Shi Yuzhu responded to the giant network research and development costs declined last year due to th

Sina

technology news September 1st afternoon, Shi Yuzhu in response to media questioned on a giant network of R & D costs in micro-blog, he said "the giant network development costs decline, because last year inflated distribution options. Last year, the giant network sent to R & D personnel 10% stake in the company, the value of equity should be included in the income of R & D personnel, so last year, high research and development costs."

Shi Yuzhu micro-blog

previously, the media "the giant network development costs is plummeting and find a new breakthrough" pointed out: the return of the giant, has not had on a "journey" became a famous scenery. Today’s game is the world’s hand travel, while the giants rely on the survival of the end of the tour and page travel share is gradually declining. In order to seize this wave of hand travel tuyere, the major companies are increasing investment in research and development tour. But the giant, but sharp cuts in R & D expenses at the moment uncharacteristically. Data show that over the same period last year R & D spending as high as 459 million, but in the first half of 2016, research and development expenses in management fees fell by 48%, only about $238 million. To know the core of a game company is the ability of making games, and decreased cost of development, especially the large decline, there are two reasons: one is the existing mature works and have a stable cash flow, the second is the company is gradually reducing development costs for the investment and seek another development direction.

century cruise in mid August, after the release of the giant network to complete the first round of earnings reports. In the first half of 2016 the company achieved operating income of 1 billion 50 million yuan, down by 1.57%, net profit of $500 million, an increase of 4749.13%. The board of directors approved interim profit distribution plan, the total share capital of the company as the base, to the capital fund to all shareholders 10 shares for every 20 shares.

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