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      SOHU.COM REPORTS THIRD QUARTER 2025 UNAUDITED FINANCIAL RESULTS

      Sohu logo. (PRNewsFoto/Sohu.com Inc.)

      News provided by

      Sohu.com Limited

      Nov 17, 2025, 00:00 ET

      Share this article

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      BEIJING, Nov. 17, 2025 /PRNewswire/ -- Sohu.com Limited (NASDAQ: SOHU) ("Sohu" or the "Company"), a leading Chinese online media platform and game business group, today reported unaudited financial results for the third quarter ended September 30, 2025.

      Third Quarter Highlights

      • Total revenues were US$180 million, up 19% year-over-year and 43% quarter-over-quarter.
      • Marketing services revenues were US$14 million, down 27% year-over-year and 13% quarter-over-quarter.
      • Online game revenues were US$162 million, up 27% year-over-year and 53% quarter-over-quarter.
      • GAAP net income attributable to Sohu.com Limited was US$9 million, compared with a net loss of US$16 million in the third quarter of 2024 and a net loss of US$20 million in the second quarter of 2025.
      • Non-GAAP[1] net income attributable to Sohu.com Limited was US$9 million, compared with a net loss of US$12 million in the third quarter of 2024 and a net loss of US$20 million in the second quarter of 2025.

      Dr. Charles Zhang, Chairman and CEO of Sohu.com Limited, commented, "In the third quarter of 2025, our marketing services revenues were in line with our guidance, while both our online game revenues and our bottom-line performance, benefiting from our continuous efforts in the gaming business, were well above our prior expectations. We recorded positive net income this quarter. For the Sohu media platform, we continued to refine our products and integrate resources to better meet users' needs and enhance their experiences. Meanwhile, leveraging our product matrix and distinctive events, we remained committed to generating and distributing diversified premium content, and continuously energizing our platform. Our differentiated advantages and unique IP enabled us to further unlock monetization potential. For our online games, both new and established titles delivered outstanding performance, driven by our deep understanding of user needs and proven operational expertise."

      [1] Non-GAAP results exclude share-based compensation expense; and interest expense recognized in connection with the one-time transition tax (the "Toll Charge") imposed by the U.S. Tax Cuts and Jobs Act signed into law on December 22, 2017 (the "U.S. TCJA"). Explanation of the Company's non-GAAP financial measures and related reconciliations to GAAP financial measures are included in the accompanying "Non-GAAP Disclosure" and "Reconciliations of Non-GAAP Results of Operation Measures to the Nearest Comparable GAAP Measures."

      Third Quarter Financial Results

      Revenues

      Total revenues were US$180 million, up 19% year-over-year and 43% quarter-over-quarter.

      Marketing services revenues were US$14 million, down 27% year-over-year and 13% quarter-over-quarter.

      Online game revenues were US$162 million, up 27% year-over-year and 53% quarter-over-quarter. The increases were mainly due to the revenue contribution of our new PC game Tian Long Ba Bu ("TLBB"): Return, which was launched in July 2025, as well as increased revenue from TLBB PC that resulted from content updates and in-game promotional activities launched during the quarter.

      Gross Margin

      Both GAAP and non-GAAP gross margin were 81%, compared with 74% in the third quarter of 2024 and 78% in the second quarter of 2025.

      Both GAAP and non-GAAP gross margin for the marketing services business were 10%, compared with 9% in the third quarter of 2024 and 17% in the second quarter of 2025.

      Both GAAP and non-GAAP gross margin for online games were 87%, compared with 84% in the third quarter of 2024 and 86% in the second quarter of 2025.

      Operating Expenses

      GAAP operating expenses were US$132 million, up 5% year-over-year and 9% quarter-over-quarter. Non-GAAP operating expenses were US$131 million, up 5% year-over-year and 9% quarter-over-quarter.

      Operating Profit/(Loss)

      Both GAAP and non-GAAP operating profit were US$14 million, compared with an operating loss of US$13 million in the third quarter of 2024 and an operating loss of US$22 million in the second quarter of 2025.

      Income Tax Expense

      GAAP income tax expense was US$17 million, compared with income tax expense of US$15 million in the third quarter of 2024 and income tax expense of US$9 million in the second quarter of 2025.

      Non-GAAP income tax expense was US$17 million, compared with income tax expense of US$11 million in the third quarter of 2024 and income tax expense of US$9 million in the second quarter of 2025.

