Agora, Inc. (API) This fall 2021 Earnings Name Transcript

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Agora, Inc. ( API 12.08% )
This fall 2021 Earnings Name
Feb 22, 2022, 8:00 p.m. ET

Contents:

• Ready Remarks
• Questions and Solutions
• Name Individuals

Ready Remarks:

Operator

Good day, and thanks for standing by. Welcome to Agora, Inc. fourth quarter 2021 monetary outcomes convention name. [Operator instructions] Please be suggested that at this time’s convention is being recorded.

[Operator instructions] I’d now like at hand the decision over to your first speaker at this time, Ms. Fionna Chen. Thanks. Please go forward.

Fionna Chen — Head of Investor Relations

Thanks, operator. Good morning, everybody, and thanks for becoming a member of us for Agora’s fourth quarter and full yr 2021 earnings convention name. Our earnings outcomes press launch, SEC filings and a replay of at this time’s name will be discovered on our IR web site at investor.agora.io. Becoming a member of me at this time are Tony Zhao, founder, chairman, and CEO; and Jingbo Wang, our CFO.

Reconciliations between our GAAP and the non-GAAP outcomes will be present in our earnings press launch. Throughout this name, we’ll make forward-looking statements about our future monetary efficiency and different future occasions and tendencies. These statements are solely predictions which can be based mostly on what we consider at this time, and precise outcomes could differ materially. These forward-looking statements are topic to dangers, uncertainties, assumptions and different components that might have an effect on our monetary outcomes and efficiency of our enterprise and which we focus on intimately in our filings with the SEC, together with at this time’s earnings press launch and the danger components and different info contained within the last prospectus referring to our preliminary public providing.

Agora stays no obligation to replace any forward-looking statements we could have on at this time’s name. With that, let me flip it over to Tony. Hello, Tony.

Tony Zhao — Founder, Chairman, and Chief Govt Officer

Sure. Thanks, Fiona, and welcome, everybody, to our earnings name. 2021 was a yr of nice alternatives and challenges for Agora. I am extraordinarily proud to see how arduous our staff labored collectively throughout the globe and throughout each vertical to drive Agora ahead.

It’s thrilling to see how a lot we’ve got completed and the way a lot innovation we’ve got fostered with our real-time engagement platform. I’m proud to say that as of the top of 2021, the Agora SDK had been put in globally in additional purposes than another real-time video or voice SDK by a really massive margin based on knowledge.ai, beforehand referred to as App Annie. Our know-how and product innovation are what distinguish us as a pioneer and a pacesetter in real-time engagement. At the moment, we’re following the brand new norm of engagement and emotional human connections each nearly and in actual life.

Now let’s shift to our earnings. We delivered one other quarter of robust outcomes. Our income for the primary quarter had been $40.4 million, up 21% yr over yr. On the finish of December, we had greater than 400,000 adjusted apps on our platform, and our variety of energetic clients reached practically 2,700, including practically 600 yr over yr.

For the total yr of 2021, we powered greater than 600 billion minutes of real-time engagement in whole. And our income was $168 million, which represents a rise of 26% from 2020. If we have a look at our key markets, income from United States and APAC, excluding China, recorded the strongest progress on this quarter. We at the moment are powering many main networks platforms in South Korea, many main on-line schooling firms in South Asia and plenty of extremely revolutionary, interactive e-commerce, audio stay forged and a digital occasion platforms within the U.S.

In China, our market management was clearly demonstrated by our latest IDC report, which ranked Agora because the primary real-time video and voice API supplier with a market share higher than the following seven suppliers mixed. On this quarter, regardless of the affect of the brand new regulation on Okay-12 after-school tutoring and many others., revenues from different sectors remained wholesome. As real-time engagement use case continued to broaden throughout areas, our income supply have additionally develop into extra diversified. On this quarter, income contribution from utilization outdoors of China was 35%, the best in our historical past.

Transferring on to new use instances; one among my favourite use case in 2021 is that this, Blue Frog Robotics. This wonderful firm powered by Agora know-how, is altering the best way hospitalized college students work together with lecturers, classmates, buddies and households by this emotional robotic named Buddy. In France, Buddy the robotic was deployed to just about 2,000 faculty youngsters and the primary woman of France has been a supporter in increasing this program throughout the nation. In 2022, you can be seeing far more from Blue Frog, Buddy and the way Agora is powering the world for the higher.

