DouYu International Holdings Limited (NASDAQ:DOYU) Q3 2022 Earnings Call Transcript

In the LoL segment, we lost some users who mainly watched official tournaments on our platform as we did not purchase the copyright of LPL. However, the traffic of non-copyright content has remained stable and user interactions improved sequentially. This was driven by the quality of our premium self-produced content, as well as innovative operations. In certain gaming segments, we introduced new game specific membership services based on each game’s features and our users’ need. This measures not only attracting new users, but also drove the recovery of those segments traffic and greatly improved user engagement. Following three quarters of operational adjustments, we have built a healthy and interactive community on our platform, and have stabilized our user base, thanks to our premium streamer resources and self-produced content.

Going forward, we will continue to enhance the engagement of our core users, attract more users, and cultivate our gaming centric ecosystem. Nevertheless, we cannot ignore the impact of large scale turbines on traffic. In the fourth quarter, we will try our best to keep all of traffic stable without the copyright of the LoL World Championship. Thank you. Operator, next question please.

Operator: The next question comes from Thomas Chong of Jefferies. Please go ahead.

Thomas Chong: Thanks management for taking my questions. Just now, management talks about content and operations are crucial in maintaining traffic, which is a very key reason for the in terms of the traffic source. I just want to get some more color from the management perspective in terms of the progress and our plans in content and operations side? Thank you.

Hao Cao: Certainly , our gaming content is generated from a streamer’s content and our collaboration with game developers. This is gradually developed for better quality based on user feedback. As our high clients continue to attract more users, most are drawn to our platform and , high quality content is the core of our business. As such, we continue to upgrade our opportunity and continue to meet the evolving demand of leaders and to create a healthy gaming ecosystem through high quality content and operational refinement. On top of having our main form of content that we have added videos and the community poster contends to diversify and enrich our market based content center. We have also further strengthened and the operation of our existing gaming content to stabilize our core user base.

At the same time, we excluded our in order to long tail users and expand our overall user base. We continue to improve the quality of our sales projects content, and the key investing in professional automotive . For , such as and our teams by headwinds. We successfully launched a significant sales producer for our professional tournaments. We were supported and acknowledged that by each game developers and were well received by hardcore gamers. Meanwhile, we continued our efforts producing a major tournament, our content and production initiatives this quarter were concentrated upon enhancement of our interactions between streamers and users. Based on precise consumer recommendation, we provide users with content relevant to the interest and users were more effectively directed to continuing .

This improved users of our experience and without increased . Based on the strong performance of our 12 streamers on the LoL gaming segment, we subsequently towards a in on our in October and also received the presentation from our dealers. In terms of operation, we continue to depend our collaborations with gaming development. This collaboration has evolved from and basic collaboration into a core strengthening where we work with game developers throughout the entire game . We persistently diversified supply, content and planning events. And we have now begun to explore commercialization opportunities in multiples for instance where comparatively cash flow, game data, income lines with rewards and regulation. Providing a better viewing experience for our users.

This was a crucial step in the development of our in-depth collaboration transit. , we launched a membership service in all our games segments to increase the value-added service on our platform. Besides on our , we also launched a game sensitive membership in other digital game segments based on both game unique features and users . By providing value-added services to other than gaming content we further enhanced users’ to our platform. Going forward, we are dedicated to creating a more indirect table game ecosystem on top of our existing content system. Our goal is to provide users with the best experience on our platform. In regards to gaming consensus, gaming experience, and gaming demand. Thank you. Please next question.

Operator: The next question comes from Raphael Chen of BOCI. Please go ahead.