Market Newsdesk

November 20, 2025 4:33 am

WeRide’s Robotaxi Receives Driverless Permit in Switzerland; Autonomous Vehicles Now Licensed in 8 Countries

ZURICH, Nov. 20, 2025 (GLOBE NEWSWIRE) — WeRide (NASDAQ: WRD, HKEX: 0800.HK), a global leader in autonomous driving technology, today announced that its Robotaxi has received a driverless permit from Switzerland’s Federal Roads Office (FEDRO), authorizing it to operate autonomously on public roads in the Furttal region. This is the first driverless Robotaxi permit (for passengers) issued in Switzerland.

With this approval, WeRide becomes the world’s only company with vehicles holding autonomous driving permits in eight countries – Switzerland, China, the UAE, Saudi Arabia, Singapore, France, Belgium, and the United States – marking a major milestone in its global expansion.

Under this permit, WeRide Robotaxis may conduct fully driverless commercial operations as part of the “iamo” (Intelligent Automated Mobility) pilot once testing is complete. Led by the Swiss Transit Lab (STL) in collaboration with the Cantons of Zurich and Aargau and Swiss Federal Railways (SBB), “iamo” aims to explore how autonomous vehicles (AVs) could be integrated into public transport systems to improve local mobility, strengthen last-mile connectivity, and promote more efficient, sustainable transport. The vehicles will serve a 110-kilometer operating area with around 460 stops at speeds of up to 80 km/h.

WeRide and its partners have begun AVtesting with an on-board safety driver, in partnership with a local driving school, after completing extensive field preparations. Testing is underway across multiple locations in Furttal, including Boppelsen, Otelfingen, Buchs, Dänikon, Würenlos, Killwangen, Hüttikon, Dällikon, and Regensdorf. During this phase, the Robotaxis will complete adaptive driving sessions under varying traffic and weather conditions to ensure full compliance with Swiss road regulations.

Upon successful testing in cooperation with FEDRO, WeRide will begin fully driverless testing, with vehicles remotely monitored from a central support center operated by Eurobus, Switzerland’s largest private bus company.

After achieving the necessary requirements, including mileage benchmarks, WeRide expects to launch fully driverlesspublic passenger service in the first half of 2026, and subsequently expand the fleet to include Robobuses – establishing Switzerland’s first mixed AV fleet of Robotaxis and Robobuses.

This development builds on WeRide’s growing presence in Switzerland. Since June 2025, Zurich Airport employees have been commuting between the airport head (Gate 101) and maintenance yard (Gate 103) using WeRide’s Robobus shuttle service. In October 2025, WeRide and Zurich Airport began training personnel for both rear-seat and remote Robobus cockpit operations, in preparation for fully driverless operations in the near future.

About WeRide

WeRide is a global leader and a first mover in the autonomous driving industry, as well as the first publicly traded Robotaxi company. Our autonomous vehicles have been tested or operated in over 30 cities across 11 countries. We are also the first and only technology company whose products have received autonomous driving permits in eight markets: China, Switzerland, the UAE, Singapore, France, Saudi Arabia, Belgium, and the US. Empowered by the smart, versatile, cost-effective, and highly adaptable WeRide One platform, WeRide provides autonomous driving products and services from L2 to L4, addressing transportation needs in the mobility, logistics, and sanitation industries. WeRide was named to Fortune’s 2025 Change the World and 2025 Future 50 lists.

Media Contact

[email protected]

Safe Harbor Statement

This press release contains statements that may constitute “forward-looking” statements pursuant to the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “aims,” “future,” “intends,” “plans,” “believes,” “estimates,” “likely to,” and similar statements. Statements that are not historical facts, including statements about WeRide’s beliefs, plans, and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. Further information regarding these and other risks is included in WeRide’s filings with the U.S. Securities and Exchange Commission. All information provided in this press release is as of the date of this press release. WeRide does not undertake any obligation to update any forward-looking statement, except as required under applicable law.

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/77829003-ce82-4033-b6d0-357695ce8381

November 20, 2025 4:33 am

BROAD ARROW ANNOUNCES, “GLOBAL ICONS,” AN ONLINE COLLECTOR CAR AND MEMORABILIA SALE SCHEDULED FOR JANUARY 2026

NOVEL THREE-PART ONLINE AUCTION TO INCLUDE EUROPE AND UK-BASED COLLECTOR CARS ALONGSIDE MOTORSPORT MEMORABILIA | HIGHLY ORIGINAL 1971 LAMBORGHINI MIURA P400 S LEADS EARLY COLLECTOR CAR HIGHLIGHTS | LIVE PREVIEW OPPORTUNITIES ACROSS MULTIPLE COUNTRIES TO BE ANNOUNCED | BIDDING OPENS JANUARY 23, 2026

Grosse Pointe, Michigan, Nov. 20, 2025 (GLOBE NEWSWIRE) — Broad Arrow Auctions, a Hagerty company (NYSE: HGTY), is thrilled to announce Global Icons, a multi-location online auction of motor cars and memorabilia set for January 2026, with live preview displays at multiple locations throughout the UK and Europe. A new auction concept for Broad Arrow, Global Icons will comprise three parts, including two collector car auctions—Global Icons: Europe Online and Global Icons: UK Online—along with Global Icons: Memorabilia Online, featuring a motorsport memorabilia offering.

“Global Icons introduces an exciting new auction format to our clients,” says Joe Twyman, VP of Sales for Broad Arrow’s EMEA Region. “The expansion of our footprint across the UK and Europe over the last two years allows us to present an online collector car auction experience to consignors and bidders, one that will both attract a very wide network of collectors and offer the unique opportunity to preview and inspect many of the cars on offer alongside a Broad Arrow car specialist at multiple convenient hub locations across Europe and the UK. We look forward to sharing more information about these exciting events soon.”

Consignors and bidders can expect a diverse selection of high-quality pre-war, post-war, and modern collector cars offered in Global Icons: Europe Online for cars located in Europe, and Global Icons: UK Online for cars located in the UK. The cars on offer will be considered ‘iconic’ based on their historical significance, contribution to pop or collector car culture, or importance to the DNA of their respective marque.

Broad Arrow has already secured a number of exciting early consignments for Global Icons: Europe Online and Global Icons:UK Online, led by a fantastic example of none other than the seminal supercar, a 1971 Lamborghini Miura P400 S, chassis no. 4809(Estimate: €1.600.000 – €1.800.000). This late-production example is one of approximately 338 built and was delivered new to Tenerife dealer, Vela Murillo, equipped with the desirable vented discs and factory air conditioning. The car enjoyed a glamorous early life in the Canary Islands, eventually landing with a Swiss caretaker in 1998.

Carefully restored under Swiss ownership between 2006 and 2011 in period-correct Giallo Miura over Nero leather, the Miura is offered next January in highly original condition, retaining its matching-numbers V12 engine, upgraded with desirable SV-type split-sump lubrication. Fresh from a major service amounting to over CHF 15’000 completed in 2025, and presented with a detailed history file, chassis 4809 is a superlative example of Lamborghini’s most iconic creation.

Clients can also expect an exciting selection of approximately 100 sought-after motorsport memorabilia lots to be offered in Global Icons: Memorabilia Online. Items already consigned include those used by such legendary drivers as Ayrton Senna, Michael Schumacher, Sir Stirling Moss, and Sir John Surtees.

Information on all lots will be available at broadarrowauctions.com, and bidding will open from January 23, 2026. Bidding for Global Icons: Europe Online and UK Online will close on Friday, January 30, and bidding for Global Icons: Memorabilia Online will close on Sunday, February 1.

With Broad Arrow’s presence and reach across the UK and continental Europe, along with its global team of knowledgeable car specialists, the company will host in-person previews of many of the lots on offer in the Global Icons Online Auction series at several locations across Europe and at Broad Arrow’s UK headquarters at Bicester Motion. Details of these exciting events will be released in the coming weeks.

Consignments are now invited. Interested consignors are invited to connect with a Broad Arrow car specialist at broadarrowauctions.com or by contacting [email protected]. Buyer’s premium for collector vehicles offered in Global Icons: Europe Online and Global Icons: UK Online will be 10% of the final hammer price plus VAT. Buyer’s premium for all lots offered in Global Icons: Memorabilia Online will be 25% of the final hammer price, inclusive of VAT. Learn more about Global Icons and Broad Arrow’s 2026 calendar of events at broadarrowauctions.com.

Editor’s Notes

Photo Caption/Credit – 1971 Lamborghini Miura P400 S set for Broad Arrow’s Global Icons: Europe Online Auction by Urs Schmid / Courtesy of Broad Arrow Auctions.

About Broad Arrow Auctions
Broad Arrow Auctions, a Hagerty (NYSE: HGTY) company, is a leading global collector car auction house. Founded in 2021 by highly experienced industry veterans, Broad Arrow offers exceptional quality cars to collectors and enthusiasts around the world. As the fastest growing auction house in its segment, Broad Arrow’s flagship annual events include The Monterey Jet Center Auction, in conjunction with Motorlux in California, The Amelia Auction, as the official auction of The Amelia (Concours d’Elegance) in Florida, and The Porsche Auction, in conjunction with Air | Water by Luftgekühlt in California. Broad Arrow expanded its global footprint in 2023, with renowned car specialists joining the team in the UK and Europe. Broad Arrow launched its first auction in Europe in May 2025 as the new official auction house of the Concorso d’Eleganza Villa d’Este in Italy in partnership with BMW AG. Broad Arrow expanded its global auction footprint with three new auctions in 2025 held in collaboration with Zoute Grand Prix, Concours at Wynn Las Vegas, and Auto Zürich. Learn more at broadarrowauctions.com and follow us on Instagram, Facebook, LinkedIn, and Twitter.

About Hagerty, Inc. (NYSE: HGTY)
Hagerty is an automotive enthusiast brand committed to saving driving and to fueling car culture for future generations. The company is a leading provider of specialty vehicle insurance, expert car valuation data and insights, live and digital car auction services, immersive events and automotive entertainment custom made for the 67 million Americans who self-describe as car enthusiasts. Hagerty also operates in Canada and the U.K. and is home to Hagerty Drivers Club, a community of over 875,000 who can’t get enough of cars. For more information, please visit www.hagerty.com or connect with us on Facebook, Instagram, X and LinkedIn.

Forward-Looking Statements – This press release contains statements that constitute “forward-looking statements” within the meaning of the federal securities laws. All statements provided, other than statements of historical fact, are forward-looking statements, including those regarding Hagerty’s future operating results and financial position, Hagerty’s business strategy and plans, products, services, and technology implementations, market conditions, growth and trends, expansion plans and opportunities, and Hagerty’s objectives for future operations. The words “anticipate,” “believe,” “envision,” “estimate,” “expect,” “intend,” “may,” “plan,” “predict,” “project,” “target,” “potential,” “will,” “would,” “could,” “should,” “continue,” “ongoing,” “contemplate,” and similar expressions, and the negative of these expressions, are intended to identify forward-looking statements.

Hagerty has based these forward-looking statements largely on current expectations about future events, which may not materialize. Actual results could differ materially and adversely from those anticipated or implied in the forward-looking statements. These factors include, among other things, Hagerty’s ability to: (i) compete effectively within our industry and attract and retain our insurance policyholders and paid Hagerty Drivers Club (“HDC”) subscribers; (ii) maintain key strategic relationships with our insurance distribution and underwriting carrier partners; (iii) prevent, monitor, and detect fraudulent activity; (iv) manage risks associated with disruptions, interruptions, outages or other issues with our technology platforms or our use of third-party services; (v) accelerate the adoption of our membership and marketplace products and services, as well as any new insurance programs and products we offer; (vi) manage the cyclical nature of the insurance business, including through any periods of recession, economic downturn or inflation; (vii) address unexpected increases in the frequency or severity of claims, and (viii) comply with the numerous laws and regulations applicable to our business, including state, federal and foreign laws relating to insurance and rate increases, privacy, the internet, and accounting matters.

The forward-looking statements herein represent the judgment of Hagerty as of the date of this release and Hagerty disclaims any intent or obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments, or otherwise. This press release should be read in conjunction with the information included in Hagerty’s other press releases, reports and other filings with the Securities and Exchange Commission. Understanding the information contained in these filings is important in order to fully understand Hagerty’s reported financial results and its business outlook for future periods.

Attachments

Ian Kelleher
Broad Arrow Auctions
+1 917-971-4008
[email protected]

Meghan McGrail
Broad Arrow Auctions
+1 519 365 8750
[email protected]

Paul Garlick
Broad Arrow Auctions
+44 7789 480 555
[email protected]

November 20, 2025 4:20 am

Omdia: Middle East Smartphone Market up 23% in 3Q25; Supply Issues to Rein in 2026 Growth to 1%

Omdia: Middle East Smartphone Market up 23% in 3Q25; Supply Issues to Rein in 2026 Growth to 1%

LONDON–(BUSINESS WIRE)–
New data from Omdia reveals a strong rebound in the Middle East smartphone market (excluding Turkey) in 3Q25, with shipments rising 23% year on year to 15.1 million units. The growth was primarily driven by rising demand in key mass-market segments, where consumers are upgrading from older or entry-level devices to more capable mid-tier 4G and affordable 5G smartphones. Vendors capitalized on this momentum by focusing on value-for-money portfolios and expanding their presence in emerging markets, where affordable 4G models continue to drive high-volume adoption.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20251120498379/en/

Middle east (excluding Turkey) smartphone market shipment, 1Q22 to 3Q25

Market performance varied across the region. Saudi Arabia, the Middle East’s largest market, recorded a modest 2% decline as prolonged summer holidays softened retail activity and delayed upgrade cycles. The UAE grew 13% year on year, supported by strong promotional activity from major retailers such as Sharaf DG, Carrefour and Emax, along with seasonal demand from Dubai Summer Surprises and a series of high-profile product launches. Iraq and the Rest of Middle East maintained strong momentum with 41% and 70% growth respectively. This was due to intensified vendor activity, stronger channel incentives and improved coordination with distributors, alongside steady replacement demand in entry-level segments.

“Although the region posted strong growth, ASP softness persisted as vendors prioritized volume through expanded entry-level portfolios,” said Manish Pravinkumar, Principal Analyst at Omdia. “Samsung retained its leadership with 22% growth, supported by the early push behind its Galaxy A17 4G/5G lineup and sustained contributions from high-volume A-series models. TRANSSION recorded a notable 47% rebound, driven by TECNO’s expanding footprint in lower-ASP markets and its strong resonance among Asian and African expatriate communities across key Gulf hubs.”

“Xiaomi delivered 35% growth as it restructured its channel relationships and deepened regional investments. The opening of its first flagship store at Dubai’s Ibn Battuta Mall marks its increasing shift toward direct-to-consumer engagement. HONOR posted the highest year-on-year growth at 128%, supported by portfolio expansion, stronger operator and retail partnerships, and broader ecosystem positioning. Apple returned to double-digit growth at 14%, following six quarters of uneven performance, with early sell-through of the iPhone 17 series reinforcing its premium leadership.”

“Omdia expects the Middle East smartphone market growth to slow to a modest 1% in 2026, down from 13% in 2025, as 1H26 faces headwinds from rising component costs and supply constraints,” said Pravinkumar. “These challenges will be felt most in lower-ASP markets, where strengthening channel engagement and deploying focused incentives across mass-market tiers will be essential to maintaining momentum. Meanwhile, the mid-to-premium segment is expected to remain resilient, with upgrade activity led by Apple and Samsung, supported by stronger ecosystem value and brand stickiness. To sustain demand, channels will need to expand financing options, trade-in schemes and targeted promotions, while vendors who balance cost discipline, portfolio optimization and service-led differentiation will be best positioned to capture the region’s gradual return to growth.”

*Middle East smartphone shipment and annual growth**
Omdia Smartphone Market Pulse: 3Q25
Vendor	3Q25	3Q25	3Q24	3Q24	Annual
	shipments	market	shipments	market	growth
	(million)	share	(million)	share
Samsung	5.2	34%	4.2	35%	22%
TRANSSION	2.7	18%	1.8	15%	47%
Xiaomi	2.3	15%	1.7	14%	35%
HONOR	1.6	10%	0.7	6%	128%
Apple	1.4	9%	1.2	10%	14%
Others	1.9	13%	2.5	21%	-23%
Total	15.1	100%	12.2	100%	23%

Note: OPPO includes OnePlus. Vivo includes iQOO. Xiaomi includes POCO
Percentages may not add up to 100% due to rounding. *Excluding Turkey
Source: Omdia Smartphone Horizon Service (sell-in shipments), November 2025

ABOUT OMDIA

Omdia, part of Informa TechTarget, Inc. (Nasdaq: TTGT), is a technology research and advisory group. Our deep knowledge of tech markets, grounded in real conversations with industry leaders and hundreds of thousands of data points, make our market intelligence our clients’ strategic advantage. From R&D to ROI, we identify the greatest opportunities and move the industry forward.

View source version on businesswire.com: https://www.businesswire.com/news/home/20251120498379/en/

Fasiha Khan – [email protected]

KEYWORDS: Europe United Kingdom Middle East Asia Pacific

INDUSTRY KEYWORDS: 5G Consumer Electronics Mobile/Wireless Technology Telecommunications

MEDIA:

Photo

Middle east (excluding Turkey) smartphone market shipment, 1Q22 to 3Q25

Photo

Middle East (excluding Turkey) smartphone shipment market share, top vendors, 1Q24 to 3Q25

Logo

November 20, 2025 4:09 am

DouYu International Holdings Limited Reports Third Quarter 2025 Unaudited Financial Results

PR Newswire

WUHAN, China, Nov. 20, 2025 /PRNewswire/ — DouYu International Holdings Limited (“DouYu” or the “Company”) (Nasdaq: DOYU), a leading game-centric live streaming platform in China and a pioneer in the eSports value chain, today announced its unaudited financial results for the third quarter ended September 30, 2025.

