Financial Performance - Net revenue for Q2 2025 reached 27.9 billion yuan, with a non-GAAP net profit attributable to shareholders of 9.5 billion yuan [1] - R&D investment amounted to 4.4 billion yuan, resulting in an R&D intensity of 15.6% [1][4] Gaming Achievements - Multiple new games achieved significant success in the North American market, with "Out of Bounds" ranking second on PlayStation's free download chart in May [2] - "All-Star Streetball Party" and "Marvel's Secret Wars" topped the iOS download charts in the U.S., both reaching the top 2 [2] - "Seven Days World" 2.0 version ranked fourth on Steam's global bestseller list, while "Marvel's Showdown" secured the first and second positions on Steam's U.S. and global bestseller lists, respectively [2] Upcoming Game Releases - Anticipated new games include the original ocean adventure RPG "Forgotten Sea," narrative-driven action-adventure game "Return to Tang," and mobile adaptations of "Nirvana in Fire" and "Yanyun Sixteen Sounds" [2] - "Nirvana in Fire" mobile game has opened global pre-registration, while "Yanyun Sixteen Sounds" completed its latest overseas testing [2] - "Destiny: Stars" mobile game is set for overseas release on August 28 [2] Blizzard Game Performance - Blizzard's games under the company's agency performed well, with "Hearthstone" ranking fifth on China's iOS bestseller list after the launch of the "Journey to Un'Goro" expansion [3] - The 20th anniversary of "World of Warcraft" will see the launch of a new exclusive server in November, generating positive community feedback [3] - "Diablo III" has officially returned to the Chinese market, exceeding expectations in various metrics [3] AI Innovations - The company maintained a strong R&D investment, with 4.4 billion yuan allocated to AI applications across various sectors, including gaming, music, and education [4] - The launch of the world's first embodied intelligent model "Lingjue" for engineering machinery showcased its capabilities in remote operation and efficiency in harsh environments [4] - AI-driven features in Youdao, such as AI essay grading and college application assistance, have significantly improved user retention rates to over 75% [4]

Core Insights - NetEase reported Q2 2025 net revenue of 27.9 billion yuan and a non-GAAP net profit attributable to shareholders of 9.5 billion yuan, with R&D investment of 4.4 billion yuan, representing an R&D intensity of 15.6% [1] - The company continues to focus on a strategy of product quality and global expansion, driving long-term stable growth [1] Gaming Performance - NetEase's gaming and related value-added services generated net revenue of 22.8 billion yuan in Q2, with classic IP "Fantasy Westward Journey" achieving a record high in concurrent users [1][4] - New game releases such as "Yanyun Sixteen Sounds," "Seven Days World," and "Outsider Madness" have shown strong performance, while the upcoming titles like "Forgotten Sea" and "Return to Tang" have generated significant market interest [3][4] Innovation and Technology - The company invested 4.4 billion yuan in R&D, focusing on technological innovation across various sectors including gaming, music, and education [6] - NetEase Youdao achieved a net revenue of 1.4 billion yuan in Q2, marking its fourth consecutive quarter of sustainable profitability under its "AI-native" strategy [1][7] E-commerce and Media - NetEase's innovative and other businesses reported a net revenue of 1.7 billion yuan, with significant sales growth in NetEase Yanxuan products [2] - The media division has seen a 25% increase in daily active creators on the news app, with a 28% rise in average reading volume [2] Social Responsibility - The company has implemented four major initiatives to protect minors online, including AI patrol technology and restrictions on high-age user account creation [8][9] - NetEase has actively participated in developing safety guidelines for AI services aimed at minors, contributing to industry self-regulation [9]