Technology

Wix Reports Fourth Quarter and Full Year 2023 Results

Published

2 years ago

February 21, 2024

Outperformance of 2023 targets as well as anticipated acceleration of top-line growth and overachievement of 2024 targets in three-year plan underpin expectation to significantly surpass the Rule of 40 in 2025

Capped off a year of strong growth with total revenue of $404 million in the fourth quarter, up 14% y/y driven by continued growth acceleration in the Partners businessPartners1 revenue totaled $130.1 million in Q4, up 38% y/y, as more Partners joined Wix, monetization continued to increase and Studio uptake exceeded expectationsRobust growth paired with solid operating leverage drove Wix to outperform the 2023 targets outlined in three-year planAchieved positive full year GAAP net income two years earlier than anticipatedQ4 FCF2 margin was a record 22% and full year FCF2 margin was 16%, meaningfully above 13% margin targetStrong bookings and revenue growth anticipated for 2024 driven by momentum from milestone product launches of 2023, solid business fundamentals and stable and positively-trending macro environmentExpect 2024 bookings growth of 12-14% y/y with acceleration through the year to 15% y/y growth in 2H24; expect full year revenue growth of 11-13% y/yExpect FCF2 margin of 21-23% in 2024, driven by growth and continued operational efficiency benefitsCompleted $300 million share repurchase plan in February and in the process of pursuing the necessary approvals for $225 million in additional share repurchases

NEW YORK, Feb. 21, 2024 /PRNewswire/ — Wix.com Ltd. (Nasdaq: WIX), the leading SaaS website builder platform globally,3 today reported financial results for the fourth quarter and full year of 2023. In addition, the Company provided its initial outlook for the first quarter and full year 2024. Please visit the Wix Investor Relations website at https://investors.wix.com/ to view the Q4’23 Shareholder Update and other materials.

“We wrapped up an outstanding year of accelerating growth and record profitability with a strong fourth quarter underpinned by robust business fundamentals and anchored by incredible momentum in our Partners business,” said Avishai Abrahami, Wix Co-founder and CEO. “Additionally, 2023 was a milestone year for innovation at Wix. Wix Studio has proven to be our highest-performing product release in recent history. In just six months, more than 500,000 agencies and freelancers have created Studio accounts, driving the number of Studio premium subscriptions to be ahead of plan. Most excitingly, nearly half of these Studio accounts were created by new Partners – a powerful indication that Studio is successfully winning a new market of large agencies who had not built on Wix before. AI was another major focus of innovation in 2023, building on nearly a decade of leading AI research and development at Wix. We introduced a suite of new genAI and AI tools, including AI Chat Experience for Business, AI Code Assistant and, most recently, AI Site Generator, which has been in the hands of many of our users for a couple of months and is already generating fantastic feedback. Both Self Creators and Partners have shown excellent engagement with our AI products over the past year, with the majority of new users today using or interacting with at least one AI tool on their web creation journey. We expect continued momentum and ramping benefits from these milestone products coupled with our upcoming product pipeline to propel accelerating growth in 2024.”

“Q4 capped off an incredibly strong year of sustained profitable growth with revenue in the fourth quarter increasing 14% y/y, driven by incredible Partners revenue growth of 38% y/y,” added Lior Shemesh, CFO at Wix. “On top of this outperformance in 2023, I am extremely confident in our ability to comfortably beat our three-year plan – let me walk you through my reasoning:

“First, we expect to drive accelerating profitable growth in 2024 and see a number of indicators of growth momentum today, including (1) improved visibility from a stable and positively-trending macro environment; (2) continued strong cohort behavior, particularly in our Partners business; and (3) ramping benefits from Studio and the milestone AI initiatives launched in 2023. Because of this visibility and confidence, we are reintroducing bookings guidance, which we expect to accelerate to 12-14% y/y growth in 2024 with 15% y/y growth in 2H.

“Second, this bookings acceleration in 2024, which we expect will primarily be driven by improved Creative Subscriptions performance, will position us for revenue acceleration in 2025. Higher revenue growth coupled with continued efficient business operations will, we anticipate, allow us to exceed the 2024 targets we shared in our August 2023 Analyst Day.

“Finally, outperformance of our 2023 targets as well as this anticipated top-line acceleration and overachievement of our profitability targets in 2024 gives us confidence that we will not just reach, but actually exceed our three-year plan and significantly surpass the Rule of 40 in 2025.”

Q4 2023 Financial Results

Total revenue in the fourth quarter of 2023 was $403.8 million, up 14% y/yCreative Subscriptions revenue in the fourth quarter of 2023 was $296.2 million, up 12% y/yCreative Subscriptions ARR increased to $1.19 billion as of the end of the quarter, up 10% y/yBusiness Solutions revenue in the fourth quarter of 2023 was $107.6 million, up 20% y/yTransaction revenue4 was $46.6 million, up 20% y/yPartners revenue1 in the fourth quarter of 2023 was $130.1 million, up 38% y/yTotal bookings in the fourth quarter of 2023 were $395.0 million, up 6% y/y; excluding long-term bookings associated with B2B partnership agreements, total bookings grew 10% y/yCreative Subscriptions bookings in the fourth quarter of 2023 were $283.5 million, up 1% y/y; excluding long-term bookings associated with B2B partnership agreements, Creative Subscriptions bookings grew 5% y/yBusiness Solutions bookings in the fourth quarter of 2023 were $111.5 million, up 24% y/yTotal gross margin on a GAAP basis in the fourth quarter of 2023 was 69%Creative Subscriptions gross margin on a GAAP basis was 82%Business Solutions gross margin on a GAAP basis was 32%Total non-GAAP gross margin in the fourth quarter of 2023 was 70%Creative Subscriptions gross margin on a non-GAAP basis was 83%Business Solutions gross margin on a non-GAAP basis was 33%GAAP net income in the fourth quarter of 2023 was $3.0 million, or $0.05 per basic and diluted shareNon-GAAP net income in the fourth quarter of 2023 was $74.0 million, or $1.29 per basic share or $1.22 per diluted shareNet cash provided by operating activities for the fourth quarter of 2023 was $90.4 million, while capital expenditures totaled $10.0 million, leading to free cash flow of $80.4 millionExcluding one-time cash restructuring charges and the capital expenditures and other expenses associated with the build out of our new corporate headquarters free cash flow for the fourth quarter of 2023 would have been $90.1 million, or 22% of revenueExecuted $59 million in repurchases of ordinary shares

FY 2023 Financial Results

Total revenue for the full year 2023 was $1.56 billion, up 13% y/yCreative Subscriptions revenue for the full year 2023 was $1.15 billion, up 11% y/yBusiness Solutions revenue for the full year 2023 was $409.7 million, up 18% y/yTransaction4 revenue for the full year was $177.5 million, up 20% y/yPartners1 revenue for the full year 2023 was $468.5 million, up 35% y/yTotal bookings for the full year 2023 were $1.60 billion, up 9% y/y; excluding long-term bookings associated with B2B partnership agreements, total bookings grew 11% y/yCreative Subscriptions bookings for the full year 2023 were $1.17 billion, up 5% y/y; excluding long-term bookings associated with B2B partnership agreements, Creative Subscriptions bookings grew 8% y/yBusiness Solutions bookings for the full year 2023 were $422.7 million, up 21% y/yTotal gross margin on a GAAP basis for the full year 2023 was 67%Creative Subscriptions gross margin on a GAAP basis was 81%Business Solutions gross margin on a GAAP basis was 27%Total non-GAAP gross margin for the full year 2023 was 68%Creative Subscriptions gross margin on a non-GAAP basis was 82%Business Solutions gross margin on a non-GAAP basis was 29%GAAP net income for the full year 2023 was $33.1 million, or $0.58 per basic share or $0.57 per diluted shareNon-GAAP net income for the full year 2023 was $268.3 million, or $4.72 per basic share or $4.39 per diluted shareNet cash provided by operating activities for the full year 2023 was $248.2 million, while capital expenditures totaled $66.0 million, leading to free cash flow of $182.2 millionExcluding the capex investment associated with our new headquarters office build out, free cash flow for the full year 2023 would have been $246.1 million, or 16% of revenueExecuted $127 million in repurchases of ordinary shares as we remained committed to share count management and returning value to shareholdersAdded 189 thousand net premium subscriptions in full year 2023 to reach nearly 6.3 million total premium subscriptions as of December 31, 2023Registered users as of December 31, 2023 were 263 million, representing an 8% increase compared to December 31, 2022Total employee headcount as of December 31, 2023 of 5,302, down 4% from the end of 2022

