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 second quarter of the fiscal year 2024, ending on June 30.
The financial results revealed that Yalla’s H1 revenues have surpassed AED 587.3 million (US$159.9 million), recording a 4.7% increase from the first half of the previous year.
Moreover, H1 net income saw a substantial rise, climbing to AED 229.6 million (US$62.5 million), showing an impressive increase of 29.7% from the first half of the previous year.
This remarkable financial performance was largely driven by robust results in the second quarter of the year. Yalla Group’s revenues surpassed AED 298.3 million (US$81.2 million) in the second quarter of 2024, representing an increase of 2.5% year-over-year.
Net income in the second quarter of 2024 grew significantly to AED 115.3 million (US$31.4 million), with a substantial 10.9% rise from AED 103.9 million (US$28.3 million) in the second quarter of 2023.
Additionally, net margin elevated to 38.6% in the second quarter of 2024, reflecting Yalla Group’s continuously enhancing operating efficiency.
Moreover, Average Monthly Active Users (MAUs) in the second quarter surged by 14.1% to 39.0 million in 2024 from 34.2 million in the second quarter of 2023.
Mr. Yang Tao, Founder, Chairman and Chief Executive Officer of Yalla said: “We delivered another solid set of results for the second quarter of 2024, led by total revenues of AED 298.3 million) US$81.2 million(, exceeding the top end of our guidance despite the impact of the Ramadan holiday.” “This strong performance was supported by our success in enhancing operational procedures, boosting user engagement, optimizing technology utilization to improve efficiency, and refining our user acquisition strategies, which drove a 14.1% year-over-year increase in average MAUs to 39.0 million for the second quarter.
“We recently celebrated the 8th anniversary of Yalla, our group’s first product, which has evolved from the Middle East’s first voice chat product into the world’s most downloaded voice chat app, boasting a highly engaged and loyal user community. On the operational front, we continued to deepen local gamers’ engagement with our products and enhanced our brand influence through numerous exciting online and offline events. Since the end of last year, we have hosted online and offline Yalla Ludo tournaments across different cities in MENA with our esteemed local and international partners, engaging with millions of players. As the largest MENA-based online social networking and gaming company, we are committed to delivering tailored experiences that enrich our users’ lives while contributing to the Middle East’s vibrant digital landscape,” Tao concluded.
For his part, Saifi Ismail, President of Yalla Group, said: “The first half of 2024 has been a period of remarkable achievement for Yalla Group, marking significant strides in our journey of growth and innovation. We’re exploring new horizons, pushing boundaries in technology and community engagement to redefine what social networking can be in the MENA region. Our aim is to create a vibrant ecosystem that not only entertains but also empowers and connects our users.”
“Looking ahead, we will continue to capitalize on the opportunities presented by the rapidly expanding digital economy in the MENA region,” commented Ismail. “Our focus remains on leveraging cutting-edge technology to enhance user experience and engagement, thereby driving sustainable growth and shareholder value,” he added.
