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Agora(API) - 2024 Q4 - Annual Report
APIAgora(API)2025-04-15 11:00

Currency Risk Management - The company does not hedge against currency risk, which may lead to fluctuations in revenue-generating transactions and expenses [653]. - A 10% depreciation of Renminbi against the U.S. dollar would result in a change of the company's holding U.S. dollar equivalents of US1.6millionforcashandcashequivalents[656].−Thecompanyhasnotengagedinanyforeigncurrencytransactionsthatwouldrequireittoobtainthemostfavorableexchangerates,whichmayleadtopotentiallosses[665].CashandCashEquivalents−ThecompanyhadRenminbi−denominatedcashandcashequivalentsofRMB123.0millionasofDecember31,2024[656].−Thecompanydoesnotexpectsignificantchangesinthefairvalueofcashandshort−terminvestmentsduetointerestratefluctuations[657].AccountsReceivableManagement−Thecompanyregularlyupdatesitsallowanceestimatesforaccountsreceivablebasedonvariousfactors,includinghistoricalcollectiontrendsandcurrenteconomicconditions[486].−Changesinestimatesandassumptionsregardingaccountsreceivablecouldmateriallyaffectthefinancialstatements[486].−Thecompanyassessesexpectedcreditlossesbasedonvariousfactors,includingtheageofaccountsreceivablebalancesandcustomerriskcharacteristics[484].−Thecompanyhasnotdeemedcertainaccountingestimatesascritical,althoughtheycouldstillhaveamaterialimpactonfinancialresults[483].ADSProgramCosts−ThecompanyreceivedreimbursementofUS1.6 million for cash and cash equivalents [656]. - The company has not engaged in any foreign currency transactions that would require it to obtain the most favorable exchange rates, which may lead to potential losses [665]. Cash and Cash Equivalents - The company had Renminbi-denominated cash and cash equivalents of RMB123.0 million as of December 31, 2024 [656]. - The company does not expect significant changes in the fair value of cash and short-term investments due to interest rate fluctuations [657]. Accounts Receivable Management - The company regularly updates its allowance estimates for accounts receivable based on various factors, including historical collection trends and current economic conditions [486]. - Changes in estimates and assumptions regarding accounts receivable could materially affect the financial statements [486]. - The company assesses expected credit losses based on various factors, including the age of accounts receivable balances and customer risk characteristics [484]. - The company has not deemed certain accounting estimates as critical, although they could still have a material impact on financial results [483]. ADS Program Costs - The company received reimbursement of US0.8 million from the depositary for costs and expenses related to the establishment and maintenance of the ADS program for the year ended December 31, 2024 [666].