Huya, a live streaming platform for games in China, announced its third-quarter financial report on Tuesday, showing its total net revenue reaching 2.976 billion ($461.8 million), up 5.7% year-on-year. Non-GAAP net income attributable to Huya was 180 million yuan for the third quarter of 2021, compared with 361.2 million yuan for the same period of 2020.
In terms of domestic user data, the average mobile MAUs of Huya Live in the third quarter increased by 14.7% to 85.1 million.
In terms of revenue composition, in the third quarter of 2021, live streaming revenues decreased by 2.1% to 2.6 billion yuan, while advertising and other revenues increased by 137.1% to 374 million yuan, primarily driven by revenue derived from the licensing of content.
After the financial report was released, Dong Rongjie, CEO of Huya, said on the company’s conference call: “The strong user growth is mainly due to our large amount of quality content, operational activities and continuous promotion in the summer months. At the same time, the retention rate of Huya‘s mobile live-streaming stabilized at over 70% in the third quarter.”
Facing the ever-changing business environment, Dong believes that strengthening Huya‘s competitive advantage is very important for the company. He added, “This is mainly to cultivate and reserve e-sports live-streaming talent, produce high-quality content, and promote technology and product innovation.”
In the third quarter of 2021, although the scheduling of some key competitions were postponed, more content was added to Huya‘s platform compared to last year. In this quarter, Huya hosted the live streaming events of 58 self-made e-sports competitions and entertainment programs, with a total viewership reaching 142 million viewers, an increase of 40% over the same period last year.
In terms of the company’s overseas business expansion, in the third quarter of 2021, the MAU of Nimo TV, an overseas product of Huya, rose to over 28 million. With the formation of deeper relationships with local content providers and game manufacturers, the number of overseas users of Huya continues to increase. On a year-on-year basis, overseas income has recorded an increase of over 200%.
The most notable event to happen to Huya this past year is a strategic move blocked by authorities. In July, China’s market regulator blocked tech giant Tencent’s merger of Huya and Douyu, two videogame streaming platforms. The merger would have strengthened Tencent’s dominance in this market, which, regulators say, is not conducive to fair competition and the interests of consumers.