Core Viewpoint - NetEase Cloud Music Inc. reported a modest revenue growth of 1.1% for fiscal year 2024, driven by a significant increase in online music services and subscription memberships, while also focusing on enhancing user engagement and community building [1][7][11]. Financial Performance - Revenue for 2024 reached RMB 7,950.1 million, up from RMB 7,867.0 million in 2023, marking a 1.1% increase [2][7]. - Gross profit increased by 27.5% to RMB 2,681.5 million from RMB 2,102.7 million in 2023, with gross margin improving to 33.7% from 26.7% [2][11]. - Net profit surged by 113.2% to RMB 1,565.4 million compared to RMB 734.2 million in 2023, while adjusted net profit reached RMB 1,700.1 million, more than doubling from RMB 818.5 million in 2023 [2][11]. Business Overview - The company focused on strengthening its core music business and enhancing user engagement through expanded content offerings, personalized recommendations, and innovative features [5][10]. - Monthly active users (MAUs) increased, with a DAU/MAU ratio maintained above 30%, indicating strong user engagement [6][8]. Revenue Breakdown - Revenue from online music services grew by 23.1% to RMB 5,400.1 million, driven by increased subscription memberships, which rose to RMB 4,500.0 million from RMB 3,600.0 million in 2023 [7][10]. - Revenue from social entertainment services declined to RMB 2,600.0 million from RMB 3,500.0 million in 2023, reflecting a strategic shift towards the core music business [7][11]. Community and Content Development - The company expanded its music content library, focusing on popular genres among younger audiences and enhancing partnerships with major music labels [9][12]. - The platform celebrated the 10th anniversary of its independent musician platform, supporting over 773,500 registered independent artists [16][18]. Future Initiatives - The company plans to enhance its content ecosystem, strengthen partnerships with copyright holders, and improve user engagement through innovative features and community-building initiatives [12][14]. - Continued focus on optimizing profitability through disciplined operations and cost management is a key strategic priority [14][11].

Core Viewpoint - NetEase, Inc. reported its unaudited financial results for the fourth quarter and fiscal year ended December 31, 2024, highlighting a strong performance in gaming and related services, despite some declines in specific segments [1]. Financial Highlights - Net revenues for Q4 2024 were RMB 26.7 billion (US$ 3.7 billion), a slight decrease of 1.4% compared to Q4 2023 [7]. - Net revenues from games and related services were RMB 21.2 billion (US$ 2.9 billion), an increase of 1.5% year-over-year [8]. - Gross profit for Q4 2024 was RMB 16.3 billion (US$ 2.2 billion), down 3.3% from the same quarter in 2023 [11]. - Net income attributable to shareholders for Q4 2024 was RMB 8.8 billion (US$ 1.2 billion), compared to RMB 6.6 billion in Q4 2023 [21]. Operational Highlights - The company launched several successful new titles, including "Marvel Rivals," which quickly became a top seller on Steam, and "Where Winds Meet," which achieved over 3 million downloads shortly after launch [13]. - Youdao and NetEase Cloud Music showed healthy development, with Youdao achieving a 10.3% year-over-year increase in operating profit [6][13]. Fiscal Year 2024 Results - Total net revenues for fiscal year 2024 were RMB 105.3 billion (US$ 14.4 billion), up from RMB 103.5 billion in 2023 [23]. - Net revenues from games and related services for the fiscal year were RMB 83.6 billion (US$ 11.5 billion), an increase from RMB 81.6 billion in 2023 [24]. - Net income attributable to shareholders for fiscal year 2024 was RMB 29.7 billion (US$ 4.1 billion), slightly up from RMB 29.4 billion in 2023 [32]. Gross Profit and Margins - Gross profit margin for games and related services in Q4 2024 was 66.7%, down from 69.5% in Q4 2023 [14]. - Gross profit margin for Youdao was 47.8%, a decrease from 49.9% in the same quarter of 2023 [15]. - NetEase Cloud Music's gross profit margin improved to 31.9% year-over-year, attributed to better cost control and increased subscription revenues [16]. Operating Expenses - Total operating expenses for Q4 2024 were RMB 8.5 billion (US$ 1.2 billion), a decrease of 15.1% compared to Q4 2023 [18]. - The reduction in operating expenses was primarily due to lower marketing expenditures related to games [18]. Cash Flow and Dividends - Net cash provided by operating activities for fiscal year 2024 was RMB 39.7 billion (US$ 5.4 billion), an increase from RMB 35.3 billion in 2023 [34]. - The board approved a dividend of US$ 0.24405 per share for Q4 2024, payable in March 2025 [35].

