Record total revenues of US$80.4 million, a 180% increase year-on-year, were announced by Sohu.com this week. The company also had an operating profit reaching US$32.0 million with operating profit margins of 40%.
"2003 has been a year of unprecedented success for Sohu in building sustainable profitability while continuing to expand our diversified revenue lines. Both our online advertising business and consumer products grew rapidly as advertisers and users alike recognized the Internet as a mainstream media and entertainment platform in China. We are well positioned for another successful year in which we tap the revenue potential of advertising, search, wireless, online games and e-commerce services in the growing China Internet market," said Charles Zhang, Chairman and CEO of Sohu.com.
Mr. Zhang continued, "Multimedia messaging services and other 2.5G applications, while at a low percentage of revenues, showed strong growth in the fourth quarter of 2003. Our marketing strategy, product innovation and close working relationship with the mobile operators form the basis for our confidence in the long-term outlook for Sohu's wireless value-added services."