Third Quarter 2025 Financial Highlights

Total net revenues in the third quarter of 2025 were RMB899.1 million (US$126.3 million), compared with RMB1,063.1 million in the same period of 2024.
Gross profit in the third quarter of 2025 was RMB116.1 million (US$16.3 million), an increase of 90.9% from RMB60.8 million in the same period of 2024.
Income from operations in the third quarter of 2025 was RMB11.9 million (US$1.7 million), compared with a loss from operations of RMB94.2 million in the same period of 2024.
Net income in the third quarter of 2025 was RMB11.3 million (US$1.6 million), an increase of 232.8% from RMB3.4 million in the same period of 2024.
Adjusted net income (non-GAAP)^{^[1]} in the third quarter of 2025 was RMB23.1 million (US$3.3 million), compared with an adjusted net loss (non-GAAP) of RMB39.8 million in the same period of 2024.

Ms. Simin Ren, Co-Chief Executive Officer of DouYu, commented, “In the third quarter of 2025, we refined our strategy amid shifting market dynamics and user demand, placing greater focus on value chain integration and synergy. We further optimized our operational model and strategies to enhance our agility and responsiveness, allowing us to meet the players’ needs and capture business opportunities more effectively. During the quarter, we continued to upgrade our content and products ecosystem by enriching select premium offerings, such as e-sports tournaments, and launching AI-powered bullet comment features that make it easier for our users to enjoy our premium content and engage with our vibrant communities. Meanwhile, our profitability continued to improve, with gross profit and net income both achieving year-over-year growth while income from operations returning to positive territory in the third quarter. In an increasingly complex and fast-changing environment, we are shoring up our foundational strengths and remain committed to delivering long-term value to our users and shareholders.”

Mr. Hao Cao, Vice President of DouYu, commented, “Our third quarter 2025 results demonstrate our ongoing resilience and improving profitability. During the quarter, our income from operations reached RMB11.9 million, and GAAP net income grew 232.8% year over year to RMB11.3 million. In addition, our adjusted net income (non-GAAP) was RMB23.1 million, compared with a loss in the same period last year. By continuing to enhance our content supply and further refining our operating model, we have steadily improved our operational efficiency and optimized costs and expenses. These results reflect our growing sustainable development capabilities. Looking ahead, as the market conditions remain challenging, we will continue to focus on further optimizing our resource allocation, enhancing operational efficiency, and bolstering financial resilience to create long-term value.”

Third Quarter 2025 Operational Highlights

In the third quarter, average mobile MAUs^{^[2]} were 30.5 million, down 27.5% year over year from 42.1 million in the same period of 2024. The decline was mainly due to the lagging effects of our content supply adjustments and cost-structure optimization, which led to lower user engagement and activity.
In the third quarter, the number of quarterly average paying users^{^[3]} for livestreaming-related business was 2.7 million with a quarterly ARPPU of RMB205. Compared with 2.8 million paying users in the second quarter, the slight sequential decrease in paying users was mainly attributable to reduced consumer spending amid the prevailing macroeconomic environment as well as fewer promotional activities resulting from adjustments in our platform’s operational strategy and seasonal factors during the quarter.
In the third quarter, revenues from our voice-based social networking business reached RMB275.9 million. Our average MAUs for the voice-based social networking business for the third quarter were 368,600, with monthly average paying users^{^[4]} of 71,700. During the quarter, we focused on optimizing the traffic distribution mechanism and resource allocation efficiency for this business. These efforts enhanced the business’s profitability while maintaining a healthy community ecosystem.

Third Quarter 2025 Financial Results

Total net revenues in the third quarter of 2025 were RMB899.1 million (US$126.3 million), compared with RMB1,063.1 million in the same period of 2024.

Livestreaming revenues in the third quarter of 2025 decreased by 30.6% to RMB522.1 million (US$73.3 million) from RMB752.1 million in the same period of 2024. The decrease was primarily due to decreases in both the number of total paying users and average revenue per paying user, as a result of fewer promotional activities in the quarter and continued moderation in the operating environment.

Innovative business, advertising and other revenues (formerly known as advertising and other revenues) in the third quarter of 2025 increased by 21.2% to RMB377.0 million (US$53.0 million) from RMB311.0 million in the same period of 2024.The increase was attributed to higher revenues from our voice-based social networking service, driven by the year-over-year growth of both paying users and ARPPU of the service.

Cost of revenues in the third quarter of 2025 decreased by 21.9% to RMB783.0 million (US$110.0 million) from RMB1,002.3 million in the same period of 2024.

Revenue-sharing fees and content costs in the third quarter of 2025 decreased by 20.7% to RMB689.8 million (US$96.9 million) from RMB869.6 million in the same period of 2024, primarily driven by a significant reduction in content costs as part of our cost optimization efforts, and a decrease in revenue-sharing fees due to lower livestreaming revenues. The decrease was partially offset by increased revenue-sharing fees related to revenue growth in our voice-based social networking service.

Bandwidth costs in the third quarter of 2025 decreased by 34.2 % to RMB47.5 million (US$6.7 million) from RMB72.2 million in the same period of 2024, primarily attributable to our bandwidth allocation advancement and a year-over-year decrease in peak bandwidth usage.

Gross profit in the third quarter of 2025 increased by 90.9% to RMB116.1 million (US$16.3 million) from RMB60.8 million in the same period of 2024, primarily driven by a decline in our content costs and bandwidth costs. Gross margin in the third quarter of 2025 was 12.9%, increasing from 5.7% in the same period of 2024.

Sales and marketing expenses in the third quarter of 2025 decreased by 34.0% to RMB52.3 million (US$7.4 million) from RMB79.3 million in the same period of 2024, primarily attributable to reductions in staff-related expenses.

Research and development expenses in the third quarter of 2025 decreased by 37.8% to RMB26.9 million (US$3.8 million) from RMB43.2 million in the same period of 2024, primarily attributable to a decrease in staff-related expenses.

General and administrative expenses in the third quarter of 2025 decreased by 14.9% to RMB35.3million (US$5.0 million) from RMB41.5 million in the same period of 2024, primarily attributable to reductions in staff-related expenses and professional fees.

Income from operations in the third quarter of 2025 was RMB11.9 million (US$1.7 million), compared with a loss from operations of RMB94.2 million in the same period of 2024.

Net income in the third quarter of 2025 was RMB11.3 million (US$1.6 million), compared with RMB3.4 million in the same period of 2024, representing an improvement of 232.8% year-over-year.

Adjusted net income (non-GAAP), which is calculated as net income excluding share of loss in equity method investments and impairment losses and fair value adjustments on investments, was RMB23.1 million (US$3.3 million) in the third quarter of 2025, compared with an adjusted net loss (non-GAAP) of RMB39.8 million in the same period of 2024.

Basic and diluted net
income per ADS5 in the third quarter of 2025 were both RMB0.38 (US$0.05).

Adjusted basic and diluted net
income
per ADS
(non-GAAP) in the third quarter of 2025 were both RMB0.77 (US$0.11).

Cash and cash equivalents, restricted cash and bank deposits

As of September 30, 2025, the Company had cash and cash equivalents, restricted cash, restricted cash in other non-current assets, and short-term and long-term bank deposits of RMB2,221.6 million (US$312.1 million), compared with RMB4,467.8 million as of December 31, 2024. The decrease was primarily due to a special cash dividend distribution of US$300 million in February 2025.

[1]”Adjusted net income (non-GAAP)” is defined as net income excluding share of loss (income) in equity method investments and impairment losses and fair value adjustments on investments. For more information, please refer to “Use of Non-GAAP Financial Measures” and “Reconciliations of GAAP and Non-GAAP Results” at the end of this press release.

[2] “MAUs” refers to the number of active mobile users (exclusive of innovative business unless the context otherwise indicates) in a given period. Average mobile MAUs for a given period is calculated by dividing (i) the sum of active mobile users for each month of such period, by (ii) the number of months in such period.

[3] “Quarterly average paying users” refers to the average paying users for each quarter during a given period of time calculated by dividing (i) the sum of paying users for each quarter of such period, by (ii) the number of quarters in such period. “Paying user” refers to a registered user that has purchased virtual gifts on our platform at least once during the relevant period.

[4] “Monthly average paying users” refers to the monthly average number of paying users during a given period of time calculated by dividing (i) the sum of paying users in each month of such period, by (ii) the number of months in such period. “Paying user” refers to a registered user that has purchased virtual gifts on our platform at least once during the relevant period.

[5] Each ADS represents one ordinary share for the relevant period and calendar year.

About DouYu International Holdings Limited

Headquartered in Wuhan, China, DouYu International Holdings Limited (Nasdaq: DOYU) is a leading game-centric live streaming platform in China and a pioneer in the eSports value chain. DouYu operates its platform on both PC and mobile apps to bring users access to immersive and interactive games and entertainment livestreaming, a wide array of video and graphic content, as well as opportunities to participate in community events and discussions. By nurturing a sustainable technology-based talent development system and relentlessly producing high-quality content, DouYu consistently delivers premium content through the integration of livestreaming, video, graphics, and virtual communities with a primary focus on games. This enables DouYu to continuously enhance its user experience and pursue long-term healthy development. For more information, please see http://ir.douyu.com.

Use of Non-GAAP Financial Measures

Adjusted net (loss) income is calculated as net income (loss) adjusted for share of loss (income) in equity method investments and impairment losses and fair value adjustments on investments. Adjusted net (loss) income attributable to DouYu is calculated as net income (loss) attributable to DouYu adjusted for share of loss (income) in equity method investments and impairment losses and fair value adjustments on investments. Adjusted basic and diluted net (loss) income per ordinary share is non-GAAP net (loss) income attributable to ordinary shareholders divided by the weighted average number of ordinary shares used in the calculation of non-GAAP basic and diluted net (loss) income per ordinary share. The Company adjusted the impact of (i) share of loss (income) in equity method investments, and (ii) impairment losses and fair value adjustments on investments to understand and evaluate the Company’s core operating performance. The non-GAAP financial measures are presented to enhance investors’ overall understanding of the Company’s financial performance and should not be considered a substitute for, or superior to, the financial information prepared and presented in accordance with U.S. GAAP. Investors are encouraged to review the reconciliation of the historical non-GAAP financial measures to their most directly comparable GAAP financial measures. As non-GAAP financial measures have material limitations as analytical metrics and may not be calculated in the same manner by all companies, they may not be comparable to other similarly titled measures used by other companies. In light of the foregoing limitations, you should not consider non-GAAP financial measures as a substitute for, or superior to, such metrics in accordance with U.S. GAAP.

For more information on these non-GAAP financial measures, please see the table captioned “Reconciliations of GAAP and Non-GAAP Results” near the end of this release.

Exchange Rate Information

This announcement contains translations of certain RMB amounts into U.S. dollars at a specified rate solely for the convenience of the reader. Unless otherwise noted, all translations from RMB to U.S. dollars are made at a rate of RMB7.1190 to US$1.00, the noon buying rate in effect on September 30, 2025, in the H.10 statistical release of the Federal Reserve Board. The Company makes no representation that the RMB amounts could have been, or could be, converted, realized, or settled in U.S. dollars, at that rate on September 30, 2025, or at any other rate.

Safe Harbor Statement

This press release contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. Statements that are not historical facts, including statements about the Company’s beliefs and expectations, are forward-looking statements. Forward- looking statements involve inherent risks and uncertainties, and a number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: the Company’s results of operations and financial condition; the Company’s business strategies and plans; general market conditions, in particular, the game live streaming market; the ability of the Company to retain and grow active and paying users; changes in general economic and business conditions in China; any adverse changes in laws, regulations, rules, policies or guidelines applicable to the Company; and assumptions underlying or related to any of the foregoing. In some cases, forward-looking statements can be identified by words or phrases such as “may,” “will,” “expect,” “anticipate,” “target,” “aim,” “estimate,” “intend,” “plan,” “believe,” “potential,” “continue,” “is/are likely to” or other similar expressions. Further information regarding these and other risks, uncertainties or factors is included in the Company’s filings with the U.S. Securities and Exchange Commission. All information provided in this press release is as of the date of this press release, and the Company does not undertake any duty to update such information, except as required under applicable law.

Investor Relations Contact

In China:

Chenyang Yan

DouYu International Holdings Limited

Email: [email protected]

Tel: +86 (10) 6508-0677

Andrea Guo

Piacente Financial Communications

Email: [email protected]

Tel: +86 (10) 6508-0677

In the United States:

Brandi Piacente

Piacente Financial Communications

Email: [email protected]

Tel: +1-212-481-2050

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (All amounts in thousands, except share, ADS, per share and per ADS data)

	As of December 31	As of September 30
	2024	2025	2025
ASSETS	RMB	RMB	US$ ⁽¹⁾
Current assets:
Cash and cash equivalents	1,017,148	1,551,938	217,999
Restricted cash	83	163	23
Short-term bank deposits	3,070,374	547,296	76,878
Accounts receivable, net	49,057	60,376	8,481
Prepayments	26,885	18,871	2,651
Amounts due from related parties	74,175	85,193	11,967
Other current assets, net	231,354	225,761	31,712
Total current assets	4,469,076	2,489,598	349,711

Property and equipment, net	7,093	5,251	738
Intangible assets, net	60,917	40,121	5,636
Long-term bank deposits	360,000	100,000	14,047
Investments	456,815	396,728	55,728
Right-of-use assets, net	15,816	10,348	1,454
Other non-current assets	76,616	64,371	9,042
Total non-current assets	977,257	616,819	86,645
TOTAL ASSETS	5,446,333	3,106,417	436,356
LIABILITIES AND SHAREHOLDERS’ EQUITY
LIABILITIES
Current liabilities:
Accounts payable	498,667	510,475	71,706
Advances from customers	4,444	3,102	436
Deferred revenue	252,346	242,749	34,099
Accrued expenses and other current liabilities	242,517	191,220	26,861
Amounts due to related parties	222,589	145,149	20,389
Lease liabilities due within one year	11,458	7,796	1,095
Total current liabilities	1,232,021	1,100,491	154,586

Non-current liabilities:
Lease liabilities	4,223	1,954	274
Total non-current liabilities	4,223	1,954	274
TOTAL LIABILITIES	1,236,244	1,102,445	154,860

⁽¹⁾ Translations of certain RMB amounts into U.S. dollars at a specified rate are solely for the convenience of the reader. Unless otherwise noted, all translations from RMB to U.S. dollars are made at a rate of RMB7.1190 to US$1.00, the noon buying rate in effect on Sep 30, 2025, in the H.10 statistical release of the Federal Reserve Board.

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (CONTINUED) (All amounts in thousands, except share, ADS, per share and per ADS data)

	As of December 31	As of September 30
	2024	2025	2025
	RMB	RMB	US$ ⁽¹⁾
SHAREHOLDERS’ EQUITY
Ordinary shares	20	20	3
Additional paid-in capital	7,514,498	5,363,717	753,437
Accumulated deficit	(3,791,817)	(3,822,271)	(536,911)
Accumulated other comprehensive income	487,388	462,506	64,967
Total DouYu Shareholders’ Equity	4,210,089	2,003,972	281,496
Total Shareholders’ Equity	4,210,089	2,003,972	281,496
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	5,446,333	3,106,417	436,356

⁽¹⁾ Translations of certain RMB amounts into U.S. dollars at a specified rate are solely for the convenience of the reader. Unless otherwise noted, all translations from RMB to U.S. dollars are made at a rate of RMB7.1190 to US$1.00, the noon buying rate in effect on Sep 30, 2025, in the H.10 statistical release of the Federal Reserve Board.

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF INCOME (LOSS) (All amounts in thousands, except share, ADS, per share and per ADS data)

	Three Months Ended				Nine Months Ended
	Sep 30, 202 4	Jun 30, 2025	Sep 30, 2025	Sep 30, 2025	Sep 30, 202 4	Sep 30, 2025	Sep 30, 2025
	RMB	RMB	RMB	US$ ⁽¹⁾	RMB	RMB	US$ ⁽¹⁾
Net revenues	1,063,101	1,053,915	899,111	126,297	3,134,826	2,900,077	407,371
Cost of revenues	(1,002,282)	(911,975)	(783,022)	(109,990)	(2,880,784)	(2,528,541)	(355,182)
Gross profit	60,819	141,940	116,089	16,307	254,042	371,536	52,189
Operating expenses
Sales and marketing expenses	(79,260)	(61,585)	(52,331)	(7,351)	(231,793)	(186,845)	(26,246)
General and administrative expenses	(41,462)	(39,816)	(35,274)	(4,955)	(132,754)	(110,877)	(15,575)
Research and development expenses	(43,243)	(27,611)	(26,888)	(3,777)	(147,526)	(87,248)	(12,256)
Other operating income (expenses), net	8,964	1,318	10,334	1,452	(122,655)	13,468	1,892
Total operating expenses	(155,001)	(127,694)	(104,159)	(14,631)	(634,728)	(371,502)	(52,185)
( Loss ) income from operations	(94,182)	14,246	11,930	1,676	(380,686)	34	4
Other income (expenses), net	44,242	9,463	(10,124)	(1,422)	43,299	(59,215)	(8,318)
Interest Income	60,840	19,200	18,105	2,543	217,906	47,446	6,665
Foreign exchange (expenses) income	(70)	(17)	(232)	(33)	688	9	1
Income (loss) before income taxes and share of loss in equity method investments	10,830	42,892	19,679	2,764	(118,793)	(11,726)	(1,648)
Income tax expense	(6,432)	(8,151)	(6,662)	(936)	(8,943)	(19,946)	(2,802)
Share of (loss) income in equity method investments	(994)	3,088	(1,688)	(237)	(5,982)	1,218	171
Net i ncome (loss)	3,404	37,829	11,329	1,591	(133,718)	(30,454)	(4,279)
Net income (loss) attributable to ordinary shareholders of the Company	3,404	37,829	11,329	1,591	(133,718)	(30,454)	(4,279)
Net income (loss) per ordinary share
Basic	0.11	1.25	0.38	0.05	(4.31)	(1.01)	(0.14)
Diluted	0.11	1.25	0.38	0.05	(4.31)	(1.01)	(0.14)
Net income (loss) per ADS⁽ ² ⁾
Basic	0.11	1.25	0.38	0.05	(4.31)	(1.01)	(0.14)
Diluted	0.11	1.25	0.38	0.05	(4.31)	(1.01)	(0.14)
Weighted average number of ordinary shares used in calculating net income (loss) per ordinary share
Basic	30,228,317	30,178,859	30,178,859	30,178,859	31,051,664	30,178,859	30,178,859
Diluted	30,228,317	30,178,859	30,178,859	30,178,859	31,051,664	30,178,859	30,178,859
Weighted average number of ADS used in calculating net income (loss) per ADS
Basic	30,228,317	30,178,859	30,178,859	30,178,859	31,051,664	30,178,859	30,178,859
Diluted	30,228,317	30,178,859	30,178,859	30,178,859	31,051,664	30,178,859	30,178,859

⁽¹⁾ Translations of certain RMB amounts into U.S. dollars at a specified rate are solely for the convenience of the reader. Unless otherwise noted, all translations from RMB to U.S. dollars are made at a rate of RMB7.1190 to US$1.00, the noon buying rate in effect on Sep 30, 2025, in the H.10 statistical release of the Federal Reserve Board. ⁽²⁾Every one ADS represents one ordinary share.

