- NetEase, Inc NTES reported first-quarter FY22 revenue growth of 14.8% year-on-year to $3.7 billion.
- Segments and margins: Online game services revenues grew 15.3% Y/Y to $2.7 billion. The gross margin for online game services expanded by 50 bps to 65.1%.
- Youdao, Inc DAO revenue decreased 10.4% Y/Y to $189.4 million, and the corresponding gross margin contracted by 420 bps to 53.1%.
- Also Read: Alibaba, Other Chinese Stocks Pop As China's Top Economic Official Expresses Support For Digital Platform Ahead Of 2022 Election, NYSE Top Official Eases Worries For Alibaba, Other Chinese Stocks Over US Delisting; Sees More Chinese Companies Getting Listed In US
- Cloud Music's revenues were $326.1 million, up 38.6% Y/Y, and posted a positive gross margin of 12.2%.
- Innovative businesses and other revenue rose 11.5% Y/Y to $475.7 million, and the gross margin contracted 80 bps to 23.3%.
- Non-GAAP net income per ADS was $1.23.
- NetEase held $16.9 billion in cash and equivalents and generated $722.9 million in operating cash flow.
- "Strong contributions from our steady online game services led our healthy growth in the first quarter with total net revenues of RMB23.6 billion, an increase of 14.8% year-over-year," CEO William Ding said. "Our other business lines, including Youdao, NetEase Cloud Music, and Yanxuan, are also on track."
- Dividend: The board approved a dividend of $0.3220 per ADS for Q1 versus $0.4050 per ADS paid in Q4.
- Price Action: NTES shares traded higher by 2.23% at $99.20 in the premarket session on the last check Tuesday.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Loading...
Benzinga simplifies the market for smarter investing
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
Join Now: Free!
Already a member?Sign in