Core Viewpoint - NetEase Cloud Music Inc. will report its financial results for the fiscal year 2024 on February 20, 2025, after the Hong Kong market closes [1] Group 1: Financial Reporting - The earnings conference call is scheduled for 7:00 p.m. Beijing/Hong Kong Time on February 20, 2025 [2] - Participants must register online to receive dial-in numbers, an event passcode, and a personal access PIN for the conference call [2] Group 2: Replay and Webcast Information - A replay of the earnings call will be available until February 27, 2025, with specific phone numbers provided for different regions [3] - A live and archived webcast of the conference call will be accessible on the Company's investor relations website [3] Group 3: Company Overview - NetEase Cloud Music Inc. was launched in 2013 and is recognized as a leading online music platform in China, focusing on user experience and community engagement [4] - The platform is popular among Generation Z in China and emphasizes discovering and promoting emerging musicians [4]

Core Viewpoint - NetEase, Inc. will report its financial results for the fourth quarter and fiscal year 2024 on February 20, 2025, before the U.S. markets open [1] Group 1: Financial Reporting - The earnings teleconference call will occur at 7:00 a.m. Eastern Time on February 20, 2025, with management discussing quarterly results and answering questions [2] - Interested parties can participate in the conference call by dialing 1-914-202-3258 and providing conference ID: 10044895, 15 minutes prior to the call [3] - A replay of the call will be available until February 27, 2025, and will also be webcast live for 12 months on NetEase's Investor Relations website [3] Group 2: Company Overview - NetEase, Inc. is a leading internet and game services provider focused on premium content, with a strong presence in both mobile and PC gaming [4] - The company boasts one of the largest in-house game R&D teams, creating superior gaming experiences and delivering value to its global community [5] - Beyond gaming, NetEase's offerings include Youdao, an intelligent learning company, NetEase Cloud Music, an online music platform, and Yanxuan, a private label consumer lifestyle brand [6]

上汽、吉利、比亚迪向欧盟法院提起诉讼，反对加征反补贴关税。 上汽集团、吉利控股和比亚迪就欧盟对中国电动汽车加征反补贴税一事，向欧盟普通法院提起诉讼。 此次诉讼是因为 2024 年 10 月底欧盟对中国制造的电动汽车加征反补贴关税，为期五年。比亚迪被加征 17% 关税，吉利为 18.8%，上汽集团最高为 35.3%。欧盟认为中国企业通过政府补贴压低出口价格，导 致不公平竞争。 上汽集团对此裁决表示强烈不满，认为调查过程中存在信息遗漏和认定错误。令中国车企感到不满的还 有对特斯拉中国的单独审查，这让特斯拉中国获得最低的额外关税，仅被加征 7.8%。 上汽是受欧盟反补贴关税影响最大的厂商，2024 年全年上汽集团海外销售汽车 108.2 万辆，根据欧洲汽 车制造商协会 ACEA 数据，上汽去年在欧洲市场的销量达 24.5 万辆，是欧盟地区销量最好的中国车 企。 并且，上汽也有持续进军欧洲市场的计划，集团旗下的智己汽车联席 CEO 刘涛在去年 2 月的媒体沟通 会上表示，2025 年，智己 LS6、L6 两款产品在欧洲等市场进行布局。 迷因币是加密货币的一种，受网络潮流、热梗启发而生，任何人都可以发行，多数只是个玩笑 ...

Investment Rating - The report maintains a "Buy" rating for the company, with a target price raised to $124.00, indicating a potential upside of 24.9% from the current price of $99.31 [2][3][4]. Core Insights - The company is expected to see accelerated growth in PC games and stable performance in mobile games, leading to a double-digit growth in overall gaming revenue for the year [3][8]. - Revenue and profit forecasts for 2025 have been adjusted upwards by 1% and 3% respectively, reflecting better-than-expected performance from new game releases [3][8]. - The anticipated growth in PC games is driven by new titles such as "Marvel's Contest of Champions," which is expected to contribute significantly to revenue [8][9]. Financial Forecasts - The updated revenue projections for 2024E and 2025E are RMB 106,289 million and RMB 116,667 million, respectively, reflecting growth rates of 2.7% and 9.8% [7][9]. - The adjusted net profit for 2025 is projected to be RMB 35,081 million, with a net profit margin of 30.1% [7][9]. - The report highlights a significant increase in the number of players for new games, with "Marvel's Contest of Champions" reaching over 20 million players shortly after launch [8][9]. Market Performance - The company's stock has shown a year-to-date increase of 11.32%, with a 52-week high of $113.14 and a low of $76.28 [6][9]. - The average daily trading volume is reported at 1.91 million shares, indicating active market participation [6][9]. Valuation Metrics - The target price is based on a 17x price-to-earnings ratio for 2025, with an expected adjusted operating profit growth rate of 17% [3][9]. - The report indicates a projected gross profit margin of 62.4% for 2024E, slightly decreasing to 61.4% in 2025E [7][9].

