Tencent 2025 Third Quarter Results

Key insights

7 takeaways

01
Tencent reported Q3 2025 total revenue of RMB192.9 billion, a 15% year-on-year increase, with non-IFRS operating profit rising 18% to RMB72.6 billion.See it on page 1
02
The Value-Added Services segment grew 16% to RMB95.9 billion, fueled by a 15% rise in domestic game revenue and a 43% surge in international game revenue.See it on page 2
03
Marketing services revenue climbed 21% to RMB36.2 billion, driven by improved user engagement and the implementation of AI-powered ad targeting.See it on page 2
04
The fintech and business services segment grew 10% to RMB58.2 billion, supported by strong commercial payment volumes and increased demand for AI-integrated cloud services.See it on page 2
05
Tencent’s HunYuan foundation model is now central to operations, driving efficiencies in ad targeting, game production, and the development of agentic AI within the Weixin ecosystem.See it on page 1
06
Combined monthly active users for Weixin and WeChat reached 1.414 billion, while the company maintained a strong liquidity position with RMB493.3 billion in cash.See it on page 2
07
The company achieved these financial gains while reducing capital expenditure by 24% compared to the same period in 2024.See it on page 1

Summary

Tencent Holdings Limited reported strong financial performance for the third quarter of 2025, characterized by double-digit revenue growth and improved operating leverage. The company achieved total revenues of RMB192.9 billion, representing a 15% increase compared to the same period in 2024. Gross profit rose by 22% to RMB108.8 billion, while non-IFRS operating profit grew 18% to RMB72.6 billion. This growth was supported by healthy trends across the company’s core segments, including gaming, marketing services, and fintech and business services.

The Value-Added Services (VAS) segment grew 16% to RMB95.9 billion, driven by a 15% increase in domestic game revenues and a 43% surge in international game revenues. Marketing services revenue climbed 21% to RMB36.2 billion, bolstered by AI-powered ad targeting and increased user engagement. Additionally, the fintech and business services segment saw a 10% revenue increase to RMB58.2 billion, reflecting robust commercial payment volumes and rising demand for cloud services, particularly those integrated with AI capabilities.

Strategic investments in artificial intelligence remain a central pillar of the company’s operational strategy. The HunYuan foundation model has been instrumental in enhancing business efficiency, improving ad targeting, and optimizing game and video production. The company is actively expanding the adoption of its Yuanbao AI assistant and developing agentic AI capabilities within the Weixin ecosystem.

The results reflect a stable operational environment, with the combined monthly active users (MAU) of Weixin and WeChat reaching 1.414 billion. Despite a 24% year-on-year reduction in capital expenditure, the company maintained a strong liquidity position, reporting total cash of RMB493.3 billion. These results underscore a successful transition toward AI-driven growth while maintaining profitability across its diversified digital service portfolio.