Good day and welcome to HUYA Inc.' s first quarter 2026 earnings webinar.

I'm Hanyu Liu from the Huya's Investor Relations. At this time, all participants are in listen-only mode.

Please be advised that today's webinar is being recorded. The company's financial and operational results were issued earlier today and are posted online.

You can also view the earnings press release by visiting the IR website at ir.huya.com. A replay of the call will be available on the IR website soon.

Participants of management on today's call will be Mr. Vincent Junhong Huang, our Acting CEO; Mr.

Raymond Peng Lei, our CFO; and Miss Margaret Shi, Head of Capital Markets. Management will begin with prepared remarks, and the call will conclude with a Q&A session.

Before we continue, please note that today's discussion will contain forward-looking statements made under the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995.

Forward-looking statements involve inherent risks and uncertainties. As such, the company's results may be materially different from the views expressed today.

Further information regarding this and other risks and uncertainties is included in the company's latest annual report on Form 20-F and other public filings as filed with the U.S. Securities and Exchange Commission.

The company does not assume any obligation to update any forward-looking statements, except as required under applicable law. Please also note that Huya's earnings press release and this conference call include discussions of unaudited GAAP financial information as well as unaudited non-GAAP financial measures.

Huya's press release contains a reconciliation of the unaudited non-GAAP measures to the unaudited most directly comparable GAAP measures. With that, I'm pleased to turn the call over to Mr.

Huang. Please go ahead.

Okay. Hello, everyone, and thank you for joining our earnings call today.

First, I would like to share our overall performance for the quarter. In the first quarter, total net revenues grew by 15% year-over-year to RMB1.73 billion, primarily driven by continuous strong growth from game-related services, advertising, and other businesses.

Game-related services, advertising, and other revenues reached RMB627 million, up 69% year-over-year, and further increased to record 60—36% of total net revenues. Live streaming revenues were RMB1.1 billion for the quarter, underpinned by our vibrant, diversified, and high-quality live streaming content ecosystem.

With the integration of AI, we are able to offer and enrich more creative experiences to our users. Our ecosystem of game content live streamers is becoming increasingly influential across the broader social platforms, while our own channels, including the Huya Live app, continue to enjoy a stable user base.

Our estimated reach across external platforms doubled from last year, exceeding 200 million users, including those on Douyin and WeChat platforms. According to our internal data, Huya is the largest gaming MCN on WeChat channels and remained among the top three on Douyin.

Across multiple leading game titles, nearly half of the core streamers are connected to Huya. This broad content network enables us to provide games with strong content-driven marketing and user reach, which is what's driving our growth in our collaboration with game developers in game item sales and advertising as well as game publishing.

On the game publishing front, Goose Goose Duck Mobile continued to deliver impressive results. Since its launch on January 7th, the game ranked number one on the iOS free games chart for most of the first quarter.

We have been accelerating the pace of content updates since March, and on April 1st, we launched Season 2, introducing a new map, Ancient Desert, as well as new roles, including Dueling Dudu and Raven. At the same time, we continued to work on our UGC mechanism, which we believe will be an important driver of player engagement, social interaction, and long-term content vitality for the game.

Building on this foundation, we launched our first PGC gameplay mode, Goose Hunt, on April 29th, which received positive feedback from players and further expanded the game's content ecosystem. As we continue to focus on building a healthy user ecosystem with robust and fun game content, we are also ramping up its monetization gradually.

In April, Goose Goose Duck Mobile reached the top five on the iOS top-grossing game chart with new skins offered, validating its monetization potential. Looking ahead, we will further enrich the game's content and social environment with new features such as party mode and a home decoration system, and introduce more IP collaborations to meet players' growing demand for role-playing experiences.

Meanwhile, we are working on the WeChat mini-game version, which is currently scheduled for launch this summer. By integrating Goose Goose Duck Mobile more deeply with the WeChat user ecosystem, we hope to leverage WeChat's social graph to further reactivate existing users and attract new ones.

With the successful debut of Goose Goose Duck Mobile, we are gaining more recognition from game developers of our publishing capabilities through our content ecosystem. We now have a handful of new titles in the pipeline to launch this year across various genres, including casual, SLG, and MMO.

For in-game item sales, revenues continued to grow solidly year-over-year. On the domestic front, item for titles including Peacekeeper Elite, Honor of Kings, and CrossFire continued to contribute incremental growth.

