Gathering time value-added services revenue rose 165% year-on-year increase in pay users

Beijing time March 5 Morning news, gathered time today released the end of the 2013 fiscal year ended December 31, the quarter and the full year earnings. The report showed that net revenue for the quarter was 612.3 million yuan (about 101.1 million U.S. dollars), up from a 129.5% increase over the same period last year, exceeding last quarter's forecast. Among them, revenue from Internet value-added services (including revenue from online gaming, yy music and other sources including affiliate programs) was 568.9 million yuan (about 94 million U.S. dollars), up 144.1% from 233 million yuan a year earlier.

According to the fourth-quarter earnings, the net profit for the quarter was 192 million yuan (about 31.7 million U.S. dollars), which grew by 477.9% from the 33.2 million yuan in the same period last year.

The growth of Internet value-added services revenue in the quarter of the gathering period mainly reflects the growth of the number of paid users and the average income per user. Thanks to YY Platform's real-time interaction and social capabilities, the gathering era has been expanding the active users of the online activities of diversity and interactivity.

YY music service continues to sustain growth momentum in the period following the end of happy male. In the third quarter, "Happy boys" ended, the user activity almost did not fall, the gathering Times said. The number of paid subscribers to the online music and entertainment business rose 165.3% to 902,000 in the same period last year, with average income per user rising 19.6% from the same period last year to 373 yuan.

Also thanks to the growth of paid users, and YY's strategy of developing online games based on live video, it keeps its revenue growth in the competitive gaming arena.

According to the fourth-quarter earnings, the revenue from online gaming in the gathering era was 162.8 million yuan (about 26.9 million U.S. dollars), up 66.1% per cent from the 98 million yuan in the same period last year. Online games average revenue per user grew 41.4% from the same period last year to 376 yuan, with a total of 433,000 paid subscribers, up 17.7% from a year earlier. The total number of online games in the quarter of the gathering was 126, compared with 73 last year. Revenues from live gaming were 20.6 million yuan (about 3.4 million U.S. dollars), a big increase compared with the 700,000 yuan in the same period last year.

According to the gathering time CEO Lee Colling introduced, YY through a series of highly participatory and diverse group entertainment events and activities, not only promote the user participation and expenditure increase, but also enhance the company platform user stickiness.

Looking ahead, Lee Colling believes the era of gathering will commercialize existing user traffic by further penetrating online entertainment, live broadcasting, education and other vertical industries.

On February 25, the gathering era launched the online education platform 100.com. The management said the next 2 years will be in the education field of product development and operation of the investment of more than 1 billion yuan, including the introduction of iOS and Android version of education applications.

He Zhenyu, CFO of the gathering era, said YY will be able to tap into a more profitable platform by expanding and diversifying its entertainment and educational services.