NetEase sees net revenues rise 13% rise in Q2

Chinese internet and online game giant NetEase Inc reported on Thursday 23.2 billion yuan ($3.5 billion) in net revenues during the second quarter of this year, an increase of 12.8 percent year-on-year.

The expenditure on research and development stood at 3.6 billion yuan in the April-June period, accounting for 15 percent of the company’s total revenue, according to the quarterly financial report. NetEase has invested more than 35 billion yuan in R&D in the past three years.

Games and related value-added services net revenues came in at 18.1 billion yuan during the quarter ending in June, up 15.0 percent from a year ago. Cloud Music, the music streaming arm of NetEase, saw its net revenues rise 29.5 percent on a yearly basis to 2.2 billion yuan.

However, Youdao, an intelligent learning firm under NetEase, posted 956.2 million yuan in net revenue, down 26.1 percent year-on-year.

fanfeifei@chinadaily.com.cn