"随着游戏市场的日益成熟，玩家群体的增长逐渐放缓，头部游戏公司为了维持和扩大市场份额，对玩 家的争夺变得更加激烈"，中手游在2024年度财报中坦言。 财报显示，报告期内，中手游实现收入约19.3亿元，经调整净亏损为约20.8亿元，较2023年由盈转亏。 亏损主要在于，多款项目特别是自研核心游戏《仙剑世界》延期上线，其上线后表现亦未达预期。此 外，中手游计提较大的商誉减值和投资减值以及其他非经营性开支，这对 2024 年财务业绩造成了较大 压力。 截至2024年12月31日，中手游拥有51个授权IP及68个自有IP，共计119个。中手游希冀，2025年进入全 面的利润回收期，使集团各业务板块重回增长轨道。 海外收入占比14.1% 从已公布的数据来看，中手游表现并不好。2021—2024中手游业绩已连续大幅下滑，分别实现营业收入 39.57亿元、27.14亿元、26.06亿元和19.3亿元，同时，调整净利润分别为6.3亿元、-1.96亿元、5379万 元、20.8亿元。 去年，其小游戏业务的表现较为亮眼。《消个锤子》冲上微信游戏畅销榜第 32 位，在小游戏塔防三合 消除品类游戏中独占鳌头。《主公别跑》多个月份流水 ...

3 月 27 日，港股上市公司中手游(0302.HK)公布 2024 年度业绩报告。报告显示，截至 2024 年 12 月 31 日止年度，收入为人民币 19.3 亿元人民币，经调整净亏损为 20.8亿元人民币。海外业务收入占公司收 益的比重达到 14.1%。亏损原因主要在于，多款项目特别是自研核心游戏《仙剑世界》延期上线，其上 线后表现亦未达预期。此外，中手游计提较大的商誉减值和投资减值以及其他非经营性开支，这对 2024 年财务业绩造成了较大压力。 尽管面临行业竞争加剧及部分项目延期等多重挑战，中手游通过战略调整、成本控制及全球化布局，为 全面利润回收期奠定基础。 海外市场营收贡献持续提升，小游戏板块渐入佳境 业绩期内，共上线3款IP精品游戏和3款创新小游戏。1 月上线的《斗罗大陆：史莱克学院》，上线首月 荣登苹果商店免费榜榜首，月流水过亿；6 月上线的《斗破苍穹：巅峰对决》，上线首月在苹果商店免 费榜中位居第二；9 月上线的《斗罗大陆：逆转时空》，上线首月斩获 iOS 免费榜第一。 值得一提的是，小游戏业务表现颇为亮眼。《消个锤子》一经上线，便强势冲上微信游戏畅销榜第 32 位，在小游戏塔防三合消除品类 ...

Financial Performance - The total revenue for the year ended December 31, 2024, was RMB 1,930.1 million, a decrease of 26% compared to RMB 2,605.9 million in 2023[5]. - The gross profit for 2024 was RMB 603.1 million, down from RMB 943.1 million in 2023, reflecting a significant decline in profitability[5]. - The net loss for the year was RMB 2,110.8 million, compared to a loss of RMB 38.0 million in the previous year, indicating a substantial deterioration in financial performance[5]. - Adjusted net loss for 2024 was RMB 2,077.7 million, contrasting with an adjusted profit of RMB 5.4 million in 2023[5]. - The company's revenue decreased by approximately 25.9% from RMB 2,605.9 million in 2023 to RMB 1,930.1 million in 2024[57]. - Game publishing revenue fell by 22.0% from RMB 2,133.8 million in 2023 to RMB 1,664.5 million in 2024, attributed to delays in the launch of several planned games[60]. - Game development revenue decreased by 30.7% from RMB 215.1 million in 2023 to RMB 149.1 million in 2024, missing revenue opportunities due to delayed game releases[60]. - The company's gross profit declined by 36.1% from RMB 943.1 million in 2023 to RMB 603.1 million in 2024, with a gross margin drop from 36.2% to 31.2%[62]. - The adjusted net loss for the year attributable to the parent company was RMB 2,105.0 million in 2024, compared to a profit of RMB 20.1 million in 2023[56]. Game Development and Launches - The company faced challenges with the delayed launch of its self-developed core game "Xianjian World," which did not meet performance expectations post-launch[7]. - The company plans to launch several new IP games between 2025 and 2026, including titles based on popular franchises, aiming to leverage its strong competitive position in the IP game market[8]. - The company successfully launched three new IP premium games and two innovative mini-games during the reporting period, contributing to a total revenue of RMB 1,664.5 million for the publishing business by December 31, 2024[15]. - The mobile game "Douluo Dalu: Shrek Academy," based on the popular novel and anime, achieved over RMB 100 million in revenue within the first month of its launch, with over 6 million pre-registrations[16]. - The company is set to launch a new pixelated mini-game titled "Three Thousand Fantasy Worlds" in April 2025, which is based on a licensed adaptation from Tencent Animation[10]. - The company has optimized its self-developed team, focusing on legendary genre games and innovative mini-game development, with a new game titled "Code: Dark Night Legend" expected to launch in the first half of 2025[10]. - The mobile game "Doupo Cangqiong: Peak Showdown," based on another popular novel, achieved over 6 million pre-registrations before its launch but faced revenue declines due to gameplay design issues[17]. - The newly launched mobile game "Douluo Dalu: Reversal of Time and Space" achieved the top position on Apple's free game chart but did not meet initial revenue expectations