What is Netease's earnings per share (EPS)?

Netease (NETTF) reported diluted earnings per share of $1.50 for fiscal year 2025. This represents a 19.0% change compared to the previous fiscal year. EPS represents the portion of a company's net income allocated to each outstanding share of common stock and is widely used to evaluate profitability on a per-share basis.

Netease Financials

NETTF

Source SEC Filings (10-K/10-Q) Updated Dec 31, 2025 Currency USD FYE December

This page shows Netease (NETTF) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 16 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).

Rhea AI NETTF FY2025 2026-04-22

NETTF’s asset-light economics are widening margins, so more of each added sale arrives as cash.

From FY2023 to FY2025, free cash flow climbed from $4.7B to $7.1B much faster than revenue, so cash generation improved even without dramatic top-line acceleration. At the same time, gross margin expanded from 61.0% to 64.3%, which suggests the business is selling a richer mix or running more efficiently rather than buying growth through heavier reinvestment.

Selling costs look unusually disciplined: SG&A ended FY2025 at $605M against revenue of $16.1B. Because that overhead barely moved while sales and R&D kept rising, operating leverage came from fixed costs spreading over a larger base, not from cutting innovation.

The balance-sheet posture remains self-funded, with $22.9B of equity against only $8.1B of liabilities. That matters because shareholder payouts can grow without the business first needing to repair leverage or preserve cash for near-term balance-sheet pressure.

Financial Health Signals

Financial Profile 75/100

Based on FY2025 annual data, averaged across the last 3 years for performance metrics (most-recent year weighted highest). How this score is calculated →

Health score ≠ stock price. This rates the quality of Netease's business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.

Profitability

Netease has an operating margin of 31.8%, meaning the company retains $32 of operating profit per $100 of revenue. This strong profitability earns a score of 88/100, reflecting efficient cost management and pricing power. This is up from 28.1% the prior year.

Growth

Netease's revenue grew 11.6% year-over-year to $16.1B, a solid pace of expansion. This earns a growth score of 42/100.

Leverage

Netease carries a low D/E ratio of 0.35, meaning only $0.35 of long-term debt for every $1 of shareholders' equity. This conservative leverage earns a score of 95/100, indicating a strong balance sheet with room for future borrowing.

Liquidity

With a current ratio of 3.45, Netease holds $3.45 in current assets for every $1 of short-term obligations. This comfortable liquidity earns a score of 67/100.

Cash Flow

100

Netease converts 44.1% of revenue into free cash flow ($7.1B). This strong cash generation earns a score of 100/100.

Returns

Netease's ROE of 21.7% shows moderate profitability relative to equity, earning a score of 60/100. This is down from 21.8% the prior year.

Piotroski F-Score Strong

7/9

Netease passes 7 of 9 financial strength tests. All 4 profitability signals pass (positive income, cash flow, and earnings quality), 2 of 3 leverage/liquidity signals pass, 1 of 2 efficiency signals pass.

Earnings Quality Cash-Backed

1.46x

For every $1 of reported earnings, Netease generates $1.46 in operating cash flow ($7.3B OCF vs $5.0B net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.

Key Financial Metrics

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Earnings & Revenue

Revenue

$16.1B

YoY+11.6%

5Y CAGR+7.4%

10Y CAGR+16.4%

Netease generated $16.1B in revenue in fiscal year 2025. This represents an increase of 11.6% from the prior year.

EBITDA

$5.4B

YoY+24.2%

5Y CAGR+14.6%

10Y CAGR+16.8%

Netease's EBITDA was $5.4B in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 24.2% from the prior year.

Net Income

$5.0B

YoY+20.0%

5Y CAGR+21.4%

10Y CAGR+16.9%

Netease reported $5.0B in net income in fiscal year 2025. This represents an increase of 20.0% from the prior year.

EPS (Diluted)

$1.50

YoY+19.0%

5Y CAGR+22.2%

10Y CAGR+17.1%

Netease earned $1.50 per diluted share (EPS) in fiscal year 2025. This represents an increase of 19.0% from the prior year.

Cash & Balance Sheet

Free Cash Flow

$7.1B

YoY+35.0%

5Y CAGR+14.2%

10Y CAGR+20.4%

Netease generated $7.1B in free cash flow in fiscal year 2025, representing cash available after capex. This represents an increase of 35.0% from the prior year.

Cash & Debt

$6.7B

YoY-4.2%

5Y CAGR+37.0%

10Y CAGR+22.7%

Netease held $6.7B in cash against $0 in long-term debt as of fiscal year 2025.

Dividends Per Share

N/A

Shares Outstanding

3.19B

YoY+0.8%

5Y CAGR-1.0%

10Y CAGR-0.3%

Netease had 3.19B shares outstanding in fiscal year 2025. This represents an increase of 0.8% from the prior year.

