Agora’s Q1 Revenues Rise 13.5% to $37.7M; Net Income Hits $1.1M
API•Agora reported Q1 2026 revenues of $37.7 million, up 13.5% year-over-year, and net income of $1.1 million, marking its sixth consecutive GAAP profitable quarter. Active customers grew 3.8% to 3,946, dollar-based net retention hit 99%, and the company repurchased 12.5 million shares for $13.1 million.
1. Q1 Financial Highlights
Agora recorded $37.7 million in Q1 2026 revenue, a 13.5% increase from $33.3 million a year earlier, and net income rose to $1.1 million from $0.4 million. Active customers climbed 3.8% to 3,946, while dollar-based net retention improved to 99%, up from 95%.
2. Profitability and Margins
Gross profit reached $23.9 million with a 63.4% margin, down from 68.0% due to a higher mix of sub-scale conversational AI products. Operating loss narrowed to $1.6 million as total operating expenses held steady at $26.4 million, with R&D spending up 2.9% and sales and marketing costs down 4.8%.
3. Product and Platform Developments
The company launched Agent Studio, a no-code platform enabling rapid build-out of voice AI agents with templates for customer service and outbound marketing. Robust adoption of this platform and sustained growth in real-time engagement usage underscore its decade-long investment in scalable infrastructure.
4. Share Repurchase and Liquidity
Cash, cash equivalents, bank deposits and financial products totaled $366.1 million at quarter-end. During Q1, 12.5 million Class A shares were repurchased for $13.1 million, bringing total buybacks to 174.7 million shares for $156.2 million, or 78.1% of the $200 million program.
