Slide 1: 2021 Q2 Earnings
2021 Q2 Earnings August 9, 2021
Slide 2: Disclaimer
Disclaimer Information in this presentation and the accompanying oral presentation (the “Presentation”), including, among others, any statements regarding Agora’s market position, customer data and other metrics, is based on data and analyses from various sources as of the date of this Presentation,
Slide 3: 2021 Q2 Business Highlights
2021 Q2 Business Highlights agora
Slide 4: Anniversary Since IPO (June 26, 2020)
Anniversary Since IPO (June 26, 2020) Powering more than 50 billion minutes of video and audio engagements each month Product portfolio expanded to interactive whiteboard, instant messaging, flexible classroom… With developers, we are changing the way how people work, study, play, and live 4
Slide 5: World Is Evolving
World Is Evolving Gartner Study (1) 82% of business leaders plant to let employees Screen cap of Gartner continue to work remotely at least some of the time, while 47% plan to allow employees to do so permanently. Modern enterprises embrace technologies that enable employees to stay productive from
Slide 6: Steady Growth in Developers and Customers
Steady Growth in Developers and Customers ACCUMULATED REGISTERED APPLICATIONS (1)(3) ACTIVE CUSTOMERS (2)(3) 337,000 2,449 306,000 2,324 272,000 2,095 245,000 1,815 217,000 1,486 Jun 20 Sep 20 Dec 20 Mar 21 Jun 21 Jun 20 Sep 20 Dec 20 Mar 21 Jun 21 Notes: (1) Refer to number of registered applicatio
Slide 7: Product Update
Product Update Refactored Agora App Builder Developers can create their own live video chat and streaming apps with customizable functionalities and visuals and without any coding required. Continuous effort in the low code & no code direction 7
Slide 8: Product Update
Product Update Agora Silver Artificial-intelligence based audio codec optimized for poor network conditions. Learns patterns in audio signals and artificially reconstructs such signals Lower computational complexity and more robust noise suppression compared with other leading AI- based audio codecs
Slide 9: Partnership with Migu
Partnership with Migu Online Karaoke Develop a one-stop solution for online karaoke Screen cap of 咪咕 Enabling people to sing songs together remotely Usage-based copyright solution for the soundtrack 9
Slide 10: Partnership with HP
Partnership with HP OMEN Oasis Our voice, video, and interactive living streaming capabilities are pre- installed on all OMEN PCs, which allow gamers to engage during gameplay and share their amazing gaming experience with others in real-time. 10
Slide 11: Emerging Use Cases
Emerging Use Cases E-shopping Live Streaming Working with a leading e-commerce platform in Southeast Asia Merchandise is introduced and demonstrated by a host via livestreaming Audience can place orders and interact with the host thought video or voice chat 11
Slide 12: Vibrant Developer Community
Vibrant Developer Community RTE2021 Startup Challenge & Agora Startup Fellows Program Support over 200 early-stage startups from 6 continents and 24 countries. Provide exclusive backend support and direct access to VC and accelerators to build more immersive real- time engagement use cases. 12
Slide 13: Agora RTE2021 Conference
Agora RTE2021 Conference RTE2021 Powered by Agora RTE2021 APAC North America Asia 13
Slide 14: 2021 Q2 Financial Update
2021 Q2 Financial Update agora
Slide 15: Strong Revenue Growth
