Opera Limited

Welcome to the Opera Limited second quarter 2026 earnings call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question during this period, you will need to press star 1 on your telephone keypad. If you want to remove yourself from the queue, please press star 2. Please be advised that today's call is being recorded. Lastly, if you should need assistance, please press star 0. I would now like to turn the call over to your speaker today, Matt Wolfson, Head of Investor Relations. Please go ahead.

Thank you, Erica, and thank you everyone for joining us this morning. I'm joined by our CEO, Song Lin, and our CFO, Frode Jacobsen. Before I hand over the call to Song Lin, I would like to remind you that some of the statements that we make today regarding our business, operations, and financial performance may be considered forward-looking. Such statements are based on current expectations and assumptions that are subject to a number of risks and uncertainties. Actual results could differ materially as a result of various factors, including those set forth in today's earnings press release and in our most recent annual report on Form 20F filed with the SEC. We undertake no obligation to update any forward-looking statement. During this call, we will present both IFRS and non-IFRS financial measures. A reconciliation of IFRS to non-IFRS measures is included in today's earnings press release. The earnings press release and an accompanying investor presentation are available on our investor relations website at investor.opera.com. Our comments will be on the year-over-year comparisons unless we state otherwise. With that, let me turn the call over to our CEO, Song Lin, who will cover our second quarter operational highlights and strategy, and then to Frode Jacobsen, who will discuss the details of our financials and expectations for the third quarter and full year. Song?

