Earnings

JOYY Shares Jump on Strong Profit Growth and Upbeat Forecast

Company's operating income surged 155% in the second quarter, offsetting a decline in revenue and active users.

Shares of JOYY Inc. rose in after-hours trading after the global technology company reported a significant increase in profitability for the second quarter and issued an optimistic revenue forecast for the upcoming period, signaling that its strategic pivot is yielding positive results.

The Singapore-based company announced that its operating income grew an impressive 155.4% year-over-year to $5.8 million. This strong bottom-line performance came despite a 10.1% decline in total net revenues, which landed at $507.8 million for the quarter ending June 30, 2025.

The results highlight a successful shift in JOYY's business strategy. While revenue from its traditional live-streaming segment fell to $375.4 million, the company saw a robust 25.6% increase in its 'other revenues' to $132.4 million, primarily driven by the strong performance of its BIGO Ads business. This diversification appears to be paying off, allowing the company to absorb the impact of a decline in its global mobile monthly active users, which dropped to 262.5 million.

"In the second quarter of 2025, we delivered a solid performance as our live streaming business reached a stable footing, while our non-livestreaming business achieved robust and accelerated growth," said Ting Li, Chairperson and Chief Executive Officer of JOYY, in the company's earnings release. "Our dual growth engine strategy yielded positive results, as evidenced by the impressive revenue growth of BIGO Ads."

Investors reacted positively to the improved profitability and bright outlook. The company's stock climbed 4.2% in after-hours trading. Fueling the optimism was JOYY's guidance for the third quarter, with the company projecting net revenues between $525 million and $539 million.

JOYY also demonstrated a continued commitment to shareholder returns, having distributed $98.5 million in dividends and repurchased $36.5 million of its own shares during the first half of 2025. The company's non-GAAP EBITDA, a key measure of profitability, also grew 25.7% to $48.2 million, further underscoring its focus on operational efficiency amidst a shifting revenue landscape.