Yifan Ye's questions to iQIYI Inc (IQ) leadership • Q1 2025
Question
Yifan Ye (Maggie Ye) requested details on the overseas business, including membership, content distribution, its current financial contribution, and the outlook for the next one to three years.
Answer
CEO Yu Gong and CFO Jun Wang addressed the question. Mr. Gong noted that after a slow start due to COVID, the overseas business is now in a rapid development phase, having established effective regional content mixes (approx. 50% Chinese content). He cited the growing global popularity of Chinese dramas as a key tailwind. Mr. Wang added that from a management accounting perspective, the overseas business has been profitable for the past couple of years. The forward-looking strategy is to reinvest these profits to fuel further growth, rather than targeting significant profit contribution, as the overall revenue share from overseas remains relatively low.