Yalla Group Limited (“Yalla” or the “Company”) (NYSE: YALA), the leading Middle East and North Africa (MENA)-based online social networking and gaming platform, announced robust financial results for the second quarter of fiscal year 2025, ended June 30.
The Company posted Q2 revenues of AED 310.7 million (US$84.6 million), reflecting a year-on-year growth of 4.1%. Net income surged to AED 134.1 million (US$36.5 million), marking a 16.4% increase compared to AED 115.3 million (US$31.4 million) in Q2 2024.
H1 Revenues Exceed Half a Billion Dirhams
For the first half of 2025, Yalla Group generated total revenues of AED 618.8 million and net income of AED 267.7 million. The Company’s net margin strengthened to 43.2% in Q2 2025, underlining its enhanced operational efficiency and disciplined expense management.
Average Monthly Active Users (MAUs) climbed 8.8% year-on-year, reaching 42.4 million in Q2 2025 compared to 39.0 million in the same period last year.
CEO Highlights Continued Growth and Strategic Focus
Yang Tao, Founder, Chairman, and CEO of Yalla Group, expressed pride in the Company’s exceptional Q2 performance:
“We once again exceeded the high end of our revenue guidance, reaching US$84.6 million in the quarter. Our operational efficiency improved significantly through optimized user acquisition strategies and refined internal processes, boosting our net margin to 43.2% year-over-year.”
Tao emphasized Yalla’s commitment to anticipating and meeting the evolving digital entertainment needs in the MENA region, noting the Company’s expansion from a 6-person team to over 800 employees serving more than 40 million MAUs.
Long-Term Vision and Product Development Strategy
Highlighting Yalla’s product strategy, Tao explained the Company’s focus on creating platforms with broad reach, long lifecycles, and sustainable business models to ensure long-term growth.
He confirmed that Yalla will continue to refine its gaming business strategy, strengthen external partnerships, and expand its game distribution capabilities to diversify its product portfolio and explore new genres, while gaining deeper insights into user preferences across MENA.
President Commends Resilient Business Model and Market Leadership
Saifi Ismail, President of Yalla Group, praised the Q2 results, stating:
“Our financial performance reflects the resilience of our business model and the loyalty of our user community. These results showcase our ability to drive sustainable growth while delivering unmatched value to users across the region.”
Ismail pointed to successful campaigns and strategic collaborations, such as the Yalla Ludo co-branded initiative with the Dubai Department of Economy and Tourism, integrating Dubai’s cultural landmarks into gameplay. The Company’s 9th anniversary celebrations also set a record for gold coin consumption, strengthening community engagement and market leadership.
Looking Ahead: Innovation, Expansion, and Social Impact
Both executives reaffirmed Yalla’s commitment to continuous innovation, strategic expansion, and delivering positive social impact. Plans include enhancing the product portfolio, deepening partnerships, and creating unique digital experiences that cater to the growing MENA user base.
Sign up for our mailing list to receive the latest news.