UAE-based Yalla Group reports revenue of Dhs839m in first nine months of 2022

Voice-centric social networking and entertainment platform Yalla Group (Yalla) reported revenue of Dhs839.1m ($228.5m) in the first nine months of 2022.

According to Yalla’s latest financial results, the company has also seen significant growth in the third-quarter revenue, hitting Dhs294m ($80.1m), a significant increase of 12.3 per cent compared to the same quarter of 2021.

Yalla has also posted a net income of Dhs89.7m ($24.4m) while the non-GAAP net margin remained exceptionally high at 36.7 per cent.

Additionally, the average MAUs (monthly active users) increased by 19.1 per cent to 30.9 million in the third quarter of 2022 from 25.9 million in Q3 2021.

Meanwhile, the number of paying users on Yalla platform increased by 50.3 per cent to 11.5 million in the third quarter of 2022 from 7.7 million in the third quarter of 2021.

Yang Tao, founder, chairman and CEO of Yalla said: “We are delighted to report another strong quarter with record-setting revenue in the third quarter of 2022. Our revenue reached a new high for the third consecutive quarter and once again beat the upper end of our guidance.

“This exceptional performance was fueled by our relentless efforts to refine operational processes, optimize user acquisition and further develop our product monetisation. During the quarter, we continued to enhance our product portfolio with gamification and entertainment features to comprehensively strengthen user engagement, resulting in an increase in our group’s average MAUs.”

Tao added: “Alongside our ongoing efforts to promote our flagship applications, we made meaningful progress on our new initiatives during the third quarter. Notably, we rolled out the beta version of our first hard-core mobile game, “Merge Kingdom,” a milestone for Yalla Game, our mid- and hard-core mobile game distribution business. We also iterated our IM product, YallaChat, releasing version 1.3 with more engaging localized functions as well as a Yalla Ludo mini program to further boost product synergies and enhance user stickiness.”

Saifi Ismail, group president at Yalla Group, said that Yalla’s businesses continued to thrive in the third quarter, underpinned by solid fundamentals and quality growth, adding that the group’s record-high third-quarter revenue also reflected an accelerating growth rate, demonstrating our effective growth strategy and outstanding monetisation capabilities.