Aurora Mobile Limited

Q3 2021 Earnings Conference Call

11/23/2021

spk_0: ladies and gentlemen thank you for standing by and welcome to the aurora immobile third quarter twenty twenty one earnings conference call
spk_1: at this time all participants and isn't only mode and after the speakers presentation will be a question and answer session and to ask questions during the session you will need the first time the number one on your telephone please be advised that to these conferences being
spk_0: oh like the helicopters or with your hosts today was there when a than disdain thank you discover headset
spk_2: gave your name
spk_3: hello everyone i'm thank you for joining us today whereas earnings release was distributed earlier today and is a any about on the i our website at a yeah the cheap one dot c m under go today on me so wait on new open chairman and chief executive officer mr finch am as he note and mr shannon bomb chief financial officer following their prepared remarks or tree will be available to answer your questions during the q in a session that will follow before we begin of like to remind you that this conference call contains forward looking statements within the meaning of section twenty one he of the securities exchange act of nineteen thirty four as amended and as a find in the us private securities litigation reform act of nineteen ninety five these forward looking statements are based upon management's current expectations and current market and operating conditions which are difficult to predict and makers the company's actual results performance or achievements to differ materially from doze into forward looking statements further information regarding these and other risks uncertainties and of factors are included in the company's findings with the us securities and exchange commission the company does not undertake any obligation to update and you forward looking statements as a result of new information
spk_4: future events or otherwise except as required under applicable law
spk_3: with that i went now and done conference over to mr norrell please go ahead
spk_5: thanks to a night that money anger or need to everyone on the car they'll down to our a morbid for the or two thousand and ten one while i'm your call they did the for the court our well we have been operating under appeal i thought it of the model faith that beginning of two thousand and on your one we continue to see break it it's growth in the top business and i will go straight into our pottery south also if you are be is paul west and keep it is matters in the for the quarter of two thousand and twenty one people i promise on i'll kill free without i would like to play my i realized that the cadidate i knew that if available on out either side for your reference you may refer to that that as we proceed with a call today let's begin our a the only of highlight of algae operating and financial of i might for the for the quarter of two thousand twenty one at a reminder company completely i pity party marketing again doctor dozen times and an the things that is an albino python for cause i've talked with some auto racing you better per se and medical applications
spk_6: fire for an effort to apples comparison
spk_5: lambert present idea at cota had to be as and from their legacy of him other day and up for yeah
spk_6: and a further forty hour week i wasn't as ready as sorry up what tranquil our topic is receive a result of our dedicate fr a building and growing them guys are family of the thought a result fuck your way to two thousand funny one the number of paying customized increase to two thousand seven hundred and twenty nine frog to
spk_5: without a greyhound a tiny a year ago ah for a him prepare your up a year revenue that what i'm in be and nineteen point five media end up with up by the a the idea of a year good cosmology was seventy four on corporate their received more than one on by ties compared with forty seven per game brought a year ago workforce cause poverty it was they be that the said upon for meat and ah for the a party idea of a year and a jazzy be that was negative or them in be effective on one median a substantial improvement have plenty of they'll had them for a year ago them trading hours job raising leverage photo the by revenue the up our may be land meat and forty six consecutive quarters he became strength in south beach as well a our faith continue to equate to legend i'm dave indicating out the to paying quite heidi landing and brought the majority of quality most paying on time remy of found our tax base set a lot of holiday read a high rape for the a patent while the indeed out of isolated and eighteen has anybody called of occasions on idea of what yep open i'll go marching has quite a am for the wrong foot for the them had a young adult all the seventy upon forfeit them week was always with it what the resolve also set for transition into the pure that as a model the the beginning of the doesn't have the one that junk was probably blob of on that basis was a manager them by revenue
spk_7: welp up like a percent year over year