For example, our large-scale outdoor live streaming event for Peacekeeper Elite, Elite Journey Season 2, not only effectively drove in-game item sales, but also generated strong social buzz for the game IP. On the overseas front, in-game item sales for PUBG Mobile, Genshin Impact, and Arena Breakout also delivered impressive performance.

On the advertising side, leveraging our influence across streamer networks, tournament production capabilities, and UGC creation know-how, we provide fully integrated content marketing solutions for game developers. Some of our earlier advertising campaigns have proven very effective, gaining further recognition from leading advertisers including Tencent, NetEase, and Hypergryph.

For example, for Hypergryph's Arknights: Endfield open beta campaign in the first quarter, we connected multiple top streamers to generate in-depth live streaming content, generating more than 70 million views across the internet. This not only drove strong live streaming traction on Huya Live app, but also sparked extensive UGC content across all social platforms, broadening the game's user reach.

In terms of our content offerings on our own platform, we continued to enhance our live streaming tournament ecosystem, introducing 55 licensed tournaments as well as more than 20 self-produced tournaments and variety shows. In late March, we created Uzi Cup, named after esports legend Uzi, attracting more than 200 League of Legends teams across China.

The event generated more than 100 million views across the internet and appeared on Weibo's trending list 22 times. Building on this momentum, we hosted additional self-produced events, including the Delta Force Qijia Cup and Dota 2 Immortal Cup Season 2.

We have also become the official production partner for multiple top-tier game tournaments, such as VALORANT 2026 National Tournament and 2026 Jiangsu Esports Super League. Hosting and producing these events creates organic synergies with our live streaming content, in-game item sales, and other businesses.

On the product side, we remain committed to upgrading our platform ecosystem through game services and enriching users' entertainment experience with a suite of game tools. In March, we officially launched the real-time navigation feature for our Delta Force map tool, as well as the League of Legends Hextech ARAM assistant tool, helping players make better in-game decisions.

Beyond this, we are actively developing assistant tools for more titles, including Golden Spatula and Goose Goose Duck Mobile, further establishing game tools as differentiated products gateway. We are also developing a physical AI companion around the appeal of Goose Goose Duck, creating richer and differentiated gameplay and companionship value.

Overall, we delivered solid progress across multiple business lines in the first quarter. Game publishing, in-game item sales, advertising marketing, and tournament operations all achieved meaningful breakthroughs.

Huya is accelerating its strategic evolution from a game live streaming platform into a full-service game services platform, with game-related revenues reaching a record high percentage of total revenues, and our revenue mix continued to improve. We will continue to deepen our game content ecosystem and focus on high-value opportunities across the game industry value chain.

While scaling the business, we will continue to enhance earnings quality and strive to deliver resilient and sustainable growth for our shareholders. With that, I will now turn the call over to our CFO, Raymond Lei.

He will share more details on our results. Raymond, please go ahead.

Thank you, Vincent, and hello, everyone. I'll start with an overview of our financial performance.

In the first quarter, we delivered steady top-line growth with continued improvement in both our revenue mix and operating performance. Notably, the increased revenue contribution from businesses with higher gross margins led to both year-over-year and sequential gross margin expansion to 14.6% this quarter.

Furthermore, we achieved a non-GAAP net income of RMB21 million for the quarter, despite lower interest income. Let's move on to more details of our Q1 financial results.

Total net revenues were RMB1.73 billion for Q1, up 15% from the same period last year. Live streaming revenues were RMB1.1 billion for Q1, compared with RMB1.14 billion from the same period last year, primarily reflecting the live streaming industry's current environment.

Game-related services, advertising, and other revenues were RMB627 million for Q1, up 69% from the same period last year. The increase was primarily driven by higher revenues from in-game item sales and advertising, mainly attributable to the company's deepened and broadened collaboration with game companies.

Cost of revenues increased by 12% year-over-year to RMB1.48 billion for Q1, primarily due to increase the cost of in-game virtual items, as well as increased revenue-sharing fees and content costs. Within this, revenue-sharing fees and content costs rose by 7% year-over-year to RMB1.23 billion, mainly reflecting growth in our top line.

Gross profit was RMB253 million for Q1, up 34% from the same period last year. Gross margin was 14.6% for Q1, improving from 12.5% from the same period last year.

