Editor's note: Seeking Alpha is proud to welcome ERIC JIAQING WU as a new contributor. It's easy to become a Seeking Alpha contributor and earn money for your best investment ideas. Active contributors also get free access to SA Premium. Click here to find out more » Young777/E+ via Getty Images Executive Summary: Buy recommendation issued for NetEase Inc (NASDAQ:NTES). Per share value estimated to be $86.39, $98.15, and $ 104.17 in the pessimistic, base, and optimistic case respectively. At a market price ...

ToplineThe Chinese government has ousted a top official in charge of regulating the country’s gaming industry, according to reports, in a likely effort to stem the damage from a stock market rout over proposed restrictions on online games in late December.China's gaming industry faced a stock market route just before Christmas holidays after a new ... [+] proposal sought curbs on spending and engagement from players.AFP via Getty Images Key FactsFeng Shixin was forced to step down from his role as the publi ...

Recently beaten-down China online gaming stocks rebounded on Wednesday in Hong Kong on news of a more conciliatory tone on the sector by the country’s top gaming regulator. Shares of NetEase Inc. NTES, -4.20% and Tencent Holdings Ltd. 700, +4.01% climbed 11% and 4%, respectively in Hong Kong. In U.S. trading, NetEase failed to get a lift, falling 4% and rival gamer Huya Inc. HUYA, -1.34% slipping 0.7%, even after both rose in premarket trading. Tencent is the parent of Tencent Music Entertainment Group  TME ...

ToplineA Chinese government regulator released new draft regulations targeting spending and engagement on online games on Friday, causing listed shares of major domestic gaming giants to crater amid fears of another crackdown on video games in one of the world’s largest markets for the medium.File Photo: People play online video games in a game arcade in Beijing, China.Getty Images Key FactsThe new draft rules published by China’s National Press and Publication Administration seek to limit the amount of tim ...

Shares of NetEase Inc. and Tencent Holdings Inc. fell sharply on Friday after Chinese authorities announced draft rules to crack down on spending and rewards in online gaming. In a statement, China’s National Press and Publication Administration, the top gaming regulator, proposed curbs on excessive spending on games by consumers, and bans on rewards from multiple logins and pop-up rules that would warn users against overspending on such games.The draft rules also said content of any games should be prohibi ...

In this article9999-HKChina's first offline esports experience hall Tencent V-Station, Shanghai, China, October 31, 2020.Costfoto | Future Publishing | Getty ImagesTencent lost about $43.5 billion in market value on Friday after China surprised financial markets with a fresh set of rules aimed at curbing excessive gaming and spending.The draft guidelines from China's National Press and Publication Administration sank the Hong Kong-listed shares of Tencent, NetEase and Bilibili — among the largest online gam ...

NetEase, Inc. (NASDAQ:NTES) Q3 2023 Earnings Call Transcript November 16, 2023 7:00 AM ET Company Participants Margaret Shi - Senior Director of IR Charles Yang - CFO William Ding - CEO Conference Call Participants Ritchie Sun - HSBC Yang Bai - CICC Felix Liu - UBS Thomas Chong - Jefferies Lincoln Kong - Goldman Sachs Ritchie Sun - HSBC Alex Poon - Morgan Stanley Alicia Yap - Citigroup Operator Good day, and welcome to the NetEase 2023 Third Quarter Earnings Conference Call. Today's conference is being reco ...