spk_5: the federal of all continue had junior revenue wealth has been our real everything thing ever and variety of ization of innovation in developers have a this product we always strive to pull writers is that if it i see our customers' needs and requirements for continuously medical paper as it a reason and his father we are proud to sail recent updates we have new a innovations up was the married or the allows offer that the better i'm in philadelphia has always been to enjoy the as a widely applicable part out and truth that ought to get about a suitable for our industry then based on the knees and prepare for on is a specified industry radical way more on to way more i'm too i guess and of us as as i they get can meet specify a requirements of easy user base in a tiger magic or example how delete go deeper to rave customers that his face and and fulfill fulfill they'll need many of our the better my air force in recent quarter have been focus on creating in deeper customer engagement in kill free launch of a version of all college a push for that featuring a brand new halfway to the have thousand whereby by mobile app developers have easily integrate a sailor major mobile phone manufacturers and operating systems posts china's into the app including but not limited to channels such as pilates yami oppo the evil and made you for the of hot thousand we are able to have mobile app developers significance of that increase the overall notification my rate or he raped by eighty percent compared to those mobile apps who do not use these of a punctured which seclusion already imposed that quick foray of they'll ask mobile app developers no longer how to integrate each manufacturers an operating system tray know on they'll on
spk_8: by using our happens when they get easily integrate our of the they were major notification changes and manager all of the push message or analogy well have one in like go
spk_5: as of today our seven thousand as have already dodgy are using these new function over forty five percent of the new ad get us out j push as dk have already integrated these functions into ago apps these are puncture marks i new mouse don't have been developer greater improved they'll push results with very simple and efficient integrate into voices deaths and same as our position as the leading push notification provider in china as a one of several newly introduced products in two thousand and twenty while our brought products has generated much customer ha lived i believed him out in the stock shall be deal industry we haven't noticed that some things are tight budget goes to get would evolve over the past few years and become even more people depended on a product range as gob about surveys go in the called her the month now manufactured enough to my own industries target tapping our boss products are they're not home a prize in idea for white a rally in the near future as the my mom screen gets paid because integrated into the from awful at the a prize and devices bringing our the right content on the of squeeze as quick as quickly because of like made our way of keeping yourself engaged and entering crave better user experience
spk_9: i politely shall be the out there are paid a customized and geared towards defraying use of works and get paid of on the people in our pants all of us product continuously with satisfied customers would come as an increasing use a technique i use our vacation time with the they were all bars for that at them mouth and market potential and up
spk_10: vacations going forward
spk_5: in addition wait our isn't that a lunch hour on the my be the alcohol gambling surveys under the laws for the allies if new service provider for rise app developers and opportunity to quickly integrate they'll add we plea legal thousand they how imperium and our on on the my legal counsel basically into their ass developers can enjoy the freedom and inconvenience to of hours during non of actions including a lot with the or and create marriage and pray the videos on are on apps a is fundamentally eliminate the his videos and and a brief or that for those developers who had to make bail on media's on their ass within us we've been does not really a pure in feel free we have already seen great customer in truth and receiver the many inquiry about these products waco of is evident that the the on be monday deal cause face had at the other great video to as be better for as any part of our product that met him a strategy to go deeper and to set it said it's by caught them especially requirements and the by doing so we can do better pose a joke with our customers and and because they are long laundry truck or partner but finale and other various ideas that i want to we view is that i know of november them and he our day verification out a cover my so favorable of he said he launched are hot while a crowd that cooperation with poly called illustrate that demonstrates that industry why are transit trott our jobs we come on for our rubber a calico come of age as they say currently be better for can easily a chase and experience our job application surveys by simply looking into it up into our ali thought town in addition to job edification it as far as can also get attached with keep while she was caught the much of a aggies you are very proud which include to push notifications is the messaging shopping money has agency by last to my mouth and you as a gather for us the have evaporates operate well and my new applications we with that is corporation will poly cotton that of the as by reaching out to more potential fee paying customers and we are playing a stable result in the near future in fact we have already been a number of paying customers the things be allows a study
spk_11: now i wrote in a call to fade goulioti of got the job of of as and greater freedom
spk_12: thanks chris let me start a discussion on different the revenue streams within days as businesses the third quarter and you are revenue from developers have it is reece i'll be sixty four point seven million or about forty eight percent growth or year over year basis
spk_11: the year over year revenue growth was a result of job growth of thirty two percent new subscription services and a very impressive eighty four percent growth you value added as of it is
spk_13: person so that it's revenues were i'll be thirty nine point eight million an increase of thirty two percent year over year primarily driven by new customer acquisition