Excluding share-based compensation expenses, non-GAAP gross profit was RMB256 million, and the non-GAAP gross margin was 14.8% for Q1. Research and development expenses increased by 2% year-over-year to RMB132 million for Q1.

Sales and marketing expenses increased by 45% year-over-year to RMB88 million for Q1, primarily due to marketing and promotion efforts related to the launch of Goose Goose Duck Mobile. General and administrative expenses increased by 6% year-over-year to RMB65 million for Q1, primarily due to increased share-based compensation expenses.

Other income was RMB3 million for Q1, compared with RMB4 million for the same period last year, primarily due to lower government subsidies. Operating loss narrowed to RMB29 million for Q1, compared with a loss of RMB60 million for the same period last year.

Excluding share-based compensation expenses and amortization of intangible assets from business acquisitions, non-GAAP operating loss narrowed to RMB3 million for Q1, compared with a loss of RMB36 million in the same period last year. Interest income was RMB30 million for Q1, down from RMB65 million for the same period last year, primarily due to a lower time deposit balance following the payment of special cash dividends.

Net loss attributable to HUYA Inc. was RMB4 million for Q1, compared with a net income attributable to HUYA Inc.

of RMB1 million for the same period last year. Excluding share-based compensation expenses and amortization of intangible assets from business acquisitions, net of income tax, non-GAAP net income attributable to HUYA Inc.

was RMB21 million for Q1, compared with RMB24 million for the same period last year. Diluted net loss per ADS was approximately RMB0.02 for Q1.

Non-GAAP diluted net income per ADS was RMB0.09 for Q1. As of March 31, 2026, the company had cash and cash equivalents, short-term deposits, and long-term deposits of RMB3.46 billion, compared with RMB3.82 billion as of December 31, 2025.

With that, I'd like to open the call to your questions.

Thanks, Raymond. Hello, everyone.

If you are dialing in by phone, please press 5 to ask a question, then press 6 to unmute yourself. If you are accessing the call from the Tencent Meeting or VooV Meeting applications, please click the Raise Hand button at the bottom left.

For the benefits of all participants on today's call, if you wish to ask your question to management in Chinese, please immediately repeat your question in English. Today's first question comes from Ritchie Sun from HSBC.

Hello, Ritchie, your line is open. Please go ahead.

Vincent, Raymond, Margaret, Hanyu, [Lewis?] , 晚上好，感谢你们给我提问机会。首先恭喜鹅鸭杀的这个非常好的一项表现。那我想问一下，对于这个游戏最新的这个运营和商业化的进展有什么样的更新吗？然后对于这个游戏今年的运营策略是有什么的一个方向呢？Thank you, management, for taking my questions.

Congrats on a solid start from Goose Goose Duck. I want to ask about the latest operating and strategy and also commercialization progress for this game, and what is this year's operating strategy going to be?

Thank you.

OK. 感谢那个 Ritchie 的提问。那这个问题由我来回答。那鹅鸭杀手游呢，自重 1 月 7 号我们上线以来，我们整个表现非常好的。在 1 季度的整个大部分的这个时间里面，我们可以看到在 iOS 的这个免费榜的这个第 1 里面，我们保持了一个非常长的一个时间。那这也验证了我们游戏本身的这种社交玩法的这个吸引力，那同时也验证了虎牙在内容生态赋能和游戏发行这样的商业模式。那 1 季度呢我们主要还是聚焦在游戏的这个营销推广上面，那同时我们也在持续的去打磨这个玩法，还有游戏内容的这个运营。那也希望通过这种方式来承接整个超预期的整个用户的表现。那目前来看呢，游戏的商业化我们还是处在一个非常早期的一个阶段，我们也在逐步推进。那展望我们整个 2026 年的，尤其在下半年，我们的重点仍然是在做大整个游戏用户的规模，以及提升整个游戏的活跃度上面。

Hi, Ritchie. It's Margaret.

Let me just translate. Since its launch on January 7th, Goose Goose Duck Mobile has continued to deliver impressive results, ranking number one on the iOS free games chart for most of the quarter.

This validates both the appeal of the game's social gameplay and the Huya's content-driven game publishing model. In the first quarter, we have been mainly focused on marketing and promoting the game, as well as perfecting our gameplay and in-game operations to keep up with the better than expected user numbers.

