37 Interactive Entertainment Network Technology Group (002555) Q1 2026 earnings summary

Executive summary

• Revenue for Q1 2026 was ¥3.72 billion, down 12.32% year-over-year but up 6.15% sequentially from Q4 2025.

• Net profit attributable to shareholders rose 59.02% year-over-year to ¥873 million, driven by core business growth and investment gains.

• Key new games, including "RO仙境传说:世界之旅" and "Last Asylum: Plague," performed strongly, supporting results.

• Strategic focus on product quality, IP strength, and global market expansion continued.

Financial highlights

• Operating cash flow was ¥367 million, down 37.01% year-over-year.

• Basic and diluted EPS were ¥0.40, up 60% year-over-year.

• Gross margin improved as operating costs fell faster than revenue.

• Total assets at quarter-end were ¥22.44 billion, up 0.55% from year-end 2025.

• Shareholders’ equity increased 7.11% from year-end 2025.

Outlook and guidance

• Continued commitment to "premium, diversified, global" strategy, with focus on R&D and expanding product portfolio.

• Multiple new mobile games with domestic licenses are set for launch, expected to enrich offerings and drive growth.