Tencent Statistics 2026
By Axis Intelligence Research
Co-author: Mia Scarlett | Last updated: August 12, 2026 | License: CC BY 4.0
Tencent Holdings reported RMB751.77 billion (USD107.5 billion) of revenue for the year ended 31 December 2025, up 14 percent, and RMB196.46 billion (USD28.5 billion) for the quarter ended 31 March 2026, up 9 percent. Weixin and WeChat combined monthly active users reached 1.432 billion at 31 March 2026. Group capital expenditure rose 16 percent year on year in the quarter, to RMB31.94 billion.
Quick Answer: What Are the Key Tencent Statistics for 2026?
Tencent’s most recent reported quarter (1Q2026, reported 13 May 2026) shows revenue of RMB196.46 billion, non-IFRS operating profit of RMB75.63 billion, and Weixin/WeChat combined MAU of 1.432 billion. According to Axis Intelligence Research, Tencent’s new AI products reduced group non-IFRS operating profit by approximately RMB8.77 billion in the quarter, up roughly 3.5 times year on year, and the Axis AI Self-Funding Index (ASFI) reading for 1Q2026 is 59.5, the lowest of the five periods we score.
Key Findings
- According to Axis Intelligence Research, Tencent’s disclosed AI investment drag reached approximately RMB8.77 billion in 1Q2026, equal to 10.4 percent of non-IFRS operating profit excluding new AI products, compared with roughly 3.5 percent a year earlier.
- Tencent reported FY2025 revenue of RMB751,766 million and non-IFRS profit attributable to equity holders of RMB259,626 million, per its audited 2025 Annual Report filed with the Stock Exchange of Hong Kong on 18 March 2026.
- According to Axis Intelligence Research, Tencent generated RMB26.66 of Marketing Services revenue per Weixin/WeChat monthly active user in 1Q2026, up 17.3 percent from RMB22.72 in 1Q2025, a faster rate than either revenue or user growth.
- Tencent’s International Games revenue was RMB77.4 billion (USD11.07 billion) in FY2025, up 33 percent year on year, and represented 32.0 percent of total games revenue, per Tencent’s 2025 Annual Report.
- According to Axis Intelligence Research, Tencent’s FY2025 games revenue of RMB241.6 billion was 2.62 times NetEase’s RMB92.15 billion in games and related value-added services, giving Tencent 72.4 percent of the two companies’ combined games revenue.
Source: Axis Intelligence Research — CC BY 4.0
How Much Revenue Does Tencent Make in 2026?
Tencent reports in renminbi under IFRS and publishes quarterly. The most recent full year is FY2025, audited; the most recent quarter is 1Q2026, unaudited. Both sets of figures below come from documents filed with the Stock Exchange of Hong Kong and published on Tencent’s investor relations site.
| Period | Revenue (RMB m) | YoY change | Gross profit (RMB m) | Gross margin | Source |
|---|---|---|---|---|---|
| FY2021 | 560,118 | — | 245,944 | 43.9% | Tencent 2025 Annual Report |
| FY2022 | 554,552 | -1.0% | 238,746 | 43.1% | Tencent 2025 Annual Report |
| FY2023 | 609,015 | +9.8% | 293,109 | 48.1% | Tencent 2025 Annual Report |
| FY2024 | 660,257 | +8.4% | 349,246 | 52.9% | Tencent 2025 Annual Report |
| FY2025 | 751,766 | +13.9% | 422,593 | 56.2% | Tencent 2025 Annual Report |
| 1Q2026 | 196,458 | +9.1% | 111,265 | 56.6% | Tencent 1Q2026 results |
Gross margins calculated by Axis Intelligence Research from reported gross profit and revenue. Tencent states FY2025 gross margin as 56 percent.
The four-year compound annual growth rate from FY2021 to FY2025 is 7.6 percent. That number matters more than the headline 14 percent, because it spans the 2022 contraction and the regulatory reset that followed. Revenue in FY2025 was 23.4 percent above FY2023.
Gross margin is the sharper line. It moved from 43.9 percent in FY2021 to 56.2 percent in FY2025 — a 12.3 point expansion over four years, driven by mix rather than price. Tencent attributes the shift to internally developed games, Video Accounts and Weixin Search marketing inventory, and cost efficiency in payments and cloud.
