Chinese Video Game Publisher NetEase Easily Beats Second-Quarter Views

Chinese video game publisher NetEase (NTES) on Thursday easily beat Wall Street's targets for the second quarter. The NetEase earnings report drove NTES stock higher in early trading. X The Hangzhou, China-based company earned an adjusted $5.64 per American depositary share on sales of $2.57 billion in the June quarter. Analysts expected NetEase earnings of $4.58 per U.S. share on sales of $2.45 billion. In the year-earlier period, NetEase earnings were $4.27 per U.S. share on sales of $2.68 billion. NetEase did not give guidance for the current quarter in its earnings news release. NetEase develops and operates popular PC and mobile games in China such as "Fantasy Westward Journey" and "Onmyoji." It also distributes games in China for Activision Blizzard (ATVI), Microsoft's (MSFT) Mojang and others. In addition to games, NetEase offers online education, music streaming and other internet services. Online Game Services Drive NetEase Earnings "We saw healthy gains across our business in the second quarter," Chief Executive William Ding said in the NetEase earnings release. "Strong performances from our online game services and NetEase Cloud Music" drove the growth, he said. He added, "With the continuous expansion of our abundant games pipeline, we are more confident and committed than ever to extending our reach to a broader market." In premarket trading on the stock market today, NTES stock rose a fraction, near 474.70. On Wednesday, ahead of the NetEase earnings news, NTES stock surged 4.4% to 474.53. On July 9, shares notched an all-time high of 503.27. Follow Patrick Seitz on Twitter at @IBD_PSeitz for more stories on consumer technology, software and semiconductor stocks. YOU MAY ALSO LIKE: This Highflying Textile Printer Beat Wall Street's Q2 Targets Activision Blizzard Guns Down Wall Street's Second-Quarter Estimates Put In Your Vote For The Most Trusted Financial Companies: Vote Here Best Growth Stocks To Buy And Watch: See Updates To IBD Stock Lists Join IBD Live For Stock Ideas Each Morning Before The Open The post Chinese Video Game Publisher NetEase Easily Beats Second-Quarter Views appeared first on Investor's Business Daily.