BRIEF: Huya’s revenue, profit fall as user base keeps shrinking
Livestream gaming platform Huya Inc. (HUYA.US) reportedon Tuesday its revenue fell 7.6% year-on-year to 1.54 billion yuan ($219.1 million) in the third quarter. Revenue from its newer game-related services, advertising, and other businesses grew 209.3% year-on-year to 410 million yuan; but that was offset by a 26% decline in revenue from its core livestreaming business to $1.13 billion. The company reported a non-GAAP profit of 78 million yuan for the quarter, down from 106 million yuan a year earlier.
Huya’s mobile monthly active users (MAUs) totaled 84 million during the latest quarter, down about 2.3% from 86 million in the same period of 2023. Paid users increased by 9.5% year-on-year to 4.6 million. As of Sept. 30, the company’s cash and bank deposits totaled 8.08 billion yuan.
Co-CEO and CFO Peng Lei said that livestreaming revenue continued to be affected by weak macroeconomic and industry conditions. As part of its strategic transformation, the company has placed greater focus on game-related services, advertising, and other revenue, which are growing strongly. The company’s operational expenses fell by 20.9% year-on-year thanks to cost controls.
Huya’s stock fell 6.2% on Tuesday to $3.03, near its 52-week low.
By Lee Shih Ta
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