HUYA Inc. (NYSE: HUYA) saw its stock soar 5.12% in pre-market trading on Wednesday following the release of its strong 2024 financial results and the announcement of a significant dividend plan.

The Chinese game live streaming platform reported impressive growth in its diversified revenue streams for the full year 2024. Notably, revenues from game-related services, advertising, and other segments increased by 145.4% year-over-year to RMB1.33 billion, accounting for 21.9% of total net revenues, up from 7.8% in the previous year. This growth demonstrates the success of HUYA's strategic transformation efforts.

Investors were particularly encouraged by HUYA's improved profitability and cash flow. The company reported a non-GAAP net income of RMB269 million for 2024, up 125.6% year-over-year, with net cash provided by operating activities turning positive at RMB94 million. Additionally, HUYA announced a 2025-2027 dividend plan, which includes a cash dividend of USD1.47 per ADS for 2025, totaling approximately USD340 million. The company plans to distribute no less than USD400 million in cash dividends over the next three years, signaling confidence in its financial position and commitment to shareholder returns.

HUYA's focus on AI integration and technology-driven growth also appears to be resonating with investors. The company has deployed an AI assistant feature and is actively developing AI-powered tools to enhance content creation and user experiences. This forward-looking approach, combined with the solid financial performance and shareholder-friendly initiatives, likely contributed to the positive pre-market reaction in HUYA's stock price.