todays $TENCENT (00700.HK)$ Financial results for the first quarter of 2024 have been announced. Overall, Tencent's Q1 revenue was 159.501 billion yuan, up 6.3% year on year. Adjusted net profit was 50.265 billion yuan, up 54.5% year on year, and adjusted net profit increased by more than 30% year on year for 4 consecutive quarters. Both revenue and net profit reached record highs, and both far exceeded market expectations.
Although Tencent is no longer a growing company, it is definitely the company with the greatest certainty in Hong Kong stocks. It is a company that allows the vast majority of investors to make money. From a fundamental point of view, WeChat is the number one social network in China, and the game business is number one. The advertising business is also a money-making machine. Other ToB businesses also have a revenue scale of 50 billion dollars in a single season, and video accounts are also thriving now. In addition, they pay great attention to investor relations, which is very different from the “shareholder third” value of a certain country. The daily repurchase of 1 billion dollars this year is also full of sincerity.
Therefore, as far as Tencent is concerned, I personally think it is fully in line with Buffett's characteristics of a good business model and excellent manager, which is very suitable for steady investors. The last 2 years have been affected by the reduction of South African majority shareholders' holdings and the Hong Kong stock market. Stock prices have always been under pressure. This has given everyone the best opportunity to invest in Tencent.I've been interpreting Tencent's earnings reports since '22, and I've also experienced a historical moment when the stock price fell to 200. For so long, my opinion has always been that 200 is Tencent is the bottom of history, and Tencent below 300...