due to increased user acquisition costs and market competition[18]. - The company aims to enter a comprehensive profit recovery phase in 2025 as multiple optimized IP premium games and innovative mini-games are launched globally[14]. Market Expansion and Strategy - Overseas revenue reached RMB 272.1 million, accounting for 14.1% of total revenue, highlighting the company's efforts to expand its international market presence[7]. - The company aims to deepen its presence in the Hong Kong, Macau, and Taiwan markets while expanding into Japan, Korea, and Southeast Asia by 2025[9]. - The overall strategy emphasizes "business focus + cost control" to navigate the competitive gaming industry landscape and improve financial performance[8]. - The group plans to launch several new games in 2025, including "Chat Group Daily Life" and "New Three Kingdoms: Cao Cao Biography," focusing on product quality and user experience[19]. - The group plans to release several successful games in overseas markets in 2025, including "斗破蒼穹：巔峰對決" and "真 · 三國無雙霸" to increase international revenue[40]. Research and Development - The company reported a 34.0% year-on-year decrease in R&D expenses in 2024 due to effective cost control measures and the application of generative AI technology[13]. - The company is exploring the potential of AI in gaming, aiming to integrate AI into mini-game development for innovative gameplay experiences[11]. - The company is committed to enhancing its R&D capabilities and exploring AIGC technology to ensure robust growth in 2025 and beyond[50]. - Research and development costs decreased from RMB 370.3 million in 2023 to RMB 244.3 million in 2024, reflecting a strategic shift in resource allocation[61]. Financial Management and Cost Control - The overall strategy emphasizes "business focus + cost control" to navigate the competitive gaming industry landscape and improve financial performance[8]. - The group has maintained a continuous focus on cost control and resource optimization, aiming to enhance efficiency through AIGC applications and improve management processes[31]. - The company has a strict control over overdue receivables, with overdue balances reviewed regularly by senior management[149]. - The company continues to maintain a focus on cash flow management and risk assessment related to trade receivables[149]. Community Engagement and IP Management - The group organized a 29th anniversary celebration for "Xianjian Qixia Chuan," featuring various offline activities across multiple cities, enhancing community engagement[26]. - The group successfully launched several derivative products based on the "Xianjian" IP, including blind box series and classic weapon models, achieving crowdfunding exceeding RMB 10 million[26]. - The company plans to launch more collectible statues in 2025, collaborating with various professional model studios to enhance the value of its IP derivatives[46]. - The company aims to enhance the operation of the "Xianjian Qixia Chuan" IP, with multiple anime projects and new game adaptations expected to drive fan engagement and revenue growth[12]. Awards and Recognition - The company received multiple awards in 2024, including the "Top 10 Game Enterprises" and "Most Responsible Listed Company" accolades[54]. - The group has been recognized as an "ESG Comprehensive Governance Benchmark Enterprise" for its commitment to environmental sustainability and social responsibility[28]. Shareholder and Financial Structure - The company did not recommend a final dividend for the year ended December 31, 2024, consistent with the previous year[104]. - The company has no significant external financing plans as of December 31, 2024[78]. - The company has not proposed a final dividend for the year ended December 31, 2024, consistent with the previous year[141]. - The company recorded a significant impairment loss of RMB 16,844,000 for the cash-generating unit related to Shanghai Zhoujing's game development business in 2024, which was not present in 2023[146].