Within the Netherlands, Convention Compass, a hybrid occasion engagement platform centered on world scientific and medical conferences, leveraged Agora’s interactive stay streaming know-how to double their income, and a bit nearer to dwelling, throughout the nation from our Santa Clara, California headquarters, the College of Maryland’s medical system constructed a completely built-in app into all their back-end system to acquire affected person info. They named it TelePort. TelePort is used throughout 14 and 200 departments. Agora is embedded on this platform for all video and audio engagement between medical doctors and sufferers, in addition to between suppliers and employees.

In the long run, I consider metaverse will develop into one of the vital use instances for Agora. We’ve made vital funding on this subject and lately introduced a number of options tailor-built for metaverse; for instance, MetaKTV and MetaChat. Our MetaKTV answer is an enlargement of our one-stop on-line karaoke answer that I discussed in earlier earnings name, on high of our know-how that permits customers to sing collectively at ultra-low latency and our utilization based mostly copyright answer for a whole bunch of hundreds of soundtracks. MetaKTV reproduces an old-school karaoke room within the digital world, with avatar singers and audiences, phases, celebration lights and screens, all with lovely 3D rendering.

On this digital karaoke room, customers are in a position to sing and dance on the stage or wave and cheer in entrance of it and listen to and see one another in actual time. Our MetaKTV answer permits customers to create and customise avatars with a whole bunch of choices, meet buddies in a digital bar or cafe, and have interaction with one another by voice chat within the shared digital area. Each MetaKTV and MetaChat are supported by our largest 3D spatial audio know-how — by our newest 3D spatial audio know-how, which permits customers to understand sound that is coming from totally different areas and descents across the person within the digital area. Technically, it is a very difficult process, as a result of all of the sounds generated by customers and the setting have to be up to date in real-time as customers transfer contained in the digital area.

Regardless of the technical problem, I consider 3D spatial audio is a vital know-how that makes the digital world really feel actual. With spatial audio, customers will really feel extra current and engaged, whether or not they’re in a stay forged session or throughout a sport play. These R&D investments have enabled quick go-to-market for our clients. We’re seeing many revolutionary metaverse use instances from all around the world, leveraging our RTE know-how.

For instance, we helped Oasis, a well-liked metaverse platform in Brazil to allow home events on the customers’ digital dwelling, powered by our MetaKTV answer. An organization referred to as XRSPACE constructed an internet karaoke platform referred to as PartyOn, and I welcome you to expertise this for your self. It is accessible on all smartphones and AR units. Now, shifting onto safety, compliance, and privateness safety; as at all times, they’re essential to our success.

Lately, we had been awarded the ISO-27701 certificates on our info safety administration system. We additionally partnered with Bishop Fox, to enhance our capacity to defend real-world refined assaults. Wanting ahead, we’ll proceed to work with main consultants, to make sure that our safety observe stays greatest in school. Lastly, I wish to take the chance to thank our clients and our developer group for his or her innovation and fervour to construct RTE all the best way with us.

I additionally need to say thanks to all of the Agorans for his or her arduous work and dedication to our clients’ success. I really feel extremely assured to embrace the promising way forward for real-time engagement. Let’s create and revel in it collectively. Now let me flip issues over to Jingbo who will evaluate our monetary outcomes.

Jingbo Wang — Chief Monetary Officer

Thanks, Tony. Howdy, everybody. Let me begin by first reviewing monetary outcomes for This fall after which I’ll focus on our outlook for the fiscal yr of 2022. Whole revenues grew 21% yr over yr to $40.4 million within the fourth quarter of 2021.

Whole revenues for the fiscal yr of 2021 had been $168 million, which represented a 26% year-over-year progress and exceeded the excessive finish of our steering vary by $3 million. Variety of energetic clients reached greater than 2,600, excluding progress for Easemob, up 27% yr over yr. The expansion in income and energetic clients was primarily pushed by continued adoption of our know-how by worldwide builders, in addition to emergence and progress of recent use instances. As we talked about in earlier earnings calls, our income progress within the quarter was negatively impacted by the brand new regulation on Okay-12 educational tutoring sector in China.

We anticipate such affect to proceed and hopefully backside out within the first quarter of 2022. Our trailing 12-month fixed forex dollar-based web enlargement charge is 104% excluding Easemob on the finish of 2021. We additionally calculated adjusted enlargement charge, to exclude the affect from COVID-19 within the first half of 2020, and the adjusted enlargement charge can be 124%. Transferring on to prices and bills.

