Xunlei revenue rises 13% despite $236 million loss
By Brie CarterKey points
- Xunlei reported third-quarter 2026 revenue of US$101.3 million, up 12.9% year over year, supported by subscription and live-streaming services.
- Net loss from continuing operations reached US$235.8 million, compared with US$550.4 million in income a year earlier, partly due to investment valuation losses.
- The board authorized a new share repurchase program of up to US$20 million over 12 months after the previous program reached its authorized share limit.
Xunlei (NASDAQ:XNET) reported third-quarter 2026 revenue of US$101.3 million, up 12.9% year over year, but recorded a US$235.8 million net loss from continuing operations.
Subscription revenue increased 8.5% to US$44.1 million, while live-streaming and other services revenue rose 16.6% to US$57.2 million.
Gross profit increased 1.6% to US$56.5 million, although gross margin declined to 55.7% from 62% in the prior-year quarter.
The company attributed the earnings reversal primarily to other losses linked to fair-value changes in its Arashi Vision investment and higher operating expenses.
The board authorized a new share repurchase program of up to US$20 million over 12 months after the previous program reached its authorized share limit.
Cash, cash equivalents and short-term investments declined to US$265.1 million at September 30, 2026, from US$276.9 million at June 30.
The reported results exclude discontinued Shenzhen Onething operations, while Xunlei continues to operate in distributed cloud services, cloud acceleration and digital entertainment.