项目组裁掉八成？ 中手游"仙剑噩梦"：3亿研发， iOS仅百万收入 | BUG 文|新浪科技 罗宁 港股上市公司中手游，近期的糟心事很多。 旗下开放世界游戏《仙剑世界》项目组被曝出大规模裁员，有离职员工向新浪科技透露，此次裁员 波及市场、美术、研发等部门，原本200多人的研发团队"至少裁掉八成"。 官方回应称是对团队"进行了优化调整"，但这款曾被中手游寄予厚望，耗资超3亿，研发超过4年 的"国风开放世界元宇宙游戏"，仍被不少玩家认为是失败之作。在游戏上线首日，其仅位列iOS畅销榜 第97名，一周后排名便跌出前200。七麦数据预估，开服至今，《仙剑世界》在iOS端收入为222258美 元（约合161万元人民币）。 不仅如此，中手游近日还在港交所披露盈利警告，预计截至2024年12月31日止年度将录得不超过22 亿元的净亏损。而2023年度净亏损为0.38亿元，2024年度相较于2023年度收益减少约25%至30%。 王牌游戏遇冷、团队动荡、业绩拉胯……公司的股价一落千丈。截至昨日收盘，中手游的股价为 0.44港元，较近一年最高点1.62港元跌掉73%。曾经辉煌一时的中手游，俨然站在了"悬崖边"。 对于裁员，中手 ...

Core Viewpoint - The article discusses the significant financial loss of Zhong Shouyou due to the underperformance of the game "Xianjian World," which is projected to incur a loss of up to 2.2 billion yuan in 2024 [1][3]. Group 1: Financial Performance - Zhong Shouyou issued a profit warning indicating a projected loss of no more than 2.2 billion yuan for the fiscal year 2024 [1]. - The revenue decline is attributed to several factors, including underperformance in certain game markets and increased non-operating expenses [3]. Group 2: Game Development Issues - "Xianjian World" is criticized for its poor development process, which is described as chaotic and lacking a coherent framework [6][7]. - The game attempted to incorporate various popular elements without a solid foundation, leading to inefficiencies and excessive rework [8][11][29]. - The development team is seen as lacking the necessary experience and industrialization capabilities to successfully create an open-world game [38][39]. Group 3: Intellectual Property Concerns - The "Xianjian" IP is facing challenges of aging and devaluation due to a lack of new quality releases [17][18]. - The article compares the "Xianjian" IP unfavorably to successful franchises like "Harry Potter" and "The Legend of Zelda," highlighting its failure to create a compelling and cohesive narrative [19][22]. Group 4: Industry Insights - The article emphasizes the importance of proper planning and execution in game development, particularly for open-world titles, which require a high level of industrialization [24][37]. - It suggests that the management's unrealistic expectations and lack of hands-on involvement in the development process contributed to the game's failure [60].

Core Viewpoint - The launch of the self-developed open-world RPG game "Xianjian World" by Zhong Shouyou marks a significant milestone in the gaming industry, leveraging AI technology to enhance gameplay and user experience [1][2][3] Group 1: Game Launch and Features - Zhong Shouyou's "Xianjian World" has officially launched across all platforms, achieving 10 million pre-registrations, making it the first large-scale open-world game to be released in the Year of the Snake since the Spring Festival [1] - The game features a seamless open world of 384 square kilometers, incorporating various cultural landscapes and traditional Chinese elements, such as Suzhou storytelling and guqin music, to create an immersive experience [3] - Players can explore the game solo or in teams, with the ability to control classic characters from the Xianjian series, enhancing the nostalgic connection for fans [2][3] Group 2: AI Integration and Strategic Partnerships - Zhong Shouyou has completed the deployment of the DeepSeek large model, focusing on an "AI + gaming" strategy that aims to enhance game development and operations [2] - The game will utilize AI technology for dynamic interaction systems and innovative gameplay features, such as AI-controlled NPCs and companions, which are expected to improve user engagement and operational efficiency [2] - A strategic partnership with Tencent's cloud gaming service has been established, allowing for enhanced gaming experiences across multiple platforms, including PC and mobile [2] Group 3: Market Outlook and Financial Projections - According to Guotai Junan's latest research report, "Xianjian World" is anticipated to become Zhong Shouyou's flagship game, with optimistic projections for the company's financial performance in FY2025 due to the game's launch [3] - The game is expected to significantly boost profitability and establish a foundation for future growth, complemented by the company's expansion into innovative mini-game development and increasing IP licensing revenue [3]

中手游 20241128.mp3 AceCamp AI 2024-11-29 摘要 • 公司 IP 资源运营取得显著进展，成功上线《新仙剑奇侠传》等多款手游， 并积极拓展影视、动漫、周边等多元化商业模式，实现 IP 价值最大化。 • 《新仙剑奇侠传》等多款手游运营稳定，流水表现出色，为公司带来持续 稳定的收入和利润，其中《新仙剑奇侠传》首月流水超 2 亿人民币。 • 公司未来将推出重磅新作《三千世界》，该开放世界 RPG 游戏历时四年研 发，拥有庞大地图和丰富玩法，预计将成为公司业绩增长的重要驱动力。 • 《三千世界》采用多元化商业模式，包括抽卡、道具内购、皮肤销售等， 并注重打造高自由度、高纯净度的游戏体验，以提升玩家粘性。 • 2025 年公司业绩预期将显著提升，主要得益于《三千世界》等多款游戏 的上线，以及海外市场拓展和小游戏板块的持续发展，有望实现业绩的重 大转折。 • 公司重视股东回报，但由于战略转型期投入较大，目前暂停派息，计划在 《三千世界》上线后恢复派息，与投资者共享发展成果。 • 公司在 IP 运营方面持续发力，计划推出更多动画番剧、影视剧、周边产 品等，并与头部合作伙伴合作，提升 IP 价 ...

