(Yicai) March 18 -- Shares of China Literature Group fell after the Chinese e-book platform turned into a multi-format, multimedia ecosystem said its net loss widened 271 percent last year.

China Literature [HKG: 0772] closed 3.6 percent down at HKD29.22 (USD3.72) in Hong Kong today.

Net loss reached CNY776 million (USD112.8 million) in 2025, compared with CNY209.2 million in 2024, China Literature announced yesterday. On a non-international financial reporting standards basis, net profit shrank 25 percent to CNY858.5 million.

Revenue fell 9.3 percent to CNY7.4 billion (USD1.1 billion) in the period, mainly because of delays in the release of film and television projects and a 20 percent decline in revenue from copyright operations due to the reduced number of long dramas and the uncertainty of their release schedules.

China Literature achieved remarkable results in intellectual property commercialization and artificial intelligence-generated animated dramas last year. Its gross merchandise volume from IP derivatives more than doubled to over CNY1.1 billion in 2025 from the previous year.

The company announced its entry into the AI-generated animated drama market last October. It had produced 1,000 animation dramas as of Dec. 31, of which over 100 had a viewership of over 10 million, and 12 had a viewership of over 100 million. Related revenue exceeded CNY100 million in the second half of last year.

The in-depth application of AI further facilitated China Literature’s expansion into overseas markets. The total number of AI-translated works on the firm’s foreign reading platform WebNovel exceeded 17,000 as of Dec. 31, with related revenue up 39 percent last year from 2024, contributing to over one-third of the platform’s total revenue and becoming a significant driver for its overseas growth.

Editor: Futura Costaglione