Developer Services revenues decreased by 6% year-over-year, mainly due to the
weakness seen in the Value-added-services, offset by the 6% growth in Subscription Services.
However, Developer Services revenue grew
solidly by 15% quarter-over-quarter where both Subscriptions and Value-added-services have recorded sequential revenue growth.
Subscription Services revenues were RMB40.5 million, up 6% year-over-year mainly driven by increasing average revenue per user
(ARPU). Similarly, we recorded revenue growth of 8% quarter-over-quarter with the growth in ARPU between the quarters.
Value-added-services revenues were RMB11.5 million, decreased by 32% year-over-year which was a result of weak advertising demand. However, we
did manage to record a good sequential revenue growth of 45% quarter-over-quarter. This was mainly due to our ability to capture a good portion of the eCommerce ads spending for the 6/18 online shopping festival. However, we remain cautious on the
revenue growth in the online advertisement market.
Our overseas EngageLab product, we now have data centers across the globe catering for
customers in different regions and continents. Our investments in technology innovation and building global infrastructure have paid off. As of now, we have global customers coming from 12 different countries and regions (including Hong Kong and
Taiwan).
Let me share some other impressive metrics here. In Q22023, the overseas contract value was at 21% of total contract
value. This number has grown 3 times between the quarters showing great momentum. In addition, we have also seen great overseas email and SMS volume growth. In Q22023, the total overseas email request volume was at 3.3 billion representing 4.2
time of our domestic email request volume. Overseas email and SMS request volumes have recorded 19% and 90% growth between the quarters, respectively. Our EngageLab business activity is gradually growing in importance for both transactions and
contract value contributions. Therefore, I am very confident on the progress of our overseas business expansion strategy that we have started a year ago. I believe we will reap the benefits of this overseas effort in the near future.
Mr. Shan-Nen Bong, Chief Financial Officer of Aurora Mobile, added, In this quarter, Vertical Applications recorded revenues growth
on both year-over-year and quarter-over-quarter basis.
For Financial Risk Management, revenues grew year-over year and
quarter-over-quarter. That was positively impacted due to the ARPU growth between the periods. In Q22023, we have seen the customers consumption or purchase of our services increased, thus pushing up the ARPU. Apart from customers increased
their consumption, we managed to sign up more customers. As for Market Intelligence, the revenue remained stable year-over-year and quarter-over-quarter.
Onto operating expenses. In Q22023, we have yet another record low quarterly operating expenses at RMB64.1 million. For
year-over-year comparison, operating expenses decreased by 27% where all 3 categories of operating expenses (being research and development expenses, sales and marketing expenses, and general and administrative expenses) recorded reductions.
This is the reason why we are able to record a 42% year-over-year improvement in Adjusted EBITDA when the revenues dropped by 4% year-over-year. We strived to continue tightly monitoring and controlling our operating expenses now and going forward. As a result of our focus to drive operating expenses at optimal level, the Adjusted EBITDA
improved significantly by 42% year-over-year to negative RMB4.6 million.
We continued to maintain a healthy AR turnover days level
at 37 days. This was a huge improvement from a year ago where the AR turnover days was at 46 days. And we also shortened the AR turnover days quarter over quarter.
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