游戏可以开始为我们来贡献净利润了所以在整个24年的Q4乃至到整个25年那么这款游戏一直都会持续来给我们就是有这个收入和利润的一个贡献的 这是两款斗罗大陆的产品是今年上线的新产品比较主要的产品那么除此之外呢在今年还有什么呢还有就是六月份我们上线的斗破苍穹巅峰对决这个是六月七号上线的一款游戏那表现呢也是非常的就是符合我们的预期的也是个不错的产品然后在六月就是年中的时候上线那下半年呢开始有名利产生也会是今年的一个有贡献的一个产品 那么另外就是在今年的12月即将我们会去就是全面的发行和起量我们的一款自演的新传奇游戏 目前还是一个代号就是还没有去正式的揭秘那么它是代号新传奇那么这款游戏呢是一个我们的由我们的全资子公司文脉互动就是这个非常擅长传奇游戏研发以及SLJ游戏研发的团队来负责研发的一款全新的传奇游戏那么预期呢是在今年底的时候开始上线起量那么在明年的话呢预计会来带来一个比较着重的贡献的 那么说到明年的话那其实明年的产品线也是非常值得期待的那首先第一个首当其冲的是我们明年1月9号即将上线的先见试剑那这个当然是现在大家最关注的一个产品了我们大概关注中手楼的 这个朋友们也知道这款餐厅我们从二一年初正式立项开始那么到明年二 ...

Financial Performance - Revenue for the six months ended June 30, 2024, was RMB 1,233.3 million, a decrease of 19.7% compared to the same period in 2023[8] - Net loss for the six months ended June 30, 2024, was RMB 241.1 million, primarily due to investment impairments and non-operating expenses totaling RMB 175.8 million and non-operating financial asset impairments of RMB 62.9 million[10] - Revenue decreased by 19.7% from RMB 1,535.4 million in H1 2023 to RMB 1,233.3 million in H1 2024, primarily due to declines in game publishing and development revenues[34] - Game publishing revenue decreased by 17.8% from RMB 1,217.0 million in H1 2023 to RMB 999.9 million in H1 2024, despite strong performance from new games like "Douluo Dalu: Shrek Academy"[34] - Game development revenue decreased by 51.2% from RMB 258.6 million in H1 2023 to RMB 126.3 million in H1 2024, mainly due to the lifecycle decline of older games and lack of new releases[34] - IP licensing revenue increased by 79.0% from RMB 59.8 million in H1 2023 to RMB 107.1 million in H1 2024, driven by licensing deals for "Xian Jian Qi Xia Zhuan" and "Street Basketball"[34] - Gross profit decreased by 27.8% from RMB 516.2 million in H1 2023 to RMB 372.8 million in H1 2024, with gross margin declining from 33.6% to 30.2%[37] - Sales costs decreased by 15.6% from RMB 1,019.2 million in H1 2023 to RMB 860.6 million in H1 2024, primarily due to reduced revenue and lower channel and CP supplier fees[36] - Adjusted net loss was RMB 208.0 million in H1 2024, compared to an adjusted net profit of RMB 76.2 million in H1 2023[31] - The company reported a net loss of RMB 241.1 million in H1 2024, compared to a net profit of RMB 51.0 million in H1 2023[30] - Revenue for the first half of 2024 decreased to RMB 1,233,336 thousand, a decline of 19.7% compared to RMB 1,535,444 thousand in the same period of 2023[81] - Gross profit for the first half of 2024 was RMB 372,764 thousand, down 27.8% from RMB 516,195 thousand in the first half of 2023[81] - Net loss attributable to owners of the parent company for the first half of 2024 was RMB 236,220 thousand, compared to a profit of RMB 56,824 thousand in the same period of 2023[81] - Total comprehensive loss for the first half of 2024 was RMB 228,722 thousand, a significant decline from a comprehensive income of RMB 86,463 thousand in the first half of 2023[82] - The company reported a net loss of RMB 236.22 million for the six months ended June 30, 2024, compared to a net profit of RMB 56.82 million in the same period last year[85] - Total equity decreased from RMB 5.69 billion at the beginning of 2024 to RMB 5.49 billion as of June 30, 2024[85] - Operating cash flow decreased significantly to RMB 12.13 million in the first half of 2024, down from RMB 124.87 million in the same period last year[87] - Investment activities resulted in a net cash outflow of RMB 59.52 million in the first half of 2024, primarily due to the acquisition of intangible assets worth RMB 105.29 million[88] - The company raised RMB 333.64 million in new bank loans during the period, while repaying RMB 359.12 million of existing loans[88] - Cash and cash equivalents decreased by RMB 51.97 million to RMB 164.78 million as of June 30, 2024[88] - The company incurred a goodwill impairment loss of RMB 16.84 million and other intangible asset impairment losses totaling RMB 24.25 million during the period[87] - Share-based compensation expenses increased to RMB 28.18 million in the first half of 2024, up from RMB 19.34 million in the same period last year[87] - The company repurchased shares worth RMB 974,000 during the period[85] - Exchange rate fluctuations resulted in a gain of RMB 12.33 million, partially offsetting the net loss for the period[85] - Total revenue for the six months ended June 