Agora.io (NASDAQ: API), a pioneer and leading platform for real-time engagement APIs, announced yesterday its financial results for the third quarter ended September 30, 2020. According to the report, the company has achieved total revenues of $30.8 million, an increase of 80.8% from $17.1 million year-on-year. And the net loss for the quarter was $2.9 million, compared to $1.1 million in the same period last year.
The financial report claims that the performance in this quarter demonstrates the steady adoption of contextual video engagement across industries. As for the gross profit, the number was $19.3 million during the reporting period, an increase of 63.1% from $11.8 million year-on-year. The gross margin was 62.5%, a decrease of 6.7% from 69.2% in the same period last year, primarily due to international expansion to regions with higher infrastructure costs.
Operating expenses were $23.2 million in Q3 2020, an increase of 78.3% from $13.0 million in the same period last year. Active Customers as of September 30, 2020 were 1,815, an increase of 95.4% from 929 as of September 30, 2019. And the total cash, cash equivalents, and short-term investments as of September 30, 2020 was $635.4 million.
“Agora is empowering software developers around the world to bring contextual video engagement to more and more online activities, such as taking a class or exam, attending a virtual event, meeting new friends, and competing in a game. Such innovations are far beyond traditional video conferencing and still have a long way to go,” said Tony Zhao, founder, chairman, and CEO of Agora.io.
During the third quarter of 2020, the company has launched aPaaS, an educational solution covering 1-on-1, small-sized class, large-sized class, and mini-sized class. It empowers education and training institutions’ OMO transformation, and help them launch a complete interactive classroom program within 10 minutes.
Based on currently available information, Agora expects that the estimated total revenues for the full fiscal year ending December 31, 2020 remain to be between $125 million and $130 million.