QINGCI GAMES Expects First-Half Net Profit to Surge 320%-361% on Global Expansion and AI R&D

Stock News
08/03

QINGCI GAMES (06633) announced that the group expects to record a net profit of approximately RMB 305 million to RMB 335 million for the first half of 2026, representing a year-on-year increase of 320% to 361%. The surge in net profit is primarily attributed to an increase in fair value gains from the group's short-term investments.

During the reporting period, the group's overall operations remained stable. Although some existing games are in their mature stages with naturally declining revenue, the group expects to achieve a gross profit of approximately RMB 85 million to RMB 115 million. The group continues to advance product operations and R&D innovation, including: (1) In June 2026, Cardcaptor Sakura: Memory Key was launched in Japan, reaching the top of the local iOS free game chart; (2) Strongest Snail released its sixth-anniversary version in Mainland China, Hong Kong, Macau, and Taiwan, demonstrating resilience in long-term operations. Core user spending depth saw a significant increase, with average revenue per user (ARPU) and average revenue per paying user (ARPPU) achieving double-digit growth compared to the same period last year; (3) The group further increased R&D spending on its pipeline games while driving the deep integration of AI across the entire lifecycle of product development, publishing decisions, and operational management. This provides effective support for refined game version management and improved content production efficiency.

Looking ahead to the second half of 2026, the group will methodically advance the launch plans for existing games, such as Strongest Snail (Korean server) and Lost Light (global server), and continue testing and optimization work on Disney: Book Realm Legend and Project E. The group will continue to uphold its strategy of "high-quality, globalization, and long-term operation," optimizing its product and market layout to solidify the foundation for sustainable and stable growth.

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