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NeoGAFs Kent Brockman
Tencent profits soar amid COVID-19 pandemic
Chinese internet giant Tencent has posted soaring revenue and profit while many businesses around the world struggle am…
www.gamesindustry.biz
Chinese internet giant Tencent has posted soaring revenue and profit while many businesses around the world struggle amid the ongoing COVID-19 pandemic.
Total revenue for Q2 2020 was RMB 114.8 billion ($16.2 billion), a 29% increase year-on-year. Profit meanwhile saw a similar growth of 29% year-on-year to RMB 31.2 billion ($4.4 billion)
Online games accounted for roughly one third of Tencent's revenue for the period, increasing by 40% year-on-year to RMB 38.2 billion ($5.5 billion).
The increase was driven primarily by higher revenues from smartphone games in both China and the global market, which saw gross revenue of RMB 35.9 billion ($5.1 billion).
While user engagement on smartphones was up year-on-year, it fell quarter-on-quarter as a result of "seasonality and back-to-office behavior."
PC game revenue fell slightly to RMB 10.9 billion ($1.5 billion). Mobile titles like Peacekeeper Elite and Honour of Kings helped offset this slight revenue decline from games like CrossFire.