Core Insights - Century Huatong reported a revenue of 17.2 billion yuan for the first half of 2025, representing a year-on-year growth of 85.5%, with a net profit of 2.656 billion yuan, up 129.33% [1] - The overseas gaming business contributed over 50% of the revenue, with "Whiteout Survival" leading the Chinese mobile game revenue charts [1][2] - The success of "Whiteout Survival" and its follow-up "Kingshot" highlights the effectiveness of the established methodologies of the subsidiary, Didi Interactive, in the gaming market [2][4] Company Performance - "Whiteout Survival" has become the top-grossing mobile game overseas, surpassing competitors like MiHoYo's "Honkai: Star Rail" and Tencent's "PUBG MOBILE" [1] - The game has maintained a high retention rate despite the "bait-and-switch" advertising strategy, which contrasts the gameplay shown in ads with the actual game experience [5][7] - Century Huatong's sales expenses increased by 121.72% to 6.564 billion yuan, driven by rising marketing costs associated with game revenue growth [9] Industry Trends - The mini-game export trend is gaining traction, with many developers attempting to replicate the success of "Whiteout Survival" and "Kingshot" [8][10] - The market is becoming increasingly competitive, leading to higher user acquisition costs, which may squeeze the survival space for smaller game developers [10][11] - The phenomenon of "skin-swapping" games, where existing popular games are rebranded for overseas markets, is becoming more common, complicating the landscape for original game developers [11]

Core Viewpoint - The article highlights that while leading companies in the mini-game sector continue to generate significant revenue, the opportunities for smaller developers to benefit from overseas expansion are diminishing [2][17]. Group 1: Company Performance - Century Huatong reported a revenue of 17.2 billion yuan for the first half of 2025, representing a year-on-year growth of 85.5%, with a net profit of 2.656 billion yuan, up 129.33% [3][20]. - The overseas gaming business contributed over 50% of the revenue, with "Whiteout Survival" leading the Chinese mobile game revenue rankings [3][10]. Group 2: Market Dynamics - The mini-game market is experiencing increased competition, with many developers attempting to replicate the success of "Whiteout Survival" and "Kingshot" [19][21]. - The rising costs of user acquisition are squeezing the survival space for many smaller game developers, as larger companies can afford higher advertising expenses [21][22]. Group 3: Challenges in Overseas Expansion - The article discusses the challenges faced by developers when attempting to launch mini-games overseas, including cultural and language barriers, as well as inadequate payment systems [9][19]. - The phenomenon of "skin-swapping" games, where existing popular games are rebranded for overseas markets, is becoming more common, complicating the path for original games to succeed [23]. Group 4: User Behavior and Game Design - Users are increasingly seeking lightweight games that can fit into fragmented time slots, which has driven the popularity of mini-games both domestically and internationally [18]. - "Whiteout Survival" employs a strategy of "bait and switch" in its advertising, attracting users with misleading content but managing to retain them through engaging gameplay [12][16].

Group 1 - The gaming sector experienced a low opening but saw a rebound, with the gaming ETF (159869) rising nearly 0.5% after three consecutive trading days of net capital inflow totaling 147 million yuan [1] - According to Gamma Data's report on the Chinese gaming industry for the first half of 2025, the mini-game market reached a record high of 23.276 billion yuan, reflecting a year-on-year increase of 40.20% [1] - The IAA (In-App Advertising) mini-games showed strong performance, generating advertising revenue of 7.973 billion yuan, which accounted for 34.30% of the mini-game market share [1] Group 2 - The core logic for mini-games going overseas in 2025 is to "race against time," with game developers focusing on growth and market trends [1] - Key strategies include aligning products with market trends, leveraging the rapid integration of IAA features, and expanding user bases [1] - Marketing strategies involve utilizing platforms like TikTok for targeted user engagement through precise advertising materials and collaborations with influencers [1] Group 3 - Open Source Securities expresses optimism about both established and new games that can achieve longevity through continuous operational activities, content updates, and regional expansion [2] - Specific games highlighted include Giant Network's "Supernatural Action Group," Xindong Company's "Xindong Town," and G-bits' "Staff Sword Legend," along with the upcoming launch of Xindong Company's "Iser" on September 25 [2]