spk_12: apart from new customer acquisition all continued efforts in cross selling varies non push subscription products such as a verification j as msg analytics have increased our customers crushing uptake v multiple product lines as a result all or revenue contribution of non push notification products increased to forty three percent from said you wanted and a year ago now push notification products also achieved a higher pool of i'll be thirty seven thousand without him in the overall apple fourth of good subscriptions evidence including by thirty present to i'm be sixteen point six thousand compared with or be fourteen point seven thousand a year ago new and they renew the contracts of notebook has been the in the quarter include net news china southern power grid company starbucks mcdonalds and so on
spk_11: value added services within developers evidence which include revenue from dg alliance savages and their as pavements that achieved august and the results were revenue grew significantly by eighty four percent young year to i'll be twenty four point nine million from our in be
spk_12: thirteen point five million in third quarter twenty twenty
spk_11: the demand for our gg elias products
spk_12: has proven to be continuously strong since it's introduction to the market respect this strong demand trend to continue into the future on the supply side of dg alliance during the quarter we continue to grow the traffic reports as it is a vital part of our strategy to increase opportunity these for and had these channels the total number of apps within our networks exceeded a three hundred ninety at compared to three hundred forty four a second quoted and to and you are representing a fifteen percent growth quarter over quarter that out yeah you within the network has stabilized at one hundred eighty million thing as a second quarter as discussed the in the lack of any as call that has been some delay in developers joining our ally of network and to integrate our as detail due to the regulatory requirements that it became the pop focus during the quarter however we have seen that ramp up of disintegrating period during their for earth quarter which lays a solid foundation on the supply side of the equation and it can in turn help us achieve as jaunty facial revenue growth for the coming quarters
spk_11: on the demands i mean he program developers and apps package relate to the demand continue to play a pivotal role by country we need to the majority of our gg allies revenue revenues either quoted and you can do you want during the quarter ad agencies contributed a more than fifty percent of gg alliance revenue stream why the rest came from direct the customers
spk_14: major customers of deja lies consistent consisted of repeat customers and the market leaders across many industry verticals they include but are not limited to we were made on tv and he paid harbaugh by do
spk_12: vip shop and or trouble go now let's move on to medical applications that cover financial risk management mac intelligence and eyes and products these revenues grew steadily by eighteen defender a year over year with the lion's share of the growth coming from the financial risk management business in the financial risk management segments revenues increased substantially by thirty five percent year over year with the help of the thirty seven to ten the growth the apple does caught oh we had another remarkable quarter with the highest the revenues since the beginning of cooking nineteen in fourth quarter of ten to twenty the strong demand for all of initiative the management products has paved the way for to buy a new customers and they retain mean existing had his quarter new and the renew the customers included some and insurance to show my financial three hundred digit heck
spk_11: my intelligence product line recorded a like three percent give new revenue year over we're you to their like labs that china eighty our investment environments in third quarter attendees and you want as many investors food out such china eighty investments due to the record to reconsider nevertheless week by
spk_12: the demand for good product line to recover of the quarter and their the quarter going forward doing so dakota and it and you are we have find that we new contract with many lives cousin that in crude humor lie on nephews media or the entertainment etc and awfully eyes on business has delivered a modest the five events revenue growth the over here
spk_15: with that are proud to call over to shannon thankfully they all go to the some of the key expenses embellish it items and as possible operating expenses
spk_12: the to the operating expenses increased by sixty send you a will you be really be one or three point seven million
spk_15: but the color on the offenses increased by twenty two percent to let me be fifty five point five million many do to increase in stock compensation as you continue to invest in all on the department improve idea for such such as a higher bandwidth and paul expenses to support their pension of the sauce businesses selling and marketing expenses eateries by five percent to many between the my point four million many due to the including stop compensation and travel expenses junior expenses decrease by twenty two percent you and me be eighteen point eight million many do to you were you reduction of really beat six point nine million in bed that provision due to all pro proactive and street finish your control measures adjusted ebitda completed as if he thought as being shed these compensation impairment of long term investment and change in fair value often next foreign currency sub contract improved by twenty seven percent you will you to negative really be sixteen point one million from negative will he between two million in cute tree twenty twenty for