Exhibit 99.1 XUNLEI ANNOUNCES UNAUDITED FINANCIAL RESULTS FOR THE FIRST QUARTER ENDED MARCH 31, 2025 Shenzhen, China, May 15, 2025 (GLOBE NEWSWIRE) - Xunlei Limited ("Xunlei" or the "Company") (Nasdaq: XNET), a leading technology company providing distributed cloud services in China, today announced its unaudited financial results for the first quarter ended March 31, 2025. First Quarter 2025 Financial Highlights: "Our quarterly revenue was in line with our expectations, and we achieved consistent top-line ...

Core Viewpoint - The company reported a total revenue of $88.8 million for Q1, reflecting a year-over-year growth of 10.5% driven by increased revenue from membership services and overseas live streaming services [1] Financial Performance - Total revenue for Q1 was $88.8 million, which is a 10.5% increase compared to the previous year [1] - Gross profit reached $44.1 million, showing a growth of 2.9% year-over-year, primarily due to increased gross profit from overseas live streaming and membership services [1] - The company reported a net loss of $0.9 million under GAAP for the quarter, while the non-GAAP net profit was $0.1 million [1]

"This year will be pivotal for Xunlei, marked by the strategic acquisition of Hupu and proactive exploration of corporate development initiatives aimed at diversifying revenue streams to achieve sustainable growth in both top-line and bottom-line. Supported by our strong capital structure and ample financial liquidity, we remain committed to delivering value to users while harnessing our outstanding technological capabilities and operational expertise to capitalize on AI-driven applications and other new op ...

Market Capitalization Overview - The market capitalizations of various companies are listed, with notable figures including 74.11 billion, 88.55 billion, and 76.47 billion [2] - Companies such as SON, VIPS, and TAL have market caps of 72.19 billion, 60.28 billion, and 55.72 billion respectively [2] Stock Performance - Stock price changes are highlighted, with SON showing a decrease of 0.95 (-1.99%) while VIPS increased by 0.15 (+0.85%) [2] - Other companies like TAL and Lufax also experienced minor fluctuations, with TAL decreasing by 0.04 (-0.49%) and Lufax increasing by 0.96 (+3.75%) [2] Additional Company Insights - Companies such as Huya and Yatsen have market caps of 8.06 billion and 3.27 billion respectively, with stock price changes of -0.03 (-0.77%) and 0.00 (0.00%) [2] - The performance of companies like New Oxygen and Huami Technology is also noted, with market caps of 83.07 million and 37.63 million, showing no change in stock price [3] Summary of Smaller Companies - Smaller companies like Tuniu and Cheetah Mobile have market caps of 1.08 billion and 1.17 billion respectively, with Tuniu experiencing a slight decrease of -0.01 (-1.20%) [3] - The market cap of Baosheng E-commerce is reported at 2.02 billion, with a stock price increase of 0.17 (+5.18%) [3]

SHENZHEN, China, May 08, 2025 (GLOBE NEWSWIRE) -- Xunlei Limited (“Xunlei” or the “Company”) (NASDAQ: XNET), a leading technology company providing distributed cloud services in China, today announced that it plans to release its unaudited financial results for the first quarter ended March 31, 2025 on May 15, 2025 before market open. The earnings press release will be available on the Company's investor relations page at http://ir.xunlei.com. Conference Call Xunlei's management will host a conference call ...

Core Viewpoint - Xunlei Limited has filed its annual report on Form 20-F for the fiscal year ended December 31, 2024, with the SEC, indicating ongoing compliance and transparency in its financial reporting [1]. Company Overview - Xunlei Limited, founded in 2003, is a leading technology company in China that provides distributed cloud services [2]. - The company offers a diverse range of products and services, including cloud acceleration, shared cloud computing, and digital entertainment, aimed at delivering an efficient, smart, and safe internet experience [2].

