NetEase, Inc. (NTES) Form 6-K — Aug 20, 2026
NetEase reported second quarter 2026 net revenues of RMB30.1 billion (US$4.4 billion), up 7.9% year over year, led by games and related value-added services revenue of RMB25.0 billion, up 9.7%, on strength in the Fantasy Westward Journey franchise and Where Winds Meet. Net income attributable to shareholders fell to RMB7.0 billion (US$1.0 billion) from RMB8.6 billion a year earlier, as a RMB2.95 billion net investment loss, impairment provisions and an effective tax rate that jumped to 25.5% from 14.7% offset 17.5% growth in gross profit. Non-GAAP net income was RMB7.7 billion (US$1.1 billion), with basic EPS of US$0.32 per share (US$1.61 per ADS).
Key figures
- Eps
- US$0.32 basic per share (US$1.61 per ADS); non-GAAP US$0.36 per share (US$1.78 per ADS)
- Revenue
- RMB30.1 billion (US$4.4 billion)
- Net Income
- RMB7.0 billion (US$1.0 billion)
- Revenue Yoy
- +7.9%
- Total Assets
- RMB232.2 billion (US$34.2 billion)
- Cash Position
- RMB22.8 billion cash and cash equivalents; company-defined net cash of RMB167.5 billion (US$24.7 billion)
- Q2 Buybacks
- US$324.1 million for ~2.8 million ADSs (14.0 million ordinary shares)
- Gross Profit Q2
- RMB21.2 billion (US$3.1 billion), +17.5% YoY
- Games Revenue Q2
- RMB25.0 billion (US$3.7 billion), +9.7% YoY
- Youdao Revenue Q2
- RMB1.5 billion (US$216.2 million), +3.5% YoY
- Q2 Dividend Per ADS
- US$0.480 (record date September 3, 2026; payable mid-September)
- Cumulative Buybacks
- 24.9 million ADSs for US$2.3 billion under US$5.0 billion program extended to January 9, 2029
- Effective Tax Rate Q2
- 25.5% vs 14.7% in Q2 2025
- Non Gaa PNet Income Q2
- RMB7.7 billion (US$1.1 billion) vs RMB9.5 billion in Q2 2025
- Cloud Music Revenue Q2
- RMB2.0 billion (US$291.4 million), stable YoY
- Net Investment Loss Q2
- RMB2.95 billion (vs RMB328 million income in Q2 2025)
- Operating Cash Flow Q2
- RMB10.0 billion (US$1.5 billion)
- Operating Expenses Q2
- RMB9.1 billion (US$1.3 billion), +1.5% YoY
- Weighted Avg Shares Basic Q2
- 3,203,046 thousand ordinary shares
- Innovative Businesses Revenue Q2
- RMB1.6 billion (US$241.6 million), -3.5% YoY
AI analysis
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