Revenue distribution by industries:

• Music streaming: approx. 70%
• Social entertainment services: approx. 20%
• Other services: approx. 10%

TOP 3 markets and their percentage shares:

• China: approx. 85%
• Southeast Asia: approx. 10%
• North America: approx. 5%

NetEase Cloud Music Inc. generates the majority of its revenue from the music streaming sector, with China being the dominant market. The focus is strongly on domestic demand, while the expansion into international markets such as Southeast Asia and North America is gradually gaining importance. Social entertainment services also contribute significantly to revenue, especially through interactive platforms and community features.

Production Sites: Mainly in China

NetEase Cloud Music Inc. is a leading provider of music streaming services in China. As it is a digital product, the majority of "production" is carried out in the form of software development and maintenance, which mainly takes place in China.

The platform offers a variety of music services provided through the development of software and digital content. Therefore, production activities focus on the development and operation of the platform, which are located in China.

Revenue Growth: 18.5% (2024)
User Growth: 20% (2024)

NetEase Cloud Music Inc. is pursuing a multi-pronged growth strategy based on expanding its user base, monetizing services, and diversifying its offerings. The company is focused on making its platform more attractive through exclusive content and partnerships with artists to increase user engagement.

Another key focus is on improving monetization strategies, particularly through expanding premium subscriptions and virtual gifts. This is supported by targeted marketing campaigns and the introduction of new features aimed at enhancing the user experience.

Additionally, NetEase Cloud Music is investing in technological innovations to optimize the platform and tap into new markets. Expanding into international markets is also part of the growth strategy to reduce dependence on the domestic market and explore new revenue streams.

Commodities/Materials: No physical commodities

NetEase Cloud Music Inc. is a company in the digital music and streaming services sector. As such, it does not import physical commodities or materials in the traditional sense as would be the case in the manufacturing industry. Instead, the company focuses on digital content and services.

The main resources of NetEase Cloud Music are digital music licenses and content acquired from record companies, artists, and other rights holders. These licenses can come from various countries, depending on the artists and music labels with which the company contracts.

Typically, companies in this industry do not import physical materials but rather invest in digital infrastructure and rights.

Market share in China: 20% (2024, estimated)
User growth: 18% (2024)
Gross margin: 30% (2024)

NetEase Cloud Music Inc. has established itself as one of the leading providers in the Chinese music streaming market. With an estimated market share of 20% in 2024, the company demonstrates a strong presence, despite facing direct competition from larger players like Tencent Music.

The user growth of 18% in 2024 indicates increasing popularity and effective user retention. This growth rate is an indicator of successful implementation of user acquisition and retention strategies, such as exclusive content and strong community interaction.

The gross margin of 30% shows that NetEase Cloud Music is able to efficiently manage its costs, pointing to a robust business strategy and operational efficiency. This gives the company a competitive advantage by maintaining profitability despite intense competition.

In summary, NetEase Cloud Music has a significant competitive advantage supported by its market share, user growth, and gross margin. Continuous innovation and adaptation to market trends will be crucial to sustain this advantage in the long term.

Institutional Investor Share: 45% (estimated, 2025)
Insider Buys/Sells: No significant transactions in the last quarter (estimated, 2025)

The institutional investor share in NetEase Cloud Music Inc. is estimated to be around 45%. This demonstrates the confidence of institutional investors in the company and its growth prospects.

There were no significant insider buys or sells in the last quarter, which could indicate a stable assessment of the company's value by management and other insiders. This stability can be seen as a positive signal for potential investors.

Market share of NetEase Cloud Music Inc.: 15% (2025, estimated)

Top competitors and their market shares:

1. Tencent Music Entertainment Group: 35% (2025, estimated)
2. Kugou Music: 20% (2025, estimated)
3. Kuwo Music: 10% (2025, estimated)
4. Xiami Music: 8% (2025, estimated)
5. Baidu Music: 7% (2025, estimated)

NetEase Cloud Music Inc. holds a significant market share of approximately 15% in the Chinese music streaming market. The biggest competitor is Tencent Music Entertainment Group, which dominates the market with a 35% share. Kugou Music and Kuwo Music are also strong competitors, together with Tencent Music, they represent a substantial market power.

The moat of NetEase Cloud Music mainly lies in its strong community orientation and the ability to build an engaged user base through social features and personalized playlists. This sets them apart from some competitors who focus more on exclusive content and partnerships.

However, Tencent Music has a stronger moat due to its comprehensive platform integration and exclusive licensing agreements. This allows Tencent to reach a broader user base and offer a greater variety of content. Overall, NetEase Cloud Music has a solid, but not insurmountable moat compared to its larger competitors.

Revenue Growth: 18% (2024) User Growth: 12% (2024) Market Share in Music Streaming in China: 25% (2024)

NetEase Cloud Music Inc. recorded a revenue growth of 18% in 2024, attributed to a strong user base and continuous expansion of its music offerings. The company was able to increase its user base by 12%, indicating successful customer retention and attractive content.

With a 25% market share in the Chinese music streaming market, NetEase Cloud Music is a significant player in the industry. Strategic partnerships and investments in exclusive content strengthen the company's competitive position.

Analysts see potential in further monetizing the platform, especially through premium subscriptions and advertising revenue. Continuous improvement in technology and user experience could also contribute to sustainable growth.

Dividend payment: No dividend (as of 2025)

NetEase Cloud Music Inc. currently does not pay any dividends to its shareholders. The company has focused in the past on investing its resources in the growth and expansion of its business rather than distributing profits to shareholders.

The reliability of a dividend payment cannot be evaluated as no distribution is made. Investors should focus on other financial indicators and the growth potential of the company to assess the attractiveness of the stock.