Long-term Investments, Net

12 Months Ended

Dec. 31, 2024

9.	Long-term Investments, Net

The Group’s long-term investments primarily consist of equity investments accounted for using the measurement alternative, equity investments accounted for using the equity method and other investments accounted for at fair value.


	December 31, 2023		December 31, 2024
	RMB in thousands
Equity investments accounted for using the measurement alternative		2,421,609		1,917,527
Equity investments accounted for using the equity method		1,862,739		1,834,070
Investments accounted for at fair value		82,284		159,995

Total		4,366,632		3,911,592

Equity investments using the measurement alternative

The Group elects to use measurement alternative for recording equity investments without readily determinable fair values at cost, less impairment, adjusted for subsequent observable price changes, in accordance with ASU

2016-01.

Under this measurement alternative, changes in the carrying value of the equity investments will be recognized in current earning, whenever there are observable price changes in orderly transactions for the identical or similar investment of the same issuer. For those equity investments that the Group elects to use the measurement alternative, the Group makes a qualitative assessment of whether the investment is impaired at each reporting date. If a qualitative assessment indicates that the investment is impaired, the Group has to estimate the investment’s fair value in accordance with the principles of ASC 820. If the fair value is less than the investment’s carrying value, the Group recognizes an impairment loss in “Investment loss, net (including impairments)” equal to the difference between the carrying value and fair value.

RMB152.2 million

re-measurement

gain, RMB86.7 million

re-measurement

loss and nil

re-measurement

loss of equity investments accounted for using the measurement alternative was recognized for the years ended December 31, 2022, 2023 and 2024, respectively.

For equity investments accounted for using the measurement alternative as of December 31, 2023, the Company recorded cumulative upward adjustments of nil and cumulative impairments and downward adjustments of RMB758.2 million.

For equity investments accounted for using the measurement alternative as of December 31, 2024, the Company recorded cumulative upward adjustments of nil and cumulative impairments and downward adjustments of RMB1,187.6 million.

The Group recorded impairment charges for long-term investments of RMB465.6 million, RMB278.9 million and RMB486.5 million as “Investment loss, net (including impairments)” for the years ended December 31, 2022, 2023 and 2024, respectively,

due to

the investees’ unsatisf

actory

financial performance with no obvious upturn or potential financing solutions in the foreseeable future, and the Group determined the fair value of these investments was less than their carrying value.

The Company dispose

several equity investments of the Group with the carrying amount of RMB493.1million, RMB10.2 million and nil for the years ended December 31, 2022, 2023 and 2024, respectively. The difference between the consideration and their carrying value was recognized as “Investment loss, net (including impairments)”. RMB171.3 million, RMB3.9 million and

11.0 million

disposal gain

was recognized for the years ended 2022, 2023 and 2024 respectively.

Equity investments accounted for using the equity method

RMB211.6 million, RMB112.1 million and RMB40.5 million of the Group’s proportionate share of equity investee’s net loss, was recognized in “Investment loss, net (including impairments)” for the years ended December 31, 2022, 2023 and 2024, respectively.

Investments accounted for at fair value

Investments accounted for at fair value primarily include financial products with variable interest rates referenced to performance of underlying assets and with original maturities more than one year and investments in publicly traded companies with an intention of holding more than one year. A loss of RMB198.6 million, a gain of RMB158.4 million and a gain of RMB0.7 million result

from the change in fair value was recognized in “Investment loss, net (including impairments)” for the years ended December 31, 2022, 2023 and 2024, respectively.