RECONCILIATIONS OF GAAP AND NON-GAAP RESULTS (All amounts in thousands, except share, ADS, per share and per ADS data)

	Three Months Ended				Nine Months Ended
	Sep 30, 202 4	Jun 30, 202 5	Sep 30, 2025	Sep 30, 202 5	Sep 30, 202 4	Sep 30, 202 5	Sep 30, 202 5
	RMB	RMB	RMB	US$ ⁽¹⁾	RMB	RMB	US$ ⁽¹⁾
( Loss ) income from operations	(94,182)	14,246	11,930	1,676	(380,686)	34	4
Adjusted Operating ( loss ) income (non-GAAP)	(94,182)	14,246	11,930	1,676	(380,686)	34	4

Net i ncome ( l oss)	3,404	37,829	11,329	1,591	(133,718)	(30,454)	(4,279)
Add/(Reversal of):
Share of loss (income) in equity method investments	994	(3,088)	1,688	237	5,982	(1,218)	(171)
Impairment losses and fair value adjustments on investments⁽²⁾	(44,242)	(9,463)	10,124	1,422	(43,299)	59,215	8,318
Adjusted net (loss) income (non-GAAP)	(39,844)	25,278	23,141	3,250	(171,035)	27,543	3,868

Net income ( loss ) attributable to DouYu	3,404	37,829	11,329	1,591	(133,718)	(30,454)	(4,279)
Add/(Reversal of):
Share of loss (income) in equity method investments	994	(3,088)	1,688	237	5,982	(1,218)	(171)
Impairment losses and fair value adjustments on investments	(44,242)	(9,463)	10,124	1,422	(43,299)	59,215	8,318
Adjusted net (loss) income attributable to DouYu	(39,844)	25,278	23,141	3,250	(171,035)	27,543	3,868

Adjusted net (loss) income per ordinary share (non-GAAP)
Basic	(1.32)	0.84	0.77	0.11	(5.51)	0.91	0.13
Diluted	(1.32)	0.84	0.77	0.11	(5.51)	0.91	0.13

Adjusted net (loss) income per ADS⁽³⁾ (non-GAAP)
Basic	(1.32)	0.84	0.77	0.11	(5.51)	0.91	0.13
Diluted	(1.32)	0.84	0.77	0.11	(5.51)	0.91	0.13

Weighted average number of ordinary shares used in calculating Adjusted net (loss) income per ordinary share
Basic	30,228,317	30,178,859	30,178,859	30,178,859	31,051,664	30,178,859	30,178,859
Diluted	30,228,317	30,178,859	30,178,859	30,178,859	31,051,664	30,178,859	30,178,859

Weighted average number of ADS used in calculating net (loss) income per ADS⁽²⁾
Basic	30,228,317	30,178,859	30,178,859	30,178,859	31,051,664	30,178,859	30,178,859
Diluted	30,228,317	30,178,859	30,178,859	30,178,859	31,051,664	30,178,859	30,178,859

⁽¹⁾ Translations of certain RMB amounts into U.S. dollars at a specified rate are solely for the convenience of the reader. Unless otherwise noted, all translations from RMB to U.S. dollars are made at a rate of RMB7.1190 to US$1.00, the noon buying rate in effect on Sep 30, 2025, in the H.10 statistical release of the Federal Reserve Board. ⁽²⁾Impairment losses and fair value adjustments on investments was included in line item “Other income (expenses), net” of condensed consolidated statements of income (loss). ⁽ ³ ⁾Every one ADS represents one ordinary share.

View original content:https://www.prnewswire.com/news-releases/douyu-international-holdings-limited-reports-third-quarter-2025-unaudited-financial-results-302621425.html

SOURCE DouYu International Holdings Limited

November 20, 2025 4:07 am

Cognizant selected by CEPI to transform enterprise architecture and core ERP operations

PR Newswire

OSLO, Norway
, Nov. 20, 2025 /PRNewswire/ — Cognizant (Nasdaq: CTSH), a leading global professional services company, today announced that it has been selected by the Coalition for Epidemic Preparedness Innovations (CEPI) to deliver a comprehensive digital transformation program which covers implementation of a new core HR and Expense Management System (EMS) and consolidation of support for CEPI’s Salesforce platform, a key component of CEPI’s overall Enterprise Architecture.

The multi-year engagement marks a key milestone in CEPI’s digital transformation strategy to establish an enterprise architecture partner capable not only of strengthening its core platforms but also of introducing AI-enabled insights, automation and scalable solutions that aim to improve the organization’s efficiency and reduce operational costs. Cognizant’s depth in platform implementation, operating-model transformation and enterprise architecture made it the partner of choice.

“CEPI is an organization whose values of collaboration, impact and resilience closely mirror our own. We are honored that CEPI has placed its trust in us for this vital initiative,” said Knut Inge Buset, Country Head, Cognizant Norway. “Our team demonstrated not only technical competence on the HR and Salesforce platforms, but also a deep cultural alignment with CEPI. Together we will accelerate the adoption of Salesforce & SAP platforms, contributing to organizational efficiency and delivering value towards the business.”

After a competitive procurement process at CEPI, Cognizant was selected as the preferred partner.

Under the project scope, Cognizant will support the evolution of CEPI’s Salesforce platform, ensuring that the solution remains robust, scalable and aligned with CEPI’s organizational goals. Beyond platform delivery, the partnership will also establish a roadmap for enterprise architecture.

“Choosing the right partner matters—not just for technology, but for values, culture, and long-term ambition,” commented Navjot Kalra, Director of CEPI Digital. Mads Høgholen, Director of Finance and Interim COO, added, “Cognizant’s alignment with our mission and its proven delivery experience will support CEPI in delivering its vital work with greater efficiency and agility.”

About Cognizant

Cognizant (Nasdaq: CTSH) engineers modern businesses. We help our clients modernize technology, reimagine processes and transform experiences so they can stay ahead in our fast-changing world. Together, we’re improving everyday life. See how at www.cognizant.com or @cognizant.

For more information contact: [email protected]

About CEPI

CEPI is an innovative partnership between public, private, philanthropic, and civil organisations. Its mission is to accelerate the development of vaccines and other biologic countermeasures against epidemic and pandemic threats so they can be accessible to all people in need. CEPI has supported the development of more than 70 vaccine candidates or platform technologies against multiple known high-risk pathogens or a future Disease X. Central to CEPI’s pandemic-beating plan is the ‘100 Days Mission’ to accelerate the time taken to develop safe, effective and accessible vaccines against new threats to just 100 days. Learn more at CEPI.net.

View original content to download multimedia:https://www.prnewswire.com/news-releases/cognizant-selected-by-cepi-to-transform-enterprise-architecture-and-core-erp-operations-302620411.html

SOURCE Cognizant Technology Solutions

November 20, 2025 4:05 am

Alvotech and Advanz Pharma Receive Marketing Approval Across the European Economic Area for Gobivaz®, a First-in-Market Biosimilar to Simponi® (golimumab)

REYKJAVIK, Iceland and LONDON, Nov. 20, 2025 (GLOBE NEWSWIRE) — Alvotech (NASDAQ: ALVO), a global biotech company specializing in the development and manufacture of biosimilar medicines for patients worldwide and Advanz Pharma Holdco Limited (“Advanz Pharma”), a UK headquartered global pharmaceutical company with a strategic focus on specialty, hospital, and rare disease medicines in Europe, today announced that the European Commission (EC) has granted marketing authorizations in the European Economic Area (EEA) for Gobivaz^®, Alvotech’s biosimilar to Simponi^® (golimumab).

The authorizations cover Gobivaz^® 50 mg/0.5 mL and 100mg/mL in both pre-filled syringe with passive needle safety guard and autoinjector formats, for the treatment of adults with rheumatoid arthritis in combination with methotrexate, psoriatic arthritis with or without methotrexate, axial spondyloarthritis, ulcerative colitis and for the treatment of juvenile idiopathic arthritis in children 2 years of age and older in combination with methotrexate. The approvals apply across the European Economic Area. The EC approval follows the positive opinion issued in September by the European Medicines Agency’s (EMA) Committee for Medicinal Products for Human Use (CHMP).

“This milestone marks the second biosimilar to receive approval through our partnership with Advanz Pharma and further strengthens the commercial presence we are building in Europe. As the first biosimilar to Simponi^® (golimumab) to gain approval in the European market, we are committed to expanding access to high quality biologic medicines for people living with immune-mediated diseases while providing value to healthcare systems throughout the region,” said Robert Wessman, Chairman and Chief Executive Officer of Alvotech.

“We welcome the EC approval of Gobivaz^®, an important milestone in our partnership with Alvotech. Expanding access to high-quality biosimilars is central to Advanz Pharma’s mission, and this approval enables us to offer patients across Europe a valuable new treatment option for immune-mediated diseases,” said Steffen Wagner, Chief Executive Officer, Advanz Pharma.

Under the partnership between Alvotech and Advanz Pharma, Alvotech is responsible for the development and commercial supply of Gobivaz^®, while Advanz Pharma holds the registration and exclusive commercialization rights in the EEA and the UK.

The EC approval of Gobivaz^® was based on a totality of evidence, including analytical and clinical data. In April 2024, Alvotech announced positive top-line results from a confirmatory clinical study comparing efficacy, safety, and immunogenicity between its biosimilar candidate AVT05 and the reference product Simponi® in patients with moderate to severe rheumatoid arthritis (clintrials.gov/study/NCT05842213). In November 2023, Alvotech announced positive topline results from a pharmacokinetic study which assessed the pharmacokinetics, safety, and tolerability of AVT05 compared to Simponi^® in healthy adult participants (clintrials.gov/study/NCT05632211).

About AVT05

AVT05 (golimumab) has been approved as Golimumab BS (golimumab) in Japan and as Gobivaz (golimumab) in the European Economic Area. Dossiers are under review in multiple countries globally. Golimumab is a monoclonal antibody that inhibits tumor necrosis factor alpha (TNF alpha). Elevated TNF alpha levels have been implicated in several chronic inflammatory diseases such as rheumatoid arthritis [1].

Sources

[1] Simponi product information

Use of Trademarks

Simponi^® is a registered trademark of Johnson & Johnson. Gobivaz^® is a trademark of Advanz Pharma.

About Alvotech

Alvotech is a biotech company, founded by Robert Wessman, focused solely on the development and manufacture of biosimilar medicines for patients worldwide. Alvotech seeks to be a global leader in the biosimilar space by delivering high quality, cost-effective products, and services, enabled by a fully integrated approach and broad in-house capabilities. Alvotech’s current pipeline includes eight disclosed biosimilar candidates aimed at treating autoimmune disorders, eye disorders, osteoporosis, respiratory disease, and cancer. Alvotech has established a network of strategic commercial partnerships to provide global reach and leverage local expertise in markets that include the United States, Europe, Japan, China, and other Asian countries and large parts of South America, Africa and the Middle East. Alvotech’s commercial partners include Teva Pharmaceuticals, a US affiliate of Teva Pharmaceutical Industries Ltd. (US), STADA Arzneimittel AG (EU), Fuji Pharma Co., Ltd (Japan), Advanz Pharma (EEA, UK, Switzerland, Canada, Australia and New Zealand), Cipla/Cipla Gulf/Cipla Med Pro (Australia, New Zealand, South Africa/Africa), JAMP Pharma Corporation (Canada), Yangtze River Pharmaceutical (Group) Co., Ltd. (China), DKSH (Taiwan, Hong Kong, Cambodia, Malaysia, Singapore, Indonesia, India, Bangladesh and Pakistan), YAS Holding LLC (Middle East and North Africa), Abdi Ibrahim (Turkey), Kamada Ltd. (Israel), Mega Labs, Stein, Libbs, Tuteur and Saval (Latin America) and Lotus Pharmaceuticals Co., Ltd. (Thailand, Vietnam, Philippines, and South Korea). Each commercial partnership covers a unique set of product(s) and territories. Except as specifically set forth therein, Alvotech disclaims responsibility for the content of periodic filings, disclosures and other reports made available by its partners. For more information, please visit www.alvotech.com. None of the information on the Alvotech website shall be deemed part of this press release.

About Advanz Pharma

Partner of choice in specialty, hospital, and rare disease medicines. Advanz Pharma is a global pharmaceutical company with the purpose to improve patients’ lives by providing and enhancing the specialty, hospital, and rare disease medicines they depend on. Our headquarters are in London, UK. We have commercial sales in more than 90 countries globally and have a direct commercial presence in more than 20 countries, including key countries in Europe, the US, Canada, and Australia, a Centre of Excellence in Mumbai, India, as well as an established global distribution and commercialization partner network. Advanz Pharma’s product portfolio and pipeline comprises innovative medicines, biosimilars & specialty generics, and originator brands. Our products cover a broad range of therapeutic areas, including hepatology, rheumatology, gastroenterology, anti-infectives, critical care, endocrinology, oncology, CNS, and, more broadly, rare disease medicines. Our ambition is to be a partner of choice for the commercialization of specialty, hospital, and rare disease medicines in Europe, Canada, and Australia. In line with our ambition, we are partnering with biopharma and development companies to bring medicines to patients. We can only achieve this due to our dedicated and highly qualified employees, acting in line with our company values of entrepreneurship, speed, and integrity.

Alvotech Forward Looking Statements

Certain statements in this communication may be considered “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. Forward-looking statements include, for example, Alvotech’s expectations regarding competitive advantages, business prospects and opportunities including pipeline product development, future plans and intentions, regulatory submissions, review and interactions, the potential approval and commercial launch of its product candidates, the timing of regulatory approval, market launches and financial projections. Such forward-looking statements are subject to risks, uncertainties, and other factors which could cause actual results to differ materially from those expressed or implied by such forward-looking statements. These forward-looking statements are based upon estimates and assumptions that, while considered reasonable by Alvotech and its management, are inherently uncertain and are inherently subject to risks, variability, and contingencies, many of which are beyond Alvotech’s control. Factors that may cause actual results to differ materially from current expectations include, but are not limited to factors set forth in the sections entitled “Risk Factors” and “Cautionary Note Regarding Forward-Looking Statements” in documents that Alvotech may from time-to-time file or furnish with the SEC. There may be additional risks that Alvotech does not presently know or that Alvotech currently believes are immaterial that could also cause actual results to differ from those contained in the forward-looking statements. These forward-looking statements are provided for illustrative purposes only and are not intended to serve as, and must not be relied on by an investor as, a guarantee, assurance, prediction or definitive statement of a fact or probability. Alvotech does not undertake any duty to update these forward-looking statements or to inform the recipient of any matters of which any of them becomes aware of which may affect any matter referred to in this communication. Alvotech disclaims any and all liability for any loss or damage (whether foreseeable or not) suffered or incurred by any person or entity as a result of anything contained or omitted from this communication and such liability is expressly disclaimed.

Advanz Pharma Forward Looking Statements

Certain statements in this press release are forward-looking statements. These statements may be identified by words such as “anticipate”, “expectation”, “belief’, “estimate”, “plan”, “target”, “project”, “will”, “may”, “should” or “forecast” and similar expressions, or by their context. Although Advanz Pharma believes that these assumptions were reasonable when made, by their nature, forward-looking statements involve a number of risks, uncertainties and assumptions that could cause actual results or events to differ materially from those expressed or implied by the forward-looking statements. These risks, uncertainties and assumptions could adversely affect the outcome and financial consequences of the plans and events described herein. Actual results may differ from those set forth in the forward-looking statements as a result of various factors (including, but not limited to, future global economic conditions, changed market conditions affecting the industry, intense competition in the markets in which Advanz Pharma operates, costs of compliance with applicable laws, regulations and standards, diverse political, legal, economic and other conditions affecting Advanz Pharma’s markets, and other factors beyond the control of Advanz Pharma. Neither Advanz Pharma nor any of its directors, officers, employees, advisors, or any other person is under any obligation to update or keep current the information contained in this press release or revise any forward-looking statements, whether as a result of new information, future events or otherwise. You should not place undue reliance on forward-looking statements, which speak of the date of this press release. Statements contained in this press release regarding past trends or events should not be taken as a representation that such trends or events will continue in the future. No obligation is assumed to update any forward-looking statements. The information contained in this press release is provided as at the date of this document and is subject to change without notice.

