MoneyHero Ltd. Q3 FY2026 earnings call

• Strategic Shift to Cash Rewards: MoneyHero strategically deployed cash rewards to attract high-intent customers more cost-effectively in Singapore and Hong Kong. Under IFRS, these are deducted from revenue rather than recorded as costs, which lowered reported revenue but improved underlying unit economics and approval quality.
• Operational Efficiency & AI Transformation: Technology costs fell 50% YoY to $500 thousand through platform consolidation and AI-driven automation. Advertising expenses fell 12% YoY to $4 million. Approval rates expanded by 9 percentage points to 48%, indicating a higher-quality funnel despite softer application volumes.
• Product Diversification: There is a strategic pivot away from lower-yielding credit card volume toward higher-margin verticals. Wealth and insurance now represent nearly one-third of revenue, validating the diversification strategy.
• Technology Rollouts: An in-house voucher management system went live in Hong Kong, cutting delivery time by half and eliminating third-party fees. A single engineer built this in under three months, demonstrating the efficiency of their AI-assisted development approach.
• New Initiatives: SingSaver in Singapore launched a new home loan comparison category via an asset-light affiliate partnership with Redbrick, taking zero underwriting risk. In Hong Kong, the online life insurance marketplace is expanding rapidly, with plans to add critical illness and other products in Q3.
• Organic Traffic Strategy: The company is structuring data and content to ensure MoneyHero appears as an authoritative source in traditional SEO and emerging AI search engines, driving high-intent organic traffic into high-margin verticals without additional acquisition costs.

Revenue was $15.8 million in Q2 2026, down 13% year-over-year (YoY). Total transaction value (adding back cash rewards deducted from revenue) remained flat at $20.9 million in Q2 and grew 9% YoY to $41.5 million for the first half (H1).

• Hong Kong: Revenue was $7.8 million in Q2 (flat YoY), representing 50% of total group revenue. H1 revenue grew 15% YoY to $16.3 million. Segment profit surged to $500 thousand in H1 from $100 thousand in the prior year period.
• Singapore: Reported revenue declined 20% YoY to $6.2 million in Q2 due to heavy cash reward deployment. However, on a 6-month basis, total transaction value grew 9% YoY. Segment profit turned positive at $200 thousand in H1, a turnaround from a $500 thousand loss in the prior year period.

Product Verticals:

• Credit Cards: Revenue declined 18% YoY to $8.9 million in Q2. The shift toward cash rewards is concentrated here.
• Wealth & Insurance: Combined revenue was $4.7 million in Q2, representing 30% of total revenue (up from 27% YoY). Insurance revenue declined 7% YoY to $2.4 million, but wealth revenue grew 22% YoY to $4.8 million on an H1 basis. Combined Wealth and Insurance revenue grew 11% YoY to $9.3 million in H1, representing 29% of total revenue.
• Personal Loans & Mortgages: Revenue was up 2% YoY to $2 million in Q2.

• Full Year Adjusted EBITDA: Management remains focused on translating structural efficiencies into continued full-year adjusted EBITDA improvement.
• Second Half Catalysts: Key growth drivers include the launch of the home loan comparison category in Singapore, the rollout of the AI-assisted natural language search experience, the launch of critical illness insurance in Hong Kong in Q3, and the expansion of the rebuilt member dashboard to Hong Kong.
• Volume Stabilization: The company is taking targeted actions to stabilize and reaccelerate volume in Singapore and will review underlying volume in Taiwan on a more profitable basis amid dynamic market conditions.
• Long-Term Outlook: Management expressed confidence in the second half of the year, citing the combination of new growth categories, tech rollouts, and a strong balance sheet ($28.2 million in cash, no debt) as foundations for sustainable, profitable growth.

• Foreign Exchange Impact: Net loss for the quarter was impacted by foreign exchange, swinging from a $3 million gain in the prior year period to a $100 thousand loss in Q2. This highlights the sensitivity of reported financials to currency fluctuations.
• Market Volatility: The broader macroeconomic environment presents near-term challenges, requiring disciplined execution to maintain profitability in dynamic markets.
• Execution Risk on New Products: While the home loan and life insurance initiatives show promise, they rely on successful market adoption and effective integration with existing platforms. Any failure to capture market share or manage partner relationships could impact growth trajectories.
• Regulatory Compliance: As a regulated financial business, all new AI-driven products and expanded product lines must operate within strict compliance and control frameworks, posing potential operational constraints.

Note: The transcript explicitly states that no Q&A session was held. Therefore, no exchanges are available to summarize. The following response reflects this factual constraint based on the provided text.