CMB International Global Markets | Equity Research | Company Update NetEase reported 4Q23 financial results on 29 Feb: total revenue grew by 7% YoY to RMB27.1bn, below our/consensus estimate of RMB28.8/28.2bn. NonGAAP net income was up by 53% YoY to RMB7.4bn, but 7% shy of consensus estimate, mainly due to the higher-than-expected marketing expenses (+24% YoY). Full-year total revenue/non-GAAP net income grew by 7%/43% YoY in FY23 respectively. Game revenue growth was slower than our expectation due to soft ...

NetEase, Inc. (NASDAQ:NTES) Q4 2023 Earnings Conference Call February 29, 2024 7:00 AM ET Company Participants Brandi Piacente - President of Piacente Financial Communications William Ding - CEO Bill Pang - Vice-President of Corporate Development Conference Call Participants Felix Liu - UBS Alex Poon - Morgan Stanley Lei Zhang - Bank of America Securities Yang Bai - CICC Jialong Shi - Nomura Lincoln Kong - Goldman Sachs Ritchie Sun - HSBC Operator Good day, and welcome to the NetEase 2023 Fourth Quarter and ...

| --- | --- | --- | --- | --- | |----------------------------------|-------|-------|-------|-------| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | N e t E a s e | | | | | | | | | | | | | | | | | | 4Q23 Investor Presentation | | | | | | | | | | | | Investor Relations Feb 29, 2024 | | | | | | | | | | | SAFE HARBOR STATEMENT This announcement contains statements of a forward-looking nature. These statements are made under the "safe harbor" provisions of the U.S. Private Securities L ...

HANGZHOU, China , Feb. 29, 2024 /PRNewswire/ -- Cloud Music Inc. (HKEX: 9899, "NetEase Cloud Music" or the "Company"), a leading interactive music streaming service provider in China, today announced its financial results for the fiscal year 2023 ended December 31, 2023. Summary of Key Financial and Operating Metrics (RMB in thousands, unless otherwise stated) Year ended 31 December 2023 2022       (Unaudited) (Unaudited) Financial Metrics Revenue 7,866,992 8,992,221 G ...

HANGZHOU, China, Feb. 29, 2024 /PRNewswire/ -- NetEase, Inc. (NASDAQ: NTES and HKEX: 9999, "NetEase" or the "Company"), a leading internet and game services provider, today announced its unaudited financial results for the fourth quarter and fiscal year ended December 31, 2023. Fourth Quarter 2023 Financial Highlights Net revenues were RMB27.1 billion (US$3.8 billion), an increase of 7.0% compared with the fourth quarter of 2022. Games and related value-added services net revenues were RMB20.9 billion (US ...