the third quarter often tended to the one we deliver an unsettled solid an issue with dogs for you away from buried and the key highlights what is what the include revenue of our class businesses increasing difficulty by that he did but then gross margin improved from forty seven percent to seventy four point four percent a direct result of que to twenty twenty one was margin been hundred percent contributed by high modern such businesses operating expenses are the increase by women six percent as a result our just as he retired by twenty seven percent will continue to demonstrate the school ability of our business model i do that because they will be have delivered fox business for the results and we have a place with the biggest we have with you we believe that the group moment the both que one cute to include reduce he has continue to bring was all results in the coming quarters that's onto the base also stories to volume button kp the keep the either improve the monitor firstly the a altima with the decrease from forty five days into treatment pretty good that he might be in this quarter this will similar to the trend we have been last quarter due to both a ship away from the legacy targeted marketing business to focus on fox businesses and a discipline for the grunting policy and i'll focus on improving the collection secondly the to the different revenue balance which represent cash collected it album from customer for six consecutive quarter has exceeded women three hundred million at put it in as of september thirtieth twenty twenty one the balance was it was at really be hundred and my team million up from hundred eleven point five million to two this year next to the as as well as will be six hundred and twenty seven million as of september thirtieth twenty twenty one this includes presents us with the village of really be to one million accounts are suitable of forty one million prepayments of poaching million efforts of sixty eight point nine london long term investment or one six five point six them to the current liabilities were really between seventy one one million as of september thirtieth a new one this includes shot in the normal level five million accounts payable thirteen point five million he put revenue of one one four point four million bucks liabilities of my five point one million next one to business owner
spk_16: big on the column available information the company these four year twenty twenty one revenue guidance to be in the rings of be three five million to ready to deliver representing group of thirty six to forty percent year over year contends last year and i'll guidance order for your gross margin to remain
spk_15: both seventy percent this do that for meaningful comparison purposes the prior revenue numbers used to calculate the group of scientists asked me new from the targeted marketing business the above all is based on the of the conditions and reflects the company's current and preliminary estimate of the market and operating conditions and of the multi month which are are subject to changes me before i conclude or give a quick update on the share repurchase plan in a quarter ended september thirty of to any day one with did not reproduce and issues as of september thirty offended anyone cumulative the for choose a total of my and went into one thousand eight years since the start of all week the trees for room
spk_3: and is conclude immeasurably their remarks were happy to take your question no when a back for you
spk_0: a parade of trees and to acuity thank you yes as a reminder to ask a question you need to press this time the number one muscles to withdraw your questions please press the pound or husky lisa stand by while we compile the to in a roster
spk_17: again these best time wanting and and two
spk_1: once again to sort of question
spk_0: as you question the spare tire one on the telephone
spk_18: thank you and first question is from the line
spk_19: grier can linger all the lines mobile foreigners great things were taking my question or comment on the key to your lines immigration is the can pick up to
spk_20: gameplay prior to the discussions of new regulations or there
spk_19: and of your gradual pick off
spk_20: and still have a bit more to go before the case returns to
spk_21: that rapid rapidly
spk_22: a bright eyed
spk_12: go offensive on the as you know the pipeline for joined dirty the alliance right
spk_14: dorothy actually thought you know our from the end of our our third quarter beginning of the fourth quarter in a maniac before the war in in the process has renewed the proper
spk_23: daughter the engaging with her though so he actually out the be a pretty pretty deep in the pipeline
spk_14: would be a great job at night
spk_23: not only not only you know media by that router
spk_24: large large of a large app was discussing with that
spk_12: we do expect you know
spk_25: go as a different number
spk_26: are you going to be
spk_12: join our enjoying our our network right income reporter though because of you know on the situation is aldo that why have you it
spk_23: you know confidence that you know me will be able to narrow our our guidance range for the revenue and you have the right
spk_27: never to put up and go to the confident and that it's current a half
spk_28: did you to follow up on that
spk_29: he the pace holy recover or partially recovered you still have more to go as those out who their regulatory
spk_14: situation for their own house
spk_30: i think either that you will be in a month of it has recovered
spk_27: how the say seventy eighty defense
spk_12: okay and then in terms of gg alliance talk about the next to my sales vs publishers and how you can or a rainy and going for has grown drivers
