Group 1: Market Overview - On August 14, US stock indices opened lower, with the Nasdaq China Golden Dragon Index dropping over 2% at one point [1] - During the Asian trading session on the same day, A-shares and Hong Kong stocks experienced adjustments, with the Shanghai Composite Index down 0.46%, Shenzhen Component Index down 0.87%, Hang Seng Index down 0.37%, and Hang Seng Tech Index down 0.97% [2] Group 2: Company Performance - NetEase reported its Q2 2025 financial results, showing a net revenue of 27.9 billion yuan, a year-on-year increase of 9.4%, but below the expected 28.4 billion yuan; net profit attributable to shareholders was 8.6 billion yuan, with adjusted net profit at 9.5 billion yuan [4] - JD.com announced its Q2 financial results with revenue of 356.7 billion yuan (approximately 49.8 billion USD), a year-on-year growth of 22.4%, exceeding market expectations and marking the highest growth rate in nearly three years [7] - Xunlei's stock surged over 20% after reporting Q2 revenue of 10.4 million USD, a year-on-year increase of 30.6%, with a net profit of 8.3 million USD based on non-GAAP measures [8] - Weibo's stock rose nearly 10% following its Q2 revenue of approximately 445 million USD, a year-on-year increase of 1.6%, surpassing the expected 438.2 million USD [11] Group 3: Stock Movements - NetEase initially dropped over 9% but later reduced its losses to under 2% [2] - JD.com saw its stock rise over 3% before turning to a decline of more than 3% [5] - Other popular Chinese stocks like XPeng, Li Auto, and NIO fell over 4%, while companies like Kingsoft Cloud, Niu Technologies, and EHang dropped over 2% [7]

Weibo Q2 2025 Earnings Call Summary Company Overview - **Company**: Weibo - **Period**: Q2 2025 - **User Metrics**: - Monthly Active Users (MAUs): 588 million - Daily Active Users (DAUs): 261 million - **Financial Performance**: - Total Revenue: $444.8 million, a 2% year-over-year increase - Advertising Revenue: $383.4 million, also up 2% - Adjusted Operating Profit: $161.8 million, with a 36% margin - Net Income: $143.2 million, reflecting a 13% year-over-year increase - Diluted EPS: $0.54 USD [2][3][22] Core Strategies and Developments - **2025 Strategy**: Focus on maximizing user value by enhancing trending topics, entertainment content, and improving recommendation and search functionalities using large language models [4][2]. - **Homepage Feed Revamp**: - Transitioned to an interest-based feed as the default, integrating relationship-based recommendations. - Resulted in a 17 percentage point increase in recommended content consumption, reaching 43% of total consumption [6][7]. - **Content Distribution Shift**: - Moved from relationship-based to interest-based content distribution, enhancing user engagement and content quality [8][10]. - Over 50% of interest-based content in key verticals generated by cross-vertical creators, accounting for 60% of interest-based feed consumption [10] [2]. User Engagement and Content Strategy - **User Engagement**: - Enhanced algorithms improved content discovery and user stickiness. - Stable average per-user views post-upgrade [7][21]. - **Intelligent Search Enhancements**: - Significant improvements made to the intelligent search product, leading to over 50 million MAUs in June 2025, with a 60% increase in user engagement [12][25]. - **Advertising Strategy**: - Focus on content marketing to expand industry reach and enhance ad conversion. - Sustained investment in performance-based ads, leveraging hot topics and celebrity resources [14][17]. Industry Insights - **E-commerce Growth**: - E-commerce platforms showed significant year-over-year revenue growth, particularly during the June 18th shopping festival [15]. - **FMCG Sector Trends**: - Shift towards brand building through selective endorsements and content creation due to diminishing returns from performance-based marketing [16]. - **Challenges**: - Facing tough comparisons in Q3 due to last year's high base effect from the Olympics, impacting year-over-year growth rates [18][23]. Future Outlook - **Advertising Revenue Growth**: - Positive trajectory expected in Q3 and H2 2025, particularly in technology, e-commerce, and consumer goods sectors [26]. - **AI Integration**: - AI is enhancing ad targeting accuracy and streamlining ad creation processes, leading to higher eCPM for real-time bidding feed ads [17][27]. - **Commercialization Plans**: - Future commercialization of intelligent search products expected to focus on brand partnerships and traditional advertising within search results [24][28]. Conclusion Weibo's Q2 2025 performance reflects a stable user base and modest revenue growth, driven by strategic shifts in content distribution and user engagement initiatives. The company is well-positioned to leverage AI advancements and evolving advertising strategies to enhance its competitive edge in the social media landscape.