MEDIA CONTACTS

Alvotech Global Communications and Investor Relations

Benedikt Stefansson
[email protected]

Advanz Pharma Global Corporate Communications

Courtney Baines
[email protected]

November 20, 2025 4:03 am

From Air to Plastics: Norsk e-Fuel and Braskem Partner to Turn Captured Carbon into Long-Lasting Products

OSLO, Norway & ROTTERDAM, Netherlands–(BUSINESS WIRE)–Norsk e-Fuel AS, a pioneer in Power-to-Liquid (PtL) technology, and Braskem, a global leader in polymers and biopolymers, have announced a strategic collaboration to explore the possible integration of e-Naphtha into the plastics value chain. This partnership aims to accelerate the development of plastics derived from carbon that would otherwise be released into the atmosphere, reinforcing both companies’ commitment to a circular future.

Norsk e-Fuel is driving the industrial rollout of PtL technology by building large-scale facilities that convert fossil-free electricity, water, and captured CO₂ into synthetic fuels and feedstocks. The company’s plan foresees at least three plants in operation by 2032, with a combined annual capacity of more than 200,000 tons of e-Fuels. Around a quarter of this output could be supplied as e-Naphtha – a versatile feedstock used to produce plastics.

Braskem’s sustainability strategy, “Keeping Carbon in the Loop”, focuses on retaining carbon within products and the economy through renewable, circular, and carbon-optimized solutions. The company already produces I’m green™ bio-based polyethylene at an industrial scale—a renewable plastic made from sugarcane ethanol—and offers mass balance certified solutions for markets where segregated routes are not yet feasible. By potentially processing e-Naphtha into polypropylene and other essential materials, Braskem aims to expand its portfolio with innovative plastics that could have a significantly reduced climate footprint.

“e-Naphtha is more than a by-product; it is a valuable feedstock for creating long-lasting, circular products,” said Lars Bjørn Larsen, CCO of Norsk e-Fuel. “By capturing carbon and embedding it into durable, recyclable materials, we keep carbon in use and out of the atmosphere.”

“Plastics are essential to modern life, and by producing them with captured carbon, we keep that carbon in the economy—not in the air,” said Walmir Soller, Vice President for North America, Europe, and Asia (NAMEA) and CEO of Braskem BV. “This collaboration reflects our commitment to innovation and to building value chains that enable circularity and carbon neutrality.”

The collaboration will focus on developing a framework for integrating e-Naphtha into plastic production, assessing market opportunities, and engaging with customers seeking circular solutions. It also highlights the role of carbon capture utilization (CCU) in creating new value chains for the plastics industry, circulating carbon through products, not emissions.

Norsk e-Fuel in brief

Norsk e-Fuel was founded in 2019 to drive the transition to renewable aviation by establishing the industrial production of sustainable fuels based on CO₂ and water. As project developer, the company is establishing large-scale production sites to deliver synthetic fuels to the aviation industry. Supported by strategic investors and carefully selected partners, Norsk e-Fuel is set to bring Power-to-Liquid production to industrial scale and determined to develop a new value chain for sustainable fuels.

For more information, visit www.norsk-e-fuel.com

Braskem in brief

With a global vision of the future oriented towards people and sustainability, Braskem is committed to contributing to the value chain for strengthening the Circular Economy. The petrochemical company’s almost 8,000 team members dedicate themselves every day to improving people’s lives through sustainable chemicals and plastics solutions. Braskem has an innovative DNA and a comprehensive portfolio of thermoplastic resins and chemical products for diverse segments, such as food packaging, construction, manufacturing, automotive, agribusiness, healthcare, and hygiene, among others. With 40 industrial units in Brazil, the United States, Mexico, and Germany, Braskem markets its products to clients in more than 70 countries. For more information, visit www.braskem.com.

Braskem on social media:

www.facebook.com/BraskemGlobal

www.linkedin.com/company/braskem

View source version on businesswire.com: https://www.businesswire.com/news/home/20251120095928/en/

For press information, please contact:

Braskem North America, Europe, and Asia

Stacy Torpey

Communications Director

[email protected]

Norsk e-Fuel

Luisa Biesold

Head of Communications & Corp. Development

[email protected]

KEYWORDS: Europe Norway Netherlands

INDUSTRY KEYWORDS: Environmental Policy Environmental Issues Sustainability Recycling Environmental Health Alternative Energy Energy Environment Other Manufacturing Green Technology Chemicals/Plastics Manufacturing

MEDIA:

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November 20, 2025 3:42 am

Youdao Reports Third Quarter 2025 Unaudited Financial Results

PR Newswire

HANGZHOU, China
, Nov. 20, 2025 /PRNewswire/ — Youdao, Inc. (“Youdao” or the “Company”) (NYSE: DAO), an AI-powered solutions provider specializing in artificial intelligence applications for the learning and advertising verticals, today announced its unaudited financial results for the third quarter ended September 30, 2025.

Third Quarter 2025 Financial Highlights

Total net revenues were RMB1,628.5 million (US$228.8 million), representing a 3.6% increase from the same period in 2024.
– Net revenues from learning services were RMB643.1 million (US$90.3 million), representing a 16.2% decrease from the same period in 2024.
– Net revenues from smart devices were RMB245.8 million (US$34.5 million), representing a 22.1% decrease from the same period in 2024.
– Net revenues from online marketing services were RMB739.7 million (US$103.9 million), representing a 51.1% increase from the same period in 2024.
Gross margin was 42.2%, compared with 50.2% for the same period in 2024.
Income from operations was RMB28.3 million (US$4.0 million), representing a 73.7% decrease from the same period in 2024.
Basic and diluted net income per American depositary share (“ADS”) attributable to ordinary shareholders were near zero, compared with RMB0.74 for the same period of 2024. Non-GAAP basic and diluted net income per ADS attributable to ordinary shareholders were RMB0.08(US$0.01), compared with RMB0.76 for the same period of 2024.

“We continued to advance our AI-Native Strategy in the third quarter, strengthening our technological capabilities and translating innovation into meaningful user and business value. Building on the solid operating profit in the first half of the year, we strategically increased investments in Youdao Lingshi and our online marketing services to unlock their long-term growth potential. Youdao Lingshi expanded its customer acquisition channels, driving over 40% year-over-year growth in gross billings. Our online marketing services accelerated, with net revenues rising 51.1% year-over-year to a record RMB739.7 million, fueled by strong demand from the NetEase group and overseas markets. In addition, total sales of AI-driven subscription services also reached a new high of approximately RMB100 million in the third quarter, representing over 40% year-over-year growth, supported by ongoing upgrades to existing applications and the rollout of new ones,” said Dr. Feng Zhou, Chief Executive Officer and Director of Youdao.

“Looking ahead, we will continue executing on our AI-Native Strategy, deepening the application of and innovating with our large language model, Confucius, across both our learning and advertising businesses to consistently create customer value. Financially, we remain confident in meeting our full-year targets, delivering strong year-over-year improvements in operating profit and achieving annual operating cash-flow breakeven for the first time,” Dr. Zhou concluded.

Third

Quarter 2025 Financial Results

Net Revenues

Net revenues for the third quarter of 2025 were RMB1,628.5 million (US$228.8 million), representing a 3.6% increase from RMB1,572.5 million for the same period of 2024.

Net revenues from learning services were RMB643.1 million (US$90.3 million) for the third quarter of 2025, representing a 16.2% decrease from RMB767.9 million for the same period of 2024. The year-over-year decrease was mainly because we continued to take a disciplined, strategic approach to customer acquisition, which places greater emphasis on higher ROI (return on investment) engagements. We believe this strategy has enhanced the overall resilience and operational efficiency of our business, despite the short-term revenue decline.

Net revenues from smart devices were RMB245.8 million (US$34.5 million) for the third quarter of 2025, representing a 22.1% decrease from RMB315.3 million for the same period of 2024, primarily due to the declined demands of smart learning devices in the third quarter of 2025.

Net revenues from online marketing services were RMB739.7 million (US$103.9 million) for the third quarter of 2025, representing a 51.1% increase from RMB489.4 million for the same period of 2024. The year-over-year increase was mainly attributable to the increased demands from the NetEase group and overseas markets, which was driven by our continued investments in AI technology.

Gross Profit and Gross Margin

Gross profit for the third quarter of 2025 was RMB687.9 million (US$96.6 million), representing a 12.9% decrease from RMB789.5 million for the same period of 2024. Gross margin was 42.2% for the third quarter of 2025, compared with 50.2% for the same period of 2024. The decrease was mainly due to the declined gross profit margin of online marketing services.

Gross margin for learning services was 58.5% for the third quarter of 2025, compared with 62.1% for the same period of 2024. The decrease was mainly due to the decline in economies of scale as a result of the decreased revenues from learning services.

Gross margin for smart devices increased to 50.3% for the third quarter of 2025 from 42.8% for the same period of 2024. The improvement was mainly attributable to the higher gross margin arising from the newly launched Youdao Dictionary Pen in 2025.

Gross margin for online marketing services was 25.4% for the third quarter of 2025, compared with 36.3% for the same period of 2024. The decrease was mainly attributable to our strategic expansion of our client base for advertising services. As the collaboration with new clients remains in its nascent stage, the gross margin for these clients holds potential for future improvement.

Operating Expenses

Total operating expenses for the third quarter of 2025 were RMB659.6 million (US$92.7 million), compared with RMB682.2 million for the same period of last year.

Sales and marketing expenses for the third quarter of 2025 were RMB487.7 million (US$68.5 million), representing a decrease of 6.1% from RMB519.6 million for the same period of 2024. This decrease was attributable to the reduced marketing expenditures in learning services and smart devices in the third quarter of 2025.

Research and development expenses for the third quarter of 2025 were RMB127.8 million (US$18.0 million), representing an increase of 6.9% from RMB119.6 million for the same period of 2024. The increase was primarily due to the increased headcount for research and development employees in online marketing services, leading to higher payroll-related expenses in the third quarter of 2025.

General and administrative expenses for the third quarter of 2025 were RMB44.1 million (US$6.2 million), kept flat the same period of 2024.

Income from Operations

As a result of the foregoing, income from operations for the third quarter of 2025 was RMB28.3 million (US$4.0 million), representing a 73.7% decrease from RMB107.3 million for the same period in 2024. The margin of income from operations was 1.7%, compared with 6.8% for the same period of last year.

Net Income Attributable to Youdao’s Ordinary Shareholders

Net income attributable to Youdao’s ordinary shareholders for the third quarter of 2025 was RMB0.1 million (US$0.0 million), compared with RMB86.3 million for the same period of last year. Non-GAAP net income attributable to Youdao’s ordinary shareholders for the third quarter of 2025 was RMB9.2 million (US$1.3 million), compared with RMB88.7 million for the same period of last year.

Basic and diluted net income per ADS attributable to ordinary shareholders for the third quarter of 2025 was near zero, compared with RMB0.74 for the same period of 2024. Non-GAAP basic and diluted net income per ADS attributable to ordinary shareholders was RMB0.08(US$0.01), compared with RMB0.76 for the same period of 2024.

Other Information

As of September 30, 2025, Youdao’s cash, cash equivalents, current and non-current restricted cash, and short-term investments totaled RMB557.7 million (US$78.3 million), compared with RMB662.6 million as of December 31, 2024. For the third quarter of 2025, net cash used in operating activities was RMB58.6 million (US$8.2 million). Youdao’s ability to continue as a going concern is dependent on management’s ability to implement an effective business plan amid a changing regulatory environment, generate operating cash flows, and secure external financing for future development. To support Youdao’s future business, NetEase Group has agreed to provide financial support for ongoing operations in the next thirty-six months starting from May 2024. As of September 30, 2025, Youdao has received various forms of financial support from the NetEase Group, including, among others, RMB878.0 million in short-term loan, and US$131.1 million in long-term loans maturing on March 31, 2027 drawn from the US$300.0 million revolving loan facility.

As of September 30, 2025, the Company’s contract liabilities, which mainly consisted of deferred revenues generated from Youdao’s learning services, were RMB751.1 million (US$105.5 million), compared with RMB961.0 million as of December 31, 2024.

Share Repurchase Program

On November 17, 2022, the Company announced that its board of directors had authorized the Company to adopt a share repurchase program in accordance with applicable laws and regulations for up to US$20 million of its Class A ordinary shares (including in the form of ADSs) during a period of up to 36 months beginning on November 18, 2022. This amount was subsequently increased to US$40.0 million in August 2023. In November 2025, the Board approved an amendment to this Program to extend its original expiration date by one year to November 17, 2026. As of September 30, 2025, the Company had repurchased a total of approximately 7.5 million ADSs for a total consideration of approximately US$33.8 million in the open market under the share repurchase program.

Conference Call

Youdao’s management team will host a teleconference call with simultaneous webcast at 5:00 a.m. Eastern Time on Thursday, November 20, 2025 (Beijing/Hong Kong Time: 6:00 p.m., Thursday, November 20, 2025). Youdao’s management will be on the call to discuss the financial results and answer questions.

Dial-in details for the earnings conference call are as follows:

United States (toll-free):	+1-888-346-8982
International:	+1-412-902-4272
Mainland China (toll-free):	400-120-1203
Hong Kong (toll-free):	800-905-945
Hong Kong:	+852-3018-4992
Conference ID:	2070537

A live and archived webcast of the conference call will be available on the Company’s investor relations website at http://ir.youdao.com.

A replay of the conference call will be accessible by phone one hour after the conclusion of the live call at the following numbers, until November 27, 2025:

United States:				+1-877-344-7529
International:				+1-412-317-0088
Replay Access Code:				2070537

About Youdao, Inc.

Youdao, Inc. (NYSE: DAO) is strategically positioned as an AI-powered solutions provider specializing in artificial intelligence applications for the learning and advertising verticals. Youdao mainly offers learning services, online marketing services and smart devices – all powered by advanced technologies. Youdao was founded in 2006 as part of NetEase, Inc. (NASDAQ: NTES; HKEX: 9999), a leading internet technology company in China.

For more information, please visit: http://ir.youdao.com.

Non-GAAP Measures

Youdao considers and uses non-GAAP financial measures, such as non-GAAP net income/(loss) attributable to the Company’s ordinary shareholders and non-GAAP basic and diluted net income/(loss) per ADS, as supplemental metrics in reviewing and assessing its operating performance and formulating its business plan. The presentation of non-GAAP financial measures is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”).

Youdao defines non-GAAP net income/(loss) attributable to the Company’s ordinary shareholders as net income/(loss) attributable to the Company’s ordinary shareholders excluding share-based compensation expenses, impairment of long-term investments, gain from fair value change of long-term investment and adjustment for GAAP to non-GAAP reconciling item for the income/(loss) attributable to noncontrolling interests. Non-GAAP net income/(loss) attributable to the Company’s ordinary shareholders enables Youdao’s management to assess its operating results without considering the impact of these items, which are non-cash charges in nature. Youdao believes that these non-GAAP financial measures provide useful information to investors in understanding and evaluating the Company’s current operating performance and prospects in the same manner as management does, if they so choose.

Non-GAAP financial measures are not defined under U.S. GAAP and are not presented in accordance with U.S. GAAP. Non-GAAP financial measures have limitations as analytical tools, which possibly do not reflect all items of expense that affect our operations. In addition, the non-GAAP financial measures Youdao uses may differ from the non-GAAP measures uses by other companies, including peer companies, and therefore their comparability may be limited.

For more information on these non-GAAP financial measures, please see the table captioned “Unaudited Reconciliation of GAAP and Non-GAAP Results” set forth at the end of this release.

The accompanying table has more details on the reconciliation between our GAAP financial measures that are mostly directly comparable to non-GAAP financial measures. Youdao encourages you to review its financial information in its entirety and not rely on a single financial measure.

Exchange Rate Information

This announcement contains translations of certain RMB amounts into U.S. dollars (“US$”) at specified rates solely for the convenience of the reader. Unless otherwise stated, all translations from RMB to US$ were made at the rate of RMB7.1190 to US$1.00, the exchange rate on September 30, 2025 set forth in the H.10 statistical release of the Federal Reserve Board. The Company makes no representation that the RMB or US$ amounts referred could be converted into US$ or RMB, as the case may be, at any particular rate or at all.

Safe Harbor Statement

This press release contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. Statements that are not historical facts, including statements about the Company’s beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties, and a number of factors could cause actual results to differ materially from those contained in any forward-looking statement. In some cases, forward-looking statements can be identified by words or phrases such as “may,” “will,” “expect,” “anticipate,” “target,” “aim,” “estimate,” “intend,” “plan,” “believe,” “potential,” “continue,” “is/are likely to” or other similar expressions. The Company may also make written or oral forward-looking statements in its reports filed with, or furnished to, the U.S. Securities and Exchange Commission, in its annual reports to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Further information regarding such risks, uncertainties or factors is included in the Company’s filings with the SEC. All information provided in this press release is as of the date of this press release, and the Company does not undertake any duty to update such information, except as required under applicable law.

