iDreamSky Technology Holdings Limited released audited results for the year ended 31 December 2025.
Financial highlights • Revenue fell 11.6% year-on-year to RMB 1.34 billion, mainly on a 17.6% decline in game revenue to RMB 1.20 billion as legacy title “Glory All Stars” matured and several low-margin projects were closed. • Gross profit rose 24.7% to RMB 532.40 million; gross margin expanded to 39.8% (2024: 28.2%) on a higher contribution from self-developed titles and lower channel and revenue-share costs. • Net profit reached RMB 19.92 million, reversing a RMB 544.60 million loss in 2024. Adjusted profit stood at RMB 200.97 million versus a RMB 30.32 million adjusted loss a year earlier. • EBITDA turned positive at RMB 166.15 million (2024: negative RMB 406.92 million); adjusted EBITDA increased to RMB 314.37 million from RMB 56.37 million.
Cost structure and operating expenses • Cost of revenues declined 25.9% to RMB 805.69 million, lowering the cost ratio to 60.2%. • Selling and marketing expenses rose 18.2% to RMB 232.15 million, reflecting launches and promotion for the PC and mobile versions of “Strinova”. • General and administrative expenses dropped 25.3% to RMB 94.47 million; research and development expenses halved to RMB 82.94 million as AI tools improved efficiency and “Strinova” moved past peak development. • Impairment charges on financial assets, investments and intangibles decreased sharply to RMB 106.91 million (2024: RMB 301.20 million). • Net finance costs fell to RMB 56.14 million, aided by lower interest rates.
Segment performance • Game revenue contributed 89.6% of total turnover. • Information service revenue, including advertising and technical services, surged to RMB 136.45 million (2024: RMB 49.55 million), boosted by improved ad-tech and customised AI solutions.
Cash flow and balance sheet • Cash and cash equivalents stood at RMB 187.91 million, down 4.6% year-on-year. • Total borrowings were RMB 1.02 billion; gearing ratio improved to 62.1% (2024: 75.0%). • Current ratio edged up to 0.96 from 0.90. • Capital expenditure fell 35.8% to RMB 173.90 million.
Capital market activity • A May 2025 share placing raised net proceeds of HKD 70.19 million, fully applied to global multi-platform development and marketing of “Strinova”. • Two royalty-fee capitalisations in August and October 2025 issued a combined 204.53 million new shares, offsetting USD 28.49 million of royalties owed to PLR Worldwide Sales Limited. • An October 2025 subscription placed 69.78 million shares, generating net proceeds of HKD 76.33 million, now fully deployed for game operations, promotion and working capital.
Dividend No final dividend was proposed for FY2025.
Outlook statements in the announcement emphasised continued execution of the “overseas high-quality publishing + self-development” dual-engine strategy, deeper AI integration across the product cycle, and disciplined cost control to sustain profitability.
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