Dear friends,
Time flies! We wish you a prosperous year of the pig!
Looking back 2018:
NetDragon’s gaming business have developed progressively.
Netdragon’s education businesses have solidified its foundation.
We sincerely thank you for your support to NetDragon in 2018!
Let’s review our journey in 2018 together.
NetDragon Websoft Holdings Limited (HKEx stock code: 777) is a global leader in building internet communities with highly successful track records in developing and expanding multiple internet and mobile platforms, having great influence on hundreds of millions of users. Founded in 1999, headquartered in Fuzhou, Fujian, China, NetDragon was listed on the Hong Kong Stock Exchange in 2007, and is currently a constituent stock of the Hang Seng Composite LargeCap & MidCap Index and an eligible stock of Hong Kong Stock Connect.
In first half of 2018, NetDragon’s total revenue reached a new high record.
Our overall operational metrics and profitability improved significantly.
Our two major businesses, namely gaming business and education business, grow sustainably and ready to take off respectively.
Gaming business
NetDragon is one of the most prestigious and well-known online game developers in China with a highly successful track record which includes the development of flagship games including Eudemons Online, Heroes Evolved and Conquer Online. In the first half of 2018, the revenue of our gaming business reached a record-high at RMB1.039 billion with 29.5% year-over-year growth. In the past three years, revenue from our gaming business maintained the compound growth rate at 30%, and the compound growth rate of core operating profit was more than 70%. In addition, multiple new games will be launched in the future.
Countries
No. of Titles
Gaming operation
experience
MAU
DAU
Education business
NetDragon is committed to building the world's largest online learning community, which aims at bringing "Future Classrooms" to schools around the world. In the first half of 2018, revenue from education business was RMB1.384 billion with a 48.2% increase year-over-year. It has recorded significant growth in the past two years
Countries
Registered Users
Installed Base
(101 Edu PPT-China)
MAU
Students taught
by Teachers WAU
Schools
Classrooms
Learning resources
created and shared
NetDragon brings VR products and events to the Beijing Normal University Academic Week, providing policy, technology, platform, talent and training support for the development of VR/AR/MR+ education.
NetDragon continued educational technology partnership with the City of Moscow, and won the second phase order to provide the latest immersive learning classroom technology for more than 13,000 classrooms and nearly 29,000 educators.
NetDragon announced the fourth quarter and fiscal year 2017 financial results. NetDragon returned to Non-GAAP full year profitability.
The Third US-China Smart Education Conference led the collision of Chinese and American wisdom in education. Liu Dejian, Founder and Chairman of NetDragon, presided over the theme report of the conference and extended his support for AI and education informatization.
NetDragon, together with the University of North Texas, co-established a digital research center, in order to promote the worldwide sharing of advanced research results and high-quality educational resources.
NetDragon partnered with Beijing Normal University and University of Novi Sad, Serbia to establish Virtual Laboratory of Future Education, in order to promote cooperation with the Central and Eastern European countries in the field of educational informatization and achieve mutual benefits.
Life is endless, and we must keep moving. LEVEL UP! NetDragon's annual 518 Sports Meeting was held.
On July 1, more than 2,000 educators of NetDragon faced the national flag and made the solemn oath to be “dedicated to education and lifelong learning”. Approximately 10 media outlets such as China News Service, China Net, and NetEase News collectively witnessed the annual event of NetDragon Oath-taking Ceremony.
Liu Dejian, Founder and Chairman of NetDragon, was invited to attend the IEEE International Conference on Advanced Learning Technologies (ICALT) and elaborated on the company's unique vision to build the world's largest learning community with cutting-edge technology.
NetDragon's subsidiary Edmodo partnered with IBM Watson Education to create personalized tools for educators and close learning gaps by using AI.
NetDragon ranked among “Chinese Top 100 Internet Companies”, released by the Ministry of Industry and Information technology and the Internet Society of China, for six years in a row, moving up to 36th position this year.
NetDragon announced a partnership with LEGO Education to jointly promote the development of STEAM education in China, and jointly empowered STEAM education ecology of primary and secondary schools.
