Tencent's game revenue declined for two consecutive quarters, and payment, cloud computing and other
Tencent not only sent high-profile money on the occasion of the double
eleven that Ali has spent money, but now the high-speed growth business
of the financial report just coincides with Alipay and Aliyun.
Tencent released today unannounced third-quarter earnings. The report
shows that Tencent's total revenue in the third quarter increased by 52%
year-on-year, and the growth rate was the same as that of the previous
quarter; the growth rate of net profit declined.
It is worth
noting that the proportion of Tencent's game revenue has dropped for two
consecutive quarters. In the third quarter, online game revenue
accounted for only 45% of total revenue; while the proportion of
emerging businesses such as payment and cloud computing continued to
rise, exceeding 10% for the first time. Reached 12%.
Net profit growth rate decline
terms of overall financial situation, Tencent's total revenue in the
third quarter was RMB 40.388 billion (US$6,048 million), a year-on-year
increase of 52%, and the growth rate was unchanged from the previous
quarter. However, the profit growth rate declined. The profit for the
period was RMB 10.776 billion (US$1.614 billion), a 42% increase over
the same period last year; the net profit margin decreased to 27% from
29% in the same period last year.
Game revenue accounted for two consecutive quarters of decline
terms of segment business, value-added services, including online games
and social networks, are still the bulk of Tencent's revenue,
accounting for about 80%. However, the game business, which has always
been regarded as Tencent's cash cow, has seen its revenue share decline
for two consecutive quarters. Today, it accounts for only about 45% of
total revenue. This business once accounted for 60% of Tencent's revenue
in 2015. The growth rate of social network revenue is gradually
increasing, and the proportion has been stable at 23-24%.
further, mobile games have become the main force of the game business.
In the game business income of 18.1 billion yuan, mobile games were 9.9
billion yuan, an increase of 87%; end-end revenue increased by only 10%,
and according to the financial report It shows that the average
simultaneous online users of the end-games are still declining.
Therefore, Tencent is shifting its focus from increasing the user's time
in the game to expanding the user interaction.
The proportion of
online advertising revenue is also relatively stable, accounting for
about 17% of the group's revenue. Among them, the effect advertising
revenue increased significantly, the growth rate reached 83%, mainly due
to the contribution from WeChat friends circle, mobile news
applications and WeChat public account advertising revenue. WeChat is
also constantly exploring ways to monetize its circle of friends,
including LBS local promotion ads and native promotion page ads for its
recently launched circle of friends.
In addition, in the context
of QQ monthly active users (8.77 billion, 2% increase over the same
period last year), the number of monthly active accounts of WeChat and
WeChat continued to grow, reaching 864 million, an increase of 30% over
the same period last year. However, compared with QQ's monthly users, if
WeChat fails to further internationalize, the date of its users' peak
is obviously not far away. Therefore, the current focus of WeChat is no
longer to increase the users of WeChat, but Find out how to get users to
stay on WeChat and spend all their time in this app. Therefore, WeChat
is testing "small programs", allowing users to perform low-frequency
interactions without leaving the WeChat interface.
Other business income increased by 348%
most eye-catching growth was in other businesses, including payments
and cloud services, which grew by 348% year-on-year to RMB 4.964
billion. At this point, other businesses accounted for 12% of the
Group's revenue, exceeding 10% for the first time.
Tencent had already been the two major payment giants in China. The
former relied on e-commerce, and the latter relied on social interaction
to launch multiple payment and relief wars. Alipay has recently made
frequent moves to the sea. Tencent has also begun to deploy the payment
market in Southeast Asia after Alipay.
At the same time, although
the specific income of cloud services is not disclosed, even in the
domestic public cloud market, a large Alibaba Cloud accounted for only
4% of Ali's total revenue, plus this market has just begun, sitting
strong Tencent, the capital, has its own advantages in the vertical
field of games, and has the meaning of laying out artificial
intelligence. It is not difficult to catch up.
It seems that
although Tencent has suffered setbacks in the e-commerce field, there is
no big move in the film industry. However, in the star business of Ali
and the two cloud-based businesses, Tencent may have to face several