管理層發言
Hello, everyone. Thank you for joining us, and welcome to MoneyHero 2025 Second Quarter Earnings Conference Call. Joining me on this call today are Rohith Murthy, CEO; and Danny Leung, CFO. Our earnings release was issued earlier today and is now available on our IR website as well as via GlobeNewswire service. Before we begin, I would like to remind you that today's call will include forward-looking statements made under the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Please refer to the safe harbor statement in our earnings press release, which applies to this call. In addition, please note that today's discussion will include both IFRS and non-IFRS financial measures for comparison purposes only. For a reconciliation of these non-IFRS measures to the most directly comparable IFRS measures, please refer to our earnings release and SEC filings. All material referenced will be in U.S. dollars, unless otherwise stated. Lastly, a replay of this conference call will be available on our IR website. I will now turn the call over to Rohith, our CEO of MoneyHero Group. Please go ahead.
Thank you, and thanks to everyone for joining. When I became CEO last year, we set a simple goal: reshape MoneyHero for durable, profitable growth. Prioritize quality over quantity, compound gross profit, and maintain strict discipline. Q2 shows that this plan is working. Revenue mix continues to shift towards higher-margin verticals. The cost of revenue is down significantly, and adjusted EBITDA losses have improved again. This puts us firmly on track for positive adjusted EBITDA in the second half of 2025. We're carrying strong momentum into H2, driven by over 20% sequential growth and a clear path to achieving our EBITDA goals. Now for Q2 at a glance, we generated $80 million in revenue. Adjusted EBITDA came in at a loss of $1.95 million. The cost of revenue was 51%, and around 27% of total revenue was contributed by insurance and wealth. We also reported net income of $0.2 million in the quarter. From Q1 to Q2, revenue grew by over 20% sequentially. This reflects strong execution on the key levers we have prioritized: mix, margin, and operating discipline. Now for the progress versus the goals we set out for 2024, we organized our execution around five pillars: consumer pull, conversion expertise, insurance brokerage, strong provider partnerships, and operating leverage. We stayed on the front foot. Traffic is getting smarter, journeys are faster, and insurance and wealth are rising as a share of revenue. Our cost base is leaner, even as product velocity increases. Now for the business highlights, I will focus on four key areas. First, we are focusing on insurance and wealth, including in the digital asset space. Auto insurance is scaling with real-time pricing and end-to-end digital journeys across Hong Kong and Singapore. This has significantly boosted different ways our integration deepens. Travel insurance is now a three-click purchase with much higher completion rates. In wealth, we've broadened our marketplace. This includes regulated collaborations with leading digital asset platforms, giving our consumers more choice through our disciplined regulatory-first approach. Now to be clear, OSL is not a one-off. It reflects a measured, pragmatic strategy to participate in the digital asset space through licensed partners, ensuring both strong consumer utility and robust compliance. Second, our provider partnerships are strengthening our monetization engine. Our MoneyHero Best of Awards in Singapore attracted over 170 clients, enabling us to strengthen our partner relationships, unlock new fixed fee opportunities, and significantly bolster our brand, effectively converting the trust in our ecosystem into high-quality revenue. Third, we are further realizing the potential of AI integration in our operations with clear and measurable outcomes. We are operationalizing AI with rewards intelligence, approval intelligence, yield intelligence, and AI-assisted service going live in select scenarios with safeguards firmly in place. We're also lowering CAC per approved application, improving approval quality, and raising first contact resolution. This approach is allowing us to deliver more with a flat headcount. And fourth, our unwavering cost discipline is driving real operating leverage. Our operating expenses remain tight as we continue to modernize our technology stack and tools. This discipline, paired with our shift to higher-margin verticals, drives sequential EBITDA improvements even as we invest in our business roadmap and partner integrations. Now let's turn our attention to our outlook guidance and our broader value creation framework. Looking ahead, our H2 guidance reflects continued growth and achieving profitability. We saw encouraging sequential revenue growth of over 20% from Q1 and expect to achieve similar levels of sequential revenue growth throughout the second half of the year. This trajectory will keep us on track for adjusted EBITDA breakeven in the second half of 2025, and we expect it to be driven by new bank and insurer actions, scaling insurance investments, and also our fixed fee programs. In general, we believe the current market environment is positive for fintechs that combine profitable growth with visible catalysts, and our H2 plan is built around those catalysts. This confidence is also built on our market leadership and industry consolidation. We are in a uniquely strong position with 8.6 million members, rising exposure to high-margin verticals, over 260 provider partnerships, and the strategic connectivity of our backers, all in markets experiencing attractive long-term adoption of digital finance. This creates a defensible flywheel that we continue to compound. As the market consolidates, our scale, balance sheet strength, and partner ecosystem keep us in pole position. As such, we will act only when opportunities are strategically aligned and accretive to returns. For the next two to three years, we see a clear path to achieving 5% to 10% adjusted EBITDA margins. We expect this to be driven by our market leadership, improved revenue mix and quality, renewal economics in insurance, recurring wealth monetization, and AI-enabled operating leverage. That said, these are objectives, not formal guidance. We will continue to report progress with clarity and discipline. In closing, it's clear we are a simpler, stronger, and more focused company than we were a year ago. This is reflected in our improved mix, rising margins, and controlled operating expenses. Our H2 priorities—20% or more sequential growth, EBITDA breakeven, and measured expansion in high-margin verticals—are already in motion. With that, thank you to our teams, partners, and communities. Your dedication and ingenuity empower us as we face the future, confident in our ability to deliver continued growth and profitability. Now I'll hand it to Danny to discuss the financials.
