Chinese internet company NetEase (NASDAQ:NTES) has announced its 2014 financials, for the 12 months ending 31 December 2014.
Total revenues for 2014 were $2 billion, up 29 percent compared to 2013.
Revenues from online and mobile games were $1.6 billion, up 18 percent.
Net profit was $767 million, up 9 percent.
During 2014, NetEase reported a foreign exchange loss of $2.9 million due to the strengthening value of yuan compared to the dollar.
NetEase ended 2014 with cash and equivalents worth $3.4 billion.
Mobile upstarts
The main driver of 2014's game performance was due to Blizzard's Hearthstone, which NetEase operates in China, internally-developed MMOGs like Fantasy Westward Journey II, and its small but growing mobile business.
Following the launch of a new item-based version in August, New Westward Journey Online II achieved record user statistics in the fourth quarter.
"Our newly-launched mobile games demonstrated strong traction with users as well, especially our self-developed mobile battle arena game, Battle to the West, and mobile 3D action adventure, The World HD, which was adapted from our online game Tianxia III," said CEO William Ding.
Dozen releases
Looking at Q4, total sales were $594 million, up 11 percent quarter-on-quarter and 42 percent year-on-year.
Sales from online games were $462 million, up 16 percent quarter-on-quarter and 36 percent year-on-year.
Net income was $205 million, up 8 percent year-on-year and quarter-on-quarter.
During 2014, NetEase released 12 mobile games and plans more releases in 2015.
"We plan to introduce more mobile games in 2015, including mobile games adapted from or inspired by our existing popular PC client games," Ding explained
"We believe this will help to increase stickiness within our community by offering innovative games and services on both traditional and mobile platforms."
[source: NetEase]