____________________

Partners revenue is defined as revenue generated through agencies and freelancers that build sites or applications for other users as well as revenue generated through B2B partnerships, such as LegalZoom or Vistaprint, and enterprise partners. We identify agencies and freelancers building sites or applications for others using multiple criteria, including but not limited to, the number of sites built, participation in the Wix Partner Program and/or the Wix Marketplace or Wix products used (incl. Wix Studio). Partners revenue includes revenue from both the Creative Subscriptions and Business Solutions businesses.

Free cash flow excluding one-time cash restructuring charges, if applicable, and expenses associated with the buildout of our new corporate headquarters.

Based on number of active live sites as reported by competitors’ figures, independent third-party-data and internal data as of Q2 2023.

Transaction revenue is a portion of Business Solutions revenue, and we define transaction revenue as all revenue generated through transaction facilitation, primarily from Wix Payments as well as Wix POS, shipping solutions and multi-channel commerce and gift card solutions.

Financial Outlook

Coming off of a strong year of significant product launches and strengthening fundamentals, we believe our business will experience strong top line growth of bookings in 2024 and more significantly in the second half of the year. This positive trend in bookings growth is expected to translate into y/y revenue growth acceleration in 2025.

This growth, paired with improved profitability targets due to a high degree of operating efficiency, leads to our expectation that our financial performance in 2024 and in 2025 will surpass the three-year plan we shared at our Analyst & Investor Day in August.

We now expect to significantly exceed the Rule of 40 in 2025.

We are reintroducing bookings guidance as we enter 2024 with improved visibility and a tremendous amount of confidence in our business as a result of a stable and positively-trending macro environment, strong cohort behavior, particularly in our Partners business, and most notably, ramping benefits from Studio and the milestone AI initiatives launched in 2023.

Our outlook for the full year 2024 is as follows:

We expect total bookings of $1.78 – $1.81 billion, up 12 – 14% y/y, an acceleration from 2023. We expect y/y growth of total bookings to accelerate in the second half of 2024 to 15% at the high end of the guidance range, positioning the business to achieve accelerating y/y revenue growth in 2025.

In particular, the acceleration is expected to be primarily in Creative Subscription bookings, bringing it to double digit y/y growth in the 2H24.

We expect total revenue to be $1.73 – $1.76 billion, up 11 – 13% y/y.

We expect total revenue in Q1 2024 of $415 – $419 million, up 11 – 12% y/y.

We continue to operate the business in an efficient manner as evidenced by the meaningful operating leverage — on both a GAAP and non-GAAP basis — generated throughout 2023 compared to 2022. We plan to operate with the same efficiency in 2024 and expect strong gross profit growth due to gross margin improvements on a y/y basis as well as minimal incremental operating expenses this year.

We expect non-GAAP total gross margin of 68 – 69% with non-GAAP business solutions gross margin to exceed 30% for the full year.

We expect non-GAAP operating expenses to be 51 – 52% of revenue for the full year, with non-GAAP sales and marketing to remain similar to 2023 at roughly 23 – 24% of revenue.

We believe we are ahead of our plan to achieve GAAP profitability. We expect GAAP operating profit in 2024 as well as a second consecutive year of GAAP net income.

We expect to generate free cash flow, excluding headquarters costs, of $370 – $400 million, or 21 – 23% of revenue in 2024.

As we continue to responsibly manage dilution, we expect stock-based compensation expenses to decline as a percent of revenue for the third consecutive year to approximately 13% of revenue in 2024, in line with our three-year plan.

We expect capital expenditures, excluding costs associated with our new headquarters build out, of approximately $7 – $10 million in 2024. We will incur the final costs for our new headquarters in the first half of the year and anticipate them to be roughly $8 – $10 million.

Conference Call and Webcast Information

Wix will host a conference call to discuss the results at 8:30 a.m. ET on Wednesday, February 21, 2024. To participate on the live call, analysts and investors should register and join at https://register.vevent.com/register/BIefc01e3fb58f409e9a256960e4651d01. A replay of the call will be available through February 20, 2025 via the registration link.

Wix will also offer a live and archived webcast of the conference call, accessible from the “Investor Relations” section of the Company’s website at https://investors.wix.com/.

About Wix.com Ltd.

Wix is the leading SaaS website builder platform globally3 to create, manage and grow a digital presence. What began as a website builder in 2006 is now a complete platform providing users with enterprise-grade performance, security and a reliable infrastructure. Offering a wide range of commerce and business solutions, advanced SEO and marketing tools, Wix enables users to take full ownership of their brand, their data and their relationships with their customers. With a focus on continuous innovation and delivery of new features and products, anyone can build a powerful digital presence to fulfill their dreams on Wix.

For more about Wix, please visit our Press Room

Investor Relations:

ir@wix.com

Media Relations:

