2025-04-15 10:46Financial Performance - Net revenues for Q4 2024 were RMB26.7 billion (US$3.7 billion), a decrease of 1.4% year-over-year[2] - Net income attributable to shareholders for Q4 2024 was RMB8.8 billion (US$1.2 billion), compared to RMB6.6 billion in Q4 2023, representing a 33.3% increase[23] - Non-GAAP net income for Q4 2024 was RMB9.7 billion (US$1.3 billion), up from RMB7.4 billion in Q4 2023, a 31.1% increase[24] - Fiscal year 2024 net revenues were RMB105.3 billion (US$14.4 billion), an increase from RMB103.5 billion in fiscal year 2023[25] - Net income attributable to the Company's shareholders for the year ended December 31, 2024, was RMB 29,697,609, up from RMB 29,416,552 in the previous year[54] - Non-GAAP basic net income for fiscal year 2024 was US$1.43 per share (US$7.17 per ADS), compared to US$1.39 per share (US$6.94 per ADS) in fiscal year 2023[35] Revenue Breakdown - Games and related value-added services net revenues were RMB21.2 billion (US$2.9 billion), an increase of 1.5% year-over-year[2] - Youdao's net revenues decreased by 9.5% year-over-year to RMB1.3 billion (US$183.6 million) in Q4 2024[10] - NetEase Cloud Music's net revenues were RMB1.9 billion (US$257.6 million), a decrease of 5.3% year-over-year[12] - The Games and related value-added services segment generated revenues of RMB 20,921,355 for the three months ended December 31, 2023, with a gross profit margin of 69.5%[59][60] - Youdao's revenues for the three months ended December 31, 2023, were RMB 1,480,521, with a gross profit margin of 49.9%[59][60] - NetEase Cloud Music reported revenues of RMB 1,985,548 for the three months ended December 31, 2023, with a gross profit margin of 30.3%[59][60] - Innovative businesses and others segment revenues were RMB 2,752,741 for the three months ended December 31, 2023, with a gross profit margin of 34.4%[59][60] Expenses and Profitability - Total operating expenses for Q4 2024 were RMB8.5 billion (US$1.2 billion), down 15.1% year-over-year[2] - Gross profit margin for games and related services was 66.7%, down from 69.5% in Q4 2023[16] - Total operating expenses for the year ended December 31, 2024, were RMB 36,223,094, an increase from RMB 35,354,250 in the previous year[54] - Operating profit for the three months ended December 31, 2024, was RMB 7,146,737, compared to RMB 6,868,491 in the previous quarter, indicating a growth of 4.0%[54] Cash Flow and Assets - As of December 31, 2024, the company's net cash totaled RMB 131.5 billion (US$ 18.0 billion), an increase from RMB 110.9 billion as of December 31, 2023, representing a growth of approximately 18.5%[36] - Net cash provided by operating activities for fiscal year 2024 was RMB 39.7 billion (US$ 5.4 billion), up from RMB 35.3 billion in fiscal year 2023, indicating a year-over-year increase of about 12.5%[36] - Total current assets increased to RMB 153.3 billion (US$ 21.0 billion) as of December 31, 2024, compared to RMB 142.7 billion as of December 31, 2023, reflecting a growth of about 7.5%[53] - Total assets reached RMB 195.99 billion (US$ 26.85 billion) as of December 31, 2024, up from RMB 185.92 billion as of December 31, 2023, marking an increase of approximately 5.8%[53] - Total liabilities decreased to RMB 53.5 billion (US$ 7.33 billion) as of December 31, 2024, down from RMB 57.8 billion as of December 31, 2023, representing a reduction of about 7.9%[53] - Net cash provided by financing activities was RMB (8,458,545) thousand for the three months ended December 31, 2023, compared to RMB (2,462,982) thousand in the previous quarter, indicating a larger cash outflow from financing activities[57] Shareholder Returns - The board of directors approved a dividend of US$ 0.24405 per share for the fourth quarter of 2024, payable on March 17, 2025, for ordinary shares[37] - A total of approximately 21.2 million ADSs had been repurchased under the share repurchase program for a total cost of US$ 1.9 billion as of December 31, 2024[39] Forward-Looking Statements - Forward-looking statements indicate potential risks related to market growth, competition, and regulatory changes that could impact future performance[47] - The company anticipates continued growth in net revenues and operating profit for the upcoming quarters, driven by new product launches and market expansion strategies[54] Other Financial Metrics - The company emphasizes the importance of non-GAAP financial measures, which exclude share-based compensation expenses, to assess its operating performance[49] - The conversion rate used for RMB to USD is based on RMB 7.2993 per USD as of December 31, 2024[61]