UBS has issued a research report indicating that NETEASE MUSIC (09899) recorded an 8% year-on-year increase in its online music service revenue, while its profitability met expectations. Although the subscriber mix has shifted towards lower-priced 88VIP and student memberships, user growth remains robust, with the bank estimating a 16% year-on-year expansion. UBS also anticipates limited impact from new competitors on the platform's subscriber conversion rates. Consequently, it continues to project a 14% year-on-year growth for the online music business by 2026 and maintains a "Buy" rating. Looking ahead to 2026, management has reaffirmed its focus on expanding the user and subscriber base through high-quality and differentiated content, targeting growth in both subscriber numbers and Average Revenue Per Paying User (ARPPU).