Sohu.com Inc ( (SOHU) ) has released its Q3 earnings. Here is a breakdown of the information Sohu.com Inc presented to its investors.
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Sohu.com Limited, a prominent Chinese online media and gaming company, has reported its financial results for the third quarter of 2025, showcasing significant growth in its online gaming sector.
In the third quarter of 2025, Sohu.com Limited achieved total revenues of $180 million, marking a 19% increase year-over-year and a 43% rise quarter-over-quarter. The company’s online game revenues surged by 27% year-over-year and 53% quarter-over-quarter, driven by the successful launch of the new PC game ‘Tian Long Ba Bu: Return.’ However, marketing services revenues saw a decline, dropping 27% year-over-year and 13% quarter-over-quarter.
Key financial metrics indicate a positive turnaround for Sohu, with a GAAP net income of $9 million, compared to net losses in the previous year and quarter. The company also reported a gross margin of 81%, up from 74% in the same quarter last year. Operating expenses increased slightly, but the company managed to achieve an operating profit of $14 million, reversing previous losses.
Looking ahead, Sohu’s management remains optimistic about its gaming business, citing a deep understanding of user needs and operational expertise as drivers for continued success. The company plans to focus on refining its media platform and enhancing user experiences to unlock further monetization potential.
Sohu’s outlook for the fourth quarter of 2025 anticipates a decrease in online game revenues but expects marketing services revenues to increase sequentially. The company projects a net loss for the upcoming quarter, reflecting cautious optimism amid market uncertainties.