Core Insights - The mini-game market in China has seen significant growth, with revenue reaching 23.276 billion yuan in the first half of the year, a year-on-year increase of 40.20% [1] - Despite the market growth, companies are experiencing anxiety due to the emergence of a "Matthew Effect," where leading firms dominate the market by investing heavily in user acquisition [1][4] - The increasing resistance of players to similar mini-games has led companies to seek breakthroughs, particularly through overseas expansion, as they aim to capitalize on the growing market [4][6] Market Dynamics - The mini-game market is characterized by a "surge" in user numbers and market size, with projections estimating the market could reach 61 billion yuan by 2025, a tenfold increase since the inception of mini-games [7] - Companies are racing against time to capture market share, especially in less competitive overseas markets, as evidenced by the increasing number of mini-game projects launched at events like ChinaJoy [7][10] - Successful overseas mini-games, such as "Mushroom Hero," have demonstrated the potential for high revenue, with monthly earnings reaching 50 million USD, prompting more companies to enter the market [8][10] Competitive Landscape - The mini-game industry is facing intense competition, particularly in nearby markets like Southeast Asia, where many companies are vying for dominance [12][14] - As competition intensifies, companies are shifting their focus to more distant markets, such as Europe and the Middle East, which present greater potential but also higher entry barriers [14][16] - The challenges in the European and Middle Eastern markets include differing consumer habits and higher costs for user acquisition, making it essential for companies to adapt their strategies [17] Strategic Recommendations - Companies are advised to be strategic in product development, aligning with market trends and consumer preferences to maximize user engagement [20] - Leveraging short video platforms like TikTok for marketing can enhance user acquisition and engagement, as these platforms resonate well with mini-game audiences [25] - Collaboration with local marketing channels is crucial for successful overseas expansion, as companies need to navigate diverse market dynamics effectively [25]

Core Viewpoint - Feiyu Technology (01022) has seen its stock price increase by over 120% since July, with a current rise of 18.75% to HKD 0.57, and a trading volume of HKD 15.09 million [1] Company Summary - Feiyu Technology has issued a profit warning, expecting a post-tax net profit of approximately RMB 55 million to 70 million in the first half of 2025, while anticipating a post-tax net loss of about RMB 2 million in the first half of 2024 [1] - The significant increase in revenue is attributed to the upcoming game "One Step Two Steps," which is set to launch in the second half of 2024 and enter its recovery phase in the first half of 2025, alongside successful preliminary marketing efforts [1] - The company also expects to recognize investment income of approximately RMB 300,000 to 1 million from a non-listed limited partnership during this period, contrasting with an anticipated investment loss of RMB 11.6 million in the first half of 2024 [1] Industry Summary - According to CICC, the core catalyst for the mini-game overseas market is the rapid expansion of the domestic mini-game market in 2023, attracting more developers and resulting in a number of excellent mini-game products [1] - There is a global trend favoring lightweight gameplay, which forms the basis for the mini-game overseas market, as low barriers to entry and positive feedback align with current global user entertainment demands [1] - From a competitive perspective, the lightweight gaming sector currently faces weak competition, providing space for medium-sized companies to expand overseas, leveraging years of experience in overseas game marketing and localized operations to enhance product popularity [1]

Core Viewpoint - Feiyu Technology (01022) has seen its stock price increase by over 120% since July, with a current rise of 18.75% to HKD 0.57, and a trading volume of HKD 15.09 million [1] Financial Performance - The company anticipates a post-tax net profit of approximately RMB 55 million to 70 million for the first half of 2025, following a projected post-tax net loss of about RMB 2 million for the first half of 2024 [1] - The significant increase in revenue is attributed to the upcoming game "One Step Two Steps," which is set to launch in the second half of 2024 and enter its revenue recovery phase in the first half of 2025 [1] - The company expects to recognize investment income of approximately RMB 300,000 to 1 million from a non-listed limited partnership during this period, contrasting with an anticipated investment loss of RMB 11.6 million in the first half of 2024 [1] Industry Insights - According to CICC, the rapid expansion of the domestic mini-game market in 2023 has attracted more developers, leading to the emergence of several excellent mini-game products [1] - There is a global trend favoring lightweight gameplay, which forms the basis for mini-game expansion abroad, as low barriers to entry and positive feedback align with current global user entertainment demands [1] - The lightweight gaming sector currently faces low competition, providing medium-sized companies with opportunities for overseas expansion, leveraging years of experience in user acquisition and localized operations to enhance product popularity [1]

Core Viewpoint - Feiyu Technology (01022) has seen its stock price increase by over 120% since July, with a current rise of 18.75% to HKD 0.57, driven by positive earnings expectations and significant revenue growth [1] Company Summary - Feiyu Technology anticipates a post-tax net profit of approximately RMB 55 million to 70 million in the first half of 2025, following a projected post-tax net loss of about RMB 2 million in the first half of 2024 [1] - The revenue growth is primarily attributed to the upcoming game "One Step Two Steps," which is set to launch in the second half of 2024 and enter its revenue recovery phase in the first half of 2025 [1] - The company also expects to recognize investment income of approximately RMB 300,000 to 1 million from a non-listed limited partnership, while it recorded an investment loss of about RMB 11.6 million from the same partnership in the first half of 2024 [1] Industry Summary - The mini-game market in China has rapidly expanded in 2023, attracting more developers and resulting in the emergence of several high-quality mini-game products [1] - There is a global trend favoring lightweight gameplay, which forms the basis for mini-game expansion overseas, as low barriers to entry and positive feedback align with current user entertainment demands [1] - The lightweight gaming sector currently faces low competition, providing opportunities for medium-sized companies to expand internationally, leveraging their years of experience in overseas game marketing and localized operations to enhance product popularity [1]