Share Structure and Financial Performance - As of December 31, 2024, the company had 307,351,196 common shares outstanding, excluding 56,761,315 shares reserved for incentive plans and 10,889,429 shares held by Leading Advice Holdings Limited[14]. - For the year ended December 31, 2024, Xunlei Limited reported third-party total revenues of $324.4 million, a decrease from $364.9 million in 2023, reflecting a decline of approximately 11%[48]. - The net income attributable to Xunlei Limited for the year ended December 31, 2024, was $1.215 million, compared to $14.225 million in 2023, indicating a significant decrease of about 91%[48]. - The total assets of Xunlei Limited as of December 31, 2024, were $473.901 million, compared to $473.901 million in 2023, indicating stability in asset levels[50]. - The total liabilities of Xunlei Limited as of December 31, 2024, were $156.116 million, a decrease from $164.685 million in 2023, indicating improved liability management[50]. - The company’s other subsidiaries reported a profit of $8.137 million for the year ended December 31, 2024, compared to a profit of $6.153 million in 2023, showing growth in subsidiary performance[48]. Revenue Sources and Business Operations - Revenues contributed by the variable interest entity accounted for 88.1%, 90.7%, and 79.1% of total revenues in 2022, 2023, and 2024, respectively[31]. - The company operates primarily through a variable interest entity due to PRC regulations restricting foreign ownership in certain sectors[31]. - The company relies on contractual arrangements with its variable interest entity and its shareholders to control business operations, which may not be as effective as ownership[32]. - The company anticipates potential risks from evolving regulations in China that could impact its ability to conduct business and offer securities[40]. - The company emphasizes the importance of maintaining and strengthening its market position in China amid competition and regulatory challenges[27]. Regulatory Compliance and Licensing - The company has obtained necessary licenses for its operations, including the Value-added Telecommunication Services License and Online Culture Operation Permit, but faces uncertainties regarding future licensing requirements[39]. - The company is in the process of renewing its Internet Publishing Services License, which expired on September 17, 2022, and has re-submitted required documents for review in October 2023[39]. - The company has not received any administrative penalties or fines related to its operations without an effective Internet Publishing Services License as of the date of the report[39]. - The company faces significant risks related to compliance with evolving laws and regulations governing blockchain products and services in China[64]. - The company is subject to complex and evolving PRC and international laws regarding data privacy and cybersecurity, which could result in claims and penalties if not complied with[120]. Cash Flow and Financial Management - As of December 31, 2024, Xunlei Limited had cash and cash equivalents totaling $177.329 million, an increase from $110.209 million in 2023[50]. - The company reported a net cash generated from operating activities of $30.976 million for the year ended December 31, 2024[55]. - The company reported third-party costs of revenues of $155.567 million for the year ended December 31, 2024, compared to $200.649 million in 2023, reflecting a decrease of approximately 22%[48]. - The company has not declared or paid any cash dividends and intends to retain most of its available funds for business development[43]. - The company may not be able to generate sufficient cash from operations to meet capital requirements for ongoing development strategies[137]. Strategic Initiatives and Market Position - The company has a significant focus on developing new products and services to attract and monetize user traffic[27]. - The company launched cloud computing products and services in recent years, indicating a shift in its business model towards new technologies[67]. - The company established a global technology center in Hong Kong in November 2024 to enhance technological research and development, which may include an AI laboratory and investment incubator[70]. - The company is exploring opportunities in overseas markets, particularly in the Middle East, Southeast Asia, South Asia, and North Africa[87]. - The company has implemented a comprehensive incentive mechanism to motivate broadcasters to deliver engaging content, crucial for the success of its audio live-streaming services[108]. Risks and Challenges - The company faces heightened risks of intellectual property infringement claims due to evolving regulations in various jurisdictions[85]. - The company may face significant administrative burdens and litigation risks due to the interpretation of internet dissemination rights in China[85]. - The company may struggle to fulfill all regulatory requirements or maintain existing licenses, impacting its ability to conduct business in China[215]. - The complexity of PRC regulations on internet businesses increases the risk of potential violations, which could adversely affect the company's operations[215]. - A prolonged economic downturn could lead to reduced advertising and lower purchasing power, adversely affecting the company’s business and financial condition[171]. Acquisitions and Investments - The company entered into a definitive agreement to acquire Shanghai Kuanghui Network Technology Co., Ltd. for a total cash consideration of RMB500 million, expected to close in the first half of 2025[112]. - Shanghai Kuanghui was fined in 2024 for failing to manage illegal content, and the company will assume responsibility for content review and management post-acquisition[112]. - The company may incur significant expenses in obtaining necessary approvals for investments and acquisitions, which could divert resources from existing operations[167]. - The company has transferred 30% of the equity interests in Shenzhen Onething Technologies Co., Ltd. to certain plan participants at nominal costs[159]. Shareholder and Corporate Governance - The company’s internal control over financial reporting was evaluated as effective as of December 31, 2024, by both management and independent auditors[175]. - Any conflicts of interest among shareholders of Shenzhen Xunlei may adversely affect the company's business operations[188][189]. - The amended PRC Company Law, effective July 1, 2024, introduces new requirements on corporate governance and capital contributions, which may increase compliance costs[206]. - The company may face risks associated with strategic alliances, including sharing proprietary information and potential nonperformance by counterparties[165]. - The company’s ability to attract and retain key personnel is critical, and losing key executives could impair its business strategy[162].

