Yuewen group announced a net loss of 3.31 billion yuan in 2020

 Yuewen group announced a net loss of 3.31 billion yuan in 2020

Cheng Wu, vice president of Tencent group and CEO of Yuewen group, said that the company recorded a loss for the first time in many years and evaluated the disappointing performance which exposed the companys structural problems accumulated for several years.

Yuewen group summarized the so-called structural problems, including:

1u3002 The online reading business is facing challenges. In the past, the authors feelings were not fully taken into account and the incentive mechanism was not improved. Some writers were worried about the contracts launched in history.

2u3002 The free reading business failed to meet expectations.

3u3002 The integration with Xinli media failed to produce synergy effect fully, and the progress was not as expected. There was a lack of a team familiar with both network literature and film and television production.

4u3002 There is a lack of a mechanism and top-down planning to promote the construction of IP centric content and operation strategy.

5u3002 In the past, business negotiations with business partners were based on simple mechanical business logic, and no long-term win-win relationship was established.

Source: Netease Entertainment editor: Han Chong_ NBJ11345