HUYA Q1: Earnings Beat, Improving Average Mobile MAU & More - HUYA (NYSE:HUYA)

HUYA Inc HUYA reported Q1 2023 revenue of $283.8 million, beating the consensus of $265.9 million.
Live streaming revenues declined Y/Y due to fewer paying users on Huya Live. Also, advertising and other revenues were down Y/Y on a considerable decline in content sub-licensing revenues and weak demand for advertising services in the quarter.
Average mobile MAUs of Huya Live was 82.1 million in Q1, compared with 81.9 million a year ago, aided by improved e-sports and entertainment program offerings and product enhancements.
The total number of paying users of Huya Live was 5.2 million in Q1, down from 5.9 million a year ago.
The gross margin was 13.2%, a contraction from 13.5% a year ago.
Adjusted EPS of $0.05 was better than the consensus of $0.00.
HUYA held $1.5 billion in cash and equivalents at the end of the quarter.
Rongjie Dong, CEO of Huya, said, "As more game titles have been approved in China in recent months, we plan to diversify our operational activities and deepen cooperation with game companies to seize the opportunities brought by new game launches, further solidifying our position in the game live streaming market and increasing our presence in the game value chain."
Price Action: HUYA shares are trading lower by 7.1% at $3.19 on the last check Tuesday.