30, 2024, was RMB 1,233,336 thousand, a decrease compared to the same period in 2023[93] - Revenue from game publishing was RMB 999,925 thousand, accounting for 81.1% of total revenue[93] - Revenue from game development was RMB 126,330 thousand, a significant decrease from RMB 258,634 thousand in the same period last year[93][94] - Revenue from intellectual property licensing increased to RMB 107,081 thousand, up from RMB 59,806 thousand in the same period last year[93][94] - Revenue from mainland China accounted for RMB 1,056,960 thousand, representing 85.7% of total revenue[96] - Revenue from other countries/regions was RMB 176,376 thousand, accounting for 14.3% of total revenue[96] - The company reported a pre-tax loss of RMB 210,607 thousand for the six months ended June 30, 2024, compared to a pre-tax profit of RMB 42,572 thousand in the same period last year[93][94] - Sales and distribution expenses increased to RMB 148,554 thousand, up from RMB 120,324 thousand in the same period last year[93][94] - Administrative expenses decreased to RMB 192,430 thousand, down from RMB 351,732 thousand in the same period last year[93][94] - The company's financial asset impairment losses increased to RMB 62,859 thousand, up from RMB 35,114 thousand in the same period last year[93][94] - Total revenue for the six months ended June 30, 2024, was RMB 1,535,444 thousand, with mobile game distribution contributing RMB 1,217,004 thousand, game development services contributing RMB 258,634 thousand, and intellectual property licensing contributing RMB 59,806 thousand[97] - Revenue from mainland China accounted for RMB 1,410,765 thousand, while revenue from other countries/regions was RMB 124,679 thousand[97] - Other income and net gains for the six months ended June 30, 2024, totaled RMB 4,631 thousand, a significant decrease from RMB 69,573 thousand in the same period in 2023, primarily due to a reduction in government grants and fair value gains on financial assets[98] - Financing costs for the six months ended June 30, 2024, increased to RMB 11,109 thousand from RMB 9,859 thousand in the same period in 2023, driven by higher interest expenses on bank and other borrowings[99] - Pre-tax loss for the six months ended June 30, 2024, included significant expenses such as RMB 683,585 thousand in commissions to channels and third-party game developers, RMB 136,027 thousand in promotional expenses, and RMB 188,198 thousand in employee benefits[100] - Research and development costs for the six months ended June 30, 2024, were RMB 210,459 thousand, with RMB 100,286 thousand capitalized, resulting in a net R&D expense of RMB 110,173 thousand[100] - The company recognized impairment losses on goodwill, other intangible assets, and investments in joint ventures and associates totaling RMB 45,684 thousand for the six months ended June 30, 2024[100] - Government grants received during the six months ended June 30, 2024, amounted to RMB 2,171 thousand, a significant decrease from RMB 11,848 thousand in the same period in 2023[98] - The company recorded a fair value loss on financial assets at fair value through profit or loss of RMB 59,099 thousand for the six months ended June 30, 2024, compared to a gain of RMB 27,769 thousand in the same period in 2023[100] - Trade receivables impairment losses for the six months ended June 30, 2024, were RMB 29,123 thousand, a decrease from RMB 52,854 thousand in the same period in 2023[100] - The company's total tax expense for the six months ended June 30, 2024, was RMB 30,444 thousand, compared to a tax credit of RMB 8,423 thousand for the same period in 2023[105] - The company reported a net loss attributable to ordinary equity holders of RMB 236,220 thousand for the six months ended June 30, 2024, compared to a profit of RMB 56,824 thousand for the same period in 2023[107] - The company added assets worth RMB 1,491 thousand in the six months ended June 30, 2024, compared to RMB 2,398 thousand in the same period in 2023[109] - The fair value of the company's financial assets at fair value through profit or loss was RMB 1,918,832 thousand as of June 30, 2024, compared to RMB 2,021,044 thousand as of June 30, 2023[110] - The fair value of the investment in China Prosperity Capital Mobile Internet Fund L.P. was RMB 223,446,000 as of June 30, 