Company: FENG
Filing Date: 2025-04-18
Form Type: 20-F
Source: 0000950170-25-055759
Chunk: 106

Company: Phoenix New Media Ltd
Filing Date: 2025-04-18
Form: 20-F
Item: Item 5
Chunk 106
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4 was RMB435.0 million (US$59.6 million), which represented a decrease of 6.3% from RMB464.1 million for the year ended December 31, 2023, primarily attributable to our strict cost control measures taken in 2024. Cost of revenues as a percentage of our revenues also decreased from 67.1% in 2023 to 61.8% in 2024.
•Revenue sharing fees. Our revenue sharing fees for the years ended December 31, 2023 and 2024 were RMB13.0 million and RMB13.2 million (US$1.8 million), respectively. The increase in revenue sharing fees was mainly attributable to the increase in certain revenues that requires revenue-sharing. 
•Content and operational costs. Our content and operational costs for the years ended December 31, 2023 and 2024 were RMB420.7 million and RMB396.0 million (US$54.3 million), respectively. The decrease in content and operational costs from 2023 to 2024 was primarily attributable to our strict cost control measures taken in 2024. 
•Bandwidth costs. Our bandwidth costs decreased from RMB30.4 million in 2023 to RMB25.8 million (US$3.5 million) in 2024 as we adopted more efficient cloud-based servers to replace local servers and because of our strict cost control measures taken in 2024. 
Share-based compensation. Our share-based compensation allocated to cost of revenues as part of content and operational costs above, decreased from RMB1.7 million in 2023 to RMB0.8 million (US$0.1 million) in 2024.

As a result of the foregoing, our gross profit increased by 17.9% from RMB227.9 million in 2023 to RMB268.7 million (US$36.8 million) in 2024. Our gross margin increased from 32.9% in 2023 to 38.2% in 2024.
Operating Expenses. Our operating expenses decreased by 5.7% from RMB353.6 million in 2023 to RMB333.4 million (US$45.7 million) in 2024, primarily attributable to the decrease in certain operating expense items as a result of the strict cost control measures taken in 2024, partially off-set by the increase in promotion and