As of now, we're still at an early stage in terms of monetization, but we're ramping it up gradually. For 2026, especially the first half, our priority for this game remains to be growing its user base and user engagement.

那具体来看呢，我们后续会重点围绕三个方面来进行发力。那第

1 是我们会继续完善 UGC 的这个机制，比如说像猎鹅行动就是基于这样的一个机制做的一次早期的一个尝试。那目前先由专业团队来设计和创作，那随着我们相关能力了这个逐步成熟，我们也会继续加入更多的这样类似的内容和轻量的小游戏，来进一步带动玩家的参与，还有社交的一个互动，并且来丰富游戏长期的整个的内容生态。那第 2 呢，我们也会加强社交和社区的这个属性，包括社交关系、家园的这个装扮、组队互动这些功能，让鹅鸭杀能够逐步沉淀成为更强的整个的社交的这个场景。那第 3 呢，小游戏版本，前面也说了，我们也在积极的这个开发推进当中，并且将于我们这个暑假拟上线。那由于这个鹅鸭杀本身也具有很强的这种 party game 的这个属性，我们也希望能够借助微信的生态，还有社交的这个链路，来进一步的促活和拉新。

In particular, there are three things we'll be focusing our efforts on. Number one, we'll continue to build and strengthen our UGC mechanism.

Goose Hunt is an early example of this framework with its gameplay and content currently led by a PGC team. As we continue to enhance our UGC mechanism and related know-how, we'll add more UGC gameplay and casual game modes to the game.

We believe this is crucial for the game's sustainable user engagement and longevity. Second, we'll add more social and community features, including inter-player connections, the home decoration system, and team-up interactions, the game can evolve into a deeper social environment.

Third, we are working on a WeChat mini-game version, which is currently scheduled for launch this summer. Given the game's strong party game nature, we believe the WeChat ecosystem and social graph can help us further reactivate existing users and attract new ones.

Thank you. We will take our next questions from Nelson Cheung from Citi.

Hi, Nelson, please go ahead.

Hey, Vincent 总、Raymond 总、Margaret、Hanyu，晚上好。我的问题是关于我们公司目前的一个 AI 相关的一个进展。不知道能否请管理层分享一下虎牙最新的一些 AI 布局呢？我们如何把这些 AI 的应用应用到公司以及一些核心的业务中呢？So, let me translate the questions. Thanks management for taking my questions.

Then my question is related to your AI progress, wondering if management can share your latest strategic planning on AI for the company, and how shall we integrate your AI applications into the company core business? Thank you.

OK. 感谢那个 Nelson 的一个提问。那虎牙的整个的 AI 布局呢，主要还是围绕着我们的具体的业务场景来进行展开。那具体主要有四个方面，我们主要还是围绕的像 AI 加直播、AI 加游戏工具、AI 加 IP 陪伴，以及 AI 加游戏制作这几个方向来进行布局。那在 AI 加直播方面呢，我们也在探索两条路：一个是 AI 的二创的内容和 AI 的这个原生的直播。那目前这些产品呢还处在一个相对比较早期的这个迭代和用户测试的这个阶段。我们也认为说，短期内呢可能 AI 无法替代真人的这个主播，特别是一些头部的主播，那他们的情绪价值和即时互动相对是比较难复制的。但我们看重的一个机会点是说，AI 能够帮助我们在中腰部和长尾部的这个直播内容、24 小时的陪伴，以及一些互动的玩法上面，可以发掘出更多的这个机会点出来。

Our AI initiatives are focused on four areas centered around our business. Number one, that's live streaming.

Number two, game tools. Number three, IP-based companionship.

Number four, game production. For AI-powered live streaming, we are exploring two main paths.

Firstly, that's AI-powered content creation, and secondly, it's AI-native live streaming. These products are still in early stages, product iteration, and user testing.

We do not expect AI to replace real live streamers anytime soon, especially top ones, whose emotional connection with the users and real-time interactivity remain difficult to replicate. Instead, we think the real value of AI in live streaming is to help us explore more opportunities in mid-tier and long-tail live streaming content, 24-hour companionship, and certain interactive formats.

