Hello, ladies and gentlemen. Thank you for standing by for the fourth quarter and fiscal year 2021 earnings conference call for HUYA Inc. At this time, all participants are in a listen-only mode. Today's conference call is being recorded. Now turn the call over to Ms. Hanyu Liu, Company Investor Relations. Please go ahead.
Hello, everyone, and welcome to HUYA's fourth quarter and fiscal year 2021 earnings conference call. The company's financial and operational results were issued earlier today and are posted online. You can also view the earnings press release by visiting the IR website at ir.huya.com. A replay of the call will be available on the IR website in a few hours. Participants on today's call will be Mr. Rongjie Dong, Chief Executive Officer of HUYA, and Ms. Ashley Wu, Vice President of Finance. Management will begin with prepared remarks, and the call will conclude with a Q&A session. Before we continue, please know that today's discussion will contain forward-looking statements made under the Safe Harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements involve inherent risks and uncertainties. As such, the company's results may be materially different from the views expressed today.
Further information regarding these and other risks and uncertainties is included in the company's prospectus and other public filings as filed with the U.S. Securities and Exchange Commission. The company does not assume any obligation to update any forward-looking statements except as required under applicable law. Please also know that HUYA's earnings press release and this conference call include discussions of unaudited GAAP financial information as well as unaudited non-GAAP financial measures. HUYA's press release contains a reconciliation of the unaudited non-GAAP measures to the unaudited, most directly comparable GAAP measures. I will now turn the call over to our CEO, Mr. Rongjie Dong. Please go ahead.
Hello, everyone. Thank you for joining our conference call today. 2021 was a solid year for HUYA as we sought to fortify our leadership position in China's game live streaming market. Amid macro headwinds related to the subsiding pandemic effects and evolving regulatory landscape, we finished the fourth quarter with a record high mobile user base and net revenues of RMB 2.8 billion . For full year 2021, we performed strongly overall, generating RMB 11.4 billion total net revenues and RMB 454 million non-GAAP net income. Throughout the year, we expanded our investments in licensed esports tournaments, self-produced content, and content creators across our platform, and continued to advance technology and product development, launching innovative interactive features to further enhance user experience and boost user engagement.
We also broadened our co-commitment to corporate social responsibility, fostering deeper bonds with our community, our users, and broadcasters as we promoted positive social values nationwide. First, let's look at our user growth. Driven by esports events and new game launches in Q4, our user base sustained healthy growth momentum, and HUYA Live's mobile MAUs reached 85.4 million during the quarter, up 7% year-over-year. On an annual basis, HUYA Live's mobile MAUs were 88.9 million in 2021, compared with 76 million in 2020. As we remained focused on ramping up content investment and rolling out product innovations, we maintained our HUYA Live app's next month user retention rate above 70% on average in 2021.
Next, I would like to provide some updates on our recent efforts to advance technology and product development. Let's begin with our open platform for third-party application development developers, which is growing rapidly and gaining popularity with users, broadcasters, and developers alike. By the end of December 2021, more than 320 HUYA Mini Tools had been created and offered by developers through this open platform, extensively diversifying and enriching our users' live streaming interactions with new formats. Furthermore, in the fourth quarter of 2021, the average number of broadcasters using Mini Tools a day increased by approximately 160% year-over-year. Those tools engaged more than 5 million daily active users during the quarter, up over 240% year-over-year.
One noteworthy example is Battle of Lords, a recently added Mini Tool utilizing incremental game features to help streamers increase users' loyalty to their live broadcast rooms by enticing users with virtual rewards when they visit. Also, to build on the successful launch of a series of interactive features, including gift droppers and one click to join broadcasters' gameplay. Earlier in 2021, we introduced more innovative features in the fourth quarter, further enhancing game live streaming experiences. For instance, in December, we joined forces with Peacekeeper Elite to roll out a three-day campaign featuring our live streaming sale for in-game virtual items, inviting a few popular streamers to promote in-game skins and other virtual items during their live broadcast sessions.
Notably, the campaign generated a record growth billing for our live streaming sale on our platform, with users viewing this game title on our app during the week of the campaign growing by 50% sequentially. On top of our general live streaming e-commerce functions, which allow users to place orders directly during streaming sessions, the Peacekeeper Elite event included an inventive feature enabling users to receive virtual in-game purchases immediately in their game accounts by connecting their game ID with their HUYA account. While greatly benefiting the game's operations, events like this also support new live streaming content creation and increase streamers engagement in the game value chain, thus potentially diversifying their income sources. Our initial success in this initial initiative also demonstrated the value of our enhanced cooperation with the Tencent ecosystems game studios.
