Technology
NetEase Announces Second Quarter 2024 Unaudited Financial Results
Published
2 years agoon
By
HANGZHOU, China, Aug. 22, 2024 /PRNewswire/ — NetEase, Inc. (NASDAQ: NTES and HKEX: 9999, “NetEase” or the “Company”), a leading internet and game services provider, today announced its unaudited financial results for the second quarter ended June 30, 2024.
Second Quarter 2024 Financial Highlights
Net revenues were RMB25.5 billion (US$3.5 billion), an increase of 6.1% compared with the same quarter of 2023.Games and related value-added services net revenues were RMB20.1 billion (US$2.8 billion), an increase of 6.7% compared with the same quarter of 2023.Youdao net revenues were RMB1.3 billion (US$181.9 million), an increase of 9.5% compared with the same quarter of 2023.Cloud Music net revenues were RMB2.0 billion (US$280.8 million), an increase of 4.7% compared with the same quarter of 2023.Innovative businesses and others net revenues were RMB2.1 billion (US$284.5 million), which was relatively stable compared with the same quarter of 2023.Gross profit was RMB16.0 billion (US$2.2 billion), an increase of 11.6% compared with the same quarter of 2023.Total operating expenses were RMB9.0 billion (US$1.2 billion), an increase of 8.9% compared with the same quarter of 2023.Net income attributable to the Company’s shareholders was RMB6.8 billion (US$930.0 million). Non-GAAP net income attributable to the Company’s shareholders was RMB7.8 billion (US$1.1 billion).[1] Basic net income per share was US$0.29 (US$1.45 per ADS). Non-GAAP basic net income per share was US$0.33 (US$1.67 per ADS).[1]
[1] As used in this announcement, non-GAAP net income attributable to the Company’s shareholders and non-GAAP basic and diluted net income per share and per ADS are defined to exclude share-based compensation expenses. See the unaudited reconciliation of GAAP and non-GAAP results at the end of this announcement.
Second Quarter 2024 and Recent Operational Highlights
Launched popular new titles, further enhancing our appeal in diversified genres:Lost Light mobile game, a multiplayer tactical shooter game, topped the iOS download charts in China following its June launch.Once Human, a multiplayer open-world survival game set in a post-apocalyptic world, attained over 230,000 peak concurrent users on Steam soon after its launch, ranking among the top 5 most-played games in the world.Naraka: Bladepoint mobile game hit the top 3 on iOS grossing charts soon after launch in China, and topped the iOS download chart for over a week.Generated continued popularity of hit games, with Naraka: Bladepoint reaching record-high DAUs on its three-year anniversary, and Identity V continuing its strong performance, hitting record-high DAUs in July and August, consecutively.Brought highly anticipated NetEase titles to partners’ world-leading gaming platforms:Unveiled plans to bring Where Winds Meet and Marvel Rivals to consoles at PlayStation State of Play. Marvel Rivals also announced during Gamescom its release date for December 6th.Announced FragPunk, a 5v5 first-person hero shooter game, at the Xbox Games Showcase 2024, highlighting its innovative shooting experience with unique card mechanics.Eggy Party joined Nintendo Direct with upcoming plans for a worldwide release on Switch.Brought World of Warcraft back to China with players enthusiastically welcoming the unfolding return of Blizzard’s game portfolio.Youdao continued to drive growth in digital content services, online marketing services and AI-driven subscription services, recording historic-high operating cash flow and significantly narrowed operating loss compared with the same quarter of last year.Cloud Music continued to propel quality development across its music-centric ecosystem, further augmented its unique community, and kept bringing users high-quality music experiences.
“The robust R&D and operating capabilities we’ve built over the past two decades have shaped our formidable games portfolio of time-honored titles and newer innovative hits that redefine genres and diversify our offerings,” said Mr. William Ding, Chief Executive Officer and Director of NetEase. “With a growing portfolio of games that feature higher quality and cover more genres, we are thrilled to bring exciting NetEase gaming experiences to more players around the globe. As we expand our reach to players in China and worldwide, innovation remains our priority. We will continue to explore opportunities with talent and partners in the industry to drive the next wave of gaming trends.
“Alongside our games, Cloud Music and Youdao are also on track for continued growth this year. Superior content is the thread that connects our NetEase family, and we continue to bring experiences that resonate with our users across our businesses,” Mr. Ding concluded.
Second Quarter 2024 Financial Results
Net Revenues
Net revenues for the second quarter of 2024 were RMB25.5 billion (US$3.5 billion), compared with RMB26.9 billion and RMB24.0 billion for the preceding quarter and the same quarter of 2023, respectively.
Net revenues from games and related value-added services were RMB20.1 billion (US$2.8 billion) for the second quarter of 2024, compared with RMB21.5 billion and RMB18.8 billion for the preceding quarter and the same quarter of 2023, respectively. Net revenues from the operation of online games accounted for approximately 96.1% of the segment’s net revenues for the second quarter of 2024, compared with 95.2% and 91.7% for the preceding quarter and the same quarter of 2023, respectively. Net revenues from mobile games accounted for approximately 76.4% of net revenues from the operation of online games for the second quarter of 2024, compared with 78.6% and 73.6% for the preceding quarter and the same quarter of 2023, respectively.
Net revenues from Youdao were RMB1.3 billion (US$181.9 million) for the second quarter of 2024, compared with RMB1.4 billion and RMB1.2 billion for the preceding quarter and the same quarter of 2023, respectively.
Net revenues from Cloud Music were RMB2.0 billion (US$280.8 million) for the second quarter of 2024, compared with RMB2.0 billion and RMB1.9 billion for the preceding quarter and the same quarter of 2023, respectively.
Net revenues from innovative businesses and others were RMB2.1 billion (US$284.5 million) for the second quarter of 2024, compared with RMB2.0 billion and RMB2.1 billion for the preceding quarter and the same quarter of 2023, respectively.
Gross Profit
Gross profit for the second quarter of 2024 was RMB16.0 billion (US$2.2 billion), compared with RMB17.0 billion and RMB14.4 billion for the preceding quarter and the same quarter of 2023, respectively.
The quarter-over-quarter decrease in games and related value-added services’ gross profit was primarily due to lower net revenues from certain mobile games. The year-over-year increase was primarily due to increased net revenues from mobile games such as Identity V and Justice mobile game, launched in 2023.
The quarter-over-quarter decrease in Youdao’s gross profit was primarily due to lower net revenues from its learning services. The year-over-year increase was primarily due to higher net revenues from its online marketing services.
The quarter-over-quarter decrease in Cloud Music’s gross profit primarily resulted from the one-off adjustment of certain copyright costs in the preceding quarter. The year-over-year increase was primarily due to increased net revenues from sales of membership subscriptions and continued improvement in cost control measures.
The quarter-over-quarter and year-over-year increases in innovative businesses and others’ gross profit were primarily due to increased gross profit from Yanxuan and several other businesses included within the segment.
Gross Profit Margin
Gross profit margin for games and related value-added services for the second quarter of 2024 was 70.0%, compared with 69.5% and 67.4% for the preceding quarter and the same quarter of 2023, respectively. The quarter-over-quarter and year-over-year increases were mainly attributable to changes in product mix.
