Image source: The Motley Fool.

DATE

Friday, Sept. 11, 2026 at 8:00 a.m. ET

CALL PARTICIPANTS

• Head of Corporate Affairs and Communications - Gretchen Kwan
• Interim Chief Executive Officer and Chief Financial Officer - Ka Yip Leung

TAKEAWAYS

• Revenue -- $15.8 million in the second quarter, representing a 13% year-over-year decline reflecting a strategic shift in accounting for cash rewards.
• Total Transaction Value -- $20.9 million for the quarter, remaining flat year over year when including $5.1 million in cash rewards that are deducted from reported revenue under IFRS standards.
• Adjusted EBITDA Loss -- $1.6 million in the second quarter, narrowing 17% year over year due to improved cost-of-revenue efficiency and lower operating spend.
• Constant FX EBITDA Loss -- $900,000 for the quarter, narrowing 64% year over year by excluding unrealized foreign exchange impacts.
• Net Loss -- $1.2 million in the second quarter, compared to a net profit of $200,000 last year, primarily reflecting a $3.1 million swing in foreign exchange differences.
• Cash Rewards -- $5.1 million in the second quarter, an increase of 77% year over year as the company prioritized higher-intent customer acquisition in Singapore and Hong Kong.
• Approval Rate -- 48% for the quarter, an improvement of 9 percentage points from the prior year period, driven by a focus on converting a higher-quality customer funnel.
• Hong Kong Revenue -- $7.8 million, holding flat year over year and contributing 50% of total group revenue for the quarter.
• Singapore Revenue -- $6.2 million, a 20% year-over-year decline attributed to the heavy concentration of cash rewards deployment in that market.
• Wealth and Insurance Revenue -- $4.7 million, representing 30% of total revenue compared to 27% in the prior year period.
• Technology Costs -- $500,000, decreasing 50% year over year through platform consolidation and AI-driven automation.
• Advertising and Marketing Expenses -- $4 million, falling 12% year over year supported by more disciplined, data-driven campaign allocation.
• Cost of Revenue -- $7.6 million, a 17% year-over-year reduction driven by the shift toward cash reward mechanics and improved conversion efficiency.
• Total Group Members -- 10.1 million as of June 30, 2026, representing 17% growth year over year.
• Monthly Unique Users -- 3.7 million on average for the quarter, down from 5.3 million in the prior year period reflecting a strategic reduction in low-intent paid acquisition and enhanced analytics filtering.
• Cash and Cash Equivalents -- $28.2 million as of June 30, 2026, with the company reporting a debt-free balance sheet.
• Approved Applications -- 148,000 in the second quarter, a decline of 15% year over year that outpaced the 30% decline in total application volume.
• Credit Card Revenue -- $8.9 million, a decrease of 18% year over year reflecting the shift toward cash rewards in this vertical.
• Wealth Revenue -- $2.3 million for the quarter, which grew 22% year over year on a six-month basis to $4.8 million.
• Personal Loans and Mortgages Revenue -- $2 million, representing 2% year-over-year growth for the quarter.
• Operating Costs and Expenses -- $18.2 million, declining 12% year over year when excluding net foreign exchange differences.

Need a quote from a Motley Fool analyst? Email [email protected]

RISKS

• Leung stated, "This performance underscores the resilience of our leadership position in Hong Kong and provides an important anchor for the group during a softer quarter in some of the other markets," acknowledging regional operational challenges.

SUMMARY

MoneyHero Limited (MNY -9.52%) reported a narrowing Adjusted EBITDA loss for the second quarter of 2026 despite a decline in reported revenue. Management stated that the top-line results were impacted by a strategic decision to use cash rewards in Singapore and Hong Kong, which are recorded as revenue deductions rather than operating costs under IFRS standards. The company reported improved unit economics, characterized by higher approval rates and significant reductions in technology and marketing expenses. Management indicated that the business maintains a debt-free balance sheet with $28.2 million in cash to fund its organic growth roadmap and expansion into higher-margin financial verticals.

