Core Viewpoint - The company reported a significant increase in net profit for the first half of 2025, driven by growth in online music services despite a decline in overall revenue [1] Financial Performance - In H1 2025, the company achieved revenue of 3.827 billion yuan, a year-on-year decrease of 6.0% [1] - The net profit attributable to shareholders reached 1.885 billion yuan, marking a year-on-year increase of 132.8% [1] - Online music service revenue was 2.967 billion yuan, reflecting a year-on-year growth of 15.9% [1] - Membership subscription revenue accounted for over 80% of online music service revenue, totaling 2.470 billion yuan [1] - Operating profit for H1 2025 was 845 million yuan, showing significant growth due to reduced promotional and advertising expenses [1] - The gross profit margin improved to 36.4%, an increase of 1.4% year-on-year [1] Cost Management - Sales and marketing expenses decreased by 55.8% to 163 million yuan [1] - General and administrative expenses increased by 3.6% to 93 million yuan, primarily due to higher legal and professional fees [1] - R&D expenses decreased by 4.2% to 379 million yuan, attributed to improved operational efficiency [1] Strategic Initiatives - The company is focused on enhancing its content ecosystem and optimizing user experience in music consumption [1] - It has strengthened partnerships with copyright holders, adding content from popular K-Pop labels and expanding into diverse music genres [1] - The platform has over 819,000 independent musicians and approximately 4.8 million music tracks uploaded [1] - The company aims to develop high-quality, original music content and improve user music discovery and listening experiences [1]

25H1 公司毛利率同比上升1.4pct 至36.4%（彭博一致预期中值35.4%），主因社交娱乐收入分成下降， 同时内容授权成本控制良好。25H1 公司销售费用同比减少55.8%，由3.69 亿元降至1.63 亿元（对应费 用率下降4.8pct），其中推广及广告费用同比由3.29 亿元下降至1.08 亿元，主因公司采取更为审慎的推 广策略。得益于良好的成本费用控制，25H1 经营利润同比增长40.8%至8.45 亿元，验证可持续盈利能 力。25H1 经调整净利润同比增长121%至19.46 亿元，其中确认全资子公司产生的递延所得税抵免8.49 亿元，去掉该一次性影响后，经调整净利润约11 亿元，yoy+25%。 维持"买入"评级 考虑到25H1 毛利率及销售费用率优化好于预期，经营杠杆有望持续兑现，并考虑到一次性递延税项的 影响，我们预计25/26/27E 调整后归母净利润为30.91/26.56/29.83（上调61%/29%/36%）。考虑到公司稳 定盈利，从DCF切换为PE 估值，基于26 年调整后归母净利润（避免一次性税项影响），给予公司 26.86x 26E PE（同可比公司彭博一致预期均值），目 ...

Core Insights - The company reported 1H25 performance with revenue of 3.827 billion yuan, a year-on-year decline of 6%, aligning closely with expectations [1] - Non-IFRS net profit reached 1.946 billion yuan, significantly increasing due to the recognition of deferred tax assets from accumulated tax losses [1] - The company maintained a strong control over sales expenses, leading to a tax pre-profit of 1.068 billion yuan, exceeding expectations [1] Revenue Breakdown - Online music revenue for 1H25 was 2.967 billion yuan, a year-on-year increase of 15.9%, driven by a growth in paid user numbers [1] - Subscription revenue grew by 15.2%, while non-subscription revenue increased by 19.7%, although some dilution occurred due to changes in membership structure [1] - Social entertainment and other revenues fell by 43.1% to 860 million yuan, attributed to a cautious operational strategy focusing on core music business [1] Profitability and Cost Management - The gross margin for 1H25 improved to 36.4%, up 1.4 percentage points year-on-year [2] - Sales expenses are expected to increase to 225 million yuan in 2H25, while management and R&D expenses remain stable [2] - The company anticipates a tax rate of 15% for 2H25 and 2026, impacting profit levels [2] Strategic Focus - The company is committed to enhancing its core music ecosystem and expanding long audio content offerings [2] - User engagement metrics such as DAU/MAU remained stable above 30%, with a focus on user experience and innovative features [2] - The company aims to solidify its differentiated position in the industry, supporting long-term growth in music revenue [2] Earnings Forecast and Valuation - The Non-IFRS net profit forecasts for 2025 and 2026 have been raised by 60% and 10% to 2.85 billion yuan and 2.13 billion yuan, respectively [2] - The target price has been increased by 39% to 324 HKD, indicating a 20% upside potential from the current price [2] - The current price corresponds to a 24 times P/E ratio for 2026 Non-IFRS earnings [2]

