising revenue.
Goodwill Impairment Charge: The goodwill impairment charge of $454.9 million was primarily attributable to lower valuation amid current market conditions, indicating potential issues with past acquisitions.
Bigo Segment Profit Outlook: The overall non GAAP operating profit for the Bigo segment is expected to remain roughly stable with certain potential for growth in 2025, but adjustments may still impact profitability.
Revenue Decline Analysis: The company’s total net revenues for the full year were down compared to 2023, indicating a potential decline in overall business performance.
YY FAQs
How does YY typically perform around its earnings report dates?
YY's stock performance around earnings reports can vary, but historical data shows specific patterns, such as a +4.69% change leading up to the report and a +5.60% change in the 10 days following the release.