For investor and media inquiries, please contact:

In China:
Jeffrey Wang
Youdao, Inc.
Tel: +86-10-8255-8163 ext. 89980
E-mail: [email protected]

Piacente Financial Communications
Helen Wu
Tel: +86-10-6508-0677
E-mail: [email protected]

In the United States:
Piacente Financial Communications
Brandi Piacente
Tel: +1-212-481-2050
E-mail: [email protected]

YOUDAO, INC.
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
(RMB and USD in thousands)


	As of December 31,	As of September 30,	As of September 30,
	2024	2025	2025
	RMB	RMB	USD ⁽¹⁾

Assets
Current assets:
Cash and cash equivalents	592,721	410,237	57,626
Restricted cash	3,567	2,339	329
Short-term investments	63,064	141,945	19,939
Accounts receivable, net	418,644	383,594	53,883
Inventories	174,741	146,292	20,550
Amounts due from NetEase Group	79,700	232,886	32,713
Prepayment and other current assets	154,331	167,895	23,583
Total current assets	1,486,768	1,485,188	208,623

Non-current assets:
Property, equipment and software, net	46,725	49,103	6,897
Operating lease right-of-use assets, net	68,494	40,579	5,700
Long-term investments	72,380	28,432	3,994
Goodwill	109,944	109,944	15,444
Other assets, net	30,084	22,060	3,099
Total non-current assets	327,627	250,118	35,134

Total assets	1,814,395	1,735,306	243,757

Liabilities and Shareholders’ Deficit
Current liabilities:
Accounts payables	145,148	128,704	18,079
Payroll payable	264,520	159,112	22,350
Amounts due to NetEase Group	21,997	29,495	4,143
Contract liabilities	961,024	751,084	105,504
Taxes payable	37,603	50,125	7,041
Accrued liabilities and other payables	638,660	759,566	106,696
Short-term loan from NetEase Group	878,000	878,000	123,332
Total current liabilities	2,946,952	2,756,086	387,145

Non-current liabilities:
Long-term lease liabilities	25,566	10,118	1,421
Long-term loans from NetEase Group	913,000	932,149	130,938
Other non-current liabilities	18,189	20,878	2,933
Total non-current liabilities	956,755	963,145	135,292

Total liabilities	3,903,707	3,719,231	522,437

Shareholders’ deficit:
Youdao’s shareholders’ deficit	(2,139,958)	(2,036,559)	(286,073)
Noncontrolling interests	50,646	52,634	7,393
Total shareholders’ deficit	(2,089,312)	(1,983,925)	(278,680)

Total liabilities and shareholders’ deficit	1,814,395	1,735,306	243,757


Note 1: The conversion of Renminbi (RMB) into United States dollars (USD) is based on the noon buying rate of USD1.00=RMB7.1190 on the last trading day of September (September 30, 2025) as set forth in the H.10 statistical release of the U.S. Federal Reserve Board.

YOUDAO, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(RMB and USD in thousands, except share and per ADS data)

	Three Months Ended				Nine Months Ended
	September 30,	June 30,	September 30,	September 30,	September 30,	September 30,
	2024	2025	2025	2025	2024	2025
	RMB	RMB	RMB	USD ⁽¹⁾	RMB	RMB
Net revenues:
Learning services	767,859	657,838	643,086	90,334	2,129,617	1,903,338
Smart devices	315,305	126,821	245,780	34,525	663,225	563,099
Online marketing services	489,377	632,882	739,658	103,898	1,493,279	1,877,890
Total net revenues	1,572,541	1,417,541	1,628,524	228,757	4,286,121	4,344,327

Cost of revenues ⁽²⁾	(783,085)	(808,181)	(940,661)	(132,134)	(2,178,383)	(2,432,877)
Gross profit	789,456	609,360	687,863	96,623	2,107,738	1,911,450

Operating expenses:
Sales and marketing expenses ⁽²⁾	(519,620)	(401,826)	(487,713)	(68,508)	(1,490,771)	(1,247,180)
Research and development expenses ⁽²⁾	(119,594)	(128,321)	(127,792)	(17,950)	(419,304)	(371,587)
General and administrative expenses ⁽²⁾	(42,968)	(50,414)	(44,092)	(6,194)	(133,018)	(131,577)
Total operating expenses	(682,182)	(580,561)	(659,597)	(92,652)	(2,043,093)	(1,750,344)
Income from operations	107,274	28,799	28,266	3,971	64,645	161,106

Interest income	1,057	628	458	64	2,949	1,603
Interest expense	(15,112)	(16,566)	(15,383)	(2,161)	(56,262)	(48,053)
Others, net	(1,992)	(29,118)	(6,391)	(898)	(9)	(36,469)
Income/(Loss) before tax	91,227	(16,257)	6,950	976	11,323	78,187

Income tax expenses	(2,370)	(4,279)	(2,925)	(411)	(8,395)	(17,099)
Net income/(loss)	88,857	(20,536)	4,025	565	2,928	61,088
Net (income)/loss attributable to noncontrolling interests	(2,604)	2,773	(3,905)	(548)	(3,718)	(1,988)
Net income/(loss) attributable to ordinary shareholders of the Company	86,253	(17,763)	120	17	(790)	59,100

Basic net income/(loss) per ADS	0.74	(0.15)	–	–	(0.01)	0.50
Diluted net income/(loss) per ADS	0.74	(0.15)	–	–	(0.01)	0.49

Shares used in computing basic net income/(loss) per ADS	116,965,181	117,868,295	118,259,975	118,259,975	117,483,341	117,910,210
Shares used in computing diluted net income/(loss) per ADS	117,343,848	117,868,295	119,938,028	119,938,028	117,483,341	119,703,456



Note 1: The conversion of Renminbi (RMB) into United States dollars (USD) is based on the noon buying rate of USD1.00=RMB7.1190 on the last trading day of September (September 30, 2025) as set forth in the H.10 statistical release of the U.S. Federal Reserve Board.

Note 2:
Share-based compensation in each category:
Cost of revenues	(171)	152	(342)	(48)	1,334	422
Sales and marketing expenses	(1,359)	840	915	129	114	2,483
Research and development expenses	1,868	2,898	3,790	532	6,310	9,040
General and administrative expenses	2,072	2,695	4,988	701	6,057	9,221

YOUDAO, INC.
UNAUDITED ADDITIONAL INFORMATION
(RMB and USD in thousands)

	Three Months Ended				Nine Months Ended
	September 30,	June 30,	September 30,	September 30,	September 30,	September 30,
	2024	2025	2025	2025	2024	2025
	RMB	RMB	RMB	USD	RMB	RMB

Net revenues
Learning services	767,859	657,838	643,086	90,334	2,129,617	1,903,338
Smart devices	315,305	126,821	245,780	34,525	663,225	563,099
Online marketing services	489,377	632,882	739,658	103,898	1,493,279	1,877,890
Total net revenues	1,572,541	1,417,541	1,628,524	228,757	4,286,121	4,344,327

Cost of revenues
Learning services	290,877	264,734	266,841	37,483	813,118	773,686
Smart devices	180,390	74,135	122,179	17,162	418,724	287,165
Online marketing services	311,818	469,312	551,641	77,489	946,541	1,372,026
Total cost of revenues	783,085	808,181	940,661	132,134	2,178,383	2,432,877

Gross margin
Learning services	62.1 %	59.8 %	58.5 %	58.5 %	61.8 %	59.4 %
Smart devices	42.8 %	41.5 %	50.3 %	50.3 %	36.9 %	49.0 %
Online marketing services	36.3 %	25.8 %	25.4 %	25.4 %	36.6 %	26.9 %
Total gross margin	50.2 %	43.0 %	42.2 %	42.2 %	49.2 %	44.0 %

YOUDAO, INC.
UNAUDITED RECONCILIATION OF GAAP AND NON-GAAP RESULTS
(RMB and USD in thousands, except share and per ADS data)

	Three Months Ended				Nine Months Ended
	September 30,	June 30,	September 30,	September 30,	September 30,	September 30,
	2024	2025	2025	2025	2024	2025
	RMB	RMB	RMB	USD	RMB	RMB

Net income/(loss) attributable to ordinary shareholders of the Company	86,253	(17,763)	120	17	(790)	59,100
Add: share-based compensation	2,410	6,585	9,351	1,314	13,815	21,166
impairment of long-term investments	–	25,730	–	–	–	25,730
Less: gain from fair value change of long-term investment	–	(1,765)	–	–	–	(1,765)
Less: GAAP to non-GAAP reconciling item for the income/(loss) attributable to noncontrolling interests	–	(272)	(284)	(40)	–	(853)
Non-GAAP net income attributable to ordinary shareholders of the Company	88,663	12,515	9,187	1,291	13,025	103,378


Non-GAAP basic net income per ADS	0.76	0.11	0.08	0.01	0.11	0.88
Non-GAAP diluted net income per ADS	0.76	0.10	0.08	0.01	0.11	0.86

Shares used in computing non-GAAP basic net income per ADS	116,965,181	117,868,295	118,259,975	118,259,975	117,483,341	117,910,210
Shares used in computing non-GAAP diluted net income per ADS	117,343,848	119,660,859	119,938,028	119,938,028	117,996,668	119,703,456

View original content:https://www.prnewswire.com/news-releases/youdao-reports-third-quarter-2025-unaudited-financial-results-302621462.html

SOURCE Youdao, Inc.

November 20, 2025 3:40 am

NetEase Announces Third Quarter 2025 Unaudited Financial Results

PR Newswire

HANGZHOU, China
, Nov. 20, 2025 /PRNewswire/ — NetEase, Inc. (NASDAQ: NTES and HKEX: 9999, “NetEase” or the “Company”), a leading internet and game services provider, today announced its unaudited financial results for the third quarter ended September 30, 2025.

Third Quarter
202
5
Financial Highlights

Net revenues were RMB28.4 billion (US$4.0 billion), an increase of 8.2% compared with the same quarter of 2024.
- Games and related value-added services net revenues were RMB23.3 billion (US$3.3 billion), an increase of 11.8% compared with the same quarter of 2024.
- Youdao net revenues were RMB1.6 billion (US$228.8 million), an increase of 3.6% compared with the same quarter of 2024.
- NetEase Cloud Music net revenues were RMB2.0 billion (US$275.9 million), a decrease of 1.8% compared with the same quarter of 2024.
- Innovative businesses and others net revenues were RMB1.4 billion (US$202.1 million), a decrease of 18.9% compared with the same quarter of 2024.
Gross profit was RMB18.2 billion (US$2.6 billion), an increase of 10.3% compared with the same quarter of 2024.
Total operating expenses were RMB10.2 billion (US$1.4 billion), an increase of 8.9% compared with the same quarter of 2024.
Net income attributable to the Company’s shareholders was RMB8.6 billion (US$1.2 billion). Non-GAAP net income attributable to the Company’s shareholders was RMB9.5 billion (US$1.3 billion).[1]
Basic net income per share was US$0.38 (US$1.90 per ADS). Non-GAAP basic net income per share was US$0.42 (US$2.09 per ADS).^[1]

[1] As used in this announcement, non-GAAP net income attributable to the Company’s shareholders and non-GAAP basic and diluted net income per share and per ADS are defined to exclude share-based compensation expenses. See the unaudited reconciliation of GAAP and non-GAAP results at the end of this announcement.

Third Quarter 2025 and Recent Operational Highlights

Showcased strong long-term operating capabilities with enduring player engagement across well-established titles. Notably, Fantasy Westward Journey Online achieved four successive record peak concurrent player counts since the third quarter, reaching a height of 3.58 million. Multiple established titles strengthened player appeal through innovative gameplay updates and crossover synergy events, including Fantasy Westward Journey mobile game, Identity V, Eggy Party, Sword of Justice and Where Winds Meet.
Strengthened the global portfolio and pipeline with new games across a variety of genres:
- Destiny: Rising topped the iOS download chart in multiple regions across Western markets with its August 28 global launch, as well as in China with its October 16 domestic launch.
- ANANTA sparked substantial enthusiasm with its brand-new experience at Tokyo Games Show 2025’s playtesting session.
- Sword of Justice and Where Winds Meet hit global markets on November 7 and 14, respectively, bringing captivating, distinctive Wuxia worlds to players everywhere.
- Sea of Remnants is advancing steadily toward its planned 2026 launch.
Blizzard titles continued to deliver enhanced experiences to Chinese players. World of Warcraft launched the long-awaited, China-exclusive Titan Reforged Server on November 18, igniting strong enthusiasm among local players. Diablo II: Resurrected returned to China on August 27, followed by StarCraft II on October 28, while Diablo IV is scheduled to launch on December 12, to deliver another exceptional experience to players in China.

“We delivered another quarter of solid execution, underscoring our healthy growth in China and rising global appeal,” said Mr. William Ding, Chief Executive Officer and Director of NetEase. “Over the years, we have honed our innovation capabilities and proven them title after title by delivering exceptional gaming experiences. This edge has afforded us a strong domestic foundation to extend our distinctive, sophisticated games to players worldwide.

“User experience remains the heart of our value system as we look to raise the bar for creativity and tech-inspired games while enriching and expanding our vibrant player community. Through close collaboration with partners and top talent around the world, we aim to create even greater value for players and sustain our momentum across markets,” Mr. Ding concluded.

Third Quarter
202
5
Financial Results

Net
Revenues

Net revenues for the third quarter of 2025 were RMB28.4 billion (US$4.0 billion), compared with RMB27.9 billion and RMB26.2 billion for the preceding quarter and the same quarter of 2024, respectively.

Net revenues from games and related value-added services were RMB23.3 billion (US$3.3 billion) for the third quarter of 2025, compared with RMB22.8 billion and RMB20.9 billion for the preceding quarter and the same quarter of 2024, respectively. Net revenues from the operation of online games accounted for approximately 97.6% of the segment’s net revenues for the third quarter of 2025, compared with 97.1% and 96.8% for the preceding quarter and the same quarter of 2024, respectively. The quarter-over-quarter increase in online games net revenues was due to higher net revenues from self-developed games such as Fantasy Westward Journey Online and Sword of Justice, as well as certain licensed games. The year-over-year increase was attributable to higher net revenues from self-developed games such as Fantasy Westward Journey Online,Eggy Party and newly-launched Where Winds Meet and Marvel Rivals, as well as certain licensed games.

Net revenues from Youdao were RMB1.6 billion (US$228.8 million) for the third quarter of 2025, compared with RMB1.4 billion and RMB1.6 billion for the preceding quarter and the same quarter of 2024. The quarter-over-quarter increase was due to increased net revenues from its smart devices and online marketing services.

Net revenues from NetEase Cloud Music were RMB2.0 billion (US$275.9 million) for the third quarter of 2025, compared with RMB2.0 billion each for the preceding quarter and the same quarter of 2024.

Net revenues from innovative businesses and others were RMB1.4 billion (US$202.1 million) for the third quarter of 2025, compared with RMB1.7 billion and RMB1.8 billion for the preceding quarter and the same quarter of 2024, respectively. Results from this segment were mainly driven by net revenues from Yanxuan, advertising services and other value-added services, as well as certain inter-segment transaction eliminations. The quarter-over-quarter decrease was led by decreased net revenues from Yanxuan. The year-over-year decrease reflected an increase in certain inter-segment transaction elimination and, to a lesser extent, decreased net revenues from Yanxuan and certain other businesses.

Cost of Revenues

Cost of revenues for the third quarter of 2025 was RMB10.2 billion (US$1.4 billion), compared with RMB9.8 billion and RMB9.7 billion for the preceding quarter and the same quarter of 2024, respectively. Staff-related costs, revenue sharing costs and royalties for licensed games increased quarter-over-quarter and year-over-year.

Gross Profit

Gross profit for the third quarter of 2025 was RMB18.2 billion (US$2.6 billion), compared with RMB18.1 billion and RMB16.5 billion for the preceding quarter and the same quarter of 2024, respectively.

Operating Expenses

Total operating expenses for the third quarter of 2025 were RMB10.2 billion (US$1.4 billion), compared with RMB9.0 billion and RMB9.3 billion for the preceding quarter and the same quarter of 2024, respectively. The quarter-over-quarter and year-over-year increases were primarily due to increased marketing expenditures related to online games.

Other Income/(Expenses)

Other income/(expenses) consisted of investment income, interest income, net exchange losses/(gains) and others. The quarter-over-quarter increase was mainly due to fair value changes of equity security investments in the third quarter of 2025. The year-over-year increase was primarily due to fair value changes of equity security investments and lower net exchange losses in the third quarter of 2025, compared with the same quarter of 2024.

Income Tax

The Company recorded a net income tax charge of RMB1.3 billion (US$184.9 million) for the third quarter of 2025, compared with RMB1.6 billion and RMB1.3 billion for the preceding quarter and the same quarter of 2024, respectively. The effective tax rate for the third quarter of 2025 was 13.0%, compared with 14.7% and 16.1% for the preceding quarter and the same quarter of 2024, respectively. The effective tax rate represents certain estimates by the Company as to the tax obligations and benefits applicable to it in each quarter.

Net Income and Non-GAAP Net Income

Net income attributable to the Company’s shareholders totaled RMB8.6 billion (US$1.2 billion) for the third quarter of 2025, compared with RMB8.6 billion and RMB6.5 billion for the preceding quarter and the same quarter of 2024, respectively.

Basic net income was US$0.38 per share (US$1.90 per ADS) for the third quarter of 2025, compared with US$0.38 per share (US$1.89 per ADS) and US$0.29 per share (US$1.44 per ADS) for the preceding quarter and the same quarter of 2024, respectively.

Non-GAAP net income attributable to the Company’s shareholders totaled RMB9.5 billion (US$1.3 billion) for the third quarter of 2025, compared with RMB9.5 billion and RMB7.5 billion for the preceding quarter and the same quarter of 2024, respectively.

Non-GAAP basic net income was US$0.42 per share (US$2.09 per ADS) for the third quarter of 2025, compared with US$0.42 per share (US$2.10 per ADS) and US$0.33 per share (US$1.65 per ADS) for the preceding quarter and the same quarter of 2024, respectively.

Other Financial Information

As of September 30, 2025, the Company’s net cash (total cash and cash equivalents, current and non-current time deposits and restricted cash, as well as short-term investments balance, minus short-term and long-term loans) totaled RMB153.2 billion (US$21.5 billion), compared with RMB131.5 billion as of December 31, 2024. Net cash provided by operating activities was RMB12.9 billion (US$1.8 billion) for the third quarter of 2025, compared with RMB10.9 billion and RMB10.6 billion for the preceding quarter and the third quarter of 2024, respectively.

Quarterly Dividend

The board of directors approved a dividend of US$0.1140 per share (US$0.5700 per ADS) for the third quarter of 2025 to holders of ordinary shares and holders of ADSs as of the close of business on December 5, 2025, Beijing/Hong Kong Time and New York Time, respectively, payable in U.S. dollars. For holders of ordinary shares, in order to qualify for the dividend, all valid documents for the transfer of shares accompanied by the relevant share certificates must be lodged for registration with the Company’s Hong Kong branch share registrar, Computershare Hong Kong Investor Services Limited, at Shops 1712-1716, 17^th Floor, Hopewell Centre, 183 Queen’s Road East, Wanchai, Hong Kong, no later than 4:30 p.m. on December 5, 2025 (Beijing/Hong Kong Time). The payment date is expected to be December 16, 2025 for holders of ordinary shares and on or around December 19, 2025, for holders of ADSs.