User Metrics - As of the end of Q2, Weibo's monthly active users reached 588 million, with daily active users at 261 million [1] Strategic Focus - Weibo's overall strategy for the year remains centered on user value, maintaining its leading position in hot topics and entertainment content ecosystems, and stabilizing the competitiveness of its social products [2] - The platform is enhancing its social attributes by leveraging accumulated social relationships and interest communities, improving user sharing and interaction [2] - In Q2, Weibo strengthened user interaction experiences in core product scenarios, particularly in comment sections for celebrities and top influencers, effectively improving discussion quality [2] Revenue and Profitability - In Q2, Weibo reported total revenue of $444.8 million, approximately 3.2 billion RMB, with adjusted operating profit of $161.8 million, around 1.16 billion RMB [4] Search Product Development - Weibo's search product competitiveness improved in Q2, with the "Smart Search" feature seeing significant growth, reaching over 50 million monthly active users by June [5] - The compound growth rate for Weibo's Smart Search from January to June was 41.7%, ranking second among top applications [5] Advertising and E-commerce - In Q2, Weibo's advertising revenue reached $383.4 million, approximately 2.76 billion RMB, with significant increases in interest from food and beverage, apparel, and beauty sectors [6] - The collaboration with major e-commerce platforms during the 618 shopping festival led to a noticeable increase in e-commerce revenue [6] - Weibo maintained its ecological advantage in the automotive sector, particularly in discussions around new energy vehicles, with over 60% of new energy vehicle marketing coverage in the first half of the year [6]

Core Insights - Weibo reported a total revenue of 3.2 billion yuan for Q2 2025, with adjusted operating profit of 1.158 billion yuan, exceeding Wall Street expectations [1] - As of the end of Q2, Weibo had 588 million monthly active users and 261 million daily active users [1] - Weibo's "Zhiso" feature reached over 50 million monthly active users in June, with significant growth in daily active users compared to Q1 [1] - According to QuestMobile's report, Weibo's Zhiso had a compound growth rate of 41.7% in the first half of 2025, ranking second among the top 10 applications with over 10 million monthly active users and a positive growth rate [1] - Weibo's advertising revenue for Q2 was 2.756 billion yuan [1]

Financial Data and Key Metrics Changes - Weibo's total revenues for Q2 2025 reached $444.8 million, up 2% year over year [8][28] - Total advertising revenues were $383.4 million, also up 2% year over year [8][29] - Non-GAAP operating income was $161.8 million, representing a non-GAAP operating margin of 36% [9][28] - Net income attributable to Weibo was $133.2 million, an increase of 13% year over year [28][33] - Diluted EPS was $0.54 [28] Business Line Data and Key Metrics Changes - Advertising and marketing revenues were $383.4 million, a 2% increase, with key verticals being FMCG, e-commerce, and automotive [29] - Value-added service revenues were $61.4 million, also up 2% [29] - E-commerce and automotive sectors showed strong growth, while FMCG faced a year-over-year decline but showed signs of recovery [30][32] Market Data and Key Metrics Changes - In June 2025, Weibo's MAUs reached 588 million, and average DAUs reached 261 million, representing a net addition of 5 million users year over year [8][27] - The proportion of recommended content consumed by users increased to 43%, a 17% improvement [13] - Intelligent Search MAUs surpassed 50 million in June, with a 60% increase in queries and over 100% growth in DAU [18][39] Company Strategy and Development Direction - The company's strategy focuses on enhancing user value, maintaining leadership in trending topics and entertainment, and improving recommendation and search functions through AI [9][19] - The transition to an interest-based content distribution model aims to enhance content competitiveness and user engagement [12][15] - Weibo is prioritizing the integration of AI in both user engagement and monetization strategies [19][24] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the growth of intelligent search and its potential to change user behavior [40][42] - The company anticipates challenges in the FMCG sector due to prior year comparisons and ongoing macroeconomic uncertainties [56] - There is a focus on increasing user stickiness and traffic through enhanced search capabilities and ad product offerings [43][61] Other Important Information - The company completed a product and technical framework upgrade in early July 2025, which has been rolled out to nearly all users [13] - The advertising strategy includes leveraging trending topics and celebrity resources to broaden industry reach [20][22] Q&A Session Summary Question: Can management elaborate on Weibo Smart Search's product strategy and future commercialization plans? - Management highlighted the growth of intelligent search, with MAUs over 50 million and significant increases in user queries and traffic [39][40] - Future commercialization may involve bundled cooperation with brands and potential ad placements in search results, but the focus is currently on expanding the user base [42][43] Question: What are the expectations for ad revenue growth in Q3 and the second half of the year? - Management expects strong growth in e-commerce and automotive sectors, while FMCG may face pressure due to prior year comparisons [54][56] - Information feed ads are anticipated to have the highest growth rate, with a shift towards performance-based advertising [57][58]