pr@wix.com

Non-GAAP Financial Measures and Key Operating Metrics

To supplement its consolidated financial statements, which are prepared and presented in accordance with U.S. GAAP, Wix uses the following non-GAAP financial measures: bookings, cumulative cohort bookings, bookings on a constant currency basis, revenue on a constant currency basis, non-GAAP gross margin, non-GAAP operating income (loss), non-GAAP operating margin, non-GAAP net income (loss), non-GAAP net income (loss) per share, free cash flow, free cash flow, as adjusted, free cash flow margins, free cash flow per share, non-GAAP R&D expenses, non-GAAP S&M expenses, non-GAAP G&A expenses, non-GAAP operating expenses, non-GAAP cost of revenue expense, non-GAAP financial expense, non-GAAP tax expense (collectively the “Non-GAAP financial measures”). Measures presented on a constant currency or foreign exchange neutral basis have been adjusted to exclude the effect of y/y changes in foreign currency exchange rate fluctuations. Bookings is a non-GAAP financial measure calculated by adding the change in deferred revenues and the change in unbilled contractual obligations for a particular period to revenues for the same period. Bookings include cash receipts for premium subscriptions purchased by users as well as cash we collect from business solutions, as well as payments due to us under the terms of contractual agreements for which we may have not yet received payment. Cash receipts for premium subscriptions are deferred and recognized as revenues over the terms of the subscriptions. Cash receipts for payments and the majority of the additional products and services (other than Google Workspace) are recognized as revenues upon receipt. Committed payments are recognized as revenue as we fulfill our obligation under the terms of the contractual agreement. Bookings and Creative Subscriptions Bookings are also presented on a further non-GAAP basis by excluding, in each case, bookings associated with long term B2B partnership agreements. Non-GAAP gross margin represents gross profit calculated in accordance with GAAP as adjusted for the impact of share-based compensation expense, acquisition-related expenses and amortization, divided by revenue. Non-GAAP operating income (loss) represents operating income (loss) calculated in accordance with GAAP as adjusted for the impact of share-based compensation expense, amortization, acquisition-related expenses and sales tax expense accrual and other G&A expenses (income). Non-GAAP net income (loss) represents net loss calculated in accordance with GAAP as adjusted for the impact of share-based compensation expense, amortization, sales tax expense accrual and other G&A expenses (income), amortization of debt discount and debt issuance costs and acquisition-related expenses and non-operating foreign exchange expenses (income). Non-GAAP net income (loss) per share represents non-GAAP net income (loss) divided by the weighted average number of shares used in computing GAAP loss per share. Free cash flow represents net cash provided by (used in) operating activities less capital expenditures. Free cash flow, as adjusted, represents free cash flow further adjusted to exclude one-time cash restructuring charges and the capital expenditures and other expenses associated with the buildout of our new corporate headquarters. Free cash flow margins represent free cash flow divided by revenue. Free cash flow per share represents free cash flow, as adjusted, divided by total outstanding shares on a fully diluted basis. Non-GAAP cost of revenue represents cost of revenue calculated in accordance with GAAP as adjusted for the impact of share-based compensation expense, acquisition-related expenses and amortization. Non-GAAP R&D expenses represent R&D expenses calculated in accordance with GAAP as adjusted for the impact of share-based compensation expense, acquisition-related expenses and amortization. Non-GAAP S&M expenses represent S&M expenses calculated in accordance with GAAP as adjusted for the impact of share-based compensation expense, acquisition-related expenses and amortization. Non-GAAP G&A expenses represent G&A expenses calculated in accordance with GAAP as adjusted for the impact of share-based compensation expense, acquisition-related expenses and amortization. Non-GAAP operating expenses represent operating expenses calculated in accordance with GAAP as adjusted for the impact of share-based compensation expense, acquisition-related expenses and amortization. Non-GAAP financial expense represents financial expense calculated in accordance with GAAP as adjusted for unrealized gains of equity investments, amortization of debt discount and debt issuance costs and non-operating foreign exchange expenses. Non-GAAP tax expense represents tax expense calculated in accordance with GAAP as adjusted for provisions for income tax effects related to non-GAAP adjustments.

The presentation of this financial information is not intended to be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP. The Company uses these non-GAAP financial measures for financial and operational decision making and as a means to evaluate period-to-period comparisons. The Company believes that these measures provide useful information about operating results, enhance the overall understanding of past financial performance and future prospects, and allow for greater transparency with respect to key metrics used by management in its financial and operational decision making.

For more information on the non-GAAP financial measures, please see the reconciliation tables provided below. The accompanying tables have more details on the GAAP financial measures that are most directly comparable to non-GAAP financial measures and the related reconciliations between these financial measures. The Company is unable to provide reconciliations of free cash flow, free cash flow, as adjusted, cumulative cohort bookings, non-GAAP gross margin, and non-GAAP tax expense to their most directly comparable GAAP financial measures on a forward-looking basis without unreasonable effort because items that impact those GAAP financial measures are out of the Company’s control and/or cannot be reasonably predicted. Such information may have a significant, and potentially unpredictable, impact on our future financial results.

Wix also uses Creative Subscriptions Annualized Recurring Revenue (ARR) as a key operating metric. Creative Subscriptions ARR is calculated as Creative Subscriptions Monthly Recurring Revenue (MRR) multiplied by 12. Creative Subscriptions MRR is calculated as the total of (i) all Creative Subscriptions in effect on the last day of the period, multiplied by the monthly revenue of such Creative Subscriptions, other than domain registrations; (ii) the average revenue per month from domain registrations in effect on the last day of the period; and (iii) monthly revenue from other partnership agreements and enterprise partners.

Forward-Looking Statements

This document contains forward-looking statements, within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties. Such forward-looking statements may include projections regarding our future performance, including, but not limited to revenue, bookings and free cash flow, and may be identified by words like “anticipate,” “assume,” “believe,” “aim,” “forecast,” “indication,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “outlook,” “future,” “will,” “seek” and similar terms or phrases. The forward-looking statements contained in this document, including the quarterly and annual guidance, are based on management’s current expectations, which are subject to uncertainty, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Important factors that could cause our actual results to differ materially from those indicated in the forward-looking statements include, among others, our expectation that we will be able to attract and retain registered users and generate new premium subscriptions, in particular as we continuously adjust our marketing strategy and as the macro-economic environment continues to be turbulent; our expectation that we will be able to increase the average revenue we derive per premium subscription, including through our partners; our expectations related to our ability to develop relevant and required products using Artificial Intelligence (“AI”), the regulatory environment impacting AI-related activities including privacy and intellectual property aspects, and potential competition from third-party AI tools which may impact our business; our expectation that new products and developments, as well as third-party products we will offer in the future within our platform, will receive customer acceptance and satisfaction, including the growth in market adoption of our online commerce solutions; our assumption that historical user behavior can be extrapolated to predict future user behavior, in particular during the current turbulent macro-economic environment; our expectation regarding the successful impact of our previously announced Cost-Efficiency Plan and other cost saving measures we may take in the future; our prediction of the future revenues and/or bookings generated by our user cohorts and our ability to maintain and increase such revenue growth, as well as our ability to generate and maintain elevated levels of free cash flow and profitability; our expectation to maintain and enhance our brand and reputation; our expectation that we will effectively execute our initiatives to improve our user support function through our Customer Care team, and that our recent downsizing of our Customer Care team will not affect our ability to continue attracting registered users and increase user retention, user engagement and sales; our plans to successfully localize our products, including by making our product, support and communication channels available in additional languages and to expand our payment infrastructure to transact in additional local currencies and accept additional payment methods; our expectation regarding the impact of fluctuations in foreign currency exchange rates, interest rates, potential illiquidity of banking systems, and other recessionary trends on our business; our expectations relating to the repurchase of our ordinary shares and/or Convertible Notes pursuant to our repurchase program; our expectation that we will effectively manage our infrastructure; our expectations regarding the outcome of any regulatory investigation or litigation, including class actions; our expectations regarding future changes in our cost of revenues and our operating expenses on an absolute basis and as a percentage of our revenues, as well as our ability to achieve and maintain profitability; our expectations regarding changes in the global, national, regional or local economic, business, competitive, market, and regulatory landscape, including as a result of Israel-Hamas war and/or the Ukraine–Russia war and any escalations thereof; our planned level of capital expenditures and our belief that our existing cash and cash from operations will be sufficient to fund our operations for at least the next 12 months and for the foreseeable future; our expectations with respect to the integration and performance of acquisitions; our ability to attract and retain qualified employees and key personnel; and our expectations about entering into new markets and attracting new customer demographics, including our ability to successfully attract new partners large enterprise-level users and to grow our activities with these customer types as anticipated and other factors discussed under the heading “Risk Factors” in the Company’s annual report on Form 20-F for the year ended December 31, 2022 filed with the Securities and Exchange Commission on March 30, 2023. The preceding list is not intended to be an exhaustive list of all of our forward-looking statements. Any forward-looking statement made by us in this press release speaks only as of the date hereof. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. We undertake no obligation to publicly update any forward-looking statements, whether as a result of new information, future developments or otherwise.

Wix.com Ltd.

