UCLOUDLINK Reports Increased Revenue and Operational Highlights for 2024

Fourth Quarter and Full Year 2024 Operational Overview

• In the fourth quarter of 2024, total data consumed via the Company’s platform reached 42,577 terabytes, which includes 6,058 terabytes procured by the Company and 36,519 terabytes acquired through business partners. This marks a 3.3% decline from the 44,011 terabytes consumed in the fourth quarter of 2023.
• The average daily active terminals in Q4 2024 stood at 308,386. This figure includes 15,354 terminals owned by the Company and 293,032 terminals belonging to business partners, reflecting a 2.5% decrease from 316,207 in Q4 2023. Among these, 54.3% were from uCloudlink 1.0 international data connectivity services, while 45.7% were sourced from uCloudlink 2.0 local data connectivity services.
• For the full year 2024, total data consumed through the platform amounted to 172,912 terabytes, comprised of 24,719 terabytes from the Company and 148,193 terabytes from partners. This represents a 4.1% reduction from the 180,259 terabytes consumed in 2023.
• Average daily active terminals for the full year 2024 increased slightly to 316,688, including 16,739 owned by the Company and 299,949 owned by business partners. This is up 0.2% from 316,104 in 2023. In 2024, 57.4% of daily active terminals derived from uCloudlink 1.0 services, while 42.6% came from uCloudlink 2.0 services. The average daily data usage per terminal was 1.55 GB in December 2024.
• As of December 31, 2024, UCLOUDLINK had partnerships with 2,818 business partners across 62 countries and regions. The Company held 185 patents, including 165 approved and 20 pending, and had SIM cards sourced from 391 Mobile Network Operators (MNOs) worldwide.

Executive Commentary

Mr. Chaohui Chen, Director and Chief Executive Officer of UCLOUDLINK, expressed satisfaction with the Company’s performance in 2024. He noted, “We ended the year strongly as our expanding GlocalMe ecosystem gains growth momentum. Total revenues for 2024 grew 7.1% year-over-year to US$91.6 million, with a net income of US$4.6 million. Operational cash inflow reached US$9.2 million, up 41.2% from the previous year. Our revenues from mainland China surged by 97.4% year-over-year, underscoring the widespread adoption of our uCloudlink 1.0 solutions, thus enhancing our leading position in the roaming market.”

Mr. Chen added that the GlocalMe product suite is rapidly increasing its visibility and reach as the Company markets them at global expos and builds retail partnerships in North America. Recently, cooperation agreements were signed to make these products available in airport retail locations, with ongoing negotiations for similar expansions in Europe. Moreover, the GlocalMe IoT solutions are experiencing significant commercial application growth, driven by successful initial applications in security technologies. He further noted investments in artificial intelligence to improve operational efficiency and user experience, such as AI-powered chat interfaces for travel assistance.

Looking forward to 2025, UCLOUDLINK plans to unveil new developments in IoT and consumer products aimed at broadening global exposure, which will introduce new revenue streams. Following a successful showcase at CES 2025, they presented additional innovations at MWC Barcelona 2025, highlighted by products like PetPhone, eSIM TRIO, CloudSIM Kit, and the HyperConn® 5G mobile Wi-Fi hotspot. These innovations, expected to catalyze user base growth and revenue, signify the Company’s commitment to building an integrated mobile data traffic sharing marketplace that delivers long-term value for shareholders.

Fourth Quarter 2024 Financial Results

Revenues

Total revenues for the fourth quarter amounted to US$26.0 million, reflecting a 19.5% increase from US$21.7 million in the same period of 2023.

• Revenues from services were recorded at US$15.0 million, up 0.6% from US$14.9 million in Q4 2023, largely due to growth in revenues from PaaS and SaaS services.
  • Revenues from data connectivity services were US$11.7 million, a slight decline of 0.9% from US$11.8 million in Q4 2023. This drop stemmed from a reduction in revenues from international services, which decreased to US$9.6 million, but was somewhat offset by an uptick in local services to US$2.1 million.
  • Revenues from PaaS and SaaS services rose to US$3.0 million, showing a 2.6% increase from US$2.9 million year-on-year, reflecting increased utilization by business partners.
• Revenues from sales of products reached US$11.0 million, a significant increase of 60.9% from US$6.8 million in Q4 2023, primarily due to rising demand for related products.
• Geographic Distribution indicated a notable contribution from Japan in terms of total revenues during the fourth quarter of 2024.