In a concerted effort to propel growth while delivering a better experience to our users and broadcasters, we are also working to combine the above-mentioned HUYA Mini Tools and the interactive features to re-enhance their mutual benefits. As Mini Tools connects us with application developers and interactive features link us with game companies, we can leverage those synergies to integrate upstream and downstream partners, raising our platform's profile as an industry leader. As for corporate social responsibility, we have redoubled our efforts by upgrading our risk control and compliance system, expanding our HUYA volunteer team, and encouraging our broadcasters to create more content in pursuit of our positive social impact.
In 2021, over 9,600 broadcasters on our platform joined our campaign to promote a healthier and a more positive social environment, and performed approximately 83,000 hours of related live streaming, covering a wide range of topics such as anti-fraud education, volunteer social activities, and cultural heritage. We also made encouraging progress with our business diversification initiatives in the past year, providing game videos appealing to a wider range of audience demographics. Furthermore, our international product, Nimo TV, recorded further user expansion and significant revenue growth, driven by Nimo's solid performance. International business is emerging as a growth driver for our company. Ashley will elaborate on these two topics in just a moment.
Last but not least, although our revenue growth slowed in the first quarter, primarily due to a soft macro environment, we sustained our strategic efforts in content investment to expand our offering and drive continued user growth that we believe is the key to our sustainable business development. This, however, caused higher costs and lower margins for the first quarter. Overall, we are proud of our accomplishments in 2021, and are ready to embrace the challenges and opportunities the new year is likely to bring. As we enter 2022, macroeconomic uncertainties and regulatory changes continue to pose pressure for us, thus we are experiencing a softer start compared with previous years.
Nevertheless, we remain confident in our business fundamentals and operational capabilities, given our leadership position in the game streaming industry and our strong value proposition in the massive game and esports market. As the market evens out and user sentiment returns to more favorable levels, we expect to see a recovery in our financials with our investments paying off. Looking ahead, in order to deliver long-term value to our stakeholders, HUYA will strategically focus on enriching the quality and diversity of our content, cultivating content creators, and advancing technology and product innovations, as well as further improving operational efficiency and exploring new business opportunities as we strive to support a better, happier community.
Given that esports titles are now included in the official medal programs of the Asian Games, we see tremendous opportunities to leverage our strengths in esports content to enhance HUYA's brand image and promote overall industry development. With that overview, I will now turn the call over to our VP of Financial, Ashley Wu, to share more details on our operating metrics and financial assessments. Ashley, please go ahead.
Thank you, Mr. Dong, and hello, everyone. To expand on Mr. Dong's remarks, I will start with updates on our content enrichment and diversification initiatives. Professional esports content remain viable on our platform. During the fourth quarter, we broadcasted 125 third-party esports tournaments, generating total viewership of approximately 605 million. Notably, the 2021 season of League of Legends World Championship, or Worlds 2021, achieved record high viewership on our platform, and peak concurrent viewers of this event doubled compared with the previous edition in 2020. KPL Autumn, Demacia Cup, The International 2021, and PEL Season 4 are also quite popular among our users. Furthermore, we have some exciting news to share about esports broadcasting rights.
Following our agreement with TJ Sports last year, through which we locked down the 2021-2024 exclusive broadcasting rights in China for LPL, LDL, and LPL All-Star Weekend Series, we are securing rights for a greater variety of licensed esports tournaments by forming multi-year partnerships with esports event organizers. In November, we signed an exclusive Chinese media rights agreement with ESL Gaming for a series of its key events in 2022 and 2023, including ESL's Dota 2 and ESL Mobile ecosystems, as well as the ESL Pro Tour for CS:GO and StarCraft II. This collaboration will help us enhance the licensed coverage for those games tournaments, as well as add high-quality international esports content to our platform.
On the self-produced content front, we broadcasted 64 esports tournaments and entertainment PGC shows in the fourth quarter, for which total viewership reached 153 million in the fourth quarter, growing over 40% year-over-year. The HUYA All-Star Cup Final Season for Peacekeeper Elite, the HUYA Pro Dream Cup for Honor of Kings, and the Fengshen Cup Season 2 for LOL Wild Rift are our top-performing self-organized events. Going forward, we plan to proactively generate more HUYA-branded programs and further increase the proportion of self-produced content in our content portfolio, as self-produced offerings are typically differentiated to gain user traction and deliver good return on investment. By leveraging our rich esports and game live streaming content resources, joining forces with our existing co-broadcasters, and establishing new cooperation with video content creators, we continue to enrich video content offerings on our platform.
As of now, a majority of the key broadcasters on our platform have already participated in video content creation. As a result, the number of video uploaded and video viewership both recorded double-digit sequential growth in the fourth quarter. We believe our effort to build synergies between our video content and live streaming content will promote our user growth and content consumption, as well as provide more commercialization opportunity. In terms of our international business, Nimo TV's average MAUs increased to more than 30 million in the fourth quarter, highlighted by strong user growth in Indonesia. Particularly by cooperating with game studios and broadcasting local esports tournaments, we solidify our leading position in that region. Within Nimo TV, we continue to add entertainment genre, such as live show and voice chat, to build a more comprehensive content ecosystem, which also helps to enhance its monetization capability.
Our overseas revenues grew by over 110% year-over-year in the fourth quarter, as we constantly refine our cooperation with local talent agencies to pursue more sustainable and healthy future revenue growth. Next, let me walk you through our Q4 financial results. Unless otherwise specified, the growth rates I will be reviewing are all on a year-over-year basis. For the fourth quarter of 2021, our total net revenues are approximately RMB 2.8 billion, decreasing by 6.1% year-over-year. Our live streaming revenues were RMB 2.6 billion for Q4 compared with Q3, but decreased from RMB 2.8 billion for the same period last year. The decline was mainly due to the lower number of paying users and average spending per paying user on HUYA Live, partially offset by growth in overseas live streaming revenue.
As macro softness in Q4 adversely affected users' willingness to pay, we saw a decrease of paying users for HUYA Live from 6 million in Q4 of last year to 5.6 million in this quarter. As well as a lower ARPU. Advertising and other revenues increased by 11.6% year-over-year to nearly RMB 196 million for Q4, primarily driven by revenues from content licensing. To provide more color on content licensing's contribution, because our content licensing revenues are related to the licensing of esports tournament's broadcasting rights and are recognized according to event schedule, we often experience fluctuation in this category between quarters. Cost of revenues increased by 17.3% to RMB 2.8 billion for Q4, primarily due to the increase in revenue sharing fees and content costs, as well as bandwidth costs.
Revenue sharing fees and content costs increased by 20.5% to close to RMB 2.5 billion for Q4, primarily due to the increase in spending on esports content and the increase in revenue sharing fees in relation to certain broadcaster incentive programs. Particularly, the impact from content costs in relation to LOL Worlds 2021 was greater than previous years, mainly because this large tournament occurred in Q4 and we booked the event's full cost in one single quarter. Whereas in the past, it usually spanned two quarters, Q3 and Q4. Bandwidth costs increased by 9.6% to RMB 183 million for Q4, primarily due to an increase in bandwidth usage as a result of our higher concurrent user base during the large esports event in the quarter.
Gross profit was RMB 1.1 million, and gross margin was approximately 0% for Q4. Excluding share-based compensation expenses, non-GAAP gross profit was RMB 16.2 million, and non-GAAP gross margin was 0.6% for Q4. Research and development expenses decreased by 4.6% to RMB 206 million for Q4, primarily due to decreased personnel-related expenses. Sales and marketing expenses increased by 13.1% to RMB 218 million for Q4, primarily due to increased marketing expenses to promote our content, products, services, and brand name, particularly in promotional activities for esports events, partially offset by decreased personnel-related expenses. General and administrative expenses decreased by 5.8% to RMB 90 million for Q4, primarily due to decreased professional service fees. Other income was RMB 58...
RMB 56 million for Q4, compared with RMB 95 million for the same period of 2020, primarily attributable to lower tax refunds and government subsidies. As a result, operating loss was RMB 457 million for Q4, compared with operating income of RMB 187 million for the same period of 2020. Excluding share-based compensation expenses, non-GAAP operating loss was RMB 386 million, and non-GAAP operating margin was -13.8% for Q4. Net loss attributable to HUYA Inc was RMB 313 million for Q4, compared with net income attributable to HUYA Inc of RMB 253 million for the same period of 2020.
