At noon on February 22, Wuhu 37 Interactive Entertainment Network Technology Group Co.Ltd(002555) (002555) released the performance forecast for 2021. The company expects the annual net profit of 2021 to be 2.8 billion yuan to 2.85 billion yuan, a year-on-year increase of 1.41% to 3.23%; The net profit after deducting non-profit was 2.55 billion yuan to 2.6 billion yuan, a year-on-year increase of 6.61% to 8.70%.
It is worth mentioning that on the basis of a year-on-year decrease of 23.85% in net profit in the first three quarters of 2021, the fourth quarter of the company can be described as “turning the tide”, with a net profit of 1.079 billion yuan to 1.129 billion yuan in a single quarter, an increase of more than 100% compared with 501 million yuan in the fourth quarter of 2020.
However, in terms of share price, Wuhu 37 Interactive Entertainment Network Technology Group Co.Ltd(002555) 22 fell sharply in the morning until the limit. With the announcement of midday performance forecast, the company’s share price rose briefly after the afternoon opening, but it still closed down by 9.96%.
the proportion of overseas market revenue increased rapidly
The performance forecast shows that during the reporting period, the company has always promoted the implementation of strategic objectives, adhered to the strategy of integrating research and operation, and continuously promoted the high-quality products, diversification and market globalization. During the reporting period, the company’s newly launched “Douluo continent: duel between soul masters”, “glory Archangel”, “Immortal King”, “Douluo continent: Awakening of Wu soul”, as well as the global release of “Puzzles & survival”, “call me big shopkeeper”, “song of cloud City” and other games performed well.
At the same time, the company not only launched a variety of high-quality games, but also broadened the company’s diversified game categories, and further made a breakthrough in the sea market. The data show that the overseas market revenue of Wuhu 37 Interactive Entertainment Network Technology Group Co.Ltd(002555) in 2019 and 2020 was 1.049 billion yuan and 2.143 billion yuan respectively, which doubled; In the first half of 2021, the company achieved an overseas revenue of 2.045 billion yuan, with a year-on-year increase of 111.03%. The proportion of overseas market revenue also increased to 27.12%.
In addition, according to sensortower, among the 42 Chinese mobile games with an overseas market revenue of more than $100 million in 2021, Wuhu 37 Interactive Entertainment Network Technology Group Co.Ltd(002555) has three games on the list. Among them, “Puzzles & survival” ranked No. 9, and “beauty of rivers and mountains” ranked No. 27. Although “song of Cloud City” did not enter the top 30, its revenue also exceeded US $100 million. It is worth mentioning that in the first half of 2021, “Puzzles & survival” achieved a revenue of 143 million US dollars in the overseas market, ranking second in the global survival mobile game revenue list, and becoming the fastest-growing product among similar themes.
Just recently, Yin Tianming, vice president of Wuhu 37 Interactive Entertainment Network Technology Group Co.Ltd(002555) products, pointed out in an interview that Wuhu 37 Interactive Entertainment Network Technology Group Co.Ltd(002555) made a relatively big breakthrough in 2021. First, at the level of overseas market, the company has gained a lot of money in different regions. The second is the product type. Compared with the original relatively single MMORPG product line, 2021 Wuhu 37 Interactive Entertainment Network Technology Group Co.Ltd(002555) has been successful in many categories. In 2022, the company will continue to move forward on the existing basis and begin to layout two tracks for women and bivariate.
led the decline in the A-share game sector
In fact, on February 22, the whole A-share game sector fell sharply, including Shanghai Yaoji Technology Co.Ltd(002605) down 9.64%, Shenzhen Zqgame Co.Ltd(300052) down 7.25%, Kunlun Tech Co.Ltd(300418) down 6.70%, but Wuhu 37 Interactive Entertainment Network Technology Group Co.Ltd(002555) led the decline with a decline of 9.96%, with a full day turnover of 1.621 billion yuan.
In terms of news, on the afternoon of February 21, there were rumors about the game version number in the market. Affected by the rumors, the share prices of Hong Kong stock game companies including Tencent Holdings (00700. HK) fell significantly, of which Tencent holdings fell 5.23% on the 21st.
Wuhu 37 Interactive Entertainment Network Technology Group Co.Ltd(002555) according to the after hours dragon and tiger list data, on February 22, Shenzhen Stock connect bought 54.67 million yuan and sold 97.64 million yuan. The three institutions bought 280 million yuan in total and the four institutions sold 194 million yuan in total. On February 21 the day before, Wuhu 37 Interactive Entertainment Network Technology Group Co.Ltd(002555) also climbed the dragon and tiger list with a decrease of 6.46%. On that day, Shenzhen Stock connect bought 96.78 million yuan and sold 40.61 million yuan. The four institutions bought 59.59 million yuan in total and sold 220 million yuan in total.