NetEase paid a dividend of US$0.1140 per share (US$0.5700 per ADS) for the second quarter of 2025 in September 2025.

Under the Company’s current dividend policy, the determination to make dividend distributions and the amount of such distribution in any particular quarter will be made at the discretion of its board of directors and will be based upon the Company’s operations and earnings, cash flow, financial condition and other relevant factors.

Share Repurchase Program

The Company announced today that its previously approved share repurchase program of up to US$5.0 billion of the Company’s ADSs and ordinary shares in open market or other transactions will be extended for an additional 36 months until January 9, 2029. As of September 30, 2025, approximately 22.1 million ADSs had been repurchased under this program for a total cost of US$2.0 billion.

The extent to which NetEase repurchases its ADSs and its ordinary shares depends upon a variety of factors, including market conditions. These programs may be suspended or discontinued at any time.

** The United States dollar (US$) amounts disclosed in this announcement are presented solely for the convenience of the reader. The percentages stated are calculated based on RMB.

Conference Call

NetEase’s management team will host a teleconference call with a simultaneous webcast at 7:00 a.m. Eastern Time on Thursday, November 20, 2025 (Beijing/Hong Kong Time: 8:00 p.m., Thursday, November 20, 2025). NetEase’s management will be on the call to discuss the quarterly results and answer questions.

Interested parties may participate in the conference call by dialing 1-914-202-3258 and providing conference ID: 10051135, 15 minutes prior to the initiation of the call. A replay of the call will be available by dialing 1-855-883-1031 and entering PIN: 10051135. The replay will be available through November 27, 2025.

This call will be webcast live and the replay will be available for 12 months. Both will be available on NetEase’s Investor Relations website at http://ir.netease.com/.

About NetEase, Inc.

NetEase, Inc. (NASDAQ: NTES and HKEX: 9999, “NetEase”) is a leading internet and game services provider centered around premium content. With extensive offerings across its expanding gaming ecosystem, the Company develops and operates some of the most popular and longest-running mobile and PC games available in China and globally.

Powered by one of the largest in-house game R&D teams focused on mobile, PC and console, NetEase creates superior gaming experiences, inspires players, and passionately delivers value for its thriving community worldwide. By infusing play with culture, and education with technology, NetEase transforms gaming into a meaningful vehicle to build a more entertaining and enlightened world.

Beyond games, NetEase service offerings include its majority-controlled subsidiaries Youdao (NYSE: DAO), an intelligent learning and advertising solutions provider, and NetEase Cloud Music (HKEX: 9899), a well-known online music platform featuring a vibrant content community, as well as Yanxuan, NetEase’s private-label consumer lifestyle brand.

For more information, please visit: http://ir.netease.com/.

Forward Looking Statements

This announcement contains statements of a forward-looking nature. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. You can identify these forward-looking statements by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates” and similar expressions. In addition, statements that are not historical facts, including statements about NetEase’s strategies and business plans, its expectations regarding the growth of its business and its revenue and the quotations from management in this announcement are or contain forward-looking statements. NetEase may also make forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (the “SEC”), in announcements made on the website of The Stock Exchange of Hong Kong Limited (the “Hong Kong Stock Exchange”), in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. The accuracy of these statements may be impacted by a number of business risks and uncertainties that could cause actual results to differ materially from those projected or anticipated, including risks related to: the risk that the online games market will not continue to grow or that NetEase will not be able to maintain its position in that market in China or globally; risks associated with NetEase’s business and operating strategies and its ability to implement such strategies; NetEase’s ability to develop and manage its operations and business; competition for, among other things, capital, technology and skilled personnel; potential changes in regulatory environment in the markets where NetEase operates; the risk that NetEase may not be able to continuously develop new and creative online services or that NetEase will not be able to set, or follow in a timely manner, trends in the market; risks related to evolving economic cycles and geopolitical tensions, including the direct or indirect impacts of national trade, investment, protectionist, tax or other laws or policies as well as export controls and economic or trade sanctions; risks related to the expansion of NetEase’s businesses and operations internationally; risks associated with cybersecurity threats or incidents; and fluctuations in foreign currency exchange rates that could adversely affect NetEase’s business and financial results. Further information regarding these and other risks is included in NetEase’s filings with the SEC and announcements on the website of the Hong Kong Stock Exchange. NetEase does not undertake any obligation to update this forward-looking information, except as required under applicable law.

Non-GAAP Financial Measures

NetEase considers and uses non-GAAP financial measures, such as non-GAAP net income attributable to the Company’s shareholders and non-GAAP basic and diluted net income per ADS and per share, as supplemental metrics in reviewing and assessing its operating performance and formulating its business plan. The presentation of non-GAAP financial measures is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”).

NetEase defines non-GAAP net income attributable to the Company’s shareholders as net income attributable to the Company’s shareholders excluding share-based compensation expenses. Non-GAAP net income attributable to the Company’s shareholders enables NetEase’s management to assess its operating results without considering the impact of share-based compensation expenses. NetEase believes that this non-GAAP financial measure provides useful information to investors in understanding and evaluating the Company’s current operating performance and prospects in the same manner as management does, if they so choose. NetEase also believes that the use of this non-GAAP financial measure facilitates investors’ assessment of its operating performance.

Non-GAAP financial measures are not defined under U.S. GAAP and are not presented in accordance with U.S. GAAP. Non-GAAP financial measures have limitations as analytical tools. One of the key limitations of using non-GAAP net income attributable to the Company’s shareholders is that it does not reflect all items of expense/ income that affect our operations. Share-based compensation expenses have been and may continue to be incurred in NetEase’s business and are not reflected in the presentation of non-GAAP net income attributable to the Company’s shareholders. In addition, the non-GAAP financial measures NetEase uses may differ from the non-GAAP measures used by other companies, including peer companies, and therefore their comparability may be limited.

NetEase compensates for these limitations by reconciling non-GAAP net income attributable to the Company’s shareholders to the nearest U.S. GAAP performance measure, all of which should be considered when evaluating the Company’s performance. See the unaudited reconciliation of GAAP and non-GAAP results at the end of this announcement. NetEase encourages you to review its financial information in its entirety and not rely on a single financial measure.

Contact for Media and Investors:
Email: [email protected]
Tel: (+86) 571-8985-3378

NETEASE, INC.
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
	December 31,	September 30,	September 30,
	2024	2025	2025
	RMB	RMB	USD (Note 1)
Assets
Current assets:
Cash and cash equivalents	51,383,310	31,326,752	4,400,443
Time deposits	75,441,355	93,551,844	13,141,150
Restricted cash	3,086,405	8,654,295	1,215,662
Accounts receivable, net	5,669,027	5,962,060	837,486
Inventories	571,548	637,325	89,525
Prepayments and other current assets, net	6,416,868	6,863,085	964,050
Short-term investments	10,756,143	24,214,436	3,401,382
Total current assets	153,324,656	171,209,797	24,049,698

Non-current assets:
Property, equipment and software, net	8,520,101	8,517,182	1,196,401
Land use rights, net	4,172,465	4,078,719	572,934
Deferred tax assets	1,113,435	2,612,046	366,912
Time deposits	3,025,000	2,845,000	399,635
Restricted cash	5,208	3,900	548
Other long-term assets	25,830,685	25,222,219	3,542,944
Total non-current assets	42,666,894	43,279,066	6,079,374
Total assets	195,991,550	214,488,863	30,129,072

Liabilities, Redeemable Noncontrolling Interests and Shareholders’ Equity
Current liabilities:
Accounts payable	720,549	718,393	100,912
Salary and welfare payables	4,683,009	3,004,519	422,042
Taxes payable	2,759,185	4,312,685	605,799
Short-term loans	11,805,051	7,349,967	1,032,444
Contract liabilities	15,299,222	19,473,595	2,735,440
Accrued liabilities and other payables	14,400,641	15,229,406	2,139,262
Total current liabilities	49,667,657	50,088,565	7,035,899

Non-current liabilities:
Deferred tax liabilities	2,173,117	2,212,733	310,821
Long-term loans	427,997	–	–
Other long-term liabilities	1,228,641	1,255,583	176,371
Total non-current liabilities	3,829,755	3,468,316	487,192
Total liabilities	53,497,412	53,556,881	7,523,091

Redeemable noncontrolling interests	84,272	89,465	12,567

NetEase, Inc.’s shareholders’ equity	138,685,606	156,256,172	21,949,174
Noncontrolling interests	3,724,260	4,586,345	644,240
Total equity	142,409,866	160,842,517	22,593,414

Total liabilities, redeemable noncontrolling interests and shareholders’ equity	195,991,550	214,488,863	30,129,072

The accompanying notes are an integral part of this announcement.

NETEASE, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(in thousands, except per share data or per ADS data)
	Three Months Ended					Nine Months Ended
		September 30,	June 30,	September 30,	September 30,	September 30,	September 30,	September 30,
		2024	2025	2025	2025	2024	2025	2025
		RMB	RMB	RMB	USD (Note 1)	RMB	RMB	USD (Note 1)

Net revenues		26,209,879	27,891,664	28,358,625	3,983,512	78,547,425	85,078,834	11,950,953
Cost of revenues		(9,733,274)	(9,839,182)	(10,181,020)	(1,430,119)	(29,012,682)	(30,369,341)	(4,265,956)
Gross profit		16,476,605	18,052,482	18,177,605	2,553,393	49,534,743	54,709,493	7,684,997

Operating expenses:
Selling and marketing expenses		(3,805,071)	(3,578,174)	(4,457,675)	(626,166)	(11,329,012)	(10,731,446)	(1,507,437)
General and administrative expenses		(1,100,328)	(1,056,578)	(1,164,573)	(163,587)	(3,388,244)	(3,177,488)	(446,339)
Research and development expenses		(4,424,469)	(4,356,646)	(4,541,891)	(637,996)	(13,054,944)	(13,284,850)	(1,866,112)
Total operating expenses		(9,329,868)	(8,991,398)	(10,164,139)	(1,427,749)	(27,772,200)	(27,193,784)	(3,819,888)
Operating profit		7,146,737	9,061,084	8,013,466	1,125,644	21,762,543	27,515,709	3,865,109

Other income/(expenses):
Investment income, net		578,398	328,444	1,379,402	193,763	861,363	2,400,597	337,210
Interest income, net		1,282,766	953,490	936,706	131,578	3,746,582	2,951,082	414,536
Exchange (losses)/gains, net		(1,055,518)	114,037	(373,812)	(52,509)	(1,279,882)	(257,972)	(36,237)
Other, net		43,600	192,167	153,198	21,520	323,182	600,680	84,377
Income before tax		7,995,983	10,649,222	10,108,960	1,419,996	25,413,788	33,210,096	4,664,995
Income tax		(1,289,545)	(1,560,757)	(1,316,356)	(184,907)	(4,076,394)	(4,782,256)	(671,760)

Net income from continuing operations		6,706,438	9,088,465	8,792,604	1,235,089	21,337,394	28,427,840	3,993,235
Net income from discontinued operations		–	–	–	–	–	–	–
Net income		6,706,438	9,088,465	8,792,604	1,235,089	21,337,394	28,427,840	3,993,235

Accretion of redeemable noncontrolling interests		(962)	(1,051)	(1,044)	(147)	(2,880)	(3,144)	(442)
Net income attributable to noncontrolling interests and redeemable noncontrolling interests		(167,041)	(486,404)	(175,883)	(24,706)	(403,384)	(906,852)	(127,385)
Net income attributable to the Company’s shareholders		6,538,435	8,601,010	8,615,677	1,210,236	20,931,130	27,517,844	3,865,408

Net income per share *
Basic		2.04	2.70	2.70	0.38	6.52	8.64	1.21
Diluted		2.03	2.67	2.67	0.38	6.46	8.55	1.20

Net income per ADS *
Basic		10.22	13.49	13.50	1.90	32.61	43.20	6.07
Diluted		10.14	13.36	13.36	1.88	32.30	42.77	6.01

Weighted average number of ordinary shares used in calculating net income per share *
Basic		3,198,646	3,188,634	3,191,231	3,191,231	3,209,298	3,184,651	3,184,651
Diluted		3,224,110	3,214,681	3,223,497	3,223,497	3,238,834	3,214,910	3,214,910

* Each ADS represents five ordinary shares.
The accompanying notes are an integral part of this announcement.

NETEASE, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
	Three Months Ended				Nine Months Ended
	September 30,	June 30,	September 30,	September 30,	September 30,	September 30,	September 30,
	2024	2025	2025	2025	2024	2025	2025
	RMB	RMB	RMB	USD (Note 1)	RMB	RMB	USD (Note 1)
Cash flows from operating activities:
Net income	6,706,438	9,088,465	8,792,604	1,235,089	21,337,394	28,427,840	3,993,235
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	520,567	428,427	617,872	86,792	1,720,447	1,527,060	214,505
Fair value changes of equity security, other investments and financial instruments	(824,608)	55,715	(1,965,526)	(276,096)	(1,200,753)	(2,468,310)	(346,721)
Impairment losses on investments	529,668	161,463	1,616,146	227,019	868,826	1,866,680	262,211
Fair value changes of short-term investments	(100,071)	(344,604)	(278,636)	(39,140)	(289,176)	(824,849)	(115,866)
Share-based compensation cost	978,139	946,395	902,201	126,732	2,951,495	2,800,468	393,379
Allowance for expected credit losses	36,022	153,179	180,085	25,296	56,903	350,035	49,169
(Gains)/losses on disposal of property, equipment and software	(2,920)	(30,920)	404	57	(1,114)	(10,223)	(1,436)
Unrealized exchange losses/(gains)	1,050,644	(165,662)	368,559	51,771	823,824	174,444	24,504
Gains on disposal of long-term investments, business, subsidiaries and other financial instruments	(118,046)	(141,078)	(38,072)	(5,348)	(272,647)	(167,475)	(23,525)
Deferred income taxes	711,639	(853,764)	(933,553)	(131,135)	(83,383)	(1,459,045)	(204,951)
Share of results on equity method investees	(28,466)	13,479	1,389,265	195,149	175,005	1,384,076	194,420
Changes in operating assets and liabilities:
Accounts receivable	146,758	953,295	(194,823)	(27,367)	198,525	(330,488)	(46,423)
Inventories	(39,285)	(73,944)	(45,582)	(6,403)	81,645	(65,753)	(9,236)
Prepayments and other assets	(1,234,390)	583,484	(889,519)	(124,950)	(377,394)	(601,213)	(84,452)
Accounts payable	6,316	119,644	16,042	2,253	(127,547)	(12,390)	(1,740)
Salary and welfare payables	(670,750)	920,662	(566,362)	(79,556)	(1,970,300)	(1,730,811)	(243,126)
Taxes payable	224,015	(764,372)	517,353	72,672	33,137	1,549,104	217,601
Contract liabilities	1,928,060	(718,719)	2,579,424	362,330	2,231,822	4,386,903	616,225
Accrued liabilities and other payables	755,882	530,718	880,072	123,623	507,904	1,120,416	157,383
Net cash provided by operating activities	10,575,612	10,861,863	12,947,954	1,818,788	26,664,613	35,916,469	5,045,156

Cash flows from investing activities:
Purchase of property, equipment and software	(379,520)	(189,842)	(283,645)	(39,843)	(963,418)	(927,558)	(130,293)
Proceeds from sale of property, equipment and software	1,072	21,499	1,261	177	5,238	24,096	3,385
Purchase of intangible assets, content and licensed copyrights	(222,247)	(313,349)	(190,983)	(26,827)	(810,601)	(803,103)	(112,811)
Net changes of short-term investments with terms of three months or less	1,585,395	776,428	(1,111,376)	(156,114)	(4,207,245)	(6,473,504)	(909,328)
Purchase of short-term investments with terms over three months	(3,675,000)	(5,800,000)	(7,270,000)	(1,021,211)	(3,675,000)	(16,040,000)	(2,253,126)
Proceeds from maturities of short-term investments with terms over three months	–	5,745,454	1,426,005	200,310	–	9,880,060	1,387,844
Investment in long-term investments and acquisition of subsidiaries	(226,086)	(2,741,641)	(95,169)	(13,368)	(901,340)	(2,927,776)	(411,262)
Proceeds from disposal of long-term investments, businesses, subsidiaries and other financial instruments	1,541,338	784,855	1,554,537	218,365	2,467,443	2,416,820	339,489
Placement/rollover of matured time deposits	(36,766,094)	(27,980,605)	(49,326,969)	(6,928,918)	(133,100,536)	(126,909,381)	(17,826,855)
Proceeds from maturities of time deposits	37,546,192	33,617,510	30,600,384	4,298,410	138,806,413	108,144,376	15,190,950
Change in other long-term assets	(125,911)	(27,367)	75,342	10,583	(333,079)	47,297	6,644
Net cash (used in)/provided by investing activities	(720,861)	3,892,942	(24,620,613)	(3,458,436)	(2,712,125)	(33,568,673)	(4,715,363)

Cash flows from financing activities:
Net changes from loans with terms of three months or less	(4,778,301)	2,017,570	536,886	75,416	(7,263,080)	300,041	42,146
Proceeds of loans with terms over three months	5,395,810	1,231,000	1,481,550	208,112	13,463,080	5,460,100	766,976
Payment of loans with terms over three months	(3,100,520)	(1,804,730)	(5,879,605)	(825,903)	(14,739,347)	(10,620,012)	(1,491,784)
Net amounts (paid)/received related to repurchase of or capital contribution from noncontrolling interests shareholders	(8,394)	42,400	18,072	2,539	84,392	102,989	14,467
Net amount (paid)/received related to repurchase of NetEase’s ADSs/purchase of subsidiaries’ ADSs and shares	(3,994,212)	(355,563)	35,227	4,948	(7,235,022)	(623,937)	(87,644)
Dividends paid to NetEase’s shareholders	(1,972,928)	(3,082,122)	(2,583,740)	(362,936)	(9,182,743)	(11,250,394)	(1,580,333)
Net cash used in financing activities	(8,458,545)	(1,951,445)	(6,391,610)	(897,824)	(24,872,720)	(16,631,213)	(2,336,172)

Effect of exchange rate changes on cash, cash equivalents and restricted cash held in foreign currencies	(68,136)	(31,749)	(117,878)	(16,558)	(103,040)	(206,559)	(29,015)
Net increase/ (decrease) in cash, cash equivalents and restricted cash	1,328,070	12,771,611	(18,182,147)	(2,554,030)	(1,023,272)	(14,489,976)	(2,035,394)
Cash, cash equivalents and restricted cash, at the beginning of the period	21,855,316	45,395,483	58,167,094	8,170,683	24,206,658	54,474,923	7,652,047
Cash, cash equivalents and restricted cash, at the end of the period	23,183,386	58,167,094	39,984,947	5,616,653	23,183,386	39,984,947	5,616,653

Supplemental disclosures of cash flow information:
Cash paid for income taxes, net	554,867	2,184,556	1,967,228	276,335	4,586,071	5,358,339	752,681
Cash paid for interest expenses	165,881	64,366	207,879	29,201	465,279	369,669	51,927

The accompanying notes are an integral part of this announcement.

