BEIJING, April 23, 2026 /PRNewswire/ -- Scienjoy Holding Corporation ("Scienjoy", the "Company", or "we") $(SJ)$, a leader in interactive entertainment in China, today announced its financial results for the year ended December 31, 2025.
Fiscal Year 2025 Operating and Financial Summaries
-- Total revenues decreased to RMB1,241.6 million (US$177.5 million) for the
year ended December 31, 2025 from RMB1,363.4 million for the year ended
December 31, 2024.
-- Gross profit decreased to RMB227.2 million (US$32.5 million) for the year
ended December 31, 2025 from RMB245.4 million for the year ended December
31, 2024.
-- Loss from operations was RMB78.9 million (US$11.3 million) for the year
ended December 31, 2025, as compared to an income from operations of
RMB40.7 million for the year ended December 31, 2024.
-- Net loss was RMB595.0 million (US$85.1 million) for the year ended
December 31, 2025, as compared to a net income of RMB26.7 million for the
year ended December 31, 2024.
-- Net loss attributable to the Company's shareholders was RMB587.1 million
(US$84.0 million) for the year ended December 31, 2025, as compared to a
net income attributable to the Company's shareholders of RMB39.7 million
for the year ended December 31, 2024.
-- Adjusted net loss attributable to the Company's shareholders was RMB579.6
million (US$82.9 million) for the year ended December 31, 2025, as
compared to adjusted net income attributable to the Company's
shareholders of RMB50.3 million for the year ended December 31, 2024.
-- As of December 31, 2025, the Company had cash and cash equivalent balance
of RMB307.7 million (US$44.0 million), which represented an increase of
RMB55.1 million from RMB252.5 million as of December 31, 2024.
Note on Net Loss for Fiscal Year 2025
The net loss of RMB595.0 million (US$85.1 million) reported for the year ended December 31, 2025 was primarily driven by several major non-cash accounting items amounting to RMB712.3 million (US$101.9 million) that had no impact on the Company's cash and liquidity position or its ability to continue as a going concern. These major items include provisions for credit losses, impairment of goodwill and intangible assets.
Mr. Victor He, Chairman and Chief Executive Officer of Scienjoy, commented, "2025 was a year of continued execution and strategic progress for Scienjoy. Our live streaming business, given our recent global expansion, continues to be profitable which demonstrates the resilience of our core operations. At the same time, we are accelerating our AI strategy. Building on our AIGC foundation with AI Vista, we are expanding into agentic AI with AI Vista Live!, which serves both B2C and B2B markets. AI Vista enables real-time, interactive AI performers for consumers while also providing scalable enterprise solutions across multiple industries. Supported by strong underlying financial performance and a solid cash position, we are well positioned for future growth and deliver long-term value to our shareholders."
Mr. Denny Tang, Chief Financial Officer of Scienjoy, added, "In the fourth quarter of 2025, we conducted a review of our assets and recorded certain non-cash impairment provisions which did not impact our core operations or cash flow. Apart from these accounting effects, we believe our business remains strong, supported by our core operations and continued Average Revenue Per Paying User (ARPPU) growth. Additionally, our cash and cash equivalents increased by 21.8% during the year, reflecting our operationally-driven capability to sustain on-going business operations and support planned expansion. With a healthy balance sheet, we are well positioned to support continued investment in AI innovation and global expansion."
Fiscal Year 2025 Financial Results
Total revenues decreased to RMB1,241.6 million (US$177.5 million) for the year ended December 31, 2025 from RMB1,363.4 million for the year ended December 31, 2024 primarily caused by a decrease of paying users due to the increasing competitive landscape of China's mobile live streaming market. Total paying users were 383,695 for the year ended December 31, 2025, compared to 494,652 for the year ended December 31, 2024.
Cost of revenues decreased to RMB1,014.5 million (US$145.1 million) for the year ended December 31, 2025 from RMB1,117.9 million for the year ended December 31, 2024. The decrease was primarily attributable to a decrease of RMB128.3 million in the Company's revenue sharing fees, offset by an increase of RMB23.4 million in the Company's user acquisition costs.