2024, up from RMB 218,359,000 as of December 31, 2023[111] - The fair value of the investment in Angel Venture Capital (Shenzhen) was RMB 212,000,000 as of June 30, 2024, down from RMB 219,000,000 as of December 31, 2023[111] - Trade receivables net of impairment provisions were RMB 1,138,922,000 as of June 30, 2024, compared to RMB 1,187,136,000 as of December 31, 2023[112] - Prepayments and other receivables totaled RMB 1,590,275,000 as of June 30, 2024, down from RMB 1,719,279,000 as of December 31, 2023[114] - Trade payables amounted to RMB 241,543,000 as of June 30, 2024, down from RMB 261,054,000 as of December 31, 2023[115] - The company repurchased 1,036,000 ordinary shares in the open market during the six months ended June 30, 2024[116] - The company issued 100,000,000 subscription shares at HK$1.68 per share for a total consideration of HK$168,000,000 on July 22, 2024[117] - Share-based compensation expenses for the six months ended June 30, 2024 were RMB 28,184,000, up from RMB 19,344,000 in the same period of 2023[118] - The fair value of equity-settled share options granted in 2024 was estimated using a binomial model with an exercise price of HK$1.50 per share and an expected volatility of 52.14%[120] - The company has no significant contingent liabilities as of June 30, 2024[121] - Capital commitments for IP and game licenses as of June 30, 2024 were RMB 251,195 thousand, a decrease from RMB 280,017 thousand as of December 31, 2023[122] - Promotional services from Shenzhen Spark Fantasy Interactive Entertainment Co., Ltd. increased to RMB 18,953 thousand in the first half of 2024, up from RMB 3,034 thousand in the same period of 2023[124] - Non-trade related receivables from Mr. Fan Yingjie decreased to RMB 7,851 thousand as of June 30, 2024, down from RMB 8,851 thousand as of December 31, 2023[125] - Trade-related payables to Shenzhen Spark Fantasy Interactive Entertainment Co., Ltd. increased to RMB 2,334 thousand as of June 30, 2024, up from RMB 1,998 thousand as of December 31, 2023[126] - Total remuneration for key management personnel in the first half of 2024 was RMB 23,233 thousand, including RMB 17,766 thousand in equity-settled share-based payments[127] - Financial assets at fair value through profit or loss decreased to RMB 1,918,832 thousand as of June 30, 2024, down from RMB 2,021,044 thousand as of December 31, 2023[129] - Financial liabilities at amortized cost decreased to RMB 799,053 thousand as of June 30, 2024, down from RMB 843,731 thousand as of December 31, 2023[130] - The fair value of financial instruments measured at amortized cost is considered to be reasonably close to their carrying amounts due to their short-term nature[131] - Fair value of financial assets measured at fair value through profit or loss increased to RMB 1,918,832 thousand as of June 30, 2024, compared to RMB 2,021,044 thousand as of December 31, 2023[136] - Non-listed equity investments under fair value through profit or loss decreased to RMB 1,155,715 thousand as of June 30, 2024, from RMB 1,251,887 thousand as of December 31, 2023[136] - Contingent consideration for business combinations under fair value through profit or loss increased to RMB 101,000 thousand as of June 30, 2024, from RMB 100,000 thousand as of December 31, 2023[137] - The long-term growth rate for fair value measurement using discounted cash flow method is 2%, with an operating profit margin range of 15% to 58%[133] - The weighted average cost of capital (WACC) for fair value measurement ranges from 17% to 26% as of June 30, 2024, compared to 17% to 25% as of December 31, 2023[133] - The market liquidity discount for fair value measurement using the adjusted net asset method based on equity distribution remains at 16% as of June 30, 2024[133] - The volatility for fair value measurement using the binomial model ranges from 55% to 94% as of June 30, 2024, compared to 53% to 94% as of December 31, 2023[133] - The discount rate for fair value measurement using the discounted cash flow method ranges from 23% to 29% as of June 30, 2024, compared to 22% to 26% as of December 31, 2023[133] - The estimated net income volatility for fair value measurement using the Monte Carlo simulation method is 54% as of June 30, 2024, compared to 51% as of December 31, 2023[134] - The discount rate for