• Ka Yip Leung stated, "Our in-house voucher management system went live in Hong Kong in July... cutting delivery time to customers by half and eliminating third-party handling fees."
• The company expects to launch a new home loan comparison category in Singapore this month through an affiliate partnership with mortgage broker Redbrick, targeting a market with S$296 billion in outstanding loans.
• Management reported that AI-driven automation allowed a single engineer to build the new voucher system in under three months, which Leung estimated would have conventionally required a team of 10 for most of a year.
• The company is expanding its online life insurance marketplace in Hong Kong, with plans to add critical illness, short-term savings, and tax-deductible medical products.
• Management plans to roll out a fully AI-assisted conversational experience in the fourth quarter to combine customer support with product discovery.
• The company secured exclusive partnerships with two of Singapore's largest retail banks and moved to a fixed-fee arrangement with a global banking group to improve revenue predictability.
• Leung noted that the newly rebuilt member dashboard, launched in Singapore this month, is intended to lower support costs by allowing members to track rewards directly.

INDUSTRY GLOSSARY

• Adjusted EBITDA: A non-IFRS financial measure that excludes certain non-cash items, foreign exchange impacts, and non-recurring fees to assess core operating performance.
• Creatory: MoneyHero's B2B platform that connects financial product providers with content creators and partners.
• SingSaver: The company's consumer-facing financial comparison platform operating specifically in the Singapore market.
• Voucher Management System: An internal technology platform designed to automate and manage the delivery of customer incentives and rewards.

Full Conference Call Transcript

Operator: Good day, and welcome to the MoneyHero Group Second Quarter 26 Earnings Conference Call. All participants are in listen-only mode. I would now like to turn the call over to Gretchen Kwan, Head of Corporate Affairs and Communications. Please go ahead.

Gretchen Kwan: Hello, everyone, and welcome to MoneyHero's 2 thousand 26 second quarter earnings conference call. I am Gretchen Kwan, Head of Corporate Affairs and at MoneyHero Group. Before we begin, I would like to remind you today's call will include forward looking statements, which are inherently subject to uncertainties and may not be realized in the future for various reasons as stated in our earnings press release, which was issued earlier today and is also available on our IR website. In addition, please note that today's discussion will include both IFRS and non-IFRS financial measures for comparison purpose only.

For our reconciliations of these non-IFRS measures to the most directly comparable IFRS measures, please refer to our earnings release and SEC filings. Lastly, a webcast replay and the script of this conference call will be available on our IR website. Joining me on the call today is Ka Yip Leung, interim CEO and CFO, who will go over our strategy and business update, operating highlights, and financial performance for the second quarter of 2 thousand 26. Please note that we will not be holding a Q&A session today, If you have any questions, please contact our Investor Relations team after the call. With that, let me turn the call over to Ka Yip.

Ka Yip Leung: Thank you, Gretchen. Good day, everyone. Thank you for joining us to discuss MoneyHero Group's second quarter 26 financial results. The underlying trajectory of the business remained resilient. With the second quarter delivering continued improvement in unit economics. Approval quality, and cost discipline alongside sustained operational strength in our core markets of Hong Kong and Singapore. Net loss for the quarter was 1.2 million which reflects foreign exchange rather than any change in our operating trajectory. Adjusted EBITDA loss narrowed 17% year-over-year to $1.6 million in the quarter, and 49% year-over-year to only $2.7 million for the first half. Of 2026. While constant FX EBITDA loss which excludes unrealized foreign exchange impact, narrow 64% year-over-year to $900 thousand.

We ended the period with $28.2 million in cash and no debt. These progresses alongside a deliberate decision on how we acquire customers, which will also shape our reported revenue. Revenue was $15.8 million in the second quarter. Down 13% year-over-year. While for the first 6 months of 2026, revenue remained essentially flat year-over-year at $32.3 million. However, these headline figures understate the underlying progress we have made due to strategic decision to deploy cash rewards in Singapore and Hong Kong. Where there is a growing consumer preference for flexible cash incentives. This allows us to attract high intent customers more cost effectively. Under IFRS accounting rules, these cash rewards are deducted from revenue rather than recorded as a cost.

Cash reward totaled $5.1 million in the quarter, up 77% year-over-year from $2.9 million in the prior year period. On a 6-6-6-6-month basis, cash rewards totaled $9.2 million up 66% year-over-year. With Singapore representing the largest share at $7.3 million, and Hong Kong at $1.9 million. Adding these rewards back in, the total transaction value of the business becomes clearer. Holding flat year-over-year in the quarter. at $20.9 million and up 9% year-over-year to $41.5 million over the first 6 months of the year. This growth over the past half year reflects a deliberate choice against a dynamic market environment, we prioritize margin quality conversion, and operating efficiencies over chasing lower yielding volume. Even as application volumes soften.

