Sohu lost 22% of its total revenue of $475 million in the second quarter compared with the same period last year.

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[abstract] Sohu Media and Sohu Video lost $68 million in the second quarter, down 15% from the same period in 2018.
On August 5, Tencent Technological News released its unaudited financial report for the second quarter of 2019 as of June 30, 2019. According to the results, Sohu’s total revenue in the second quarter was $475 million, up 10% from the previous quarter.
Among them, brand advertising revenue was $44 million, up 2% from the previous quarter.
Search and search-related advertising revenue was $276 million, up 2% from the same period in 2018 and 18% from the previous quarter.
Online game revenue was $102 million, up 8% from the same period in 2018 and 3% from the previous quarter.
Sohu Media and Sohu Video lost $68 million in the second quarter, down 15% from the same period in 2018.
Sohu Group (including Sohu Media, Sohu Video, Sogou and Changyou) lost $38 million after deducting the one-time impairment related to Changyou Jingmao’s pre-screening advertisements in the second quarter of 2019, a 22% loss compared with the same period in 2018.
The net loss of non-US GAAP (including one-off impairment of Changyou Jingmao) attributed to Sohu Group is $50 million. Changyou Jingmao’s one-time impairment is $17 million.
Dr. Zhang Chaoyang, chairman and CEO of Sohu, commented: “Despite the current macroeconomic downturn, our income is basically in line with expectations. After deducting the impairment fee of assets related to pre-screening advertising confirmed by Changyou in the second quarter of 2019, the group’s Q2 loss decreased to $38 million, or 22% year-on-year. It is expected that the losses of Sohu Media and Sohu Video will further narrow substantially in the third quarter, and the group’s losses will fall to between $22 million and $32 million.
Zhang Chaoyang further analysis: “This is mainly due to the strict control of Sohu video cost and the robust performance of online game business. Sohu Media, as the mainstream media platform, is returning to its media attributes. We continue to organize high-quality activities, produce and distribute high-quality content, and enhance our core competitiveness and influence in the media brand. Meanwhile, Sohu Video continues to provide users with fascinating dramas and variety shows. At present, our differentiated development strategy has achieved initial results. Sohu Media and Sohu Video’s commercialization capabilities have been steadily improved, and losses will be further narrowed by a large margin. In the second quarter of 2019, while Sogou’s core search business continued to develop steadily, the number of users of Sogou’s mobile phone input method increased further, and its contribution to revenue increased continuously. After deducting the impairment mentioned above, Changyou’s income and profit exceeded expectations. Changyou is constantly developing new games to diversify its product portfolio, with stable profitability.