NetEase's Q1 Profit Rises on Higher Games Revenue
NetEase's (HKG:9999) attributable profit jumped 3.6% in the first quarter as revenue from games helped boost the Chinese internet company's top line.Attributable profit rose to 10.7 billion yuan in the first quarter from 10.3 billion yuan a year earlier, according to a Thursday filing with the Hong Kong bourse.Visible Alpha analysts, on average, expected the company to post 9.19 billion yuan in attributable profit for the quarter.Earnings per share increased to 3.31 yuan from 3.21 yuan a year earlier.Revenue increased 6.1% to 30.6 billion yuan from 28.8 billion yuan in the prior-year period.Games and related value-added services revenue jumped 6.9% year over year to 25.7 billion yuan from 24.0 billion yuan on stellar performances from its self-developed games, Fantasy Westward Journey and Where Winds Meet.NetEase also recognized high engagement and revenue across other titles such as Identity V, Eggy Party, and Sword of Justice."For the first quarter of 2026, we delivered another solid quarter across our established gaming portfolio, while continuing to make steady progress advancing our pipeline of new titles," CEO William Ding said.New York-listed Youdao's revenue jumped 3.8% year over year to 1.35 billion yuan from 1.30 billion yuan, while its NetEase Cloud Music (HKG:9899) service saw revenue of 1.98 billion yuan, up 6.6% year over year from 1.86 billion yuan.The top line from its innovative businesses segment slipped 4.6% to 1.55 billion yuan from 1.62 billion yuanDirectors approved a quarterly dividend of $0.144 per share, or $0.720 per American depositary share, payable June 15 to ordinary shareholders on record as of June 5 and on or around June 18 to ADS holders.
