While stabilizing the performance in the second quarter, NetEase played "Diablo" this "strongest card" during the year

The 21st Century Economic Herald reporter Sun Yu and intern Zhang Jingyi Beijing reported on August 21. On August 21, on the CC live broadcast platform under Netease (09999.HK), the "All -Star Weekend" is being held.

On August 19, the game ushered in the first anniversary of launch. The "All -Star Weekend" on the 21st is exactly the event organized by the anniversary of the "Eternal Harmony".

Since its launch, "Eternal Harmony" has maintained a lot of popularity.

In June of this year, "Eternal Harmony" officially landed on the Xbox platform (Microsoft's brand), and achieved global sales of over 10 million copies in the end of the month. This is also the first domestic buying game with a global sales of 10 million copies.

The hot sales of "Eternal Harmony" can be described as a microcosm of NetEase game. In the second quarter of the milestone in "Eternal Harmony", Netease also handed over a stable second quarterly report. The company's operating income and net profit of home were slightly exceeded Bloomberg's unanimous expectations.

Adjust the game business disclosure caliber

In the second quarter, NetEase's net revenue was 23.2 billion yuan, an increase of 12.8%year -on -year; gross profit was 12.9 billion yuan, an increase of 15.7%year -on -year; the continuous operating profit attributable to the company's shareholders was 4.7 billion yuan, an increase of 31.76%year -on -year.

In the second quarter report, NetEase adjusted the disclosure caliber of some businesses. Since the second quarter of 2022, Netease has renamed the "online game service" division to "game and related value -added services", and adjusted some business lines related to game or affiliated to the game from "innovation and other businesses" to " "Games and related value -added services", including the NetEase CC live service mentioned at the beginning (which provides live broadcast platforms that provide diversified content mainly based on game live broadcasts) and other value -added services.

This branch of all game association business is the core of Netease's financial report. In the second quarter, the NetEase game business continued the previous stable growth momentum. The net income of "game and related value -added services" was RMB 18.1 billion, an increase of 15.0%year -on -year.

If the past "online game service" caliber statistics are still made, NetEase's net income achieves a net income of 16.8 billion yuan, an increase of 16%year -on -year.

In addition to gaming business, NetEase Cloud Music (net income 2.2 billion yuan) and innovation and other businesses (net income 1.9 billion yuan) revenue also recorded growth, an increase of 29.5%and 6.1%year -on -year, respectively.

In the second quarter, NetEase's only revenue was reduced. In the season, the net income of Dao Dao business was 956.2 billion yuan, a decrease of 26.1%year -on -year, and also decreased from the previous month.

The main reason for the reduction in the revenue of the road is that the K9 business has stopped, and due to the decline in the needs of adult education business in the second quarter of the epidemic, the revenue of the channel learning service business has also declined to a certain extent.

As an Internet company with a revenue of about 80 % of the game, the game business is the "victory player" of Netease's performance. Behind the revenue of 15%of the game in the second quarter of this year is the second quarter of NetEase games that are not plain.

"Diablo God: Immortal" to realize domestic and foreign launch

During the quarter, the most important product of Netease is undoubtedly "Diablo: Immortal" (hereinafter referred to as "Diablo"). This game based on the world's classic IP not only "shoulder" boosts the burden of NetEase's mobile game flow in the second half of the year, but also an important chess piece for NetEase to continue to expand the size of overseas business.

Before launch, "Diablo" has accumulated considerable popularity globally. Netease Games announced at this year's 520 conference that the global reservation of the "Diablo" mobile game has exceeded 35 million, and the domestic appointment has exceeded 15 million.

In the end, "Diablo" was launched overseas on June 2, and the domestic launch date was postponed from June 23 to July 25.

The delayed new products of the heavy new products have caused market concerns in late June. Some overseas research institutions even list three assumptions of "optimism", "neutral" and "pessimistic". Performance impact.

Fortunately, the expression of "Diablo", which has successfully completed the online and abroad, has reached the expected level. "Diablo", which landed on the overseas market in early June, also caught up with the second quarter newspaper tail, and it is expected that the game business revenue is slightly contributed.

According to Sensor Tower data, "Diablo" has exceeded US $ 100 million as of the end of July. In the country, as of August 15, "Diablo" ranked 3.2 in the iOS game bestseller list.

In this regard, Fu Tianzi, the chief analyst of Overseas Everbright Securities overseas and the Internet, believes that the game will "contribute stronger certainty performance increase" in the second half of this year.

Proposal to cherish the domestic market and reiterate the importance of paying attention to going to sea

For NetEase, which has not obtained the domestic game version number in one year, the smooth launch of the "Diablo" national service is not significant -this means that in the classic IP "Journey to the West" series and "Harry Potter: Magic Awakening In addition, Netease opened a new growth pole in the domestic market. The company has more performance to deal with the tightening of the version number.

At the telephone meeting after the second quarter report, the management, including NetEase CEO Ding Lei, explained the company's development strategy. Netease has once again reiterated that the overseas game market is an important business development direction, and the company will carry out more European, American, Japanese and Korean user expansion; NetEase CEO Ding Lei also said that it is necessary to cherish the domestic market and actively develop excellent quality games. "Because of the version The number resources are very scarce. "

In the above two directions, NetEase currently has a certain number of project reserves, and the future performance of some games is also worthy of market expectations.Netease said to the 21st Century Business Herald reporter that the mobile version of "Wantong" is currently developing smoothly. The overseas version of "Harry Potter: Magic Awakening" also conducted a new round of BETA test in July. It is planned to go online this year Q4Essence

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