Thank you, Rohith, and we appreciate everyone taking the time to join us. As Rohith mentioned, when we pivoted the business in the second half of 2024, we set very clear financial priorities: improve the quality of revenue, expand gross margins, and tighten operating discipline. The numbers you'll hear from us today reinforce that the business model is structurally healthier than it was a year ago, and we are maintaining our clear path to sustainable profitability. Let me walk through the quarter in more detail, starting with revenue and mix. We reported revenue of $18 million in Q2, down 13% year-over-year. That said, this discipline was the result of a very deliberate measure. Our decision to moderate lower-margin credit card volume in favor of higher-quality, higher-margin verticals. The results show this. Insurance revenue grew from 11% to 14% of total revenue year-over-year, and wealth grew from 11% to 13%, while credit cards by design ticked down slightly from 62% to 61%. Taken together, insurance and wealth contributed 27% of group revenue this quarter, up from 22% in the same period last year. This is exactly the kind of mix evolution we set out to achieve: more recurring, more defensible, and higher-margin categories. Now let's turn to gross margins and cost of revenue. Cost of revenue declined 34% year-over-year, landing at 51% of revenue versus 67% in Q2 of last year. This material improvement reflects disciplined reward collaboration, smarter traffic, and stronger approval quality. Put simply, we are acquiring customers more efficiently and delivering applications with higher approval rates. These translate directly into healthier unit economics and ultimately stronger profitability. On the cost side, operating expenses, excluding net foreign exchange differences, fell 37% year-over-year to $20.6 million. The savings were broad-based. Advertising and marketing expenses were down 31%, technology costs down 58%, employee benefits down 45%, and G&A expenses down 27%. This reduction reflects a more disciplined and efficient way of operating, making better use of our platforms, processes, and tools while still selectively investing in AI infrastructure, customer acquisition, and platform optimization. The result is a cost base that is sharper and more productive. Next, profitability. As a result of the improvements in margins and reduced operating expenses, profitability strengthened across every measure. Net income was $0.2 million in Q2 compared to a net loss of $12.2 million in the same quarter last year. Adjusted EBITDA loss narrowed to $2 million, an improvement from $3.3 million in Q1 and $9.3 million a year ago. The numbers paint a clear picture: sequential progress is consistent and visible. Each quarter, the losses narrow, margins expand, and the business becomes more durable. This is exactly the path we outlined, and we remain confident in delivering positive adjusted EBITDA in the later part of 2025. On capital allocation, we remain disciplined. We are deliberately reinvesting in higher-margin verticals like insurance, personal loans, and wealth, which are growing as a share of revenue and offer more favorable unit economics. We are also leaning into strategic initiatives such as Credit Hero Club with TransUnion in Hong Kong and regulated digital asset collaboration with licensed partners like OSL. As Rohith mentioned, this is not opportunistic doubling. This is a programmatic compliance-first strategy to participate in the digital asset ecosystem where we can add consumer value responsibly. Going forward, we expect to continue seeing margin expansion and stronger operating leverage as the mix continues to improve and our cost discipline holds. The structural improvements are already visible in the numbers, and they provide a strong foundation for the quarters ahead. With that in mind, our financial priorities remain unchanged: deliver sustainable profitability, strengthen the balance sheet, and maximize long-term shareholders' value. We have come a long way in just one year. Revenue mix is healthier, costs are leaner, and margins are materially stronger. With these fundamentals in place, we are entering the second half of 2025 with confidence in both growth and profitability. That concludes our prepared remarks for today. I'll now turn the call over to the operator to begin the Q&A section. Operator, please go ahead.