在

AI 加游戏工具方面呢，我们也可以看到 3 月份我们也正式推出了三角洲行动的这个地图工具的实时的这种地图的导航的这个功能，还有英雄联盟海克斯大乱斗的这个辅助的工具，那这类工具的核心不是简单的给玩家一个固定的攻略，而是将这个 AI 的能力和虎牙长期积累的这个游戏理解结合起来，给玩家提供一个更加实时的、更加贴合场景的这种决策的这个支持。比如说三角洲行动的地图工具能够帮助玩家快速的去摸清资源点在哪里、路线怎么走，以及高风险的这个区域，来降低用户的这种上手门槛。海克斯大乱斗的这个辅助工具呢，能够根据每一局的对局提供英雄的这个推荐、出装的这个建议，还有打法的这个思路。那由于每一场的对局中都需要重新来决策，所以这类的对局型的这个辅助工具的持续的使用价值会更加强。那接下来我们也会把游戏的工具拓展到更多的游戏的品类里面，比如说像金铲铲之战、鹅鸭杀的这个手游，以及棋牌还有策略、自走棋这些品类。

For AI-powered game tools, we are also progressing really well. In March, we launched the real-time navigation feature for our Delta Force map tool, as well as the Hextech ARAM assistant tool for League of Legends.

These tools are not just static guides for players, instead, they combine AI capabilities with the Huya's deep understanding of games to provide more real-time and context-aware decision support. For example, our Delta Force map tool helps players quickly identify resource points, routes, and high-risk areas, lowering their learning curve.

The Hextech ARAM tool can provide champion recommendations, item build suggestions, and gameplay ideas for each match. Since every match requires players to make new decisions, this kind of match-based assistant tool has very strong repeat use value.

Going forward, we'll expand game tools to more titles and categories, including Golden Spatula, Goose Goose Duck Mobile, card and board games, strategy games, and auto-chess games. 那在 AI 加 IP 陪伴方面呢，我们也在探索 IP 化的这个智能的硬件，比如说内置多模态 AI 实体的 AI 陪伴产品。那从鹅鸭杀的用户反馈来看呢，我们认为说这类产品呢除了情绪陪伴之外呢，还可以跟游戏本身形成更深度的这个联动，比如说支持游戏的这个互动、复盘，还有这些功能，还有进一步的去延伸 IP 和玩家之间的这个连接。

On AI-enabled companionship, we're exploring IP-based smart hardware, including physical AI companion products embedded with multimodal AI capabilities. Based on our user feedback from Goose Goose Duck, we believe these products can go beyond emotional companionship and create deeper integration with the game itself, including in-game interactions and post-game reviews.

This can further extend the connection between IP and the players. 在 AI 辅助游戏制作方面呢，我们也在探索 AI 如何帮助我们更高效的去生成和测试这些休闲类的这种游戏内容。我们认为说 AI 在短期内可能不会去取代大型的这种 3A 的这种游戏的制作，但是在休闲类、网页类还有轻量的这种互动小游戏方面，AI 会有很大的机会能够帮助我们去提高我们的研发和分发的效率。

For AI-assisted game production, we are also exploring how AI can help us generate and test casual game content more efficiently. We do not expect it to replace large-scale AAA-type of games in the near future, but we do see a lot of opportunities in improving R&D efficiencies in casual games, web-based games, or small interactive games.

Thank you. Our next questions come from Weimeng from CICC.

Hi, Weimeng, please go ahead.

感谢管理层接受我提问。我这边想问一下公司的这个游戏发行业务后面的一个产品储备的一个情况，然后能不能跟大家分享就是接下来还会有哪些游戏可以我们期待一下的，然后大概的这个发布的节奏，以及说可能是否可以就是前置的去预期一下它的这个大概的贡献量级？So let me translate myself. Just want to ask about the game publishing pipelines.

Could management maybe share some colors on those pipelines, and what's the rough timeline for those releases, and what kind of revenue contributions should we expect from them? Thank you.

感谢魏的这个提问。那目前我们在游戏的发行的产品的储备来看，我们还是非常的丰富的。那我们今年内也会陆续的去上线多款的这个新游戏，包括像腾讯啊还有金山这些头部的这个游戏厂商的合作。从产品的类型来看呢，也会覆盖像休闲类的、策略类的，还有像

MMO 的这样的这种多个品类。那接下来呢，我们也会结合产品的测试啊，还有版号的这个进展，还有市场的这个窗口，来有节奏的来去推进上线。

Currently, we have a robust publishing pipeline, and we expect to launch multiple new games this year. These include collaborations with leading game companies such as Tencent and Kingsoft.