Margins & Returns

Gross Margin

64.3%

YoY+1.8pp

5Y CAGR+11.4pp

10Y CAGR+5.5pp

Netease's gross margin was 64.3% in fiscal year 2025, indicating the percentage of revenue retained after direct costs. This is up 1.8 percentage points from the prior year.

Operating Margin

31.8%

YoY+3.7pp

5Y CAGR+12.1pp

10Y CAGR-0.1pp

Netease's operating margin was 31.8% in fiscal year 2025, reflecting core business profitability. This is up 3.7 percentage points from the prior year.

Net Margin

30.9%

YoY+2.2pp

5Y CAGR+14.2pp

10Y CAGR+1.4pp

Netease's net profit margin was 30.9% in fiscal year 2025, showing the share of revenue converted to profit. This is up 2.2 percentage points from the prior year.

Return on Equity

21.7%

YoY-0.1pp

5Y CAGR+6.7pp

10Y CAGR-1.3pp

Netease's ROE was 21.7% in fiscal year 2025, measuring profit generated per dollar of shareholder equity. This is down 0.1 percentage points from the prior year.

Capital Allocation

R&D Spending

$2.5B

YoY+5.5%

5Y CAGR+9.8%

10Y CAGR+22.5%

Netease invested $2.5B in research and development in fiscal year 2025. This represents an increase of 5.5% from the prior year.

Share Buybacks

N/A

Capital Expenditures

$152.3M

YoY-12.8%

5Y CAGR-1.2%

10Y CAGR+1.3%

Netease invested $152.3M in capex in fiscal year 2025, funding long-term assets and infrastructure. This represents a decrease of 12.8% from the prior year.

NETTF Income Statement

Metric	FY25	FY24	FY23	FY22	FY21	FY20
Revenue	$16.1B+11.6%	$14.4B-1.0%	$14.6B+4.2%	$14.0B+1.8%	$13.7B+21.8%	$11.3B
Cost of Revenue	$5.8B+6.3%	$5.4B-4.9%	$5.7B-10.2%	$6.3B-0.6%	$6.4B+20.0%	$5.3B
Gross Profit	$10.4B+14.8%	$9.0B+1.5%	$8.9B+16.1%	$7.7B+3.8%	$7.4B+23.4%	$6.0B
R&D Expenses	$2.5B+5.5%	$2.4B+3.4%	$2.3B+6.5%	$2.2B-1.3%	$2.2B+39.0%	$1.6B
SG&A Expenses	$604.6M-3.0%	$623.4M-9.7%	$690.1M+1.4%	$680.8M+1.8%	$669.0M+29.5%	$516.8M
Operating Income	$5.1B+26.4%	$4.1B+3.8%	$3.9B+37.1%	$2.8B+10.5%	$2.6B+15.6%	$2.2B
Interest Expense	N/A	N/A	N/A	N/A	N/A	N/A
Income Tax	$862.7M+15.3%	$748.2M+13.0%	$661.9M-9.3%	$729.5M+12.6%	$647.8M+39.0%	$466.2M
Net Income	$5.0B+20.0%	$4.1B+0.2%	$4.1B+43.7%	$2.9B+8.0%	$2.7B+41.0%	$1.9B
EPS (Diluted)	$1.50+19.0%	$1.26-0.8%	$1.27+42.7%	$0.89+12.7%	$0.79+43.6%	$0.55

Metric	Q4'25	Q4'24	Q4'23	Q4'22	Q4'21	Q4'20	Q4'19	Q4'18
Revenue	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Cost of Revenue	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Gross Profit	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
R&D Expenses	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
SG&A Expenses	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Operating Income	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Interest Expense	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Income Tax	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Net Income	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
EPS (Diluted)	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

NETTF Balance Sheet

Metric	FY25	FY24	FY23	FY22	FY21	FY20
Total Assets	$31.7B+17.9%	$26.9B+2.5%	$26.2B+4.5%	$25.0B+3.9%	$24.1B+10.9%	$21.7B
Current Assets	$25.8B+23.0%	$21.0B+4.5%	$20.1B+5.3%	$19.1B+7.5%	$17.8B+7.4%	$16.5B
Cash & Equivalents	$6.7B-4.2%	$7.0B+133.2%	$3.0B-16.4%	$3.6B+58.6%	$2.3B+62.8%	$1.4B
Inventory	$98.6M+25.9%	$78.3M-20.1%	$97.9M-32.0%	$144.1M-4.8%	$151.4M+59.0%	$95.2M
Accounts Receivable	$763.3M-1.7%	$776.7M-14.1%	$904.6M+24.7%	$725.3M-16.1%	$864.3M+23.2%	$701.4M
Goodwill	N/A	N/A	N/A	N/A	N/A	N/A
Total Liabilities	$8.1B+9.9%	$7.3B-10.0%	$8.1B-12.0%	$9.3B+8.9%	$8.5B+15.5%	$7.4B
Current Liabilities	$7.5B+10.1%	$6.8B-10.3%	$7.6B-8.0%	$8.2B+4.0%	$7.9B+10.6%	$7.2B
Long-Term Debt	N/A	$58.6M-2.7%	$60.3M-88.6%	$529.9M+164.8%	$200.1M	N/A
Total Equity	$22.9B+20.6%	$19.0B+8.5%	$17.5B+15.3%	$15.2B+1.5%	$15.0B+18.9%	$12.6B
Retained Earnings	$21.4B+19.9%	$17.9B+13.0%	$15.8B+19.7%	$13.2B+8.6%	$12.2B+23.7%	$9.8B