For my following feedback, I’ll give attention to non-GAAP outcomes, which exclude share-based compensation bills, acquisition-related bills, amortization bills of acquired intangible property, and earnings tax associated to acquired intangible property. Non-GAAP gross margin for the fourth quarter was 64%, which was 3.5% increased than This fall 2020. As we talked about in earlier earnings calls, the rise was primarily pushed by technical and infrastructure optimizations we’ve got been implementing because the starting of 2021. Non-GAAP R&D bills had been $23.5 million in This fall, up 80.2% yr over yr, as we proceed to rent gifted staff and strengthen our R&D staff, in addition to consolidation of Easemob’s R&D staff.

Non-GAAP R&D bills had been 58.1% of whole revenues within the quarter, in comparison with 39.2% in This fall final yr. Our technique is to give attention to long-term progress alternatives and innovation, as an alternative of maximizing short-term profitability. We’ll proceed to take a position vital sources in our R&D capabilities, as a way to additional strengthen our know-how management, present a extra numerous product portfolio, and empower rising use instances world wide. Non-GAAP gross sales and advertising bills had been $12.2 million in This fall, up 76.1% yr over yr, primarily attributable to staff enlargement and elevated promoting and occasion bills, together with bills associated to our RTE 2021 conferences.

Gross sales and advertising bills represented 30.2% of whole revenues within the quarter, in comparison with 20.8% in This fall final yr. Non-GAAP G&A bills had been $7.3 million in This fall, up 29.5% yr over yr, primarily resulting from staff enlargement and anticipated credit score losses — credit score loss provisions. G&A bills represented 18.1% of whole revenues within the quarter in comparison with 17% in This fall final yr. Non-GAAP working loss was $15.4 million, translating to a 38.2% non-GAAP working loss margin fourth quarter in comparison with an working loss margin of 14.4% in This fall final yr.

Turning to money circulation, working money circulation was optimistic $5.1 million in This fall, in comparison with optimistic $2 million final yr. Free money circulation was optimistic $2.9 million, in comparison with adverse $1.4 million final yr. Transferring on to stability sheet. We ended This fall with $755 million in money, money equivalents and short-term investments, in comparison with $767 million as we finish of Q3.

Internet money outflow within the quarter was primarily resulting from consideration paid for Easemob acquisition of $13.9 million. Now turning to steering; COVID-19 remains to be an unprecedented variable to our enterprise mannequin the place historic expertise could not apply. Our steering on full yr revenues replicate numerous assumptions which can be topic to vary based mostly on uncertainties associated to the affect of the COVID-19 pandemic. As well as, as talked about earlier than, we anticipate new regulation on Okay-12 tutoring sector in China will proceed to have a big marked affect our revenues within the close to time period.

With that, we at the moment anticipate whole revenues for the fiscal yr of 2022 to be within the vary of $176 million to $178 million, which might characterize roughly 5.4% year-over-year progress at midpoint. At the moment, we introduced that our board of administrators has licensed a share repurchase program of as much as $200 million. This system demonstrates our confidence within the fundamentals, methods, and long-term progress potential of Agora and our dedication to enhancing shareholder worth. With greater than $750 million of money readily available on the finish of 2021, we consider we can proceed to spend money on our know-how and enterprise enlargement on the similar time.

In closing, we’re very happy with the execution and powerful efficiency on this exceptional yr. No matter all of the difficulties and challenges, we’re assured about long-term prospect of our enterprise. Thanks to the whole Agora staff to your arduous work and everybody attending the decision at this time. Hope you might be wholesome and secure.

Let’s open it up for questions.

Questions & Solutions:

Operator

Thanks, administration. [Operator instructions] First query comes from the road on Yang Liu from Morgan Stanley. Please go forward.

Yang Liu — Morgan Stanley — Analyst

Thanks for the chance. I’ve two questions on — relating to to the abroad enterprise alternatives. The primary one is, how do administration take into consideration the rising alternatives? With present steering vary, what’s the progress for the abroad market and contribution — or full yr income contribution in 2022 for abroad market? And the second query is, might administration replace us in time period of the abroad market gross margin profile in 4Q and 2022 outlook? Thanks.

Tony Zhao — Founder, Chairman, and Chief Govt Officer

Positive. I’ll speak concerning the first half, outlook on abroad alternatives. I am really very enthusiastic about alternatives for us, in like North America, Europe and APAC excluding China. Many international locations in these areas have largely reopened their economies, however we proceed to see robust utilization numbers.