The pipeline covers multiple genres, including casual, strategy, SLG, MMO, and others. We will pace the launches based on the product testing, license approval progress, and the right market windows.

那接下来的我们发行储备中的一款重点的产品，就是我们代理的一款

3D 的这个叠消类的这个玩法的休闲游戏。那我们也计划在暑期档能够上线。我们拥有这款游戏在中国大陆和港澳台地区的这个独家的发行权。那这款产品呢在海外市场已经跑通了，用户吸引力和商业化的这个能力方面都得到了一个比较充分的一个验证。那我们也根据公开的第三方数据的这个估算，它的累计的这个下载量已经是千万级别的。在海外 3D 叠消品类的这个收入榜上面也一直保持在前列。

Next in our pipeline is a casual 3D puzzle matching game that we licensed, which is scheduled for launch for the summer holidays. We have exclusive publishing rights for mainland China, Hong Kong, and Macau.

The game is already proven in overseas markets in terms of user appeal and monetization. Based on third-party estimates, its cumulative downloads exceed 10 million, and the title has remained among the top-grossing titles in overseas 3D puzzle matching category.

在发行的整个打法上面，我们也会充分的发挥虎牙在主播的这个网络、全域的分发，还有玩家社区方面的这个影响力。正是我们前面我们发言里面提到的说，目前虎牙我们在站外呢可以触达的用户规模整整超过了

2 个亿，也覆盖了像抖音、视频号等多个平台。那基于这样的用户的这个触达能力呢，我们也有信心可以更加高效的去触达到核心的这个玩家，来打造更有吸引力的这个内容，并且能够进一步的去延长整个游戏的生命周期。

In terms of publishing strategy, we're leveraging our influence in streamer networks, cross-platform distribution, and player communities. As mentioned in our prepared remarks, our estimated reach across external platforms now exceeds 200 million users, including those on Douyin and WeChat platforms.

This extensive user reach allows us to target core players more efficiently, create more appealing content, and enhance game longevity.

Thank you. We will take the next question from Maggie Ye from CLSA.

Hi, Maggie, please go ahead.

Hey, thanks management for taking my question. 我想先用中文问一下，想请教一下管理层对我们直播业务近期的趋势以及未来这个展望的一个整体的看法。此外呢，就是在现在的这个市场环境下，公司想要维持直播板块这个规模上的稳定，主要的這個战略的抓手有哪一些？Could management share your perspective on the recent trends and future outlook for the live streaming business?

In addition to that, what are the core strategic levers and key drivers for the company to maintain a stability in this segment moving forwards? Thank you.

感谢

Maggie 的提问。那直播呢客观讲仍然是我们非常重要的一个基本盘。那第一季度呢直播的收入是 11 个亿，不过我们也注意到说，当前整个市场的环境还是会给直播的这个业务带来一定的压力，所以我们也会更加看重我们在内容投入方面的一个

ROI，包括主播的成本，还有版权采买的这个成本。我们认为呢，虎牙区别于其他直播平台一个很关键的优势，就是我们能够持续的产出有影响力的这个游戏内容，并且通过这些内容能够更好的去带动游戏的发行。那这背后也是依托我们跟头部主播的这种深度合作的关系、赛事的这种制作的经验，以及跨平台的这种游戏分发的这个能力。那在 2026 年的第一季度，我们也为用户提供了超过 55 个版权的赛事，还有超过 20 个的自制赛事及综艺。那其中的虎牙的自制的这个 UZI 的这个杯赛呢，在全平台都获得了超过 1 亿次的这个观看。这就能够体现主播 IP 加自制赛事这种模式的这个价值。那这个季度呢我们还携手一位头部的这个娱乐主播，在洛阳的多个知名的景区开展这种联动直播，也取得了非常良好的这种线上互动的这个效果，那最高同时的在线观众数呢超过了 10 万人。 Live streaming remains a core part of Huya's business.

In the first quarter, live streaming revenue was RMB1.1 billion, but we do feel this business may still be under some pressure due to the overall market environment. Therefore, we'll be more focused on improving ROI across content costs, which includes streamer costs and licensing costs.

We believe one of Huya's key differen- differentiator versus any other live streaming platform is our ability to consistently create influential gaming content and leverage that content to better support game publishing and distribution. This capability is backed by our close relationships with top streamers, our know-how in tournament production, and our cross-platform game distribution capabilities.