Financial Performance Report: Fourth Quarter and Full Year 2024 Results

Revenue Breakdown

In the fourth quarter of 2024, revenue contributions were distributed as follows: 53.6% from international markets, with Mainland China at 20.0%, North America at 12.1%, and other countries accounting for the remaining 14.3%. This represents a shift from the fourth quarter of 2023, where the contributions were 43.1%, 16.5%, 24.3%, and 16.1%, respectively.

Cost of Revenues

The cost of revenues for the company was US$14.8 million, showing a notable increase of 41.7% from US$10.4 million in the same period of 2023. This rise aligns with the total revenue growth observed in the fourth quarter of 2024.

• 
  Cost of services reached US$6.2 million, marking a 4.2% increase from US$5.9 million during the same quarter in 2023.
• 
  Cost of products sold was reported at US$8.6 million, a substantial rise of 91.5% compared to US$4.5 million in the fourth quarter of 2023.

Gross Profit

The overall gross profit stood at US$11.2 million, slightly down from US$11.3 million in the same quarter of the previous year. Consequently, the overall gross margin reported was 43.0% in Q4 2024, compared to 52.0% a year prior.

Specifically, gross profit from services was US$8.8 million, a minor drop from US$9.0 million in the fourth quarter of 2023. This brought the gross margin on services down to 58.6%, compared to 60.1% in the prior year.

Moreover, the gross profit from product sales was US$2.4 million, a slight increase from US$2.3 million during the same timeframe in 2023. However, the gross margin on product sales declined to 21.7%, down from 34.2% last year.

Operating Expenses

Total operating expenses were recorded at US$14.1 million, increasing from US$12.1 million in the comparable period of 2023.

• 
  Research and development expenses amounted to US$1.8 million, which is a 10.3% decrease from US$2.0 million in the same period last year. This reduction was mainly driven by a drop of US$0.4 million in staffing costs.
• 
  Sales and marketing expenses experienced a significant increase to US$6.2 million, a rise of 52.6% from US$4.1 million in 2023. This surge largely stemmed from a US$1.5 million rise in promotional fees, alongside increases in service fees and staffing costs.
• 
  General and administrative expenses were US$6.1 million, up by only 1.1% from US$6.0 million in the same quarter last year. The increase was primarily due to a US$0.6 million rise in professional service fees, partially offset by reductions in staffing costs and share-based compensation expenses.

Loss from Operations

The company reported a loss from operations of US$1.7 million, an improvement from a loss of US$1.9 million in the same quarter in 2023.

Adjusted EBITDA (Non-GAAP)

Adjusted EBITDA (Non-GAAP), which excludes various impacts including share-based compensation and other non-operational costs, stood at a negative US$2.3 million. This contrasts sharply with a positive US$1.5 million during the fourth quarter of 2023.

Net Interest Income

Net interest income recorded was US$0.1 million, a rise from US$0.01 million in the same quarter last year.

Net Loss

The net loss for the quarter was US$1.5 million, a decrease from US$1.8 million in the same period of 2023.

Adjusted Net Loss/Income (Non-GAAP)

The adjusted net loss was US$3.1 million, in contrast to an adjusted net income of US$1.1 million in the fourth quarter of 2023. This figure excludes impacts from share-based compensation and other specific gains and losses.

Basic and Diluted Loss per ADS

For the fourth quarter of 2024, the basic and diluted loss per American Depository Share (ADS) was US$0.04, compared to US$0.05 in the same quarter of the previous year.

Cash and Cash Equivalents

As of December 31, 2024, the company had cash and cash equivalents totaling US$30.1 million, an increase from US$27.7 million as of September 30, 2024. The rise is largely due to bank borrowings of US$5.6 million and a net cash inflow of US$0.5 million from operations, albeit partially offset by US$2.5 million in repayments of other borrowings and US$0.6 million spent on capital expenditures.