It’s clear to me that, the pandemic has completely modified how individuals work, collaborate and examine. I will point out a number of areas the place we see monumental progress alternatives. First, future of labor. This would come with digital workplace platforms, digital occasion platforms, on-line collaboration platforms for creating graphics, paperwork, and music and so forth.

Previously yr, we added many digital occasion clients, that maintain all types of occasions from commerce exhibits to superstar staff casts by our platform. We even have a number of collaborative design platform, to allow stay discussions between customers, whereas engaged on a design mission. We’re working with digital workplace platforms, comparable to Loop and VirBELA to outline how distributed groups will work collectively sooner or later. Most lately, we additionally helped one of many largest firm on this planet by market cap to launch an audio stay forged platform for the office, reflecting that the pattern of a whole lot of the real-time engagement options beforehand solely accessible in social apps, at the moment are coming to skilled apps.

With this buyer, we went by a really rigorous vendor choice course of and have confirmed — and have proved, that our product can meet the necessities of enormous enterprise clients within the U.S. I consider, this can open door for us in lots of extra enterprise alternatives sooner or later. Second, round schooling. Lately, we see robust utilization progress from schooling clients in South Asia, Center East, Europe, and U.S., even after the reopening.

We now energy lots of the largest schooling know-how unicorns in South Asia. What we see is that, they’re mainly replicating what EDU and the TAL did efficiently up to now in China, which is leverage Agora’s capabilities to construct branded and proprietary apps that provide higher on-line classroom expertise than normal conferencing apps. This market has enormous — these markets have enormous inhabitants and the penetration of RTE empowered on-line schooling remains to be very low, which suggests there may be enormous income potential for Agora. Third, metaverse associated use instances.

I already talked loads about metaverse in my opening remarks. Now we’ve got already powered a number of main metaverse platforms in South Korea and Brazil and we’ll — and we additionally simply introduced options comparable to MetaKTV and MetaChat. Nevertheless, I consider we’re solely firstly of a a number of yr pattern that may change how individuals stay their lives on-line. As I summarize, the alternatives for Agora are very clear.

It is now as much as us to execute properly to on our technique and convert these alternatives into enterprise consequence. Jingbo could add on extra monetary facet.

Jingbo Wang — Chief Monetary Officer

Thanks, Tony. So sure, the steering on the midpoint characterize a couple of 5% year-over-year progress, however I feel to grasp what it means — what the steering means, we have to actually break down our enterprise into three elements. First is the non-China enterprise, as Tony simply mentioned; then it is China Okay-12 enterprise, and at last the China non-Okay-12 enterprise. So the Okay-12 enterprise in China final yr represented about 25% of whole revenues and we anticipate to lose virtually all of that income stream, virtually solely in 2022.

So it is probably not an apple-to-apple comparability between the $158 million and the guided vary for subsequent yr. A extra apple-to-apple comparability can be, 2022 steering versus 2021 income, excluding Okay-12 in China. And in that case, the steering was to indicate a wholesome progress charge. So if we break down the three elements of our enterprise, the China non-Okay-12 enterprise, we anticipate to do average progress in 2022, pushed by verticals comparable to IoT, conventional enterprises, file digital transformation, and likewise by new merchandise like Fusion CDN and [Inaudible] and likewise a whole lot of the brand new options lately launched like MetaKTV and MetaChat.

So that is the form of the coverage in China. Out of China, Tony even talked about this, so we’re fairly assured we can ship very robust progress outdoors China. So by way of the margins, really within the newest quarter, the gross margins outdoors China are virtually the identical. And as we talked about earlier than, we anticipate — as we proceed to broaden footprint in several areas and proceed to scale our infrastructure, we must always get extra value profit and in the long run, we anticipate our GP can be really increased outdoors China.

Yang Liu — Morgan Stanley — Analyst

Thanks loads.

Operator

Thanks for the questions. [Operator instructions] Subsequent query comes from the road of Vincent Yu from Needham & Firm. Please go forward.

Vincent Yu — Needham and Firm — Analyst

Hello, are you able to hear me?

Tony Zhao — Founder, Chairman, and Chief Govt Officer

Sure.

Vincent Yu — Needham and Firm — Analyst

OK. Positive. I’ve — thanks administration for taking my query. I’ve two.

So the primary query is on decrease bills, particularly for the advertising bills. How we consider viewing — the expansion of our advertising bills going ahead? Ought to we anticipate increasingly more bills on this half, due to the event within the abroad market? My second query is on the utilization of the money. And along with the inventory — I simply wish to know, do we’ve got any concept or plan to make extra investments or purchase some non-China enterprise to broaden the abroad enterprise improvement? Thanks.