I will now walk through our performance by market and product verticals. Our operating metrics cost management and AI transformation, bottom line performance, and financial position. Hong Kong, our anchor market held broadly flat year-over-year at $7.8 million, representing half of total group revenue. And grew 15% year-over-year to $16.3 million on a 6-6-month basis. This performance underscores the resilience of our leadership position in Hong Kong and provides an important anchor for the group during a softer quarter in some of the other markets. On an operational volume basis, the total transaction volume of Hong Kong grew 21% year-over-year in the first half. That strength is showing up in profitability too.

Hong Kong segment profit surged to $500 thousand in the first half from $100 thousand in the prior year period. At the same time, we remain focused on identifying sustainable opportunities. To deepen customer engagement increase cross selling, and grow our product relationships in Hong Kong. In Singapore, the underlying operating continue to expand. Because our cash rewards deployment was heavily concentrated in Singapore, Reported revenue declined to 20% year-over-year to $6.2 million mainly reflecting the impact of this cash rewards. On a 6-6-6-6-month basis, cash Singapore revenue moderated by only 8%. But our disciplined focus on higher margin conversions successfully translate into improving underlying unit economics.

When adding back those cash rewards, however, our total transaction value in Singapore actually grew 9% year-over-year in the first half of 2026. In fact, on a 6-6-6-6-month basis, Singapore delivered segment profit of $200 thousand a powerful turnaround from a $500 thousand loss in the prior year period. Credit card revenue declined 18% year-over-year to $8.9 million and this is where the shift toward cash reward is concentrated. Combined revenue from wealth and insurance was $4.7 million, representing 30% of total revenue. Up from 27% in the prior year period. Within that, insurance revenue declined 7% year-over-year to $2.4 million, and so the increase in contribution reflects the relative resilience of these verticals against credit cards.

Rather than growth in absolute terms during the quarter. On a 6-6-6-6-month basis, the underlying product mix trend was more evident. Combined wealth and insurance revenue grew 11% year-over-year to $9.3 million, representing 29% of total revenue. With wealth up 22% year-over-year to $4.8 million. Personal loan and mortgages revenue was up 2% year-over-year to $2 million for the quarter. The first half growth in combined wealth and insurance revenue continue to validate our product diversification strategy. We continue to scale our AI transformation initiatives during the second quarter. We focused on simplifying our technology platform. Automating engineering and operational workflows, and improving productivity across the organization.

Technology costs fell 50% year-over-year to $500 thousand through platform consolidation and AI driven automation. Advertising and marketing expenses fell 12% year-over-year to $4 million supported by more disciplined data driven campaign allocation. Employee benefit expenses were $3.9 million up 6% year-over-year, balanced against those savings by target investment in employee capabilities to support our higher margin verticals and AI initiatives. Total operating costs and expenses excluding net foreign exchange difference, declined 12% year-over-year to $18.2 million. Because cash rewards are recognized as deductions from revenue under IFRS, while noncash reward are recognized as a cost of revenue. The same shift that reduced reported revenue also drove a 17% year-over-year decline in our cost of revenue to $7.6 million.

Supported by the more selective customer acquisition spend and higher computing traffic. Cost of revenue as a percentage of revenue improved at 3 percentage points year-over-year to 48%. The reduction in technology cost and in advertising and marketing are separate from the remote mix and from the movement in the top line. Even in a quarter of lower revenue, while our spend was down across customer acquisition technology, and other operating costs. Approval rate nonetheless expanded 9 percentage points from the prior year period to 48%. And approved application declined by a smaller 15%. Alongside continued growth in revenue per approved application, in both the quarter and the first half of the year.

Clear evidence that we are converting a smaller but higher quality funnel, more efficiently. Let me turn to product and technology. Last quarter, I described AI as our engine. This quarter, I want to show what it has delivered and what it is building next. Our in house function management system went live in Hong Kong in July for Apple gift cards. Which is our largest reward type. Cutting delivery time to customers by half and eliminating third party handling fees. We will extend it to Singapore and to more reward types. Including travel, ecommerce, and supermarket vouchers. A single engineer on our team took it from prototype to production in under 3 months.

