SGX-listed 17Live posts 26% rise in 2023 adjusted earnings, revenue falls

Photo credit: 17Live

Livestreaming company 17Live reported a 26% year-on-year rise in adjusted EBITDA to US$20 million for 2023 on the back of strong operating income.

This is the first annual earnings reported by the company after its public market debut on Singapore Exchange (SGX) in December last year.

The 37% uptick in operating income was attributed to effective cost discipline and heightened focus on returns on investment. However, revenue for the period fell 23% to US$279 million.

17Live achieved a gross profit of US$115 million in 2023, with gross profit margins improving to 41.2% from 34.7% in the 2022 fiscal year.

A company spokesperson told Tech in Asia that “non-cash valuation loss and one-off IPO-related expenses” affected 17Live’s profitability at the group level.

“Without that non-cash revaluation exercise, we would have been profitable at net income level too,” the person said.

Previously known as M17 Entertainment, 17Live was founded in 2017 through the merger of app developer Paktor Group with livestreaming firm 17 Media. In addition to livestreaming, 17Live operates live commerce services and a social audio platform.

In 2023, Vertex Technology Acquisition Corporation, the special purpose acquisition company affiliated with Singapore’s Vertex Holdings, announced a merger with 17Live, paving the way for its listing on the SGX.

17Live has over 550,000 global monthly active users and nearly 87,000 contract streamers, according to its website. ​​Its app is accessible in over 130 regions.

New revenue streams

17Live’s main revenue source continues to be livestreaming, according to its latest earnings release. The revenue figure for this segment, however, dropped 24% to US$271 million in 2023.

Meanwhile, it witnessed a 34.7% year-on-year increase in revenue from live commerce and other emerging businesses, which reached US$8.1 million. The group’s live commerce offering, OrderPally, posted a doubling of annualized GMV.

“With OrderPally’s success, plans are well underway to further roll out OrderPally across Southeast Asia,” the spokesperson added.

This growth reflects the success of the company’s new revenue streams in live commerce and voice-only livestreaming, according to the company.

Expenses narrow