Tencent released its Q1 financial report of 2022 yesterday. Its revenue was flat, and its net profit fell 51%. After adjustment, it still fell 23%, falling for three consecutive quarters. At the opening of Hong Kong stock market today, Tencent's share price plunged 6%, and the share price still plunged 8% as of press time Since this year, Tencent's share price has fallen by 20% and 40% in the past year. In February 2021, the share price reached HK $757. At present, it has been halved, and the market value has lost more than HK $300 billion
On May 18, Tencent holdings released the financial report for the first quarter of 2022 (hereinafter referred to as Q1): it achieved a revenue of 135.47 billion yuan, flat year-on-year; The net profit (non IFRS) was 25.55 billion yuan, a year-on-year decrease of 23%, and the net profit fell for three consecutive quarters. In this quarter, R & D investment maintained a year-on-year growth of 36%, reaching 15.38 billion yuan.
From the perspective of main businesses, the revenue from value-added services was 72.7 billion yuan, accounting for 54% of the total revenue, which remained stable compared with the same period last year. Among them, the game revenue in the local market decreased by 1% to RMB 33 billion, due to the direct and indirect impact of juvenile protection measures on the number of active users and paying users.
Game revenue in the international market increased by 4% to 10.6 billion yuan. Social network revenue increased by 1% to RMB 29.1 billion, and the revenue of video number live broadcasting service increased, but most of it was offset by the decline of music live broadcasting and game live broadcasting revenue.
The revenue of online advertising business in this quarter decreased by 18% year-on-year to RMB 18 billion, accounting for 13%, reflecting the weak advertising demand in education, Internet services and e-commerce industries, as well as the impact of the regulatory rectification of the online advertising industry, which was partially offset by the stable demand of the FMCG industry and the advertising revenue brought by the merger of Sogou.
The revenue of fintech and enterprise service business increased by 10% year-on-year to RMB 42.8 billion, accounting for 32%, and the growth rate of revenue slowed down year-on-year.