fair value measurement using the discounted cash flow method for financial liabilities is 8% as of June 30, 2024, compared to 7% as of December 31, 2023[134] User Metrics - Average monthly active users (MAU) for the six months ended June 30, 2024, were 14,392 thousand, down from 15,627 thousand in the same period in 2023[11] - Average monthly paying users (MPU) for the six months ended June 30, 2024, were 1,027 thousand, down from 1,132 thousand in the same period in 2023[11] - ARPPU (Average Revenue Per Paying User) for the six months ended June 30, 2024, was RMB 200.2, down from RMB 226.1 in the same period in 2023[11] - Total new registered users for the six months ended June 30, 2024, were 47,297 thousand, down from 48,683 thousand in the same period in 2023[11] - ARPPU (Average Revenue Per Paying User) is a key metric for the company, calculated as the revenue recognized from a specific game, game type, or all games divided by the number of paying users for that game, game type, or all games during a specific period[141] - The company's monthly active users (MAU) and monthly paying users (MPU) are critical metrics, with MAU referring to the number of active users in a given month and MPU referring to the number of paying users in a given month[142] Game Performance and Launches - The company's self-developed game "Sword and Fairy World" is expected to launch within 2024, with no revenue generated during the testing period[10] - The game "Douluo Continent: Shrek Academy" generated over RMB 100 million in revenue in its first month after launch in January 2024[12] - The game "Battle Through the Heavens: Peak Duel" was officially launched in mainland China in June 2024, with pre-registrations exceeding 6 million[12] - The new mini-game "消個錘子" ranked 32nd on the WeChat Game Best-Seller List and first in the tower defense and merge-elimination category, with plans to expand to more domestic channels and overseas regions including Hong Kong, Macau, Taiwan, Singapore, and Malaysia[13] - The card-based RPG game "新仙劍奇俠傳之揮劍問情" achieved the top spot on the Apple App Store free chart in Hong Kong, Macau, and Taiwan, and ranked first on the best-seller chart in Hong Kong and Macau, and third in Taiwan during its launch month[14] - The open-world game "仙劍世界" has nearly 5 million pre-registrations and is expected to launch in 2024 after its fourth test[16] - The strategic game "城主天下" is in the optimization phase and is expected to scale up promotion in the second half of 2024[17] - The company's game "Douluo Continent: Shrek Academy" won the "Best National Comic IP Game" award at the Huawei Developer Conference in

Financial Performance - The company's revenue for the six months ended June 30, 2024, was RMB 1,233.3 million, a decrease of 19.7% compared to RMB 1,535.4 million in the same period of 2023[2]. - The net loss for the period was RMB 241.1 million, compared to a profit of RMB 50.995 million in the previous year, primarily due to investment impairments and non-operating expenses totaling RMB 175.8 million[3]. - Total revenue for the six months ending June 30, 2024, was RMB 1,233.3 million, a decrease of approximately 19.7% from RMB 1,535.4 million for the same period in 2023[26][29]. - The adjusted net loss attributable to the parent company for the six months ending June 30, 2024, was RMB 236.2 million, compared to a profit of RMB 56.8 million in the same period of 2023[27]. - The group's pre-tax profit/loss shifted from a profit of RMB 42.6 million for the six months ended June 30, 2023, to a loss of RMB 210.6 million for the six months ended June 30, 2024[45]. - The total comprehensive loss for the six months ended June 30, 2024, was RMB 228.7 million, compared to a comprehensive income of RMB 86.5 million in the same period of 2023[54]. - The group's net loss for the period transitioned from a profit of RMB 51.0 million to a loss of RMB 241.1 million[47]. User Engagement - Average monthly active users decreased to 14,392 thousand from 15,627 thousand year-over-year, while average monthly paying users fell to 1,027 thousand from 1,132 thousand[5]. - The mobile game "Douluo Dalu: Shrek Academy" launched in Hong Kong, Macau, and Taiwan on August 22, 2024, achieving first place on the Apple Store free chart and fourth on the sales chart in Hong Kong, and seventh