In the first quarter of 2026, we offered around 55 licensed tournaments and more than 20 self-produced tournaments and variety shows. Among them, our self-produced Uzi Cup generated over 100 million views across the internet, demonstrating the value of our streamer IP plus self-produced tournament model.

Also during the year during the quarter, we partnered with a top entertainment live streamer for a for a collaboration at a major tourist attractions in Luoyang, generating strong online engagement and attracting over hundred hundred thousand peak concurrent viewers. 在重点的游戏品类方面呢，我们也会继续的围绕平台优势的整个品类来打造我们整个自制的内容，比如说像

Dota 2 不朽杯第二赛季就是我们国内当前最大规模最大的第三方

Dota 2 的这个赛事之一。在穿越火线方面呢，我们近期我们也和 CF 的官方围绕着功夫 IP 这个联动版本，推出了这个火线功夫虎牙决斗夜这样一个 PGC 的这个直播营销节目，来进一步提升了整个新版本内容的热度和用户的互动。在和平精英方面呢，我们也在一季度推出了精英环游记 S2 第二季。那这档直播的这个综艺创新性的结合了游戏的内容、主播的影响力，还有户外的场景，给用户带来了比较好的这种参与度还有内容的热度。我们认为呢，这些提升用户互动、帮助游戏内容触达到更广泛的受众的是一种非常有效的方式。 For key game titles, we will continue to build self-produced content around them.

For example, Dota 2 Immortal Cup Season 2 is currently one of the largest third-party Dota 2 tournaments in China. For CrossFire, we recently worked with the CF team on live streaming campaigns around the Kung Fu IP collaboration, including CrossFire Kung Fu Huya Duel Night.

These campaigns helped generate significant social buzz for the new update and further improve user engagement. For Peacekeeper Elite, we launched Elite Journey Season 2 in the first quarter, which is a live streaming show that generated solid user participation that creatively combined game content, streamer influence, and outdoor scenarios.

We think this is a great way to improve user engagement and help game content reach a broader audience. 虎牙也提供了丰富多样、用户参与度比较高的这个体育赛事的內容。我们已经拿下了

2026 年的世界的这个羽联赛事，还有 2026 年世界斯诺克巡回赛的这个全部的版权，也为观众提供了全程蓝光高清直播。在刚刚结束的 2026 年的斯诺克世锦赛方面，虎牙平台总观看的人次超过了 1.5 亿。尤其是丁俊晖对阵那个赵心童的中国德比，单个直播间的最高接近 2,000 万人观看不。

Huya also offers a broad range of highly engaging sports content. We have already secured full rights to 2026 Badminton World Federation events and 2026 World Snooker Tour, and we'll provide viewers with high-definition live broadcasts of these events.

The recently concluded 2026 World Snooker Championship generated more than 150 million total views on Huya. In particular, the match between the two Chinese players, Ding Junhui and Zhao Xintong, reached a peak of nearly 20 million viewers in a single live streaming room.

Thank you. We will take the next question from Yiwen Zhang from China Renaissance.

Hi, Yiwen, please go ahead.

诶，谢谢公司接受我的提问。我想问一下公司咱们那个广告跟道具销售业务在本季度的一个进展情况或者怎么样，谢谢。So, thanks company for taking my question. My question is on the advertising and in-game item sales.

Can you share some operation color on that? Thank you.

OK，感谢 Yiwen 的这个提问。那第一季度呢，我们虎牙公司游戏相关的这个服务、广告还有其他收入达到了 6.27 个亿，同比增长了 69%，占我们总收入的比例也在进一步的提升到了 36%。那增长主要来自于道具销售还有广告业务的这个持续拉动，那同时有一部分是来自游戏发行这些新业务的这个贡献。那这也反映出我们整个虎牙的收入结构在持续的优化，非直播的游戏服务已经成为我们公司增长的一个重要驱动力。

In the first quarter, game-related services, advertising, and other revenues reached RMB627 million, up 69% year-over-year, and increased to 36% of the total net revenue. The growth was mainly driven by the continued expansion in in-game item sales, advertising, while game publishing also contributed incremental growth.

