Question · Q1 2026
Dai Xi inquired about the current revenue structure breakdown by IP for the year and the anticipated drivers from new IPs in the next year.
Answer
Peng Li, Founder, Chairman, and CEO of Heres Group, detailed the Q1 fiscal year 2026 IP revenue breakdown: WAKUKU accounted for 71%, Youli Zuli for 16%, and the new licensed IP Xenono for approximately 10%, with the remainder from other IPs. He stated a focus on S-class IPs (WAKUKU, Zuli, Xenono) for the short term. Li outlined a dual approach for new IP strategy next year: deepening core IPs like KUKU through product line expansion and systematically incubating one to two additional flagship IPs using Xenono's model to diversify the portfolio. The company aims for an IP matrix operating model to refresh established IPs and test new concepts.
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