Strong Revenue Growth TOTAL REVENUES in US$M YoY $42.3 25% $40.2 $35.6 $33.9 $33.3 $30.8 $19.1 $17.0 $14.9 19Q2 19Q3 19Q4 20Q1 20Q2 20Q3 20Q4 21Q1 21Q2 15
Slide 16: Removal of COVID-19 Impact in China
Removal of COVID-19 Impact in China ADJUSTED TOTAL REVENUES (1) in US$M $42.3 YoY $40.2 57% $33.3 $30.8 $27.0 $22.2 $19.1 $17.0 $14.9 19Q2 19Q3 19Q4 20Q1 20Q2 20Q3 20Q4 21Q1 21Q2 Notes: 1. Total revenues in 20Q1 and 20Q2 have been positively impacted by the spike of usage due to COVID-19 in China. I
Slide 17: Consistent and Expanding Usage
Consistent and Expanding Usage CONSTANT CURRENCY DOLLAR–BASED NET EXPANSION RATE (1)(2) 188% 183% 179% 166% 131% 131% 110% Dec 19 Mar 20 Jun 20 Sep 20 Dec 20 Mar 21 Jun 21 Notes: 1. Agora calculates Dollar-Based Net Expansion Rate for a trailing 12-month period by first identifying all customers in
Slide 18: Removal of COVID-19 Impact in China
Removal of COVID-19 Impact in China ADJUSTED CONSTANT CURRENCY DOLLAR–BASED NET EXPANSION RATE (1) 155% 149% 149% 146% 142% 140% 131% Dec 19 Mar 20 Jun 20 Sep 20 Dec 20 Mar 21 Jun 21 Notes: 1. Adjusted Constant Currency Dollar-Based Net Expansion Rate is calculated the same way as Constant Currency
Slide 19: Costs, Expenses and Margins
Costs, Expenses and Margins NON-GAAP COST OF GOODS SOLD AND OPERATING EXPENSES as % of Total Revenues 123.1% 116.5% 114.6% 108.4% 13.3% 102.2% 102.2% 101.3% 17.0% 11.1% 11.3% 8.3% 8.2% 10.0% 22.1% 18.6% 83.3% 84.9% 20.8% 25.8% 27.1% 6.9% 19.0% 30.3% 7.5% 15.3% 16.0% 43.3% 49.2% 39.2% 35.1% 37.6% 36.
Slide 20: Healthy Cash Flow
Healthy Cash Flow OPERATING CASH FLOW FREE CASH FLOW in US$M in US$M $7.5 $3.6 $2.0 $(1.4) $(1.9) $(2.7) $(5.1) $(8.3) $(8.0) $(11.5) 2Q20 3Q20 4Q20 1Q21 2Q21 2Q20 3Q20 4Q20 1Q21 2Q21 20
Slide 21: Robust Liquidity Position
Robust Liquidity Position NET ASSETS CASH, CASH EQUIVALENTS AND SHORT-TERM INVESTMENTS in US$M in US$M $897 $888 $877 $827 $655 $656 $656 $641 $635 $635 Jun 20 Sep 20 Dec 20 Mar 21 Jun 21 Jun 20 Sep 20 Dec 20 Mar 21 Jun 21 21
Slide 22: Appendix
Appendix agora
Slide 23: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation Gross Margin (US$000’s) 19Q2 19Q3 19Q4 20Q1(1) 20Q2(1) 20Q3(1) 20Q4 21Q1 21Q2 Total Revenues 14,901 17,061 19,105 35,560 33,904 30,847 33,253 40,225 42,333 GAAP Gross Profit 10,317 11,813 12,671 24,478 22,527 19,264 20,096 23,372 25,859 (+) Share-based Compensation 19
Slide 24: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation Research & Development Expenses (US$000’s) 19Q2 19Q3 19Q4 20Q1(1) 20Q2(1) 20Q3(1) 20Q4 21Q1 21Q2 GAAP Research & Development 5,708 6,588 7,128 11,688 10,919 12,449 14,438 25,216 27,003 (-) Share-based Compensation (793) (169) (183) (1,121) (1,169) (1,612) (1,411) (3,7
Slide 25: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation General & Administrative (US$000’s) 19Q2 19Q3 19Q4 20Q1(1) 20Q2(1) 20Q3(1) 20Q4 21Q1 21Q2 GAAP General & Administrative 1,535 1,658 2,421 3,545 3,396 4,401 6,668 5,721 7,271 (-) Share-based Compensation (295) (260) (271) (871) (1,040) (1,318) (1,015) (1,226) (1,612) (
Slide 26: GAAP to Adjusted EBITDA Reconciliation
GAAP to Adjusted EBITDA Reconciliation Adjusted EBITDA (US$000’s) 19Q2 19Q3 19Q4 20Q1(1) 20Q2(1) 20Q3(1) 20Q4 21Q1 21Q2 Total Revenues 14,901 17,061 19,105 35,560 33,904 30,847 33,253 40,225 42,333 GAAP Operating Income/(Loss) (1,979) (1,153) (2,404) 3,266 3,069 (3,777) (7,749) (16,012) (19,082) (+)
Slide 27: Thank you
Thank you agora