China's iQIYI Q2 net loss widens on higher income tax expense

IQIYI

18/08/2026 10:12

Overview
China online video provider's Q2 revenue fell 5% yr/yr
Net loss widened in Q2, mainly due to increased income tax expense
Company repurchased 21.8 mln ADSs under share buyback program

Outlook
Company did not provide specific financial guidance for the current or future periods in the press release

Result Drivers
INCOME TAX EXPENSE - Net loss widened mainly due to increased income tax expense relating to adjustments at a Chinese mainland subsidiary
CONTENT DISTRIBUTION REVENUE - Content distribution revenue increased 56% yr/yr, mainly driven by higher cash transactions
MARKETING SPENDING - Selling, general and administrative expenses fell 22% yr/yr, mainly due to disciplined marketing spending

Company press release: ID:nGNXLxBJr

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
 
RMB 6.29 bln
 
Q2 Adjusted Net Loss
 
RMB 209.70 mln
 
Q2 Net Loss attributable to Company
 
RMB 287.50 mln
 
Q2 Adjusted Operating Income
 
-RMB 30.30 mln
 
Q2 Operating Income
 
-RMB 104.80 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 8 "strong buy" or "buy", 10 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the online services peer group is "buy"
Wall Street's median 12-month price target for iQIYI Inc is $1.49, about 12% above its August 17 closing price of $1.33
The stock recently traded at 560 times the next 12-month earnings vs. a P/E of 50 three months ago

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For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)