China's Zengame H1 revenue rises 13% on higher player monetisation
China's Zengame H1 revenue rises 13% on higher player monetisation
Overview
China mobile game developer's revenue rose 13.4% yr/yr for six months to June 2026
Net profit attributable to shareholders fell 7.8% yr/yr for the interim period
Company cites steady flagship game performance and overseas growth for revenue increase
Outlook
Company aims to expand presence in overseas markets to increase overseas market share
Zengame plans to increase investment in AI technologies and innovation opportunities
Company will focus on frequent iterations and optimizations to support long-term operations
Result Drivers
HIGHER PLAYER MONETISATION – Revenue rose 13.4% to RMB804.5 mln, driven by more paying users in card and board games and higher average revenue per paying user (ARPPU)
PROMOTION SPENDING – Selling and distribution expenses rose 64.9% to RMB120.4 mln, primarily due to higher advertising and promotion expenses
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
H1 Revenue |
| RMB 804.47 mln |
|
H1 Net Income Attributable |
| RMB 168.6 mln |
|
Analyst Coverage
The stock recently traded at 3 times the next 12-month earnings vs. a P/E of 3 three months ago
Reuters Recommended Reads
Aug 26 - China's Changyou Alliance H1 revenue declines as partners curb point usage
Aug 26 - Swedish gaming firm Fragbite's Q2 hit by project delays, user acquisition costs
Aug 26 - China's SenseTime interim revenue rises 23% on overseas expansion
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.)
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