Core Viewpoint - Xunlei Limited (NASDAQ: XNET) has been negatively impacted by the recent selloff in stocks, reflecting broader market trends affecting digital entertainment and cloud computing sectors in China [1]. Company Summary - Xunlei Limited is a provider of digital entertainment, cloud computing, and distributed cloud services in China [1]. Market Context - The stock of Xunlei Limited has experienced adverse effects due to a general decline in stock prices, indicating vulnerability to market fluctuations [1].

Investment Rating - The report assigns a "Buy" rating for the company, marking its first coverage [1][10]. Core Insights - The company, Xunlei (XNET), reported a total revenue of $324 million for 2024, a year-on-year decrease of 11.1%. The revenue for Q4 was $84 million, showing a year-on-year increase of 9.3%. The gross margin improved to 51.7%, up by 7.0 percentage points from the previous year. The net profit attributable to shareholders was $1.2 million, with a net profit margin of 0.4%, down by 3.5 percentage points year-on-year. The Non-GAAP net profit was $24 million, with a Non-GAAP net margin of 7.4%, an increase of 0.8 percentage points year-on-year [4][6][7]. Revenue Breakdown - Membership business revenue reached $134 million, up 12.0% year-on-year, driven by an increase in membership numbers, which grew to 6.38 million by the end of 2024 from 5.99 million in 2023. Cloud computing revenue was $105 million, down 15.3% year-on-year due to intensified competition and pricing pressures. Revenue from live streaming and other internet value-added services was $86 million, down 29.5% year-on-year, primarily due to a reduction in domestic live streaming activities [6][9]. Financial Projections - The company forecasts total revenues of $370 million, $421 million, and $464 million for 2025, 2026, and 2027, respectively, representing year-on-year growth rates of 15%, 14%, and 10%. The net profit attributable to shareholders is projected to be $1.9 million, $2.2 million, and $2.5 million for the same years, with growth rates of 1,453%, 18%, and 13% respectively [8][9]. Strategic Developments - Xunlei has reached an agreement to acquire the operating company of Hupu for RMB 500 million, expected to positively impact profitability. Additionally, the company will hold a 7.8% stake in Ying Shi Innovation, a provider of panoramic camera solutions, which is set to go public on the Shanghai Stock Exchange [9][10].

Financial Data and Key Metrics Changes - In Q4 2024, total revenues were $84.3 million, representing a 9.3% year-over-year increase [22] - Subscription revenues were $34.4 million, a 9% year-over-year increase, with total subscribers reaching 6.38 million [23] - Cloud computing revenues fell 25.6% year-over-year to $22.7 million due to increased competition and pricing pressure [24] - Live-streaming and IVAS revenues increased by 80.7% year-over-year to $27.2 million, driven by overseas audio live-streaming growth [24] - Operating loss was $20.5 million compared to a loss of $0.7 million in Q4 2023, primarily due to a goodwill impairment of $20.7 million [31][27] - Net loss was $9.9 million compared to net income of $3.7 million in the same period of 2023 [31] Business Line Data and Key Metrics Changes - Subscription business remains a core growth driver, with a 9% increase in revenue and a significant rise in premium subscribers [12][23] - Cloud computing revenue decline of 25.6% year-over-year reflects challenges in the sector [14][24] - Live-streaming and IVAS business saw an 80.7% revenue increase, attributed to strategic shifts towards emerging markets [16][24] Market Data and Key Metrics Changes - The cloud computing sector is facing heightened competition and pricing pressures, impacting revenue growth [15] - The company is pivoting towards emerging regions such as Southeast Asia and EMEA for its live-streaming business [16] Company Strategy and Development Direction - The company plans to continue implementing growth initiatives and explore corporate restructuring to enhance focus and dynamism [18] - The acquisition of Hupu is expected to unlock significant cross-platform synergies and enhance user engagement [19] Management's Comments on Operating Environment and Future Outlook - Management acknowledged challenges in the cloud computing business due to external pressures and is exploring options to mitigate impacts [15] - The company is optimistic about future growth, particularly in the subscription and live-streaming segments [13][19] Other Important Information - The company recorded a goodwill impairment of $20.7 million due to a significant decline in cloud computing revenue [27][40] - Cash, cash equivalents, and short-term investments increased to $287.5 million as of December 31, 2024 [33][42] Q&A Session Summary Question: What is the company's plan following the IPO? - Management stated it is too early to address the question as the IPO has not been completed yet, but expressed confidence in future success [46][47] Question: What is the business model of Hupu and its financial conditions? - Hupu is a sports blog providing comprehensive sports coverage, primarily generating revenue from advertising. The deal is expected to be earnings accretive after closing [48][50]