Shares of JOYY Inc. (NASDAQ:YY) surged 6.54% in pre-market trading on Wednesday, following the company's better-than-expected third quarter earnings report and robust share repurchase program.
The global technology company reported revenue of $558.7 million for the quarter, slightly missing estimates but offset by a non-GAAP earnings per ADS of $1.07, which beat consensus expectations of $0.94. JOYY delivered a net profit of $60.6 million and a non-GAAP net profit of $61.2 million, representing net margins of 10.8% and 10.9%, respectively. The company's core BIGO segment also saw improvement in operating income on both a GAAP and non-GAAP basis.
A key highlight for JOYY was its aggressive share buyback program, with the company repurchasing $117.8 million worth of its shares during the quarter. This brought the total buybacks to $243.7 million over the first three quarters of 2024, underscoring management's confidence in the company's long-term prospects. Following the solid earnings, Jefferies raised its price target on JOYY to $46 from $40, maintaining a "Buy" rating.
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