spk_14: i think that the girls driver you know am because actually the demands is always there and or demand of our product actually actually you know on that's another nother bottleneck cry as i previously share with you on in this commentary on previous cause at
spk_26: read about an ip it always had always been the on as pie by though at live you know damn more after joining the mod yeah you know join yelling at work we are be able to offer more impressive more exposure to the to their customers on the demand side right though so you know
spk_19: so that's the that's the you know at that ratio
spk_31: again
spk_32: and lastly you talk about the early adoption friends with jg view as a service products since launch and how do you expect it to impact revenues over the year and long term and then in terms of that maybe go through the cell cycle how long will prospective customers you may be
spk_12: as prize before purchasing
spk_24: yeah thirteen has a judge
spk_12: vad products right so i actually think the plants are you know we are continuing to educate and next broader market and the we we haven't discovered that demand actually is coming from a very diversified in does your vertical such as you know the financially the juice and ah you know the that the crew the how this right now
spk_14: local services transportation and attainments you know how many of us you've already got the customers yeah the app developers in those very good he their strong strong or a huge hit richard as you as you have read and you know the a press release right we reasonably expect fully signed up at the contact with are leaving
spk_12: i would she manufactured in china you know when this is a baby contract okay are in a close to a minute remaining and be
spk_26: what is traditionally actually the apu for the product is about one hundred thousand and right
spk_24: so so you know my initially for the video content a will appear on did our to use as move out with a half and that you are okay on the my devices think about a year the cape when you wake up in the money so to the kitchen and about preparing a breakfast when you are cooking the big screen
spk_14: our own are your are your refrigerator with that sure your favorite short video
spk_13: isn't it for you to be in are going to make your cookie martha and august is possible it because it had power that by cg that so we think this is what going to happen in the future and a we think you know it's really exciting
spk_29: the guy you know the adoption across multiple industries are going to happen
spk_12: not a overnight but we do with the the trans actually the demands if they're
spk_24: sept so in the short term the be a very small contributor revenue but as we look to make the second half of twenty twenty two become a catalyst to revenue growth or that even too soon
spk_14: that's where we are aiming to yeah yeah correct in the short term the robbing a contribution is still relatively small given our you know the large base of allah i traditional product
spk_33: the push coveted and and other other related a ticket was right back on you know for next year actually on you know we we aim to have that so forth and are thought to gain altitude have tablet to to drive johnny ah as get to promote
spk_34: the saudis products so so so than in there will be our key focus for next year when is a bath products advice the you m met our product give to new products
spk_0: okay thank you
spk_35: thank you
spk_36: the of my next question from the line of ryan while this of me this capital is go ahead and ninety something
spk_37: i could he be guys you hear me yes right
spk_38: great to am so my question is like going to more on the yeah i guess the the financial
spk_15: performance i'm so first question can have on a ghost margin for sas i and he moves around little bit from kind of them for the corner and soften the little i in his corner in some countries you can he wasn't alone on why that might have been
spk_39: and i've got a question about and the atmosphere
spk_14: that yeah getting damaged it did not move as much as well login affected he did a bit but i get the but functionality are some of the at we brought in for a good your lions mean gallantly we measure get get more than about the share of that
spk_35: new so in that case of the i'm giving them some of the benefits of our margins are we do not buy get to a continuous trend so we aspect imagine to be of of seventy nevertheless so as as the magic is concerned don't see that as a minute medical it
spk_37: yeah so we aim to the heat and are both much above above seventy for fence and if at our our near term target gotcha gotcha okay as and in advance and can like am against and isn't based place as i think in the past several quarters i've been certain well about that so i think it's out on looking into i'm and in really kind of here in a as we sit here now and november looking into ice rink actually ramos in december here i'm housing and what next year is it sounds like you have gg alliance devices coming back into the pool and previous endless ask about finances and and you mention that your back onto a normalized pace with slime realize their bigger in there with sam one and elephants one do or not but they're how we think about the in your head
spk_40: and nine and a be on on gg alliance to update us on can or will add load
spk_14: as you go into the ended the year and also be cpm
spk_12: how are those them as neck and scholarship them yeah so ah the i am i so actually our team are different for different the different units currently active are undertaking the process she you know to finalize the next year the budget right
spk_41: so you know we we we usually have a in i used to produce father map and it popped out okay though the management the top management you know people sitting here ever go we run our chief for next year i thought that we need to look at you know how the people in the field that a look at you know in their confidence level and that what is
