NTESNasdaqServices-Prepackaged SoftwareAlso trades as NETTF
NetEase, Inc.
Financials through fiscal 2025, year ended Dec 31, 2025Last filing: 20-F on Apr 15, 2026
$125.25−0.81 (-0.64%)
Close on Oct 19, 2026
Margins
Share of revenue, fiscal years 2011 to 2025
Gross margin
64.3%+11.4 pts over 5 years
Operating margin
31.8%+12.1 pts over 5 years
Net margin
–
Growth rates
Compound annual growth to fiscal 2025
| Per year | 1 year | 3 years | 5 years | 10 years | Five-year pace |
|---|---|---|---|---|---|
| Revenue | +7.0% | +5.3% | +8.9% | +17.3% | |
| Gross profit | +10.0% | +11.1% | +13.2% | +18.4% | |
| Operating income | +21.1% | +22.2% | +19.8% | +17.3% | |
| EPS, diluted | +14.0% | +19.3% | +23.8% | +17.8% | |
| Free cash flow | +29.4% | +24.7% | +15.8% | +21.3% |
Returns and balance sheet
10 fiscal years. Hover a measure to see how it is calculated.
| Measure | FY2016 | FY2020 | FY2025 | Trend |
|---|---|---|---|---|
| Current ratio | 2.58 | 2.31 | 3.45 | |
| Debt to equity | – | – | – | |
| Net debt to EBITDA | – | – | – | |
| Inventory turnover | 13.8× | 55.8× | 63.8× | |
| Capex to revenue | 3.0% | 1.4% | 0.9% | |
| Diluted shares | 3.31B | 3.35B | 3.22B |
Where the cash went
Fiscal 2021 to 2025, five years combined
NetEase generated CN¥178.38B from operations and spent CN¥51.58B on capital expenditure, dividends and share buybacks. 16% of that went back into the business.
Generated
CN¥178.38B
Used
CN¥51.58B
Capital expenditureCN¥8.34B16%DividendsCN¥43.24B84%Share buybacksCN¥00%
DuPont analysis
Return on equity split into margin, efficiency and leverage
Net margin30.4%
×Asset turnover0.77×
×Equity multiplier1.47×
=Return on equity, FY201634.4%
| Fiscal year | Net margin | Asset turnover | Equity multiplier | Return on equity |
|---|---|---|---|---|
| FY2016 | 30.4% | 0.77× | 1.47× | 34.4% |
Piotroski F-Score
Nine tests of profitability, balance sheet and efficiency, fiscal 2025 against fiscal 2024
5of 5 tests passed in fiscal 2025. Some tests lack the figures they need.
- ProfitableNet income above zero–
- Cash generatingOperating cash flow above zeroCN¥50.74B
- Return on assets improvedROA up on the prior year– → –
- Earnings backed by cashOperating cash flow above net incomeCN¥50.74B vs –
- Less leverageLong-term debt to assets fell0.2% → –
- Better liquidityCurrent ratio rose3.09 → 3.45
- No dilutionShare count did not rise3.23B → 3.22B
- Gross margin improvedGross margin up on the prior year62.50% → 64.29%
- More efficientAsset turnover rose0.57 → 0.57