HUYA Q2 Profit Beats Estimates; To Repurchase $100 Mln Of Shares

(RTTNews) - Chinese game live streaming platform HUYA Inc. (HUYA), Tuesday reported net earnings in the second quarter compared to a loss for the same period prior year. The adjusted results beat estimates. However, revenue declined on lower number of quarterly paying users.

The company also announced a share repurchase program of $100 million of its ADS over the next 12 months.

Quarterly net earnings were RMB 23.2 million or $3.2 million, compared with a loss of RMB 19.4 million or $2.9 million of last year.

Earnings per ADS was RMB 0.09 or $0.01 compared to a loss of RMB 0.08 per ADS or $0.01 per ADS of the prior year.

Adjusted earnings were RMB 115.1 million or $15.9 million, compared to prior year's earnings of RMB 5.9 million or a loss of $0.9 million.

Adjusted earnings per ADS was RMB 0.47 or $0.06, compared to loss of RMB 0.02 or $0.004 for the same period last year.

On average, four analysts polled by Thomson Reuters expected the company to report earnings of $0.02 per share for the quarter. Analysts' estimates typically exclude one-time items.

Revenues, however, decreased to RMB 1.821 billion or $251.2 million from RMB 2.275 billion or $339.7 million last year, as the number of quarterly paying users reduced to 4.6 million from 5.6 million of previous year.

The Street estimate for revenue is $270.86 million.

In premarket activity, shares of HUYA are trading at $2.75, up 2.23% on the New York Stock Exchange.