Metric	Q4'25	Q4'24	Q4'23	Q4'22	Q4'21	Q4'20	Q4'19	Q4'18
Total Assets	$31.7B+17.9%	$26.9B+2.5%	$26.2B+4.5%	$25.0B+3.9%	$24.1B+10.9%	$21.7B+35.0%	$16.1B+27.3%	$12.6B
Current Assets	$25.8B+23.0%	$21.0B+4.5%	$20.1B+5.3%	$19.1B+7.5%	$17.8B+7.4%	$16.5B+35.2%	$12.2B+22.3%	$10.0B
Cash & Equivalents	$6.7B-4.2%	$7.0B+133.2%	$3.0B-16.4%	$3.6B+58.6%	$2.3B+62.8%	$1.4B+199.6%	$466.3M-40.5%	$783.8M
Inventory	$98.6M+25.9%	$78.3M-20.1%	$97.9M-32.0%	$144.1M-4.8%	$151.4M+59.0%	$95.2M+1.9%	$93.4M-87.2%	$729.8M
Accounts Receivable	$763.3M-1.7%	$776.7M-14.1%	$904.6M+24.7%	$725.3M-16.1%	$864.3M+23.2%	$701.4M+17.1%	$598.9M-4.0%	$623.7M
Goodwill	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Total Liabilities	$8.1B+9.9%	$7.3B-10.0%	$8.1B-12.0%	$9.3B+8.9%	$8.5B+15.5%	$7.4B+31.3%	$5.6B+8.6%	$5.2B
Current Liabilities	$7.5B+10.1%	$6.8B-10.3%	$7.6B-8.0%	$8.2B+4.0%	$7.9B+10.6%	$7.2B+30.4%	$5.5B+7.6%	$5.1B
Long-Term Debt	N/A	$58.6M-2.7%	$60.3M-88.6%	$529.9M+164.8%	$200.1M	N/A	N/A	N/A
Total Equity	$22.9B+20.6%	$19.0B+8.5%	$17.5B+15.3%	$15.2B+1.5%	$15.0B+18.9%	$12.6B+42.6%	$8.8B+34.2%	$6.6B
Retained Earnings	$21.4B+19.9%	$17.9B+13.0%	$15.8B+19.7%	$13.2B+8.6%	$12.2B+23.7%	$9.8B+21.4%	$8.1B+26.6%	$6.4B

NETTF Cash Flow Statement

Metric	FY25	FY24	FY23	FY22	FY21	FY20
Operating Cash Flow	$7.3B+33.5%	$5.4B+9.2%	$5.0B+23.9%	$4.0B+2.7%	$3.9B+2.6%	$3.8B
Capital Expenditures	$152.3M-12.8%	$174.7M-46.1%	$324.2M+6.5%	$304.5M+21.1%	$251.4M+55.4%	$161.8M
Free Cash Flow	$7.1B+35.0%	$5.3B+13.1%	$4.7B+25.3%	$3.7B+1.4%	$3.7B+0.2%	$3.7B
Investing Cash Flow	-$4.7B-293.3%	$2.5B+202.3%	-$2.4B-124.7%	-$1.1B+3.8%	-$1.1B+75.2%	-$4.5B
Financing Cash Flow	-$2.9B+23.0%	-$3.7B-23.9%	-$3.0B-103.7%	-$1.5B+24.8%	-$2.0B-230.0%	$1.5B
Dividends Paid	$2.0B+29.2%	$1.5B+35.5%	$1.1B+15.8%	$974.8M+77.1%	$550.5M-16.1%	$656.0M
Share Buybacks	N/A	N/A	N/A	N/A	N/A	N/A

Metric	Q4'25	Q4'24	Q4'23	Q4'22	Q4'21	Q4'20	Q4'19	Q4'18
Operating Cash Flow	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Capital Expenditures	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Free Cash Flow	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Investing Cash Flow	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Financing Cash Flow	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Dividends Paid	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Share Buybacks	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

