Aurora Mobile ((JG)) has held its Q3 earnings call. Read on for the main highlights of the call.
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Aurora Mobile’s Q3 2025 earnings call exuded positivity, highlighting significant strides in revenue growth, profitability, and business expansion. The company celebrated achievements in its Engage Labs and financial risk management sectors, despite a dip in market intelligence revenue. Overall, the financial metrics and performance suggest a robust company health and promising growth trajectory.
Back-to-Back GAAP Net Profit
Aurora Mobile marked a historic milestone by achieving its first-ever back-to-back quarterly net GAAP profit in Q3 2025. This achievement underscores the company’s successful financial strategies and operational efficiency, setting a strong foundation for future profitability.
Revenue Growth
The company reported a revenue of RMB 19,900,000, reflecting a 15% year-over-year increase and a 1% sequential growth. This performance hit the high end of the guidance provided, showcasing Aurora Mobile’s ability to meet and exceed market expectations.
Engage Labs ARR Growth
Engage Labs reached a new milestone with an Annual Recurring Revenue (ARR) of RMB 53,700,000, representing a remarkable 160% year-over-year growth. This highlights the strong demand and successful adoption of Engage Labs’ offerings.
Financial Risk Management Success
The financial risk management sector recorded its highest quarterly revenue of RMB 222,600,000, with a 43% year-over-year growth. This success indicates the company’s effective strategies in managing financial risks and expanding its client base.
Gross Profit and Margin Improvement
Aurora Mobile’s gross profit grew 20% year-over-year, achieving the highest level in the past fifteen quarters. The company also reported improved gross margins both year-over-year and quarter-over-quarter, reflecting enhanced operational efficiency.
Positive Cash Flow
The company generated a net operating cash inflow of RMB 23,300,000, the highest since 2020. This strong cash position underscores Aurora Mobile’s financial stability and ability to fund future growth initiatives.
Net Dollar Retention Rate
The net dollar retention rate for the core developer service business reached 104%, surpassing the 100% milestone for the first time. This achievement indicates strong customer retention and increased customer spending.
Deferred Revenue Milestone
Total deferred revenue reached a historical high of RMB 166,300,000, signaling strong future revenue potential and customer loyalty.
Market Intelligence Revenue Decline
Despite the overall positive performance, market intelligence revenue saw a decline of 23% year-over-year and 2% quarter-over-quarter. This was attributed to continued weak demand for Chinese APP data, highlighting a challenge the company needs to address.
Forward-Looking Guidance
Looking ahead, Aurora Mobile’s management provided an optimistic outlook for Q4 2025. The company expects revenue between RMB 94,000,000 to RMB 96,000,000, reflecting a 1-3% year-over-year growth. This guidance is supported by the company’s strong financial achievements in Q3, including record revenue and profitability.
In summary, Aurora Mobile’s Q3 2025 earnings call painted a picture of a company on a strong growth trajectory, with significant achievements in profitability and business expansion. Despite some challenges in market intelligence, the overall sentiment was positive, with promising forward-looking guidance.