      Net Income/(Loss)

      GAAP net income attributable to Sohu.com Limited was US$9 million, or net income of US$0.32 per fully-diluted American depositary share ("ADS," each ADS representing one Sohu ordinary share), compared with a net loss of US$16 million in the third quarter of 2024 and a net loss of US$20 million in the second quarter of 2025.

      Non-GAAP net income attributable to Sohu.com Limited was US$9 million, or net income of US$0.33 per fully-diluted ADS, compared with a net loss of US$12 million in the third quarter of 2024 and a net loss of US$20 million in the second quarter of 2025.

      Liquidity and Capital Resources

      As of September 30, 2025, cash and cash equivalents, short-term investments and long-term time deposits totaled approximately US$1.2 billion.

      Supplementary Information for Changyou Results [2]

      Third Quarter 2025 Operating Results

      • For PC games, total average monthly active user accounts[3] (MAU) were 2.7 million, an increase of 24% year-over-year and 15% quarter-over-quarter. Total quarterly aggregate active paying accounts[4] (APA) were 1.1 million, an increase of 27% year-over-year and 19% quarter-over-quarter. The year-over-year increases in MAU and APA were mainly from TLBB: Return, which was launched in July 2025, as well as the improved performance of TLBB PC, resulting from content updates and optimization launched during recent quarters. The quarter-over-quarter increases in MAU and APA were mainly from TLBB: Return.
      • For mobile games, total average MAU were 1.9 million, a decrease of 42% year-over-year and 4% quarter-over-quarter. Total quarterly APA were 0.3 million, a decrease of 72% year-over-year and 3% quarter-over-quarter. The year-over-year decreases in MAU and APA were mainly due to the natural decline of New Westward Journey, which was launched during the second quarter of 2024.

      [2] "Changyou Results" consist of the results of Changyou's online games business and its 17173.com Website.

      [3] Monthly active user accounts refers to the number of registered accounts that are logged in to these games at least once during the month.

      [4] Quarterly aggregate active paying accounts refers to the number of accounts from which game points are utilized at least once during the quarter.

      Third Quarter 2025 Unaudited Financial Results

      Total revenues were US$163 million, an increase of 27% year-over-year and 53% quarter-over-quarter. Online game revenues were US$162 million, an increase of 27% year-over-year and 53% quarter-over-quarter.

      Both GAAP and non-GAAP gross profit were US$141 million, compared with US$108 million for the third quarter of 2024 and US$92 million for the second quarter of 2025.

      Both GAAP and non-GAAP operating expenses were US$54 million, an increase of 19% year-over-year and 31% quarter-over-quarter. The year-over-year and quarter-over-quarter increases were mainly due to an increase in marketing and promotional spending for our online games, as well as an increase in salary and benefits expenses.

      GAAP operating profit was US$87 million, compared with US$62 million for the third quarter of 2024 and US$50 million for the second quarter of 2025.

      Non-GAAP operating profit was US$88 million, compared with US$62 million for the third quarter of 2024 and US$51 million for the second quarter of 2025.

      Recent Development

      Under the previously-announced share repurchase program of up to US$150 million of the outstanding ADSs, Sohu had repurchased 7.6 million ADSs for an aggregate cost of approximately US$97 million as of November 13, 2025.

      Business Outlook

      For the fourth quarter of 2025, Sohu estimates:

      • Marketing services revenues to be between US$15 million and US$16 million; this implies an annual decrease of 15% to 20%, and a sequential increase of 10% to 18%.
      • Online game revenues to be between US$113 million and US$123 million; this implies an annual increase of 3% to 12%, and a sequential decrease of 24% to 30%. 
      • Both non-GAAP and GAAP net loss attributable to Sohu.com Limited to be between US$25 million and US$35 million.

      For the fourth quarter 2025 guidance, the Company has adopted a presumed exchange rate of RMB7.10=US$1.00, as compared with the actual exchange rate of approximately RMB7.15=US$1.00 for the fourth quarter of 2024, and RMB7.13=US$1.00 for the third quarter of 2025.

      This forecast reflects Sohu's management's current and preliminary view, which is subject to substantial uncertainty.

      Non-GAAP Disclosure

      To supplement the unaudited consolidated financial statements presented in accordance with accounting principles generally accepted in the United States of America ("GAAP"), Sohu's management uses non-GAAP measures of gross profit, operating profit/(loss), net income/(loss), net income/(loss) attributable to Sohu.com Limited and diluted net income/(loss) attributable to Sohu.com Limited per ADS, which are adjusted from results based on GAAP to exclude the impact of share-based compensation expense and interest expense recognized in connection with the Toll Charge imposed by the U.S. TCJA. These measures should be considered in addition to results prepared in accordance with GAAP, but should not be considered a substitute for, or superior to, GAAP results.