Tencent Revenue by Segment
| Segment | FY2025 (RMB m) | FY2024 (RMB m) | YoY | Share of FY2025 revenue | FY2025 gross margin | Source |
|---|---|---|---|---|---|---|
| Value Added Services | 369,281 | 319,168 | +16% | 49% | 60% | Tencent 2025 Annual Report |
| Marketing Services | 144,973 | 121,374 | +19% | 19% | 58% | Tencent 2025 Annual Report |
| FinTech and Business Services | 229,435 | 211,956 | +8% | 31% | 51% | Tencent 2025 Annual Report |
| Others | 8,077 | 7,759 | +4% | 1% | 4% | Tencent 2025 Annual Report |
| Group | 751,766 | 660,257 | +14% | 100% | 56% | Tencent 2025 Annual Report |
Segment gross margin is where the FY2025 story actually sits. Marketing Services carried a 58 percent gross margin for the year and 60 percent in 4Q2025, up from 55 percent and 58 percent respectively. FinTech and Business Services — the slowest-growing segment at 8 percent — improved gross margin from 47 percent to 51 percent. The segment that grew least improved its economics most, which is not the shape most summaries of the year describe. Tencent does not disclose Tencent Cloud revenue separately, so anyone sizing it is estimating; our page on cloud market share by provider sets out which providers publish what.
Tencent Quarterly Revenue Trend
| Quarter | Revenue (RMB m) | VAS | Marketing Services | FinTech and Business Services | Source |
|---|---|---|---|---|---|
| 4Q2024 | 172,446 | 79,022 | 35,004 | 56,125 | Tencent 2025 Annual Report |
| 1Q2025 | 180,022 | 92,133 | 31,853 | 54,907 | Tencent 1Q2026 results |
| 3Q2025 | 192,869 | — | — | — | Tencent 2025 Annual Report |
| 4Q2025 | 194,371 | 89,920 | 41,116 | 60,818 | Tencent 2025 Annual Report |
| 1Q2026 | 196,458 | 96,110 | 38,171 | 59,885 | Tencent 1Q2026 results |
Tencent’s 2025 Annual Report and 1Q2026 results release do not present a segment split for 3Q2025 in the same table; the group figure is reported.
Mia Scarlett, Business Editor: Read the 1Q2026 income statement alongside the balance sheet and one line reframes the quarter. Current deferred revenue rose to RMB141,319 million at 31 March 2026 from RMB110,309 million at 31 December 2025 — 28.1 percent in three months. Tencent told investors that Domestic Games revenue of RMB45.4 billion lagged gross receipts because the later Spring Festival pushed recognition out of the quarter. The deferred revenue line is where that money went. It is money already collected and not yet booked. Anyone modelling 2Q2026 from the 6 percent Domestic Games print is modelling the accounting calendar, not the business.
How Many Users Does Tencent Have in 2026?
| Metric | 31 Mar 2026 | 31 Mar 2025 | YoY | 31 Dec 2025 | QoQ | Source |
|---|---|---|---|---|---|---|
| Combined MAU of Weixin and WeChat (m) | 1,432 | 1,402 | +2% | 1,418 | +1% | Tencent 1Q2026 results |
| Mobile device MAU of QQ (m) | 516 | 534 | -3% | 508 | +2% | Tencent 1Q2026 results |
| Fee-based VAS subscriptions (m) | 266 | 268 | -0.7% | 267 | -0.4% | Tencent 1Q2026 results |
Tencent defines fee-based VAS subscriptions as the average daily number of subscriptions during the quarter, not a period-end count. That definitional detail is skipped almost everywhere the figure is republished, and it matters: an average-of-quarter series moves differently from a snapshot series.
What the 1.4 Billion Weixin Figure Does and Does Not Mean
This is the most misquoted number in Chinese technology. According to Axis Intelligence Research, Weixin and WeChat combined MAU of 1,432 million at 31 March 2026 exceeds China’s entire internet user population by roughly 28 percent. China had more than 1.12 billion internet users as of June 2025 at a penetration rate of 79.7 percent, per the China Internet Network Information Center as published by the State Council of the People’s Republic of China.
The arithmetic is 1,432 ÷ 1,120 = 1.279. The gap has three sources: the metric combines the domestic Weixin app and the international WeChat app, it counts accounts rather than verified individuals, and Tencent has never published a unique-person figure. So the correct reading of 1.432 billion is “combined monthly active accounts across two apps in all markets,” not “1.4 billion Chinese people.”
Axis Intelligence Research flags the CNNIC input as the most recent official English-language release we could retrieve; a December 2025 update exists in Chinese-language circulation but we were unable to fetch the primary document, so the June 2025 figure is used and dated as such.
QQ and Weixin Are Moving in Opposite Directions
QQ mobile MAU fell 18 million year on year to 516 million while Weixin added 30 million. Both moved up sequentially from December, which is a Spring Festival pattern rather than a trend break. The five-quarter shape is a slow migration inside one house: Tencent is not losing these users, it is consolidating them onto the platform where Mini Programs, Mini Shops, Video Accounts and payment all sit.
The Axis AI Self-Funding Index (ASFI): Can Tencent Pay for Its AI Build-Out?
Every large platform now claims its AI spending is funded by the core business. Almost none disclose enough to check. Tencent does — it publishes non-IFRS operating profit both including and excluding new AI products, alongside quarterly capital expenditure, adjusted EBITDA and net cash. The AI Self-Funding Index (ASFI) is Axis Intelligence Research’s composite score, from 0 to 100, of how comfortably a platform’s existing cash engine covers its AI capital programme.
ASFI Formula and Weights
ASFI = (0.35 × C1) + (0.20 × C2) + (0.20 × C3) + (0.25 × C4)
| Component | Definition | Full-score reference | Weight |
|---|---|---|---|
| C1 — Funding coverage | Adjusted EBITDA ÷ capital expenditure | 5.0x | 35% |
| C2 — Capex intensity (inverted) | 100 − (capex ÷ revenue) ÷ 0.30 × 100 | 0% of revenue | 20% |
| C3 — Balance-sheet buffer | Net cash ÷ annualised capex, expressed in years | 2.0 years | 20% |
| C4 — Margin engine | Non-IFRS operating margin | 50% | 25% |
Each component is capped at 100. Quarterly capex is multiplied by four in C3 only, so quarterly and annual readings are directly comparable. All four inputs are disclosed line items from Tencent filings; nothing is estimated.
Reference bands: below 40 = strained; 40 to 60 = funded but tightening; 60 to 80 = comfortably self-funded; above 80 = underdeployed relative to capacity.
ASFI Readings
| Period | C1 (coverage) | C2 (capex/revenue) | C3 (years of capex in net cash) | C4 (non-IFRS op margin) | ASFI | Band |
|---|---|---|---|---|---|---|
| FY2024 | 72.2 (3.61x) | 61.2 (11.63%) | 50.0 (1.00) | 72.0 (36.02%) | 65.5 | Comfortably self-funded |
| FY2025 | 85.0 (4.25x) | 64.9 (10.53%) | 67.6 (1.35) | 74.7 (37.33%) | 74.9 | Comfortably self-funded |
| 1Q2025 | 59.4 (2.97x) | 49.1 (15.26%) | 41.0 (0.82) | 77.0 (38.51%) | 58.1 | Funded but tightening |
| 4Q2025 | 84.6 (4.23x) | 66.3 (10.10%) | 68.2 (1.36) | 71.5 (35.77%) | 74.4 | Comfortably self-funded |
| 1Q2026 | 56.1 (2.81x) | 45.8 (16.26%) | 57.5 (1.15) | 77.0 (38.50%) | 59.5 | Funded but tightening |
Inputs: Tencent 1Q2026 results release and 2025 Annual Report. Computed by Axis Intelligence Research; snapshot date 12 August 2026.
According to Axis Intelligence Research, the FY2025 reading of 74.9 is the strongest of the five periods scored, and 1Q2026 at 59.5 is the weakest. The annual and quarterly readings tell different stories on purpose: Tencent’s capital expenditure is lumpy — RMB12.98 billion in 3Q2025, RMB36.58 billion in 4Q2024 — so any single quarter overstates or understates the run rate. The annual readings smooth that. The quarterly readings show direction, and the direction in the March quarter is toward heavier spending against a still-expanding margin.
What Moves the Index
C4 barely moved: non-IFRS operating margin was 38.51 percent in 1Q2025 and 38.50 percent in 1Q2026. Everything that changed, changed in the capital columns. Capex rose from RMB27.48 billion to RMB31.94 billion, capex intensity from 15.26 percent of revenue to 16.26 percent, and adjusted EBITDA coverage of capex fell from 2.97x to 2.81x. The one component that improved is the balance sheet: net cash of RMB146.86 billion at 31 March 2026 covers 1.15 years of annualised capex, against 0.82 years a year earlier.