CONSOLIDATED STATEMENTS OF OPERATIONS – GAAP

(In thousands, except loss per share data)

Three Months Ended

Year Ended

December 31,

2023

2022

2023

2022

(unaudited)

Revenues

Creative Subscriptions

$ 296,154

$ 265,268

$ 1,152,007

$ 1,039,479

Business Solutions

107,617

89,772

409,658

348,187

403,771

355,040

1,561,665

1,387,666

Cost of Revenues

Creative Subscriptions

52,794

58,427

215,515

251,587

Business Solutions

73,319

70,337

297,013

274,640

126,113

128,764

512,528

526,227

Gross Profit

277,658

226,276

1,049,137

861,439

Operating expenses:

Research and development

125,743

120,994

481,293

482,861

Selling and marketing

103,642

97,944

399,577

492,886

General and administrative

43,401

39,941

160,033

171,045

Impairment, restructuring and other costs

3,103

–

32,614

–

Total operating expenses

275,889

258,879

1,073,517

1,146,792

Operating income (loss)

1,769

(32,603)

(24,380)

(285,353)

Financial income (expenses), net

6,461

(13,256)

62,474

(183,513)

Other income (expenses)

788

(255)

1,023

Income (loss) before taxes on income

8,274

(45,071)

37,839

(467,843)

Income tax expenses (benefit)

5,320

(6,096)

4,702

(42,980)

Net income (loss)

$ 2,954

$ (38,975)

$ 33,137

$ (424,863)

Basic net income (loss) per share

$ 0.05

$ (0.67)

$ 0.58

$ (7.33)

Basic weighted-average shares used to compute net income (loss) per share

57,317,815

58,189,246

56,829,962

57,993,364

Diluted net income (loss) per share

$ 0.05

$ (0.67)

$ 0.57

$ (7.33)

Diluted weighted-average shares used to compute net income (loss) per share

59,085,757

58,189,246

58,408,331

57,993,364

Wix.com Ltd.

CONDENSED CONSOLIDATED BALANCE SHEETS

(In thousands)

Period ended

December 31,

2023

2022

Assets

(unaudited)

(audited)

Current Assets:

Cash and cash equivalents

$ 609,622

$ 244,686

Short-term deposits

212,709

526,328

Restricted deposits

2,125

13,669

Marketable securities

140,563

292,449

Trade receivables

57,394

42,086

Prepaid expenses and other current assets

57,423

28,519

Total current assets

1,079,836

1,147,737

Long-Term Assets:

Prepaid expenses and other long-term assets

25,809

23,027

Property and equipment, net

136,928

108,738

Marketable securities

64,806

194,964

Intangible assets and goodwill, net

77,339

83,293

Operating lease right-of-use assets

420,562

200,608

Total long-term assets

725,444

610,630

Total assets

$ 1,805,280

$ 1,758,367

Liabilities and Shareholders’ Deficiency

Current Liabilities:

Trade payables

$ 39,449

$ 96,071

Employees and payroll accruals

56,581

86,113

Deferred revenues

592,608

529,205

Current portion of convertible notes, net

–

361,621

Accrued expenses and other current liabilities

76,556

88,194

Operating lease liabilities

24,981

29,268

Total current liabilities

790,175

1,190,472

Long Term Liabilities:

Long-term deferred revenues

83,384

70,594

Long-term deferred tax liability

7,167

14,902

Convertible notes, net

569,714

566,566

Other long-term liabilities

7,699

6,093

Long-term operating lease liabilities

401,626

172,982

Total long-term liabilities

1,069,590

831,137

Total liabilities

1,859,765

2,021,609

Shareholders’ Deficiency

Ordinary shares

106

108

Additional paid-in capital

1,539,952

1,274,968

Treasury Stock

(558,871)

(431,862)

Accumulated other comprehensive loss

4,192

(33,455)

Accumulated deficit

(1,039,864)

(1,073,001)

Total shareholders’ deficiency

(54,485)

(263,242)

Total liabilities and shareholders’ deficiency

$ 1,805,280

$ 1,758,367

Wix.com Ltd.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(In thousands)

Three Months Ended

Year Ended

December 31,

2023

2022

2023

2022

(unaudited)

OPERATING ACTIVITIES:

Net income (loss)

2,954

$ (38,975)

33,137

$ (424,863)

Adjustments to reconcile net loss to net cash provided by operating activities:

Depreciation

6,725

5,209

20,492

16,611

Amortization

1,489

1,511

5,955

6,246

Share based compensation expenses

58,195

59,917

224,625

236,836

Amortization of debt discount and debt issuance costs

789

1,305

4,194

5,213

Changes in accrued interest and exchange rate on short term and long term deposits

(586)

(93)

(2,415)

(86)

Non-cash impairment, restructuring and other costs

3,567

–

26,699

–

Amortization of premium and discount and accrued interest on marketable securities, net

4,237

2,447

8,346

6,252

Remeasurement loss (gain) on Marketable equity

(10,296)

3,955

(30,608)

200,338

Changes in deferred income taxes, net

(2,035)

(11,997)

(8,784)

(57,865)

Changes in operating lease right-of-use assets

1,492

18,724

21,549

45,440

Changes in operating lease liabilities

11,517

(11,204)

(36,517)

(45,051)

Increase in trade receivables

(2,794)

(6,290)

(15,308)

(11,719)

Decrease (increase) in prepaid expenses and other current and long-term assets

(1,123)

26,713

(10,383)

(5,912)

Increase (decrease) in trade payables

16,263

(22,667)

(51,312)

(18,514)

Increase (decrease) in employees and payroll accruals

(8,307)

17,506

(29,532)

2,862

Increase in short term and long term deferred revenues

2,788

4,081

76,193

55,387

Increase in accrued expenses and other current liabilities

5,505

3,092

11,915

25,977

Net cash provided by operating activities

90,380

53,234

248,246

37,152

INVESTING ACTIVITIES:

Proceeds from short-term deposits and restricted deposits

131,754

308,379

625,495

644,809

Investment in short-term deposits and restricted deposits

(99,725)

(317,869)

(297,917)

(766,021)

Investment in marketable securities

(837)

–

(4,962)

(202,611)

Proceeds from marketable securities

31,920

98,244

249,190

290,113

Purchase of property and equipment and lease prepayment

(9,582)

(14,434)

(63,021)

(68,554)

Capitalization of internal use of software

(408)

(215)

(3,028)

(2,110)

Investment in other assets

–

(111)

(580)

Proceeds from sale of equity securities

19,203

48,403

68,671

51,596

Payment for Businesses acquired, net of acquired cash

–

Purchases of investments in privately held companies

(76)

(40)

(7,603)

(1,300)

Net cash provided by (used in) investing activities

72,249

122,468

566,714

(54,658)

FINANCING ACTIVITIES:

Proceeds from exercise of options and ESPP shares

898

917

39,660

42,710

Purchase of treasury stock

(58,698)

(231,873)

(127,017)

(231,873)

Proceeds from issuance of convertible senior notes

–

Repayment of convertible notes

–

(362,667)

–

Payments of debt issuance costs

–

Purchase of capped call

–

Net cash used in financing activities

– 57,800

(230,956)

(450,024)

(189,163)

INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS

104,829

(55,254)

364,936

(206,669)

CASH AND CASH EQUIVALENTS—Beginning of period

504,793

299,940

244,686

451,355

CASH AND CASH EQUIVALENTS—End of period

609,622

$ 244,686

$ 609,622

$ 244,686

Wix.com Ltd.

