Tencent on Thursday posted 15% year-on-year revenue growth, with AI boosting the Chinese tech giant’s performance in advertising targeting and gaming.
Here’s how Tencent performed in the third quarter of 2025, per earnings released on Thursday:
- Revenue: 192.9 billion Chinese yuan ($27.12 billion), surpassing the 189.2 billion Chinese yuan expected analysts, according to data compiled by LSEG.
- Operating profit: 63.6 billion yuan, versus 58.01 billion yuan expected by the street.
Gaming, marketing and social media services, which makes up Tencent’s core business, raked in 95.9 billion Chinese yuan, representing 16% year-on-year growth.
Domestic games venues rose 15% over the same period, driven by the recently-released “Delta Force” and “VALORANT MOBILE,” the latter of which has become “China’s most successful mobile game launch year-to-date,” Tencent said.
International gaming efforts, which has been its fastest-growing segment in recent times, soared 43% year-on-year to 20.8 billion Chinese yuan. The firm attributed this growth to “Clash Royale” and “Dying Light: The Beast,” as well as higher revenues from Supercell’s games and an acquisition.
Tencent boosted its capital expenditure earlier this year as it ramped up AI and eyed European expansion for its cloud computing services, which would compete against market leaders Amazon Web Services, Google Cloud and Microsoft Azure.
The Shenzhen-headquartered company noted higher cloud services revenues, including increased demand for AI-related services.
“Our strategic investments in AI are benefitting us in business areas such as ad targeting and game engagement, as well as in efficiency enhancement areas such as coding, and game and video production,” said CEO Ma Huateng.
The company updated its foundational AI model, HunYuan, improving its coding, math, and science capabilities. The tech firm also uses DeepSeek in some products. Tencent shares are up 56.7% year-to-date.
The WeChat owner’s financial and business services rose 10% year-on-year to 58.2 billion Chinese yuan for the third quarter of 2025, thanks to higher commercial payments and consumer loans and payments. Tencent recently launched a payment platform, TenPay Global Checkout, which allows some Weixin merchants to accept funding outside of the Chinese mainland.
Capital expenditures, which are primarily investments in IT infrastructure, slowed in the third-quarter, totaling 13 billion Chinese yuan.