spk_42: the definitive they demand and environments ninety a better than we need to take everything into consideration ah and then you know come up fellas
spk_43: that ago or four different a visit the unit and an hour come up you know than that the the guidance for the for the entire company right so comfy with the in the process of doing this though i think i you know by next that when he called wow we should be able to give you confidently you know a concrete the number of yeah and
spk_14: bluetooth
spk_4: and an intensive were any yeah
spk_44: yeah dad the a lot the right
spk_14: though though though at a low the actually it is the actually becoming the by a number of factors why are you know our we talk about of the bar and as are a number pain basically the product cada at a p two point zero hour which allows nine he labored you know the much like for figure yeah you right
spk_45: though the actually you know and talk about this product actually in the third quarter to continue continued product integration we made some progress in the third quarter which actually to improve our you know an oath
spk_12: a little bit and the next magnitude if not you to to out there for thaksin currently the improvement if less than a ten percent overall and at the progress of the transition is that i did a bit slower than we expected and a we expected the for migration of existing ask you to at
spk_44: p two point zero where be delayed to you know our to those with photos and you could you too
spk_12: because not only the products be pretty robust enough but also read a third fourth and app traffic operation team working together to identify each app youth it's scenario that is suitable for much like closure for example we need to come in and were you the entered what page and that conducts what action that it is appropriate to then another yeah methods by the after such information have be and i we need to have the conversation with the average by the developers mom i want to tell them this is a how we think about it and the and you know and then it in a why they should they added just functionality and out is actually a
spk_14: so our goal is to have their attitudes you know exposure for the a you are from destructive to improve by you know on and close to a twenty percent overall by and over fourth quarter
spk_12: and they're hundred and it's as if t two point zero you know the involvement which we are improve their the add a lot actually there they are either way out we can improve improve their added know the as well such as you know we are making are technically improvement and the which can give as much as it to get blamed for example we are we are you know story some some backup ass
spk_46: if the foot the footage impression of and walk and other happen and then the back up at kashyap which we all stood any help improve their to add an old and decider is that you know a technical improvements and also we are identifying and the eliminating some an unnecessary last opportunity in if
spk_47: to add you to to the loot adding so so you know though they are multiple think we are currently undertaking ah true try to improve their at a note though i think are you want are you know on or to all yeah
spk_48: of the few we do well as good adler the we'll continue onto the upward trend so our incomes of incomes of dad
spk_12: in there in like a passing asked
spk_26: better said that a passing it on the restructuring you don't you can see cpn okay to instigate ethiopia ppm you know quarter actually a remained remains
spk_37: and enough people on during the quarter and bpm actually is i mean you know i'm pretty much come coming by deputy and that dpr an hour and a dad actually to in divide and by off how how well we fine tune the are with them and and and i suddenly you know we we actually and a lot of other efforts are other thing and the and the and the did this improvement i am ppm actually actually i you know we we are country do have a plan
spk_40: that that was not our fault focus on in the quota
spk_12: yeah it's and an idiot you could share some tonight and of the advertising industry in china been a bit such and gallegus in the last thought about a month
spk_14: come with the man and kind of when it's coming from the education program can be sustained from where you are vertical wise
spk_45: and i was i was meaningful right now and maybe if you can share a little bit kind of outlook on on the man what you're saying i'm in trouble
spk_44: yeah so you know i actually i recently ah
spk_49: a number of an internet platforms right in our nato pointed that winning as we all know there were you affected by macro environment
spk_26: and the end of their regular regulation and supervision of t advertising industry right which directly impacted their as mature much as while we have seen the education that see are had a budget reduce on the kind of i thought your the gaming industry higher for didier lives we don't have when you know much coverage in though
spk_37: the industry all main customers are many pull them out of habit at retargeting advertisers and the advertisers ah in the fields of finance and that you comment so customers
spk_38: customer the budget in both areas are relatively stable and and on you know i'm so so actually we are we are not the any weakening you in terms of the demand ah
spk_12: own phone from the demand side
spk_37: already see the demands well we have a impact our to july as the growth are going forward okay i intend to excel excel lecture tour and then i guess it sounds sounds with a pretty low in i think you mentioned earning less a angeles as not mix between air agents and kind of your you direct sales and any kind of churn that color you can share