KEY PERFORMANCE METRICS

(In thousands)

Three Months Ended

Year Ended

December 31,

2023

2022

2023

2022

(unaudited)

Creative Subscriptions

296,154

265,268

1,152,007

1,039,479

Business Solutions

107,617

89,772

409,658

348,187

Total Revenues

$ 403,771

$ 355,040

$ 1,561,665

$ 1,387,666

Creative Subscriptions

283,501

281,766

1,174,776

1,121,411

Business Solutions

111,503

90,047

422,727

350,708

Total Bookings

$ 395,004

$ 371,813

$ 1,597,503

$ 1,472,119

Free Cash Flow

$ 80,390

$ 38,585

$ 182,197

$ (33,512)

Free Cash Flow excluding HQ build out and restructuring costs

$ 90,125

$ 51,990

$ 246,058

$ 32,408

Creative Subscriptions ARR

$ 1,192,814

$ 1,080,824

$ 1,192,814

$ 1,080,824

Wix.com Ltd.

RECONCILIATION OF REVENUES TO BOOKINGS

(In thousands)

Three Months Ended

Year Ended

December 31,

2023

2022

2023

2022

(unaudited)

Revenues

$ 403,771

$ 355,040

$ 1,561,665

$ 1,387,666

Change in deferred revenues

2,788

4,081

76,193

55,387

Change in unbilled contractual obligations

(11,555)

12,692

(40,355)

29,066

Bookings

$ 395,004

$ 371,813

$ 1,597,503

$ 1,472,119

B2B Partnership long-term bookings

–

(12,094)

–

(37,926)

Bookings excluding B2B Partnership long-term bookings

$ 395,004

$ 359,719

$ 1,597,503

$ 1,434,193

10 %

11 %

Three Months Ended

Year Ended

December 31,

2023

2022

2023

2022

(unaudited)

Creative Subscriptions Revenues

$ 296,154

$ 265,268

$ 1,152,007

$ 1,039,479

Change in deferred revenues

(1,098)

3,806

63,124

52,866

Change in unbilled contractual obligations

(11,555)

12,692

(40,355)

29,066

Creative Subscriptions Bookings

$ 283,501

$ 281,766

$ 1,174,776

$ 1,121,411

B2B Partnership long-term bookings

–

(12,094)

–

(37,926)

Creative Subscriptions Bookings excluding B2B Partnership long-term bookings

$ 283,501

$ 269,672

$ 1,174,776

$ 1,083,485

5 %

8 %

Three Months Ended

Year Ended

December 31,

2023

2022

2023

2022

(unaudited)

Business Solutions Revenues

$ 107,617

$ 89,772

$ 409,658

$ 348,187

Change in deferred revenues

3,886

275

13,069

2,521

Business Solutions Bookings

$ 111,503

$ 90,047

$ 422,727

$ 350,708

Wix.com Ltd.

RECONCILIATION OF COHORT BOOKINGS

(In millions)

Year Ended

December 31,

2023

2022

(unaudited)

Q1 Cohort revenues

$ 45

$ 41

Q1 Change in deferred revenues

Q1 Cohort Bookings

$ 60

$ 56

Wix.com Ltd.

RECONCILIATION OF REVENUES AND BOOKINGS EXCLUDING FX IMPACT

(In thousands)

Three Months Ended

December 31,

2023

2022

(unaudited)

Revenues

$ 403,771

$ 355,040

FX impact on Q4/23 using Y/Y rates

(1,732)

–

Revenues excluding FX impact

$ 402,039

$ 355,040

Y/Y growth

13 %

Three Months Ended

December 31,

2023

2022

(unaudited)

Bookings

$ 395,004

$ 371,813

FX impact on Q4/23 using Y/Y rates

(4,325)

–

Bookings excluding FX impact

$ 390,679

$ 371,813

Y/Y growth

5 %

Wix.com Ltd.

TOTAL ADJUSTMENTS GAAP TO NON-GAAP

(In thousands)

Three Months Ended

Year Ended

December 31,

2023

2022

2023

2022

(1) Share based compensation expenses:

(unaudited)

Cost of revenues

$ 3,675

$ 4,607

$ 15,013

$ 17,811

Research and development

$ 31,982

32,335

119,482

120,580

Selling and marketing

$ 11,232

9,559

41,277

38,714

General and administrative

$ 11,306

13,416

48,853

59,731

Total share based compensation expenses

58,195

59,917

224,625

236,836

(2) Amortization

1,489

1,511

5,955

6,246

(3) Acquisition related expenses

1,656

472

5,127

(4) Amortization of debt discount and debt issuance costs

789

1,305

4,194

5,213

(5) Impairment, restructuring and other costs

3,103

–

32,614

–

(6) Sales tax accrual and other G&A expenses (income)

137

219

748

763

(7) Unrealized loss (gain) on equity and other investments

(10,296)

3,955

(30,608)

200,338

(8) Non-operating foreign exchange expenses (income)

15,287

6,220

1,499

6,403

(9) Provision for income tax effects related to non-GAAP adjustments

2,368

(176)

(4,337)

(46,078)

Total adjustments of GAAP to Non GAAP

$ 71,081

$ 74,607

$ 235,162

$ 414,848

Wix.com Ltd.

RECONCILIATION OF GAAP TO NON-GAAP GROSS PROFIT

(In thousands)

Three Months Ended

Year Ended

December 31,

2023

2022

2023

2022

(unaudited)

Gross Profit

$ 277,658

$ 226,276

$ 1,049,137

$ 861,439

Share based compensation expenses

3,675

4,607

15,013

17,811

Acquisition related expenses

–

229

140

Amortization

667

689

2,669

2,968

Non GAAP Gross Profit

282,005

231,572

1,067,048

882,358

Non GAAP Gross margin

70 %

65 %

68 %

64 %

Three Months Ended

Year Ended

December 31,

2023

2022

2023

2022

(unaudited)

Gross Profit – Creative Subscriptions

$ 243,360

$ 206,841

$ 936,492

$ 787,892

Share based compensation expenses

2,695

3,437

11,081

13,933

Non GAAP Gross Profit – Creative Subscriptions

246,055

210,278

947,573

801,825

Non GAAP Gross margin – Creative Subscriptions

83 %

79 %

82 %

77 %

Three Months Ended

Year Ended

December 31,

2023

2022

2023

2022

(unaudited)

Gross Profit – Business Solutions

$ 34,298

$ 19,435

$ 112,645

$ 73,547

Share based compensation expenses

980

1,170

3,932

3,878

Acquisition related expenses

–

229

140

Amortization

667

689

2,669

2,968

Non GAAP Gross Profit – Business Solutions

35,950

21,294

119,475

80,533

Non GAAP Gross margin – Business Solutions

33 %

24 %

29 %

23 %

Wix.com Ltd.

RECONCILIATION OF OPERATING INCOME (LOSS) TO NON-GAAP OPERATING INCOME (LOSS)

(In thousands)

Three Months Ended

Year Ended

December 31,

2023

2022

2023

2022

(unaudited)

Operating income (loss)

$ 1,769

$ (32,603)

$ (24,380)

$ (285,353)

Adjustments:

Share based compensation expenses

58,195

59,917

224,625

236,836

Amortization

1,489

1,511

5,955

6,246

Impairment, restructuring and other charges

3,103

–

32,614

–

Sales tax accrual and other G&A expenses

137

219

748

763

Acquisition related expenses

1,656

472

5,127

Total adjustments

$ 62,933

$ 63,303

$ 264,414

$ 248,972

Non GAAP operating income (loss)

$ 64,702

$ 30,700

$ 240,034

$ (36,381)

Non GAAP operating margin

16 %

9 %

15 %

-3 %

Wix.com Ltd.

