Fueled by advertising sales and investment gains, Tencent Holdings Ltd.’s third-quarter profit jumped 30% despite a regulatory chokehold on videogames, the company’s biggest business.
Shenzhen-based Tencent, which also operates China’s dominant WeChat social network, on Wednesday posted net income of 23.3 billion yuan (USD 3.39 billion) for the three months ended 30 September, beating analyst expectations. Revenue rose 24% to 80.6 billion yuan (USD 11.61 billion) in line with forecasts.
Profit for the period included 8.8 billion yuan (USD11.64 billion) from investments, turbocharged by the initial public offering of Meituan Dianping, the food and delivery company backed by Tencent. That is more than twice what Tencent booked in investment gains in last year’s third quarter.
Source: The Wall Street Journal