      Sohu's management believes excluding share-based compensation expense and interest expense recognized in connection with the Toll Charge from the Company's non-GAAP financial measures is useful for itself and investors. Further, the impact of share-based compensation expense and interest expense recognized in connection with the Toll Charge could not be anticipated by management and business line leaders, and these expenses were not built into the annual budgets and quarterly forecasts that have been the basis for information Sohu provides to analysts and investors as guidance for future operating performance. As share-based compensation expense does not involve subsequent cash outflow and is not reflected in the cash flows at the equity transaction level, Sohu does not factor in its impact when evaluating and approving expenditures or when determining the allocation of its resources to its business segments. As a result, in general, the monthly financial results for internal reporting and any performance measures for commissions and bonuses are based on non-GAAP financial measures that exclude share-based compensation expense and interest expense recognized in connection with the Toll Charge.

      The non-GAAP financial measures are provided to enhance investors' overall understanding of Sohu's current financial performance and prospects for the future. A limitation of using non-GAAP gross profit, operating profit/(loss), net income/(loss), net income/(loss) attributable to Sohu.com Limited, and diluted net income/(loss) attributable to Sohu.com Limited per ADS excluding share-based compensation expense is that this expense has been and can be expected to continue to recur in Sohu's business. In order to mitigate these limitations Sohu has provided specific information regarding the GAAP amounts excluded from each non-GAAP measure. The accompanying tables include details on the reconciliation between the GAAP financial measures that are most directly comparable to the non-GAAP financial measures that have been presented.

      Notes to Financial Information

      Financial information in this press release other than the information indicated as being non-GAAP is derived from Sohu's unaudited financial statements prepared in accordance with GAAP.

      Safe Harbor Statement

      This announcement contains forward-looking statements. It is currently expected that the Business Outlook will not be updated until release of Sohu's next quarterly earnings announcement; however, Sohu reserves right to update its Business Outlook at any time for any reason. Statements that are not historical facts, including statements about Sohu's beliefs and expectations, are forward-looking statements. These statements are based on current plans, estimates and projections, and therefore you should not place undue reliance on them. Forward-looking statements involve inherent risks and uncertainties. We caution you that a number of important factors could cause actual results to differ materially from those contained in any forward-looking statement. Potential risks and uncertainties include, but are not limited to, instability in global financial and credit markets and its potential impact on the Chinese economy; exchange rate fluctuations, including their potential impact on the Chinese economy and on Sohu's reported U.S. dollar results; fluctuations in Sohu's quarterly operating results; the possibilities that Sohu will be unable to recoup its investment in content and will be unable to develop a series of successful games for mobile platforms or successfully monetize mobile games it develops or acquires; and Sohu's reliance on marketing services and online games for its revenues. Further information regarding these and other risks is included in Sohu's annual report on Form 20-F for the year ended December 31, 2024, and other filings with and information furnished to the SEC.

      Conference Call and Webcast 

      Sohu's management team will host a conference call at 7:30 a.m. U.S. Eastern Time, November 17, 2025 (8:30 p.m. Beijing/Hong Kong time, November 17, 2025) following the quarterly results announcement. Participants can register for the conference call by clicking here, which will lead them to the conference registration website. Upon registration, participants will receive details for the conference call, including the dial-in numbers and a unique access PIN. Please dial in 10 minutes before the call is scheduled to begin.

      The live Webcast and archive of the conference call will be available on the Investor Relations section of Sohu's website at https://investors.sohu.com/.

      About Sohu

      Sohu.com Limited (NASDAQ: SOHU) was established by Dr. Charles Zhang, one of China's internet pioneers, in the 1990s. Sohu operates one of the leading Chinese online media platforms and also engages in the online games business in the Chinese mainland. Sohu has built one of the most comprehensive matrices of Chinese language web properties, consisting of Sohu News App, Sohu Video App, the mobile portal m.sohu.com, the PC portal www.sohu.com, and the online games platform www.changyou.com/en/.

      As a mainstream media platform with social features, Sohu is indispensable to the daily life of millions of Chinese, providing to a vast number of users a network of web properties and community based products, which offer a broad array of content such as news, information, text, picture, video, and live broadcasting. Sohu also attracts users to be highly engaged in content generation and distribution, and actively interact with each other on the platform. Sohu's online games business is conducted by its subsidiary Changyou which develops and operates a diverse portfolio of PC and mobile games, such as the well-known TLBB PC and Legacy TLBB Mobile.