NetDragon’s upcoming new game “Vow of Heroes” was invited by Japan's largest game information portal 4Gamer and appeared at the Tokyo Game Show, the world's second largest game show. It earned recognition of many Japanese game media and industry professionals.
NetDragon’s subsidiary JumpStart launched the first school-oriented product JumpStart Academy.
NetDragon shared the experience and achievements of digital education construction at UN Headquarters, as the only invited Chinese enterprise.
NetDragon invested in big data smart education platform, “Eiduo”, expanding its smart education strategic planning and deepening big data applications.
NetDragon signed a tripartite cooperation Memorandum of Understanding on digital education with Aspire Link, a local professional education institution in Malaysia, and the Sarawak State Government of Malaysia. The three parties will play their respective advantages to develop and improve digital education in Sarawak.
Dr. Xiong Li, CEO of NetDragon was awarded as the “2018 Education Industry Leader”.
Running a 10K is not just about speed, it’s about persistence. It’s not difficult to give up, but persisting till the end of the race must be cool! The 5th NetDragon’s Quarter Marathon 2018 started with full force.
Liu Dejian, Founder and Chairman of NetDragon has become a member of the China Informatization 100-member Association. NetDragon and the association will further "upgrade" their cooperation and jointly contribute to the development of China's information industry.
NetDragon's flagship game Conquer Online released its new expansion film "Mystery Runes ", players can unleash the full potential of their characters with the brand-new magic runes.
NetDragon announced the acquisition of Edmodo to create the largest global learning community. Edmodo is one of the largest active global education network with more than 100 million registered users.
NetDragon became a strategic partner of “The First Digital China Summit” and hosted the “Digital Marine Silk Road” sub-forum. NetDragon’s AI Guide served and supported the Digital China Summit. NetDragon also launched the first AI Assistant at the conference, depicting the development blueprint of “AI + Education”.
NetDragon and Pearson announced the agreement of strategic partnership at “Digital Marine Silk Road” sub-forum of The First Digital China Summit, leveraging their respective strengths to jointly build digital education products and explore new modes of Internet education.
NetDragon’s subsidiary Promethean showcased advanced educational technology at the 2018 American International Education Technology Exhibition (ISTE).
Dr. Xiong Li, CEO of NetDragon, delivered a keynote speech at the 16th Strait Youth Forum: NetDragon will deepen cooperation with Taiwan, Hong Kong and Macao to promote the global sharing of quality education resources.
NetDragon showcased its next generation of two-dimensional adventure mobile game "Vow of Heroes" at the ChinaJoy Exhibition in 2018, this upcoming new game brought brand-new experience to players.
NetDragon visited Nigeria and Kenya, bringing advanced education technologies and jointly released the “Initiative of Digital Education in Africa” with the governments of the two countries. Liu Dejian, Founder and Chairman of NetDragon, was awarded the “Nigeria Sustainable Development Goal Ambassador”.
NetDragon held a conference to present its 2018 interim results. With its excellent execution in the gaming and education business in the first half of 2018, NetDragon's performance reached another new high, and the presentation was well received by audience.
NetDragon and Wal-Mart launched the “Wal Class” of the omni-channel retail mobile learning community. The “Wal Class” received more than 80,000 users in less than one month, and more than 30% of them are daily active users.
NetDragon was invited as a representative of Hong Kong-listed new economy enterprises, to participate in the Hong Kong Chinese Securities Chief Forum hosted by the Hong Kong Chinese Securities Association and co-organized by the Hong Kong Stock Exchange. Ben Yam, CFO of NetDragon, was invited to attend the forum and discuss the topics of Hong Kong's capital market and the new economy.
"Eudemons Online" mobile products, "Eudemons Online Pocket Version" and "Eudemons Online Mobile", totaled over RMB100 million gross revenue in a single month, achieving another new record high.
NetDragon "game + education" dual engines drive the future! Simon Leung, Vice Chairman of NetDragon accepted an exclusive interview with iMoney Magazine.
NetDragon collaborated with Pearson, the world's leading educational institution, to launch “Longman Plus”, providing solutions for pre-class, in-class and after-class for primary and secondary schools in Hong Kong.