Non-GAAP net loss attributable to HUYA Inc was RMB 242 million for Q4, compared with non-GAAP net income attributable to HUYA Inc of RMB 306 million for the same period of 2020. Non-GAAP net loss margin was 8.6% for Q4. Diluted net loss per ADS was RMB 1.31 for Q4. Non-GAAP diluted net loss per ADS was RMB 1.01 for Q4. As of December 31, 2020, we had cash and cash equivalents, short-term deposits and short-term investments around RMB 11 billion. Compare with RMB 11.1 billion as of September 30, 2021. Move on to our full year 2021 results.
Total net revenue for 2021 increased by 4% to RMB 11.4 billion from RMB 10.9 billion for the prior year. Live streaming revenues were RMB 10.2 billion for 2021 compared with RMB 10.3 billion for the prior year. Advertising and other revenues increased by 93% to RMB 1.2 billion for 2021, from RMB 603 million for the prior year. Notably, advertising and others accounted for approximately 10% of our total revenue for 2021, improved from 5.5% from 2020. Non-GAAP gross profit was RMB 1.7 billion, and non-GAAP gross margin was 14.6% for 2021.
Non-GAAP operating income was RMB 260 million, and non-GAAP operating margin was 2.3% for 2021. Non-GAAP net income attributable to HUYA Inc was RMB 454 million, and non-GAAP net margin was 4% for 2021. Non-GAAP diluted net income per ADS was RMB 1.88 for 2021. To be mindful of the length of our earnings call, for the other full year 2021 financial results, I will encourage listeners to refer to our earnings press release for further details. With that, I would now like to open the call to your questions.
Thank you. Ladies and gentlemen, we will now begin the question- and- answer session. If you wish to ask a question, please press star one on your telephone and wait for your name to be announced. If you wish to cancel your request, please press a pound or hash key. For the benefit of all participants of today's call, if you wish to ask a question to management in Chinese, please immediately repeat your question in English. Once again, that's star one for questions. Our first question comes from the line of Thomas Chong from Jefferies. Please ask your question.
[Foreign language]. Thanks, management, for taking my questions. My question is about the 2022 outlook. Can management share about the overall strategic direction as well as the trend for user and revenue? Thank you.
[Foreign language].
Thank you for that question. This is from Mr. Dong, CEO of the company. We always believe that users are the core of our business growth, and we will continue to have user-driven growth for our long-term development strategy. For the year 2021, our user increased by 6.4%, with Q4 MAU reached 85.4 million, further cementing our leading position in game live streaming area. In 2022, HUYA will continue to increase our market share in game live streaming and cement our leading position. Of course, HUYA will continue to explore the diversification of our business and to enhance our monetization ability.
[Foreign language].
In order to hit our user growth target. HUYA in 2022 will continue to invest effectively on the content and product, try to cover the mainstream tournaments and esports events, and also to enhance our ability to make self-produced tournaments and content, and increase the proportion of self-produced content. On top of that, we will continue to acquire streamers to adjust our incentive schemes according to the market dynamic, and also keep an eye on overseas live streaming and video businesses.
[Foreign language].
On top of that, HUYA will continue to improve its technology and product, trying to have virtual streamers to optimize our audio and video technology to improve the users' viewing experience, and to promote interactive features on live streaming as well as HUYA mini programs.
We will try to, you know, step up our effort in partnering with Tencent and explore new operating models and commercialization models for esports as a whole. In terms of operation, we will try to enhance and continue to be compliant in our platform, trying to adapt to regulatory changes and to, you know, realize long-term business development.
[Foreign language].
Ms. Ashley Wu, VP of Finance. As to the trend of user growth and revenue outlook for the year 2022, our target is to keep the mobile user number increased for the year by enriching our content in our platforms and also to enhance interactions with our users. It is worth noticing that the user numbers has seasonality changes pretty much depending on the scheduling of the big events as well as holidays and other seasonal issues.
[Foreign language].
In terms of revenue, we noticed that the paying behavior of our users in Q4 2021 somehow was affected by the macro economy, the negative impact. Because this, you know, regulatory changes and macro economy impact is still continuing, we expect that for the first half of 2022, our revenue probably will continue to be under some pressure. Generally speaking, the fluctuations in our revenue are mainly due to external forces. Our company will continue to work on and have the right confidence that our business will enjoy a sustainable growth for the long term.
[Foreign language].
Generally speaking, the users are the key to our business development, and we'll continue to have content driven user growth. We believe that when the market situation turns better, our business will return to a, you know, up growing business growth.
