The following is a summary of the Xunlei Limited (XNET) Q3 2024 Earnings Call Transcript:
Financial Performance:
Total Q3 2024 revenues were $80.1 million, a decrease of 4.9% year-over-year.
Gross profit was $40.5 million with a gross margin of 50.5%, up from 44.6% year-over-year.
Subscription revenue grew 15.6% year-over-year to $33.2 million.Cloud computing revenue decreased by 14.4% year-over-year to $25.3 million.
Live streaming and IVAS revenue decreased by 16.7% year-over-year to $21.6 million.
Net income remained stable at $4.4 million.
Business Progress:
Expanded overseas operations in response to challenges in domestic markets.
Subscription business saw an increase in premium subscribers, which now account for 78% of total paying users.
Exploring further collaboration with a leading cell phone maker to pre-install Xunlei products on mobile phone browsers.
Evaluating options to stabilize the cloud computing business amid intense competition and regulatory challenges.
Opportunities:
Subscription growth driven by increased user engagement and loyalty.
Expansion in overseas markets, particularly in live streaming, to offset domestic downsizing.
Potential strategic partnerships with cell phone manufacturers for pre-installed software.
Risks:
Decline in cloud computing and domestic live streaming revenues due to market competition and regulatory changes.
Tips: For more comprehensive details, please refer to the IR website. The article is only for investors' reference without any guidance or recommendation suggestions.
