DouYu International Holdings Limited reported a strong turnaround in its fourth‑quarter and full‑year 2025 results, with a gross margin of 12.8% that matches the year‑to‑date figure and represents a jump from 7.6% in 2024. Adjusted net income for the full year rose to RMB40.2 million, reversing an adjusted net loss of RMB249.2 million in 2024, while operating cash flow in Q4 2025 reached RMB1.4 million.
Revenue for 2025 totaled RMB3,818.9 million, a 10.8% decline from RMB4,270.8 million in 2024. The decline was driven by a 29.8% drop in livestreaming revenue, which fell to RMB513.0 million, but was partially offset by a 37% year‑over‑year increase in the innovative business, advertising and other segment, which grew to RMB405.8 million.
Cost‑control initiatives were a key driver of the margin expansion. Content costs fell 24.9% to RMB800.8 million and bandwidth costs dropped 32.2% to RMB47.7 million, enabling a gross profit of RMB118.0 million for the quarter. These reductions reflect the company’s shift from a growth‑at‑all‑costs strategy to a focus on operational efficiency and higher‑margin content.
Cash and equivalents at year‑end were RMB2,283.7 million, after a US$300 million special dividend. The company’s cash burn has slowed, and the positive operating cash flow in Q4 2025 signals improved liquidity management.
"In the fourth quarter of 2025, amid continued pressure on our live streaming business, we sustained profitability and steady cash flow by focusing on operational efficiency. On a full‑year basis, our financial capability saw substantial development. Gross margin reached 12.8% in 2025, a significant improvement from 7.6% in 2024. Adjusted net income turned positive at RMB40.2 million, compared with an adjusted net loss of RMB249.2 million in 2024," said Mr. Hao Cao, Vice President of DouYu.
The results illustrate DouYu’s progress toward profitability. While livestreaming revenue remains a headwind, the company’s diversification into innovative business, advertising and other services is generating higher‑margin growth. The combination of cost reductions, a stronger gross margin, and a positive cash flow positions DouYu to sustain its transition to a more profitable, core‑content‑focused model, even as it navigates a competitive livestreaming market.
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