Okay. Next question please. Thank you.
Thank you. Our next question comes from Lei Zhang from Bank of America Merrill Lynch. Please ask your question.
管理层晚上好。谢谢接受我的提问。我的问题主要是关于内容策略的，尤其是我们在电竞赛事方面的策略，因为有看到我们最近也买了一些独家版权，但同时我们的竞争对手也在这个内容方面做了一些策略的调整，所以想请管理层分享一下我们对内容方面整体的一个看法，谢谢。
T hanks, management, for taking my question. My question is mainly regarding your content strategy, particularly on the esports tournament side, considering your competitors' adjustments in esports tournaments recently, and thanks for sharing your thoughts here. Yeah. Thank you.
好的，为了加强虎牙的竞争力，同时持续为我们的用户带来有吸引力的内容，我们在今年会持续购买和建设更优质的内容，这里面包括版权的电竞赛事，也包括自制的赛事，还有PGC的节目、主播内容等等。版权赛事方面，我们持续提供更多的赛事。目前几大主流的游戏里面，比如在英雄联盟，虎牙是国内唯一同时拥有LCK、LEC、LCS和PCS赛区的直播平台。王者和和平精英其实也实现了主要的赛事及国内的职业联赛的覆盖。然后新游里面的英雄联盟手游，我们已经开始它的官方职业赛事WRL的一些直播。我们前面也提到了，去年十一月跟ESL达成了在Dota 2和CS:GO等赛事的两年的独家版权。这些都有利于我们在这个游戏品类里面做得更好，能够形成更加完备的专业电竞赛事内容提供的平台。在2021年Q4，虎牙直播了125个版权的赛事，总共获得了6.05亿的观看量。
Thank you for your question. This is from CEO Mr. Dong. In order to enhance our competitiveness and continue to provide attractive content to our users, we'll continue to purchase and establish high quality content including IP tournaments, self-produced events, as well as PGC programs and streaming content. To be more specific, in terms of IP tournaments, we'll continue to provide popular tournaments and events in the mainstream games. For instance, in our League of Legends China, we have the LPL in China as well as the only platform that provides LCK, LEC, LCS as well as PCS. In terms of Honor of Kings and Peacekeeper Elite, we are also covering the main events and tournaments as well as the professional league in China.
In terms of the new games, for instance, LOL Mobile, we had established the live streaming for its professional league, WRL, Wild Rift League. I also mentioned that last year in November, we have established two-year exclusive IP agreement with ESL for Dota 2 and CS:GO. This actually helped us to make up for the shortcomings we had in the past in the portfolio of games, and make it a more complete platform that provides professional live streaming content for the games. To be more specific, as of year 2021 Q4, we live streamed 124 IP games, and with a viewership of 604.5 million in total.
整体来说，我们还是会持续对优质版权赛事进行投入，但是跟往年相比，我们确实会更多开始考虑赛事的综合性价比。所以我们可能在今年这方面会加强一些注意。然后在自制内容方面，主要的策略是希望能够提高自制内容的比例，更有效地能够培养自制赛事和节目IP的矩阵。目前虎牙手游的电竞赛事，比如说猛男杯、胖虎杯、破军杯都举办了多次的赛事，Godlike等也做了很多季，其实逐渐形成了这些赛事和节目的一些用户群。在2021年的Q4，自办赛事和PGC节目的观看人数达到了5.53亿，同比增长超过40%。整体来说，自制赛事一般情况下ROI会比较好，长期来看，这对于整体的内容成本的平衡是有利的。
We will continue to invest effectively on high quality IP events, and while also considering the cost efficiency while we are purchasing them. Even though some IP events or top events, they are quite expensive, but we believe these are very important for us to keep traffic of users and provide better services for our existing users. In terms of self-produced content, the strategy is to increase the proportion of self-produced content by making better use of our program IP metrics as well as self-produced tournaments. For instance, right now we have a HUYA content that covers mobile gaming arena, as well as All-Star Cup, Royal Cup and Pojun Cup. We also have made many seasons of Godlike entertainment programs as well. Gradually we form a very good and solid user base for these events and programs.
In Q4 2021, the total viewership for our self-produced content and PGC content reached 153 million, with a year-over-year growth of over 40%. Generally speaking, self-produced content can give us a better ROI, and for the longer term, help us to balance the cost for making the content overall. Thank you.
