FEIYU (Feiyu Technology International Company Ltd.) released its audited results for the year ended 31 December 2025, highlighting a sharp turnaround driven by breakout performance in HTML5 titles.
Revenue and Profitability • Revenue jumped 192.8% year on year to RMB 810.24 million, fuelled by strong uptake of the HTML5 hit “Yi Bu Liang Bu” launched in August 2024. • Gross profit climbed 213.7% to RMB 743.97 million, lifting gross margin to 91.8% (2024: 85.7%). • After a RMB 46.15 million loss in 2024, the company reported net profit of RMB 103.34 million. Profit attributable to shareholders reached RMB 105.30 million, translating into basic and diluted EPS of RMB 0.06 (2024: loss per share RMB 0.03).
Revenue Mix • Game-operation income contributed 94.7% of total revenue, up 221.3% to RMB 767.35 million. – HTML5 games delivered RMB 623.13 million, representing 76.9% of total revenue (2024: 32.5%). – Mobile RPG and casual titles generated RMB 51.32 million and RMB 77.17 million respectively. • Advertising revenue rose 35.5% to RMB 33.05 million, while licensing and IP-related income slipped 27.4% to RMB 9.61 million.
Operating Metrics • Average monthly paying users (MPUs) for HTML5 games surged 156.5% to 177,000; ARPPU for the segment more than doubled to RMB 293.7. • Legacy franchises such as “Shen Xian Dao” and “Carrot Fantasy” continued to contribute stable engagement, underpinning cash flows.
Cost Structure • Selling and distribution expenses expanded 193.6% to RMB 470.81 million, reflecting heavier promotion and platform fees for new HTML5 launches. • R&D expenditure increased 26.9% to RMB 86.62 million as the company expanded its development pipeline. • Administrative expenses rose 22.8% to RMB 62.05 million.
Balance Sheet and Cash Flow • Net cash from operating activities reached RMB 139.79 million (2024: outflow of RMB 10.88 million). • Year-end cash and cash equivalents doubled to RMB 221.20 million; net current assets stood at RMB 243.02 million (2024: RMB 71.00 million). • Interest-bearing bank loans declined to RMB 83.50 million, trimming the gearing ratio to 26.2% (2024: 29.0%). • No final dividend was declared.
Strategic Developments • New HTML5 title “Shou Hua San Guo” and PC sequel “Neon Abyss 2” expanded the portfolio, while the company entered VR via “Cat in Town.” • Carrot Fantasy IP commercialisation continued with over 250,000 figurine blind boxes sold. • Dedicated overseas R&D and publishing teams were established to accelerate global casual-game expansion.
2026 Outlook Management expects a more competitive but steadily growing domestic market and will keep focusing on high-quality HTML5 releases and further development of core IP, particularly Carrot Fantasy.
Risk Factors Key exposures include regulatory changes in China’s gaming sector, data privacy requirements, platform dependence and talent retention challenges. The company emphasised ongoing compliance efforts, infrastructure investment and portfolio optimisation to mitigate these risks.
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