DOYU - DouYu shares rise after strong Q3 results

2023-12-07 11:13:58 ET

DouYu International Holdings ( NASDAQ: DOYU ) shares rose nearly 6% in morning trading on Thursday after the live streaming platform operator posted strong third quarter results.

The stock, with a market value of over $230 million, was trading at $0.77.

The Chinese firm said its revenue beat was driven by strong advertising sales and revenues generated through other innovative business.

Hao Cao, Vice President of DouYu said that the company continued to improve operating efficiency under effective cost-control measures that markedly reduced content costs during the quarter.

The result comes days after DouYu announced its Chief Executive Officer and the Chairman of the Board Shaojie Chen, was arrested by the Chengdu police, leading to its shares end the day with nearly 6% loss.

DouYu has set up an interim management committee to run things following the arrest. The company has also faced increased scrutiny from Chinese authorities over potential pornography and gambling on the platform.

Wall Street rate the stock a “Hold”, while Seeking Alpha’s Quant Rating considers the stock a “Sell”.

The stock has lost above 40% so far this year.

More on DouYu International

• Misfortune For DouYu As CEO Faces Gambling Charges
• DouYu International Non-GAAP EPADS of $0.03 beats by $0.02, revenue of $186.3M beats by $7.67M
• DouYu names management committee after arrest of CEO/chairman

For further details see: