China News Service, November 3 (Deng Zhiruo) The new "anti-addiction" regulations have been implemented for more than a year. Is the game company's life easy? The "2022 Third Quarter Game Industry Report" (hereinafter referred to as the "Report") released by
Gamma Data shows that the domestic game market sales revenue in the third quarter of 2022 was 59.703 billion yuan, a month-on-month decrease of 12.61% and a year-on-year decrease of 19.13%, but the month-on-month decrease was slightly narrower than in the second quarter.
On August 30, 2021, the National Press and Publication Administration issued the "Notice on Further Strict Management and Effective Prevent Minors from Being addicted to online games". The new regulations require all online game companies to provide 1 hour service to minors only on Friday, Saturday, Sunday and statutory holidays . The third quarter of 2022 includes the first summer vacation since the implementation of the new anti-addiction regulations. Major game manufacturers have a share of the money this summer vacation, and can get a glimpse of the reality of the situation from the third quarter report.
Sanqi Interactive Entertainment Profit double championship, Gibit Dividend 1 billion
According to Wind data, there are 36 companies in the online gaming sector, and 29 companies with positive net profit in the first three quarters of 2022, accounting for 80.56%. Among them, 19 companies had net profits of more than 100 million yuan, and 4 companies had net profits of more than 1 billion yuan. In addition, 19 companies' revenue in the first three quarters increased by year-on-year, accounting for 52.78%, and 17 companies' revenue declined year-on-year. The net profit of 13 companies increased year-on-year, and the net profit of 23 companies decreased year-on-year, of which Kunlun Wanwei fell by 64.97% year-on-year in the first three quarters.
Kunlun Wanwei said that the decline in net profit was mainly due to the gains and losses in investment, of which investment income decreased by 1.76 billion year-on-year, and the return on changes in fair value decreased by 360 million year-on-year. The net operating profit, which did not consider the gains and losses in investment, increased by 460 million year-on-year, and the increase of to was 175.31%.
Whether in terms of the total revenue and net profit scale in the first three quarters, Sanqi Interactive Entertainment won the championship. In the first three quarters, Sanqi Interactive Entertainment achieved revenue of 11.678 billion yuan, a year-on-year decrease of 3.57%, and a net profit of 2.257 billion yuan, a year-on-year increase of 31.11%.
Regarding the growth of net profit in the first three quarters, Sanqi Interactive Entertainment explained that, first, because the company's main game products were in the promotion period in the same period last year, while the main products in the first three quarters of this year were in the mature recovery period , so the company's net profit and profit margins increased in the first three quarters of this year; second, because the results of refined operation are further highlighted, the vitality of existing products is constantly activated, and domestic and overseas business is simultaneously promoted to promote the steady development of performance.
's revenue scale in the first three quarters was Century Huatong and Chinese Media, with 9.142 billion yuan and 7.7 billion yuan respectively, a year-on-year decrease of 15.24% and an increase of 1.05% respectively. Jibit, a stake in "The Sheep", ranked sixth with revenue of 3.83 billion yuan, an increase of 9.89% year-on-year, and its net profit was 1.012 billion yuan, ranking fourth, a decrease of 16.07% year-on-year.
In the first three quarters, the revenue of Gibit's main games "Ask the Way Mobile Game", "Obi Island: Dream Country" and "Moore Manor" increased year-on-year, of which "Moore Manor" increased by 71.5603 million yuan. Revenue in the PC game " asked " and "Ghost Valley Bahuang (PC version)" and other games declined, while revenue in the "Yinian Xiaoyao (Mainland version)" was basically the same as in the same period in 2021.
It is worth noting that on October 26, Jibit issued an announcement that it plans to pay 140 yuan per 10 shares, with a total of 1.006 billion yuan in cash dividends. The total amount of this dividend is 99.45% of its net profit in the first three quarters.
In addition, for major Internet companies, Tencent and NetEase have not released their third quarter reports. Judging from the second quarter, the money-making ability of IP-type mobile games is still strong. In the second quarter of 2022, Tencent's revenue attributable to the game business was 42.5 billion yuan, of which the revenue of the local and international game markets decreased by 1% respectively; NetEase Games and related value-added services were 18.14 billion yuan, an increase of 15% year-on-year, and the net income from mobile games accounted for 66.1% of the net income of online games.
According to the report, " Honor of Kings ", " Peace Elite " and "Fantasy Westward Journey" firmly sit in the top three mobile game performance estimates in the third quarter of 2022.