Versus a conventional build we estimate would have needed a team of around 10 working for most of a year. And every release still goes through our standard engineering review and sign off. We are applying the same approach to 2 more projects. First, a fully AI-assisted conversational experience that combine customer support and product discovery. A user describes what they need in their own words, and is guided directly to the right products, Contents, rewards. We are also structuring our product data and content so third party GenAI platforms and search engines can cite MoneyHero directly. So wherever customers' journeys begin, it completes on our platform.

With the applications, the reward, and the member relationship staying with us, Both roll out market by market within our compliance and control frameworks in Q4 this year. Second, which is the member dashboard. Which is a rebuilt experience that gives members 1 place to track rewards, Issued directly through the voucher system. Live in Singapore this month and expanding to Hong Kong and other markets later this year. Upcoming releases are insurance policies, single login, and personalized suggestions. Rewards status queries are 1 of our largest source of support contacts. So this also lowers support cost. While giving members a reason to return between transactions. And a returning member is 1 we do not need to acquire again.

Which meaningfully cuts our acquisition cost. Finally, the least visible piece and maybe the 1 that matters most over time We are rebuilding the internal system behind rewards, insurance operations, customer service, and our data. Many built or bought at different stages of our growth, some still carrying external fees and dependencies. The voucher system is the template. We are now applying the same approach group wide. Including legal and compliance. Within the controls of a regulated financial business. Each system we rebuilt lower our run cost and give our products a cleaner foundation. And as before, savings fund the next build, so we do not expect this to require significant additional capital expenditure.

Together, this is how the AI capability I described turns into product, cost, and revenue. 1 platform owned by us, serving members wherever they meet us. It is also worth noting we have also advanced several partner led wins in Singapore this quarter. We secured exclusive partnerships with 2 of the country's largest retail banks, move to a fixed fee arrangement with a global banking group, and signed an exclusive partnership with a digital brokerage platform. Exclusivity and fixed fee economics both make our partner revenue more predictable. And reduce our exposure to auction based acquisition costs.

To provide a closer look at how we are executing on these growth opportunities, and expanding our product suite, I want to highlight 2 key initiatives across our platforms. First, starting with Singapore, this month, SingSaver is expected to officially launching a brand-new home loan comparison category, closing a category gap in our vertical mix. Complementing our existing credit card personal loan, insurance, and brokerage offerings. We are bringing this to market through a pure affiliate partnerships with Redbrick. A leading mortgage broker in comparison platform in Singapore. This allows for an asset-light entry. Redbrick manages the broker relationships. And the back-end panel, While SingSaver contributes its strong brand, and high intent traffic.

We simply earn a percentage of the loan value disbursed on each successful conversion. Meaning that we take on absolutely zero underwriting and balance sheet risk. The opportunity here is significant. Housing loans are Singapore's single largest household debt category by a wide margin. In the first quarter of 26, outstanding housing loans reached S$296 billion Singapore dollars, representing then of total household debt. And this balance has grown for 10 consecutive quarters. Further, falling borrowing rates down from highs of around 3% towards 1.2 to 1.5%, are supporting increased comparison and refinancing activity among both new buyers and existing owners.

Targeting this market extends the higher ticket lending trend that is already contributing to our growth in personal loans and brokerage. And now turning to MoneyHero in Hong Kong. We have been actively developing our online life insurance revenue streams. Over the last 2 years, our life insurance income came mainly from selling ad space, and running small scale lead generation campaigns. However, we are seeing a shift. More insurers are putting live products online. And the local market is increasingly comfortable buying these products in a self serve manner post COVID. In response, we launched our first life insurance marketplace in the second quarter of 2024 to test the waters.

The results have been encouraging across traffic, Policy sold and insurer response, driving our 2026 run-rate to roughly to double that of last year. Given the clear early momentum, we plan to double down over the next 12 months adding products such as critical illness in Q3, along with short term saving tax deductible medical, and personal accident insurance. Importantly, the incremental product effort is minimal. It requires no API integration. Allowing us seamlessly duplicate and adjust our initial marketplace. While competitors in Hong Kong focus on deep complex content, Our strategy is distinct. We know that for simple products, many customers actually prefer a frictionless no frills experience where they can get in and out quickly.