What This Index Does Not Capture
ASFI scores capacity to fund, not return on the funding. It cannot see whether the AI spending produces revenue, because Tencent does not disclose new-AI-product revenue separately. It treats capital expenditure as a single line, so it cannot separate GPU purchases from office premises or land use rights, both of which Tencent includes in its capex definition. And it uses disclosed non-IFRS measures, which Tencent defines its own way and which are not comparable to other companies’ adjusted figures without restatement.
How Much Is Tencent Spending on AI?
Tencent’s 1Q2026 release is unusually specific: non-IFRS operating profit was RMB75.6 billion, and non-IFRS operating profit excluding new AI products was RMB84.4 billion. Operating margin excluding new AI products was 43.0 percent against 38.5 percent reported. The excluded products are named — Hy, Yuanbao, CodeBuddy, WorkBuddy and QClaw.
That disclosure lets anyone compute the drag. Almost nobody does.
The AI Operating Drag Calculation
| Input | 1Q2026 | 1Q2025 | Source |
|---|---|---|---|
| Non-IFRS operating profit (RMB m) | 75,627 | 69,320 | Tencent 1Q2026 results |
| Non-IFRS operating profit excluding new AI products (RMB m) | 84,400 | 71,829 (derived) | Tencent 1Q2026 results |
| AI operating drag (RMB m) | 8,773 | ~2,509 | Axis Intelligence Research |
| Drag as share of profit excluding AI | 10.4% | ~3.5% | Axis Intelligence Research |
Formula: AI operating drag = non-IFRS operating profit excluding new AI products − non-IFRS operating profit.
For 1Q2026 the inputs are 84,400 − 75,627 = 8,773. For 1Q2025 Tencent discloses the excluded-AI margin as a percentage rather than an amount, so the comparator is derived: 39.9 percent × RMB180,022 million = RMB71,829 million, minus RMB69,320 million = RMB2,509 million. Because the 1Q2025 figure rests on a rounded margin percentage, Axis Intelligence Research labels it an estimate and reports it as approximately RMB2.5 billion.
According to Axis Intelligence Research, that is a roughly 3.5-fold year-on-year increase in the profit Tencent is deliberately foregoing to build AI products — while group non-IFRS operating profit still grew 9 percent and non-IFRS net profit grew 11 percent.
Mia Scarlett: A credit analyst would read the ex-AI margin line the way you read a footnote about a discontinued operation: it tells you what the business looks like with the new thing carved out. Operating margin excluding new AI products went from 39.9 percent to 43.0 percent. The underlying business got more profitable by 3.1 points, and Tencent spent all of that improvement, plus a bit more, on the AI line. The reported margin held at 38.5 percent because those two movements cancelled. Management has effectively pre-committed the next few points of core margin expansion. If the drag grows at this rate again in 2027, reported margin starts falling even when the core business keeps improving.
Capital Expenditure
| Period | Capex (RMB m) | YoY change | Capex as % of revenue | Source |
|---|---|---|---|---|
| FY2024 | 76,760 | — | 11.63% | Tencent 2025 Annual Report |
| FY2025 | 79,198 | +3% | 10.53% | Tencent 2025 Annual Report |
| 3Q2025 | 12,983 | — | 6.73% | Tencent 2025 Annual Report |
| 4Q2025 | 19,632 | -46% | 10.10% | Tencent 2025 Annual Report |
| 1Q2026 | 31,936 | +16% | 16.26% | Tencent 1Q2026 results |
Percentages of revenue calculated by Axis Intelligence Research.
The FY2025 headline is capex up 3 percent, which reads like restraint. The quarterly path says otherwise. Spending troughed in 3Q2025 at RMB12.98 billion, then more than doubled by 4Q2025 and rose again to RMB31.94 billion in 1Q2026 — 2.46 times the 3Q2025 level in two quarters. Property, plant and equipment on the balance sheet grew from RMB80.19 billion at end-2024 to RMB149.91 billion at end-2025 and RMB165.67 billion at 31 March 2026. That is the AI infrastructure appearing as an asset. For the same build-out at Tencent’s closest domestic peer, see our analysis of Alibaba’s fiscal 2026 cloud and capital efficiency data.