分析師問答
Rohith, great quarter. I have a couple of questions for you. You've made references to using AI in the business. Can you talk a little bit more in detail on some of the initiatives you're actually doing with it, whether it's cost savings or revenue generation or what the depth of AI you're using is?
Thanks, Bill, sure. We're embedding AI in how we acquire, convert, and serve customers. We've prioritized production use cases and we have clear holdouts and KPIs. The impact shows up in a lower cost to serve, a better conversion, and faster shipping without adding headcount. In terms of what's live now, there are a couple of use cases I can talk about. One is AI in customer support. We are automating 70% to 80% of incoming inquiries while maintaining our customer satisfaction. The benefit is threefold. Number one, there's now 24/7 coverage, so there's reduced abandonment. There's instant response versus a multi-minute wait, and just the ability to absorb volume spikes without proportional staffing. As a result, the net effect is we have a lower service cost per case and a higher first contact resolution. Second is an AI competitive intelligence platform. We have automated collection and analysis of all competitor offers and UX changes. This cuts manual research time by approximately 90%. Now this feeds pricing and rewards decisions, helping us prioritize product work where it boosts conversion and improves our approval-adjusted CAC and cost for approval. For near-term revenue drivers, some are ready and some are piloting. One is the WhatsApp AI code agent launched in Singapore for auto insurance. This agent guides customers from need discovery to code comparison and handoff for purchasing via a platform like WhatsApp. We expect a significant conversion lift versus a web-based journey. Second is AI media creation and experimentation. This is in development, aiming for a 70% to 80% reduction in creative production spend and testing cycles. We can generate compliant variants and score them automatically, allowing us to scale across these markets. Why all of this matters is summed up in three points: one is the unit economics; we want lower costs per approval and service, and improved gross profit per dollar of revenue. Second is operating leverage; automation helps maintain headcount while increasing throughput. Finally, conversion on revenue; guided journeys like the WhatsApp agents improve conversion rates, protecting the funnel throughput.
Great. I have three additional questions and there might be some overlap. So if you don't mind, I'll just ask all three, and you can answer either grouped or separately, if that makes sense for you. I am curious about the key growth drivers for 2026 that you're looking for as far as the top line and bottom line. Specifically, what are your plans for the insurance business to build that up, and if there are milestones we should look for? Finally, an update on the wealth and crypto side and where we are in that process of expanding that business.
Absolutely. Let me start with wealth and crypto, and then I'll discuss insurance and finally our thoughts for 2026. In terms of wealth, we see it, including digital assets, as an adjacency that extends our marketplace beyond just cards and loans. We achieve this with a very capital-light partner-led economics. I want to emphasize that our approach is regulatory-first; we direct consumers to licensed providers in each market. We monetize this via a mix of CPA per funded account, occasionally a tiered revenue share on flow products, or fixed fee sponsorships. Now regarding partnerships and initiatives, one example is our partnership with OSL in Hong Kong. This collaboration focuses on compliant onboarding journeys, investor education, and a campaign-based acquisition. There's no balance sheet exposure for MoneyHero and no custody of customer assets. For investment brokers, we continue to partner with a portfolio of licensed retail brokers in Hong Kong and Singapore, again mixing CPA for funded accounts, revenue share on selected products, and fixed fee sponsorships around product launches or campaigns. As for the insurance question you mentioned, insurance serves as a compounding engine for us, carrying structurally higher margins, renewing annually in many lines, and benefiting directly from our data, technology, and AI stack. We have three strategic focuses for insurance: first, expanding the supply depth and products; second, streamlining journeys using AI; and third, tightening unit economics so insurance and wealth can continue to rise as a share of revenue while improving conversion and profitability. On expanding supply depth and products, we are rolling out more real-time, end-to-end integrations in auto and general insurance in Hong Kong and Singapore. This enables customers to quote, find, and pay seamlessly on our platform. This is the biggest driver of conversion and economics. We are already seeing more than 40% end-to-end completion rates in travel insurance with our three-click purchasing journey, and we intend to extend this user experience to additional products and partners. We are even exploring life insurance in Singapore through broker partnerships or structuring it as a profit share. For streamlining journeys and lifting conversions, AI plays a crucial role. We aim to improve targeting for shoppers, recommending the right cover, and resolving service requests faster. This will help us achieve lower approval-adjusted CAC, lower costs per approval, and shorter fulfillment times. We are testing an AI-assisted WhatsApp service for auto insurance in Singapore and believe it can enhance conversion rates. Our goal for insurance and wealth is to target 28% to 30% of total revenue in the second half, which aligns with our profitability goals. Regarding growth levers for 2026, the structural growth levers are already in place, and we're building upon them prudently. Our focus areas include scaling insurance and wealth, targeting them continuously to contribute 30% or more of group revenue, ensuring broader end-to-end coverage, higher quote-to-bind conversions, and new product lines. Continuous improvements in conversion rates, sustaining our travel insurance three-click journeys, expanding our auto insurance real-time pricing into more markets, including the Philippines, and leveraging AI-driven efficiencies for high-quality traffic and reduced CAC. Our provider partnerships remain a key structural driver. Alongside new initiatives, we are launching the Credit Hero Club membership in Hong Kong with TransUnion and a membership program in Singapore, enhancing consumer engagement and creating new revenue streams. Overall, our strategy includes exploring life insurance partnerships in Singapore and Hong Kong and selectively expanding digital asset partnerships with licensed brokers. We aim to do this in a regulatory-first and capital-light manner as we look into 2026.
