Total revenues in the third quarter of 2014 were RMB13.5 billion ($2.20 billion) in the three months to end of September. Net attributable income was RMB3.88 billion ($632 million).
Content acquisition and production, mainly relating to its iQiyi online video unit, rose as a proportion of the groups’ costs. Content cost RMB498 million ($81.2 million), representing 3.7% of total revenues, compared to 2.5% in the corresponding period in 2013, and 3.0% in the previous quarter.
Earlier in the week, iQiyi announced a strategic partnership with Dolby Laboratories to enhance the sound quality of online video and deliver true high-definition entertainment experiences at home and on the go.
The group’s NASDAQ-listed shares were down 1.9% at $224.55 ahead of the results and in Thursday’s pre-market look set to slide further.