Tencent Games Revenue Statistics 2026
| Metric | FY2025 (RMB m) | FY2024 (RMB m) | YoY | Source |
|---|---|---|---|---|
| Domestic Games | 164,200 | 139,153 (implied) | +18% | Tencent 2025 Annual Report |
| International Games | 77,400 | 58,195 (implied) | +33% | Tencent 2025 Annual Report |
| Total Games | 241,600 | — | — | Axis Intelligence Research |
| Social Networks | 127,700 | 121,619 (implied) | +5% | Tencent 2025 Annual Report |
Prior-year Domestic and International Games amounts are implied from the reported current-year figure and the reported growth rate; Tencent does not restate them as absolute amounts in the results release. Axis Intelligence Research labels these implied, not reported.
Total games revenue of RMB241.6 billion was 32.1 percent of group revenue in FY2025. International Games at RMB77.4 billion was 32.0 percent of games revenue, up from a smaller share the prior year, and Tencent confirmed International Games revenue passed USD10 billion for the year. At the December 2025 noon buying rate of RMB6.9931 to USD1.00 disclosed in filings with the U.S. Securities and Exchange Commission, RMB77.4 billion converts to USD11.07 billion.
In 1Q2026, International Games revenue of RMB18.8 billion was 29.3 percent of the RMB64.2 billion games total — a lower share than the full-year figure, because the Spring Festival timing effect suppressed the domestic line’s recognised revenue rather than the international one.
Tencent Versus NetEase: China Games Revenue Share
| Company | FY2025 games revenue (RMB m) | Share of the two | Source |
|---|---|---|---|
| Tencent (Domestic + International Games) | 241,600 | 72.4% | Tencent 2025 Annual Report |
| NetEase (games and related value-added services) | 92,149 | 27.6% | NetEase FY2025 results, SEC Form 6-K |
According to Axis Intelligence Research, Tencent’s FY2025 games revenue was 2.62 times NetEase’s RMB92,149 million in games and related value-added services, as filed on SEC EDGAR on 11 February 2026. The two together booked RMB333.75 billion.
This ratio is a duopoly measure, not a market share measure, and Axis Intelligence Research states that plainly rather than presenting it as national market share. The two companies report on different accounting standards — Tencent under IFRS, NetEase under U.S. GAAP — and their segment definitions differ: NetEase’s line includes related value-added services, and Tencent’s games figures exclude Social Networks revenue that contains app-based game virtual item sales. Neither figure covers miHoYo, Lilith, Century Huatong or the rest of the Chinese industry, none of which publish comparable audited segment data. For market-level context rather than company-level, see the wider video game industry picture.
Evergreen Games
Tencent defines an evergreen game as a domestic or international title with average quarterly DAU above 5 million on mobile or 2 million on PC, generating over RMB4 billion in annual gross receipts. In 1Q2026 the company reported life-time-high quarterly gross receipts for Honour of Kings, Peacekeeper Elite and Delta Force, and said Delta Force had newly qualified as evergreen. International growth in the quarter was attributed to Clash Royale, Wuthering Waves and VALORANT PC.
Gross receipts are not revenue. Tencent recognises revenue over the estimated service period of in-game items, which is why gross receipts grew at a teens rate in 1Q2026 while Domestic Games revenue grew 6 percent. Any comparison that treats the two as interchangeable is comparing a cash metric with an accounting one.
Weixin Monetisation: The Number Tencent Does Not Publish
Marketing Services revenue grew 20 percent year on year in 1Q2026, improving from 17 percent in 4Q2025, while Weixin MAU grew 2 percent. Dividing one by the other produces a figure Tencent has never disclosed and no competitor publishes.
| Period | Marketing Services (RMB m) | Weixin/WeChat MAU (m) | Marketing revenue per MAU (RMB) | Total revenue per MAU (RMB) | Source |
|---|---|---|---|---|---|
| 4Q2024 | 35,004 | 1,385 | 25.27 | 124.51 | Axis Intelligence Research from Tencent filings |
| 1Q2025 | 31,853 | 1,402 | 22.72 | 128.40 | Axis Intelligence Research from Tencent filings |
| 4Q2025 | 41,116 | 1,418 | 29.00 | 137.07 | Axis Intelligence Research from Tencent filings |
| 1Q2026 | 38,171 | 1,432 | 26.66 | 137.19 | Axis Intelligence Research from Tencent filings |
Formula: Marketing revenue per MAU = quarterly Marketing Services revenue ÷ combined Weixin and WeChat MAU at quarter end.
