iQIYI, a Chinese video platform, announced its unaudited financial results for the fourth quarter and fiscal year ended December 31, 2021. Its total revenues last year were 30.6 billion yuan ($4.8 billion), representing a 3% increase from 2020.
In the fourth quarter last year, its total revenues were 7.4 billion yuan, approximately the same from the same period in 2020. Net losses attributable to iQIYI were 1.8 billion yuan, compared to net losses attributable to iQIYI of 1.5 billion yuan in the same period in 2020.
Membership services revenue was 4.1 billion yuan, a year-on-year increase of 7%. The average daily number of total subscribing members for the quarter was 97.0 million, compared to 102.7 million for the same period in 2020. The monthly average revenue per membership (ARM) for the fourth quarter was 14.16 yuan, compared to 12.45 for the same period in 2020.
Gong Yu, founder and CEO of iQIYI, said: “Our goal is to reach non-GAAP operating break-even for the full year of 2022 and to reach quarterly non-GAAP operating break-even as early as possible.”
At the recent round table dialogue of the opening forum of China Golden Rooster & Hundred Flowers Film Festival in 2021, Gong pointed out that the business model for online movies must be reinvented and suggested on-demand services for films. “The online movie fare has to rise. Six yuan now is too low!” he added.
At the end of last year, iQIYI raised its subscription rates by as much as 20% for monthly and quarterly gold VIP membership. “Membership fees have been low, which has affected the company’s development,” iQIYI said. “We decided to raise our rates to form a more benign industry ecology, enable content providers to gain returns from their work and offer better content to our members.”