CHINA LIT (00772) announces annual performance with revenue of approximately 7.366 billion RMB, and the Gross Merchandise Value (GMV) of derivatives successfully surpassing 1.1 billion RMB.

CHINA LIT (00772) announced its annual results for the year ended December 31, 2025, with revenue of approximately 7.366 billion yuan; gross profit of approximately 3.397 billion yuan; loss attributable to equity holders of the company of approximately 776 million yuan; profit attributable to equity holders of the company under non-International Financial Reporting Standards of approximately 858 million yuan; basic loss per share of 0.76 yuan. In 2025, the company's high-quality content ecosystem continued to thrive, with the emergence of two works that both surpassed 300,000 subscriptions, fully demonstrating the strong attraction of good content. At the same time, in the IP operation business, the company relied on its deep reservoir of IPs, actively embracing new production methods and cutting-edge technologies, with remarkable results: not only continuing to lead in traditional areas such as film and animation, but also achieving pioneering success in rapidly emerging areas such as short dramas and AI comics. The company's strategy of high-quality short dramas has achieved significant results, with frequent hits; and the AI comic business has achieved a groundbreaking start - since its launch in the second half of 2025, the company has launched nearly a thousand AI comic works, with over a hundred having over ten million views, 12 having over one hundred million views, and breaking the 100 million yuan revenue mark in the second half of the year. Furthermore, the company's IP derivative business continued to grow rapidly, with annual GMV surpassing 1.1 billion yuan, more than double that of 2024, reaching a historic high. The company's high-quality content ecosystem for online reading maintained strong momentum. In 2025, the platform attracted 400,000 new authors, giving rise to over 800,000 novels and adding 42 billion characters, providing a continuous source of high-quality content; the flagship platform, the Qidian Reading APP, saw a 40% year-on-year growth in works surpassing 100,000 subscriptions, with two works breaking the 300,000 subscription mark for the first time, demonstrating a significant improvement in top-tier creative capabilities; the new generation of authors showed astonishing commercial potential, with post-95 authors accounting for 70% of new signings, and the number of post-00 authors earning over a million yuan increasing by 150%, providing strong momentum for future IP reservoirs; the company's community also became more active, with an 80% growth in works receiving over 100,000 collections and 20% growth in works receiving over 10,000 monthly votes on the platform. In 2025, QWEN maintained excellent performance in traditional areas such as film and animation, dominating various bestseller lists with its IPs. More importantly, in new areas such as short dramas and AI comics, the company made solid progress by leveraging its rich IP reserves, actively embracing new production methods and technologies, and accumulating valuable experience for the future creation of an "IP+AI" ecosystem.