IQiyi +5.2% after 31% subscriber growth in Q3

IQiyi (NASDAQ:IQ) is up 5.2% after hours following its Q3 report, which featured double-digit user growth alongside a slightly wider operating loss.

“Despite a challenging environment, we delivered another quarter of top-line growth with total revenues increasing 7% year-over-year to RMB7.4B,” says CFO Xiaodong Wang.

That was driven by subscription business: Membership services revenue grew 30% to 3.7B yuan; online advertising fell 14% to 2.1B yuan; content distribution fell 18% to 680.4M yuan; and other revenues rose 12T to 932.3M yuan (driven mainly by the game business).

Operating loss swelled to 2.8B yuan from 2.6B yuan, and net loss widened to 3.7B yuan from 3.1B yuan.

Meanwhile, subscribing members rose to 105.8M from 80.7M, a 31% gain. Of subscribers, 99.2% were paying members.

Conference call to come at 7 p.m. ET.

Press release

https://seekingalpha.com/news/3515915-iqiyi-plus-5_2-percent-31-percent-subscriber-growth-q3