China News Service, November 3 (Deng Zhiruo) The new "anti-addiction" regulations have been implemented for more than a year. Is the game company's life easy? The "2022 Third Quarter Game Industry Report" (hereinafter referred to as the "Report") released by
Gamma Data shows that the domestic game market sales revenue in the third quarter of 2022 was 59.703 billion yuan, a month-on-month decrease of 12.61% and a year-on-year decrease of 19.13%, but the month-on-month decrease was slightly narrower than in the second quarter.
On August 30, 2021, the National Press and Publication Administration issued the "Notice on Further Strict Management and Effective Prevent Minors from Being addicted to online games". The new regulations require all online game companies to provide 1 hour service to minors only on Friday, Saturday, Sunday and statutory holidays . The third quarter of 2022 includes the first summer vacation since the implementation of the new anti-addiction regulations. Major game manufacturers have a share of the money this summer vacation, and can get a glimpse of the reality of the situation from the third quarter report.
Sanqi Interactive Entertainment Profit double championship, Gibit Dividend 1 billion
According to Wind data, there are 36 companies in the online gaming sector, and 29 companies with positive net profit in the first three quarters of 2022, accounting for 80.56%. Among them, 19 companies had net profits of more than 100 million yuan, and 4 companies had net profits of more than 1 billion yuan. In addition, 19 companies' revenue in the first three quarters increased by year-on-year, accounting for 52.78%, and 17 companies' revenue declined year-on-year. The net profit of 13 companies increased year-on-year, and the net profit of 23 companies decreased year-on-year, of which Kunlun Wanwei fell by 64.97% year-on-year in the first three quarters.
Kunlun Wanwei said that the decline in net profit was mainly due to the gains and losses in investment, of which investment income decreased by 1.76 billion year-on-year, and the return on changes in fair value decreased by 360 million year-on-year. The net operating profit, which did not consider the gains and losses in investment, increased by 460 million year-on-year, and the increase of to was 175.31%.
Whether in terms of the total revenue and net profit scale in the first three quarters, Sanqi Interactive Entertainment won the championship. In the first three quarters, Sanqi Interactive Entertainment achieved revenue of 11.678 billion yuan, a year-on-year decrease of 3.57%, and a net profit of 2.257 billion yuan, a year-on-year increase of 31.11%.
Regarding the growth of net profit in the first three quarters, Sanqi Interactive Entertainment explained that, first, because the company's main game products were in the promotion period in the same period last year, while the main products in the first three quarters of this year were in the mature recovery period , so the company's net profit and profit margins increased in the first three quarters of this year; second, because the results of refined operation are further highlighted, the vitality of existing products is constantly activated, and domestic and overseas business is simultaneously promoted to promote the steady development of performance.
's revenue scale in the first three quarters was Century Huatong and Chinese Media, with 9.142 billion yuan and 7.7 billion yuan respectively, a year-on-year decrease of 15.24% and an increase of 1.05% respectively. Jibit, a stake in "The Sheep", ranked sixth with revenue of 3.83 billion yuan, an increase of 9.89% year-on-year, and its net profit was 1.012 billion yuan, ranking fourth, a decrease of 16.07% year-on-year.
In the first three quarters, the revenue of Gibit's main games "Ask the Way Mobile Game", "Obi Island: Dream Country" and "Moore Manor" increased year-on-year, of which "Moore Manor" increased by 71.5603 million yuan. Revenue in the PC game " asked " and "Ghost Valley Bahuang (PC version)" and other games declined, while revenue in the "Yinian Xiaoyao (Mainland version)" was basically the same as in the same period in 2021.
It is worth noting that on October 26, Jibit issued an announcement that it plans to pay 140 yuan per 10 shares, with a total of 1.006 billion yuan in cash dividends. The total amount of this dividend is 99.45% of its net profit in the first three quarters.
In addition, for major Internet companies, Tencent and NetEase have not released their third quarter reports. Judging from the second quarter, the money-making ability of IP-type mobile games is still strong. In the second quarter of 2022, Tencent's revenue attributable to the game business was 42.5 billion yuan, of which the revenue of the local and international game markets decreased by 1% respectively; NetEase Games and related value-added services were 18.14 billion yuan, an increase of 15% year-on-year, and the net income from mobile games accounted for 66.1% of the net income of online games.
