NetEase Inc · NASDAQ:NTES
NetEase — Q3 2024 Earnings Presentation
14 slides from NetEase's earnings presentation, Nov 14, 2024
Slide 1: 3Q24 Investor Presentation
Ne tEa se 3Q24 Investor Presentation Investor Relations November 14, 2024
Slide 2: Safe Harbor Statement
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 as “will,” “expect
Slide 3: NetEase, Inc.
NetEase, Inc. NetEase, Inc. (NASDAQ: NTES and HKEX: 9999, “NetEase”) is a leading internet and game services provider centered around premi um content. With extensive offerings across its expanding gaming ecosystem, the Company develops and operates some of the most popular and lon gest running mobi
Slide 4: Market Snapshot
MARKET SNAPSHOT In USD $49.2 3.2 $3.7 $1.46 billion billion billion Market Cap 1 Shares Outstanding, Basic Net Income per ADS Net Revenues (11/13/24) Diluted (3Q24) (GAAP) (3Q24) (3Q24) $0.9 $17.0 billion billion AA Net income attributable to the Net cash 2 MSCI ESG Rating 3 Company's shareholders (
Slide 5: Games and Related Value-Added Services
GAMES AND RELATED VALUE-ADDED SERVICES USD million1 Games and Related Value-added Services Net Revenues and Gross Margin Gross Margin Online Games Related VAS 4,000 100.0% 69.0% 70.0% 68.8% 90.0% 3,500 3,103 80.0% 2,973 3,000 2,858 Online Games Related 70.0% VAS 2,500 97% (3Q24) 60.0% ~ 29%: PC & co
Slide 6: Online Games
ONLINE GAMES PC & CONSOLE GAMES MOBILE GAMES Flagship Self-Developed PC & Console Titles Self-Developed Mobile Games Mobile Games in Overseas Markets Licensed Mobile Games From Overseas Developers • Launched popular new titles and expanded established games in new regions, strengthening NetEase’s co
Slide 7: Youdao
YOUDAO USD million1 Youdao Net Revenues and Gross Margin Gross Margin Net Revenues • Youdao significantly improved its profitability, 55.9% achieving its first-ever third quarter operating profit 48.2% 50.2% and a record-high quarterly operating profit, 224 compared with a loss in the same period la
Slide 8: NetEase Cloud Music
NETEASE CLOUD MUSIC USD million1 NetEase Cloud Music Net Revenues and Gross Margin Gross Margin Net Revenues • NetEase Cloud Music continued to drive quality 32.1% 32.8% development across its music-centric ecosystem, 27.2% further expanding its subscriber base and sustaining healthy revenue growth
Slide 9: Innovative Businesses and Others
INNOVATIVE BUSINESSES AND OTHERS USD million1 Innovative Businesses and Others NetEase Yanxuan Net Revenues and Gross Margin • Leading private-label consumer lifestyle brand in China Gross Margin Net Revenues • Continued to strengthen its brand presence with highly popular 37.8% products in focused
Slide 10: Financial Highlights
FINANCIAL HIGHLIGHTS USD billion1 Net Revenues Net Income Attributable to Shareholders (GAAP) 4.2 14.7 13.8 12.5 2.9 2.4 3.7 0.9 FY2021 FY2022 FY2023 Q3 2024 FY2021 FY2022 FY2023 Q3 2024 Value Returned to Shareholders Operating Cash Flow US$ FY2021 FY2022 FY2023 Q3 2024 Dividend per $1.17000 $1.3870
Slide 11: ESG Performance
ESG PERFORMANCE MSCI Ratings S&P Global ESG Score Sustainalytics Ratings AA 52 15.9 Last Updated: October 2024 Last Updated: September 2024 Last Updated: October 2024 According to MSCI’s evaluation, NetEase has been selected as a NetEase is rated as a low-risk NetEase is a leader among 233 member of
Slide 12: Balance Sheet Summary
BALANCE SHEET SUMMARY 2023 2024 Dec 31, RMB Sep 30, RMB Sep 30, USD in millions (Unaudited) (Unaudited) ASSETS Current assets: Cash and cash equivalents 21,429 20,184 2,876 Time deposits 100,856 91,195 12,995 Other current assets 20,408 29,200 4,161 Total current assets 142,693 140,579 20,032 Proper
Slide 13: Income Statement Summary
INCOME STATEMENT SUMMARY 3Q23 2Q24 3Q24 3Q24 QoQ YoY in millions except per ADS data & percentage data RMB RMB RMB USD Change Change (Unaudited) (Unaudited) Total net revenues: 27,270 25,486 26,210 3,735 2.8% -3.9% Games and related value-added services 21,780 20,056 20,864 2,973 4.0% -4.2% Youdao 1
Slide 14: Thank You
THANK YOU