October 14, Duiba Group (HKG: 01753) said its AI short drama business turned profitable in the third quarter, posting net profit in July, August and September.
The figures are based on the group’s unaudited consolidated management accounts for the nine months ended September 30, 2026, and represent management’s preliminary assessment, the company said in a voluntary announcement on Tuesday.
Q3 Views Exceed 45.8 Billion; September Views Rise 107% from August, Extending a Three-Month Run of Month-on-Month Doubling
On a group-wide basis, the unit recorded incremental views of 6.8 billion, 12.6 billion and 26.4 billion in July, August and September, respectively, for a third-quarter total of more than 45.8 billion. September volume rose 107% from August.
The figures compare with just over 5 billion views for the first half of the year. The unit, launched in January, generated more than nine times that amount in incremental views in the third quarter alone; September volume was more than five times the first-half total.
4.6% of Titles Topped 100 Million Views in Q3
The company also disclosed content metrics for the quarter. Titles that exceeded 100 million incremental views per month totaled 22 in July, 25 in August and 32 in September. Those above 10 million reached 89, 155 and 172 over the same period.
The share of titles surpassing 100 million views averaged about 4.6% in the third quarter and peaked at 5.7% in a single month.
Duiba attributed the results to its use of AI across content development, production and distribution. The company said each production unit can handle the full workflow — from script analysis and storyboard breakdown to character generation, scene matching and final output — with one person. Its proprietary scriptwriting agent raises output per screenwriter by five to eight times, the company said, adding that the standardized process can be replicated across teams.
Profitability Improves as Revenue Share Climbs to 51.2%
According to the company’s internal management reporting, the business was profitable in each of the three months through September, with revenue growth accelerating in the quarter.
For the first half, Duiba reported AI short drama revenue of RMB 223 million, representing strong year-on-year growth and accounting for 51.2% of group revenue. The segment overtook the company’s traditional interactive advertising business as its largest revenue contributor.
Duiba had previously said economies of scale were expected to emerge as the business expanded. The company said three consecutive months of profit indicate that content capacity and cost control are beginning to reinforce each other, as it moves from an investment phase into what it described as scaled commercial returns. It added that overseas applications and a WeChat Mini Program business, if rolled out, could expand its market share.
Business Update
The company said the rapid increase in views, continued growth in hit dramas and three consecutive months of profitability in the third quarter indicate that its AI short drama business is building an operating foundation for scalable growth.
Duiba added that, as the AI short drama industry enters a period of rapid expansion, its accumulated competitive advantages in production efficiency and content quality are expected to support its development and deliver long-term value.
