YY's (YY) CEO David Xueling Li on Q4 2014 Results - Earnings Call Transcript Mar. 6, 2015 1:36 AM ET | About: YY Inc. (YY) Operator
Good day, everyone, and welcome to YY’s Fourth Quarter 2014 Earnings Conference Call. At this time, all participants are in a listen-only mode. We will be facilitating a question-and-answer session towards the end of this conference call. At this point, I would like to turn the call to, Lili Huang, YY's Investor Relations Director. Thank you, and please go ahead.
Lili Huang - IR Director Thank you, operator. Welcome to YY's fourth quarter 2014 earnings conference call. With us today are Mr. David Xueling Li, CEO of YY; and our CFO, Mr. Eric He. Following management's prepared remarks, we'll conduct a Q&A session.
Before we begin, I refer you to the Safe Harbor statement in our earnings release, which also applies to our conference call today, as we will make forward-looking statements.
At this time, I would like to turn the conference call to our CEO, Mr. David Li.
David Xueling Li - CEO Thank you, Lili. Hi, everyone, and thanks for joining us today. We had another strong quarter, which helped at the end to a great year. We saw our community growing both size and engagement, and we are delighted that this had led to the continued growth of our business.
It has been quite remarkable that since our inception in 2005, we have been able to more than double our revenue every single year for nine straight years. And I am very proud of our company and this major achievement. Looking back at 2014, overall it was a great year for YY marked by numerous milestones. There are now over 117 million monthly active users on YY's platform.
We focused on serving the need of our users by improving existing products, such as our music and entertainment business, while also introducing new products, such as online dating and education. As a result, we witnessed deeper user engagement and our online social community continues to get stronger.
The music and entertainment business continues to be the main driver of our growth, accounting for almost 68% of our total revenues and growing by just over 100% year-over-year. We also recognized that there is a global shift toward mobile entertainment, which is why we are constantly updating and improving our mobile YY platform.
We are delighted to see our hard work pays off as the Mobile YY monthly active users increased by over 80% year-over-year to over 30 million. Furthermore, sequential revenues for Mobile YY also doubled, while paying user for Mobile YY have increased by 81% quarter-over-quarter and almost 324% year-over-year, accounting for nearly 40% of music and entertainment paying users.
This strong growth clearly demonstrates the incredible potential and to the suitability of our platform in this mobile area. In addition, we continued to see exceptional returns from our online dating business, as revenue grew by 46% quarter-over-quarter. We were also able to launch a mobile version of this business in January, which enabled our users to join and participate more easily and conventionally and has been performing quite well.
For those of you that have not experienced our online dating business, I want to point out that YY's online dating business is similar to the format of the popular Chinese TV dating show, Fei Cheng Wu Rao, or If You Are The One, and is not actually dating services. By participating into active dating show, user can feel and sense a contribution and belonging with their peers. As the user base of our dating business continue to ramp up, we continue to have high hopes for online dating this year. We believe it has the potential to level [ph] music and entertainment in terms of growth.
I want to finish by saying that 2014 has been a year filled with lots of progress and change, and I am very proud of the way the company has embraced and filled this change. I would also like to thank the YY community, our colleagues and our investors for their continuous support and am excited moving forward to a strong 2014 and beyond.
With that, I will hand it over to Eric.
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