Jingbo Wang — Chief Monetary Officer

Positive. I suppose I will take each questions. So the primary one, I feel within the close to time period, our gross sales and advertising bills will improve at a average tempo in absolute greenback phrases, as we proceed to spend money on branding, advertising, developer group, particularly in markets like the USA. So — however within the medium to long run, we expect we’ll take pleasure in a powerful working leverage right here.

As soon as we take that developer mindshare and as soon as our platform is adopted — built-in into our clients’ apps, it turns into fairly sticky and we cannot want as a lot advertising or gross sales expense in contrast with now. So we do assume in the long run, gross sales and advertising bills as a share of income needs to be at a decrease stage, particularly for those who contemplate the complicated and developer-driven nature of our merchandise. On the stability sheet, sure, we do have a fairly robust stability sheet and can proceed to spend money on our enterprise, particularly in markets outdoors China. We’re investing in issues like model advertising, developer group, buyer help, product localization, safety and compliance and so forth.

We anticipate the dimensions of the staff in Silicon Valley, Singapore, India to develop quickly right here, whereas the overall headcount in China would stay kind of flat. We won’t — by way of acquisition, we won’t rule out the chance, however it wants to enrich our present product portfolio and product technique. So there isn’t any assure, we can discover a appropriate goal.

Vincent Yu — Needham and Firm — Analyst

Acquired it. Thanks.

Operator

Thanks for the questions. [Operator instructions] We have got new questions from the road of Bing Duan from Nomura. Please go forward.

Bing Duan — Nomura Holdings — Analyst

Hello. Thanks, administration. Are you able to hear me?

Tony Zhao — Founder, Chairman, and Chief Govt Officer

Sure.

Bing Duan — Nomura Holdings — Analyst

Thanks. Thanks administration for asking the questions. So I’ve two questions. One is concerning the competitors panorama.

We — you’ve got talked about within the opening remarks that the — Agora now has over 40% of the market share. So are you able to give us extra colours on how do you consider the competitors in future? And so for the demand change in China and abroad market, can we anticipate extra rivals on this market — within the RTE market going ahead? And can we see any, like pricing strain within the subsequent couple of quarters? And my second query is about — additionally concerning the abroad enlargement. So can we are saying that the gross margins and expense profiles will proceed to be underneath strain within the subsequent couple of quarters, as a result of we do have to faucet into the brand new alternative inside the abroad market? Thanks.

Tony Zhao — Founder, Chairman, and Chief Govt Officer

Sure. Let me speak concerning the competitors facet. I feel the general aggressive panorama wasn’t modified a lot up to now few quarters and I do not anticipate it to vary drastically going ahead. With that mentioned, I did see extra gamers attempting to enter the RTE market from totally different angles.

For instance, Cloudflare from a CDN live-streaming angle, and Dolby from an audio processing angle. Nevertheless, thus far I feel none of our rivals can match the general QOE and full characteristic set of our product portfolio. As such, severe builders who actually perceive RTE know-how, have a tendency to decide on Agora. This was confirmed, as I discussed, by the newest knowledge — for instance, the newest App Annie knowledge, which exhibits that Agora SDK has been built-in into extra distinctive apps than another rivals by a really massive margin, and in virtually each geography.

In 2021, we really invested $111 million in R&D, greater than another rivals within the RTE area. Sooner or later, we’ll proceed to be essentially the most [Technical difficulty]. Howdy?

Fionna Chen — Head of Investor Relations

Phone line downside. Give us a number of —

Jingbo Wang — Chief Monetary Officer

Yeah. Why do not I reply the second query first?

Tony Zhao — Founder, Chairman, and Chief Govt Officer

I used to be chopping off proper?

Jingbo Wang — Chief Monetary Officer

Sure, you might be again.

Tony Zhao — Founder, Chairman, and Chief Govt Officer

From which half? Sorry, from which half I can proceed?

Fionna Chen — Head of Investor Relations

Why do not we simply begin from the start?

Tony Zhao — Founder, Chairman, and Chief Govt Officer

OK. OK.

Jingbo Wang — Chief Monetary Officer

After you talked concerning the App Annie knowledge, you had been lower off.

Tony Zhao — Founder, Chairman, and Chief Govt Officer

OK. All proper. App Annie knowledge was a contemporary form of business form of knowledge to show our market-leading positions, and I used to be attempting to talk that in 2021, we really invested $111 million on R&D, greater than another rivals within the RTE area. Sooner or later, we’ll proceed to be essentially the most centered the corporate on RTE and proceed to take a position essentially the most R&D sources.