spk_26: ah you mean day agent advertising agency that is direct
spk_14: yeah so yeah yeah yeah anyone into that and i think the last the last question or other side question earlier on an interim of age from in terms of by like the advertisers i guess ultimately you you know who the advertising to the platform
spk_45: you see any kind of any changes in in overall kind of bomb
spk_50: as composition of of who's who's buying ads on the emerging kind of many many programs and yeah yeah yeah yeah just the advertisers
spk_51: yeah thought so the so that the the call actually that the top of either a few the a similar the the same guys right you know that the players basically what a meaningful then operated and the players glad to know our for athlete have any purpose
spk_26: such as companies such as the you know cabal on he paid time and damn a tie you know and and a we all you know if you can give customers are really our our top customers and girl and are you know the i doubt very rich table and the and the other than that actually we are continually you know to
spk_14: the penetrates yeah
spk_12: you know a into into ah
spk_23: into the new industry
spk_11: such as such as you know than than the actually the the kind that okay so he knows the acquire some come it
spk_14: in that quarter and also we continue to leverage the average our our ad agency
spk_52: if you look at the revenue mix of the kinda ad agency and directed the old factory actually lot for the your what about you know fifty fifty by the quarter actually the ad agency country to their on seen a fifty five percent of the eugenides revenue right right though those actually not yet been to pick out
spk_34: in terms of their of and make by the ad agency and that the that aged did they bring in
spk_0: fresh a brand new covenant to our to add add add up in the to our platform which is which is a good thing so so i didn't go over all you know
spk_19: on the path into that people and the and the and we're not be any any meaningful change term i buy any light customers okay great and thing yes sir
spk_15: thank you
spk_12: and next question from i know of rain cancelling and other lines mobile climate
spk_11: thanks for taking my pilot first of all and and gross margin and seventy percent
spk_14: again you have been quite a bit higher for the last week for from there were you see that much pressure of unless he quarter of to get you as low as happy or sad or that
spk_19: the previous a gentleman just him is i just sort of the database long term aware you'll be
spk_40: yeah the movie operating the the business with majid off sunday off and if i percent no the last decade the tape it killed off
spk_14: of and then let them go that brian right actually let me clarify actually we're constantly in are actually ah i say that we're keep our was margin above seventy percent right so that that our our they game and above seventy battalion of
spk_53: the to seventy fifth and that seventy five of them to the lead us the crap chasing down corroborate between quarter and a quarter and about and you know that is normal right because you know on some business to business segments offensive thirty july is yolanda that the matching up
spk_12: one of them and the as it i did actually is actually in l on monday to friday the by how cook the deal with their with their app developer and that supplier that the traffic a supplier i better than it in oh wow we aim to keep the growth module about seventy percent of those at the elbow
spk_26: and then as we have the next year talk about the seasonality in or much of an impact the chinese new year live on tier businesses
spk_30: yeah the if you look at our paths
spk_14: several year i chinese new year is analogy for the lee the fourth quarter is the weakest the quarter for at not only of was actually for the are the most of his hundred company as well have a further because that the chinese new year and a basically and the two weeks know what is working right away
spk_25: again the what is than the money
spk_19: she felt so that that a we are we will impact the demand for fly gg alliance the business bad for the other business now because they have a thought of christian bale right so so you know that with a highly highly people had a bit the block out by but that that you know oh
spk_14: ross said the company as a whole you should be in know so then magnitude of is managing a good called
spk_26: no idea there were the differential
spk_54: well defined by a little bit in the fourth quarter
spk_23: but but what you're saying is is it the as in a vertical applications have as well you know be a little bit more plan
spk_33: sdk will be okay but what if application as one product recall the financial risk management financial risk management actually our and the customer data and a demand if consumers related a demand so because people we are borrow money left you know go go during that time
spk_55: actually if they're if they're and the consumer demand decreases you know their they're the i use is how to use our our our soviet we were decreed as well because if the volume based pricing model so that lives impacted the as well other than that nino our our subscription bit of
spk_0: it and the and the our our eyes nose
spk_37: i see he invites you know those that i should be should be stable great thank you thank you and on a question from the and i know ryan roberts of this capital is called him i think they can the in the follow up on said question actually thinking about the next year and be in i again i i realize you're in the planning process on so forth
spk_56: i'm young again but here we are finding ourselves knocking on december door
