Why HUYA (HUYA) Shares Are Gaining Today - HUYA (NYSE:HUYA)

HUYA Inc HUYA reported a third-quarter FY22 revenue decline of 20.1% year-on-year to $334.37 million, beating the consensus of $318.23 million.
Segments: HUYA's Live streaming revenues declined by 22.5% Y/Y to $283.56 million due to lower average spending per paying user on Huya Live.
HUYA's advertising and other revenues declined 3.3% Y/Y to $50.81 million due to weak demand for advertising services.
Drivers: Average mobile MAUs of Huya Live rose 1.1% Y/Y to 86 million. The total number of paying users of Huya Live declined by 8.3% Y/Y to 5.5 million.
Margin: HUYA's gross margin contracted 250 bps to 14.4% due to lower revenues.
HUYA's adjusted EPS of $0.06 beat the consensus loss of $(0.03).
HUYA held $1.55 billion in cash and equivalents.
"In the third quarter of 2022, we expanded our active user base by attracting users to our enhanced interactive experience offerings, as well as our appealing gaming and entertainment content," said CEO Rongjie Dong. "Faced with ongoing macro headwinds that impacted the broader industry and our Company, we continued to drive live-streaming technology improvements, explore new product features and enrich our quality content."
Price Action: HUYA's shares traded higher by 11.30% at $2.56 in the premarket on the last check Tuesday.

HUYA Shares Pop Premarket On Upbeat Q3 Results