China’s NetEase quarterly revenue jumped to $2 billion. Nevertheless, the company’s growth rate has decreased.
Knives Out
NetEase has published results for the third fiscal quarter.
She managed to increase both profit and income. But TechNode, with reference to Yahoo Finance, points to a large decline in the growth rate of the Chinese giant.
General figures:
- NetEase’s gross quarterly profit is $1.1 billion. This is 8.9% higher than in the same quarter last year;
- total revenue for the quarter increased by 11.2% year-on-year and reached $2 billion;
- however, last year for the same period, profit growth reached 26.9%, and revenue – 35.1%.
By games:
- The company earned $1.6 billion out of $2 billion from games. The annual growth was 11.5%;
- 71% of NetEase’s gaming revenue was generated by mobile games. For the same quarter of 2018, their share reached 68%.
In general, it is the mobile portfolio that is responsible for the growth of NetEase’s overall performance. The main drivers were such smartphone games as Invincible, LifeAfter and Identity V. Due to the last two and the popular battle royale Knives Out, NetEase is intensively promoting its brand in Japan.
During the quarter, the company released several new games: Cyber Hunter, Xuan Yuan Sword: Dragon Upon the Cloud and Bloom & Blade e. Plus, she published WoW Classic in China in collaboration with Blizzard. All this also had a positive impact on revenue.
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