Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON
  1. Homepage
  2. Equities
  3. Hong Kong
  4. Hong Kong Stock Exchange
  5. Tencent Holdings Limited
  6. News
  7. Summary
    700   KYG875721634

TENCENT HOLDINGS LIMITED

(700)
  Report
SummaryChartsNewsRatingsCalendarCompanyFinancialsConsensusRevisions 
SummaryMost relevantAll NewsAnalyst Reco.Other languagesPress ReleasesOfficial PublicationsSector newsMarketScreener Strategies

Tencent Music says facing increased China scrutiny, is committed to laws

05/17/2021 | 04:28pm EDT

May 18 (Reuters) - Tencent Music Entertainment Group confirmed on Tuesday it is facing heightened scrutiny from Chinese regulators, adding it was "actively co-operating" with them and is committed to complying with all laws "including those related to anti-trust".

This is the first time the Tencent group has publicly commented on the matter.

Reuters reported last month that Tencent Holdings, which controls music streaming company Tencent Music, was told by Chinese anti-trust regulators to pay a fine, give up exclusive music rights and sell some of its music assets. Tencent did not comment then.

The action against Tencent came amid a sweeping anti-trust clampdown by China on its internet giants.

"In recent months, we have received increased regulatory scrutiny from relevant authorities, and have been actively co-operating and communicating with the relevant regulators," Tony Yip, chief strategy officer of Tencent Music, told an earnings conference call.

Yip declined to comment further or predict the outcome of the talks with the regulators, but said "we are committed to comply with all relevant laws and regulations, including those related to anti-trust."

On Monday, Sony Music Entertainment announced digital distribution agreements with both Tencent Music and NetEase Cloud Music, ending an exclusive arrangement with Tencent Music.

News of the regulatory scrutiny has pressured Tencent group shares over the past month, with Tencent Music down more than 14%.

Tencent Music beat quarterly profit and revenue estimates on Monday, driven by strong growth in subscription and advertising revenue from its music streaming platform. But its monthly active users numbers fell.

The company, known as China's Spotify, has been expanding its music library through new partnerships and multi-year licensing deals. That, coupled with efforts to diversify its content base through long-form shows and live talk shows have helped lure more paying users as well as advertisers.

Although paying users for its music platform jumped, monthly active users (MAUs) for both music and social entertainment platforms declined by 6.4% and 14.2%, respectively.

"Users have stopped growing in general; last year was a high base due to the COVID," said Tian Hou, analyst at T.H. Capital Research.

Profit attributable to equity holders of Tencent Music rose to 926 million yuan ($143.94 million) in the quarter from 887 million yuan a year earlier.

Excluding items, the company earned 69 yuan per American Depository Share (ADS), above estimates of 55 yuan per ADS.

Revenue rose 24% to 7.82 billion yuan, while analysts were expecting 7.73 billion yuan, according to IBES data from Refinitiv. ($1 = 6.4333 Chinese yuan renminbi)

(Reporting by Tiyashi Datta and Eva Mathews in Bengaluru, and Pei Li in Hong Kong; Editing by Shinjini Ganguli and Muralikumar Anantharaman)


ę Reuters 2021
Stocks mentioned in the article
ChangeLast1st jan.
SONY GROUP CORPORATION 3.46% 11520 End-of-day quote.12.01%
TENCENT HOLDINGS LIMITED 10.02% 492 End-of-day quote.-12.77%
UNITED STATES DOLLAR (B) / CHINESE YUAN IN HONG KONG (USD/CNH) -0.44% 6.45934 Delayed Quote.-0.11%
All news about TENCENT HOLDINGS LIMITED
10:18aHEAR NO EVIL, SEE NO EVIL : How Credit Suisse ignored Archegos warnings
RE
10:01aGLOBAL MARKETS LIVE : Earnings reports please investors
07:33aCREDIT SUISSE : Factbox-Key points of Credit Suisse Archegos post-mortem
RE
06:47aTENCENT : Next Day Disclosure Return - Changes in issued share capital and/or sh..
PU
06:12aHong Kong Hang Seng Rises 3.3% on Beijing Assurances; Tech and Education Issu..
MT
05:43aKrafton Seeks to Raise $3.75 Billion in South Korea IPO
DJ
05:33aSouth Korean game developer Krafton IPO to raise $3.75 billion
RE
01:32aChinese Tech Stocks Rise as Beijing Seeks to Reassure Global Investors
DJ
07/28VIVENDI : Profit Falls 36% in H1 on Lower Investment Value
MT
07/28TENCENT : Five Top-Grossing Mobile Games Hit Nearly $3B in Revenue in First Half..
AQ
More news
Financials
Sales 2021 589 B 91 180 M 91 180 M
Net income 2021 148 B 22 956 M 22 956 M
Net cash 2021 117 B 18 090 M 18 090 M
P/E ratio 2021 32,2x
Yield 2021 0,32%
Capitalization 4 681 B 602 B 725 B
EV / Sales 2021 7,75x
EV / Sales 2022 6,32x
Nbr of Employees 89 228
Free-Float 62,4%
Chart TENCENT HOLDINGS LIMITED
Duration : Period :
Tencent Holdings Limited Technical Analysis Chart | MarketScreener
Full-screen chart
Technical analysis trends TENCENT HOLDINGS LIMITED
Short TermMid-TermLong Term
TrendsBearishBearishBearish
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus BUY
Number of Analysts 52
Last Close Price 492,00 CNY
Average target price 608,81 CNY
Spread / Average Target 23,7%
EPS Revisions
Managers and Directors
Hua Teng Ma Executive Chairman & Chief Executive Officer
Chi Ping Lau President & Executive Director
Shek Hon Lo Chief Financial Officer & Senior Vice President
Chen Ye Xu Chief Information Officer
Yu Xin Ren COO & President-Interactive Entertainment Group
Sector and Competitors
1st jan.Capi. (M$)
TENCENT HOLDINGS LIMITED-12.77%546 953
NETFLIX, INC.-3.96%229 840
PROSUS N.V.-18.37%137 642
AIRBNB, INC.-2.38%87 173
UBER TECHNOLOGIES, INC.-9.53%86 650
NASPERS LIMITED-9.01%76 276