Tencent Music Revenue Climbs on Ximalaya Acquisition and Live Events

The company’s music-related services segment saw an 11% revenue jump to RMB 7.61 billion, fueled by strong demand for offline concerts and membership subscriptions. Membership revenue specifically climbed 8.1% to reach RMB 4.79 billion. While social entertainment revenues declined by 16.4% to RMB 1.33 billion, the company offset this with a broader content ecosystem, particularly through the recent acquisition of Ximalaya, which contributed RMB 407 million to the quarter’s top line.

Profitability remained steady, with net profit attributable to equity holders reaching RMB 2.47 billion, compared to RMB 2.41 billion in the same period last year. On a non-IFRS basis, adjusted net profit rose to RMB 2.69 billion. During the quarter, the group aggressively managed its capital, repurchasing 43.5 million American Depositary Shares for approximately US$400 million. Executive Chairman Cussion Pang noted that the integration of Ximalaya is a milestone for the group, allowing for a more diversified audio experience that strengthens their long-term growth strategy.