NetEase (9999) Q4 2025 earnings summary

Executive summary

• Achieved total annual net revenue of CNY 112.6 billion ($16.1 billion) in 2025, up 10% year-over-year, with games and value-added services contributing CNY 92.1 billion ($13.2 billion) and marking 23 consecutive years of online games revenue growth.

• Major global expansion with titles like Where Winds Meet and Sword of Justice surpassing 80 million players, earning top industry awards, and driving strong international engagement.

• Deep integration of AI across development, design, art, and QA, driving productivity, innovation, and new gameplay experiences, with proprietary tools and vertical AI models.

• Continued investment in R&D and talent, focusing on AI-native gameplay, differentiated content, and global market expansion.

• Blizzard titles in China achieved record-high annual revenue, reinforcing commitment to the local market.

Financial highlights

• Total net revenue for 2025 was CNY 112.6 billion ($16.1 billion), a 10% increase year-over-year; Q4 revenue was CNY 27.5 billion ($3.9 billion), up 3% year-over-year.

• Net revenues from games and related services reached CNY 92.1 billion ($13.2 billion), up 10% from 2024; online games revenue for the year was CNY 89.6 billion, up 11%.

• Q4 online game net revenues increased 4% year-over-year to CNY 21.3 billion; Q4 games and related VAS revenues were RMB22.0 billion ($3.1 billion), up 3.4% year-over-year.

• Non-GAAP net income attributable to shareholders for 2025 was CNY 37.3 billion ($5.3 billion), up 11% year-over-year; Q4 non-GAAP net income was CNY 7.1 billion ($1.0 billion), down 27% year-over-year.

• Gross profit margin for 2025 was 64.3%; Q4 gross margin was 64.3%, up from 61.0% a year ago.

Outlook and guidance

• Ongoing focus on global expansion, with new titles like Sea of Dawn and Neverness to Everness in development and targeting global, cross-platform launches.

• Continued high-intensity investment in AI, vertical models, and talent to maintain leadership in high-quality game development and long-term operations.

• Plans to replicate successful models, such as Unlimited Server, across more legacy titles and to introduce innovative gameplay and monetization strategies.

• Focus remains on delivering exceptional experiences, fostering creative talent, and advancing AI capabilities to extend franchise longevity and global value.