According to Axis Intelligence Research, Tencent extracted RMB26.66 of marketing revenue per Weixin/WeChat monthly active user in 1Q2026, up 17.3 percent from RMB22.72 in 1Q2025. Total group revenue per MAU was RMB137.19, up 6.8 percent. Marketing monetisation is rising more than twice as fast as overall monetisation per user.
The caveat is definitional and worth stating: Marketing Services revenue includes inventory outside Weixin — QQ, Tencent Video, the mobile ad network — so this is a per-user index of advertising intensity across the Tencent audience, not a pure Weixin ARPU. Tencent stated in its 2025 Annual Report that ad load remains well below peers, which is the company’s own signal that the ceiling has not been reached.
Mia Scarlett: The AIM+ figure in the 1Q2026 release deserves more attention than it received. Roughly 30 percent of total marketing services spending from advertisers now runs through Tencent’s automated campaign management solution, with traction concentrated among mini game, mini drama and mini shop advertisers. Automated buying moves budget allocation from the advertiser’s media planner to Tencent’s model. When a platform controls both the auction and the optimiser, pricing improvements stop being a negotiation. That is the mechanism behind 20 percent revenue growth on 2 percent user growth, and it does not require a single additional ad slot.
Tencent Profit, Cash Flow and Shareholder Returns
| Metric | FY2025 | FY2024 | 1Q2026 | 1Q2025 | Source |
|---|---|---|---|---|---|
| Operating profit, IFRS (RMB m) | 241,562 | 208,099 | 67,375 | 57,566 | Tencent filings |
| Profit attributable to equity holders, IFRS (RMB m) | 224,842 | 194,073 | 58,093 | 47,821 | Tencent filings |
| Non-IFRS profit attributable to equity holders (RMB m) | 259,626 | 222,703 | 67,905 | 61,329 | Tencent filings |
| Adjusted EBITDA (RMB m) | 336,427 | 277,012 | 89,617 | 81,559 | Tencent filings |
| Free cash flow (RMB m) | 182,600 | 154,700 (implied) | 56,700 | 47,250 (implied) | Tencent filings |
| Net cash (RMB m) | 107,145 | 76,798 | 146,860 | 90,229 | Tencent filings |
| Basic EPS, IFRS (RMB) | 24.749 | 20.938 | 6.431 | 5.252 | Tencent filings |
Prior-period free cash flow amounts are implied from the reported current-period figure and the reported growth rate, and are labelled as such by Axis Intelligence Research.
FY2025 free cash flow of RMB182.6 billion was 24.3 percent of revenue. Net cash rose 63 percent year on year to RMB146.86 billion at 31 March 2026 — the widest buffer in the periods examined here, and the reason the ASFI balance-sheet component improved even as spending accelerated.
Buybacks and Dividends
Tencent repurchased 153,415,000 shares during FY2025 for HKD80,036,299,578, and approximately 12.7 million shares in 1Q2026 for approximately HKD7.6 billion. According to Axis Intelligence Research, the implied average repurchase price was HKD521.70 per share across FY2025 and approximately HKD598.43 per share in 1Q2026, a 14.7 percent higher average price.
The board recommended a final dividend of HKD5.30 per share for FY2025, against HKD4.50 for FY2024 — a 17.8 percent increase, payable 1 June 2026.
The Investment Portfolio Nobody Prices
Tencent’s investment portfolio stood at approximately RMB957,219 million at 31 December 2025, which Axis Intelligence Research calculates at 46.9 percent of the company’s RMB2,038,986 million of total assets. Return from the portfolio was RMB29,738 million in FY2025, up 13 percent.
The mark-to-market swing in the March quarter was severe. The fair value of listed investee holdings fell to RMB547.1 billion at 31 March 2026 from RMB672.7 billion at 31 December 2025, a decline of 18.7 percent. That flowed through other comprehensive income, not the income statement: Tencent reported IFRS net profit of RMB59.39 billion for 1Q2026 and total comprehensive income of negative RMB24.00 billion for the same quarter.
