Tencent Holdings, one of China’s two internet behemoths (alongside Alibaba), has posted first-quarter revenues of 159.5 billion renminbi ($22.5bn), up 6 percent year-on-year, along with a gross profit of RMB 83.9 billion ($11.8bn), up 23 percent.
Non-IFRS operating profit was up 30 percent, to RMB 58.6 billion ($8.3bn), while non-IFRS profit for the quarter was up 22 percent, to RMB 51.3 billion ($7.2bn).
Tencent is the company behind WeChat (Weixin in Chinese), which combines instant messaging, social media and mobile payments, but it also has a Sports division that broadcasts the events of a number of Western sports leagues, such as the NFL, the NBA, UEFA and ATP. In addition, it owns several properties in e-sports, such as Supernova National Games, Penguin League and Tencent Esports.
The games fall under what Tencent calls its VAS revenue, which amounted to RMB 78.6 billion ($10.8bn) for the quarter, down by 0.9 percent year-on-year. Revenue for online advertising – video accounts, mini programs, official accounts and WeChat search – amounted to RMB 26.5 billion ($3.7bn), up 26 percent. Revenue for Tencent’s fintech and business services rose 7 percent, to RMB 52.3 billion ($7.2bn).