      For investor and media inquiries, please contact:

      In China:

      Ms. Pu Huang
      Sohu.com Limited
      Tel: +86 (10) 6272-6645
      E-mail: [email protected]

      In the United States:

      Ms. Linda Bergkamp
      Christensen
      Tel: +1 (480) 614-3004
      E-mail:  [email protected]

      SOHU.COM LIMITED

      CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

      (UNAUDITED, IN THOUSANDS EXCEPT PER SHARE AMOUNTS)







      Three Months Ended




      Sep. 30, 2025


      Jun. 30, 2025


      Sep. 30, 2024


      Revenues:








          Marketing services

      $

      13,596

      $

      15,624

      $

      18,677


          Online games


      162,036


      105,994


      127,721


          Others


      4,529


      4,649


      5,594


      Total revenues


      180,161


      126,267


      151,992










      Cost of revenues:








      Marketing services


      12,172


      12,979


      17,040


      Online games


      21,177


      14,544


      20,292


      Others 


      1,517


      768


      2,283


      Total cost of revenues


      34,866


      28,291


      39,615










      Gross profit


      145,295


      97,976


      112,377










      Operating expenses:








      Product development (includes share-based

      compensation expense of nil, nil, and $6, respectively) 


      61,820


      58,824


      62,231


      Sales and marketing (includes share-based

      compensation expense of $4, $1, and $9, respectively) 


      49,699


      48,545


      48,494


      General and administrative (includes share-based

      compensation expense of $426, $352, and $29,

      respectively)


      20,196


      12,922


      14,692


      Total operating expenses


      131,715


      120,291


      125,417










      Operating profit/(loss)


      13,580


      (22,315)


      (13,040)










      Other income, net


      5,145


      3,481


      3,635


      Interest income


      7,140


      7,570


      9,074


      Exchange difference


      (563)


      185


      (988)


      Income/(loss) before income tax expense


      25,302


      (11,079)


      (1,319)










      Income tax expense

      16,636


      8,937


      15,028


      Net income/(loss)


      8,666


      (20,016)


      (16,347)










      Net income/(loss) attributable to Sohu.com Limited


      8,666


      (20,016)


      (16,347)










      Basic net income/(loss) per share/ADS attributable to

      Sohu.com Limited

      $

      0.32

      $

      (0.69)

      $

      (0.52)


      Shares/ADSs used in computing basic net

      income/(loss) per share/ADS attributable to Sohu.com

      Limited[5]


      27,491


      28,826


      31,729










      Diluted net income/(loss) per share/ADS attributable

      to Sohu.com Limited

      $

      0.32

      $

      (0.69)

      $

      (0.52)


      Shares/ADSs used in computing diluted net

      income/(loss) per share/ADS attributable to Sohu.com

      Limited


      27,491


      28,826


      31,729



      [5] Each ADS represents one ordinary share.

      SOHU.COM LIMITED

      CONDENSED CONSOLIDATED BALANCE SHEETS 

      (UNAUDITED, IN THOUSANDS)










      As of Sep. 30, 2025


      As of Dec. 31, 2024

      ASSETS






      Current assets:






                 Cash and cash equivalents


      $

      133,961

      $

      159,927

                 Short-term investments



      740,605


      744,498

                 Accounts receivable, net



      39,839


      53,762

                 Prepaid and other current assets 



      85,568


      83,575

      Total current assets



      999,973


      1,041,762

      Fixed assets, net



      246,559


      252,860

      Goodwill 



      47,115


      46,944

      Long-term investments, net



      43,621


      43,120

      Intangible assets, net



      5,686


      7,695

      Long-term time deposits



      336,865


      331,290

      Other assets



      10,776


      10,995

      Total assets


      $

      1,690,595

      $

      1,734,666







      LIABILITIES 






      Current liabilities:






                 Accounts payable 


      $

      42,632

      $

      36,043

                 Accrued liabilities



      98,258


      97,138

                 Receipts in advance and deferred revenue



      53,787


      51,007

                 Accrued salary and benefits



      41,078


      47,232

                 Taxes payables



      13,433


      14,225

                 Other short-term liabilities



      76,436


      76,322

      Total current liabilities


      $

      325,624

      $

      321,967







      Long-term other payables



      3,270


      2,807

      Long-term tax liabilities



      304,418


      485,545

      Other long-term liabilities



      617


      1,659

      Total long-term liabilities


      $

      308,305

      $

      490,011

                               Total liabilities


      $

      633,929

      $

      811,978













      SHAREHOLDERS' EQUITY:






                Sohu.com Limited shareholders' equity



      1,056,322


      922,335

                Noncontrolling interest



      344


      353

                           Total shareholders' equity


      $

      1,056,666

      $

      922,688







      Total liabilities and shareholders' equity  


      $

      1,690,595

      $

      1,734,666

      SOHU.COM LIMITED

      RECONCILIATIONS OF NON-GAAP RESULTS OF OPERATIONS MEASURES TO THE NEAREST COMPARABLE GAAP MEASURES

      (UNAUDITED, IN THOUSANDS EXCEPT PER SHARE AMOUNTS)






















      Three Months Ended Sep. 30, 2025


      Three Months Ended Jun. 30, 2025


      Three Months Ended Sep. 30, 2024



      GAAP


      Non- GAAP 

      Adjustment


      Non- GAAP


      GAAP


      Non- GAAP 

      Adjustment


      Non- GAAP


      GAAP


      Non-GAAP

      Adjustment


      Non- GAAP
























      -

      (a)





      -

      (a)





      -

      (a)


      Marketing services gross profit

      $

      1,424

      $

      -

      $

      1,424

      $

      2,645

      $

      -

      $

      2,645

      $

      1,637

      $

      -

      $

      1,637

      Marketing services gross margin


      10 %




      10 %


      17 %




      17 %


      9 %




      9 %
























      -

      (a)





      -

      (a)





      -

      (a)


      Online games gross profit 

      $

      140,859

      $

      -

      $

      140,859

      $

      91,450

      $

      -

      $

      91,450

      $

      107,429

      $

      -

      $

      107,429

      Online games gross margin


      87 %




      87 %


      86 %




      86 %


      84 %




      84 %
























      -

      (a)





      -

      (a)





      -

      (a)


      Others gross profit 

      $

      3,012

      $

      -

      $

      3,012

      $

      3,881

      $

      -

      $

      3,881

      $

      3,311

      $

      -

      $

      3,311

      Others gross margin


      67 %




      67 %


      83 %




      83 %


      59 %




      59 %
























      -

      (a)





      -

      (a)





      -

      (a)


      Gross profit

      $

      145,295

      $

      -

      $

      145,295

      $

      97,976

      $

      -

      $

      97,976

      $

      112,377

      $

      -

      $

      112,377

      Gross margin


      81 %




      81 %


      78 %




      78 %


      74 %




      74 %







































      Operating expenses

      $

      131,715

      $

      (430)

      (a) $

      131,285

      $

      120,291

      $

      (353)

      (a) $

      119,938

      $

      125,417

      $

      (44)

      (a) $

      125,373
























      430

      (a)





      353

      (a)





      44

      (a)


      Operating profit/( loss)

      $

      13,580

      $

      430

      $

      14,010

      $

      (22,315)

      $

      353

      $

      (21,962)

      $

      (13,040)

      $

      44

      $

      (12,996)

      Operating margin


      8 %




      8 %


      -18 %




      -17 %


      -9 %




      -9 %




















      Income tax expense

      $

      16,636

      $

      -

      $

      16,636

      $

      8,937

      $

      -

      $

      8,937

      $

      15,028

      $

      (3,883)

      (b)$

      11,145
























      430

      (a)





      353

      (a)





      44

      (a)






      -






      -






      3,883

      (b)


      Net income/(loss) before non-

      controlling interest

      $

      8,666

      $

      430

      $

      9,096

      $

      (20,016)

      $

      353

      $

      (19,663)

      $

      (16,347)

      $

      3,927

      $

      (12,420)
























      430

      (a)





      353

      (a)





      44

      (a)






      -






      -






      3,883

      (b)


      Net income/( loss) attributable to

      Sohu.com Limited for diluted

      net loss per share/ADS

      $

      8,666

      $

      430

      $

      9,096

      $

      (20,016)

      $

      353

      $

      (19,663)

      $

      (16,347)

      $

      3,927

      $

      (12,420)

      Diluted net income/( loss) per

      share/ADS attributable to 

      Sohu.com Limited

      $

      0.32




      0.33

      $

      (0.69)




      (0.68)

      $

      (0.52)




      (0.39)

      Shares/ADSs used in computing

      diluted net income/( loss) per

      share/ADS attributable to 

      Sohu.com Limited


      27,491




      27,491


      28,826




      28,826


      31,729




      31,729







































      Note:



















      (a) Share-based compensation expense

      (b) Accrued interest expense in connection with the Toll Charge















      SOURCE Sohu.com Limited

      Modal title

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