Financial Performance - Net revenues for Q3 2023 were RMB27.3 billion (US$3.7 billion), an increase of 11.6% compared to Q3 2022[26] - Net revenues from games and related value-added services were RMB21.8 billion (US$3.0 billion), a year-over-year increase of 16.5%[1] - Gross profit for Q3 2023 was RMB17.0 billion (US$2.3 billion), reflecting a 23.4% increase compared to Q3 2022[3] - Basic net income per share was US$0.33 (US$1.67 per ADS), while non-GAAP basic net income from continuing operations per share was US$0.37 (US$1.84 per ADS)[5] - Total net revenues for the third quarter of 2023 reached RMB 27,270,406, representing a year-over-year increase of 11.5% from RMB 24,426,760 in the same quarter of 2022[64] - Gross profit for the third quarter of 2023 was RMB 16,966,300, up 23.5% from RMB 13,743,892 in the third quarter of 2022[64] - Net income attributable to the Company's shareholders for the three months ended September 30, 2023, was RMB 7,836,888, compared to RMB 6,699,364 in the same period of 2022, reflecting a growth of 16.9%[61] - Non-GAAP net income from continuing operations attributable to shareholders was RMB8.6 billion (US$1.2 billion) for Q3 2023[30] Operating Expenses - Total operating expenses were RMB9.4 billion (US$1.3 billion), an increase of 4.5% compared to Q3 2022[29] - Total operating expenses for the three months ended September 30, 2023, were RMB 9,408,391, up from RMB 9,002,116 in the same quarter of 2022[61] - The company reported an income tax expense of RMB 1,290,398 for the three months ended September 30, 2023, compared to RMB 1,586,673 in the same period of 2022[61] Cash Flow and Assets - Net cash provided by operating activities was RMB 9.8 billion for Q3 2023, an increase from RMB 7.7 billion in Q2 2023 and RMB 7.5 billion in Q3 2022[74] - Cash and cash equivalents dropped from RMB 24.9 billion to RMB 15.1 billion, a decrease of about 39%[60] - Total current assets decreased from RMB 131.6 billion to RMB 127.6 billion, a decline of approximately 2%[60] - The company reported a net cash provided by operating activities of RMB 845,721 for the three months ended September 30, 2023, compared to RMB 552,688 in the same period last year[101] - Cash flows from operating activities for the nine months ended September 30, 2023, totaled RMB 23,522,996, an increase of 26% from RMB 18,700,020 for the same period last year[101] Shareholder Equity and Liabilities - Total liabilities decreased from RMB 63.9 billion to RMB 47.6 billion, a reduction of approximately 26%[60] - Shareholders' equity increased from RMB 104.7 billion to RMB 120.0 billion, an increase of around 15%[60] - Current liabilities decreased from RMB 56.8 billion to RMB 43.9 billion, a reduction of approximately 23%[60] Market and Growth Strategies - The company continues to focus on expanding its market presence and investing in new technologies to drive future growth[63] - NetEase's strategies include the development of new online services and international business expansion[84] - Market expansion plans include entering three new countries by the end of 2024, targeting a potential market of 5 million users[102] - The company is investing $100 million in R&D for new technology development in the upcoming fiscal year[102] User Engagement and Product Development - User base grew to 10 million active users, a 20% increase compared to the previous quarter[102] - New product launch is scheduled for Q1 2024, anticipated to drive an additional $500 million in revenue[102] - Customer retention rate improved to 85%, up from 80% in the previous quarter[102] Financial Guidance and Future Outlook - The company provided guidance for Q4 2023, expecting revenue to be between $2.7 billion and $2.9 billion, indicating a growth of 8% to 16%[102] - The company plans to implement a new marketing strategy, aiming for a 25% increase in brand awareness by mid-2024[102] Management Changes - The company announced the resignation of CFO Charles Zhaoxuan Yang effective November 30, 2023, to pursue other career interests[78]

NetEase, Inc. (NASDAQ:NTES) Q2 2023 Earnings Conference Call August 24, 2023 8:00 AM ET Company Participants Margaret Shi - Senior Director of IR Charles Yang - CFO William Ding - CEO Conference Call Participants Alex Poon - Morgan Stanley Yang Bai - CICC Ritchie Sun - HSBC Felix Liu - UBS Lincoln Kong - Goldman Sachs Kenneth Fong - Credit Suisse Natalie Wu - Haitong International Operator Good day, and welcome to the NetEase 2023 Second Quarter Earnings Conference Call. Today's conference is being recorded ...

N et E ase 2Q23 Investor Presentation Investor Relations SAFE HARBOR STATEMENT 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 ...