RECONCILIATION OF NET INCOME (LOSS) TO NON-GAAP NET INCOME (LOSS) AND NON-GAAP NET INCOME (LOSS) PER SHARE

(In thousands, except per share data)

Three Months Ended

Year Ended

December 31,

2023

2022

2023

2022

(unaudited)

Net income (loss)

$ 2,954

$ (38,975)

$ 33,137

$ (424,863)

Share based compensation expenses and other Non GAAP adjustments

71,081

74,607

235,162

414,848

Non-GAAP net income (loss)

$ 74,035

$ 35,632

$ 268,299

$ (10,015)

Basic Non GAAP net income (loss) per share

$ 1.29

$ 0.61

$ 4.72

$ (0.17)

Weighted average shares used in computing basic Non GAAP net income (loss) per share

57,317,815

58,189,246

56,829,962

57,993,364

Diluted Non GAAP net income (loss) per share

$ 1.22

$ 0.61

$ 4.39

$ (0.17)

Weighted average shares used in computing diluted Non GAAP net income (loss) per share

60,512,505

58,189,246

61,106,462

57,993,364

Wix.com Ltd.

RECONCILIATION OF NET CASH PROVIDED BY OPERATING ACTIVITIES TO FREE CASH FLOW

(In thousands)

Three Months Ended

Year Ended

December 31,

2023

2022

2023

2022

(unaudited)

Net cash provided by operating activities

$ 90,380

$ 53,234

$ 248,246

$ 37,152

Capital expenditures, net

(9,990)

(14,649)

(66,049)

(70,664)

Free Cash Flow

$ 80,390

$ 38,585

$ 182,197

$ (33,512)

Restructuring and other costs

1,411

–

5,915

–

Capex related to HQ build out

8,324

13,405

57,946

65,920

Free Cash Flow excluding HQ build out and restructuring costs

$ 90,125

$ 51,990

$ 246,058

$ 32,408

Wix.com Ltd.

RECONCILIATION OF BASIC WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING AND THE DILUTED
WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING

Three Months Ended

Year Ended

December 31,

2023

2022

2023

2022

(unaudited)

Basic weighted-average shares used to compute net income (loss) per share

57,317,815

58,189,246

56,829,962

57,993,364

Effect of dilutive securities (included in the effect of dilutive securities is the assumed conversion of
employee stock options, employee RSUs and the Notes)

1,767,942

–

1,578,369

–

Diluted weighted-average shares used to compute net income (loss) per share

59,085,757

58,189,246

58,408,331

57,993,364

The following items have been excluded from the diluted weighted average number of shares outstanding
because they are anti-dilutive:

Stock options

2,245,872

4,332,022

2,245,872

4,332,022

Restricted share units

818,288

3,123,019

818,288

3,123,019

Convertible Notes (if-converted)

1,426,728

3,969,514

1,426,728

3,969,514

63,576,645

69,613,801

62,899,219

69,417,919

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SOURCE Wix.com Ltd.

Technology

LG INSTAVIEW™ REFRIGERATOR SURPASSES 5.3 MILLION IN GLOBAL SALES

Published

51 minutes ago

July 24, 2026

Chosen by Customers Worldwide, LG’s Instaview Refrigerator Innovation Continues to Redefine the Kitchen Experience a Decade After Its Debut

News Summary

LG Electronics’ InstaView™ refrigerator celebrates the 10th anniversary of its 2016 launch by exceeding 5.3 million units in cumulative global sales.LG’s iconic “Knock Twice, See Inside” feature broke convention, offering a blend of user convenience, energy efficiency, and aesthetic value that set a new industry standard.LG InstaView refrigerators continue to gain traction worldwide, leading the refrigerator category in North America while seeing significant growth across Europe, Asia and Latin America.Over the past decade, LG InstaView refrigerator has won numerous prestigious design and innovation awards, including Red Dot, iF, IDEA and CES.

SEOUL, South Korea, July 24, 2026 /PRNewswire/ — LG Electronics’ (LG) InstaView™ refrigerator, which allows users to see inside without opening the door, has reached a major milestone on its 10th anniversary, surpassing 5.3 million units in cumulative global sales since its 2016 launch.

Trusted by Consumers Around the World

Since launching the LG InstaView refrigerator in 2016, LG has sold a remarkable 5.3 million units – equivalent to selling roughly one unit every minute.

LG InstaView refrigerator has seen strong customer demand globally, with North America representing its strongest market and accounting for about 30 percent of cumulative sales to date. In Europe, InstaView refrigerator has also been well received by consumers who place high value on energy efficiency, sustainability and food preservation performance. Sales are also steadily rising in Asia and Latin America, driven by growing demand for premium appliances.

An Innovation That Redefined the Refrigerator

InstaView redefined how consumers interact with their refrigerators by allowing them to see inside without opening the door. This feature allows users to check the fridge’s contents without opening the door and helps reduce unnecessary cold-air loss associated with frequent door opening. Over the past decade, its innovation has been recognized by international media and honored with numerous accolades from major global design and innovation awards, including the Red Dot Design Award, iF Design Award, IDEA, and the CES Innovation Award.

From Functional Benefit to Lifestyle Value

LG’s analysis of global customer reviews shows that consumer appreciation for the InstaView refrigerator and its eponymous feature has evolved over time, shifting from an initial focus on the functional benefits to the overall sense of satisfaction that it provides. While early feedback centered on the convenience of knocking twice to see inside and the reduction of cold air loss, more recent reviews increasingly highlight InstaView’s refined design and the enjoyment it brings to everyday kitchen use.

“For a decade now, LG InstaView refrigerator has stood as a testament to our leadership in the home appliance market and to our deep understanding of customers’ lifestyles,” said Baek Seung-tae, president of the LG Home Appliance Solution Company. “This milestone reflects our success in creating not just an innovative feature, but a more convenient and enjoyable kitchen experience. Building on our advanced AI, refrigeration and food preservation technologies, we will continue to lead the evolution of the kitchen experience with customer-centric innovations.”

About LG Electronics Home Appliance Solution Company

The LG Home Appliance Solution Company (HS) is a global leader in home appliances and AI home solutions. By leveraging industry-leading core technologies, the HS Company is committed to enhancing consumers’ quality of life and promoting sustainability. The company develops thoughtfully designed kitchen and living appliance solutions and has recently integrated LG’s Robot Business Division to incorporate advanced robot technologies into its home solutions. Together, these products offer enhanced convenience, exceptional performance, efficient operation and sustainable lifestyle solutions. For more news on LG, visit www.LG.com/global/newsroom/.

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SOURCE LG Electronics

Technology

Alpha Ladder Hosts Globalization Forum, Debuts Proprietary AI Platform AgentX

Published

51 minutes ago

July 24, 2026

HONG KONG, July 24, 2026 /PRNewswire/ — On 9 July, Alpha Ladder hosted a tech globalization forum at LEAP East 2026 in Hong Kong under the theme “Connecting Industrial Innovation, Unlocking New Global Growth Opportunities” — and used the occasion to officially unveil AgentX, its proprietary AI‑powered solution.

The session brought together more than a dozen distinguished speakers from sectors spanning artificial intelligence, embodied intelligence, biotechnology, fintech, enterprise services, and legal — all of whom shared first‑hand observations and practical experience navigating global expansion.

Paul Pang, Head of AI at Alpha Ladder, unveiled the Group’s new financial AI agent, AgentX, during the product launch. He observed that the rapid proliferation of AI agents has rendered traditional cross‑border financial delivery models ill‑suited to the evolving AI industry landscape. Conventional local plugin integrations carry significant risks, including code tampering, data leakage, and compromised asset security.

He also noted that expanding enterprises frequently face a persistent disconnect between their business tools and financial pipelines. Core operational systems — covering expense reimbursement, payroll, and account reconciliation — often operate in silos, isolated from cross‑border payment and treasury management frameworks. The resulting reliance on manual workflows leads to chronic inefficiency and inflated operating costs.

