Revenue Declines For Shanda Games’ Online Fun In China

Chinese online game developer and publisher Shanda Games Limited today announced its unaudited consolidated financial results for the third quarter ended September 30, 2010.

Net revenues for the third quarter of 2010 were USD163.6 million, a decline of 1% the preceding quarter and a decline of 14% from the third quarter of 2009.

Net revenues from massively multiplayer online role-playing games were USD145.0 million, a decline of 3% and 17% for the preceding quarter and the third quarter of 2009, respectively. This was followed by a 4.3% decline in active paying accounts for MMORPGs. The APAs fell sequentially to 9.19 million. However, average monthly revenue per active paying account for MMORPGs increased 1.5% sequentially to CNY35.2.

The third quarter’s gross profit was USD96.5 million, and gross margin was 59.0% in the third quarter of 2010, compared to 58.0% in the second quarter of 2010 and 59.3% in the third quarter of 2009.

GAAP net income attributable to ordinary shareholders was, in local currency, CNY289.0 million, compared with CNY304.3 million in the second quarter of 2010 and CNY366.6 million in the third quarter of 2009.