主播内容方面，除了我们继续在这个主播签约的投入上面，我们也在积极地探索虚拟主播和虚拟直播等的技术能力，希望能够找到更好的、性价比更高的直播的内容。同时我们的互动直播的技术的一些推广，也有助于能够产生让用户更有参与度的一些内容。综合来说，结合我们现在已有的赛事节目以及直播内容，我们还会在这个视频内容上面进行一些拓展，希望能够进一步丰富平台内容，形成视频内容和直播内容之间的一些协同。
In terms of the live streaming, on top of keeping investing in the streamer split as well as contracting them, we will also explore virtual streamers as well as virtual studio technologies trying to create more innovative and more cost-efficient live streaming content. We would also trying to launch more interaction technology so as to create more fun and have more interactions and engage the users. By combining the existing tournaments, programs, and live streaming contents we have, we would also trying to explore video content in order to enrich our content on the platform and to create some synergies between the live streaming and video content.
Next, please. Thank you.
Thank you. Our next question comes from Brian Gong from Citigroup. Please ask your question.
Thanks, management, for taking my questions. This is Nelson asking on behalf of Brian. I have a question on margin and cost. Can management share your view on content cost and streamer cost outlook in 2022? How about the margin trend outlook going forward?
那我自己翻译一下。谢谢董先生接受我的提问。我的问题是关于内容成本的，在2022年的展望，以及我们在未来这个利润率的一个趋势的看法。谢谢。
感谢您的问题，那我来回答一下这个问题吧。那为了提升对于主播的吸引力，从2021年秋季开始，在维持基础分成政策稳定的情况下，虎牙是根据市场环境给予了主播一些分成的激励。同时在Q4，由于年底的一些盛典的活动，分成比例会比之前略微更高一些，那这个是具有一定的季节性的因素。综合我们平台的一个运营和变现的能力，我们认为目前虎牙为主播提供的分成比例是比较具有竞争力的，那我们也预期2022年的总体分成比例和2021年大体是相近。
Thank you for that question. Ashley Wu, VP for Finance. In order to increase our attraction to streamers since Q3 last year, while maintaining the split policy stable, we had tried to provide more incentives for our streamers according to the market dynamic. Due to the year-end event in Q4 last year, the split ratio was slightly higher, so that was a seasonal impact. Based on our overall operation of the platform and monetization ability, I believe that our split policy for the streamers are now quite attractive. For now, we expect that the total split ratio for the year 2022 will be at the same level we had for the year 2021.
延续2021年的分成政策，以及在赛事、主播和自制内容上的投入，我们预计2022年的全年内容成本占收入的比例较2021年全年的比例略有所升高，因此全年的毛利率会受到一定的影响。那在运营费用方面，我们会持续优化公司的运营效率，但是受到毛利降低的影响，2022年运营利润率相较2021年预期可能会有所降低。
While we'll continue our investment in content and also to carry forward our split policy since the second half of 2021, we believe that the content cost as a percentage to our revenue for the year 2022 would be slightly higher than that in 2021, and therefore the whole year gross margin rate will somehow be affected a little bit. In terms of operating expenses, we'll try to continue optimize our operating efficiency, but due to a slightly lower gross margin level, our operating margin will be lower than the year 2021.
由于今年行业和宏观方面的一些挑战，目前我们认为对于内容的投入是非常必要的，这个也有利于我们提升竞争力，增加市场份额。当然公司也会在整体运营效率方面做更多的优化和提升，比如对内容的ROI去做更有针对性的分析，把资源投入到更有效果的内容方面。另外，我们会加强带宽技术的优化，提升带宽使用效率，以及在运营费用方面做更多的优化。
我们的投入策略是有一定的灵活性的，也会视市场的情况去做及时的调整。虎牙一直以来财务稳健，现金流充沛，这个为我们的投入提供了良好的基础。
Given the major challenges for the whole industry and macroeconomy, we believe that it is necessary for us to continue to invest in content, because it would help us to increase competitiveness and increase the market share. Of course, we will try to be more optimized in terms of operating efficiency. For instance, to be more specific in analyzing the content ROI and to allocate our resources to make more results and efficiency.
For instance, we would probably also trying to optimize our bandwidth technology, make it more efficient, and also to optimize on our operating expenses, such as marketing expenses. Our content investment strategy enjoys a certain level of flexibility, which can be adjusted to market situation. For a long time, HUYA has always been very healthy in our cash flow and our finance performances, at which lay down a very good foundation for our further investment in content.
