- Tencent‘s net income for the second quarter was 55.63 billion yuan, exceeding the estimate of 50.83 billion yuan.
- Operating profit stood at 60.10 billion yuan, surpassing the forecast of 58.48 billion yuan.
- Adjusted net income was 63.05 billion yuan, ahead of the expected 62.02 billion yuan.
- The company generated revenue of 184.50 billion yuan, beating the estimate of 178.94 billion yuan.
- Revenue from Fintech and business services hit 55.5 billion yuan, above the projected 53.85 billion yuan.
- Value-Added Services Business revenue reached 91.4 billion yuan, outperforming the expectation of 88.03 billion yuan.
- Domestic games revenue was 40.4 billion yuan, slightly higher than the estimate of 40.1 billion yuan.
- International games revenue came in at 18.8 billion yuan, significantly above the expected 16.12 billion yuan.
- Social networks revenue was 32.2 billion yuan, marginally over the estimate of 32.03 billion yuan.
- Weixin and WeChat monthly active users (MAUs) were 1.41 billion, surpassing the estimate of 1.40 billion.
- QQ smart device MAUs were 532 million, falling short of the expected 553 million.
- Fee-based VAS subscriptions totaled 264 million, below the forecast of 272.38 million.
- Net other losses amounted to 3.58 billion yuan, contrasting with the expected profit of 1.27 billion yuan.
- Selling and marketing expenses were 9.41 billion yuan, slightly under the estimate of 9.54 billion yuan.
- Analyst ratings show 66 buys, 4 holds, and no sells.
Tencent on Smartkarma
Analysts on Smartkarma are providing bullish insights on Tencent (700 HK) in anticipation of its Q2 earnings. John Ley‘s analysis highlights strong gains and low volatility as Tencent approaches earnings with steady outperformance. Gaudenz Schneider focuses on option signals and historical patterns, indicating a potential move near the top of Tencent‘s historical range post-earnings. Ming Lu is optimistic about Tencent‘s game revenue recovery in 2Q25, expecting a 23% upside by year-end. In another report, Schneider delves into how traders are positioning ahead of earnings, showcasing a mix of bullish and bearish sentiment through various options strategies.
Amidst these analyses, Smartkarma provides valuable insights into Tencent‘s performance and market sentiment, offering investors a data-rich perspective on potential opportunities and risks surrounding the stock’s upcoming earnings announcement. Sumeet Singh‘s broader ECM Weekly update from July 28, 2025, covers various IPOs, placements, and other events, rounding out a comprehensive overview of key market developments that may impact investor sentiment. With a range of analysts providing in-depth research on Tencent, investors can leverage this information to make informed decisions in the dynamic landscape of investment opportunities.
A look at Tencent Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 3 | |
| Growth | 4 | |
| Resilience | 4 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.4 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Investment analysts are eyeing Tencent Holdings Limited with a hopeful perspective as indicated by the Smartkarma Smart Scores. The company has received a solid score for Dividends, Growth, Resilience, and Momentum, signaling positive long-term prospects. With its diverse range of Internet and mobile services, online advertising, and e-commerce offerings, Tencent continues to attract users globally. While the Value score may not be the highest, the overall outlook for Tencent remains promising based on its strong performance in key areas.
Tencent Holdings Limited, functioning as an investment holding company, shows promise for the future with favorable scores across important metrics. The company’s operations in Internet and mobile value-added services, online advertising, and e-commerce have garnered positive feedback. With above-average scores in Growth, Resilience, and Momentum, Tencent appears well-positioned to capitalize on its global user base. Investors are likely keeping a close watch on Tencent as it navigates the evolving landscape of digital services and remains a significant player in the industry.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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