By John Meyer, consultant in financial affairs – Eurasia Business News, August 13, 2025. Article no. 1707

Tencent reported strong financial results for the second quarter of 2025, beating analysts’ expectations with a 15% year-over-year revenue increase to 184.5 billion yuan ($25.7 billion). The company’s net profit rose 17% to 55.63 billion yuan (about $7.75 billion). This marks the third consecutive quarter of double-digit revenue growth.

The core gaming business maintained solid momentum. Domestic gaming revenue grew 17%, bolstered by legacy titles such as “Honor of Kings” and “Peacekeeper Elite,” as well as significant deferred revenue recognized in the first quarter.

The international gaming segment saw an even stronger performance, with a 35% revenue increase driven by popular games like Supercell’s titles and “PUBG Mobile.”

Marketing services, which include advertising, enjoyed a rapid 20% growth year-over-year, thanks largely to AI-enhanced advertising capabilities that improved targeting and optimization.

Tencent significantly increased capital expenditures in Q2 to 19.10 billion yuan as it ramped up investments in AI infrastructure. The company is aggressively expanding its AI initiatives, including launching advanced AI models for applications such as 3D virtual scene generation and enhancing user engagement via AI-powered chatbots on the WeChat platform.

Tencent also made strategic moves to strengthen its gaming portfolio globally, such as acquiring a 25% stake in a Ubisoft subsidiary, gaining access to key franchises like “Assassin’s Creed.”

Overall, Tencent’s earnings reflect a robust gaming business combined with fast-growing AI-driven diversification in advertising and other services, positioning the company strongly for future growth in the tech and entertainment sectors.

If you want, I can provide a more detailed analysis of specific segments or Tencent’s AI initiatives.

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© Copyright 2025 – Eurasia Business News. Article no. 1707