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ByteDance's Profit Drops 70% Amid AI Investments; Overseas Revenue Surges

4/21/2026

Summary

Story summary

ByteDance reported a net profit drop of over 70% in 2025 due to significant investments in artificial intelligence.
Overseas revenue increased nearly 50%, exceeding 30% of total revenue for the first time, driven by TikTok Shop's gross merchandise value growth of nearly 70%.
Li Liang, vice-president of Douyin, explained that stock option costs under international accounting standards affected profit reporting, but overall profit and revenue grew when excluding these costs.

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Story summary

ByteDance reported a net profit drop of over 70% in 2025 due to significant investments in artificial intelligence.
Overseas revenue increased nearly 50%, exceeding 30% of total revenue for the first time, driven by TikTok Shop's gross merchandise value growth of nearly 70%.
Li Liang, vice-president of Douyin, explained that stock option costs under international accounting standards affected profit reporting, but overall profit and revenue grew when excluding these costs.