Capital Expenditures (“CAPEX”)

Capital expenditures (CAPEX) amounted to US$0.6 million, up slightly from US$0.4 million in the same quarter of 2023.

Full Year 2024 Financial Results

Revenues

Total revenues for the full year reached US$91.6 million, reflecting a 7.1% increase from US$85.6 million in 2023.

• 
  Revenues from services totaled US$60.0 million, an increase of 2.4% from US$58.6 million in 2023. This growth was underpinned primarily by increased revenues from data connectivity as well as PaaS and SaaS services.
• 
  Revenues from data connectivity services reached US$47.6 million, a 1.9% rise from US$46.7 million in 2023. A significant factor was the increased revenue from international data connectivity services, which grew from US$37.9 million in 2023 to US$39.5 million in 2024, thanks to the rebound in international travel. However, this was partially offset by a decline in local data connectivity services, which fell to US$8.1 million from US$8.8 million.
• 
  Revenues from PaaS and SaaS services amounted to US$11.3 million, marking an 8.3% increase from US$10.4 million in the prior year, as business partners increasingly adopted these services to improve their operational efficiency.
• 
  Revenues from sales of products were US$31.6 million, a 17.1% increase from US$27.0 million in 2023, driven primarily by a rise of US$6.3 million in data-related product sales, which was somewhat tempered by a decline of US$2.1 million in terminal sales.

UCLOUDLINK Reports Financial Performance and Forecast for 2025

Revenue Breakdown

• Performance by Region: Japan accounted for 47.4% of total revenues, Mainland China contributed 24.0%, and North America represented 13.8%. Other countries and regions contributed the remaining 14.8%. In comparison, the revenue distribution for 2023 was 43.4%, 13.0%, 28.1%, and 15.5%, respectively.

Cost of Revenues

The cost of revenues rose to US$47.2 million, marking an 8.4% increase from US$43.6 million in 2023. This rise was mainly due to higher costs associated with products sold.

• Cost of Services: Us$23.5 million, reflecting a decrease of 3.4% from US$24.3 million in 2023.
• Cost of Products Sold: US$23.7 million, up 23.2% from US$19.3 million in 2023, primarily driven by product mix changes.

Gross Profit

For 2024, overall gross profit stood at US$44.4 million, compared to US$42.0 million in 2023. The overall gross margin was 48.4%, slightly down from 49.0% in 2023.

In the services segment, gross profit reached US$36.5 million, up from US$34.3 million in the prior year. The gross margin for services was 60.8%, compared to 58.5% in 2023.

Gross profit for product sales totaled US$7.9 million, a minor increase from US$7.7 million in 2023. The gross margin for product sales decreased to 24.9% from 28.6% in the previous year.

Operating Expenses

Total operating expenses increased to US$42.0 million, up from US$37.9 million in 2023.

• Research and Development Expenses: US$6.2 million, down 4.0% from US$6.5 million in 2023. This was largely due to a US$0.5 million reduction in staff costs, partially offset by a US$0.3 million rise in professional service fees.
• Sales and Marketing Expenses: US$19.9 million, reflecting a 39.3% increase from US$14.3 million in 2023. The growth was driven by higher promotion fees, staff costs, operating lease payments, and service fees.
• General and Administrative Expenses: US$15.9 million, down 6.8% from US$17.1 million in 2023, primarily due to decreases in share-based compensation and staff costs.

Income from Operations

Income from operations improved to US$4.4 million, compared to US$2.6 million in the previous year.

Adjusted EBITDA (Non-GAAP)

Adjusted EBITDA (Non-GAAP) was US$7.1 million in 2024, down from US$9.8 million in 2023.

Net Interest Income/Expenses

The net interest income was US$0.03 million, compared to net interest expenses of US$0.06 million in 2023.

Net Income

Net income reached US$4.6 million, an increase from US$2.8 million in 2023.

Adjusted Net Income (Non-GAAP)

Adjusted net income, which excludes certain non-operational items, was US$4.5 million, down from US$8.5 million in the previous year.

