Key Points – Membership revenue improved sequentially to CNY 4.2 billion in Q1, helped by hit dramas such as “The Punishment 2” and “Pursuit of Jade,” even as total revenue fell 8% sequentially to CNY 6.2 billion.
Management said it will focus on reactivating dormant users, expanding large-screen memberships and pushing bundled offers in Q2. – AI is becoming central to iQIYI’s strategy, with the company highlighting its Nado Pro production platform, which already has more than 10,000 active creators. iQIYI plans to use AI and new formats like short-form dramas and internet feature films to lower costs, speed up production and create new monetization opportunities. – Overseas business remains a major growth driver, with first-quarter international membership revenue up more than 40% year over year
Growth was especially strong in Southeast Asia and Latin America, while management said overseas users generate higher ARPU than domestic subscribers. – 2 ETFs to Maximize Gains With Covered Call Strategies iQIYI (NASDAQ:IQ) reported first-quarter 2026 revenue of CNY 6.2 billion, down 8% sequentially, as the Chinese streaming company emphasized artificial intelligence, overseas growth and new content formats as central parts of its strategy. Founder, Director and CEO Gong Yu said the company is operating in an environment shaped by “breakthrough AI” and a more supportive domestic regulatory landscape, which he said is reshaping entertainment and creating opportunities for iQIYI. Gong framed the company’s strategy around reinforcing its core premium-content business, developing new growth engines and building a longer-term decentralized content ecosystem supported by AI.
Membership Revenue Grows Sequentially as Hit Dramas Drive Engagement – 2 Tech Mid-Caps Under $10 With Big Upside Interim CFO Ying Zeng said membership services revenue reached CNY 4.2 billion in the quarter, up 2% sequentially, driven primarily by a lineup of hit dramas. Online advertising revenue was CNY…