Can you hear me? So let me ask a question. Similar to Q1, I've seen that the Q2 revenue has decreased year-over-year. What initiatives would the company take to resolve the revenue to last year's level?
Okay. May I take this question? Thanks for the question. As I mentioned, our Q2 revenue was $18 million, down 13% year-over-year. That decline reflects the strategic result we began in the second half of last year to prioritize revenue quality and unit economics. Importantly, on a sequential basis, revenue actually grew more than 20% from Q1 to Q2. This shows that momentum is already returning on this half-year basis. The model has also improved. The cost of revenue is down to 51% and insurance and wealth reached 27% of revenue. Our focus now is to layer growth back onto a stronger foundation. First, we will aim to scale higher-margin verticals like insurance and wealth, such as auto and travel insurance by expanding real-time pricing and end-to-end integration in Hong Kong and Singapore to sustain the three-click flow in travel and roll the same pattern into auto as more insurer APIs go live. Regarding wealth and digital assets, we maintain a regulatory-first partner-led approach like our collaboration with OSL in Hong Kong. We target to move insurance and wealth to 28% to 30% of revenue in the second half to support gross profit compounding. Secondly, we are keen to deepen member engagement through the Credit Hero Club and TransUnion partnership in Hong Kong, offering free credit scores, monitoring, and personalized offers to drive more qualified applications and cross-sell across loans, cards, insurance, and wealth. We will also emphasize AI-driven journeys to enhance rewards approvals and service assistance. We are testing an AI-assisted WhatsApp service for auto insurance in Singapore to accelerate coding and resolution, which we expect will raise conversion. Thirdly, we will utilize commercial momentum and selective reinvestment such as fixed fee and sponsorship programs with banks and insurers that are now material and repeatable. These will add high-margin revenue alongside transactional commissions. Our cost base provides room to selectively reinvest in growth channels and content while maintaining flat headcount and keeping our cost of revenue in the low 50s. Thank you.
I have a question to follow up. While I acknowledge that revenue has dropped, there has been consistency in terms of net loss and EBITDA improving year-over-year. Would you mind clearly illustrating the factors that contributed to this improvement?
Sure. I'll take this question as well. First, that's a great question. The improvement is really about building a structurally healthier business model, and that is clearly reflected in the numbers. Three drivers stand out: firstly, a mix shift towards higher-margin products. Insurance and wealth contributed 27% of revenue in Q2, up from 20% a year ago. These verticals are structurally higher margin and more recurring, so every revenue dollar contributes more gross profit than before. Secondly, unit economics and cost discipline have improved. The cost of revenue improved to 51% of revenue from 67% last year, a 16-point gain driven by tighter reward collaboration, better approval quality, and improved partner terms. Operating costs fell 37% year-over-year to $20.6 million as we reduced spending across marketing, technology, and employee costs. Importantly, AI is now embedded in service, approvals, and reward optimization, helping us scale while keeping headcount flat. Thirdly, adjusted EBITDA loss narrowed to $2 million in Q2 from $9.3 million a year ago, and net income for this quarter was positive at $0.2 million compared to a net loss of $12.2 million last year. These gains are not one-off; they reflect structural changes that will continue into the second half. Even with lower revenue year-over-year, the cost structure is leaner, the revenue mix is stronger, and the path to profitability is clear. That is why we remain confident in reaching positive adjusted EBITDA in the later part of 2025. Thank you.
Thank you. I'm showing no further questions. I'd like to turn the call back over to Rohith for closing remarks.
Thank you all for your time, and thanks for the questions. We are very happy and pleased to discuss our Q2 results with you. As mentioned, we are very excited about what's in store for us in the second half as we continue our path to profitability, and we look forward to sharing our next Q3 results in the next call. Thank you, everyone.
Thank you for your participation. You may now disconnect. Everyone, have a great day.