Gross profit margin for Youdao for the second quarter of 2024 was 48.2%, compared with 49.0% and 47.0% for the preceding quarter and the same quarter of 2023, respectively. The quarter-over-quarter decrease was mainly due to decreased revenue contribution from its learning services. The year-over-year increase was mainly due to the improvement of gross profit margin from its online marketing services.
Gross profit margin for Cloud Music for the second quarter of 2024 was 32.1%, compared with 38.0% and 27.0% for the preceding quarter and the same quarter of 2023, respectively. The quarter-over-quarter and year-over-year fluctuations were mainly due to the factors enumerated above. The one-off adjustment of copyright costs mentioned above increased the gross profit margin in the preceding quarter by approximately five percentage points.
Gross profit margin for innovative businesses and others for the second quarter of 2024 was 34.0%, compared with 33.4% and 29.5% for the preceding quarter and the same quarter of 2023, respectively. The quarter-over-quarter and year-over-year increases were mainly due to changes in the product mix within the segment.
Operating Expenses
Total operating expenses for the second quarter of 2024 were RMB9.0 billion (US$1.2 billion), compared with RMB9.4 billion and RMB8.3 billion for the preceding quarter and the same quarter of 2023, respectively. The quarter-over-quarter decrease was mainly due to decreased marketing expenditures related to games and related value-added services. The year-over-year increase was mainly due to increased research and development investments and marketing expenditures associated with games and related value-added services.
Other Income/(Expenses)
Other income/(expenses) consisted of investment income, interest income, exchange gains/(losses) and others. The quarter-over-quarter and year-over-year decreases were mainly due to net exchange losses in the second quarter of 2024 compared with net exchange gains recorded in the preceding quarter and the same quarter of 2023.
Income Tax
The Company recorded a net income tax charge of RMB1.3 billion (US$179.0 million) for the second quarter of 2024, compared with RMB1.5 billion and RMB712.1 million for the preceding quarter and the same quarter of 2023, respectively. The effective tax rate for the second quarter of 2024 was 16.0%, compared with 16.0% and 8.0% for the preceding quarter and the same quarter of 2023, respectively. The effective tax rate represents certain estimates by the Company as to the tax obligations and benefits applicable to it in each quarter.
Net Income and Non-GAAP Net Income
Net income attributable to the Company’s shareholders totaled RMB6.8 billion (US$930.0 million) for the second quarter of 2024, compared with RMB7.6 billion and RMB8.2 billion for the preceding quarter and the same quarter of 2023, respectively.
NetEase reported basic net income of US$0.29 per share (US$1.45 per ADS) for the second quarter of 2024, compared with US$0.33 per share (US$1.64 per ADS) and US$0.35 per share (US$1.76 per ADS) for the preceding quarter and the same quarter of 2023, respectively.
Non-GAAP net income attributable to the Company’s shareholders totaled RMB7.8 billion (US$1.1 billion) for the second quarter of 2024, compared with RMB8.5 billion and RMB9.0 billion for the preceding quarter and the same quarter of 2023, respectively.
NetEase reported non-GAAP basic net income of US$0.33 per share (US$1.67 per ADS) for the second quarter of 2024, compared with US$0.36 per share (US$1.82 per ADS) and US$0.39 per share (US$1.93 per ADS) for the preceding quarter and the same quarter of 2023, respectively.
Other Financial Information
As of June 30, 2024, the Company’s net cash (total cash and cash equivalents, current and non-current time deposits and restricted cash, as well as short-term investments balance, minus short-term and long-term loans) totaled RMB116.1 billion (US$16.0 billion), compared with RMB110.9 billion as of December 31, 2023. Net cash provided by operating activities was RMB6.5 billion (US$898.8 million) for the second quarter of 2024, compared with RMB9.6 billion and RMB7.7 billion for the preceding quarter and the same quarter of 2023, respectively.
Quarterly Dividend
The board of directors has approved a dividend of US$0.0870 per share (US$0.4350 per ADS) for the second quarter of 2024 to holders of ordinary shares and holders of ADSs as of the close of business on September 6, 2024, Beijing/Hong Kong Time and New York Time, respectively, payable in U.S. dollars. For holders of ordinary shares, in order to qualify for the dividend, all valid documents for the transfer of shares accompanied by the relevant share certificates must be lodged for registration with the Company’s Hong Kong branch share registrar, Computershare Hong Kong Investor Services Limited, at Shops 1712-1716, 17th Floor, Hopewell Centre, 183 Queen’s Road East, Wanchai, Hong Kong no later than 4:30 p.m. on September 6, 2024 (Beijing/ Hong Kong Time). The payment date is expected to be September 17, 2024 for holders of ordinary shares and on or around September 20, 2024 for holders of ADSs.
NetEase paid a dividend of US$0.0990 per share (US$0.4950 per ADS) for the first quarter of 2024 in June 2024.
Under the Company’s current dividend policy, the determination to make dividend distributions and the amount of such distribution in any particular quarter will be made at the discretion of its board of directors and will be based upon the Company’s operations and earnings, cash flow, financial condition and other relevant factors.
Share Repurchase Program
On November 17, 2022, the Company announced that its board of directors had approved a share repurchase program of up to US$5.0 billion of the Company’s ADSs and ordinary shares in open market transactions. This share repurchase program commenced on January 10, 2023 and will be in effect for a period not to exceed 36 months from such date. As of June 30, 2024, approximately 11.9 million ADSs had been repurchased under this program for a total cost of US$1.1 billion.
The extent to which NetEase repurchases its ADSs and its ordinary shares depends upon a variety of factors, including market conditions. These programs may be suspended or discontinued at any time.
** The United States dollar (US$) amounts disclosed in this announcement are presented solely for the convenience of the reader. The percentages stated are calculated based on RMB.
Conference Call
NetEase’s management team will host a teleconference call with a simultaneous webcast at 8:00 a.m. New York Time on Thursday, August 22, 2024 (Beijing/Hong Kong Time: 8:00 p.m., Thursday, August 22, 2024). NetEase’s management will be on the call to discuss the quarterly results and answer questions.
Interested parties may participate in the conference call by dialing 1-914-202-3258 and providing conference ID: 10040836, 15 minutes prior to the initiation of the call. A replay of the call will be available by dialing 1-855-883-1031 and entering PIN: 10040836. The replay will be available through August 29, 2024.
This call will be webcast live and the replay will be available for 12 months. Both will be available on NetEase’s Investor Relations website at http://ir.netease.com/.
About NetEase, Inc.
NetEase, Inc. (NASDAQ: NTES and HKEX: 9999, “NetEase”) is a leading internet and game services provider centered around premium content. With extensive offerings across its expanding gaming ecosystem, the Company develops and operates some of the most popular and longest running mobile and PC games available in China and globally.
Powered by one of the largest in-house game R&D teams focused on mobile, PC and console, NetEase creates superior gaming experiences, inspires players, and passionately delivers value for its thriving community worldwide. By infusing play with culture, and education with technology, NetEase transforms gaming into a meaningful vehicle to build a more entertaining and enlightened world.
Beyond games, NetEase service offerings include its majority-controlled subsidiaries Youdao (NYSE: DAO), an intelligent learning company with industry-leading technology, and Cloud Music (HKEX: 9899), a well-known online music platform featuring a vibrant content community, as well as Yanxuan, NetEase’s private label consumer lifestyle brand.
For more information, please visit: http://ir.netease.com/.
Forward Looking Statements
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,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates” and similar expressions. In addition, statements that are not historical facts, including statements about NetEase’s strategies and business plans, its expectations regarding the growth of its business and its revenue and the quotations from management in this announcement are or contain forward-looking statements. NetEase may also make forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (the “SEC”), in announcements made on the website of The Stock Exchange of Hong Kong Limited (the “Hong Kong Stock Exchange”), in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. The accuracy of these statements may be impacted by a number of business risks and uncertainties that could cause actual results to differ materially from those projected or anticipated, including risks related to: the risk that the online games market will not continue to grow or that NetEase will not be able to maintain its position in that market in China or globally; risks associated with NetEase’s business and operating strategies and its ability to implement such strategies; NetEase’s ability to develop and manage its operations and business; competition for, among other things, capital, technology and skilled personnel; potential changes in government regulation that could adversely affect the industry and geographical markets in which NetEase operates; the risk that NetEase may not be able to continuously develop new and creative online services or that NetEase will not be able to set, or follow in a timely manner, trends in the market; risks related to economic uncertainty and capital market disruption; risks related to the expansion of NetEase’s businesses and operations internationally; risks associated with cybersecurity threats or incidents; and the risk that fluctuations in the value of the Renminbi with respect to other currencies could adversely affect NetEase’s business and financial results. Further information regarding these and other risks is included in NetEase’s filings with the SEC and announcements on the website of the Hong Kong Stock Exchange. NetEase does not undertake any obligation to update this forward-looking information, except as required under applicable law.
Non-GAAP Financial Measures
NetEase considers and uses non-GAAP financial measures, such as non-GAAP net income attributable to the Company’s shareholders and non-GAAP basic and diluted net income per ADS and per share, as supplemental metrics in reviewing and assessing its operating performance and formulating its business plan. The presentation of non-GAAP financial measures is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”).
NetEase defines non-GAAP net income attributable to the Company’s shareholders as net income attributable to the Company’s shareholders excluding share-based compensation expenses. Non-GAAP net income attributable to the Company’s shareholders enables NetEase’s management to assess its operating results without considering the impact of share-based compensation expenses. NetEase believes that this non-GAAP financial measure provide useful information to investors in understanding and evaluating the Company’s current operating performance and prospects in the same manner as management does, if they so choose. NetEase also believes that the use of this non-GAAP financial measure facilitates investors’ assessment of its operating performance.
Non-GAAP financial measures are not defined under U.S. GAAP and are not presented in accordance with U.S. GAAP. Non-GAAP financial measures have limitations as analytical tools. One of the key limitations of using non-GAAP net income attributable to the Company’s shareholders is that it does not reflect all items of expense/ income that affect our operations. Share-based compensation expenses have been and may continue to be incurred in NetEase’s business and are not reflected in the presentation of non-GAAP net income attributable to the Company’s shareholders. In addition, the non-GAAP financial measures NetEase uses may differ from the non-GAAP measures used by other companies, including peer companies, and therefore their comparability may be limited.
NetEase compensates for these limitations by reconciling non-GAAP net income attributable to the Company’s shareholders to the nearest U.S. GAAP performance measure, all of which should be considered when evaluating the Company’s performance. See the unaudited reconciliation of GAAP and non-GAAP results at the end of this announcement. NetEase encourages you to review its financial information in its entirety and not rely on a single financial measure.
Contact for Media and Investors:
Email: ir@service.netease.com
Tel: (+86) 571-8985-3378
NETEASE, INC.
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
December 31,
June 30,
June 30,
2023
2024
2024
RMB
RMB
USD (Note 1)
Assets
Current assets:
Cash and cash equivalents
21,428,902
18,982,239
2,612,043
Time deposits
100,856,034
93,456,225
12,860,005
Restricted cash
2,777,206
2,869,827
394,901
Accounts receivable, net
6,422,417
6,364,847
875,832
Inventories
695,374
574,441
79,046
Prepayments and other current assets, net
6,076,595
5,487,749
755,139
Short-term investments
4,436,057
10,417,802
1,433,537
Total current assets
142,692,585
138,153,130
19,010,503
Non-current assets:
Property, equipment and software, net
8,075,044
8,092,032
1,113,501
Land use rights, net
4,075,143
4,022,255
553,481
Deferred tax assets
1,560,088
1,504,697
207,053
Time deposits
1,050,000
3,940,000
542,162
Restricted cash
550
3,250
447
Other long-term assets
28,471,568
27,627,257
3,801,637
Total non-current assets
43,232,393
45,189,491
6,218,281
Total assets
185,924,978
183,342,621
25,228,784
Liabilities, Redeemable Noncontrolling Interests
and Shareholders’ Equity
Current liabilities:
Accounts payable
881,016
792,003
108,983
Salary and welfare payables
4,857,206
3,606,360
496,252
Taxes payable
2,571,534
2,381,220
327,667
Short-term loans
19,240,163
13,187,247
1,814,626
Contract liabilities
13,362,166
13,615,857
1,873,604
Accrued liabilities and other payables
12,930,399
12,345,208
1,698,757
Total current liabilities
53,842,484
45,927,895
6,319,889
Non-current liabilities:
Deferred tax liabilities
2,299,303
1,448,781
199,359
Long-term loans
427,997
427,997
58,894
Other long-term liabilities
1,271,113
1,192,543
164,099
Total non-current liabilities
3,998,413
3,069,321
422,352
Total liabilities
57,840,897
48,997,216
6,742,241
Redeemable noncontrolling interests
115,759
119,498
16,443
NetEase, Inc.’s shareholders’ equity
124,285,776
130,909,906
18,013,803
Noncontrolling interests
3,682,546
3,316,001
456,297
Total equity
127,968,322
134,225,907
18,470,100
Total liabilities, redeemable noncontrolling
interests and shareholders’ equity
185,924,978
183,342,621
25,228,784
The accompanying notes are an integral part of this announcement.
NETEASE, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(in thousands, except per share data or per ADS data)
Three Months Ended
Six Months Ended
June 30,
March 31,
June 30,
June 30,
June 30,
June 30,
June 30,
2023
2024
2024
2024
2023
2024
2024
RMB
RMB
RMB
USD (Note 1)
RMB
RMB
USD (Note 1)
Net revenues
24,011,301
26,851,741
25,485,805
3,506,963
49,057,588
52,337,546
7,201,886
Cost of revenues
(9,635,888)
(9,835,821)
(9,443,587)
(1,299,481)
(19,785,629)
(19,279,408)
(2,652,935)
Gross profit
14,375,413
17,015,920
16,042,218
2,207,482
29,271,959
33,058,138
4,548,951
Operating expenses:
Selling and marketing expenses
(3,271,705)
(4,022,204)
(3,501,737)
(481,855)
(6,176,751)
(7,523,941)
(1,035,329)
General and administrative expenses
(1,132,147)
(1,196,475)
(1,091,441)
(150,187)
(2,153,825)
(2,287,916)
(314,828)
Research and development expenses
(3,908,907)
(4,174,758)
(4,455,717)
(613,127)
(7,658,639)
(8,630,475)
(1,187,593)
Total operating expenses
(8,312,759)
(9,393,437)
(9,048,895)
(1,245,169)
(15,989,215)
(18,442,332)
(2,537,750)
Operating profit
6,062,654
7,622,483
6,993,323
962,313
13,282,744
14,615,806
2,011,201
Other income/(expenses):
Investment income, net
287,691
179,291
103,674
14,266
759,059
282,965
38,937
Interest income, net
935,578
1,277,597
1,186,219
163,229
1,711,608
2,463,816
339,032
Exchange gains/(losses), net
1,464,956
15,011
(239,375)
(32,939)
1,078,388
(224,364)
(30,874)
Other, net
120,826
193,888
85,694
11,792
378,859
279,582
38,472
Income before tax
8,871,705
9,288,270
8,129,535
1,118,661
17,210,658
17,417,805
2,396,768
Income tax
(712,090)
(1,485,910)
(1,300,939)
(179,015)
(2,340,649)
(2,786,849)
(383,483)
Net income
8,159,615
7,802,360
6,828,596
939,646
14,870,009
14,630,956
2,013,285
Accretion of redeemable noncontrolling
interests
(868)
(958)
(960)
(132)
(1,728)
(1,918)
(264)
Net loss/(income) attributable to noncontrolling
interests and redeemable noncontrolling
interests
84,020
(167,456)
(68,887)
(9,479)
129,120
(236,343)
(32,522)
Net income attributable to the
Company’s shareholders
8,242,767
7,633,946
6,758,749
930,035
14,997,401
14,392,695
1,980,499
Net income per share *
Basic
2.56
2.38
2.10
0.29
4.66
4.48
0.62
Diluted
2.54
2.35
2.08
0.29
4.61
4.43
0.61
Net income per ADS *
Basic
12.80
11.88
10.50
1.45
23.29
22.39
3.08
Diluted
12.69
11.75
10.42
1.43
23.05
22.17
3.05
Weighted average number of ordinary
shares used in calculating net income
per share *
Basic
3,218,783
3,211,665
3,217,699
3,217,699
3,219,926
3,214,682
3,214,682
Diluted
3,248,916
3,249,452
3,243,056
3,243,056
3,252,707
3,246,254
3,246,254
* Each ADS represents five ordinary shares.
The accompanying notes are an integral part of this announcement.
NETEASE, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
Three Months Ended
Six Months Ended
June 30,
March 31,
June 30,
June 30,
June 30,
June 30,
June 30,
2023
2024
2024
2024
2023
2024
2024
RMB
RMB
RMB
USD (Note 1)
RMB
RMB
USD (Note 1)
Cash flows from operating activities:
Net income
8,159,615
7,802,360
6,828,596
939,646
14,870,009
14,630,956
2,013,285
Adjustments to reconcile net income to net cash provided
by operating activities:
Depreciation and amortization
661,363
567,923
631,957
86,960
1,743,632
1,199,880
165,109
Fair value changes of equity security and other investments
(78,035)
(368,258)
(7,887)
(1,085)
(304,755)
(376,145)
(51,759)
Impairment losses on investments
47,870
128,417
210,741
28,999
47,870
339,158
46,670
Fair value changes of short-term investments
(96,884)
(60,810)
(128,295)
(17,654)
(234,800)
(189,105)
(26,022)
Share-based compensation cost
787,862
894,300
1,079,056
148,482
1,610,275
1,973,356
271,543
Allowance for expected credit losses
8,540
11,600
9,281
1,277
29,260
20,881
2,873
Losses/(gains) on disposal of property, equipment and software
252
2,132
(326)
(45)
(358)
1,806
249
Unrealized exchange (gains)/losses
(1,466,295)
(17,509)
(209,311)
(28,802)
(1,080,334)
(226,820)
(31,211)
Gains on disposal of long-term investments, business and
subsidiaries
(16,382)
(13,487)
(141,114)
(19,418)
(22,150)
(154,601)
(21,274)
Deferred income taxes
(334,380)
485,054
(1,280,076)
(176,144)
243,286
(795,022)
(109,399)
Share of results on equity method investees
(129,292)
164,271
39,200
5,394
(225,100)
203,471
27,999
Changes in operating assets and liabilities:
Accounts receivable
770,551
(1,358,711)
1,410,478
194,088
(345,731)
51,767
7,123
Inventories
69,410
91,378
29,552
4,067
186,740
120,930
16,641
Prepayments and other assets
(7,233)
326,140
530,856
73,048
118,594
856,996
117,927
Accounts payable
(115,791)
(7,001)
(126,862)
(17,457)
(728,730)
(133,863)
(18,420)
Salary and welfare payables
758,106
(2,178,608)
879,058
120,963
(1,467,631)
(1,299,550)
(178,824)
Taxes payable
(992,892)
1,271,822
(1,462,700)
(201,274)
(259,176)
(190,878)
(26,266)
Contract liabilities
(41,196)
1,574,086
(1,270,324)
(174,801)
448,795
303,762
41,799
Accrued liabilities and other payables
(306,784)
242,070
(490,048)
(67,433)
(950,620)
(247,978)
(34,123)
Net cash provided by operating activities
7,678,405
9,557,169
6,531,832
898,811
13,679,076
16,089,001
2,213,920
Cash flows from investing activities:
Purchase of property, equipment and software
(520,544)
(415,018)
(168,880)
(23,239)
(1,173,483)
(583,898)
(80,347)
Proceeds from sale of property, equipment and software
4,292
3,506
660
91
6,796
4,166
573
Purchase of intangible assets, content and licensed copyrights
(283,321)
(188,821)
(399,533)
(54,978)
(1,110,003)
(588,354)
(80,960)
Net changes of short-term investments with terms of three
months or less
1,630,013
2,401,649
(8,194,289)
(1,127,572)
906,862
(5,792,640)
(797,094)
Proceeds from maturities of short-term investments with terms
over three months
–
–
–
–
104,269
–
–
Investment in long-term investments and acquisition of
subsidiaries
(270,228)
(481,804)
(193,450)
(26,620)
(1,499,276)
(675,254)
(92,918)
Proceeds from disposal of long-term investments, businesses
and subsidiaries
16,531
85,456
840,649
115,677
57,811
926,105
127,436
Placement/rollover of matured time deposits
(10,874,831)
(34,558,836)
(61,775,606)
(8,500,606)
(47,194,934)
(96,334,442)
(13,256,060)
Proceeds from maturities of time deposits
21,918,791
46,048,382
55,211,839
7,597,402
44,251,140
101,260,221
13,933,870
Change in other long-term assets
(31,189)
(34,625)
(172,543)
(23,743)
(152,030)
(207,168)
(28,507)
Net cash provided by/(used in) investing activities
11,589,514
12,859,889
(14,851,153)
(2,043,588)
(5,802,848)
(1,991,264)
(274,007)
Cash flows from financing activities:
Net changes from loans with terms of three months or less
(14,970,935)
(399,726)
(2,085,053)
(286,913)
(12,332,895)
(2,484,779)
(341,917)
Proceeds of loans with terms over three months
2,171,541
6,998,250
1,069,020
147,102
3,451,100
8,067,270
1,110,093
Payment of loans with terms over three months
(3,233,500)
(957,000)
(10,681,827)
(1,469,868)
(3,273,922)
(11,638,827)
(1,601,556)
Net amounts received related to capital contribution from
noncontrolling interests shareholders
22,228
42,214
50,572
6,959
46,577
92,786
12,768
Cash paid for repurchase of NetEase’s ADSs/purchase of
subsidiaries’ ADSs and shares
(2,195,210)
(1,233,780)
(2,007,030)
(276,177)
(4,311,967)
(3,240,810)
(445,950)
Dividends paid to NetEase’s shareholders
(2,119,316)
(4,945,016)
(2,264,799)
(311,647)
(3,331,656)
(7,209,815)
(992,104)
Net cash used in financing activities
(20,325,192)
(495,058)
(15,919,117)
(2,190,544)
(19,752,763)
(16,414,175)
(2,258,666)
Effect of exchange rate changes on cash, cash equivalents and
restricted cash held in foreign currencies
(47,876)
(43,138)
8,234
1,133
(32,378)
(34,904)
(4,803)
Net (decrease)/increase in cash, cash equivalents and restricted cash
(1,105,149)
21,878,862
(24,230,204)
(3,334,188)
(11,908,913)
(2,351,342)
(323,556)
Cash, cash equivalents and restricted cash, at the beginning
of the period
16,784,561
24,206,658
46,085,520
6,341,579
27,588,325
24,206,658
3,330,947
Cash, cash equivalents and restricted cash, at end of the period
15,679,412
46,085,520
21,855,316
3,007,391
15,679,412
21,855,316
3,007,391
Supplemental disclosures of cash flow information:
Cash paid for income taxes, net
1,625,045
1,182,711
2,848,493
391,966
2,699,624
4,031,204
554,712
Cash paid for interest expenses
326,646
146,455
152,943
21,046
602,360
299,398
41,199
The accompanying notes are an integral part of this announcement.
NETEASE, INC.
UNAUDITED SEGMENT INFORMATION
(in thousands, except percentages)
Three Months Ended
Six Months Ended
June 30,
March 31,
June 30,
June 30,
June 30,
June 30,
June 30,
2023
2024
2024
2024
2023
2024
2024
RMB
RMB
RMB
USD (Note 1)
RMB
RMB
USD (Note 1)
Net revenues:
Games and related value-added services
18,798,646
21,460,378
20,055,819
2,759,772
38,864,243
41,516,197
5,712,819
Youdao
1,206,634
1,391,859
1,321,721
181,875
2,369,904
2,713,580
373,401
Cloud Music
1,948,539
2,029,541
2,040,952
280,844
3,908,380
4,070,493
560,118
Innovative businesses and others
2,057,482
1,969,963
2,067,313
284,472
3,915,061
4,037,276
555,548
Total net revenues
24,011,301
26,851,741
25,485,805
3,506,963
49,057,588
52,337,546
7,201,886
Cost of revenues:
Games and related value-added services
(6,122,836)
(6,555,311)
(6,008,604)
(826,812)
(12,805,884)
(12,563,915)
(1,728,853)
Youdao
(639,459)
(710,356)
(684,942)
(94,251)
(1,200,879)
(1,395,298)
(191,999)
Cloud Music
(1,422,855)
(1,259,006)
(1,385,756)
(190,686)
(2,943,233)
(2,644,762)
(363,931)
Innovative businesses and others
(1,450,738)
(1,311,148)
(1,364,285)
(187,732)
(2,835,633)
(2,675,433)
(368,152)
Total cost of revenues
(9,635,888)
(9,835,821)
(9,443,587)
(1,299,481)
(19,785,629)
(19,279,408)
(2,652,935)
Gross profit:
Games and related value-added services
12,675,810
14,905,067
14,047,215
1,932,960
26,058,359
28,952,282
3,983,966
Youdao
567,175
681,503
636,779
87,624
1,169,025
1,318,282
181,402
Cloud Music
525,684
770,535
655,196
90,158
965,147
1,425,731
196,187
Innovative businesses and others
606,744
658,815
703,028
96,740
1,079,428
1,361,843
187,396
Total gross profit
14,375,413
17,015,920
16,042,218
2,207,482
29,271,959
33,058,138
4,548,951
Gross profit margin:
Games and related value-added services
67.4 %
69.5 %
70.0 %
70.0 %
67.0 %
69.7 %
69.7 %
Youdao
47.0 %
49.0 %
48.2 %
48.2 %
49.3 %
48.6 %
48.6 %
Cloud Music
27.0 %
38.0 %
32.1 %
32.1 %
24.7 %
35.0 %
35.0 %
Innovative businesses and others
29.5 %
33.4 %
34.0 %
34.0 %
27.6 %
33.7 %
33.7 %
The accompanying notes are an integral part of this announcement.
NETEASE, INC.
NOTES TO UNAUDITED FINANCIAL INFORMATION
Note 1: The conversion of Renminbi (RMB) into United States dollars (USD) is based on the noon buying rate of USD1.00 = RMB7.2672 on the last trading day of June 2024 (June 28, 2024) as set forth in the H.10 statistical release of the U.S. Federal Reserve Board. No representation is made that the RMB amounts could have been, or could be, converted into US$ at that rate on June 28, 2024, or at any other certain date.
Note 2: Share-based compensation cost reported in the Company’s unaudited condensed consolidated statements of comprehensive income is set out as follows in RMB and USD (in thousands):
Three Months Ended
Six Months Ended
June 30,
March 31,
June 30,
June 30,
June 30,
June 30,
June 30,
2023
2024
2024
2024
2023
2024
2024
RMB
RMB
RMB
USD (Note 1)
RMB
RMB
USD (Note 1)
Share-based compensation cost included in:
Cost of revenues
193,001
254,935
319,949
44,026
396,515
574,884
79,107
Operating expenses
Selling and marketing expenses
31,069
17,869
42,865
5,898
63,422
60,734
8,357
General and administrative expenses
281,326
289,636
286,350
39,403
575,607
575,986
79,258
Research and development expenses
282,466
331,860
429,892
59,155
574,731
761,752
104,821
The accompanying notes are an integral part of this announcement.
Note 3: The financial information prepared and presented in this announcement might be different from those published and to be published by NetEase’s listed subsidiary to meet the disclosure requirements under different accounting standards requirements.