To tackle these industry pain points head‑on, Alpha Ladder introduced AgentX — a purpose‑built platform grounded in its proprietary AI‑native architecture. Powered by the Core Finance skill suite and the standardised MCP protocol, AgentX is compatible with all major large language models and enables AI agents to directly access Alpha Ladder’s full spectrum of cross‑border financial services.

The platform is further equipped with VisionX, an intelligent risk control engine that performs cross‑verification across multiple data sources to significantly sharpen the detection of on‑chain risks. A built‑in regulatory sandbox ensures full segregation of transactions and data within compliance boundaries, effectively closing critical security gaps that have long plagued the industry.

Beyond its core risk and compliance capabilities, AgentX offers extensive ecosystem adaptability, enabling rapid integration with vertical use cases such as travel reimbursement, global payroll, and asset management — creating a unified, closed‑loop framework that bridges business operations and finance. Through its open ecosystem model, AgentX empowers small and mid‑sized enterprises expanding globally by tearing down the silos between operational workflows and cross‑border financial services. In doing so, it delivers one‑stop, intelligent cross‑border financial services and drives comprehensive AI‑driven transformation across globalising industries.

Yao Yuan, Vice President of AgiBot for MENA, Turkey, and Asia Pacific, remarked that 2026 marks the year AgiBot transitions from R&D to commercial deployment. Having spent the previous three years honing its products and technology while consolidating its position in the domestic market, the company is now scaling up commercial operations and accelerating its global expansion.

He articulated three core pillars underpinning AgiBot’s global strategy. First, the company is moving to seize the critical window for mass industrial adoption as the embodied intelligence sector enters a new growth cycle. Second, humanoid robots are emerging as a key enabler of industrial upgrading and national digital transformation strategies across economies. Third, overseas deployment, data accumulation, and localized delivery are creating a valuable feedback loop — one that feeds back into domestic R&D and forms a closed loop connecting global technology development with commercial execution.

Luo Yi, General Manager of 51Aes South China (a subsidiary of 51World), shared that the company was officially listed on the Hong Kong Stock Exchange on 30 December 2025 under the ticker 6651.HK. Guided by its vision to digitally replicate the Earth’s 510 million square kilometres, 51World is committed to building a seamless bridge between the digital and physical worlds.

As the industry enters a new era of Physical AI, physically accurate digital simulation environments have become a fundamental prerequisite for large‑scale training of embodied intelligent systems. Leveraging three core pillars — global spatial foundation models, simulation training platforms, and synthetic data pipelines — the company has built a complete, closed-loop technology system. Its commercial portfolio comprises three flagship offerings: the 51Aes digital twin platform, the 51Sim synthetic data and simulation platform, and the 51Earth digital earth platform.

As the core engine powering Physical AI, 51Sim delivers high‑fidelity simulation training environments and robust synthetic data generation capabilities for embodied intelligence sectors including autonomous driving, smart equipment, and robotics. It enables efficient training and validation of AI systems within virtual environments and currently serves over 100 enterprise clients across autonomous mobility and embodied intelligence verticals. Looking ahead, the company will continue to deepen the integration of AI with the real economy, unlocking greater technological value and industrial impact across broader global markets.

Xu Leyang, Co‑founder of Seekee, observed that vast segments of the global population have yet to gain meaningful access to AI. With “everyday users” at the heart of its mission, Seekee is building accessible, consumer‑facing AI products tailored for the world’s two billion ordinary people.

The team has strategically focused on Latin America — an underserved blue‑ocean market largely overlooked by major tech players. Few leading global large language models have dedicated meaningful R&D or localisation efforts to Spanish and Portuguese, the region’s dominant languages. By capitalising on the region’s distinctive linguistic landscape, local user behaviour patterns, and a proprietary repository of region‑specific language data amassed over time, Seekee has built a competitive moat that is difficult to replicate.

According to Sensor Tower, a mobile analytics platform, Seekee ranked eighth globally in the 2025 generative AI app download charts. Within Latin America, its brand recognition is on par with ChatGPT. Launched just over a year ago, the platform has already amassed tens of millions of monthly active users and demonstrated strong user retention.

Wu Xin, Partner and Global Head of AI Applications at BorderX Lab, delivered a presentation themed “Power of Agent Plus.” Drawing on real‑world deployments within the fashion and luxury sectors, he explained that AI agents are fundamentally reshaping traditional cross‑border industries and unlocking significant efficiency gains across the entire value chain.

E‑commerce, he noted, is undergoing a paradigm shift. Competition has moved beyond capturing user attention to precisely identifying consumer intent, with AI agents emerging as a critical instrument for surfacing latent global consumption demand. Powered by proprietary technology and data infrastructure, BorderX Lab has built a global consumer network that is helping redefine how Chinese cross‑border consumer tech reaches the world.

He further observed that agent‑enabled payments will form the bedrock of agent‑driven e‑commerce, and expressed optimism about jointly exploring blue‑ocean opportunities with Alpha Ladder.

Yang Mingyuan, Senior Investment & Financing Manager at QCraft, observed that among the broader Physical AI landscape, autonomous driving stands out as the first segment to achieve mass production at scale, sustainable commercial profitability, and rapid real‑world deployment.

The company’s core competitive advantage lies in its unified, self‑developed technical foundation — one that underpins both its L2+ advanced driver assistance systems and its multi‑scenario L4 autonomous driving capabilities. This homologous architecture also serves as a strategic springboard for QCraft’s broader push into general Physical AI. Its fully in‑house toolchain and data platform form a formidable competitive moat, while the company’s “Autonomous Driving Super Factory” system standardises the entire model training and simulation testing lifecycle — covering the full data pipeline to enable continuous, high‑velocity iteration and optimisation of its algorithm models.

He Liang, Chief Financial Officer of Yidianyun, shared that the company — a leading domestic provider of office IT infrastructure — is now pivoting to become an office AI infrastructure enabler. Its mission is to lower the barrier to AI compute access for enterprises through remanufacturing technology and subscription‑based models.

Yidianyun has built a four‑tier business framework that underpins its cost and service advantages, with a strategic focus on edge‑side AI hardware across AI PCs, AI workstations, and AI servers. He noted that direct procurement of AI hardware entails substantial one‑off capital expenditure for small and medium‑sized enterprises. Subscription models, by contrast, significantly ease funding pressure and hedge against upfront investment risk — a key factor driving the rapid growth of its proprietary AI workstation business.

For overseas expansion, Yidianyun plans to launch pilot cross‑border operations from Hong Kong as its initial hub, with the potential to extend its reach to additional international markets in due course.

Liu Chenxin, Assistant to the Director of the National Institute of Biological Sciences, Beijing (NIBS), shared insights at the forum. With a strong track record in research commercialisation, NIBS has incubated a number of benchmark biopharma companies including Huahui Anjian, Vitaraylon, and Denovo Biotech. Drawing on years of translational experience, the institute has comprehensively upgraded its established commercialisation framework and officially launched BISON — a new innovation incubation hub designed to tackle the persistent high‑risk challenges inherent in biopharmaceutical investment through a unique translational model and commercial logic.

Unlike conventional technology‑driven incubation models, BISON places market demand at the core of its approach. It partners with leading tertiary hospitals to identify clinical pain points at the front end, while aligning with pharmaceutical companies at the back end to reverse‑engineer original drug pipelines based on industry needs. Looking ahead, BISON will continue to leverage its deep foundation in original research to incubate high‑value biopharmaceutical innovations, helping domestically developed first‑in‑class drugs reach global markets and supporting the international expansion of China’s biotech industry.

