Perfect World Announces Second Quarter 2012 Unaudited Financial Results

Posted on 2012-08-28 14:53:47 BJT, by Perfect World

Perfect World Announces Second Quarter 2012 Unaudited Financial Results

Second Quarter 2012 Highlights

  • Total revenues were RMB676.4 million (USD106.5 million), as compared to RMB718.5 million in 1Q12 and RMB779.6 million in 2Q11.
  • Gross profit was RMB549.8 million (USD86.5 million), as compared to RMB591.4 million in 1Q12 and RMB665.9 million in 2Q11.
  • Operating profit was RMB155.2 million (USD24.4 million), as compared to RMB234.8 million in 1Q12 and RMB320.4 million in 2Q11.  Non-GAAP operating profit was RMB172.5 million (USD27.1 million), as compared to RMB256.6 million in 1Q12 and RMB348.0 million in 2Q11.
  • Net income attributable to the Company's shareholders was RMB158.2 million (USD24.9 million), as compared to RMB209.8 million in 1Q12 and RMB316.6 million in 2Q11.  Non-GAAP net income attributable to the Company's shareholders was RMB175.5 million (USD27.6 million), as compared to RMB231.6 million in 1Q12 and RMB344.3 million 2Q11.
  • Basic and diluted earnings per American Depositary Share ("ADS") were RMB3.28 (USD0.52) and RMB3.25 (USD0.51), respectively, as compared to RMB4.52 and RMB4.38, respectively, in 1Q12, and RMB6.30 and RMB5.98, respectively, in 2Q11.  Non-GAAP basic and diluted earnings per ADS were RMB3.64 (USD0.57) and RMB3.60 (USD0.57), respectively, as compared to RMB4.99 and RMB4.83, respectively, in 1Q12, and RMB6.86 and RMB6.50, respectively, in 2Q11.
  • In April 2012, the Company distributed a cash dividend of approximately USD98 million to its shareholders.

Mr. Michael Chi, Chairman and Chief Executive Officer of Perfect World, said, "Our second quarter results were in line with our previous expectations.  During the quarter, as part of our consistent efforts to maintain healthy life cycles for our existing games, we continued to work on expansion packs and content enhancements.  At the same time, we remained focused on further strengthening our deep and diversified pipeline."

"Recently, we unveiled a new 3D MMORPG, 'Legend of the Condor Heroes,' which is currently under development in our pipeline.  This title is adapted from one of Louis Cha's most famous martial arts novels.  Another game we adapted from Louis Cha's acclaimed marital arts novel of the same name, 'Return of the Condor Heroes,' is scheduled for launch soon this year.  With these and other exciting titles in our pipeline, including the highly-anticipated MMORPGs, 'Swordsman Online' and 'Saint Seiya Online,' we are looking forward to providing more exciting entertainment to our gamers worldwide."

"I am pleased to announce that, in order to further enhance our execution capabilities, we have decided to create a new senior management position, Co-CEO, and promote our Chief Operating Officer, Mr. Robert Hong Xiao, to this new leadership position.  In his new role, Robert will primarily focus on the execution of our business strategies through further enhancing the effectiveness and efficiency our operations.  I will remain the Chairman of the Board of Directors while taking the new Co-CEO position, and primarily focus on setting strategic directions for Perfect World to capture new growth opportunities in this fast-changing industry."

"Looking ahead, we will remain focused on the growth of our business and on continuing to generate value for our shareholders over time."

Mr. Robert Hong Xiao, the newly appointed Co-CEO, added, "I am very excited to take on my new role in the Company, which allows me to work closely with our management and talented staff across the world and to help lead our business to evolve into a global leader in the online gaming industry.  Thanks to the great efforts of our team, we have built a successful presence in overseas markets.  As part of our globalization strategy, our high-quality R&D teams worldwide stand out as one of the key differentiating factors in the industry.  For example, our well-known Cryptic Studios in the U.S. is developing the highly-anticipated MMORPG, 'Neverwinter,' bringing us additional world-class title.  Our specialized production studios overseas, along with our well-established R&D teams in China, are playing an important role in our path to become a leading global online gaming company."

"In terms of operational developments in overseas markets, we continued to make good progress in both our subsidiaries and licensing activities during the second quarter.  Recently, we announced that our Japanese subsidiary signed an agreement to operate a 2D action MORPG, 'Dark Blood,' in Japan.  We also signed additional licensing agreements and further expanded our geographical coverage to more countries, including Turkey and Azerbaijan."

"Leveraging our strengths in our diverse portfolio and pipeline, strong global R&D capabilities, and extensive global operating network, we will continue our efforts to deliver more innovative, high-quality titles to entertain gamers in China and across the world."