Agora, Inc. ( (API) ) has released its Q3 earnings. Here is a breakdown of the information Agora, Inc. presented to its investors.
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Agora, Inc., a leader in conversational AI and real-time engagement technology, operates in the technology sector, providing developers with APIs for embedding real-time conversational AI and interactive streaming into applications. The company has reported its fourth consecutive quarter of GAAP profitability, with a 12% increase in total revenues for the third quarter of 2025, reaching $35.4 million. This growth is attributed to the rebound of its core real-time engagement platform and increased investment in conversational AI, highlighted by new product launches like Conversational AI Engine 2.0.
Key financial metrics for the quarter include a net income of $2.7 million, a significant improvement from a net loss of $24.2 million in the same period last year. Agora’s revenues increased by 15.9% to $18.2 million, while Shengwang’s revenues rose by 8.4% to RMB122.4 million. The company also reported a dollar-based net retention rate of 108% for Agora and 90% for Shengwang. Operating expenses decreased by 44.8%, driven by optimized workforce costs and reduced share-based compensation.
Agora’s strategic focus on expanding its conversational AI capabilities is evident with early customer adoption and a growing pipeline of use cases. The company has also been active in its share repurchase program, having repurchased 66% of its $200 million program. Looking ahead, Agora expects fourth-quarter revenues to be between $37 million and $38 million, reflecting continued growth and stability in its operations.
In conclusion, Agora, Inc. is poised for sustained growth as it continues to leverage its strengths in conversational AI and real-time engagement technologies. The company’s management remains optimistic about its future prospects, supported by a solid financial foundation and strategic investments in innovative technologies.