Ewen Zhang's questions to HUYA Inc (HUYA) leadership • Q4 2024
Question
Ewen Zhang of China Renaissance asked for an update on the live streaming revenue trend and the company's overall profitability margin outlook.
Answer
Junhong Huang, Acting Co-CEO and SVP, reported that live streaming revenue remained weak in Q4 due to the macro environment and expects a seasonal decline in Q1 2025. However, profitability improved, with Q4 gross margin reaching 11.4%, a significant YoY increase driven by lower content and streamer costs. Huang noted that while the company will control expenses, future bottom-line performance will depend more on operating results, as interest income is expected to decrease significantly due to the large dividend payment.