Anghami (ANGH) H2 2024 earnings summary

Executive summary

• Anghami expanded into video streaming in 2024 via the OSN+ transaction, consolidating nine months of OSN+ results and issuing 36.9 million shares to OSN Streaming, which now holds a 55.25% stake.

• Revenue grew 88.7% year-over-year to $78.1M, driven by the addition of OSN+; active users rose to 22.4M and subscribers to 3.4M.

• Net loss widened to $63.6M (from $15.7M in 2023), with negative adjusted EBITDA of $55.3M, mainly due to fixed video content costs and integration expenses.

• OSN Streaming invested $32M via convertible notes, with an option for an additional $23M; Warner Bros. Discovery acquired a minority stake in OSN Streaming Ltd.

• The company faces going concern risks due to negative working capital and ongoing losses, but management expects continued funding from shareholders.

Financial highlights

• Revenue: $78.1M in 2024, up from $41.4M in 2023 (+88.7%).

• Subscription revenue: $65.0M (+164.7% YoY), advertisement: $11.2M (+13.3%), live events: $1.9M (-72.8%).

• Gross loss: $(24.0)M (gross margin -30.8%), compared to gross profit of $10.3M in 2023 (24.9% margin).

• Net loss: $(63.6)M, compared to $(15.7)M in 2023.

• Adjusted EBITDA: $(55.3)M (-70.8% of revenue), compared to $(11.3)M in 2023.

• Cash and cash equivalents: $14.1M at year-end 2024.

Outlook and guidance

• Focus remains on growing music and video streaming subscriptions, optimizing acquisition, and leveraging B2B partnerships.

• Plans to expand advertising revenue through new ad formats, branded content, and ramping up the OSN+ Ad Tier.

• Live events are expected to remain a minor revenue stream but support user engagement and brand visibility.

• Management highlights ongoing risks from currency devaluation, macroeconomic uncertainty, and the need for continued external funding.