Shanda Interactive Entertainment, China's No. 2 online game company, said on Sunday its fourth-quarter profit rose 13 percent, as revenue rose to a record in China's booming online game market, reported Reuters.
Despite the record revenue, Shanda's quarterly profit of 369.3 million yuan ($54.1 million), was still its weakest in three quarters, reflecting intense competition in China's online game market.
The quarterly profit compared with a profit of 326.5 million yuan a year ago.
Quarterly revenue rose to a record 1.51 billion yuan ($221.6 million) from 1.02 billion yuan a year earlier and compared with the average analyst forecast for $213 million.
The company's core online game unit, Shanda Games, accounted for about 88 percent of its total revenue and 75 percent of its gross profit in the fourth quarter.
Last week, NetEase reported forecast-beating quarterly results, mostly due to strong performance from its non-gaming online advertising business as China's economy gains steam on spending from Beijing's 4 trillion yuan ($586 billion) economic stimulus plan.
Shanda spun off its online game unit last September in a $1 billion initial public offering in New York, in a move to transform itself into a more diversified media company.
