DouYu International Holdings Ltd

DOYU

Equity

ISIN US25985W2044 / Valor 133910030

NASDAQ (2024-11-22)

USD 10.23+5.25%

DouYu International Holdings Ltd
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About company

DouYu International Holdings Limited, with its headquarters in Wuhan, China, operates as a prominent game-centric live streaming platform within the Chinese market, focusing significantly on the burgeoning eSports sector. The company provides a comprehensive service that includes live streaming of games, interactive entertainment, and a variety of video and graphic content accessible via both PC and mobile applications. DouYu distinguishes itself by emphasizing the integration of various content formats, including live streams, videos, and graphics, centered around gaming and eSports. This approach not only caters to a broad audience of gaming enthusiasts but also fosters a vibrant community through interactive events and discussions. The platform's commitment to high-quality content and technology-driven talent development has enabled it to consistently enhance user experiences and expand its user base, solidifying its position as a key player in the live streaming and eSports industry in China.

Summarized from source with an LLMView SourceSector: Consumer Non-Cyclicals

Revenue Decline

In the first quarter of 2024, DouYu International Holdings Ltd reported a significant decline in total net revenues, amounting to RMB1,039.7 million (US$144.0 million), which represents a 29.9% decrease from RMB1,483.1 million in the same period of 2023. This drop was primarily due to decreased livestreaming revenues, which fell by 41.5% year-over-year.

Gross Profit and Margin

DouYu International Holdings Ltd's gross profit for the first quarter of 2024 was RMB109.0 million (US$15.1 million), down from RMB176.5 million in the first quarter of 2023. The gross margin also slightly decreased to 10.5% in the first quarter of 2024 from 11.9% in the corresponding period of the previous year, reflecting higher costs in innovative business development relative to the revenue.

Net Loss and Adjusted Net Loss

The company recorded a net loss of RMB88.0 million (US$12.2 million) in the first quarter of 2024, a downturn from a net income of RMB14.5 million in the first quarter of 2023. The adjusted net loss, which excludes certain non-recurring items, was RMB85.7 million (US$11.9 million), compared to an adjusted net income of RMB25.8 million in the same period last year.

Operational Metrics

DouYu's average mobile monthly active users (MAUs) decreased to 45.3 million in the first quarter of 2024 from 50.2 million in the first quarter of 2023. Additionally, the number of quarterly average paying users dropped to 3.4 million from 4.5 million in the previous year, reflecting challenges in user retention and monetization.

Future Outlook and Strategies

Despite the challenging financial results in the first quarter of 2024, DouYu International Holdings Ltd is focusing on diversifying its revenue streams and enhancing user experience. The company is actively exploring cooperation with more game developers to enrich its gaming service lineup and is committed to long-term strategic development to stabilize and grow its financial health.

Summarized from source with an LLMView Source

Key figures

13.3%1Y

-66.3%3Y

-86.5%5Y

Performance

102%1Y

91.3%3Y

82.2%5Y

Volatility