According to the report, " Honor of Kings ", " Peace Elite " and "Fantasy Westward Journey" firmly sit in the top three mobile game performance estimates in the third quarter of 2022.
The progress of product launch of multiple companies is affected
For game companies, game products have a certain life cycle , which are generally divided into investment period, growth period, maturity period, and recession period. When the new game was first listed, it was an investment period, and the company needed to increase advertising investment to open up the market; after entering the growth stage, the number of registered people grew rapidly, and the company's profits continued to increase; when entering the mature stage, the number of new accounts decreased and the revenue was stable; during the recession period, the number of new accounts, active accounts, and revenue will continue to decrease.
Sanqi Interactive Entertainment's main products were in a mature recovery period in the first three quarters of this year. At the same time, "Little Ant Country" was released in September 2022 and achieved good operating income. However, Sanqi Interactive Entertainment stated that this year, due to factors such as product launch progress, the newly launched key game products in the domestic market have decreased compared with the same period last year, while existing products gradually entered the mature stage or the middle and late stages of the product life cycle in 2022, resulting in a decline in revenue in the third quarter compared with the same period in 2021, while profit also declined.
Perfect World said in the performance forecast that some games are affected by their life cycle, and their turnover has declined compared with the third quarter of 2021. Youzu Network also pointed out that the decline in revenue in the third quarter was mainly affected by factors such as the delay in product launch.
Guosen Securities Research report on October 25 stated that key game companies are affected by product cycles in the short term, and the performance of Perfect World and Sanqi Interactive Entertainment in the third quarter is slightly under pressure, and it is expected that there will be improvements in the fourth quarter of 2022 and the first quarter of 2023.
Dongwu Securities research report pointed out that the poor performance of mobile games in the third quarter was the main reason for the weak market growth. During the same period, the domestic mobile game market sales revenue was 41.643 billion yuan, a month-on-month decrease of 16.79% and a year-on-year decrease of 24.93%, a decrease of higher than the overall industry.
Games go overseas and continue to be under pressure
New products may bring new vitality
Game market research agency Sensor Tower released a report that in the third quarter of 2022, global mobile game market revenue decreased by 12.7% year-on-year, player payments shrank, and the overall revenue scale was US$19.3 billion. The report analyzed that due to this, overseas market revenue has shown a downward trend for four consecutive quarters.
CICC said that the actual revenue of China's self-developed games overseas market in the third quarter was US$4.3 billion, a year-on-year and month-on-month decrease of 14% and 4% respectively. This is mainly due to the decline in the sales of some leading products, but overseas products such as " Fantasy Tower " and "Stock Special Attack Team" still have highlights worth paying attention to.
Huan Securities Research report on September 29 stated that the competitive landscape of overseas mobile games market is relatively long-tail , the domestic game market is relatively concentrated, and the top foreign competitors are also relatively scattered. The best winners in the fierce competitive environment of the domestic market have great hopes to achieve "domestic substitution of the game industry and overtaking in the overseas market through game products overseas."
Sanqi Interactive Entertainment stated in its third quarter report that key products such as "Baye" are expected to be released in the next quarter. Perfect World said that many games such as mobile game products "Tianlong Bazi 2", "One Punch Man: World", "Perfect New World", "Zhu Xian 2", and PC game products " Zhu Xian World ", "Perfect New World" are actively being promoted, and several of them are planned to start testing in the near future.
However, as November approaches, the official website of the State Administration of Press and Publication has not released the list of approvals for the new batch of online game version number that should have been announced in October. We still need to pay attention to when this version will be issued and what the subsequent impact will be.
CICC believes that from the supply side, the number of new games is still relatively in short supply during the quarter and the scale of new games is limited. From the demand side, users' demand for games still exists, but their payment ability and willingness have weakened under the influence of a relatively complex external environment. In the short term, the industry is in a platform period due to external environment and internal optimization and adjustment of the industry, but the overall level of leading manufacturers is stable. It is recommended to continue to pay attention to the upward elasticity of fundamentals brought about by the launch of new products. (For more clues about reporting, please contact the author of this article Deng Zhiruo: [email protected])( China News Service APP)
(The views in the article are for reference only and do not constitute investment advice. Investment is risky, so be cautious when entering the market.)
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Editor in charge: Luo Kun
)All rights reserved by China News Service. No company or individual may reproduce, excerpt or use it in other ways without written authorization.
Editor in charge: Luo Kun