Financial Data and Key Metrics Changes - Weibo's total revenues for Q2 2025 reached $444.8 million, up 2% year over year [8][28] - Total advertising revenues were $383.4 million, also up 2% year over year [8][29] - Non-GAAP operating income was $161.8 million, representing a non-GAAP operating margin of 36% [9][28] - Net income attributable to Weibo was $133.2 million, an increase of 13% [28][34] Business Line Data and Key Metrics Changes - Advertising and marketing revenues were $383.4 million, reflecting a slight uptick driven by mixed performance across major ad verticals [29] - Value-added service revenues were $61.4 million, also up 2% year over year [29] - The top three verticals for advertising were FMCG, e-commerce, and automotive products [29] Market Data and Key Metrics Changes - E-commerce platforms showed solid year-over-year revenue growth, particularly benefiting from partnerships during the June shopping festival [20][29] - The automobile sector maintained healthy growth, with Weibo being a key discussion hub for new energy vehicles [21][29] - The FMCG sector experienced a year-over-year decline but showed early signs of gradual recovery [29][30] Company Strategy and Development Direction - Weibo's strategy focuses on enhancing user value, maintaining leadership in trending topics and entertainment, and improving recommendation and search functions through large language models [9][19] - The company aims to transition content operation from an influencer-based model to a vertical content-based model, attracting creators from various verticals [16] - The interest-based feed will become the primary content distribution method, enhancing content competitiveness and user engagement [14][16] Management Comments on Operating Environment and Future Outlook - Management expressed optimism about the growth of intelligent search and its impact on user engagement and monetization [18][45] - The company anticipates challenges in the FMCG sector due to prior year comparisons and ongoing budget constraints in certain industries [60] - There is a focus on increasing the supply of quality content and enhancing user experience through AI integration [24][65] Other Important Information - The average content views per user remained stable, with the proportion of recommended content consumed increasing to 43%, a 17% improvement [14] - Cash and short-term investments totaled $2.11 billion as of June 30, 2025, down from $2.35 billion at the end of 2024 [35] Q&A Session Summary Question: Can management elaborate on the product strategy and future plan for commercialization of Weibo Smart Search? - Management highlighted that the intelligent search product has seen significant user growth, with MAUs surpassing 50 million and query growth of 60% [40][41] - Future commercialization may involve bundled cooperation with brands or traditional ad placements, but the focus is currently on expanding the user base [46] Question: What are the expectations for ad revenue growth in Q3 and the second half of the year? - Management expects strong growth in e-commerce and automotive sectors, while FMCG may face pressure due to prior year comparisons [58][60] - Information feed ads are anticipated to have the highest growth rate, with a shift towards performance-based ads [61]

