Overview
- A roughly $285 million withholding tax reversal tied to Changyou inflated reported GAAP and non-GAAP profits for Q4 and 2025, complicating comparisons.
- Q4 2025 revenue was $142 million, up 6% year over year and down 21% quarter over quarter, including $17 million from marketing services and $120 million from online games.
- For full-year 2025, revenue totaled $584 million; GAAP net income was $394 million and non-GAAP net income was $234 million, reversing losses reported in 2024.
- Excluding the one-time reversal, 2025 non-GAAP results would have been a $51 million loss, about a 40% improvement from 2024, underscoring operational progress.
- Q1 2026 guidance calls for $10–11 million in marketing services revenue, $113–123 million in online game revenue, and a net loss of $10–20 million; Sohu has repurchased 8.1 million ADS for about $106 million with roughly one-third of the program remaining.