Lei Zhicheng, Deputy General Manager of Mango Finance Limited, observed that the institutional advantages of Hong Kong’s capital market, combined with deepening economic and trade ties with the Middle East, have opened up new channels for Chinese tech innovators to access global capital. Closely aligned with policy directions and enterprises’ internationalisation ambitions, Mango Finance is focused on listing incubation and cross‑border expansion services, fostering service synergies through close collaboration with a diverse network of professional partners.

As an established securities firm, the company is steadily expanding its digital finance footprint in step with regulatory developments. Lei expressed keen interest in establishing system‑level connectivity with Alpha Ladder, and leveraging AI and cutting‑edge digital technologies to accelerate the digital transformation and upgrade of traditional securities operations.

Kevin Chen, CEO of Boost Bank and Founder of Aicapay, observed that as the Belt and Road Initiative continues to gain momentum, emerging markets across Africa, the Middle East, and Latin America are undergoing rapid economic and industrial transformation. Combined with surging outbound investment and cross‑border trade from China, the cross‑border finance sector in these markets presents enormous growth potential.

Boost Bank specialises in building localised compliance frameworks. Backed by multi‑jurisdictional licences, on‑the‑ground risk control teams, and deep‑rooted local financial resources, the company has established a fully integrated, end‑to‑end cross‑border capital loop — delivering tailored, client‑specific solutions for enterprises expanding globally. Chen underscored the strong strategic complementarity between the two firms and signalled Boost Bank’s intent to join forces with Alpha Ladder in building a fintech service ecosystem that empowers Chinese companies to seize opportunities in emerging markets worldwide.

Yin Li, Partner at Shanghai Landi Law Firm, shared that the firm established its first overseas offices a decade ago, making it one of China’s early legal practices to focus on cross‑border corporate services. It provides Chinese enterprises with full‑spectrum legal support spanning overseas investment filing, intellectual property protection, and cross‑border capital repatriation.

Against a backdrop where overseas expansion has evolved from conventional trade to high‑value industrial globalisation — marked by the coordinated export of technology, production capacity, and capital — and given the strong alignment between Middle Eastern development agendas and the Belt and Road Initiative, Chinese enterprises pursuing comprehensive deployment in the region have generated robust demand for localised legal services. This, he noted, is the key driver behind the firm’s intensified focus on the Middle East market.

Yin emphasised that proactive compliance is the core moat for enterprises going global. Businesses must conduct thorough assessments of local regulatory and legal frameworks before entering overseas markets. Leveraging its “on‑the‑ground global presence” model — with coordinated teams across China and multiple international jurisdictions — the firm conducts advance due diligence to identify and mitigate legal risks inherent in cross‑border operations.

About Alpha Ladder:

Alpha Ladder is a Singapore-regulated fintech group focused on developing a world-leading, one-stop, fully compliant financial infrastructure — delivering secure, efficient cross-border financial solutions for enterprises going global. The Group holds core licences issued by the Monetary Authority of Singapore (MAS), covering securities, futures, fund management, custody, RWA asset exchange, and Major Payment Institution (MPI). We also maintain regulatory approvals in Canada, and are actively expanding our footprint across key global financial hubs including Switzerland, Dubai, and Hong Kong, building a globally compliant regulatory network. By leveraging AI to reshape compliance, risk management, and treasury operations, Alpha Ladder empowers enterprises to reduce costs, enhance efficiency, and achieve sustainable global growth.

For more information, please visit our official website: www.alphaladder.hk

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SOURCE Alpha Ladder

Technology

UOB Asset Management Highlights Global Resilience Despite Heightened Uncertainty

Published

51 minutes ago

July 24, 2026

SINGAPORE, July 24, 2026 /PRNewswire/ — UOB Asset Management (UOBAM) has released its 3Q 2026 Quarterly Investment Strategy, highlighting the global economy’s resilience in the face of persistent headwinds, including inflation, tariffs, geopolitical tensions and energy market volatility.

Despite repeated challenges over the past 18 months, economic activity has remained robust. Corporate earnings have held up across major regions, labour markets have remained resilient, and continued investment in artificial intelligence (AI) infrastructure is providing a powerful tailwind for growth.

While uncertainty remains elevated, the global economy’s resilience has reinforced confidence that the current expansion remains durable, even as risks continue to evolve.

On interest rates, UOBAM’s base case is that the US Federal Reserve is more likely to remain on an extended pause than embark on a new rate-hiking cycle. Although inflation remains sticky and recent geopolitical developments have raised upside risks, the firm continues to see evidence of moderating underlying inflation pressures, particularly in housing and wages.

Within equities, UOBAM remains positive on Asia and has upgraded Onshore China to overweight from underweight. Despite strong market gains, Asia continues to trade at a valuation discount to global equities, even as earnings growth has accelerated. UOBAM believes this combination of strong earnings momentum and attractive valuations presents a compelling opportunity for investors. In China, improving industrial profits and continued growth in higher-value sectors have strengthened the investment case for selected areas of the market, particularly those linked to AI, semiconductors, energy infrastructure and advanced manufacturing.

Anthony Raza, Head of UOBAM Multi-Asset Strategy, said, “The key story for investors is that the global economy has repeatedly withstood shocks without derailing growth. Despite a more uncertain backdrop, we continue to see attractive opportunities in Asia, where strong earnings growth is supported by compelling valuations, and we maintain gold as a preferred allocation as investors navigate an increasingly complex environment.”

In its asset allocation strategy, UOBAM remains overweight equities, diversified across fixed income and underweight cash. The firm continues to favour the United States and Asia within equities, while retaining a positive outlook on gold. Supported by strong central bank demand and its role as a safe-haven asset during periods of uncertainty, gold remains an important source of portfolio diversification.

For deeper insights across equities, fixed income, currencies and commodities, read the full 3Q 2026 Investment Strategy: https://uobam.com.sg/qis3q26

About UOB Asset Management

UOB Asset Management Ltd (UOBAM) is a wholly-owned subsidiary of United Overseas Bank Limited. Established in 1986, UOBAM has 40 years of experience in managing collective investment schemes and discretionary funds in Singapore, making us among the largest unit trust managers by assets under management. As of 30 June 2026, we manage 63 unit trusts in Singapore and together with our subsidiaries, oversee S$44.3 billion in clients’ assets.

Headquartered in Singapore, UOBAM has a strong presence across Asia, with business and investment offices in Brunei, Indonesia, Japan, Malaysia, Thailand and Vietnam. Our network includes UOB Islamic Asset Management Sdn Bhd in Malaysia, a joint venture with Ping An Fund Management Company Limited (China) and strategic alliances with partners such as Wellington Management Singapore.

UOBAM is one of the region’s most awarded asset managers, with over 380 awards won. In 2025, we were recognised as the Best Regional Asset Management Company by the Asia Asset Management and previously named Best Asset Management House in Asia – 20 Years in 2023. Our digital innovation has also earned top honours, including Best Digital Wealth Management in Asia[1] and Best Robo Advisory Initiative[2] for four consecutive years as of 2025.

As a leader in sustainable investing, UOBAM was awarded Best application of ESG in ASEAN[3] (2023) and has received multiple sustainability accolades in Indonesia and Thailand. Our artificial intelligence capabilities were also recognised with the Most Innovative Application of Artificial Intelligence (ASEAN) for three consecutive years[4].

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[1] Awarded by Asia Asset Management

[2] Awarded by The Digital Banker for the Global Retail Banking Innovations Award

[3] Awarded by Asia Asset Management

[4] As of 2026, by Asia Asset Management

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SOURCE UOB Asset Management