Key Highlights

● Second-quarter 2026 Revenue was $40.4 million, up 18.0% from $34.3 million.

● Net Income was $2.2 million, though the operating loss was $1.0 million.

● Cash and bank balances stood at $361.7 million at 30 June 2026.

● Third-quarter revenue is guided to $41 million to $42 million.

Latest verified development: accelerating growth and a small profit

Agora, Inc. (NASDAQ:API), a provider of real-time voice, video and engagement technology whose American depositary shares (ADSs) trade on the Nasdaq, reported second-quarter 2026 results on 13 August 2026. Revenue was $40.4 million, up 18.0% from $34.3 million a year earlier. Chief executive Tony Zhao said the company was pleased to report another quarter of accelerating growth.

As a foreign private issuer, Agora furnishes its results on Form 6-K rather than the quarterly 10-Q used by domestic companies.

Profit and loss

Net income was $2.2 million, up from $1.5 million in the second quarter of 2025, or roughly 5% of revenue. The company nonetheless recorded an operating loss of $1.0 million, narrowed from $3.1 million a year earlier. The gap between the operating loss and positive net income indicates that income from outside operations, which may include interest on its large cash holdings, supported the bottom line.

The narrowing operating loss shows that growth is covering a larger share of the cost base, although the company has not yet reached operating profit on this measure. Net income and Operating Income are different yardsticks, and the small net profit is not the same as a self-sustaining operating Business until the operating line turns positive.

Cash and buybacks

Cash and bank balances, including cash, bank deposits and bank-issued financial products, were $361.7 million at 30 June 2026. That is nearly nine times quarterly revenue, so the Balance Sheet is large relative to the operating business.

In the second quarter the company repurchased about 3.8 million Class A shares, equivalent to about 1.0 million ADSs, for $3.7 million, implying an average of roughly $3.70 per ADS. Under the current programme, which expires in February 2027, it has repurchased about 178.5 million Class A shares for $159.9 million. One ADS represents four Class A ordinary shares. On the cumulative figures the average repurchase price works out at about $0.90 per Class A share, or roughly $3.58 per ADS.

Guidance

For the third quarter the company guided to revenue of $41 million to $42 million, or 15.8% to 18.6% growth year on year. Guidance covers expected figures only. At the midpoint the guide implies sequential growth of roughly 3% from $40.4 million, so it points to continued expansion at a slightly slower year-on-year rate than the 18.0% delivered in the second quarter.

Agora growth, operating loss and buyback programme

Revenue grew 18.0% and the operating loss narrowed to $1.0 million from $3.1 million, yet that line has not turned positive. The buyback programme, which expires in February 2027, has used $159.9 million so far.