Aurora Mobile (JG, Financial) has formed a strategic alliance with China Unicom to introduce the Smart Integrated Verification system. This new initiative leverages China Unicom’s Open Gateway platform to create a seamless one-click verification infrastructure. The collaboration is aimed at supporting Chinese enterprises as they expand their operations globally, ensuring efficient and secure verification processes.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 1 analysts, the average target price for Aurora Mobile Ltd (JG, Financial) is $7.00 with a high estimate of $7.00 and a low estimate of $7.00. The average target implies an downside of 40.02% from the current price of $11.67. More detailed estimate data can be found on the Aurora Mobile Ltd (JG) Forecast page.
Based on the consensus recommendation from 1 brokerage firms, Aurora Mobile Ltd's (JG, Financial) average brokerage recommendation is currently 2.0, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
JG Key Business Developments
Release Date: May 29, 2025
- Revenue: RMB89 million, a 48% year-over-year growth.
- Gross Margin: Improved by 5,000 basis points quarter over quarter.
- Adjusted EBITDA: Positive for the seventh consecutive quarter.
- Developer Services Revenue: Grew by 39% year over year.
- Subscription Services Revenue: RMB53.5 million, a 26% year-over-year growth.
- Financial Risk Management Revenue: RMB22.2 million, a 64% year-over-year growth.
- Operating Expenses: RMB60.6 million, a 14% year-over-year increase.
- Net Dollar Retention Rate: 96% for the core developer subscription business.
- Deferred Revenue: RMB156.9 million, a historical record.
- Cash and Cash Equivalents: RMB113.6 million as of March 31, 2025.
- Q2 2025 Revenue Guidance: RMB87.5 million to RMB90.5 million, representing a 10% to 14% year-over-year growth.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Aurora Mobile Ltd (JG, Financial) achieved a record-breaking contract value of over RMB63 million in Q1 2025, marking unprecedented growth.
- The company's revenue for Q1 2025 reached RMB89 million, a 48% year-over-year increase, the highest Q1 revenue since transitioning to a pure SaaS model.
- Gross profit increased by 27% year over year, with gross margin improving by 5,000 basis points quarter over quarter.
- The financial risk management business recorded its highest quarterly revenue of RMB22.2 million, growing 64% year over year.
- Aurora Mobile Ltd (JG) maintained a positive adjusted EBITDA for the seventh consecutive quarter, indicating strong financial health.
Negative Points
- Despite strong revenue growth, Aurora Mobile Ltd (JG) is still recording a net loss, raising concerns about long-term profitability.
- Market intelligence revenue decreased by 26% year over year, indicating challenges in this segment.
- The company experienced a sequential decline in additional services revenue by 46% quarter over quarter.
- Operating expenses increased by 14% year over year, primarily due to higher sales and marketing costs.
- The company faces challenges in maintaining the same level of newly signed contract value in future quarters, as indicated by management's cautious outlook.
