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- Huya reported total net revenues of ¥2.3B RMB ($317M USD) for Q3 2019, up 77.4% from ¥1.3B ($185M) in the same period in the previous year.
- The live-streaming platform’s average monthly active users (MAUs), on mobile and in total, increased. Mobile MAUs reached 63.8M, while total MAUs grew to 146M.
- Throughout the third quarter, 5.3M of Huya’s registered users purchased virtual items on its domestic platform at least once during the period.
Yesterday, Chinese live-streaming platform Huya reported its Q3 2019 earnings. Total net revenues generated by the company for the third quarter of 2019 increased by 77.4% to ¥2.3B ($317M), from ¥1.3B ($185M) in the same period of 2018.
Huya net income was ¥123M ($17.2M) for the third quarter of 2019, representing an increase of 117% from ¥56.8M in the same period of 2018. The company’s net results translate into $0.08 earnings per share (EPS) for the period.
The live-streaming platform disclosed that its number of average mobile monthly active users (MAUs) reached 63.8M in the third quarter of 2019, representing an increase of 29.1% from 49.4M in Q3 2018. Total average MAUs in the third quarter of 2019 reached 146M, representing an increase of 47.6% from 99M in the same period of 2018.
Huya CEO Rongjie Dong commented: “Our robust MAU growth in the third quarter of 2019 was highlighted by a 14.1% quarter-over-quarter increase in mobile MAUs, thanks to the execution of mobile strategy and continued promotion efforts on esports activities in the summer.”
While Huya increased its total number of paying users in the third quarter of 2019 to 5.3M, up 28.5% from 4.2M in the third quarter of 2018, the company also reported that several costs and expenses increased as well.
Revenue sharing fees and content costs increased by 78.8% to ¥1.5B ($211M), primarily due to the increase in virtual item revenue sharing fees in relation to higher live streaming revenues and continued spending in esports content and content creators, partially offset by benefits from economies of scale.
Furthermore, Huya’s sales and marketing expenses increased by 98.2% to ¥122M ($17.1M). The company primarily attributed the increase to marketing expenses associated with promoting its products and brand name, including summer promotion activities for esports events and cooperation with various marketing channels.
In September, Huya entered into a binding term with Modern Times Group. The agreement includes a joint venture with MTG’s portfolio company ESL Gaming. Additionally, Huya will acquire $30M worth of primary and secondary shares in ESL.
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