NetEase’s Game Revenue Increases by 29.8% YoY in Q4 Last Year
Chinese tech giant NetEase Inc. released its financial report for the fourth quarter and fiscal year ended December 31, 2021.
The financial report shows that in the fourth quarter last year, the company’s net revenue was 24.4 billion yuan ($3.8 billion), a year-on-year increase of 23.3%, while the company’s Non-GAAP net profit reached 6.6 billion yuan. Its net income in 2021 was 87.6 billion yuan, a year-on-year increase of 19%, while the Non-GAAP net profit attributable to shareholders of the company reached 19.8 billion yuan.
In Q4 last year, online game services net revenues were 17.4 billion yuan, an increase of 29.8% compared with the fourth quarter of 2020. By contrast, the net income of online game services in 2021 was 62.8 billion yuan.
In terms of games, “Naraka: Bladepoint”, which continually hit record-high users and was named a “Top Seller” on Steam’s Best of 2021 games list. “Harry Potter: Magic Awakened”, with its captivating content updates helped drive the game to a leading position on China’s iOS download and highest grossing game charts multiple times. “The Showbiz: Dream Chaser” ranked No. 1 on China’s iOS download chart after its December 2021 debut.
NetEase Cloud Music, which was successfully listed last year, achieved a net income of 1.9 billion yuan in Q4 last year, up 23.9% year-on-year, while the company’s net income in 2021 reached 7 billion yuan. By the end of 2021, the number of independent musicians on the platform exceeded 400,000, and the number of creators on the platform doubled year on year.
In the fourth quarter, NetEase Cloud Music successively reached copyright agreements with five mainstream record companies or copyright holders, including Modern Sky, Emperor Entertainment (Hong Kong) Limited, China Record Corporation, Rock Forward and Yuehua Entertainment. At the same time, the platform launched audio books such as “The Three Body Problem” and “A Space Odyssey” to provide users with more high-quality content.
NetEase Youdao achieved a net income of 1.3 billion yuan in Q4 last year, up 20.5% year-on-year, and a net income of 5.4 billion yuan in 2021, up 69% year-on-year. Innovative businesses such as NetEase Yanxuan and NetEase Media have seen steady development. Their net revenues were 3.8 billion yuan and 12.4 billion yuan in Q4 and 2021 respectively.