spk_40: i'm looking at the kennedy whoring be spending is been kind of kind of chunky compared the last year
spk_14: and i must have had found a way to get about next year gives the headcount and kind of and and allegations and is for the hear things have been can find you can fold
spk_26: but as you move into your next year
spk_12: what what you thinking about and the what are some the the game he concerns that you're weighing into the year
spk_16: i'm year and
spk_57: yeah so so for next year are actually actually in in terms of the oh back and after the pending right off the grid i'm be
spk_37: and you know out want the of clear out when not going to try to increase much about the the best okay and though we're not going to increase much about the sir id now on have had cause okay and we think that the lot of room to improve the improve the efficiency okay not only by the from the from the human cost effective but i'll go from the idea of perspective and we are currently you know basically doing the analysis out of our town where we out improve the efficiency right so so so now it out you know on disney improvement that needs to happen again next year so that we are now in open basically we're not funny you and not not see much much increase in it
spk_58: pence
spk_37: on the
spk_5: understood okay and in many ways that i could i'm going to turn back and something you mentioned earlier in the cold inside media we don't think i think maybe he mentioned it can the and that not the hallway kind of news or maybe some the investors can among all that are not super familiar with in the landscape of the cloud providers in in china and eighty what actually means transformation league and a for your company and what the good you suppose your to talk been around can have in a what were you thinking about the be a good the impact of other are the a deal with who that opens your your software as the gave up you know who the opens you up to
spk_9: in from the the overall kind of bomb
spk_59: a market share and it kind of add some insights on on what what decade could what what what what that could mean for you as yours or recently our our job a jam a reputation am a customer service will officially at large on how he caught
spk_60: i'm so basically the corporation the poly call
spk_5: and demonstrators industry wide array of tries we've come out the all rather a call about but he has service
spk_6: submit have you ever can they can project for take and and an experienced allah kevin gates of a by locking in they'll have a car car
spk_5: on the hobby cop epa so are we have launched the ah allows a cup of mouse so our we already see the see feel contract from the olive so select the holly power to feel an them was taught integrators of his pipe on the path
spk_61: hi marie took package our us or our developers of east or that into was that ocean and host the i compare for so these are we with developers that needs of my stop projecting space
spk_62: side effect on we will pull right systematic trailing for our record sales team took out better understanding of our operating regarding his channel a walk city with then to generate more sales opportunities
spk_37: in addition we were also color oliver a with then to on magazines are they became
spk_63: such as of be are you guys are targeting have it in the financial industry
spk_37: have caused a huge develop a good pay that we've while we on were also provide a great commercial burial for holly call itself
spk_5: we always old activity discussing how we weekend about follies house of surveys into one into our commercial services in a new future and promo them to our marriage bait but as while we see so nothing
spk_35: and
spk_37: baloney really on game
spk_35: going on in your within a couple years ago quality are you muslim majority were you've been time ago police would be your womb even how meal for the ones who shot him in the nigam of your shoes
spk_64: and goggles on it
spk_65: follow you know know them in a good ending switching over me from the ones you should withdraw
spk_12: a i had that that not about they have any better government al anon the holly mobile but about the army col that the babies come from right but i'll try a good guy again younger
spk_5: a hobby how to as actually is going out very very fast as well as a beginner like audi car
spk_7: right i guy i joined the understand the beginning to difference with the disease
spk_38: i get the while the cloud infrastructure provider in supposed to in any kind of relationship with of wally
spk_5: smart phone rang so i guess they didn't need some little misunderstanding about you know
spk_35: in a while the none of this is our own and blah blah
spk_0: no as i went we are now collaborating with i'll my phone we are only collaborating with the capaldi cloud isn't it
spk_1: basically basically you know they they have their they have the to be didn't it's right that we have the food and admit though that the an image yeah yeah so far for so basically angular numbering third that
spk_0: holy cow have ah has around two thousand sailors
spk_3: you know if me or all of the title rob really owning a while i think they're don't like i got a number two number two in january
spk_0: each from the club
spk_66: commentary a sunbird or free as they can thank our ali khan laughing at me i'm i'm too afraid
spk_67: okay thanks and that's that's the only clear thinking too much richer than
Disclaimer

This conference call transcript was computer generated and almost certianly contains errors. This transcript is provided for information purposes only.EarningsCall, LLC makes no representation about the accuracy of the aforementioned transcript, and you are cautioned not to place undue reliance on the information provided by the transcript.

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