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Tencent Beats in Q3 as Gaming and AI-Driven Ads Power 15% Revenue Growth

Management credits its AI push for the outperformance.

Overview

  • Revenue rose to RMB192.9 billion for the September quarter, topping analyst forecasts compiled by LSEG.
  • Net profit reached RMB63.1 billion, up 19% year over year and ahead of consensus estimates.
  • Domestic gaming revenue increased 15% to RMB42.8 billion, while international gaming jumped 43% to RMB20.8 billion on strength from titles such as Delta Force, Valorant Mobile and Supercell releases.
  • Marketing services revenue grew 21% to RMB36.2 billion as AI tools improved ad targeting, including the rollout of Tencent’s automated campaign solution AIM+.
  • Tencent highlighted upgrades to its HunYuan model, reported roughly 32 million MAUs for its Yuanbao assistant, open-sourced more than 30 models, stockpiled AI chips, and executed share buybacks in Hong Kong.