IQ.US releases 2026Q2 financial report: total revenue of 6.29 billion yuan to push forward strategic transformation

On August 18, IQ.US (IQ.US) released unaudited financial results for the second quarter ending June 30, 2026. iQiyi's total revenue for the second quarter was 6.29 billion yuan, an increase of 1% over the previous quarter. Among them, membership service revenue was 4.01 billion yuan, online advertising service revenue was 1.25 billion yuan, content distribution revenue was 680 million yuan, and other revenue was 340 million yuan.

Gong Yu, founder and CEO of iQiyi, said, “In the second quarter, iQiyi consolidated its leading edge in the content field and simultaneously promoted strategic transformation. In the domestic market, iQiyi continued to lead the industry in terms of market share of long series, movies, and children's content during the current season. Chinese dramas ranked first in the Yunhe market share in June. The two major strategies, transforming decentralized social media and fully investing in AI, are beginning to bear fruit. We look forward to further using AI to empower the content ecosystem and improve financial performance.”

iQiyi Chief Financial Officer Tian Ying said, “In the second quarter, our financial performance improved month-on-month, total revenue increased month-on-month, and operating losses narrowed sharply. At the same time, we have implemented a share repurchase program, demonstrating our commitment to creating long-term value for our shareholders.”

iQiyi's AI enabled further breakthroughs in content innovation and creator ecosystem construction. The professional film and television production platform Nazu Pro officially entered commercial use in April. It has successively launched new features such as screenwriter's assistant, 3D director's desk, and creator community, and officially connected with iQiArt to achieve one-stop operation from creation to distribution. A one-stop creative and operation platform for content creators - iQiyi supports creators to enter and publish various types of content such as short videos, short dramas, documentaries, movies, long dramas, Chinese dramas, etc., and relies on iQiyi's core users, mature industrialization system support, massive movie viewing data, and copyright resources to help creators “be seen, earn money, and have honor”. Today, tens of thousands of creators upload all kinds of works and livestream on iQiyi every day.

In the second quarter, iQiyi's core content circuit continued to feature masterpieces. The combined market share of long series, movies, and children's content remained the top in the industry, and Chinese dramas achieved major breakthroughs. In terms of long series, the series “Low IQ Crime” produced by iQiyi innovatively combines elements of comedy and suspense. iQiyi's content has reached 10,000 popularity values, and the content popularity value of both “Family Business” and “The Southern Files” has broken 9300, successively garnering high popularity and word of mouth. At the 31st Shanghai TV Festival Magnolia Awards, which was announced in June, iQiyi's 6 broadcast productions and outstanding creators won a total of 14 awards. In the second quarter, the single-day Yunhe market share for the Chinese drama “Soul Ferry: Ten Years” peaked at over 60%, driving the iQiyi drama Yunhe market share to number one in the industry for the first time in June. During the season, iQiyi also launched a series of excellent movies, variety shows, skits, animations, and children's works. The films “Serious Case of Counterfeiting Banknotes” and “Chasing Evil” produced by iQiyi received enthusiastic responses. The popularity value of the variety show “Hahahahaha 6” broke 9,000, setting a new high popularity value for the series, and the popularity value of “Rap Peak Showdown 2026” broke 8800. The vertical screen skit “All About Secretary Lai”, “I Like You”, “Phoenix Blade”, the homemade animation “The Legend of the Evil God” and the sequel to the children's content “The Invincible Deer Team” are very popular.

In the current quarter, iQiyi's operating costs were 5.25 billion yuan. As a major component of the cost, the cost of content was $3.82 billion, an increase of 1% over the previous year. Sales and management expenses and R&D expenses for the quarter were $740 million and $400 million respectively.

In the second quarter, operating losses were about $30.3 million under non-GAAP (non-GAAP) standards, which was a sharp drop from $150 million in the previous quarter. iQiyi's operating cash flow improved. The net cash inflow from operating activities for the quarter was 340 million yuan, and the net cash outflow for the same period in 2025 was 12.7 million yuan.

As of June 30, iQiyi's cash balance (including cash, cash equivalents, short-term restricted funds, and short-term investments) totaled about 4.12 billion yuan. In March, iQiyi launched a share repurchase program with a total amount of up to 100 million US dollars and a validity period of 18 months. As of June 30, it had repurchased approximately 21.8 million ADS (American Depositary Shares) at a total cost of US$24.1 million.