Investment Rating - The report maintains a "Buy" rating for the company with a target price of HKD 180.0, while the current price is HKD 153.8 [4]. Core Insights - The performance of new games such as "Marvel Showdown" and the recovery of "Yanyun Sixteen Sounds" are expected to drive the company's stock price higher. "Marvel Showdown" has shown strong user engagement and sales, with an estimated first-month revenue of RMB 400 million on Steam and a global first-month total revenue expected to reach RMB 1 billion [1][2]. - The company has adjusted its profit forecasts for 2024-2026, increasing the expected net profit to RMB 317.9 billion, RMB 355.0 billion, and RMB 383.0 billion respectively, reflecting a growth of 1.6%, 6.1%, and 7.9% compared to previous estimates [2]. Summary by Sections Game Performance - "Marvel Showdown" has achieved significant online player engagement, reaching 450,000 concurrent users on Steam and ranking high on various sales charts across platforms [1][7]. - "Yanyun Sixteen Sounds" has successfully launched on mobile, topping the iPhone role-playing game download charts and surpassing 10 million players within five days of its release [1]. - "Infinite" has received positive feedback from its closed beta testing, showcasing a variety of gameplay features and potential for expansion in the two-dimensional game market [1]. Financial Projections - The company’s revenue is projected to grow from RMB 96.5 billion in 2023 to RMB 125.0 billion by 2026, with a compound annual growth rate of approximately 7.2% [3][11]. - The Non-GAAP net profit is expected to increase from RMB 31.8 billion in 2024 to RMB 38.3 billion in 2026, indicating a steady growth trajectory [3][11]. Market Position - The report highlights the company's strong position in the gaming industry, with a focus on high-quality game production and successful IP utilization, which is expected to enhance long-term market confidence [1][2].

Company Overview - NetEase (NTES) shares increased by 8.2% to close at $103.92, with trading volume significantly higher than usual, compared to a 2.6% gain over the past four weeks [1] Technological Advancements - The optimism surrounding NetEase is largely due to its commitment to technological advancements, particularly in AI-driven subscription services, which have enhanced functionality and user appeal [2] Earnings Expectations - NetEase is expected to report quarterly earnings of $1.76 per share, reflecting a year-over-year increase of 10%, while revenues are projected to be $3.76 billion, a decrease of 1.6% from the previous year [3] Earnings Estimate Revisions - The consensus EPS estimate for NetEase has been revised down by 4.5% over the last 30 days, indicating a negative trend in earnings estimate revisions, which typically does not lead to price appreciation [4] Industry Context - NetEase belongs to the Zacks Internet - Software and Services industry, where another company, RingCentral (RNG), has seen a 2% increase in its stock price, but has returned -16.4% over the past month [4]

Investment Rating - The report maintains a "Buy" rating for the company, with a target price of HKD 163, indicating a potential upside of 20.2% from the current price of HKD 137.5 [1][5][11] Core Insights - The company's third-quarter performance has reached a bottom, and the launch of new games is expected to reverse the trend. Revenue for Q3 2024 was CNY 26.21 billion, a decline of 3.9% year-over-year, with net profit attributable to shareholders at CNY 6.5 billion, down 16.7% from the previous year [3][8] - The gaming segment showed resilience, with game revenue at CNY 20.2 billion, a quarter-over-quarter increase of 5%, and a year-over-year increase of 29% for PC games [3][8] - The company has a rich pipeline of new games, including "Yanyun Sixteen Sounds," which achieved 3 million downloads within five days of its PC launch, and several other titles expected to launch in 2025 [4][9] Financial Projections - Revenue projections for 2024-2026 are CNY 105.9 billion, CNY 112.4 billion, and CNY 119.4 billion, with year-over-year growth rates of 2.41%, 6.10%, and 6.20% respectively. Net profits are expected to be CNY 26.7 billion, CNY 30.7 billion, and CNY 36.3 billion for the same period [5][11] - The report employs a segmented valuation approach, assigning a PE ratio of 15x for the gaming business and 5x PS for other segments, leading to a target PE of 16x for 2025 [5][11] Business Segment Performance - NetEase Youdao reported revenue of CNY 1.6 billion in Q3 2024, a year-over-year increase of 2.2%, marking its first profitable third quarter [3][10] - NetEase Cloud Music generated revenue of CNY 2 billion, up 1.3% year-over-year, with a significant increase in subscription revenue contributing to overall growth [10]

Investment Rating - The investment rating for the company is "Buy" (maintained) [6]. Core Insights - The company has received approval for its self-developed game "Infinite" across mobile, client, and console platforms, alongside other titles such as "Top Pursuit" and "Legion War" [9]. - "Infinite" is characterized as a high-freedom, open-world RPG set in a two-dimensional urban environment, featuring diverse activities and modes that enhance user engagement and social interaction [9]. - The global pre-registration for "Infinite" has exceeded 8 million, indicating strong market interest and potential revenue growth post-launch [9]. - The company is also set to launch its martial arts open-world game "Yanyun Sixteen Sounds" for PC on December 27 [9]. Financial Summary - Current stock price is HKD 140.20, with a market capitalization of HKD 4,668.05 billion and a circulating market value of HKD 4,517.90 billion [6]. - The company’s projected financial performance includes revenue growth from HKD 103,468 million in 2023 to HKD 107,781 million in 2024, with a net profit forecast of HKD 29,290 million for 2024 [26]. - The expected EPS for 2024 is HKD 9.1, with a corresponding P/E ratio of 14.5 [26].