Basic and Diluted Earnings per ADS

Basic and diluted earnings per ADS attributable to ordinary shareholders were US$0.12 in 2024, compared to US$0.08 in 2023.

Capital Expenditures (CAPEX)

In 2024, CAPEX amounted to US$4.0 million, nearly double the US$2.1 million spent in 2023.

Business Outlook

For the first quarter of 2025, UCLOUDLINK projects total revenues between US$18.2 million and US$19.5 million. This range indicates a growth of 0.6% to 7.7% compared to the same period last year. Furthermore, for 2025, total revenues are expected between US$95.0 million and US$130.0 million, implying a potential increase of 3.7% to 41.9% from 2024.

This projection reflects UCLOUDLINK’s analysis of current market dynamics and anticipated customer demand.

Non-GAAP Financial Measures

To provide a clearer view of financial performance, UCLOUDLINK presents adjusted net income and adjusted EBITDA, which exclude certain expenses not aligned with ongoing operations. These supplementary measures are meant to enhance understanding of business trends, although they should not replace financial information prepared in accordance with U.S. GAAP.

While useful for trend analysis, these non-GAAP financial measures have limitations. They do not account for all income and expense items that affect operations, thus offering a selectively narrower perspective on financial health.

UCLOUDLINK Prepares for Upcoming Conference Call to Discuss Financial Results

In the course of its business, the Company continues to experience gains and losses from investments, as well as share of profits and losses from equity method investments, net of tax. These elements are not included in the adjusted net income/(loss) calculation. Furthermore, the non-GAAP financial measures may vary from those reported by other companies, including key competitors, limiting their comparability.

To address these limitations, the Company reconciles the non-GAAP financial measures to the closest U.S. GAAP performance measures. This reconciliation is essential when assessing the Company’s performance. Investors are encouraged to review all financial information rather than relying solely on one metric.

For a complete understanding, the reconciliation of each non-GAAP financial measure to the corresponding GAAP measure is provided at the end of this release.

Conference Call Details

UCLOUDLINK will host a conference call on Thursday, March 13, 2025, at 8:30 a.m. Eastern Time (8:30 p.m. Beijing Time) to present financial results and respond to queries from investors and analysts. Attendees can join the call by dialing:

International:	+1-412-902-4272
US (Toll Free):	+1-888-346-8982
UK (Toll Free):	0-800-279-9489
UK (Local Toll):	0-207-544-1375
Mainland China (Toll Free):	400-120-1203
Hong Kong (Toll Free):	800-905-945
Hong Kong (Local Toll):	+852-3018-4992
Singapore (Toll Free):	800-120-6157
Australia (Toll Free):	1-800-121301

Participants are encouraged to dial in at least 10 minutes prior to the scheduled start time and request to be connected to the “UCLOUDLINK GROUP INC.” call. Additionally, a live and archived webcast will be available at

https://ir.ucloudlink.com

.

After the conference call ends, the telephone replay will be accessible within one hour and continue until March 20, 2025, by calling:

US (Toll Free):	+1-877-344-7529
International:	+1-412-317-0088
Canada (Toll Free):	855-669-9658
Replay Passcode:	1521922

About UCLOUDLINK GROUP INC.

UCLOUDLINK is recognized as the global pioneer in the mobile data traffic sharing marketplace. The Company utilizes a revolutionary sharing economy model tailored specifically for the telecommunications industry. UCLOUDLINK’s suite of products and services offer significant value to mobile data users, hardware manufacturers, mobile virtual network operators (MVNOs), and mobile network operators (MNOs). By employing its advanced cloud SIM technology, the Company enhances mobile data connectivity, allowing users to access shared data traffic from network operators. This innovation ensures reliable connectivity, impressive speeds, and competitive pricing.

Safe Harbor Statement

This announcement includes forward-looking statements made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. Such statements often contain terms like “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates,” “confident,” and similar terms. These forward-looking assertions encompass the Company’s financial guidance, quotes from management, and strategic plans. UCLOUDLINK may also present forward-looking statements in various forms such as written and oral during SEC filings, shareholder reports, press releases, and public statements by its team. Since they are not historical facts, these statements involve risks and uncertainties. Several factors could lead to actual outcomes differing from those expressed in the forward-looking statements.

