English|Tencent Digital Economy Business Revenue Surpasses Game Revenue: Earnings Report

English|Tencent Digital Economy Business Revenue Surpasses Game Revenue: Earnings Report
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BEIJING, March 23 (TMTPOST) — Revenue from Tencent’s fintech and enterprise service business has surpassed the revenue from the company’s game business for the first time, the company’s Q4 and 2021 fiscal year earnings reports show.
Tencent released its Q4 and 2021 fiscal year earnings reports on Wednesday. The reports show that revenue from the company’s fintech and enterprise service business reached 47.96 billion yuan, compared with 42.8 billion yuan from its game business. 
Tencent’s total revenues in Q4 2021 were 144.19 billion yuan, up 8% year-on-year. On a non-IFRS basis, the net profit was 24.88 billion yuan, down year-on-year by 25%. Tencent also reported a falling net profit in Q3 2021. In Q3 2021, the net profit was 31.75 billion yuan on a non-IFRS basis, registering a year-on-year decline of 1.7%.
In 2021, the revenue growth for Tencent was 25%, 20%, 13% and 8% respectively in the four quarters.
Several stock brokers predicted that Tencent’s revenue growth had slumped to below 10% in 2021 before the earnings report was released.
"2021 was a challenging year, in which we embraced changes and implemented certain measures that reinforced the Company’s long-term sustainability, but had the effect of slowing our revenue growth. Despite financial headwinds, we continued to make strategic headway, including driving widespread adoption of our enterprise software and productivity tools, increasing content creation and consumption in our Video Accounts, and expanding our international games business,” Pony Ma, Chairman and CEO of Tencent said.
【English|Tencent Digital Economy Business Revenue Surpasses Game Revenue: Earnings Report】“We believe the China Internet industry is structurally shifting to a healthier mode characterized by a re-focus on user value, technology innovation, and social responsibility. We are proactively adapting to the new environment by managing costs, increasing efficiency, sharpening our focus on key strategic areas, and repositioning ourselves for sustainable long-term growth," Ma concluded.

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