Friday, November 11, 2005

The9 Q3 Revenues Jump 230%


The9 Limited (Nasdaq: NCTY), a leading online game operator (e.g. World of Warcraft) and developer in China, announced its unaudited financial results for the third quarter of 2005 today.

Highlights:
-- Net revenues for the third quarter of 2005 grew by 232%
quarter-over-quarter and 2,096% year-over-year to RMB184.8 million
(US$22.8 million).
-- Net revenues attributable to the operation of World of Warcraft®
("WoW") for the third quarter of 2005 was RMB180.6 million
(US$22.3 million).
-- Net income for the quarter was RMB37.7 million (US$4.7 million),
compared with a net loss of RMB23.0 million (US$2.8 million) in the
second quarter of 2005.

Management Comments:
"The third quarter of 2005 was the first quarterly period which fully reflected our operation of Blizzard Entertainment®'s World of Warcraft® ("WoW") in China. In the third quarter, we attained peak and average concurrent WoW users of approximately 467,000 and 240,000, respectively. Notably, after a normalization of customer usage patterns in the third quarter, we have seen impressive metrics in October, with new account activations continued daily and recording peak concurrent WoW user level exceeding 500,000. As of October 31, 2005, more than 2.5 million paid accounts have been activated since launch." (Jun Zhu, Chairman and Chief Executive Officer)

Source: Source: The9 Limited (Press Release)