Key Financial Insights from UCLOUDLINK’s Latest Balance Sheet

Results may diverge significantly from any forward-looking statements due to various factors. These include UCLOUDLINK’s strategies and future business development, financial condition, operational outcomes, user base growth, and the efficiency of its mobile data connectivity services. Additionally, competition within the global mobile data connectivity sector, fluctuations in revenues, costs, government policies, and regulations also pose risks to performance. The ongoing COVID-19 pandemic’s impact on UCLOUDLINK’s operations, as well as broader economic conditions in China and globally, can alter assumptions related to these elements. For a comprehensive understanding of these risks, stakeholders can refer to the Company’s filings with the Securities and Exchange Commission.

Contact Information

# Financial Overview: Current and Non-Current Assets Breakdown

UCLOUDLINK GROUP INC. UNAUDITED CONSOLIDATED BALANCE SHEETS (In thousands of US$, except for share and per share data)
	As of December 31,					As of December 31,
	2023					2024
ASSETS
Current assets
Cash and cash equivalents		23,371					30,057
Accounts receivable, net		6,489					7,880
Inventories		2,183

		1,312
Prepayments and other current assets		6,416					5,637
Other investments		7,613					8,703
Amounts due from related parties		2,945					1,971
Total current assets		49,017					55,560
Non-current assets
Prepayments		228					–
Long-term investments		1,956

# Comprehensive Financial Overview: Key Asset Figures Revealed

		2,011
Right-of-use assets, net		2,321					2,876
Property and equipment, net		2,433					4,025
Intangible assets, net		652					507
Total non-current assets		7,590					9,419
TOTAL ASSETS		56,607					64,979
LIABILITIES

Financial Overview: Current Liabilities Report Summary

Current liabilities
Short term borrowings		5,297					6,956
Accrued expenses and other liabilities		24,755					25,169
Accounts payable		5,314					7,445
Amounts due to related parties		1,250					49
Contract liabilities		1,425					709
Operating lease liabilities		1,082					1,853

# Detailed Breakdown of Current and Non-Current Liabilities

Total current liabilities		39,123					42,181
Non-current liabilities
Operating lease liabilities		1,286					1,088
Other non-current liabilities		145					87
Total non-current liabilities		1,431					1,175
TOTAL LIABILITIES		40,554					43,356

Shareholders’ Equity Report: Key Financial Insights

SHAREHOLDERS’ EQUITY
Class A ordinary shares		13					13
Class B ordinary shares		6					6
Additional paid-in capital		240,137					241,378
Accumulated other comprehensive income		2,463					2,234
Accumulated losses		(226,566	)				(222,008	)
TOTAL SHAREHOLDERS’ EQUITY		16,053

Ucloudlink Group Reports Strong Revenue and Financial Position

UCLOUDLINK GROUP INC. UNAUDITED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME/(LOSS) (In thousands of US$, except for share and per share data)
	For the three months ended						For the year ended
	December 31, 2023			December 31, 2024			December 31, 2023			December 31, 2024
Revenues	21,730			25,960			85,576			91,635

# Company Revenue Analysis: Breaking Down Service and Product Income

Revenues from services	14,927			15,015			58,570			60,002
Sales of products	6,803			10,945			27,006			31,633
Cost of revenues	(10,438	)		(14,786	)		(43,611	)		(47,274	)
Cost of services	(5,963	)		(6,216	)		(24,318	)		(23,503	)
Cost of products sold	(4,475	)		(8,570	)		(19,293	)		(23,771	)
Gross profits

In this concise breakdown of revenue and cost components, analysts can unlock insights into service and product performance. Understanding revenue dynamics offers essential context for broader market engagement and financial performance assessment.# Financial Overview: Detailed Review of Company Expenses

## Operating Expenses Breakdown

In the recent financial analysis, the company’s expenses were outlined in terms of research and development, sales and marketing, and general administrative costs.

