HUYA Inc. reported third‑quarter 2025 results that showed a 9.8% year‑over‑year increase in total net revenue to RMB1,688.3 million (US$237.1 million). The jump was driven by a 29.6% rise in game‑related services, advertising and other revenues to RMB531.6 million, while live‑streaming revenue grew 2.6% to RMB1,156.7 million. The higher share of game‑related services—31.5% of total revenue—marks the first time the segment has surpassed the 30% threshold, underscoring the company’s shift from a pure streaming platform to a diversified gaming‑entertainment provider.
Operating performance improved markedly. The company’s operating loss narrowed to RMB14.3 million (US$2.0 million) from a loss of RMB32.3 million a year earlier, and non‑GAAP operating income rose to RMB6.3 million (US$0.9 million). Net income attributable to HUYA Inc. was RMB9.6 million (US$1.3 million), a decline from RMB23.6 million in Q3 2024, largely due to a drop in interest income after special cash dividends were paid. Non‑GAAP net income reached RMB36.3 million (US$5.1 million), down from RMB78.0 million a year earlier. Diluted earnings per share of RMB0.04 (US$0.01) matched the consensus estimate of US$0.01, indicating earnings met expectations.
Live‑streaming revenue, which accounts for roughly 68.5% of total revenue, grew modestly, reflecting a stable core user base of about 162 million monthly active users. In contrast, game‑related services, advertising and other revenues—now the largest non‑streaming segment—expanded 29.6% year‑over‑year, driven by strong in‑game item sales and the launch of the company’s first title, Goose Goose Duck Mobile, which attracted more than 10 million pre‑registrations. Advertising revenue also contributed to the segment’s growth, benefiting from deeper partnerships with Tencent and other game publishers.
Chief Executive Officer and Chief Financial Officer Raymond Peng Lei said the company was pleased to see total net revenue re‑accelerate and operating performance improve, citing steady execution on revenue diversification and prudent cost management. He added that the company would continue to explore growth opportunities thoughtfully while preserving earnings quality. Co‑CEO Junhong Huang highlighted that the company’s first title launch and the expansion of game publishing capabilities would position HUYA for sustainable growth in the gaming space, and that live‑streaming revenue would remain stable while game‑related services would drive the majority of future growth.
Investors reacted cautiously to the results. While revenue met consensus estimates and the company’s EPS matched expectations, the significant year‑over‑year decline in net income and the ongoing strategic transition tempered enthusiasm. Analysts noted that the company’s focus on game publishing and diversified monetization models could offset short‑term profitability pressures, but the muted market reaction reflected a wait‑and‑see approach to the company’s long‑term trajectory.
Looking ahead, management expressed confidence that revenue growth would accelerate in 2026, with live‑streaming expected to remain stable and game‑related services, advertising and other revenues continuing to drive the majority of growth. The company’s partnership with Kingsoft Shiyou to co‑publish Goose Goose Duck Mobile and its deepening cooperation with Tencent and other game companies signal a clear strategic emphasis on expanding its gaming ecosystem. Headwinds such as the decline in interest income and increased revenue‑sharing fees will need to be managed, but the company’s higher‑margin game services and controlled content costs provide a solid foundation for continued transformation.
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