Perfect World Profit Tops Estimate, Revenue Misses; Stock Down 5%

(RTTNews) - Perfect World Co Ltd (PWRD), a developer of online games in China, Tuesday reported third-quarter net earnings to stockholders of RMB60.7 million, or $9.9 million, compared with RMB121 million last year.

On a per American depositary share, or ADS basis, net earnings for the quarter were RMB1.20, or $0.19. This compares with a profit of RMB2.41 per ADS a year ago.

Excluding items, adjusted earnings for the quarter were RMB2.49, or $0.41 per ADS, compared with RMB2.82 in the prior year.

Revenues for the quarter were RMB974.3 million, or $158.7 million, compared with RMB820 million last year.

Analysts polled by Thomson Reuters estimated earnings of $0.40 per share on revenues of $160.9 million for the quarter. Analysts' estimates typically exclude special items.

Gross margin for the quarter declined to 69.0% from 77.8% last year.

For the fourth quarter, the company expects revenues of RMB1.02 billion to RMB1.07 billion.