Thank you, and good morning, everyone. We have been looking forward to sharing today's report with you. Our second quarter results really are fun. that being an independent, well-established and innovative browser provider with a user base of nearly 300 million people and a significant advertising reach is a very attractive position to hold in a rapidly evolving and expanding ecosystem. Instead of placing bets on which AI services or infrastructure plays well-believing in the future, We cultivate our position as a tech enabler and platform that facilitates choice for the end user and access to a vast user base for our partners. In this landscape, the browser is becoming more valuable as AI changes how people search work and act online and Opera is already translating that shift into greater engagement and monetization. By continuing to give the most demanding users new reasons to switch from the operating system default browser and by expanding the functionality of our advertising platform, we broaden our partner ecosystem and grow monetization opportunities every month, adding to the foundation of our long-term trajectory as well. Both revenue and adjusted EBITDA exceeded the top of our guidance range. with growth fueled by acceleration of revenue growth from 23% year-over-year in Q1 to 25% year-over-year in Q2. The strength was broad-based. Advertising revenue grew 27% to $115 million, while primary revenue grew 21% to $62 million. With that, Second quarter revenue exceeded $178 million and surpassed the seasonal Q4 peak of quarter oil than what we've seen in most prior years. Adjusted EBITDA was also a quarterly record at $42.4 million, representing a margin of 24% and growing at 32% year over year. And importantly, our confidence in this elevated trajectory allows us to raise four-year guidance beyond the Q2 overperformance, which Frode will get back to. Advertising growth was again led by e-commerce in particular. As we look ahead, our roadmap includes additional high-intensity formats, including AI-supported price comparisons designed to help shoppers evaluate the products while helping merchants reach users closer to a purchase decision. Our in-house platform already helps to match our users with the best deals across 100 merchants with over 100 million products. Within travel, another high potential vertical for us, we work with the top online travel agencies and have started initial campaigns beyond Opera's own user base. Our partners continue to expand their work with us because our performance-based campaigns deliver memorable outcomes. As a combined platform for first and third party inventory, we are able to inform and allocate campaigns with a solid understanding of the relevant audiences. In fact, our total addressable audience, when taking into account the millions of users that access our company platform through OEM wide-label solutions and the broader SDK ratio of Opera Apps, has now reached beyond 700 million, up from the 500 million were announced just six months ago. This scale and growth reinforces our position among the largest online platforms. Our private revenue, representing the monetization of our users' proactive intent, continue to grow ahead of the underlying search market benchmarks, as we benefit from natively integrating key partners as a part of the browser interface. This revenue category directly captures the traffic monetization potential or the increased engagement in our browsers with native AI functionalities benefiting both time spent and the browser's ability to connect the right partners with our users and the right time. This is also true as it relates to the evolution of our search partnerships, where the secular tailwind from longer and more complex user journeys continues to build. Search is evolving from short keywords to questions and increasingly to conversations. We combine this with rapid product innovation, driving both user appreciation and increased usage of our browsers, all of which results in more engagement within the address bar and Omnibox with more opportunities to connect high-intensity users with relevant results. Look at the ARPU-driven Western markets. As mentioned before, we see that the users who engage with AI within our browsers spend significantly more time in the browser and even conduct many more searches versus comparable users who are not yet engaged in AI, all of which directly contributes to ARPU growth. As an overall result, We see that query revenue is growing at 1.4 times the pace in Western markets. This is the global average, up 29% year-over-year, as opposed to 21% globally. It's a point worth making that Opera is already monetizing AI-driven query activity today, not simply describing a future opportunity. In the second quarter, Google announced a new commercialization of its AI mode. Widening the base is for our query revenue stream. We also expanded our AI strategy by announcing Browser Connector for leading AI services, including Anthropis Cloud and OpenAI ShareGPT. Browser Connector enables users to securely connect these AI services to their open browser, elevating those services to become agentic by understanding the live browsing context and interacting with the browser on the user's behalf. This represents a shift from closed single vendor AI experiences toward an open ecosystem where users can choose the AI services that best meet their needs while repenting the browser as the central interface. We are fully committed to SaaS interoperability as the best basis for growth of new AI platforms and services allowing the users to have a deeply intuitive experience without juggling multiple browsers and enabling new platforms to access the users in a native way without having to drive both adoption of the platform and the dedicated and perhaps narrow browser experience on top. This open approach aligns with Opera's position as an independent browser vendor and appeals to our most technologically sophisticated user base, many of whom value flexibility and avoid the dependency on a single AI provider. As AI assistants become increasingly capable, the browser is well-positioned to serve as a trusted context and execution layer, connecting users with multiple AI services and we expect adoption of such integrations to eventually be commonplace for all users. Opera also introduced the Opera Browser CLI, an auto-sourced command line interface that enables developers and AI enthusiasts to integrate the browser directly into AI-driven workflows. By allowing AI coding agents and automation tools to interact with the live browser, Opera Browser CLI extends The browser's role beyond traditional browsing and reinforces Opera's strategy of making the browser programmable infrastructure for the next generation of AI applications. Going into our user base, Opera has 188 million monthly active users in the portal. Our Western user base grew 4% year over year to 61 million with both desktop and mobile platforms contributing. Mobile was particularly strong, growing 8% year-over-year across the Western markets, while the low-up official home base continues to phase out. This continued the mixed shift towards higher-value users, helped increase the analyzed output by 25% to $2.46. Opera GX reached 37 million monthly active users, adding almost 2 million users during the quarter. Both desktop and mobile grew. with a larger absolute contribution coming from desktop. Customerships with games like Forsaken rewards players with in-game items like free skins and game boosts, which resonates with our target audience. Our momentum is especially visible in some of the world's most competitive mobile markets. Over the past year, combined Android and iOS MAUs grew 66% in the United Kingdom and 40% in the United States. Across Europe, Opera 1 for iOS grew 42%, demonstrating our potential to broaden our smartphone base, which is still about 90% Android. Users continue to choose Opera for differentiated features, including our free no-log VPN, intuitive tab management, and building browser AI. Our iOS user base Gross shows how even a highly restrictive ecosystem has materialized and an opportunity for us to grow both users and overall output. Our browser reach and brand trust also enables us to scale new services. MiniPay, our self-custodial stablecoin wallet, solves the problem of access to international currency for users in emerging markets, removing complicities for the end user and making P2P transfers and Web3 access very easy. Given our ability to rapidly scale, we are also able to work closely with key partners such as Zillow and Tether to drive adoption of these services. Minipay's growth continued in the second quarter with 3 million new wallet activations and 88 million transactions since our last update, bringing the totals to 18 million wallets and 518 million transactions. MiniPay now reaches more than 66 countries and includes more than 57 live mini apps and is rapidly expanding its capabilities. In June, we launched a card in collaboration with Visa that bridges the gap between stablecoin holding and daily spending. The card is now available across the EU and is being gradually introduced in supporting markets in Africa, not in America and Asia. Stable coin access has different use cases in different economies, but as a global yet locally integrated network, we remove friction from international money transfers while both parties are unbanked and all users can travel globally like true locals in markets where mobile payment options are expanding. All of this strengthen our conviction that MiniPay can make stablecoins useful for everyday savings, transfers, and spending. It is still early, but the product's scale, utility, and ecosystem participation continue to progress rapidly. With that, I would like to turn the call over to Frode Jacobsen, our CFO, to discuss our financial results, guidance, and capital allocation in greater detail. Frode?