iQiyi Inc. (Nasdaq: IQ) released its financial results for the first half of 2025 and the second quarter ended June 30, 2025.

According to the financial report, iQiyi Inc. generated revenue of 13.815 billion yuan for the first half of 2025, with operating profit of 295 million yuan and net income of 50.41 million yuan.

For the second quarter of 2025, iQiyi Inc. reported revenue of 6.63 billion yuan, with non-GAAP operating profit of 58.7 million yuan, representing an operating margin of 1%. Non-GAAP net income attributable to iQiyi Inc. was 14.7 million yuan.

Gong Yu, Founder and Chief Executive Officer of iQiyi Inc., commented: "From the second quarter through the summer season, iQiyi Inc. has produced numerous hit content, with our drama series ranking first in total market share according to Yunhe data. Meanwhile, we are focusing on innovation by investing in key growth areas including AI applications, micro-dramas, experiential business, and overseas operations, aiming to drive sustainable long-term development and success."

Wang Jun, Chief Financial Officer of iQiyi Inc., stated: "We have effectively managed resources and optimized our capital structure, achieving a seventh consecutive quarter of declining net interest expenses to support long-term value creation."

**Q2 Revenue of 6.63 Billion Yuan with Hit Content in Both Long and Short Formats**

iQiyi Inc.'s second quarter 2025 revenue reached 6.63 billion yuan, comprising membership services revenue of 4.09 billion yuan, online advertising services revenue of 1.27 billion yuan, content distribution revenue of 440 million yuan, and other revenue of 830 million yuan, representing a 6% year-over-year increase.

From the second quarter of 2025 through the summer season, iQiyi Inc. increased its content supply, producing hit content in both long and short formats. Three drama series - "Linjiang Xian," "Chaoxue Lu," and "Sheng Wanwu" - achieved content popularity scores exceeding 10,000 on iQiyi Inc.'s platform, further consolidating the company's advantages in female-oriented and realistic-themed content tracks.

"Wuyou Du" and "Shujuan Yimeng" both achieved content popularity scores exceeding 9,500. Other genres also produced excellent works, including "Juemi Jiaoliang" and suspense dramas "Wuyun Zhishang" and "Jieming Ersheng" from the "Mist Theater" series.

In the second quarter, iQiyi Inc.'s self-produced premium micro-dramas achieved significant breakthroughs, launching multiple works including "Zhiai Nantao," "Cheng He Titong," and "Zhangshang Zhu." Among these, iQiyi Inc.'s first IP-adapted micro-drama "Cheng He Titong" reached a peak content popularity score exceeding 5,500, setting a new platform record for micro-dramas. As of now, iQiyi Inc. has approximately 15,000 micro-drama titles in its content pipeline.

**iQiyi Inc. Q2 Costs at 5.3 Billion Yuan, Down 7% Year-over-Year**

iQiyi Inc.'s total costs for the second quarter of 2025 were 5.29 billion yuan, down 7% from 5.68 billion yuan in the same period last year, with content costs accounting for 3.78 billion yuan.

**iQiyi Inc. Q2 Gross Profit at 1.335 Billion Yuan with 20% Gross Margin**

iQiyi Inc.'s gross profit for the second quarter of 2025 was 1.335 billion yuan, representing a gross margin of 20%.

**iQiyi Inc. Q2 Expenses at 1.38 Billion Yuan, Down 3% Year-over-Year**

iQiyi Inc.'s total expenses for the second quarter of 2025 were 1.38 billion yuan, down 3% from 1.42 billion yuan in the same period last year. Sales and administrative expenses were 960 million yuan, down 1% year-over-year, while research and development expenses were 420 million yuan.

**iQiyi Inc. Q2 Adjusted Operating Profit at 58.7 Million Yuan with 1% Operating Margin**

iQiyi Inc. reported an operating loss of 46.2 million yuan for the second quarter of 2025, representing an operating loss margin of 1%, compared to an operating profit of 340 million yuan and operating margin of 5% in the same period last year.

Under non-GAAP measures, iQiyi Inc.'s operating profit for the second quarter of 2025 was 58.7 million yuan with an operating margin of 1%. In the same period last year, non-GAAP operating profit was 500 million yuan with an operating margin of 7%.

Net loss attributable to iQiyi Inc. for the second quarter of 2025 was 130 million yuan, compared to net income attributable to iQiyi Inc. of 68.7 million yuan in the same period last year. Under non-GAAP measures, net income attributable to iQiyi Inc. was 14.7 million yuan, compared to 247 million yuan in the same period last year.

As of June 30, 2025, the company's cash, cash equivalents, restricted cash, short-term investments, and long-term restricted cash included in prepaid expenses and other assets totaled 5.06 billion yuan (approximately $705.7 million).