According to a report by CICC, Netease's revenue for the next quarter is expected to increase by 6% year-on-year and decrease by 6% quarter-on-quarter, reaching 25.3 billion yuan, while the market expectation is 26.1 billion yuan. Non-GAAP net income is expected to decline by 16% and 11% year-on-year and quarter-on-quarter to 7.6 billion yuan, while the market expectation is 7.93 billion yuan, with a high base due to the existence of 1.47 billion yuan in exchange gains in the same period last year.

The report pointed out that the performance of Netease's new games in the third quarter is impressive, and may resume quarter-on-quarter growth. The mobile game "Endless Hegemony" has an expected user scale after going online, and it is expected to leverage high DAU products to generate revenue and extend the company's capabilities. Considering the previous delay in the launch of the PC version of "Yan Yun Sixteen Sounds", the bank slightly lowered the Non-GAAP net income by 2% each to 32.7 and 36.4 billion yuan. The bank maintains its "outperform the industry" rating and target price of HKD 206.