NETEASE, INC.
UNAUDITED SEGMENT INFORMATION
(in thousands)

	Three Months Ended				Nine Months Ended
	September 30,	June 30,	September 30,	September 30,	September 30,	September 30,	September 30,
	2024	2025	2025	2025	2024	2025	2025
	RMB	RMB	RMB	USD (Note 1)	RMB	RMB	USD (Note 1)
Net revenues:
Games and related value-added services	20,864,036	22,806,459	23,327,508	3,276,796	62,380,233	70,181,974	9,858,403
Youdao	1,572,541	1,417,541	1,628,524	228,757	4,286,121	4,344,327	610,244
NetEase Cloud Music	1,999,163	1,968,729	1,964,063	275,890	6,069,656	5,791,180	813,482
Innovative businesses and others	1,774,139	1,698,935	1,438,530	202,069	5,811,415	4,761,353	668,824
Total net revenues	26,209,879	27,891,664	28,358,625	3,983,512	78,547,425	85,078,834	11,950,953

Cost of revenues:
Games and related value-added services	(6,503,146)	(6,792,240)	(7,151,130)	(1,004,513)	(19,067,061)	(21,438,632)	(3,011,467)
Youdao	(783,085)	(808,181)	(940,661)	(132,134)	(2,178,383)	(2,432,877)	(341,744)
NetEase Cloud Music	(1,343,921)	(1,258,855)	(1,269,289)	(178,296)	(3,988,683)	(3,703,921)	(520,287)
Innovative businesses and others	(1,103,122)	(979,906)	(819,940)	(115,176)	(3,778,555)	(2,793,911)	(392,458)
Total cost of revenues	(9,733,274)	(9,839,182)	(10,181,020)	(1,430,119)	(29,012,682)	(30,369,341)	(4,265,956)

Gross profit:
Games and related value-added services	14,360,890	16,014,219	16,176,378	2,272,283	43,313,172	48,743,342	6,846,936
Youdao	789,456	609,360	687,863	96,623	2,107,738	1,911,450	268,500
NetEase Cloud Music	655,242	709,874	694,774	97,594	2,080,973	2,087,259	293,195
Innovative businesses and others	671,017	719,029	618,590	86,893	2,032,860	1,967,442	276,366
Total gross profit	16,476,605	18,052,482	18,177,605	2,553,393	49,534,743	54,709,493	7,684,997

The accompanying notes are an integral part of this announcement.

NETEASE, INC.

NOTES TO UNAUDITED FINANCIAL INFORMATION

Note 1: The conversion of Renminbi (RMB) into United States dollars (USD) is based on the noon buying rate of USD1.00 = RMB7.1190 on the last trading day of September 2025 (September 30, 2025) as set forth in the H.10 statistical release of the U.S. Federal Reserve Board. No representation is made that the RMB amounts could have been, or could be, converted into US$ at that rate on September 30, 2025, or at any other certain date.

Note 2: Share-based compensation cost reported in the Company’s unaudited condensed consolidated statements of comprehensive income is set out as follows in RMB and USD (in thousands):

	Three Months Ended				Nine Months Ended
	September 30,	June 30,	September 30,	September 30,	September 30,	September 30,	September 30,
	2024	2025	2025	2025	2024	2025	2025
	RMB	RMB	RMB	USD (Note 1)	RMB	RMB	USD (Note 1)
Share-based compensation cost included in:
Cost of revenues	306,283	291,326	267,472	37,572	881,167	792,509	111,323
Operating expenses
Selling and marketing expenses	36,365	37,300	29,063	4,082	97,099	98,941	13,898
General and administrative expenses	247,440	207,202	209,916	29,487	823,426	678,377	95,291
Research and development expenses	388,051	410,567	395,750	55,591	1,149,803	1,230,641	172,867

The accompanying notes are an integral part of this announcement.

Note 3: The financial information prepared and presented in this announcement might be different from those published and to be published by NetEase’s listed subsidiary to meet the disclosure requirements under different accounting standards requirements.

Note 4: The unaudited reconciliation of GAAP and non-GAAP results is set out as follows in RMB and USD (in thousands, except per share data or per ADS data):

	Three Months Ended				Nine Months Ended
	September 30,	June 30,	September 30,	September 30,	September 30,	September 30,	September 30,
	2024	2025	2025	2025	2024	2025	2025
	RMB	RMB	RMB	USD (Note 1)	RMB	RMB	USD (Note 1)
Net income attributable to the Company’s shareholders	6,538,435	8,601,010	8,615,677	1,210,236	20,931,130	27,517,844	3,865,408
Add: Share-based compensation	960,706	930,921	886,380	124,509	2,897,543	2,752,871	386,693
Non-GAAP net income attributable to the Company’s shareholders	7,499,141	9,531,931	9,502,057	1,334,745	23,828,673	30,270,715	4,252,101

Non-GAAP net income per share *
Basic	2.34	2.99	2.98	0.42	7.42	9.51	1.34
Diluted	2.33	2.96	2.95	0.41	7.35	9.41	1.32

Non-GAAP net income per ADS *
Basic	11.72	14.95	14.89	2.09	37.12	47.53	6.68
Diluted	11.63	14.81	14.73	2.07	36.77	47.05	6.61

* Each ADS represents five ordinary shares.
The accompanying notes are an integral part of this announcement.

View original content:https://www.prnewswire.com/news-releases/netease-announces-third-quarter-2025-unaudited-financial-results-302621376.html

SOURCE NetEase, Inc.

November 20, 2025 3:37 am

VNET Reports Unaudited Third Quarter 2025 Financial Results

PR Newswire

BEIJING
, Nov. 20, 2025 /PRNewswire/ — VNET Group, Inc. (Nasdaq: VNET) (“VNET” or the “Company”), a leading carrier- and cloud-neutral internet data center services provider in China, today announced its unaudited financial results for the third quarter ended September 30, 2025.

“We delivered another strong quarter, demonstrating our strategy’s effectiveness in capturing opportunities,” said Josh Sheng Chen, Founder, Executive Chairperson and interim Chief Executive Officer of VNET. “Our wholesale IDC business sustained its robust growth trajectory in the third quarter, driven by our rapid delivery capabilities and customers’ fast move-in pace. Order momentum remained solid, underscored by three new wholesale orders totaling 63MW and a combined capacity of approximately 2MW in retail orders from customers in various industries. This upward trend accelerated as we entered the fourth quarter, bolstered by a 32MW wholesale order from another customer in the internet sector. As a pioneer in AIDC development, we are uniquely positioned to capitalize on the accelerating AI-driven demand. We will continue to execute our effective dual-core strategy and advance our Hyperscale 2.0 framework, seizing opportunities to further unleash our growth potential in the AI era.”

Qiyu Wang, Chief Financial Officer of VNET, commented, “This quarter’s robust growth and enhanced profitability are yet another testament to our high-quality growth strategy. Our total net revenues rose 21.7% year over year to RMB2.58 billion, driven by significant wholesale revenue growth of 82.7% year over year. Adjusted EBITDA also increased by 27.5% year over year to RMB758.3 million, with an adjusted EBITDA margin of 29.4%, up 1.3 percentage points year over year. Building on the raised guidance we announced in June, we are pleased to further increase our full-year revenue and adjusted EBITDA guidance this quarter, thanks to fast move-ins among wholesale IDC customers and our ongoing operational efficiency gains. Looking ahead, we will continue to consolidate our core strengths and capture growth opportunities, delivering sustainable, long-term value for all stakeholders.”

Third Quarter 2025 Financial Highlights

Total net revenues increased by 21.7% to RMB2.58 billion (US$362.7 million) from RMB2.12 billion in the same period of 2024.
- Net revenues from the IDC business^[1] increased by 30.4% to RMB1.95 billion (US$274.6 million) from RMB1.50 billion in the same period of 2024.
  - Net revenues from the wholesale IDC business (“wholesale revenues”) increased by 82.7% to RMB955.5 million (US$134.2 million) from RMB523.0 million in the same period of 2024.
  - Net revenues from the retail IDC business (“retail revenues”) increased slightly to RMB999.1 million (US$140.3 million) compared with RMB975.5 million in the same period of 2024.
- Net revenues from the non-IDC business^[2] increased slightly to RMB627.1 million (US$88.1 million) from RMB622.3 million in the same period of 2024.
Adjusted cash gross profit (non-GAAP) increased by 22.1% to RMB1.05 billion (US$147.6 million) from RMB860.7 million in the same period of 2024. Adjusted cash gross margin (non-GAAP) was 40.7%, compared with 40.6% in the same period of 2024.
Adjusted EBITDA (non-GAAP) increased by 27.5% to RMB758.3 million (US$106.5 million) from RMB594.8 million in the same period of 2024. Adjusted EBITDA margin (non-GAAP) was 29.4%, compared with 28.0% in the same period of 2024.

Third Quarter 2025 Operational Highlights

Wholesale IDC Business

Capacity in service was 783MW as of September 30, 2025, compared with 674MW as of June 30, 2025, and 358MW as of September 30, 2024. Capacity under construction was 306MW as of September 30, 2025.
Capacity utilized by customers reached 582MW as of September 30, 2025, compared with 511MW as of June 30, 2025, and 279MW as of September 30, 2024. The sequential increase during the third quarter of 2025 was 70MW, which was mainly contributed by the N-OR Campus 01 data centers.
Utilization rate^[3] of wholesale capacity was 74.3% as of September 30, 2025, compared with 75.9% as of June 30, 2025, and 78.0% as of September 30, 2024.
- Utilization rate of mature wholesale capacity^[4] was 94.7% as of September 30, 2025, compared with 94.6% as of June 30, 2025, and 95.6% as of September 30, 2024.
- Utilization rate of ramp-up wholesale capacity^[5] was 37.6% as of September 30, 2025, compared with 20.8% as of June 30, 2025, and 46.4% as of September 30, 2024.
Total capacity committed^[6] was 741MW as of September 30, 2025, compared with 674MW as of June 30, 2025, and 352MW as of September 30, 2024.
Commitment rate^[7] for capacity in service was 94.7% as of September 30, 2025, compared with 100% as of June 30, 2025, and 98.2% as of September 30, 2024.
Total capacity pre-committed^[8] was 141MW and pre-commitment rate^[9] for capacity under construction was 46% as of September 30, 2025.

Retail IDC Business^[10]

Capacity in service was 52,288 cabinets as of September 30, 2025, compared with 52,131 cabinets as of June 30, 2025, and 52,250 cabinets as of September 30, 2024.
Capacity utilized by customers reached 33,907 cabinets as of September 30, 2025, compared with 33,292 cabinets as of June 30, 2025, and 32,950 cabinets as of September 30, 2024.
Utilization rate of retail capacity was 64.8% as of September 30, 2025, compared with 63.9% as of June 30, 2025, and 63.1% as of September 30, 2024.
- Utilization rate of mature retail capacity^[11] was 69.2% as of September 30, 2025, compared with 68.6% as of June 30, 2025, and 69.5% as of September 30, 2024.
- Utilization rate of ramp-up retail capacity^[12] was 30.6% as of September 30, 2025, compared with 26.4% as of June 30, 2025, and 16.8% as of September 30, 2024.
Monthly recurring revenue (MRR) per retail cabinet was RMB8,948 in the third quarter of 2025, compared with RMB8,915 in the second quarter of 2025 and RMB8,788 in the third quarter of 2024.

[1] IDC business refers to managed hosting services, consisting of the wholesale IDC business and the retail IDC business. Beginning in the first quarter of 2024, our IDC business was subdivided into wholesale IDC business and retail IDC business according to the nature and scale of our data center projects. Prior to 2024, the subdivision was based on customer contract types.

[2] Non-IDC business consists of cloud services and VPN services.

[3] Utilization rate is calculated by dividing capacity utilized by customers by the capacity in service.

[4] Mature wholesale capacity refers to wholesale data centers in which utilization rate is at or above 80%.

[5] Ramp-up wholesale capacity refers to wholesale data centers in which utilization rate is below 80%.

[6] Total capacity committed is the capacity committed to customers pursuant to customer agreements remaining in effect.

[7] Commitment rate is calculated by total capacity committed divided by total capacity in service.

[8] Total capacity pre-committed is the capacity under construction which is pre-committed to customers pursuant to customer agreements remaining in effect.

[9] Pre-commitment rate is calculated by total capacity pre-committed divided by total capacity under construction.

[10] For retail IDC business, since the first quarter of 2024, we have excluded a certain number of reserved cabinets from the capacity in service. Reserved cabinets refer to those that have not been utilized on a large scale, those that are planned to be closed, or those that are planned to be further upgraded. As of September 30, 2024, June 30, 2025, and September 30, 2025, 4,150, 3,791 and 3,791 reserved cabinets, respectively, were excluded from the calculation of utilization rate of retail IDC business capacity.

[11] Mature retail capacity refers to retail data centers that came into service prior to the past 24 months.

[12] Ramp-up retail capacity refers to retail data centers that came into service within the past 24 months, or mature retail data centers that have undergone improvements within the past 24 months.

Third Quarter 2025 Financial Results

TOTAL NET REVENUES: Total net revenues in the third quarter of 2025 were RMB2.58 billion (US$362.7 million), representing an increase of 21.7% from RMB2.12 billion in the same period of 2024. The year-over-year increase was mainly driven by the continued growth of our wholesale IDC business.

Net revenues from IDC busines

s
increased by 30.4% to RMB1.95 billion (US$274.6 million) from RMB1.50 billion in the same period of 2024. The year-over-year increase was mainly driven by an increase in wholesale revenues.

Wholesale revenues
increased by 82.7% to RMB955.5 million (US$134.2 million) from RMB523.0 million in the same period of 2024.
Retail revenues
increased by 2.4% to RMB999.1 million (US$140.3 million) from RMB975.5 million in the same period of 2024.

Net revenues from non-IDC business
increased slightly by 0.8% to RMB627.1 million (US$88.1 million) from RMB622.3 million in the same period of 2024.

GROSS PROFIT: Gross profit in the third quarter of 2025 was RMB539.0 million (US$75.7 million), representing an increase of 9.6% from RMB491.7 million in the same period of 2024. Gross margin in the third quarter of 2025 was 20.9%, compared with 23.2% in the same period of 2024.

ADJUSTED CASH GROSS PROFIT (non-GAAP), which excludes depreciation, amortization, and share-based compensation expenses, was RMB1.05 billion (US$147.6 million) in the third quarter of 2025, compared with RMB860.7 million in the same period of 2024. Adjusted cash gross margin (non-GAAP) in the third quarter of 2025 was 40.7%, compared with 40.6% in the same period of 2024.

OPERATING EXPENSES: Total operating expenses in the third quarter of 2025 were RMB333.3 million (US$46.8 million), compared with RMB300.3 million in the same period of 2024.

Sales and marketing expenses
were RMB71.3 million (US$10.0 million) in the third quarter of 2025, compared with RMB60.7 million in the same period of 2024.

Research and development expenses
were RMB71.3 million (US$10.0 million) in the third quarter of 2025, compared with RMB53.1 million in the same period of 2024.

General and administrative expenses
were RMB185.8 million (US$26.1 million) in the third quarter of 2025, compared with RMB132.5 million in the same period of 2024.

ADJUSTED OPERATING EXPENSES (non-GAAP), which exclude share-based compensation expenses, were RMB331.4 million (US$46.5 million) in the third quarter of 2025, compared with RMB293.6 million in the same period of 2024. As a percentage of total net revenues, adjusted operating expenses (non-GAAP) in the third quarter of 2025 were 12.8%, compared with 13.8% in the same period of 2024.

ADJUSTED EBITDA (non-GAAP): Adjusted EBITDA in the third quarter of 2025 was RMB758.3 million (US$106.5 million), representing an increase of 27.5% from RMB594.8 million in the same period of 2024. Adjusted EBITDA margin (non-GAAP) in the third quarter of 2025 was 29.4%, compared with 28.0% in the same period of 2024.

NET LOSS ATTRIBUTABLE TO VNET GROUP, INC.: Net loss attributable to VNET Group, Inc. in the third quarter of 2025 was RMB307.0 million (US$43.1 million), compared with a net income attributable to VNET Group, Inc. of RMB317.6 million in the same period of 2024. The year-on-year change is mainly attributable to RMB337.2 million in fair value changes of financial instruments in the third quarter of 2025, and a RMB246.2 million gain on debt extinguishment in the same period of 2024.