Note 4: The unaudited reconciliation of GAAP and non-GAAP results is set out as follows in RMB and USD (in thousands, except per share data or per ADS data):
Three Months Ended
Six Months Ended
June 30,
March 31,
June 30,
June 30,
June 30,
June 30,
June 30,
2023
2024
2024
2024
2023
2024
2024
RMB
RMB
RMB
USD (Note 1)
RMB
RMB
USD (Note 1)
Net income attributable to the Company’s shareholders
8,242,767
7,633,946
6,758,749
930,035
14,997,401
14,392,695
1,980,499
Add: Share-based compensation
774,683
876,898
1,059,939
145,852
1,586,283
1,936,837
266,518
Non-GAAP net income attributable to the Company’s shareholders
9,017,450
8,510,844
7,818,688
1,075,887
16,583,684
16,329,532
2,247,017
Non-GAAP net income per share *
Basic
2.80
2.65
2.43
0.33
5.15
5.08
0.70
Diluted
2.78
2.62
2.41
0.33
5.10
5.03
0.69
Non-GAAP net income per ADS *
Basic
14.01
13.25
12.15
1.67
25.75
25.40
3.49
Diluted
13.88
13.10
12.05
1.66
25.49
25.15
3.46
* Each ADS represents five ordinary shares.
The accompanying notes are an integral part of this announcement.
Note 5: Reconciliation between U.S. GAAP and International Financial Reporting Standards
The unaudited condensed consolidated financial information is prepared in accordance with U.S. GAAP, which differ in certain respects from International Financial Reporting Standards (“IFRSs”). The effects of material differences between the unaudited condensed consolidated financial information prepared under U.S. GAAP and IFRSs (“Reconciliation Statement”) are as follows in RMB (in thousands).
PricewaterhouseCoopers, the auditor of the Company in Hong Kong, has performed a limited assurance engagement on the Reconciliation Statement in accordance with International Standard on Assurance Engagements 3000 (Revised) “Assurance Engagements Other Than Audits or Reviews of Historical Financial Information”.
Reconciliation of unaudited condensed consolidated statements of income (Extract):
For the Six Months Ended June 30, 2023 IFRSs adjustments
Amounts as
reported under U.S.
GAAP
Investments measured at fair
value
Redeemable
noncontrolling interests
Amounts as
reported under
IFRSs
(Note (a))
(Note (b))
Investment income, net
759,059
694,453
–
1,453,512
Income before tax
17,210,658
694,453
–
17,905,111
Income tax
(2,340,649)
15,289
–
(2,325,360)
Net income
14,870,009
709,742
–
15,579,751
Accretion of redeemable noncontrolling interests
(1,728)
–
1,728
–
Net loss attributable to noncontrolling interests and
redeemable noncontrolling interests
129,120
–
(3,879)
125,241
Net income attributable to the Company’s shareholders
14,997,401
709,742
(2,151)
15,704,992
For the Six Months Ended June 30, 2024 IFRSs adjustments
Amounts as
reported under U.S.
GAAP
Investments measured at fair
value
Redeemable
noncontrolling interests
Amounts as
reported under
IFRSs
(Note (a))
(Note (b))
Fair value changes of redeemable noncontrolling interests
–
–
(571)
(571)
Investment income, net
282,965
(108,548)
–
174,417
Income before tax
17,417,805
(108,548)
(571)
17,308,686
Income tax
(2,786,849)
7,127
–
(2,779,722)
Net income
14,630,956
(101,421)
(571)
14,528,964
Accretion of redeemable noncontrolling interests
(1,918)
–
1,918
–
Net income attributable to noncontrolling interests and
redeemable noncontrolling interests
(236,343)
–
571
(235,772)
Net income attributable to the Company’s shareholders
14,392,695
(101,421)
1,918
14,293,192
Reconciliation of unaudited condensed consolidated balance sheets (Extract):
As of December 31, 2023 IFRSs adjustments
Amounts as
reported under U.S.
GAAP
Investments measured at fair
value
Redeemable
noncontrolling interests
Amounts as
reported under
IFRSs
(Note (a))
(Note (b))
Other long-term assets
28,471,568
(15,673,947)
–
12,797,621
Financial assets at fair value through profit or loss
–
18,369,496
–
18,369,496
Total Assets
185,924,978
2,695,549
–
188,620,527
Financial liabilities at fair value through profit or loss
–
–
37,961
37,961
Deferred tax liabilities
2,299,303
29,886
–
2,329,189
Total Liabilities
57,840,897
29,886
37,961
57,908,744
Redeemable noncontrolling interests
115,759
–
(115,759)
–
Total equity
127,968,322
2,665,663
77,798
130,711,783
Total liabilities, redeemable noncontrolling interests
and shareholders’ equity
185,924,978
2,695,549
–
188,620,527
As of June 30, 2024 IFRSs adjustments
Amounts as
reported under U.S.
GAAP
Investments measured at fair
value
Redeemable
noncontrolling interests
Amounts as
reported under
IFRSs
(Note (a))
(Note (b))
Other long-term assets
27,627,257
(14,942,321)
–
12,684,936
Financial assets at fair value through profit or loss
–
17,529,322
–
17,529,322
Total Assets
183,342,621
2,587,001
–
185,929,622
Financial liabilities at fair value through profit or loss
–
–
38,532
38,532
Deferred tax liabilities
1,448,781
22,759
–
1,471,540
Total Liabilities
48,997,216
22,759
38,532
49,058,507
Redeemable noncontrolling interests
119,498
–
(119,498)
–
Total equity
134,225,907
2,564,242
80,966
136,871,115
Total liabilities, redeemable noncontrolling interests
and shareholders’ equity
183,342,621
2,587,001
–
185,929,622
Notes:
Basis of Preparation
The Company is responsible for preparation of the Reconciliation Statement in accordance with the relevant requirements of the Hong Kong Listing Rules and relevant guidance in HKEX-GL111-22. The Reconciliation Statement was prepared based on the Company’s unaudited condensed consolidated financial information for the six months ended June 30, 2024 prepared under U.S. GAAP, with material adjustments made (if any) thereto in arriving at the unaudited financial information of the Company prepared under IFRSs. The adjustments reflect the material differences between the Company’s accounting policies under U.S. GAAP and IFRSs.
Note a. Investments measured at fair value
Under U.S. GAAP, the investments in convertible redeemable preferred shares and ordinary shares with preferential rights that are issued by privately-held companies and therefore without readily determinable fair values could be accounted for using measurement alternative as an accounting policy choice. NetEase elected the measurement alternative to record these investments at cost, less impairment, and plus or minus subsequent adjustments for observable price changes.
Under IFRSs, these investments were classified as financial assets at fair value through profit or loss and measured at fair value with changes in fair value recognized through profit or loss.
Note b. Redeemable noncontrolling interests
Under U.S. GAAP, SEC guidance provides for mezzanine-equity (temporary equity) category in addition to the financial liability and permanent equity categories. The purpose of this “in-between” category is to indicate that a security whose redemption is outside the control of the issuer may not be classified as a permanent part of equity. NetEase classified the redeemable preferred shares issued by certain subsidiaries as redeemable noncontrolling interests in the condensed consolidated balance sheets and recorded them initially at fair value, net of issuance costs. NetEase recognized accretion to the respective redemption value of the redeemable preferred shares over the period starting from issuance date to the earliest redemption date.
