Boku (BOKU) H1 2024 earnings summary

Executive summary

• Monthly active users increased 30% to 79.6m, with 39.9m new users in H1 2024, driving strong growth across key metrics.

• Total payment volumes (TPV) rose 16% to $5.8bn, with revenues up 24% to $47.3m (30% at constant FX).

• Adjusted EBITDA grew 18% to $14.2m, maintaining a margin above 30% despite increased investment.

• Cash position increased to $148.5m, with 'own' cash at $75.2m and the business remaining debt-free.

• Posted a small operating loss of $0.4m due to FX losses, share-based payments, and accelerated amortisation.

Financial highlights

• TPV reached $5.8bn for the period.

• Take rates improved to 0.81%, driven by a favorable business mix and higher digital wallet margins.

• Revenue totaled $47.3m, with DCB up 14% to $35.4m and digital wallets/A2A up 64% to $11.9m, now 25% of revenue.

• Adjusted EBITDA margin was 30.1% (H1 2023: 31.6%).

• Basic loss per share: $(0.0036) (H1 2023: $0.0060).

Outlook and guidance

• Expectation of a stronger second half due to seasonality (Black Friday, Singles' Day, holiday season, major game launch).

• Confident in meeting full-year market expectations, supported by recent record revenue months and upcoming merchant launches.

• EBITDA margin expected to remain above 30%, with potential for further margin accretion beyond 2025 as investments yield operational leverage.

• Management expects solid top-line growth for 2024, funding increased investment while maintaining margins broadly flat on 2023.