NetEase (NASDAQ:NTES) news for Thursday includes the company’s earnings report for the third quarter of 2020 boosting NTES stock up. This comes after reporting adjusted earnings per American Depositary Share (ADS) of 79 cents on revenue of 18.7 billion yuan. For comparison, Wall Street was expecting adjusted earnings per ADS of 39 cents on revenue of 18.24 billion yuan.
Here’s what else investors need to know about the most recent NetEase earnings news.
- Adjusted ADS earnings for the quarter are down 26.2% compared to $1.07 in the third quarter of 2019.
- Revenue for the quarter is sitting 27.5% higher than the 14.64 billion yuan reported in the same period of the year prior.
- Operating income of 1.7 billion yuan is a 48.9% drop year-over-year from 3.33 billion yuan.
- The NetEase earnings report also has net income coming in at 1.68 billion yuan.
- That’s an 86.8% decline compared to the company’s net income of 12.76 billion yuan from the same time last year.
William Ding, CEO and director of NetEase, said this about the earnings news.
“With strong and steady contributions from our online game services, our total net revenues for the third quarter reached RMB18.7 billion, an increase of 27.5% year-over-year. The strength of our games business is bolstered by our diverse and growing game portfolio with impressive longevity. Additionally, our robust pipeline of games ready for launch is hugely exciting, and we cannot wait to unveil our game sensations across multiple genres to both domestic and global players in the coming quarters.”
NetEase doesn’t include guidance in the most recent earnings news. Even so, we know what Wall Street’s expecting. That includes earnings per ADS of 83 cents on revenue of 19.55 billion yuan.
NTES stock was up 5.3% as of noon Thursday.
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.