37 Interactive Entertainment 2021 Annual Report

Key insights

5 takeaways

01
Consolidated revenue rose 12.62% in 2021 to RMB 16.22 billion, while net profit attributable to shareholders rose 4.15% to RMB 2.88 billion.See it on page 9
02
Overseas game revenue reached RMB 4.78 billion, up 122.94% year on year.See it on page 14
03
Mobile game business revenue was RMB 15.36 billion, up 15.55% year on year.See it on page 15
04
R&D investment was RMB 1.25 billion, up 12.37%, equal to 7.71% of revenue.See it on page 15
05
The company plans a cash dividend of RMB 3.70 per 10 shares, totalling RMB 820,609,783.97.See it on page 54

Summary

This is the 2021 annual report of 37 Interactive Entertainment Network Technology Group Co., Ltd. (Shenzhen Stock Exchange code 002555), a Chinese online game developer, publisher and operator, covering the period 1 January to 31 December 2021. The report sets out the company's business, industry environment, financial statements, corporate governance and related disclosures. The company describes its strategy as "premium, diversified and global" and its model as integrated development and operation.

Consolidated operating revenue for 2021 was RMB 16,216,498,239.02, up 12.62% year on year, and net profit attributable to shareholders was RMB 2,875,575,877.62, up 4.15%. Mobile game revenue was RMB 15,363,931,421.93, up 15.55%, while overseas game revenue was RMB 4,777,113,958.51, up 122.94%. R&D expense was RMB 1,250,238,810.24, up 12.37%, and sales expense was RMB 9,125,341,989.92, up 11.11%.

The report also records a proposed cash dividend of RMB 3.70 per 10 shares, the company's 2021 non-public share issuance of 105,612,584 shares raising RMB 2,901,551,679.73 net, and the 2021 government rules on minors' gaming time that the company says it has implemented. Net cash from operating activities was RMB 3,658,748,941.03, up 24.96%.