Core Insights - Weibo's Q2 2025 net revenue reached $444.8 million, representing a 2% year-over-year increase, driven primarily by advertising revenue growth [1][4][6] - The company reported an operating profit of $145.6 million, an 8% increase from the previous year, with an operating margin of 33% [1][4][6] - Monthly active users reached 588 million, while daily active users stood at 261 million by the end of Q2 [5] Revenue Breakdown - Advertising revenue for Q2 2025 was $383.4 million, up 2% year-over-year, while value-added services revenue declined by 2% to $61.4 million [3][4][6] - Revenue from non-Alibaba advertisers grew by only 1% to $347.6 million, indicating a slight decrease in the platform's attractiveness to third-party advertisers [4] - Alibaba's advertising revenue surged by 10% to $35.7 million, largely due to increased marketing demand during the 618 shopping festival [4] Cost Management - Total costs and expenses decreased by 1% year-over-year to $299.2 million, primarily due to significant reductions in administrative expenses [4] - Administrative expenses dropped from $26.8 million in the same quarter last year to $7.96 million, aided by the recovery of previously written-off receivables [4] - The optimization of cost structure contributed to improved profitability, with a non-GAAP operating profit margin maintained at 36% [4] Earnings Performance - GAAP net income attributable to Weibo's shareholders was $125.7 million, with basic earnings per share of $0.53, reflecting a 12% year-over-year increase [3][4][6] - Non-GAAP net profit was $143.2 million, with non-GAAP earnings per share at $0.54, marking a 13% increase compared to the previous year [4][6] User Engagement - As of the end of Q2, Weibo's monthly active users reached 588 million, while daily active users were recorded at 261 million [5] - The company highlighted strong growth in user communities driven by AI-powered intelligent search [7]

凤凰网科技讯 8月14日，微博发布公告，2025年第二季度净收入4.45亿美元（现汇率约合31.95亿元人民 币），同比增加2%，或依据固定汇率计算同比增加1%。 | | 截至以下日期止三個月 | | 截至以下日期止六個月 | | | --- | --- | --- | --- | --- | | | 2024年 | 2025年 | 2024年 | 2025年 | | | 6月30日 | 6月30日 | 6月30日 | 6月30日 | | 淨收入: | | | | | | 廣告及營銷 | $375.277 | $383,352 | $714.228 | $722.458 | | 增值服務 | 62,596 | 61,446 | 119,142 | 119.195 | | 淨收入 | 437,873 | 444,798 | 833.370 | 841.653 | | 成本及費用: | | | | | | 管業成本(1) | 89.790 | 103,451 | 176.611 | 192.253 | | 銷售及營銷(1) | 114,232 | 109.747 | 217.859 | 205.557 | | 座 ...

Exhibit 99.1 Reconciliation between U.S. GAAP and International Financial Reporting Standards PricewaterhouseCoopers was engaged by the Company to conduct limited assurance engagement in accordance with International Standard on Assurance Engagements 3000 (Revised) "Assurance Engagements Other Than Audits or Reviews of Historical Financial Information" ("ISAE 3000 (Revised)") on the reconciliation statement of the unaudited financial information of the Company, its subsidiaries, VIEs and VIEs' subsidiaries ...

Core Insights - Weibo reported total revenue of $444.8 million for Q2 2025, approximately 3.2 billion RMB, with an adjusted operating profit of $161.8 million, around 1.16 billion RMB [1] - The platform's monthly active users reached 588 million and daily active users reached 261 million by the end of Q2 [1] - Weibo's strategy focuses on user value, maintaining its leading position in trending and entertainment content, and enhancing its recommendation and search systems [1] User Engagement - In Q2, Weibo improved user interaction in core product scenarios, enhancing comment sections for celebrities and top influencers to reduce low-quality content [1] - The platform revitalized the community atmosphere in celebrity super topics, increasing diversity and real-time engagement [1] - Weibo established a vertical operation system that connects content creators across different fields, with over 50% of interest-based content production coming from cross-domain influencers [1] Product Development - The Zhiso product continued to grow rapidly, surpassing 50 million monthly active users in June, significantly enhancing user experience in trending searches and active search scenarios [2] - Daily active users of the Zhiso product saw substantial growth compared to Q1 [2] Commercial Performance - Weibo's advertising revenue for Q2 reached $383.4 million, approximately 2.76 billion RMB [3]