Chinese Internet firm Shanda Interactive Entertainment said on Wednesday its first-quarter profit fell 36 percent, as a lack of new game titles and maturing hit games crimped growth at its core online games division.

Shanda posted a first-quarter net profit of $33.6 million, or 48 cents per American depositary shares (ADS), versus $52.8 million, or 78 cents per ADS a year earlier.

China has the world's largest Internet market by users, with more than 400 million netizens. Online game revenue in China rose more than 40 percent in the first quarter to 7.82 billion yuan ($1.15 billion), said Beijing-based Analysys International.

Top operator Tencent Holdings had a quarter of the market, followed by Shanda Games, with 21 percent and NetEase.com with 15.7 percent.