This shows that Huya's revenue mix is continuing to improve, and non-live streaming game services have become an important growth driver. 游戏道具销售方面呢，收入同比继续保持一个比较快的增长。在国内方面呢，增长主要是由像和平精英、王者荣耀这些头部游戏来带动的。那拆开来看呢，像王者荣耀主要是靠独家皮肤的销售，还有春节的这个皮肤活动；和平精英主要是因为我们结合我们自己的内容生态，对道具的货品、内容质量做了一个持续的优化，把销售转化进一步的提了上来。那同时呢在穿越火线这些游戏呢，我们也从重要的这个售卖节点和版权赛事资源方面获得了带动。在海外方面呢，像

PUBG Mobile、原神、暗区突围这些游戏呢也在继续的贡献增量。我们也持续的去拓展海外道具的这个供给，把本地化的这个服务能力做得更加的扎实。那未来呢我们还会继续推进更多定制化的这种礼包，还有权益的合作，让更多的这个交易沉淀到虎牙自己的平台生态里面来。

For in-game item sales, revenue continued to grow rapidly year-over-year. In the domestic market, growth was mainly driven by leading titles, such as Peacekeeper Elite and Honor of Kings.

More specifically, Honor of Kings benefited from the exclusive skin sales and the Chinese New Year skin events, while Peacekeeper Elite saw better sales conversion as we continue to optimize item offering and content quality through our content ecosystem. CrossFire and other titles also benefited from the key sales windows and tournament-related resources.

Overseas, titles such as PUBG Mobile, Genshin Impact, and Arena Breakout continue to contribute incremental growth. We will continue to expand our overseas in-game item supply and strengthen our localized service capabilities.

Looking ahead, we will continue to develop more customized bundles and the rights-based partnerships while bringing more transactions into Huya's own platform ecosystem.

广告业务方面，本季度我们一直在加强内容驱动的这个游戏整合营销服务，主要靠的就是主播的这个矩阵联动、赛事的这个植入、UGC 内容共创，还有这些核心的能力，给游戏厂商呢提供全链路的营销方案。凭借这个较好的这种 ROI 的这个表现，那虎牙也在持续的获得像腾讯、网易、鹰角这些头部广告主的这个认可。

On advertising, Huya continues to strengthen content-driven integrated game marketing solutions. By combining streamer network, tournament integrations, UGC co-creation, other core capabilities, we provide game developers with end-to-end marketing solutions.

Our ROI performance on these advertising campaigns continue to earn recognition from leading advertisers such as Tencent, NetEase, and Hypergryph.

Thank you. Now we will take our last question today from Rebecca Xu from Morgan Stanley.

Rebecca, please go ahead.

Hi, Vincent. Hi, and thank you for taking my question.

I'm honored to be the last to ask question. My question is about margin and net profit trend.

Could management share some color on the margin and net profit trend, maybe in a full-year basis? I will translate for myself.

我想请教一下管理层如何看待全年的利润率以及全年的盈利的一个趋势？谢谢。 这个问题我来答吧。谢谢 Rebecca。利润率方面，第一季度我们整体的利润率延续了改善的趋势，Non-GAAP 经营利润率已经接近盈亏平衡。改善主要来自几个方面：收入结构在持续优化，广告、游戏道具、游戏发行这些毛利率相对更高的业务贡献在提升；同时公司也在持续加强成本费用管理和运营效率。往后看，随着这些高毛利业务继续放量，经营杠杆逐步体现，我们预计全年整体毛利率和经营利润率还有进一步改善的空间。同时，考虑到鹅鸭杀等游戏相关投入的节奏影响，我们预计毛利率和经营利润率改善趋势有望在下半年进一步体现。

Our margins continued seeing improvement in the first quarter with non-GAAP operating margin approaching breakeven. This improvement was mainly driven by continued revenue mix optimization with high contributions from relatively high-margin business such as advertising, game items, and game publishing.

We also continue to strengthen cost and expense management and improve operating efficiency. Looking ahead, as this higher-margin businesses continue to scale and operating leverage gradually comes through, we expect further room for improvement in our overall gross margin, operating margin for the full year.

In addition, given the pace of investment related to Goose Goose Duck and other games, we expect improvement in both margins to become more visible in the second half of the year.

Thank you once again for joining us today. If you have further questions, please feel free to contact Huya's Investor Relations through the contact information provided on our website or Piacente Financial Communications.

This concludes today's call, and we look forward to speaking to you again next quarter. Thank you.