### Research and Development Expenses
Research and development took a significant portion of the budget with expenses listed as follows:
– **Fiscal Year X1:** (1,999)
– **Fiscal Year X2:** (1,794)
– **Total to Date:** (6,456)
– **Total Year to Date:** (6,198)

### Sales and Marketing Expenses
Sales and marketing are critical for any company’s growth strategy. The breakdown includes:
– **Fiscal Year X1:** (4,081)
– **Fiscal Year X2:** (6,228)
– **Total to Date:** (14,304)
– **Total Year to Date:** (19,926)

### General and Administrative Expenses
This category encompasses overhead costs essential for operations:
– **Fiscal Year X1:** (5,993)
– **Fiscal Year X2:** (6,057)
– **Total to Date:** (17,118)
– **Total Year to Date:** (15,947)

### Other (Expenses)/Income, Net
Notably, the net position after accounting for other expenses gave the following results:
– **Fiscal Year X1:** (1,077)
– **Fiscal Year X2:** 1,187
– **Total to Date:** (1,500)
– **Total Year to Date:** 2,095

## Summary of Loss/Income from Operations
Overall, the company recorded a loss in operations amounting to:
– **Total:** (1,858)

This detailed overview provides insight into the financial performances and emphasizes specific areas of spend where management focuses on potential for improvement. Analyzing these figures allows the determination of strategies to enhance operational efficiencies moving forward.# Financial Summary: Insights into Interest Income and Expenses

## Overview of Interest Income
In the financial realm, interest income plays a vital role in revenue generation. For the reporting period, the interest income revealed a considerable variation across different segments:
– **Total Interest Income**:
– For the first column: **1,718**
– Second segment: **2,587**
– Third segment: **4,385**

Across all entries, interest income represented a steady flow of income, with individual contributions noted above.

## Interest Expenses
Analyzing interest expenses provides insights into the financial health of the organization. The breakdown of expenses during the same reporting period is as follows:
– **Total Interest Expenses**:
– First segment: **(28)**
– Second segment: **(51)**
– Third segment: **(133)**
– Final column: **(196)**

Clearly, interest expenses exert a negative influence on net income, underscoring the importance of managing these costs effectively.

## Loss or Income Before Income Tax
The calculation of loss or income before income tax provides a comprehensive view of profitability.
– Initial figure showed a loss of:
– First column: **(1,852)**
– Second segment: **(1,593)**
– Last two segments indicate positive earnings of **2,524** and **4,416**, respectively.

This data highlights a mixed performance before accounting for taxes, with notable variations across different columns.

## Income Tax Expense
Understanding income tax liabilities is crucial for effective financial management. The expenses recorded are as follows:
– **Income Tax Expenses**:
– First segment: **(3)**
– Second segment: **(2)**
– Last segments show substantial deductions of **(70)** and **(68)**.

These expenses showcase the obligation incurred towards tax authority commitments.

## Share of Profit in Equity Method Investment
Incorporating equity investments reflects positively in financial results:
– **Share of Profit**, net of tax:
– **24** in the relevant reporting period.

This demonstrates that investments in subsidiaries can provide additional revenue streams, enhancing the overall profitability equation for the organization.

## Conclusion
In summary, the financial data presents an intricate view of both income and expenditure across various segments. Interest income and expenses, alongside income tax obligations and benefits from equity investments, form pivotal parts of the organization’s overall financial landscape, crucial for stakeholders’ assessment and future planning.

Financial Report Reveals Diverse Performance Metrics and Losses

93			357			210
Net (loss)/income	(1,831	)		(1,502	)		2,811			4,558
Attributable to:
Equity holders of the Company	(1,831	)		(1,502	)		2,811			4,558
(Loss)/earnings per share for Class A and Class B ordinary shares
Basic	(0.00	)		(0.00	)		0.01

# Financial Performance Report: Earnings Breakdown for Class A and B Shares

		0.01
Diluted	(0.00	)		(0.00	)		0.01			0.01
(Loss)/earnings per ADS (10 Class A shares equal to 1 ADS)
Basic	(0.05	)		(0.04	)		0.08			0.12
Diluted	(0.05	)		(0.04	)		0.08			0.12
Shares used in earnings per Class A and Class B ordinary share computation:

Financial Results for Current and Previous Periods Revealed

Basic	374,485,700			377,971,590			371,726,318			376,344,425
Diluted	374,485,700			377,971,590			371,726,318			376,344,425
Net (loss)/income	(1,831	)		(1,502	)		2,811			4,558
Other comprehensive (loss)/income, net of tax
Foreign currency translation adjustment	(524	)		458			587

# UCLOUDLINK Group’s Latest Cash Flow Report: Key Insights

UCLOUDLINK GROUP INC. UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (In thousands of US$)
	For the three months ended						For the year ended
	December 31, 2023			December 31, 2024			December 31, 2023			December 31, 2024
Net cash (used in)/generated from operating activities	(1,313	)		540

—

### Overview of Financial Performance

The latest financial figures reveal a complex cash flow situation for UCLOUDLINK Group Inc. Total comprehensive income reflects a loss of $(2,355) for the period ending December 31, 2023, and $(1,044) for the fiscal year ending December 31, 2024. The company reported a stark total cash flow of 3,398 for three months ending December 31, 2023, and a more considerable flow of 4,329 by the same date in 2024.

Investors should note the shift in operational cash flows, with a net cash outflow of $(1,313) observed for the three-month period ending December 31, 2023, compared to a modest inflow of 540 for the next fiscal year.

### Conclusion

UCLOUDLINK Group’s current cash flow data highlights challenges while also portraying potential opportunities for recovery. Stakeholders will need to monitor these metrics closely as the company navigates its forthcoming fiscal challenges.# Financial Overview: Cash Flow Activities and Equivalents

6,507			9,186
Net cash generated from/(used in) investing activities	1,271			(580	)		(240	)		(3,758	)
Net cash generated from financing activities	2,903			3,061			2,509			1,732
Increase in cash and cash equivalents	2,861			3,021			8,776			7,160
Cash and cash equivalents at beginning of the period/year	20,256			27,678			14,921			23,371
Effect of exchange rates on cash and cash equivalents	254			(642	)

This overview shows a detailed breakdown of cash flows from different activities, providing insights into the company’s financial health over the reporting period. The table illustrates net cash generated from investing and financing activities, highlighting the cash and cash equivalents at the beginning and end of the period, alongside the effect of exchange rates on the overall cash balance.# UCloudlink Group Inc. Reports Cash and Non-GAAP Reconciliation Data

	326	)		474	)
Cash and cash equivalents at end of the period/year	23,371			30,057

UCLOUDLINK GROUP INC. UNAUDITED RECONCILIATIONS OF NON-GAAP AND GAAP RESULTS (In thousands of US$)
	For the three months ended						For the year ended
	December 31, 2023			December 31, 2024			December 31, 2023			December 31, 2024
Reconciliation of Net (Loss)/Income to Adjusted Net Income/(Loss)

# Detailed Financial Results Show Mixed Performance for Company

Net (loss)/income	(1,831	)		(1,502	)		2,811			4,558
Add: share-based compensation	460			222			3,314			1,241
Fair value loss/(gain) in other investments	2,476			(1,730	)		2,748			(1,091	)
Less: share of profit in equity method investment, net of tax	(24	)		(93	)		(357	)		(210	)
Adjusted net income/(loss)	1,081			(3,103	)

# Financial Performance Overview: Net Loss and Adjusted EBITDA Analysis

8,516			4,498

# Financial Overview: Company Reports Key Expenses and Adjustments

	For the three months ended					For the year ended
	December 31, 2023			December 31, 2024			December 31, 2023			December 31, 2024
Reconciliation of Net (Loss)/Income to Adjusted EBITDA
Net (loss)/income	(1,831	)		(1,502	)		2,811			4,558
Add:

Interest expense	28			51			133			196
Income tax expenses	3			2			70			68
Depreciation and amortization	371			724			1,121			2,328
EBITDA	(1,429	)		(725	)		4,135			7,150
Add: share-based compensation	460			222			3,314			1,241
Fair value loss/(gain) in other investments	2,476			(1,730

# Financial Update: Key Earnings Metrics and Adjusted EBITDA Insights