NETTF Financial Ratios

Metric	FY25	FY24	FY23	FY22	FY21	FY20
Gross Margin	64.3%+1.8pp	62.5%+1.5pp	61.0%+6.3pp	54.7%+1.1pp	53.6%+0.7pp	52.9%
Operating Margin	31.8%+3.7pp	28.1%+1.3pp	26.8%+6.4pp	20.3%+1.6pp	18.7%-1.0pp	19.7%
Net Margin	30.9%+2.2pp	28.7%+0.4pp	28.4%+7.8pp	20.6%+1.2pp	19.4%+2.6pp	16.7%
Return on Equity	21.7%-0.1pp	21.8%-1.8pp	23.6%+4.7pp	18.9%+1.1pp	17.8%+2.8pp	15.0%
Return on Assets	15.7%+0.3pp	15.4%-0.4pp	15.8%+4.3pp	11.5%+0.4pp	11.1%+2.4pp	8.7%
Current Ratio	3.45+0.4	3.09+0.4	2.65+0.3	2.32+0.1	2.24-0.1	2.31
Debt-to-Equity	0.35+0.3	0.000.0	0.00-0.0	0.03+0.0	0.01-0.6	0.59
FCF Margin	44.1%+7.6pp	36.5%+4.6pp	31.9%+5.4pp	26.5%-0.1pp	26.6%-5.7pp	32.4%

Metric	Q4'25	Q4'24	Q4'23	Q4'22	Q4'21	Q4'20	Q4'19	Q4'18
Gross Margin	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Operating Margin	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Net Margin	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Return on Equity	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Return on Assets	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Current Ratio	3.45+0.4	3.09+0.4	2.65+0.3	2.32+0.1	2.24-0.1	2.31+0.1	2.23+0.3	1.96
Debt-to-Equity	0.35+0.3	0.000.0	0.00-0.0	0.03+0.0	0.01-0.6	0.59-0.1	0.64-0.2	0.79
FCF Margin	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

Frequently Asked Questions

What is Netease's annual revenue?

Netease (NETTF) reported $16.1B in total revenue for fiscal year 2025. This represents a 11.6% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.

How fast is Netease's revenue growing?

Netease (NETTF) revenue grew by 11.6% year-over-year, from $14.4B to $16.1B in fiscal year 2025.

Is Netease profitable?

Yes, Netease (NETTF) reported a net income of $5.0B in fiscal year 2025, with a net profit margin of 30.9%.

What is Netease's EBITDA?

Netease (NETTF) had EBITDA of $5.4B in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.

What is Netease's gross margin?

Netease (NETTF) had a gross margin of 64.3% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.

What is Netease's operating margin?

Netease (NETTF) had an operating margin of 31.8% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.

What is Netease's net profit margin?

Netease (NETTF) had a net profit margin of 30.9% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.

What is Netease's return on equity (ROE)?

Netease (NETTF) has a return on equity of 21.7% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.

What is Netease's free cash flow?

Netease (NETTF) generated $7.1B in free cash flow during fiscal year 2025. This represents a 35.0% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.

What is Netease's operating cash flow?

Netease (NETTF) generated $7.3B in operating cash flow during fiscal year 2025, representing cash generated from core business activities.

What are Netease's total assets?

Netease (NETTF) had $31.7B in total assets as of fiscal year 2025, including both current and long-term assets.

What are Netease's capital expenditures?

Netease (NETTF) invested $152.3M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.

How much does Netease spend on research and development?

Netease (NETTF) invested $2.5B in research and development during fiscal year 2025.

How many shares does Netease have outstanding?

Netease (NETTF) had 3.19B shares outstanding as of fiscal year 2025.

What is Netease's current ratio?

Netease (NETTF) had a current ratio of 3.45 as of fiscal year 2025, which is generally considered healthy.

What is Netease's debt-to-equity ratio?

Netease (NETTF) had a debt-to-equity ratio of 0.35 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.

What is Netease's return on assets (ROA)?

Netease (NETTF) had a return on assets of 15.7% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.

What is Netease's Piotroski F-Score?

Netease (NETTF) has a Piotroski F-Score of 7 out of 9, indicating strong financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.

Are Netease's earnings high quality?

Netease (NETTF) has an earnings quality ratio of 1.46x, considered cash-backed (high quality). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.

How financially healthy is Netease?

Netease (NETTF) scores 75 out of 100 on our Financial Profile, indicating strong overall financial health. This composite score evaluates six dimensions: profitability (operating margin), revenue growth, leverage (debt-to-equity), liquidity (current ratio), cash flow quality (free cash flow margin), and shareholder returns (return on equity). Each dimension is normalized against standard financial benchmarks. Learn more in our complete guide to financial health indicators.