Under IFRSs, there is no concept of mezzanine or temporary equity classification. NetEase designated the redeemable preferred shares as financial liabilities at fair value through profit or loss which are measured at fair value. Subsequent to initial recognition, the amounts of changes in fair value that were attributed to changes in credit risk of the issuer were recognized in other comprehensive income, and the remaining amounts of changes in fair value were recognized in the profit or loss.
View original content:https://www.prnewswire.com/news-releases/netease-announces-second-quarter-2024-unaudited-financial-results-302228472.html
SOURCE NetEase, Inc.
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Best Accounting Software for Medium-Sized Business UK (2026): QuickBooks Advanced Recognised as a Scalable Finance Platform for UK Mid-Market Businesses by Consumer365
Published
8 hours agoon
May 9, 2026By
NEW YORK, May 9, 2026 /PRNewswire/ — As demand for scalable financial tools grows, attention is shifting towards the best accounting software for medium-sized businesses in the UK in 2026, as organisations face increasingly complex accounting requirements. Consumer365 has recognised QuickBooks as a cloud-based platform supporting more structured financial management, reflecting a wider focus on improving automation, visibility, and compliance readiness.
Best Accounting Software for Medium-Sized Business UK
QuickBooks – developed as a cloud-based accounting platform, it enables medium-sized businesses to manage financial operations, automate core accounting processes, and maintain compliance with UK regulatory requirements.
Growing Demand for Scalable Financial Systems in the UK Mid-Market
Medium-sized businesses in the UK are operating in an environment where financial management is becoming increasingly complex. Growth introduces additional reporting layers, heightened regulatory expectations, and the need for consistent financial oversight across departments.
Traditional accounting methods are often no longer sufficient under these conditions. Spreadsheet-based systems and entry-level tools can struggle to deliver accurate, timely insights. This creates visibility gaps that can impact planning and decision-making.
QuickBooks has been identified within this context as a platform designed to support more structured financial management. Its positioning reflects a broader shift towards systems that centralise financial data and reduce fragmentation across business operations.
QuickBooks Positioned as a Scalable Financial Platform
QuickBooks operates as a cloud-based accounting system developed by Intuit. It is designed to support businesses that require more than basic bookkeeping functionality, focusing on helping organisations manage financial processes in a more connected and scalable way.
A key aspect of its design is the ability to consolidate financial information within a single system. This allows businesses to manage invoicing, expenses, reporting, and cash flow tracking without relying on multiple disconnected tools.
The platform is also structured to support growth. As businesses expand, financial operations often become more distributed across teams. QuickBooks enables multiple users to work within the same system while maintaining structured access controls, helping ensure consistency and oversight as complexity increases.
Financial Visibility, Automation, and Operational Control
One of the central functions of QuickBooks is improving financial visibility across business operations. Real-time data access allows organisations to monitor cash flow, expenses, and overall financial performance without waiting for end-of-period reporting cycles.
Automation plays a significant role in reducing manual workload. Financial processes such as invoicing, transaction categorisation, and expense tracking can be streamlined, reducing reliance on repetitive manual input and supporting more consistent financial records.
Operational control is reinforced through structured user permissions. Businesses can assign access levels based on roles, ensuring financial data is managed securely while still enabling collaboration across departments. This structure is particularly relevant for medium-sized organisations where multiple teams interact with financial systems.
Integration, Compliance, and System Connectivity
QuickBooks is designed to integrate with a range of business tools commonly used by UK organisations. These include payroll systems, customer relationship management platforms, and other operational software. This level of connectivity helps ensure that financial data remains consistent across systems.
Compliance is also a core part of the platform’s structure. UK businesses must meet specific regulatory requirements, including VAT reporting and Making Tax Digital standards. QuickBooks includes features that support these obligations within the system, reducing the need for manual compliance processes.
By aligning financial reporting with regulatory standards, the platform helps organisations maintain accurate records while reducing the administrative burden associated with tax and compliance requirements.
Operational Impact and Long-Term Financial Structure
As businesses grow, financial systems often become central to overall operational structure. Decisions related to hiring, investment, and expansion rely on access to accurate and timely financial data. Systems that lack integration or real-time visibility can slow decision-making and introduce inefficiencies.
QuickBooks supports a more structured approach by centralising financial information. This reduces fragmentation and helps ensure consistency across the organisation. It also supports continuity, minimising the need for frequent system changes as businesses scale.
The platform is designed to adapt to increasing complexity over time. As transaction volumes grow and reporting requirements expand, it remains stable while accommodating additional users and workflows.
This approach aligns with the needs of medium-sized businesses transitioning from smaller-scale operations to more advanced financial environments.
Market Context and Financial Management Trends
The recognition of QuickBooks reflects broader developments in financial technology adoption among UK medium-sized businesses. Organisations are increasingly prioritising systems that improve efficiency while reducing operational complexity.
Financial management is no longer limited to recordkeeping. It has become a core business function that influences strategic planning and overall performance. As a result, platforms that provide integrated financial oversight are becoming more relevant across a wide range of industries.
QuickBooks fits within this shift by offering a system that combines core accounting functionality with workflow automation and reporting capabilities. This supports businesses that require both day-to-day financial management and longer-term planning tools.
The emphasis on scalability also reflects changing expectations in the mid-market sector. Businesses are seeking platforms that can grow with them, rather than systems that need to be replaced as operational requirements evolve.
Conclusion
Consumer365 has recognised QuickBooks as a relevant financial platform for medium-sized businesses operating in the UK in 2026. The recognition highlights its focus on scalability, financial visibility, and structured operational control.
The platform is positioned to support organisations as they move beyond basic accounting systems and adopt more integrated financial management structures. Its emphasis on automation, compliance support, and system connectivity aligns with the operational needs of growing businesses.
As financial complexity continues to increase across the mid-market sector, tools that centralise financial data and support real-time decision-making are becoming more widely adopted. QuickBooks represents one of the platforms contributing to this shift towards more structured financial management approaches.
To read the full review, please visit the Consumer365 website.
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SOURCE Consumer365.org
Technology
BOE continues to launch new products and solutions in the field of high-end displays
Published
9 hours agoon
May 9, 2026By
LOS ANGELES, May 9, 2026 /PRNewswire/ —
1、Redefine Visual Experience with Scientific Standards! BOE Releases Core Research Findings on OLED Display Clarity-Legibility Index, Paving the Way for the Industry’s First Transparent Pro Standard to Deliver Supreme Visual Experience
With the rapid popularization of OLED display technology, basic screen indicators including resolution, color gamut and brightness keep improving. Meanwhile, display transparency — a core experience metric that determines visual comfort , image authenticity and premium visual quality — has drawn growing attention across the industry.
Recently, BOE has empowered the launch of the industry’s first flagship high-transparency OLED display panel, setting an industry-leading benchmark in four key dimensions: color, depth , clarity and dynamic range. It ushers high-end display into a new era, shifting from purely numerical technical specifications to ultimate user-centric visual experience.
In addition, BOE officially unveiled its in-depth research achievements on OLED display transparency. It has identified the core underlying factors affecting visual transparency through scientific research, pioneered the industry’s first display transparency index formula, and facilitated the release of the first authoritative evaluation standard for OLED display transparency. This marks an industry’s transformation from specs-oriented to experience-driven development. This marks a full-process breakthrough covering underlying technical analysis, scientifically guided image quality development and mass production application.
