Here are three key takeaways from the fourth quarter and full 2023 fiscal year results of Chinese tech giant Tencent:
1. Revenue growth from video accounts and mini games
Total revenue for the full year increased 10%, reaching 609 billion yuan (US$86 billion) in 2023. In Q4, revenue was up by 7% to US$22 billion from a year ago.
This was driven by Tencent’s video accounts unit, where total time spent by users more than doubled. Receipts from the company’s mini games – a casual games platform – also increased over 50%.
2. Strong growth in operating profit
The full-year operating profit of US$23 billion was 44% higher than in 2022, while Q4 operating profit rose 42% year on year to US$6 billion.
3. Increased capital returns to shareholders
Tencent plans to increase its annual dividend by 42% and more than double its share repurchases to over 100 billion Hong Kong dollars (US$13 billion) in 2024. This demonstrates the company’s commitment to returning capital to shareholders and may indicate confidence in its future performance.
This article was written with the help of AI.
Currencies converted from Chinese renminbi and Hong Kong dollar to US dollar: US$1 = 7.08 renminbi and US$1 = HK$7.82.
Editing by Putra Muskita and Dhania Putri Sarahtika
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