智通财经网·2025-05-15 09:10Core Insights - NetEase-S (09999) reported a net revenue of RMB 28.8285 billion for Q1 2025, representing a year-on-year increase of 7.4% [1] - The gross profit for the same period was RMB 18.5 billion (USD 2.5 billion), up 8.6% year-on-year [1] - Net profit attributable to shareholders reached RMB 10.301 billion (USD 1.4 billion), marking a significant year-on-year growth of 34.94% [1] - Basic earnings per share were USD 0.45, with a dividend of USD 0.1350 per share for Q1 2025 [1] Revenue Breakdown - The net revenue from games and related value-added services was RMB 24 billion (USD 3.3 billion), compared to RMB 21.2 billion and RMB 21.5 billion in the previous quarter and the same quarter last year, respectively [1] - Online games accounted for approximately 97.5% of this segment's net revenue, an increase from 96.7% in the previous quarter and 95.2% year-on-year [1] - The increase in revenue was driven by the performance of existing games like "Identity V" and new releases such as "Yanyun Sixteen Sounds" and "Marvel Showdown" [1] Other Business Segments - Youdao's net revenue for Q1 2025 was RMB 1.3 billion (USD 178.9 million), unchanged from the previous quarter but down from RMB 1.4 billion year-on-year, primarily due to a focus on long-term core business development [2] - NetEase Cloud Music reported net revenue of RMB 1.9 billion (USD 256.1 million), consistent with the previous quarter but down from RMB 2 billion year-on-year, mainly due to a decrease in social entertainment service revenue [2] - The net revenue from innovation and other businesses was RMB 1.6 billion (USD 223.8 million), down from RMB 2.3 billion in the previous quarter and RMB 2 billion year-on-year, attributed to declines in revenue from NetEase Yanxuan, advertising services, and other businesses [2] Management Commentary - The CEO of NetEase emphasized the company's strong performance in Q1 2025, attributing it to continuous innovation and the launch of new products [3] - The diversified layout of the company is resonating with global players, and the strong performance of new games and quality content updates are enhancing the longevity of existing games [3] - The company remains committed to high-quality, technology-driven innovation across its various business segments, aiming to strengthen user connections and create long-term value [3]