LOSS PER SHARE: Basic and diluted loss per share in the third quarter of 2025 were both RMB0.19(US$0.03), which represents the equivalent of RMB1.14(US$0.16) per American depositary share (“ADS”), respectively. Each ADS represents six Class A ordinary shares.

LIQUIDITY: As of September 30, 2025, the aggregate amount of the Company’s cash and cash equivalents, restricted cash and short-term investments was RMB5.33 billion (US$748.3 million).

Total short-term debt, consisting of short-term bank borrowings and the current portion of long-term borrowings, was RMB3.00 billion (US$422.1 million). Total long-term debt was RMB16.48 billion (US$2.31 billion), comprised of long-term borrowings of RMB10.99 billion (US$1.54 billion) and convertible notes of RMB5.49 billion (US$771.2 million).

Net cash generated from operating activities in the third quarter of 2025 was RMB809.8 million (US$113.8 million), compared with RMB760.4 million in the same period of 2024. During the third quarter of 2025, the Company obtained new debt financing, refinancing facilities and other financings of RMB2.41 billion (US$338.4 million).

Business Outlook

The Company increased its full year 2025 guidance for total net revenues and adjusted EBITDA. Specifically, the Company now expects total net revenues for 2025 to be between RMB9,550 million to RMB9,867 million, representing year-over-year growth of 16% to 19%, and adjusted EBITDA (non-GAAP) to be in the range of RMB2,910 million to RMB2,945 million, representing year-over-year growth of 20% to 21%. If the RMB87.7 million disposal gain of E-JS02 data center were excluded from the adjusted EBITDA calculation for 2024, year-over-year growth would be 24% to 26%. Please note our updated guidance factors in the impact of the private REIT transactions issued early this November.

The forecast reflects the Company’s current and preliminary views on the market and its operational conditions and is subject to change.

Conference Call

The Company’s management will host an earnings conference call at 7:00 AM U.S. Eastern Time on Thursday, November 20, 2025, or 8:00 PM Beijing Time on Thursday, November 20, 2025.

For participants who wish to join the call, please access the links provided below to complete the online registration process.

English line:
https://s1.c-conf.com/diamondpass/10051108-p4c7lo.html

Chinese line (listen-only mode):
https://s1.c-conf.com/diamondpass/10051109-lspout.html

Participants can choose between the English and Chinese options for pre-registration above. Please note that the Chinese option will be in listen-only mode. Upon registration, each participant will receive an email containing details for the conference call, including dial-in numbers, a conference call passcode and a unique access PIN, which will be used to join the conference call.

Additionally, a live and archived webcast of the conference call will be available on the Company’s investor relations website at http://ir.vnet.com.

A replay of the conference call will be accessible through November 27, 2025, by dialing the following numbers:

US/Canada:	1 855 883 1031
Mainland China:	400 1209 216
Hong Kong, China:	800 930 639
International:	+61 7 3107 6325
Reply PIN (English line):	10051108
Reply PIN (Chinese line):	10051109

Non-GAAP Disclosure

In evaluating its business, VNET considers and uses the following non-GAAP measures defined as non-GAAP financial measures by the U.S. Securities and Exchange Commission as a supplemental measure to review and assess its operating performance: adjusted cash gross profit, adjusted cash gross margin, adjusted operating expenses, adjusted EBITDA and adjusted EBITDA margin. The presentation of these non-GAAP financial measures is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with U.S. GAAP. For more information on these non-GAAP financial measures, please see the table captioned “Reconciliations of GAAP and non-GAAP results” set forth at the end of this press release.

The non-GAAP financial measures are provided as additional information to help investors compare business trends among different reporting periods on a consistent basis and to enhance investors’ overall understanding of the Company’s current financial performance and prospects for the future. These non-GAAP financial measures should be considered in addition to results prepared in accordance with U.S. GAAP, but should not be considered a substitute for, or superior to, U.S. GAAP results. In addition, the Company’s calculation of the non-GAAP financial measures may be different from the calculation used by other companies, and therefore comparability may be limited.

Exchange Rate

This announcement contains translations of certain RMB amounts into U.S. dollars (“USD”) at specified rates solely for the convenience of the reader. Unless otherwise stated, all translations from RMB to USD were made at the rate of RMB7.1190 to US$1.00, the noon buying rate in effect on September 30, 2025, in the H.10 statistical release of the Federal Reserve Board. The Company makes no representation that the RMB or USD amounts referred to could be converted into USD or RMB, as the case may be, at any particular rate or at all. For analytical presentation, all percentages are calculated using the numbers presented in the financial statements contained in this earnings release.

Statement Regarding Unaudited Condensed Financial Information

The unaudited financial information set forth above is preliminary and subject to potential adjustments. Adjustments to the consolidated financial statements may be identified when audit work has been performed for the Company’s year-end audit, which could result in significant differences from this preliminary unaudited condensed financial information.

About VNET

VNET Group, Inc. is a leading carrier- and cloud-neutral internet data center services provider in China. VNET provides hosting and related services, including IDC services, cloud services, and business VPN services to improve the reliability, security, and speed of its customers’ internet infrastructure. Customers may locate their servers and equipment in VNET’s data centers and connect to China’s internet backbone. VNET operates in more than 30 cities throughout China, servicing a diversified and loyal base of over 7,000 hosting and related enterprise customers that span numerous industries ranging from internet companies to government entities and blue-chip enterprises to small- to mid-sized enterprises.

Safe Harbor Statement

This announcement contains forward-looking statements. These forward-looking statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “target,” “believes,” “estimates” and similar statements. Among other things, quotations from management in this announcement as well as VNET’s strategic and operational plans contain forward-looking statements. VNET may also make written or oral forward-looking statements in its reports filed with, or furnished to, the U.S. Securities and Exchange Commission, in its annual reports to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statements about VNET’s beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: VNET’s goals and strategies; VNET’s liquidity conditions; VNET’s expansion plans; the expected growth of the data center services market; expectations regarding demand for, and market acceptance of, VNET’s services; VNET’s expectations regarding keeping and strengthening its relationships with customers; VNET’s plans to invest in research and development to enhance its solution and service offerings; and general economic and business conditions in the regions where VNET provides solutions and services. Further information regarding these and other risks is included in VNET’s reports filed with, or furnished to, the U.S. Securities and Exchange Commission. All information provided in this press release is as of the date of this press release, and VNET undertakes no duty to update such information, except as required under applicable law.

Investor Relations Contact:

Xinyuan Liu

Tel: +86 10 8456 2121
Email: [email protected]


VNET GROUP, INC.
CONSOLIDATED BALANCE SHEETS
(Amount in thousands of Renminbi (“RMB”) and US dollars (“US$”))
	As of	As of
	December 31, 2024	September 30, 2025
	RMB	RMB	US$
Assets
Current assets:
Cash and cash equivalents	1,492,436	3,503,014	492,065
Restricted cash	545,795	536,746	75,396
Short-term Investments	–	1,245,995	175,024
Accounts and notes receivable, net	1,655,984	2,197,982	308,749
Amounts due from related parties	336,360	376,791	52,928
Prepaid expenses and other current assets	2,789,573	3,102,152	435,758
Total current assets	6,820,148	10,962,680	1,539,920

Non-current assets:
Restricted cash	42,842	41,475	5,826
Derivative financial instrument	6,768	16,418	2,306
Long-term investments, net	794,688	791,352	111,161
Property and equipment, net	17,216,635	22,263,071	3,127,275
Intangible assets,net	1,403,787	1,934,143	271,687
Land use rights, net	766,213	910,107	127,842
Operating lease right-of-use assets, net	4,618,212	5,014,020	704,315
Deferred tax assets, net	306,623	382,588	53,742
Other non-current assets	381,126	1,038,957	145,941
Total non-current assets	25,536,894	32,392,131	4,550,095
Total assets	32,357,042	43,354,811	6,090,015

Liabilities and Shareholders’ Equity
Current liabilities:
Short-term bank borrowings	589,000	1,039,997	146,088
Current portion of long-term borrowings	1,420,190	1,964,645	275,972
Current portion of finance lease liabilities	208,299	326,384	45,847
Current portion of operating lease liabilities	899,818	970,109	136,270
Accounts and notes payable	709,260	750,806	105,465
Amounts due to related parties	355,679	614,469	86,314
Income taxes payable	69,569	45,103	6,336
Advances from customers	1,378,806	1,678,642	235,797
Deferred revenue	87,830	91,324	12,828
Current portion of deferred government grants	6,727	55,246	7,760
Accrued expenses and other payables	3,618,237	4,635,493	651,144
Total current liabilities	9,343,415	12,172,218	1,709,821

Non-current liabilities:
Long-term borrowings	7,767,390	10,986,557	1,543,273
Convertible notes	1,897,738	5,489,924	771,165
Non-current portion of finance lease liabilities	1,532,309	1,761,178	247,391
Non-current portion of operating lease liabilities	3,779,293	4,122,983	579,152
Unrecognized tax benefits	107,850	107,850	15,150
Deferred tax liabilities	734,404	903,643	126,934
Deferred government grants	273,824	220,640	30,993
Total non-current liabilities	16,092,808	23,592,775	3,314,058

Mezzanine equity:
Redeemable non-controlling interests	–	1,248,101	175,320
Total mezzanine equity	–	1,248,101	175,320

Shareholders’ equity
Ordinary shares	112	112	16
Treasury stock	(161,892)	(179,087)	(25,156)
Additional paid-in capital	17,298,692	17,240,286	2,421,729
Statutory reserves	107,380	122,443	17,199
Accumulated other comprehensive loss	(18,504)	(6,885)	(967)
Accumulated deficit	(10,859,888)	(11,431,556)	(1,605,781)
Total VNET Group, Inc. shareholders’ equity	6,365,900	5,745,313	807,040
Noncontrolling interest	554,919	596,404	83,776
Total shareholders’ equity	6,920,819	6,341,717	890,816
Total liabilities, mezzanine equity and shareholders’ equity	32,357,042	43,354,811	6,090,015


VNET GROUP, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(Amount in thousands of Renminbi (“RMB”) and US dollars (“US$”) except for number of shares and per share data)

	Three months ended				Nine months ended
	September 30, 2024	June 30, 2025	September 30, 2025		September 30, 2024	September 30, 2025
	RMB	RMB	RMB	US$	RMB	RMB	US$
Net revenues	2,120,794	2,434,205	2,581,747	362,656	6,012,680	7,262,172	1,020,111
Cost of revenues	(1,629,111)	(1,886,470)	(2,042,718)	(286,939)	(4,685,381)	(5,610,067)	(788,041)
Gross profit	491,683	547,735	539,029	75,717	1,327,299	1,652,105	232,070

Operating income (expenses)
Operating income (loss)	11,767	(1,143)	12,767	1,793	15,716	13,085	1,838
Sales and marketing expenses	(60,700)	(69,963)	(71,328)	(10,019)	(190,668)	(205,637)	(28,886)
Research and development expenses	(53,127)	(67,570)	(71,295)	(10,015)	(190,514)	(182,468)	(25,631)
General and administrative expenses	(132,482)	(212,473)	(185,765)	(26,094)	(466,076)	(578,008)	(81,192)
Allowance for doubtful debt	(65,731)	(23,568)	(17,664)	(2,481)	(63,309)	(71,784)	(10,083)
Total operating expenses	(300,273)	(374,717)	(333,285)	(46,816)	(894,851)	(1,024,812)	(143,954)

Operating profit	191,410	173,018	205,744	28,901	432,448	627,293	88,116
Interest income	4,218	16,869	8,724	1,225	21,796	32,344	4,543
Interest expense	(93,996)	(157,508)	(151,017)	(21,213)	(323,850)	(409,178)	(57,477)
Other income	15,584	5,234	7,355	1,033	50,873	14,400	2,023
Other expenses	(8,783)	(5,499)	(5,525)	(776)	(17,105)	(13,462)	(1,891)
Changes in the fair value of financial instruments	(7,107)	70,404	(337,216)	(47,368)	(2,537)	(601,716)	(84,523)
Gain on debt extinguishment	246,175	–	–	–	246,175	–	–
Foreign exchange gain (loss)	14,833	9,258	16,174	2,272	(17,915)	34,959	4,911
Income (loss) before income taxes and gain from equity method investments	362,334	111,776	(255,761)	(35,926)	389,885	(315,360)	(44,298)
Income tax expenses	(31,149)	(95,048)	(21,467)	(3,015)	(151,682)	(168,577)	(23,680)
Gain from equity method investments	965	41	1,919	270	6,770	5,174	727
Net income (loss)	332,150	16,769	(275,309)	(38,671)	244,973	(478,763)	(67,251)
Net income attributable to noncontrolling interest	(14,524)	(13,656)	(16,471)	(2,314)	(50,677)	(47,462)	(6,667)
Net income attributable to redeemable non-controlling interests	–	(15,027)	(15,263)	(2,144)	–	(30,290)	(4,255)
Net income (loss) attributable to the VNET Group, Inc.	317,626	(11,914)	(307,043)	(43,129)	194,296	(556,515)	(78,173)
Accretion to redemption amount of redeemable non- controlling interests	–	(67)	(23)	(3)	–	(90)	(13)
Net profit (loss) attributable to the Company’s ordinary shareholders	317,626	(11,981)	(307,066)	(43,132)	194,296	(556,605)	(78,186)

Earnings (loss) per share
Basic	0.20	(0.01)	(0.19)	(0.03)	0.12	(0.35)	(0.05)
Diluted	0.05	(0.01)	(0.19)	(0.03)	(0.02)	(0.35)	(0.05)
Shares used in earnings (loss) per share computation
Basic*	1,602,860,426	1,610,484,726	1,613,726,084	1,613,726,084	1,588,659,647	1,611,021,595	1,611,021,595
Diluted*	1,740,565,086	1,610,484,726	1,613,726,084	1,613,726,084	1,725,023,283	1,611,021,595	1,611,021,595

Earnings (loss) per ADS (6 ordinary shares equal to 1 ADS)
Basic	1.20	(0.06)	(1.14)	(0.16)	0.72	(2.10)	(0.30)
Diluted	0.30	(0.06)	(1.14)	(0.16)	(0.12)	(2.10)	(0.30)

* Shares used in earnings (loss) per share/ADS computation were computed under weighted average method.


VNET GROUP, INC.
RECONCILIATIONS OF GAAP AND NON-GAAP RESULTS
(Amount in thousands of Renminbi (“RMB”) and US dollars (“US$”))

	Three months ended				Nine months ended
	September 30, 2024	June 30, 2025	September 30, 2025		September 30, 2024	September 30, 2025
	RMB	RMB	RMB	US$	RMB	RMB	US$
Gross profit	491,683	547,735	539,029	75,717	1,327,299	1,652,105	232,070
Plus: depreciation and amortization	368,764	513,891	511,334	71,827	1,085,984	1,427,624	200,537
Plus: share-based compensation expenses	234	196	384	54	234	689	97
Adjusted cash gross profit	860,681	1,061,822	1,050,747	147,598	2,413,517	3,080,418	432,704
*Adjusted cash gross margin*	40.6 %	43.6 %	40.7 %	40.7 %	40.1 %	42.4 %	42.4 %

Operating expenses	(300,273)	(374,717)	(333,285)	(46,816)	(894,851)	(1,024,812)	(143,954)
Plus: share-based compensation expenses	6,709	9,163	1,899	267	105,428	17,391	2,443
Adjusted operating expenses	(293,564)	(365,554)	(331,386)	(46,549)	(789,423)	(1,007,421)	(141,511)

Operating profit	191,410	173,018	205,744	28,901	432,448	627,293	88,116
Plus: depreciation and amortization	396,428	550,087	550,248	77,293	1,170,313	1,527,775	214,605
Plus: share-based compensation expenses	6,943	9,359	2,283	321	105,662	18,080	2,540
Adjusted EBITDA	594,781	732,464	758,275	106,515	1,708,423	2,173,148	305,261
*Adjusted EBITDA margin*	28.0 %	30.1 %	29.4 %	29.4 %	28.4 %	29.9 %	29.9 %

VNET GROUP, INC.
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS
(Amount in thousands of Renminbi (“RMB”) and US dollars (“US$”))

	Three months ended
	September 30, 2024	June 30, 2025	September 30, 2025
	RMB	RMB	RMB	US$
CASH FLOWS FROM OPERATING ACTIVITIES
Net cash generated from operating activities	760,366	366,596	809,817	113,753

CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of property and equipment	(1,426,892)	(1,870,296)	(2,184,378)	(306,838)
Purchases of intangible assets	(33,806)	(24,388)	(37,074)	(5,208)
Proceeds from (payments for) investments	92,426	(1,216,168)	(5,000)	(702)
Proceeds from (payments for) other investing activities	31,762	(171,213)	(62,689)	(8,806)
Net cash used in investing activities	(1,336,510)	(3,282,065)	(2,289,141)	(321,554)

CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from bank borrowings	745,534	1,004,537	1,867,856	262,376
Repayments of bank borrowings	(129,893)	(381,728)	(231,432)	(32,509)
Payments for finance leases	(27,669)	(44,471)	(44,824)	(6,296)
Contribution from noncontrolling interest in a subsidiary	–	(4,555)	250,657	35,210
(Payments for) proceeds from other financing activities	(59,645)	8,875	299,027	42,004
Net cash generated from financing activities	528,327	582,658	2,141,285	300,785

Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash	(6,049)	(14,764)	(808)	(113)
Net (decrease) increase in cash, cash equivalents and restricted cash	(53,866)	(2,347,575)	661,152	92,871
Cash, cash equivalents and restricted cash at beginning of period	2,135,833	5,767,658	3,420,083	480,416
Cash, cash equivalents and restricted cash at end of period	2,081,967	3,420,083	4,081,235	573,287

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SOURCE VNET Group, Inc.