Tencent Sees Profit Increase of 61% Thanks to Games Business

Tencent is back in the $500 billion club. The Chinese tech conglomerate which owns the popular We Chat and QQ messaging and payment apps and a host of top mobile games reported earnings that topped forecasts

Strong revenue from games and advertising lifted revenue and profit margins at Chinese social media giant Tencent. But adjusted earnings-per-share, which strips out one-time items, came to 1.92 yuan, missing the 1.94 yuan average estimate. Another title - Honour of Kings - was the world's highest-grossing mobile game past year thanks to its China-based users and Tencent has been pushing it to worldwide audiences. Net profits increased 65% year-on-year to reach $3.82 billion on revenues of $11.7 billion in the three months to end of March.

Tencent Holdings Ltd. delivered record quarterly profit that reassured investors bracing for a big hit to margins from spending on everything from video to old-school retail. The company announced that had seen growth in the double digits related to the number of daily active users for that game.

The overall online games business was boosted by two major games. The combined MAU of Weixin and WeChat amounted to 1.040 billion, up 10.9 percent year-on-year and from 989 million sequentially.

Value added services businesses expanded their revenues by 34%, games by 26% and advertising by 55%, year-on-year, the company said. Tencent has exclusive release rights for PUBG in China but says the game is "yet to be monetized", implying future additional revenue stream from the title.

Dez Bryant To The Green Bay Packers According to Jason Witten
That leaves Allison, 2017 UDFA Michael Clark or Trevor Davis who has primarily been used a punt returner for the Packers. He received a contract offer from the Baltimore Ravens, but didn't seem interested in it. "I look for him to go there".

Tencent is banking next on the latest global phenomenon-"battle royale" games, in which a large group of players shoot each other until only one remains standing. The tournament-style game is popular amongst the e-sports, which is competitive video gaming. Now not available in China, it is scheduled to be launched there during the next couple of months.

Fortnite was developed by Epic Games, a company that saw Tencent acquire a 48.4 percent stake for US$330 million.

As our chart illustrates, there's no need for Tencent to shy away from comparisons with the world's largest social networking company. It invested $632 million in game-streaming platforms Douyu in March, $462 million the same month on Huya.

Other earnings drivers for Tencent included a video subscription service that is similar to that of Netflix.

Related news:

Hot News

isis-killer-beheading-video-story-top Chrissy Teigen and John Legend announce they've welcomed their second baby
May 17, 2018 - 12:01
The " Sports Illustrated " model took to Twitter to announce her and husband John Legend's second child had arrived in the world. Teigen, 32, shared the news on Twitter on Thursday May 17 writing, "Somebody's herrrrrrre!" along with baby bottle emojis".

isis-killer-beheading-video-story-top CISCE results 2018: 64 score above 99%; check ICSE, ISC toppers' list
May 16, 2018 - 02:29
The ICSE exam was conducted from February 26 to March 28 this year, while the ISC exam was held between February 7 and April 2. The declaration of the ICSE and ISC results will seal the fate of lakhs of students who have appeared for the examination.

isis-killer-beheading-video-story-top Why Home Depot Got Hammered After Earnings
May 16, 2018 - 02:28
Total analysts of 20 have positions in Home Depot ( NYSE :HD) as follows: 16 rated it a "Buy", 0 with "Sell" and 4 with "Hold". The Home Depot , Inc operates as a home improvement retailer. ( NYSE :HD) reached 32.46% versus a 1-year low price of $144.25.

isis-killer-beheading-video-story-top Fox fall lineup includes new series from Winston-Salem native
May 16, 2018 - 02:27
In between the new shows and the shrimp this week, TV networks will also be pushing their efforts to reduce commercial loads. At any rate, Samberg seemed truly thankful for the last-minute save by NBC .

isis-killer-beheading-video-story-top Italy's League leader sets conditions on government talks
May 16, 2018 - 02:23
Salvini named infrastructure, immigration and Italy's relationship with the European Union as the main sticking points. The League and Five Star must also agree on representation from the parties in the new government.

isis-killer-beheading-video-story-top European Union ministers continue to talk Brexit despite little progress in recent months
May 16, 2018 - 02:23
He said June's European Union summit was a "key rendezvous" to reach a deal that can be ratified before the United Kingdom leaves. The EU has set October as the final deadline for a deal to be finalised.

isis-killer-beheading-video-story-top Holy Month Of Ramadan Begins Today
May 16, 2018 - 02:23
Trump's decision helped add fuel to the fire of the escalating confrontations resulting in a great toll on innocent Palestinians. In a statement on Monday, the Mufti of Singapore, Mohamed Fatris Bakaram, wished all Muslims in Singapore a blessed Ramadan.

isis-killer-beheading-video-story-top Scottish Parliament Votes To Refuse Consent For Britain's Brexit Bill
May 16, 2018 - 02:20
But the Tories hit out, claiming it was "patently obvious that Nicola Sturgeon wants a political crisis to provide cover for her independence drive".

isis-killer-beheading-video-story-top Second consecutive win shows Hamilton is on track finally
May 16, 2018 - 02:15
That news will strike a hammer blow to Red Bull's Daniel Ricciardo who is interested in teaming up with Hamilton at Mercedes next term.

isis-killer-beheading-video-story-top Apple Has Bigger Autonomous Car Fleet Than Uber, Tesla, Google
May 16, 2018 - 02:14
Apple is said to employ 83 drivers for its fleet, far less than the 407 of GM or even the 338 Waymo drivers with approved permits. That gives it the second-largest fleet in the U.S. , ahead of Waymo's 51 cars, but still well behind GM Cruise, which boasts 104.

isis-killer-beheading-video-story-top Coroner Rules Death of Black Man Arrested in Louisiana Homicide by 'Asphyxia'
May 16, 2018 - 02:13
Robinson was taken into custody by police from New Orleans' Jefferson's Parish on suspicion he was selling drugs . Sheriff Joe Lopinto said his office is investigating along with state police and the FBI Civil Rights Task Force.

isis-killer-beheading-video-story-top Health officials say record number of Californians diagnosed with STDs a year ago
May 16, 2018 - 02:11
CDPH Director and State Public Health Officer Karen Smith said that STDs can be prevented by consistent use of condoms. Jeffery Klausner, a professor of medicine of the University of California, Los Angeles, told the Associated Press .

isis-killer-beheading-video-story-top Arsene Wenger Predicts European Super League Will Eventually Replace EPL
May 16, 2018 - 02:10
Some have done it for more than one club - such as the all-time leader on 12 - others for just one side, such as the Blues bully on eight.

isis-killer-beheading-video-story-top Swiss Tesla accident: crash may have sparked battery fire
May 16, 2018 - 02:09
The National Transportation Safety Board said it was not investigating the Utah crash. In April, Tesla fell short of Model 3 production targets for the first quarter .

isis-killer-beheading-video-story-top Joe Hart Won't Be Part Of England's 23 Man World Cup Squad
May 16, 2018 - 02:08
The England manager submitted a provisional 35-man squad to Federation Internationale de Football Association on Monday. It also raises questions as to whether there will be any jokers up the manager's sleeve on Wednesday.