On January 29, Perfect World, the leading company in the A-share game sector, released its 2020 annual performance forecast. During the period, the game business is expected to achieve a net profit of 22.7-2.29 billion yuan, a year-on-year increase of 19.62% to 20.67%. The company as a whole is expected to achieve a net profit of 15.1 to 1.57 billion yuan in 2020, a year-on-year increase of 0.48% to 4.47%.
With the overall recovery of the game industry in 2020, Perfect World's game business continues to grow, with both mobile games and end-game flows achieving year-on-year growth. In terms of mobile games, classic games such as "Zhu Xian" mobile game, "Perfect World" mobile game, and "New Swordsman" mobile game continued to contribute well. The mobile game "New World of Gods and Demons", which was launched in July 2020, has been well received by the market and recognized by players, helping the company's performance to continue to grow. In terms of terminal games, classic terminal game products such as "Zhu Xian" and "Perfect World International Edition" continue to contribute stable revenue, and "DOTA2" and "CS:GO" help further growth of e-sports business.
The performance forecast pointed out that during the reporting period, affected by factors such as the market and the overall environment of the industry, the company's film and television business performance declined year-on-year. In recent years, the film and television industry has undergone in-depth adjustments. Some of the film and television dramas previously produced by the company have been impaired due to major changes in the market environment. In response to changes in the market environment, the company has adopted a prudent investment and active inventory management strategy to promote the steady development of the film and television business in the future.