Phoenix New Media Q2 Earnings: Revenue Growth Amid Advertising Challenges

Phoenix New Media reported an 11.2% increase in total revenues to RMB187.1 million in Q2 2025, driven by a 148.5% surge in paid services revenues, particularly from digital reading services. Despite a 33.5% rise in operating expenses, the company reduced its operating loss compared to the previous year. Net advertising revenues declined, but Phoenix New Media expects further revenue growth in Q3 2025, with increased advertising and paid services revenues.

Phoenix New Media Limited reported an 11.2% increase in total revenues to RMB 187.1 million in Q2 2025, driven by a 148.5% surge in paid services revenues, particularly from digital reading services [1]. Despite a 33.5% rise in operating expenses, the company reduced its operating loss compared to the previous year. Net advertising revenues declined, but Phoenix New Media expects further revenue growth in Q3 2025, with increased advertising and paid services revenues.

The company's paid services revenues reached RMB 33.8 million, representing a 148.5% increase year-on-year from RMB 13.6 million. This growth was primarily driven by revenue generated from digital reading services offered through mini programs on third-party applications [1].

Phoenix New Media managed to maintain stable net advertising revenues at RMB 153.3 million, despite a relatively flat overall advertising market. The stability in advertising revenue was due to the company's focus on understanding clients' needs and leveraging its reputation as a trusted mainstream outlet [1].

Significant strategic partnerships also contributed to Phoenix New Media's growth. The company signed a strategic agreement with the Organizing Committee of the China International Investment and Trade Fair (CIIE) at the 2025 AIM Global Summit in the UAE. This collaboration was part of an integrated strategy to deepen international content dissemination and brand marketing, as evident in the hosting of the China Enterprise Global Expansion Summit [1].

Phoenix New Media's content reach continued to grow steadily, with the Phoenix News video accounts surpassing 5 million followers and projected revenue growth approaching 50% [1]. The increase in engagement was driven by timely and in-depth reporting on global geopolitical events, such as the India-Pakistan air conflict and U.S.-China tariff tensions.

In conclusion, Phoenix New Media's Q2 2025 earnings report highlights the company's ability to adapt and grow in the face of market challenges. The strategic partnerships and focus on digital services have positioned the company for further revenue growth in the coming quarters.

References:
[1] https://www.ainvest.com/news/phoenix-media-q2-2025-earnings-call-contradictions-advertising-market-insights-revenue-strategies-2508/