Investment Rating - The report maintains a "Buy" rating for NetEase Cloud Music (9899.HK) [4] Core Insights - The company reported a slight revenue miss but exceeded profit expectations due to a reduction in sales expenses. Revenue for 1H25 was RMB 38.3 billion, down 6% year-over-year, compared to Bloomberg's consensus estimate of RMB 39.1 billion. Gross profit reached RMB 13.9 billion, with a gross margin of 36.4%, an increase of 1.4 percentage points year-over-year. Operating profit was RMB 8.45 billion, up 40.8% year-over-year, primarily due to reduced sales expenses. Adjusted net profit attributable to shareholders was RMB 19.5 billion, a significant increase of 121% year-over-year, mainly due to the recognition of deferred tax assets amounting to RMB 8.5 billion [1][4] Revenue Breakdown - Online music service revenue for 1H25 was RMB 29.7 billion, reflecting a year-over-year growth of 15.9%. Subscription revenue grew by 15.2% to RMB 24.7 billion, driven by an increase in membership subscriptions, while social entertainment services and other revenues fell by 43.1% to RMB 8.6 billion due to the closure of the live streaming entry after the 2024 year-end version update [2][3] User Engagement and Product Development - The platform continues to enhance user engagement through product innovation and community ecosystem improvements. The NetEase Cloud Music app has introduced features such as personalized recommendations and AI functionalities, maintaining a daily active users to monthly active users ratio (DAU/MAU) above 30% [3] Cost Management - The company has effectively controlled costs, with sales expenses decreasing by 55.8% year-over-year to RMB 1.63 billion, attributed to a cautious promotional strategy. Management expenses increased by 3.6% to RMB 930 million, while R&D expenses decreased by 4.2% to RMB 3.79 billion [3] Profit Forecast and Valuation - The adjusted net profit forecast for 2025 has been raised to RMB 29.4 billion, a 55% increase from previous estimates. The adjusted net profit for 2026 and 2027 is also revised upward to RMB 25.9 billion and RMB 28.6 billion, representing increases of 19% and 17% respectively [4][5]

Investment Rating - The report maintains a "Buy" rating for NetEase Cloud Music, with a target price updated to 312 HKD for 2026, based on a PE of 28X [5][25]. Core Insights - The company's subscription business is experiencing steady growth, significantly reducing promotional and advertising expenses. The financial structure is improving, and the trend towards commercialization is positive [3][11]. - The report highlights that the online music business is growing healthily, while the social entertainment segment is under pressure [21][25]. Financial Summary - Revenue projections for 2023A to 2027E are as follows: 7,867 million RMB in 2023, 7,950 million RMB in 2024, 7,902 million RMB in 2025, 8,649 million RMB in 2026, and 9,375 million RMB in 2027, with a growth rate of -12.5% in 2023 and a projected increase of 9.5% in 2026 [4][25]. - Gross profit is expected to rise from 2,103 million RMB in 2023A to 3,807 million RMB in 2027E, with gross margin improving from 26.7% to 40.6% over the same period [4][25]. - Adjusted net profit is forecasted to be 819 million RMB in 2023, increasing to 2,458 million RMB by 2027, with a significant jump of 107.7% in 2024 [4][25]. Business Performance Overview - In the first half of 2025, the company achieved a revenue of 38.3 billion RMB, a year-on-year decrease of 6.0%. The gross margin was 36.4%, reflecting a year-on-year increase of 1.4 percentage points [25]. - Online music revenue reached 29.7 billion RMB, up 15.9% year-on-year, with subscription revenue growing by 15.2% to 24.7 billion RMB [21][25]. - The social entertainment and other business revenues faced a decline of 43.1% year-on-year, totaling 8.6 billion RMB [21][25]. User Engagement and Community Growth - The report notes a steady increase in monthly active users, with improvements in user engagement metrics such as DAU/MAU ratios and listening duration [25]. - As of June 2025, the platform has over 819,000 registered independent musicians, contributing approximately 4.8 million music tracks [25]. Profitability Forecast and Investment Recommendations - The adjusted net profit for 2025-2027 is projected at 27.58 billion RMB, 22.22 billion RMB, and 24.58 billion RMB, respectively, indicating a growth of 62.3% in 2025, followed by a decline of 19.5% in 2026, and a recovery of 10.6% in 2027 [25]. - The report emphasizes the high entry barriers in the online music service industry and the stable competitive landscape, suggesting significant potential for profitability improvement for NetEase Cloud Music [25].

Investment Rating - The report initiates coverage with a "Buy" rating for the company [9]. Core Views - The company has demonstrated a significant increase in online music service revenue, with a 15.9% year-on-year growth, contributing to a net profit of 18.85 billion yuan in H1 2025, which is a 132.8% increase compared to the previous year [2][3]. - The company is focusing on enhancing its content ecosystem and user experience, while also exploring innovative product features and expanding music consumption scenarios [3]. Financial Summary - In H1 2025, the company achieved a revenue of 38.27 billion yuan, a decrease of 6.0% year-on-year, primarily due to a decline in social entertainment service revenue [2]. - The operating profit for H1 2025 was 8.45 billion yuan, showing a substantial increase, attributed to reduced promotional and advertising expenses [2]. - The gross margin improved to 36.4%, reflecting a 1.4% increase year-on-year [2]. - The company expects EPS for 2025-2027 to be 12.70, 10.31, and 12.13 yuan respectively, with corresponding P/E ratios of 20X, 24X, and 20X [3][4]. Market Data - The target price for the stock is set at 317.8 HKD, with the current closing price at 270.20 HKD [5]. - The stock has shown a 199% absolute return over the past 12 months [6].

