NetDragon Deepens AI Transformation While Boosting Shareholder Payouts

An announcement from NetDragon Websoft Holdings ( (HK:0777) ) is now available.

NetDragon reported continued progress on its ‘AI Now’ transformation in 2025, using artificial intelligence to streamline operations and enhance products across education, gaming and strategic AI investments. Operating expenses fell 22.2% year on year and second-half operating profit rose 47.7%, while its U.S.-listed education arm narrowed adjusted EBITDA losses and the gaming segment maintained a 27.4% core profit margin despite lower revenue.

The group deepened AI-focused partnerships with Volcengine in China’s higher and vocational education markets, education authorities in Thailand and Cameroon, and secured new backing for its Hong Kong subsidiary Cherrypicks to drive overseas AI expansion. Supported by a strong ESG rating upgrade to MSCI A, solid gaming core profit of RMB897 million and a RMB2.0 billion net cash and liquid investment position, the company reinforced its commitment to shareholder returns with HKD1.0 per share in 2025 dividends and a pledge to distribute at least HKD600 million more over the next 12 months through dividends and buybacks.

The most recent analyst rating on (HK:0777) stock is a Hold with a HK$12.50 price target. To see the full list of analyst forecasts on NetDragon Websoft Holdings stock, see the HK:0777 Stock Forecast page.

More about NetDragon Websoft Holdings

NetDragon Websoft Holdings Limited is a Cayman Islands-incorporated company listed in Hong Kong that operates across online education, gaming and AI-driven digital services. The group focuses on education AIGC, AI-native games and AI+ strategic investments, leveraging its AI Content Factory and international partnerships to build gamified, immersive learning and entertainment ecosystems.

Average Trading Volume: 2,658,338

Technical Sentiment Signal: Sell

Current Market Cap: HK$4.46B

For an in-depth examination of 0777 stock, go to TipRanks’ Overview page.