Core Viewpoint - The 2025 Game Business Conference held in Shanghai aims to deepen the internationalization of the gaming industry, promoting resource complementarity and collaboration between domestic and international markets [1][3]. Group 1: Conference Overview - The conference featured key leaders from various organizations, including the Shanghai Municipal Propaganda Department and the China Audio-Video and Digital Publishing Association, along with representatives from gaming companies and investment institutions [3][4]. - The event included four main parts: the Game Industry Overseas Development Forum, New Game Appreciation and Overseas Traffic Conference, New Product and IP Exchange Meeting, and a showcase of third-party services for overseas expansion [3][4]. Group 2: Industry Insights - In the first half of 2025, China's self-developed games generated actual sales revenue of $9.501 billion in overseas markets, marking an 11.07% year-on-year increase, with mini-games becoming a core growth engine [4][19]. - Three key characteristics of mini-games going overseas were identified: lightweight forms meeting fragmented demand, technological empowerment through AIGC, and social-driven traffic growth [4][5]. Group 3: Strategic Recommendations - To ensure sustainable development of China's gaming industry abroad, three recommendations were made: expanding into emerging markets, diversifying product types, and fostering a cooperative win-win ecosystem [5][9]. Group 4: Regional Development Initiatives - The Shanghai Hongqiao International Central Business District is focusing on building a comprehensive service system for overseas expansion, enhancing public services, and facilitating cross-border flow of innovative elements [7][11]. - The North Hongqiao Business District has seen significant growth in its gaming industry, with over 160 gaming companies established and revenue exceeding $5 billion in 2024 [42]. Group 5: Globalization Research Findings - The report on the globalization of the Chinese gaming industry indicated that by 2024, the overseas sales revenue of self-developed games would account for 33.62% of total sales, with major investment destinations being Finland, Israel, Japan, and the United States [19][21]. Group 6: Mini-Game Service Platform - A new "Mini-Game Service Platform" was launched to assist domestic gaming companies in expanding into overseas mini-game markets, aiming to break down information barriers and enhance resource integration [17][42].

为深化游戏行业国际化布局，推动国内外市场资源互补与联动，打造双向赋能、共荣共赢的新发展格 局，由中国音像与数字出版协会指导，中国音数协游戏工委、上海市嘉定区江桥镇人民政府主办，上海 北虹桥企业服务发展有限公司承办，游戏客栈、艾克索拉（Xsolla）合作的2025年度游戏商务大会于7 月29日在上海虹桥金沙voco酒店圆满举办。 上海市委宣传部副部长、市国资委副主任黄斌兵，中国音像与数字出版协会第一副理事长、游戏工委主 任委员张毅君，中国音像与数字出版协会常务副理事长兼秘书长敖然，上海虹桥国际中央商务区管理委 员会党组成员、副主任杨旭波，中国音像与数字出版协会副秘书长、游戏工委秘书长唐贾军，上海市委 宣传部网络出版处处长陆以威，上海虹桥商务区投资促进与公共服务事务中心主任朱莹华，嘉定区商务 委主任陈烨，嘉定区北虹桥商务区管理委员会办公室常务副主任范意萍，嘉定区江桥镇党委书记甘永 康，嘉定区江桥镇党委副书记、镇长方键等相关领导，以及多家游戏企业代表、媒体记者、投资机构出 席本次大会。 游戏商务大会是ChinaJoy期间的重要亮点活动之一，大会由游戏产业出海发展论坛、新游品鉴与出海流 量大会、游戏新产品及IP交流会 ...

Core Insights - The mini-game "Screw Tightening" has gained significant popularity through social media, with users engaging in playful banter about its difficulty, leading to viral growth [2][3] - Major gaming companies like 37 Interactive Entertainment and Giant Network have benefited from the mini-game trend, contributing positively to their financial reports in 2024 [2][5] Industry Trends - The mini-game market has expanded significantly, with both large and small developers exploring new gameplay mechanics, resulting in a diverse range of offerings [2][4] - The rise of mini-games is attributed to their easy accessibility and low development costs, appealing particularly to middle-aged players with limited gaming time but strong spending power [4][5] Company Performance - Giant Network's mini-game "King's Journey" attracted over 25 million new users and generated 600 million yuan in revenue since its launch in February 2024 [5][6] - Century Huachuang's subsidiary, Point Interactive, reported approximately 2.245 billion yuan in revenue from mini-games like "Endless Winter" in 2024 [6] Monetization Strategies - Mini-games primarily monetize through IAA (In-App Advertising), IAP (In-App Purchases), and mixed models, with advertising being a key revenue source due to regulatory constraints on direct charging [6][7] - The potential for overseas expansion is highlighted as a significant opportunity for mini-games, with domestic companies poised to fill gaps in the international market [6][7] Future Outlook - The mini-game sector is expected to continue growing, with established IPs being adapted into mini-games, enhancing user engagement and retention [7][8] - Analysts predict that the convenience and social sharing aspects of mini-games will attract a broader audience, including non-gamers, contributing to market growth [8]