NetEase posts record Q1 revenue, profit

BEIJING - Chinese online gaming and news portal NetEase reported record-making financial performance in the first quarter thanks to a surge in online gaming revenue.

The company's net revenue in the first three months rose 116.3 percent to 7.915 billion yuan ($1.228 billion) while net profits jumped by 94.6 percent to 2.461 billion yuan, according to a statement on Thursday.

The company cited a surge of more than 100 percent in online gaming revenue and a 32-percent rise in advertising income from a year ago.

Mobile gaming remained the biggest contributor to online gaming income, the statement said.

NetEase chairman and CEO William Ding attributed the strong financial performance in advertising to the company's quality news service as well as its product and service chain, which ranges from online gaming and e-mail to online music, translation and e-commerce.

The Chinese online gaming market is expected to reach over $20.4 billion by 2020, according to gaming data provider Niko Partners.