Financial Data and Key Metrics Changes - Total net revenues for Q3 reached approximately RMB 1.7 billion, marking a year-over-year growth of about 10%, the highest level in the past nine quarters [3][12] - Non-GAAP operating profit was approximately RMB 6.3 million, reflecting a meaningful improvement over the same period last year [3][12] - Live streaming revenues increased by about 3% year-over-year to RMB 1.16 billion, while game-related services, advertising, and other revenues grew around 30% year-over-year to RMB 532 million, accounting for 31.5% of total net revenues [12][13] Business Line Data and Key Metrics Changes - Revenues from game-related services, advertising, and other segments grew 30% year-over-year, reaching RMB 532 million, driven by strong in-game item sales and advertising [4][12] - In-game item sales revenue grew by more than 200% year-over-year in Q3, supported by collaborations with flagship titles [5][21] - Live streaming revenues resumed growth for the first time since Q3 2021, with a more balanced content mix and solid gains in outdoor live streaming [7][12] Market Data and Key Metrics Changes - The platform ecosystem and user base remained resilient, with total monthly active users (MAUs) stable at around 162 million [3][29] - The company estimates that through top creators, it can reach over 100 million users across other platforms, expanding audience influence [4][29] Company Strategy and Development Direction - The company aims to deepen collaboration with game developers, expand SKU offerings, and enhance operations in game item sales [5][22] - A focus on diversifying into game publishing is evident, with the upcoming launch of "Goose Goose Duck Mobile" seen as a key step [6][30] - The strategy includes improving monetization efficiency, enhancing product experience, and expanding internationally for sustainable growth [10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in maintaining robust growth momentum in game item sales and expects live streaming revenues to remain stable [5][26] - The company anticipates overall revenue growth to accelerate in 2026, driven primarily by game-related services, advertising, and other revenues [26] Other Important Information - Cost of revenues increased by 10% to RMB 1.46 billion, primarily due to increased revenue sharing fees and content costs [14] - Gross profit was RMB 227 million for Q3, with a gross margin of 13.4%, an improvement from the previous year [14][16] Q&A Session Summary Question: Updates on in-game item sales business - In-game item sales revenue grew over 200% year-over-year, supported by strong live streaming ecosystem and deeper partnerships with flagship titles [21][22] Question: Future growth of live streaming and non-live stream business - Live streaming revenue has returned to growth, while non-live streaming businesses are expected to continue growing strongly, driven by in-game item sales and deeper collaborations [26] Question: Strategy and outlook for Goose Goose Duck Mobile and game publishing - The mobile version of Goose Goose Duck is the first full-fledged publishing effort, with pre-registrations surpassing 10 million [30] - The strategy focuses on a content-driven approach, leveraging the streamer network and e-sports presence [31] Question: Ongoing partnership with Delta Force - The company is building a vibrant community engagement and e-sports tournament ecosystem for Delta Force, with successful events planned [34] Question: Financial impact of new business on profitability - Gross profit grew over RMB 23 million, leading to further improvement at the operating level, with expectations for gradual margin improvement over time [37]