Former Egyptian Deputy Minister of Education Akram Elnashar and his colleagues visited NetDragon. NetDragon's innovations in the fields of game and education impressed the group and laid a solid foundation for comprehensive strategic cooperation in the future.
NetDragon's flagship IP "Eudemons Online" gross revenue set a new record high for the full year.
Subsidiary of NetDragon, JumpStart's new Neopets RPG vocabulary puzzle game, Legends & Letters, is equipped with brand-new customizable characters and storylines, providing our new and old fans a completely new sensation of retro games.
Dr. Xiong Li, CEO of NetDragon was on the 2019 New Year cover of Internet Weekly of the Chinese Academy of Sciences. Internet Weekly titled "We Got There Faster Only Because We Don’t Take Shortcuts" interpreted from multiple angles on how NetDragon strives to build a global lifelong learning community and promotes educational equality.
The Big Data Application Academy of China Education was established in Digital China Education Town, entrusting NetDragon Huayu Education as the executive dean unit to undertake the operation. NetDragon responds to the national big data strategy by promoting the development of digital education.
NetDragon showcased the hottest learning technologies at the 2019 British Educational Training and Technology Show (“Bett Show”) with its three subsidiaries, Promethean, Edmodo and JumpStart.
Golden Hong Kong Stocks Awards is reputed as a benchmark for assessing the most valuable and the most high growth potential listed companies, NetDragon received the "Best Stock Connect (Southbound) Company" award, highlighting the industry's attention on NetDragon.
Ben Yam, CFO of NetDragon accepted an interview with RTHK and it was reported on the iMoney magazine.
Huayu Education, an education business brand of NetDragon, officially reached a cooperation agreement with Disney, and will be introducing Disney's well-known animated images for its flagship product 101 Education PPT in the future.
NetDragon’s 2018 was excellent, let us continue to excel in 2019!
Actively organized and participated in capital market activities
Increased coverage and tracked by both international and Chinese investment banks
Expanding IR communication channels from various angles
NetDragon’s net inflow of mainland China funds in 2018 recorded hundred millions of Hong Kong dollars
Hong Kong Stock Connect shareholding ratio increased significantly
*Due to copyright issues, the research reports show only the above contents.
Apart from our current official investor relations’ Wechat and Xueqiu account, we now have created an official investor relations account for Facebook and Linkedln in 2018. This accommodates our overseas users and investors for greater exposure to overseas capital markets.
“Best TMT Value Share” in Golden Hong Kong Stocks 2017
National Cultural Export Key Enterprises 2017-2018
2017 Outstanding Enterprise of the Year in China Gaming Industry
NetDragon’s subsidiary Promethean received the 24th Annual Best Education Software Award and EdTech Digest’s 2018 Cool Tool Awards
Goldfinger Award China Game Industry Excellent Enterprise 2017
NetDragon’s subsidiary Promethean won 3 Tech & Learning ISTE Best of Show Awards
China's Top 100 Enterprises 2018 in Software and Information Technology Services
2018 China Internet Enterprise Top 100
NetDragon was selected as Top 20 Internet Companies in Fujian Province and ranked in the top 3
Top 10 Cultural Enterprises in Fujian province
Title of "Fuzhou City Employment Expansion Top 10 Private Enterprises"
NetDragon’s subsidiary Tianqing received the title of “Fuzhou Invention and Innovation Top 10 Private Enterprises”
IR Magazine Awards Greater China 2018
“Best Hong Kong Stock Connect (Southbound) Company” in Golden Hong Kong Stocks Awards 2018
Golden V Award 2019 Best Educational Application Award
NetDragon’s subsidiary Promethean was awarded “ICT Company of the Year” at Bett Awards 2019
The digital reference book APP jointly launched by NetDragon and People's Education Electronic Audio and Video Publishing House received the honor of “Excellent Innovation Project”
"2018 is the year of upgrade for NetDragon, having gone through relentless efforts, NetDragon is connecting global markets using digital education.
In 2019, we embrace the 20th year of the company's development.
We are all working hard, we are all dreamers.
I wish you all a Happy New Year!”
——New Year greeting from Liu Dejian, Chairman of NetDragon
