Due to the decline in revenue of three core old games, g-bits network technology's revenue and net income in the first half of the year decreased year-on-year. In terms of product structure, the operating income of products worth 10-30 billion yuan were 401/1288/60 million yuan respectively.
On August 15, FINET reported that due to the decline in revenue of three core old games, g-bits network technology's performance in the first half of the year declined. However, due to the launch of new games, overseas revenue increased by 113.77% year-on-year. Considering that the company and its subsidiary Thunder Games have won a total of 7 domestic game licenses in the past two license announcement lists, industry insiders believe that multiple reserve products are expected to be launched in the second half of the year.
Today, g-bits network technology released the 2024 semi-annual report, achieving revenues of 1.96 billion yuan in the first half of the year, a year-on-year decrease of 16.57%; achieving a net income attributable to the parent company of 0.518 billion yuan, a year-on-year decrease of 23.39%.
G-bits network technology's revenue mainly comes from three self-developed games: "Wen Dao" PC game, "Wen Dao Mobile" and "Yi Nian Xiao Yao (Mainland Version)". The combined revenue of these three old games in the first half of the year was 2.123 billion yuan. According to the financial report, the revenue of "Wen Dao" PC game increased by 16.31% year-on-year in the first half of the year, while the revenue of "Wen Dao Mobile" and "Yi Nian Xiao Yao (Mainland Version)" decreased by 14.66% and 54.81% year-on-year, respectively.
In the first half of the year, investment in "Wen Dao Mobile" and "Yi Nian Xiao Yao (Mainland Version)" was correspondingly reduced. The financial report shows that g-bits network technology's sales expenses in the first half of the year were 0.538 billion yuan, a year-on-year decrease of 16.46%. The company stated that this was mainly due to the decrease in investment in the release of two games compared with the same period of the previous year.
In terms of new games, "Fly Dragon Knight (Mainland Version)" launched in August last year, as well as "Chao Jin Hua Wu Tu 2" and "Pika Tang's Dream Origin" launched at the end of last year, contributed to the incremental revenue and profit in the first half of this year. G-bits network technology revealed that the new games launched in the first half of this year, "Immortal Family", "Shen Zhou Thousand Food House", and "One Piece: Dream Pointing", contributed to the incremental revenue compared with the same period of the previous year, but have not yet achieved profitability.
The significant growth of g-bits network technology's overseas revenue in the first half of this year was noted by FINET reporters. According to the financial report, overseas revenue for the first half of this year was 0.255 billion yuan, a year-on-year increase of 113.77%. G-bits network technology stated that this was mainly due to the launch of "Fly Dragon Knight (Overseas Version)", "Monster Never Cry (European and American Version)" and "Outpost: Infinity Siege (Steam International Version)". Considering research and development costs, as of the end of this reporting period, the overall overseas game business has not yet generated profits.
An industry insider told the FINET reporter that g-bits network technology's overall performance in the first half of the year met expectations, and considering that the company has obtained multiple licenses in the middle of the year, reserve projects are expected to be launched in the second half of the year.
FINET reporters found that in June and July of this year, g-bits network technology and its subsidiary Thunder Game won a total of 7 domestic game licenses such as "Zhang Jian Chuan Shuo" and "Wen Jian Chang Sheng". Among them, "Wen Jian Chang Sheng" has attracted more attention. This game is a self-developed M72 project of g-bits network technology, which is a game of immortality with gameplay similar to "Yi Nian Xiao Yao".
At the same time as the financial report was released, g-bits network technology announced the profit distribution plan for the first half of the year, proposing to distribute a cash dividend of 45 yuan (tax inclusive) per 10 shares, with a total proposed cash dividend of 0.323 billion yuan (tax inclusive), accounting for 62.36% of the company's net profit attributable to the parent company in the first half of the year.