Today, Chinese game-centric live streaming platform DouYu International Holdings (NASDAQ: DOYU) reported its financial results for the first quarter of 2020. The company generated net revenues of ¥2.3B RMB ($319.3M USD) for the period ended March 31, which marks an increase of roughly 53% year-over-year compared to ¥1.5B ($208.7M) in Q1 2019.
DouYu’s major source of revenues came from its live streaming segment, which was up 56% year-over-year to ¥2.1B ($296.2M) for Q1 2020, representing roughly 93% of the company’s total revenues. According to DouYu, three factors contributed primarily to the increase in revenues. First, the improvement of its platform led to an increased willingness to pay and payment frequency from its users. Secondly, advancements in management and monetization efficiency through closer cooperation with talent agencies added to its revenues. Thirdly, ongoing monetization events on the DouYu platform increased revenues.
In its earnings report, the company recorded 158.1M average monthly active users (MAUs) for the period, slightly less than the 159.2 MAUs in the same period of 2019. While MAUs slightly decreased, average mobile MAUs in the first quarter of 2020 increased by 15.3% to 56.6M from 49.1M in Q1 2019. Furthermore, the number of quarterly average paying users grew by 26.2% to 7.6M in the period.
In total, DouYu ended the first quarter of 2020 with a net profit of ¥260.5M ($36.5M), up 1389% from ¥18.8M ($2.63M) in the same period of last year.
Note: The Esports Observer used the exchange rate in effect as of May 26 at a rate of ¥7.13447 RMB to $1 USD for currency conversions in this article.