Investment Rating - The investment rating for NetEase Cloud Music (09899.HK) is "Buy" (maintained) [4][11]. Core Insights - The report highlights that NetEase Cloud Music continues to experience high growth, driven by an expansion of its music library and optimization of its ecosystem [4]. - In H1 2025, the company achieved operating revenue of 3.83 billion yuan (down 6% year-on-year), with a net profit attributable to shareholders of 1.89 billion yuan (up 132.8% year-on-year) [4]. - The adjusted operating profit was 910 million yuan (up 35% year-on-year), and the adjusted net profit was 1.95 billion yuan (up 121% year-on-year) [4]. - The gross margin improved to 36.4% compared to 35% in H1 2024, primarily due to the recognition of deferred tax credits and reduced advertising expenses [4]. Revenue and Profitability - Online music revenue for H1 2025 was 2.97 billion yuan (up 15.9% year-on-year), with subscription service revenue at 2.47 billion yuan (up 15.2% year-on-year) [5]. - The company is focusing on enhancing its core music monetization capabilities, leading to stable growth in monthly active users and paying users [5]. - The report projects net profits for 2025-2027 to be 2.95 billion, 2.45 billion, and 2.95 billion yuan respectively, with corresponding P/E ratios of 18.2, 21.9, and 18.3 times [4]. Music Library and User Experience - The company is continuously expanding its music copyright, having established agreements with popular K-Pop labels and focusing on various music genres [6]. - As of June 2025, the platform had 819,000 registered independent musicians (up 11.9% year-on-year) and approximately 4.8 million uploaded tracks (up 33.3% year-on-year) [6]. - The introduction of innovative features and a streamlined app interface has received positive feedback from users, potentially enhancing user engagement and monetization opportunities [6].

证券研究报告 港股通 网易云音乐 (9899 HK) 盈利超预期，经营杠杆持续释放 2025 年 8 月 15 日│中国香港 互联网 | 华泰研究 | | 中报点评 | 投资评级(维持): | 买入 | | --- | --- | --- | --- | --- | | 2025 年 8 月 | 15 日│中国香港 | 互联网 | 目标价(港币): | 360.42 | | | | | 夏路路 | 研究员 | SAC No. S0570523100002 SFC No. BTP154 +(852) 3658 6000 詹博 研究员 zhanbo@htsc.com SAC No. S0570523110002 SFC No. BUS698 郑裕佳 研究员 SAC No. S0570524070002 SFC No. BTB676 zhengyujia@htsc.com +(86) 10 6321 1166 基本数据 | 目标价 (港币) | 360.42 | | --- | --- | | 收盘价 (港币 截至 8 月 14 日) | 270.20 | | 市值 (港币百万) | 58,849 | | 6 个月 ...

今年上半年，公司在线音乐服务业务实现收入29.7亿元，同比增长15.9%数据显示，上半年度，网易云 音乐每月活跃用户总数保持稳定增长，日活跃用户数/月活跃用户数比率稳居30%以上，会员订阅服务 也收入从2024年上半年度的21.4亿元增长至今年上半年度的24.7亿元，增幅达15.2%。 消息面上，网易云音乐发布截至2025年6月30日止6个月的中期业绩，该集团取得收入人民币38.27亿元 (单位下同)；公司权益持有人期内利润18.85亿元，同比增加132.83%；每股基本盈利8.96元；经调整净 利润19.46亿元，同比增加120.99%。上半年度毛利率水平达36.4%，创公司历史同期新高。 网易云音乐(09899)涨超5%，截至发稿，涨5.11%，报284港元，成交额1.74亿港元。 ...

今年上半年，公司在线音乐服务业务实现收入29.7亿元，同比增长15.9%数据显示，上半年度，网易云 音乐每月活跃用户总数保持稳定增长，日活跃用户数/月活跃用户数比率稳居30%以上，会员订阅服务 也收入从2024年上半年度的21.4亿元增长至今年上半年度的24.7亿元，增幅达15.2%。 智通财经APP获悉，网易云音乐(09899)涨超5%，截至发稿，涨5.11%，报284港元，成交额1.74亿港 元。 消息面上，网易云音乐发布截至2025年6月30日止6个月的中期业绩，该集团取得收入人民币38.27亿元 (单位下同)；公司权益持有人期内利润18.85亿元，同比增加132.83%；每股基本盈利8.96元；经调整净 利润19.46亿元，同比增加120.99%。上半年度毛利率水平达36.4%，创公司历史同期新高。 ...