Leading online game operator Tencent Holdings Ltd. reported strong profit growth in last year’s fourth quarter, fueled by strong performance for its international games and fintech businesses.
Tencent said its revenue grew 25% in the final three months of 2019 to 105.8 billion yuan ($15.1 billion), while its profit rose by an even stronger 52% to 21.6 billion yuan, according to its latest quarterly report released after markets closed on Wednesday.
While its overall online game revenue rose by a modest 10% for all of 2019, international game revenue more than doubled in the fourth quarter and accounted for 23% of total gaming revenue for the three-month period, the company said.
The company also posted strong gains for its mobile payments business, as its WeChat-based service battles with Alibaba’s Alipay for market share in the popular space that is quickly making cash obsolete in many Chinese cities. Tencent said that in the fourth quarter its fintech division averaged in excess of 1 billion daily commercial payment transactions, covered more than 800 million monthly active users, and work with over 50 million monthly active merchants.
The company said that fintech services accounted for 27% of its total revenue for all of 2019, up from 23% for the previous year.
Contact reporter Yang Ge (firstname.lastname@example.org)