ByteDance realized a net profit of $33 billion in 2024, a year-on-year increase of just 6%, a sharp decline in growth from 2023, The information reported, citing people familiar with the matter.

In disclosing the 2024 results, ByteDance executives told some investors that the company's profit margins had peaked as the company plans to increase its investment in artificial intelligence in the coming years, the people familiar with the matter said.

ByteDance's net profit margin, which has fallen from 26% in 2023, to 21% in 2024.

The figures reflect a sharp slowdown in ByteDance's growth, The information said.

The double slowdown in net profit growth as well as margins reflects increased spending in the company's artificial intelligence space and its US e-commerce business.

At the same time, however, revenues from ByteDance's overseas operations, primarily TikTok, grew 63% to $39 billion in 2024.

With the company's China business slowing down, overseas revenue already accounts for a quarter of ByteDance's total revenue in 2024, the highest percentage ever.

ByteDance has not responded to these figures at this time.