At present, the group standard 《Standard of Associations Organic light emitting diode display —Evaluation method for display clarity》, led and formulated by BOE based on relevant research outcomes, has been officially issued. As the world’s first dedicated evaluation standard focusing on OLED display transparency, it fills the long-standing industry gap in correlating subjective visual perception with objective image quality parameters.
Leveraging this standard and transparency research results, BOE has assisted partners in developing the industry’s first flagship high-transparency OLED screen. The company has built a comprehensive technical system for OLED visual transparency. Supported by cutting-edge technologies such as tandem, LTPO and high-precision Demura crosstalk optimization algorithms, BOE and its partners have carried out full-link optimization from display panels to end devices.
Going forward, BOE will continue to deepen research on display human factors engineering and visual experience. Through technological innovation and standard leadership, it will bring more ultimate, high-transparency premium display experiences to users worldwide.
2、BOE Beneficial “Natural” Light Technology (BNL): Solving Visual Health Pain Points and Leading the Display Industry Trend
In an era of ubiquitous displays, users are spending increasingly longer hours on screens. Nevertheless, the luminous properties of conventional displays poorly align with the human visual system, sparking widespread consumer concerns over visual health. To address such challenges, BOE draws inspiration from natural light. By deeply analyzing natural light and extracting beneficial features highly consistent with health and comfort, BOE established the Beneficial “Natural” Light Technology (BNL) architecture. Evolving from single technical upgrades to a systematic solution, BNL replicates the merits of natural light across four core dimensions: Depolarization Adjustment, Spectrum Optimization, Light Profile Optimization and Time-varying Adaptation, advancing display technology toward healthy viewing.
BNL & Visual Health
Depolarization Adjustment: The linearly polarized light of traditional displays causes targeted stimulation to retinal lutein, resulting in dry eyes, eyelid redness and other discomforts. Based on the mainstream Circular Polarization (QWP) solution, BOE BNL has developed a series of technologies like BSF/RDF Random Depolarization technology and un-Polarization，which convert linearly polarized light into randomly polarized light, enabling balanced lutein utilization across the entire visual field, and deliver natural-light-level eye protection.
Spectrum Optimization: Conventional narrow-band RGB spectra feature poor continuity and imbalanced energy distribution, with excessive high-energy blue light that induces eye strain and increases risks of macular damage. Beyond Low Blue Light solutions, BOE BNL has developed Natural-like Spectrum, Beneficial Red Light, Infrared Light and Circadian Rhythm technologies. Multiple clinical studies have verified that Beneficial Red Light and Infrared Light can effectively inhibit axial elongation and accelerate eye microcirculation. BOE takes the lead in integrating such optics into displays，achieving a spectral distribution matching degree of over 60%, an energy ratio of Beneficial Red Light (650–670 nm) exceeding 50%, and independent on/off switching and energy adjustment of Infrared Light. Meanwhile, Circadian Rhythm technology regulates melatonin secretion to safeguard sleep quality. Shifting from passive harm reduction to active eye benefits, BOE BNL delivers all-round visual health protection.
Light Profile Optimization: Conventional screens are prone to surface reflection and glare, which interfere with visual recognition and cause cumulative eye fatigue. Powered by industry-leading Anti-Glare, Low Reflection and Wide Viewing Angle technologies, BOE BNL accurately simulates the diffuse reflection of natural light to deliver consistent visual comfort across diverse viewing angles. For instance, BOE UB Cell technology achieves a DGR value below 5 with negligible glare and reflection, ensuring sustained visual comfort.
Time-varying Adaptation: Conventional displays tend to produce low-frequency flicker and fixed brightness and color temperature that fail to adapt to ambient changes, forcing frequent eye muscle adjustments and leading to discomfort. By adopting Flicker Free and Light Self-adaptive technologies, BOE BNL delivers stable, ultra-smooth visuals that replicate the comfort of natural light.
SID 2026: BOE Launches New BNL Display Products
At SID Display Week 2026, BOE launched new BNL health display products. The highlight product is the industry’s first 13.8-inch BNL health display tablet. It integrates all four core dimensions，supported by 7 core BNL technologies， to deliver a healthy and comfortable visual experience.
As a global leader in the display industry, BOE has led the development and officially issued the world’s first “Natural Light” display standard via the Zhongguancun Standardization Association，and has jointly issued the White Paper on Natural Light Display Technologies (Engineering Considerations, Application Value and Challenges) with TÜV Rheinland to drive standardized and high-quality industrial development. In the future, BOE will continue to iterate on technologies, diversify product forms and application scenarios, advance the grading standards for Beneficial “Natural” Light displays, and protect users’ visual health.
View original content to download multimedia:https://www.prnewswire.com/news-releases/boe-continues-to-launch-new-products-and-solutions-in-the-field-of-high-end-displays-302767491.html
SOURCE BOE Technology Group Co., Ltd.
Technology
BitradeX BXC First Two Subscription Rounds Sell Out, Total Subscriptions Exceed 14M USDT
Published
12 hours agoon
May 9, 2026By
LONDON, May 9, 2026 /PRNewswire/ — BitradeX Capital’s ecosystem equity token, BXC, has completed its first and second subscription rounds, selling a total of 50 million BXC with subscriptions exceeding 14 million USDT. The first round sold out in 90 seconds, while the second closed within 48 hours.
While the fundraising size is not unusually large by crypto standards, the structure of the sale has attracted market attention. The first two rounds were not open to the public, but limited to high-tier BitradeX users. The first round was available only to V5 users and above, while the second round expanded access to V3 users and above.
According to BitradeX’s tier system, V3+ users typically have higher recurring investment activity through AiBot, longer platform usage history, and stronger ecosystem participation. This means the early BXC allocation was absorbed mainly by the platform’s internal high-value user base, rather than short-term speculative participants.
This approach differs from many token fundraising campaigns that prioritize broad public participation and market hype. BitradeX instead adopted a more selective, staged model, gradually lowering the participation threshold while keeping the sale within its active ecosystem community.
BXC is positioned as more than a standard platform token. Its value framework is linked to BitradeX Capital’s broader ecosystem, including its exchange business, AiBot quantitative strategies, BTX Card payments, and Labs incubation platform. Public information indicates that BXC holders may receive staking rewards, benefit from ecosystem buybacks and burns, and gain priority access to Launchpad projects and governance participation.
The third subscription round is launched on April 30 at $0.35 USDT per BXC, with a total supply of 100 million BXC. It is now open to users participating in AiBot recurring investment. The fourth round price is expected to rise to $0.45 USDT.
The long-term value of BXC will ultimately depend on the growth of BitradeX’s underlying businesses, including exchange profitability, AiBot user expansion, and BTX Card adoption. However, the rapid sellout of the first two rounds suggests that BitradeX’s core user base has already shown strong confidence in the ecosystem’s future.
View original content:https://www.prnewswire.com/news-releases/bitradex-bxc-first-two-subscription-rounds-sell-out-total-subscriptions-exceed-14m-usdt-302767467.html
SOURCE BitradeX Capital
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