Many tech stocks recently plunged amid concerns about the novel coronavirus outbreak and plunging oil prices. Yet two Chinese tech companies survived the sell-off by posting solid fourth-quarter numbers.
Sohu (NASDAQ: SOHU), one of China's oldest internet companies, grew its revenue 5% annually to $490 million in the fourth quarter and beat estimates by $23.8 million. It generated a non-GAAP net income of $7 million, compared to a loss of $51 million a year earlier. Its earnings of $0.17 per ADS topped expectations by $0.57.
Changyou (NASDAQ: CYOU), the video game company which Sohu will merge with in the second quarter, dazzled investors as its revenue rose 35% annually to $135 million and beat estimates by $28.3 million. Its non-GAAP net income surged 174% to $63 million, or $1.11 per share -- which also crushed expectations by $0.53 a share.