BLIV

Business Context and Reporting Period

Company: BeLive Holdings (NASDAQ: BLIV)
Reporting Period: Six months ended June 30, 2025
Business Overview: BeLive is a B2B provider of white-label live and video streaming infrastructure, offering enterprise-grade solutions and cloud-based SaaS for live commerce and shoppable short videos. The company operates primarily through subsidiaries in Singapore and Vietnam.
Recent Developments:

• IPO Completion: Closed an Initial Public Offering on April 7, 2025, raising gross proceeds of approximately US$10.85 million (including over-allotment).
• Strategic Expansion: Established new subsidiaries, BeLive New Media Ltd and BeLive AI Studios Pte. Ltd, to focus on premium content creation.
• Partnerships: Entered a strategic partnership with Insight Lab, Inc. for data strategy and AI-driven analytics.
• Treasury Strategy: Commenced exploration of a digital asset treasury strategy, potentially allocating corporate treasury to Bitcoin and other yield-generating assets.

Key Financial Metrics

Material Changes vs. Prior Period

• Revenue Decline: Revenue decreased by 54.2% (S$413,877) year-over-year. This was driven by a 63.6% drop in installation fees (shift from White Label to SaaS models) and a 21.2% decrease in subscription fees due to fewer customers on subscription models.
• Cost of Sales Reduction: Cost of sales decreased by 33.2% (S$154,257), primarily due to reduced server usage and infrastructure optimization.
• Expense Dynamics:
  • Marketing Expenses: Decreased by 64.7% (S$71,314) due to reduced advertising and event spending.
  • Administrative Expenses: Increased by 3.0% (S$154,015) largely due to share-based payment expenses (S$2.79 million) related to the IPO and professional fees for listing.
• Liquidity Surge: Cash and cash equivalents increased from S$48,936 to S$9.82 million, primarily fueled by S$12.5 million in net cash generated from financing activities (IPO proceeds).
• Customer Concentration: Customers contributing over 10% of total revenue accounted for 68.9% of revenue in 2025, compared to 69.6% in 2024.

Outlook, Risks, and Contingencies

• Going Concern Uncertainty: The filing discloses a material uncertainty regarding the company's ability to continue as a going concern due to accumulated losses of S$32.8 million. Financial statements are prepared on a going concern basis only because a shareholder has agreed to provide financial support for 24 months.
• Management Outlook: Management does not view the revenue decrease as a long-term trend, citing a strategic shift to module-based pricing and the development of innovative solutions to drive engagement.
• Capital Requirements: The company believes current cash and IPO proceeds are sufficient for at least the next 12 months. However, future funding may be required for acquisitions or expansion, which may not be available on acceptable terms.
• Risks:
  • High dependence on a small number of customers.
  • Intense competition leading to pricing pressure.
  • Execution risk regarding the new digital asset treasury strategy and content creation subsidiaries.
  • Credit risk from trade receivables, though no balances were assessed as credit-impaired as of June 30, 2025.

Key Facts for Investor Verification

• Shareholder Support: Verify the specific terms and enforceability of the shareholder agreement providing 24 months of financial support to mitigate going concern risks.
• Revenue Quality: Assess the sustainability of the shift from high-margin installation fees to lower-margin SaaS models and the impact on future gross margins.
• Digital Asset Strategy: Review the specific risk management frameworks and allocation limits for the proposed digital asset treasury strategy.
• Customer Concentration: Evaluate the stability of the top customers who represent nearly 69% of total revenue.
• Share-Based Compensation: Monitor the impact of future share-based payment expenses on net loss, given the significant S$2.79 million charge in the current period.