Our substantial existing insurance traffic, particularly from travel insurance give us a solid foundation in capturing this demand. Looking ahead, we are also doubling down on our efforts to reaccelerate organic traffic. With a specific focus on our core high value markets of Hong Kong and Singapore. Over the past few quarters, our strategic discipline has yielded a smaller, but significantly higher quality funnel. With our approval rates expanding by 9 percentage points. Because we have successfully optimized these underlying conversion mechanics, any incremental growth in top of funnel traffic will now generate outsized highly profitable returns for the business. To capitalize on this improved efficiency, we are aggressively expanding our content generation and distribution engine.

We are actively structuring our platform's data financial guides, and product comparison to ensure that whenever consumers are navigating traditional SEO channels, or querying next-generation AI search engines MoneyHero is consistently served up as an authoritative source. By dominating these emerging search ecosystems, we will sustainably drive high intent organic traffic directly into our new high margin verticals. Such as the home loan and insurance in Singapore, and life insurance in Hong Kong. Furthermore, the organic influence perfectly complements the rollout of our new newly rebuilt member dashboard.

Once these organic users land on our platforms, they are immediately integrated into a sticky personalized ecosystem designed to encourage cost-saving cross-selling,, facilitate direct insurance renewals, and maximize lifetime value without incurring additional customer acquisition cost. Going back to our financial headline. Impacted by foreign exchange, net loss for the quarter was 1.2 million compared with net income of $200 thousand in the prior year period. Mainly driven by the net foreign exchange differences swinging from a $3 million gain in the prior year period to a $100 thousand loss this quarter. A swing of approximately $3.1 million Excluding the unrealized foreign exchange impact, constant FX EBITDA loss narrowed 64% year over year, from $2.6 million to $900 thousand.

On a 6-6-6-6-month basis, the improvement is more modest. 14% year over year, from $5.8 million to $5 million. Because that figure still carries roughly $1.6 billion of nonrecurring legal and professional fees, and other expenses, which we excluded from adjusted EBITDA but not from this measure. And if we look at adjusted EBITDA loss, it narrowed 17% year-over-year to $1.6 million for the quarter. And 49% year-over-year to $2.7 million for the first half of 26. Reflecting continued cost-of-revenue efficiency and lower operating spend. We end the quarter with a debt free balance sheet. $28.2 million in cash and cash equivalents and $32.6 million in net current assets as of June. Both stable versus March end.

This position together with a member base of 10.1 million, which is up 17% year over year, continues to fund our organic growth road map, and support broader market reach. Looking ahead through the remainder of 2026, we remain focused on translating the structural efficiencies we have established into continued full year adjusted EBITDA improvement. Our second half product and commercial catalysts include the home loan launch in Singapore, the rollout of our AI-assisted natural language search experience, the critical illness launched in Hong Kong during third quarter, the rollout of the rebuilt member dashboard to Hong Kong, and the extension of our voucher management system to additional markets and reward types.

At the same time, we are taking target actions to stabilize and reaccelerate volume in Singapore and to review underlying volume in Taiwan on a more profitable basis amid dynamic market conditions. Across the group, we will continue to sharpen execution. Optimize customer acquisition and conversion, and invest selectively in the market. in the product, technology, and talent that support profitable long term growth. These initiatives are designed to broaden our product mix. Deepen member engagement, strengthen partner monetization, and support the rebuilding of volume on a more profitable basis. We remain confident in our strategy and committed to advancing our key strategic initiatives and building a core, diversified, scalable, and resilient business.

So thank you all for joining us today. While the broader macroeconomic environment has presented some near term challenges, our second quarter results clearly demonstrate the underlying resilience of our core business and the tangible financial benefits of our strategic initiatives. We believe our prospects for the second half of the year are highly promising. Leaning heavily into our AI transformation, and expanding into higher margin verticals, we are actively unlocking new avenues of sustainable, profitable growth. We are particularly excited about our market: the launch of our brand new home loan comparison category in Singapore, and the rapid expansion of our online life insurance marketplace in Hong Kong.

When you combine these new growth categories, with our upcoming tech rollouts, including our in house voucher management system the AI assisted search experience, and our newly rebuilt member dashboard. We are creating a much stronger more efficient, and deeply integrated platform for our 10 million-plus members. I would like to extend my deepest gratitude to our incredible team across the group for their relentless execution and adaptability. as well as to our shareholders for your continued support and belief in our long term vision. The path ahead is incredibly promising. And we look forward to speaking with you again and updating you on our continued progress next quarter. Thank you.

Operator: Thank you for your participation. You may now disconnect. Good day.