XD INC(HK:02400) 智通财经网·2025-08-29 04:51Core Insights - The company reported a strong mid-year performance for 2025, achieving a total revenue of 3.082 billion RMB, a year-on-year increase of 38.8%, and a significant profit surge of 223.5% to 811 million RMB [1][9] Financial Performance - The gross profit increased by 50.5% to 2.253 billion RMB, with the gross margin rising from 67.4% to 73.1% [1][2] - The sales and marketing expenses grew by only 7.0% to 744 million RMB, indicating improved marketing efficiency [3] - Research and development expenses rose by 30.8% to 549 million RMB, reflecting ongoing investment in product development [3] - General and administrative expenses decreased by 8.9% to 126 million RMB, primarily due to reduced share-based compensation [4] Gaming Business - The gaming segment generated 2.071 billion RMB in revenue, a 39.4% increase, driven by self-developed games such as "Ragnarok M: Beginners' Server" [5] - The paid game segment also saw a steady growth of 14.2%, supported by new titles [5] - The company has additional games in development and pre-development stages, indicating a robust pipeline for future releases [5] TapTap Platform Development - The TapTap platform achieved revenue of 1.011 billion RMB, a 37.6% increase, with stable monthly active users (MAU) at 43.63 million [7] - The company is transitioning TapTap from a discovery platform to a creation platform, with initiatives like the launch of TapTap PC version and mini-games [6][8] - AI applications are being integrated into the platform to enhance user experience and service personalization [8] Future Outlook - The financial health and cash flow position of the company provide a solid foundation for future growth, particularly through the TapTap platform [9] - The evolution from "discovery" to "creation" represents a strategic shift that could unlock new growth avenues for the company [9]