Financial Performance - Net revenues for Q4 2023 were RMB27.1 billion (US$3.8 billion), a 7.0% increase year-over-year[2] - Net revenues from games and related value-added services were RMB20.9 billion (US$2.9 billion), up 9.6% compared to Q4 2022[4] - Gross profit for Q4 2023 was RMB16.8 billion (US$2.4 billion), representing a 27.0% increase year-over-year[7] - Net income attributable to shareholders for Q4 2023 was RMB6.6 billion (US$927.1 million), down from RMB7.8 billion in the previous quarter[10] - Non-GAAP net income from continuing operations for Q4 2023 was RMB7.4 billion (US$1.0 billion), compared to RMB8.6 billion in the previous quarter[41] - For fiscal year 2023, net revenues were RMB103.5 billion (US$14.6 billion), an increase from RMB96.5 billion in fiscal year 2022[42] - Net income attributable to the Company's shareholders for fiscal year 2023 totaled RMB29.4 billion (US$4.1 billion), a 45.1% increase from RMB20.3 billion in fiscal year 2022[52] - Non-GAAP net income from continuing operations attributable to the Company's shareholders for fiscal year 2023 was RMB32.6 billion (US$4.6 billion), up 42.9% from RMB22.8 billion in fiscal year 2022[53] - Basic net income per share for the year ended December 31, 2023, was 9.15, compared to 6.23 in 2022, marking a 46.1% increase[73] - The company reported a net income from continuing operations of RMB 29,357,223 for the year ended December 31, 2023, up from RMB 19,218,426 in 2022[73] - Net income for the year ended December 31, 2023, was RMB 29,357,223, representing a significant increase from RMB 19,843,290 for the year ended December 31, 2022, reflecting a growth of approximately 48%[77] Revenue Breakdown - Net revenues from innovative businesses and others for Q4 2023 were RMB2.8 billion (US$387.7 million), a 12.9% increase year-over-year[6] - Cloud Music net revenues for Q4 2023 were RMB2.0 billion (US$279.7 million), a 16.4% decrease compared to Q4 2022[6] - Youdao's net revenues for Q4 2023 were RMB 1.48 billion, a slight decrease from RMB 1.45 billion in Q4 2022[78] - Total net revenues for the year ended December 31, 2023, reached RMB 103.47 billion, a 7.2% increase from RMB 96.50 billion in 2022[78] Profitability Metrics - The gross profit margin for games and related value-added services was 69.5% in Q4 2023, up from 59.1% in Q4 2022[28] - Gross profit for the year ended December 31, 2023, was RMB 63,063,394, up 19.5% from RMB 52,766,126 in 2022[73] - Operating profit for the year ended December 31, 2023, was RMB 27,709,144, reflecting a 41.4% increase compared to RMB 19,628,593 in 2022[73] - Cloud Music's gross profit margin improved to 30.3% in Q4 2023, up from 17.8% in Q4 2022[78] Expenses and Cash Flow - Total operating expenses for Q4 2023 were RMB10.0 billion (US$1.4 billion), a 13.0% increase year-over-year[8] - Total operating expenses for the year ended December 31, 2023, were RMB 35,354,250, an increase from RMB 33,137,533 in 2022[73] - Net cash provided by operating activities for fiscal year 2023 was RMB35.3 billion (US$5.0 billion), compared to RMB27.7 billion for fiscal year 2022, reflecting a 27.4% increase[54] - Cash flows from operating activities for the three months ended September 30, 2023, were RMB 9,843,920, compared to RMB 9,009,213 for the same period in 2022, indicating an increase of about 9%[77] Shareholder Returns - The Company initiated a share repurchase program of up to US$5.0 billion, with approximately 7.2 million ADSs repurchased for a total cost of US$644.1 million as of December 31, 2023[56] - The company declared a dividend of US$0.21597 per share for Q4 2023, payable on March 25, 2024[91] - The company paid dividends totaling RMB 2,423,355 to shareholders for the three months ended September 30, 2023, compared to RMB 2,018,984 for the same period in 2022[77] Balance Sheet Highlights - Net cash as of December 31, 2023, reached RMB110.9 billion (US$15.6 billion), an increase from RMB95.6 billion as of December 31, 2022[54] - Total assets increased to RMB185.9 billion (US$26.2 billion) as of December 31, 2023, up from RMB172.8 billion as of December 31, 2022[71] - Shareholders' equity rose to RMB124.3 billion (US$17.5 billion) as of December 31, 2023, compared to RMB104.7 billion as of December 31, 2022[71] Future Outlook - The company plans to continue its market expansion and product innovation strategies in 2024[78] - The Company’s management will host a teleconference call on February 29, 2024, to discuss quarterly results and answer questions[58]

NetEase (NTES) is set to report fourth-quarter 2023 results on Feb 29.The Zacks Consensus Estimate for fourth-quarter revenues currently stands at $3.96 billion, suggesting an increase of 7.6% from the figure reported in the year-ago quarter.The consensus mark for earnings has moved downward by 3 cents to $1.80 per share over the past 60 days, indicating a 68.2% increase from the year-ago quarter’s reported figure.The company’s earnings beat the Zacks Consensus Estimate thrice in the trailing four quarters ...

HANGZHOU, China, Feb. 7, 2024 /PRNewswire/ -- Cloud Music Inc. (HKEX: 9899 or the "Company"), a well-known online music platform featuring a vibrant content community, today announced that it will report its financial results for the fiscal year of 2023 ended December 31, 2023 on Thursday, February 29, 2024, after the Hong Kong market closes.The Company's management will host an earnings conference call at 7:00 p.m. Beijing/Hong Kong Time on Thursday, February 29, 2024 (6:00 a.m. U.S. Eastern Time on the sa ...

HANGZHOU, China, Feb. 7, 2024 /PRNewswire/ -- Youdao, Inc. ("Youdao" or the "Company") (NYSE: DAO), an intelligent learning company with industry-leading technology in China, today announced that it will report its fourth quarter and fiscal year 2023 financial results on Thursday, February 29, 2024, before the open of the U.S. markets.The earnings teleconference call with simultaneous webcast will take place at 5:00 a.m. Eastern Time on Thursday, February 29, 2024 (Beijing/Hong Kong Time: 6:00 p.m., Thursda ...

Beijing has quietly pulled the proposed curbs on the video game industry from the official website, weeks after the draft guidelines wiped tens of billions of dollars off the market value of local titans.The link to the draft rules was no longer accessible as of this morning, as first reported by Reuters. Shares of Tencent and NetEase jumped on the news.The move follows Beijing also removing a key official – the head of the publication bureau of Communist Party’s Propaganda Department – over the handling of ...