Gross profit decreased to RMB227.2 million (US$32.5 million) for the year ended December 31, 2025 from RMB245.4 million for the year ended December 31, 2024. Gross margins increased to 18.3% for the year ended December 31, 2025 from 18.0% in the year ended December 31, 2024 due to higher average live streaming revenue per paying user ("ARPPU") during the year ended December 31, 2025, demonstrating the Company's effectiveness in converting high-quality paying user to its profit growth.
Total operating expenses increased by 49.5% to RMB306.1 million (US$43.8 million) for the year ended December 31, 2025 from RMB204.7 million for the year ended December 31, 2024.
-- Sales and marketing expenses decreased to RMB6.4 million (US$0.9 million)
for the year ended December 31, 2025 from RMB7.0 million for the year
ended December 31, 2024, primarily attributable fewer sales and marketing
activities.
-- General and administrative expenses increased by 16.1% to RMB89.0 million
(US$12.7 million) for the year ended December 31, 2025 from RMB76.6
million for the year ended December 31, 2024. The increase was primarily
due to an increase of RMB12.4 million in professional consulting fees.
-- Research and development expenses decreased to RMB83.4 million (US$11.9
million) for the year ended December 31, 2025 from RMB90.5 million for
the year ended December 31, 2024, due to a decrease of RMB9.0 million in
employee salary and welfare and a decrease of RMB1.3 million in
share-based compensation, offset by an increase of RMB4.1 million in
technical service fee.
-- Provision for credit losses increased by 316.2% to RMB127.3 million
(US$18.2 million) for the year ended December 31, 2025 from RMB30.6
million for the year ended December 31, 2024. Given the regulatory and
tax policy changes in China for the livestreaming industry starting in
the second half of the financial year ended 2025 and increasing credit
risk of our third-party virtual currency distributors in the
livestreaming industry, we provided additional allowances for credit
losses for third-party virtual currency distributors we deem as high risk
and with delinquent accounts. As a result, our provision for credit loss
increased to RMB127.3 million (US$18.2 million) for the year ended
December 31, 2025 from RMB30.6 million for the year ended December 31,
2024. The facts and circumstances of each third-party virtual currency
distributors account may require the Company to use substantial judgment
in assessing its collectability. The Company will continue to
periodically review allowances and make necessary adjustments
accordingly.
Loss from operations was RMB78.9 million (US$11.3 million) for the year ended December 31, 2025, as compared to an income from operations of RMB40.7 million for the year ended December 31, 2024.
Change in fair value of investment in marketable security was a loss of RMB29.1 million (US$4.2 million) for the year ended December 31, 2025, as compared to a gain of RMB6.1 million for the year ended December 31, 2024. The change was attributable to the fair value changes in investments in publicly traded companies.
Investment income increased to RMB8.7 million (US$1.2 million) for the year ended December 31, 2025, as compared to investment loss of RMB5.7 million for the year ended December 31, 2024. The increase in investment income was attributable to share of unrealized gain in long-term investments.
Impairment of long-term investments was nil for the year ended December 31, 2025, as compared to RMB10.4 million for the year ended December 31, 2024.
Interest income decreased to RMB1.7 million (US$0.2 million) for the year ended December 31, 2025 from RMB3.2 million for the year ended December 31, 2024. The decrease was primarily due to a lower interest rate environment relative to previous periods.
Impairment for goodwill During the fourth quarter of 2025, as a part of its annual impairment assessment, the Company assessed its internal forecast along with several events and circumstances that could affect the significant inputs used to determine the fair value of the Company's reporting unit, including the significance of the amount, if any, of excess carrying value over fair value, consistency of the Company's current and forecasted operating margins and cash flows, budgeted-to-actual performance, timing of the expected effects of the Company's strategic initiatives, overall change in economic climate, changes in the industry and competitive environment, changes to the Company's risk-adjusted discount rates and earnings quality and sustainability. After considering all available evidence in the evaluation of goodwill impairment indicators including but not limited to regulatory and tax policy changes in China for the livestreaming industry starting in the second half of 2025, a significant decrease in paying users for the year ended December 31, 2025, and a continuous decline in the Company's operating income during the second half of 2025, the Company determined it appropriate to perform the quantitative assessment of the Company as of December 31, 2025. The quantitative impairment test involves the use of
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