IQIYI Reports 14% Revenue Drop, Strong Q4 Performance

iQIYI, Inc. reported significant financial challenges for Q4 2024, posting a net loss of RMB 189.4 million, a stark contrast to a profit of RMB 466.2 million in the same period in 2023. Total revenues decreased by 14% year-over-year to RMB 6.61 billion, with membership services revenue declining by 15% due to a lighter content slate. Despite these setbacks, the company experienced a rebound late in the year following the release of several blockbuster series, which improved its position in the drama market and increased subscriber numbers. Operating income also fell, with margins declining compared to the previous year. The company's focus on enhancing its mini-drama segment and ad-placement system aims to bolster revenue growth in 2025. Overall, iQIYI is navigating through a challenging financial landscape while attempting to leverage its strong content strategy to regain momentum.