Prime Allied Limited - Chinese video game publisher NetEase beats earnings target but sales fall

CENTRAL, Hong Kong - Sept. 5, 2023 - PRLog -- The shares of NTES plummeted in early trade.

In the June quarter, the Hangzhou, China-based firm earned an adjusted $1.93 per U.S. share on revenues of $3.3 billion. FactSet surveyed analysts, who predicted NetEase to earn $1.25 per share on $3.41 billion in revenue. NetEase earned an adjusted $1.20 per U.S. share on revenues of $3.41 billion in the prior year.

In the second quarter, video games accounted for 78% of NetEase revenue. NetEase also provides a search engine, streaming music, and other internet services in addition to online and mobile gaming.

"Our consistent second-quarter results reflect our commitment to producing exceptional content across our businesses," stated CEO William Ding in a press statement.

NTES Is A Technology Leader

NTES shares fell 1.7% to 100.89 in premarket trade today on the stock market.

According to IBD MarketSmith charts, NTES stock broke out of a flat base on June 13 at a purchase price of 94.99.

The IBD Tech Leaders list includes NTES stock. According to IBD Stock Checkup, NetEase ranks sixth out of 23 stocks in the Computer Software-Gaming sector category.

Prime Allied Limited (https://prime-allied.com) provides asset management and financial consulting. Prime Allied Limited works with you to create a financial strategy that allows you to actively build, conserve, and diversify your assets.