目前虎牙的收入状态主要受到外部环境的一些影响。就像我们之前提到的，虎牙具有持续增长的一个用户基础，用户对于平台也具有忠诚度。比如虎牙APP上用户的次月留存率达到70%，那虎牙也具备良好的一个商业化能力。在市场情况好转时，那我们预计收入的增长是能够得以恢复的。
Right now, the revenue situation is somehow subjected to the external impact. As we mentioned before, we have a good foundation for user growth. Our users are loyal to our platform. The second month retention rate for our users on the application is 70%, and we have very nice commercialization capability. When the market situation turns better, we believe that our revenue will continue to rebound and grow.
除了国内直播打赏收入方面，其他收入和业务模式也在持续地进行探索，比如在海外直播视频以及版权暂时版权分销方面。那2021年非直播收入的占比是超过了10%。预期中长期非直播收入的占比也会增加。在利润方面，我们也将会持续优化成本和提高运营效率。再将资源投入到运营效率更高的内容，并且会进行内容ROI的一些考核。在整个竞争局势稳定之后，分成成本和其他内容成本的投入是可以进行一些调整。此外，海外亏损也将会进一步收窄。长期来，虎牙是可以维持一个盈利的状态。
On top of the gifting income, we would also actively explore other models for revenue and businesses. For instance, to have overseas live streaming or video with advertisement income. We could also make money out of IP sales. Now streaming revenue in the year of 2021 accounted for over 10% of our total revenue, and we believe that for the mid and longer term, our non-streaming revenue as a percentage will keep growing. In terms of the profitability and margin, we will continue to optimize our costs and operating efficiency and to make our resources more effective. We will also have, you know, better evaluation of content ROI. Once the competition landscape stabilizes, we would be able to address our split costs as well as other costs for our content producing. Our loss rate in overseas business will continue to narrow down.
For the longer term, I believe that we are able to drive a profit.
Thank you. Our last question, please.
Thank you. Last question comes from Yiwen Zhang from China Renaissance. Please go ahead.
我是华尔街传媒，谢谢！接着我的提问。我这边有个海外问题的提问，刚刚我们在 prepare remarks 也说了，MAU 也好，零售也好，都涨得非常好。可不可以请管理层分享一下海外业务的进展？然后第二是海外今年有什么具体的目标没有？
Thank you management for taking my question. I have a quick question regarding overseas business. Can management share the latest update on overseas business and our target for 2022? Thank you.
好的，这个问题我来回答一下。那我们可以看到2021年Q4海外业务是取得了一个积极的进展。MAU增长是超过了3,000万，创下了历史新高，收入也同比取得超过110%的增长。2021年全年海外收入占公司的收入达到4%左右。
In Q4 2021, our overseas business achieved very nice positive progress, with a MAU over 30 million with a new record high, and our revenue also registered in year- on- year 110% growth. The overseas business give us about 4% of the revenue for our company in the year 2021.
2021年，我们优化资源，把资源集中到东南亚这些重点地区。在优化成本的同时，也提升了用户的规模。在Nimo的内容方面，除了提供在各个区域受到当地欢迎的游戏和赛事内容之外，我们也增加了平台上的一些泛娱乐品类的内容，形成更完整的一个内容生态，也有助于收入变现的一个提升。
In the year 2021, we allocate resources to Southeast Asia and those key areas. While optimizing our costs, we increase our user base. In terms of the Nimo content, while providing our popular games and tournaments which are popular in region, in the regional level, we had also increased pan-entertainment content on our platform to make our ecosystem more complete, and it is also favorable for us to monetize on our content.
基于2021年的经验，2022年我们的海外业务将继续维持上述的策略，目标是进一步巩固和提升用户体量。在收入方面，希望能够取得较快的增长，同时在成本端能够持续地优化成本，降低亏损。
Based on our experience in 2021, we will continue this strategy for our overseas business in 2022, with a goal to further consolidate and increase user base and increase our revenue, and also at the same time trying to optimize and reduce loss.
Okay, we finish the answer.
Right. Thank you. Now I'd like to turn the call back to the company for closing remarks.
Thank you once again for joining us today. If you have further questions, please feel free to contact HUYA's Investor Relations through the contact information provided on our website or TPG Investor Relations. Thank you.
Thank you. This concludes this conference call. You may now disconnect your line. Thank you.