So we’re very assured that Agora will proceed to steer this market. And Jingbo?

Jingbo Wang — Chief Monetary Officer

Yeah, certain. So by way of the revenue outlook for this yr, as we talked about earlier, proper, our precedence this yr is to spend money on — particularly within the markets outdoors China, and we do anticipate this to trigger strain on the margin within the close to time period. As you possibly can think about, a whole lot of the bills, the advertising expense, the R&D expense, the G&A bills, these aren’t instantly correlated with income. With the lack of income from the Okay-12 sector within the close to time period, in order we proceed to broaden on bills, so — as that may trigger strain on the web margin.

However with our stability sheet, we do assume we can climate by this era and we expect it is in the most effective curiosity of the corporate and our shareholders to take a position for the longer term. I do not know if that answered your query.

Fionna Chen — Head of Investor Relations

Sorry concerning the earlier technological downside. We’re really doing this name in two separate areas. Tony is at the moment within the quarantine lodge, coming again to China. So operator, if we expertise one other outage of this phone line, please let me know.

Operator

Thanks. Mr. Duan, do you could have follow-up questions?

Bing Duan — Nomura Holdings — Analyst

No. That is all my questions. Thanks very a lot.

Operator

Thanks to your query. We’ll transfer on to the following questions from the road of Allen Li of J.P. Morgan. Please go forward.

Allen Li — J.P. Morgan — Analyst

Yeah. Thanks administration for taking my query. I’ve a follow-up query on the competitors and pricing. So I perceive that you’ve a transparent edge in know-how, however nonetheless need to get a way on what’s your pricing technique, particularly in abroad market, given the income drivers appear to shift to abroad more and more.

And likewise I am questioning, what is the income worth pattern in China, given all of the comparatively weak demand resulting from regulation and macro slowdown? Thanks.

Jingbo Wang — Chief Monetary Officer

OK. Possibly I will take this query. So what we see within the non-China market thus far, particularly in additional developed markets like United States and Europe, is that — I’m quoting a gross sales chief inside Agora. He mentioned, no buyer select Agora as a result of we’re low-cost.

So buyer at all times select Agora due to our high quality, our characteristic set. And on this market as a result of RTE expertise is so essential to the success of many purposes and the truth that customers can understand that distinction very clearly. Upon getting a hiccup, instantly all of the members in that session will really feel that very clearly. So really, what we expect is clients are keen to pay for a better high quality, a extra secure service, and higher safety and privateness safety requirements.

So we — I feel it is honest to say in these extra developed markets, we do not assume pricing is the — form of the primary issue, by way of competitors. In much less developed markets, typically we do run into worth competitors. Nevertheless, it is nonetheless largely in very orderly style. Individuals do take into — take pricing into consideration, however it’s regular issues.

In China, as we talked about earlier than, this market has been round for a number of years now, and what we’re seeing is much like many different kinds of companies, pricing is — we’ve got cutoff pricing by way of low cost virtually yearly. The year-on-year change has been within the vary of 10% to fifteen% up to now 4, 5 years and the final yr was no totally different. Our technique is attempt to, on the similar time, lower our incremental value at an identical tempo, in order that we will keep a comparatively secure margin.

Allen Li — J.P. Morgan — Analyst

OK. Acquired you. Thanks.

Operator

Thanks for the questions. [Operator instructions] There aren’t any additional query presently. I wish to hand the decision again to the administration for closing remarks.

Fionna Chen — Head of Investor Relations

Nicely, thanks operator and thanks everybody for attending at this time’s name. Afterward, we may have the transcript of the decision to be posted on our web site, which is investor.agora.io, additionally together with our earnings filings and the presentation of this name. Nicely, thanks. Have a fantastic day forward.

Jingbo Wang — Chief Monetary Officer

Thanks.

Tony Zhao — Founder, Chairman, and Chief Govt Officer

Thanks.

Operator

[Operator signoff]

Length: 45 minutes

Name members:

Fionna Chen — Head of Investor Relations

Tony Zhao — Founder, Chairman, and Chief Govt Officer

Jingbo Wang — Chief Monetary Officer

Yang Liu — Morgan Stanley — Analyst

Vincent Yu — Needham and Firm — Analyst

Bing Duan — Nomura Holdings — Analyst

Allen Li — J.P. Morgan — Analyst

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