in Taiwan within the first week[22]. Game Development and Releases - The company plans to launch multiple new games in the second half of 2024, which are expected to improve operational performance[3]. - The mobile game "Doupo Cangqiong: Pinnacle Duel" was delayed to June 2024, while "Douluo Dalu: Reverse Time" is now scheduled for September 2024[3]. - The company's self-developed game based on the "Xianjian Qixia Zhuan" IP, "Xianjian World," is set to launch in 2024[3]. - The game "Xianjian World," developed by the company's Man Tian Xing Studio, has received dual licenses for PC and mobile platforms in June 2023, after over three years of development[11]. - The company plans to launch the mobile game "Douluo Dalu: Reversal of Time" in September 2024, which has a development investment of RMB 200 million and features high-quality graphics and unique gameplay mechanics[19]. - The company plans to launch new games including "Code: FA" and "Xiao Ge Chui Zi" in the second half of 2024, and "True: Dynasty Warriors" in Japan[22]. Revenue Streams - Game publishing revenue accounted for 81.1% of total revenue in the first half of 2024, amounting to RMB 999.9 million, compared to 79.3% in the same period of 2023[29]. - The company's IP licensing revenue for the first half of 2024 reached approximately RMB 107.1 million, representing a year-on-year growth of 79.0%[15]. - The company generated RMB 1,056,960 thousand in revenue from the mainland China market, which accounted for approximately 85.7% of total revenue[65]. - The company's revenue from intellectual property licensing was RMB 107,081 thousand, an increase from RMB 59,806 thousand in the previous year, representing an increase of approximately 79.1%[62][67]. Cost Management - Total sales costs decreased by approximately 15.6% from RMB 1,019.2 million for the six months ended June 30, 2023, to RMB 860.6 million for the six months ending June 30, 2024[31]. - Gross profit decreased by 27.8% from RMB 516.2 million for the six months ended June 30, 2023, to RMB 372.8 million for the six months ending June 30, 2024, with a gross margin decline from 33.6% to 30.2%[33]. - Sales and distribution expenses increased by 23.5% from RMB 120.3 million for the six months ended June 30, 2023, to RMB 148.6 million for the six months ending June 30, 2024[36]. - Marketing expenses rose significantly to RMB 136.0 million, accounting for 11.0% of total revenue, compared to RMB 100.9 million and 6.5% in the previous period[36]. Strategic Initiatives - The company is applying generative AIGC technology to reduce game development costs and enhance efficiency, particularly in art production and NPC behavior generation[14]. - A strategic collaboration with Guangzhou Super Competitive Investment Co., Ltd. aims to leverage offline and online resources to enhance player engagement and expand the game's reach[16]. - The company aims to enhance its IP matrix across various sectors including games, literature, and entertainment experiences, targeting young consumers interested in traditional Chinese culture[25]. - The company has initiated operations for the "Xianjian" immersive project in Chongqing in December 2023, with plans to start operations in Hangzhou and Changzhou in July 2024[24]. Financial Position - As of June 30, 2024, the group's current assets were approximately RMB 2,068.5 million, with current liabilities of about RMB 1,241.4 million, resulting in a current ratio of 1.67[48]. - The group's total equity attributable to owners of the parent was RMB 5,493.4 million as of June 30, 2024, compared to RMB 5,694.8 million as of December 31, 2023[57]. - The group's non-current assets totaled RMB 4,779.2 million as of June 30, 2024, a slight decrease from RMB 4,873.6 million as of December 31, 2023, with goodwill valued at RMB 1,042.5 million[55]. Corporate Governance - The company has complied with the corporate governance code, except for the separation of the roles of Chairman and CEO, which are currently held by the same individual[94]. - All directors confirmed compliance with the trading standards for securities during the period from January 1 to June 30, 2024[95]. - The audit committee reviewed the unaudited consolidated financial statements and discussed matters related to audit, risk management, and internal controls[96].