Today, Tencent announced its financial report for the second quarter of 2023, with revenue below expectations, but net income exceeding expectations, and the advertising business being the key highlight.Overall, Tencent's Q2 revenue was 149.21 billion yuan, an 11.3% year-on-year increase, but a 0.5% decrease from the previous quarter, lower than the expected 152.021 billion yuan. Adjusted net income was 37.55 billion yuan, a 33.4% year-on-year increase, and a 15.4% increase from the previous quarter, higher than the expected 36.982 billion yuan.
On the revenue side, there has been continuous growth of over 10% for 2 consecutive quarters, while adjusted net income has seen basically continuous growth of over 20% for 3 consecutive quarters. This performance recovery and cost reduction have played a role, with the net income growth rate far exceeding the revenue growth. Cost reduction and efficiency improvement are still the main means. Now let's take a look directly at the specific financial report data!
1. Overall financial data
1. Revenue:Tencent's Q2 total revenue was 149.21 billion RMB, lower than the market's expected 152.021 billion yuan, a year-on-year increase of 11.3%, but a 0.5% decrease from the previous quarter, achieving double-digit growth for two consecutive quarters.
2. Net income:Tencent's Q2 net income adjusted was 37.55 billion yuan, higher than the expected 36.982 billion yuan, a year-on-year increase of 33.4%, a quarter-on-quarter increase of 15.4%. Revenue increased by 11.3%, net income increased by 33.4%, four words: Cost reduction and efficiency improvement!The cost growth rate in Q2 was 3%, much lower than the revenue growth rate. The number of employees decreased by 6212 compared to the same period last year.
Second, the gaming business...