Mia Scarlett: Two numbers, one quarter, opposite signs. Profit for the period was positive RMB59.4 billion; total comprehensive income was negative RMB24.0 billion, driven by RMB66.1 billion of fair value losses on financial assets held at fair value through other comprehensive income. Neither is wrong. The operating business earned what it earned, and the equity stakes repriced. But a headline that says Tencent earned RMB59 billion in the quarter, without the second line, describes half a company. Nearly 47 percent of the balance sheet is a portfolio.
Tencent Music and the Subsidiary Layer
Tencent’s listed subsidiaries file separately, and those filings are the only place segment-level detail is available for parts of the group. Tencent Music Entertainment reported 1Q2026 revenue of RMB7,895 million, up 7.3 percent, with music related services revenue of RMB6,514 million, up 12.2 percent, and membership services revenue of RMB4,567 million, up 6.6 percent, in its Form 6-K filed with the SEC on 12 May 2026.
According to Axis Intelligence Research, Tencent Music’s 1Q2026 revenue equals 4.0 percent of Tencent group revenue for the same quarter. Music subscription revenue is one of the components Tencent cites as driving Social Networks growth inside VAS, which is why the subsidiary filing is worth reading alongside the parent’s. Full-year platform metrics for TME sit in our dataset on global music streaming revenue and subscriber data.
The renminbi to dollar conversions in this article use RMB6.8980 to USD1.00 for periods ending 31 March 2026 and RMB6.9931 to USD1.00 for periods ending 31 December 2025 — the Federal Reserve H.10 noon buying rates on those dates, as disclosed in the SEC filings cited above. Applying a single blended rate across periods, as several published Tencent summaries do, introduces a spread of over 1 percent on year-on-year dollar comparisons.
Methodology
How Axis Intelligence Research Compiled This Dataset
Every figure in this article was taken from a document retrieved and read on 12 August 2026. Nothing was recalled from prior knowledge or carried over from secondary summaries. The primary sources are:
- Tencent Holdings Limited, 2026 First Quarter Results, published 13 May 2026 — full results release. Source of all 1Q2026 income statement, balance sheet, operating metric and capital expenditure figures.
- Tencent Holdings Limited, 2025 Annual Report, published 9 April 2026 — audited annual report. Source of FY2021 to FY2025 revenue and profit history, segment gross profit and margin, buyback schedule, dividend, investment portfolio and quarterly comparatives.
- NetEase, Inc., Fourth Quarter and Fiscal Year 2025 Unaudited Financial Results, Form 6-K, filed 11 February 2026 with the SEC. Source of NetEase segment revenue and the December 2025 noon buying rate.
- Tencent Music Entertainment Group, First Quarter 2026 Unaudited Financial Results, Form 6-K, filed 12 May 2026 with the SEC. Source of TME revenue detail and the March 2026 noon buying rate.
- China Internet Network Information Center, internet user and penetration data as of June 2025, as published by the State Council of the People’s Republic of China on 21 July 2025.
Formulas Disclosed
- AI Self-Funding Index (ASFI) = (0.35 × C1) + (0.20 × C2) + (0.20 × C3) + (0.25 × C4), with C1 = min(100, (adjusted EBITDA ÷ capex) ÷ 5.0 × 100); C2 = 100 − min(100, (capex ÷ revenue) ÷ 0.30 × 100); C3 = min(100, (net cash ÷ annualised capex) ÷ 2.0 × 100); C4 = min(100, non-IFRS operating margin ÷ 0.50 × 100). Quarterly capex is annualised by multiplying by four in C3 only.
- AI operating drag = non-IFRS operating profit excluding new AI products − non-IFRS operating profit.
- Marketing revenue per Weixin MAU = quarterly Marketing Services revenue ÷ combined Weixin and WeChat MAU at quarter end.
- Games duopoly share = company games revenue ÷ (Tencent games revenue + NetEase games and related value-added services revenue).
- Implied average repurchase price = aggregate consideration paid ÷ number of shares repurchased.
Scope and Caveats
Tencent reports under IFRS and NetEase under U.S. GAAP; cross-company comparisons in this article are stated as ratios between two disclosed figures, never merged into a blended market total. Non-IFRS measures are defined by each company and are not standardised across issuers. Figures described as implied are derived from a reported current-period amount and a reported growth rate because the issuer did not restate the prior-period amount in the release; they are marked as implied in both the article and the accompanying dataset. The CNNIC internet user figure is dated June 2025, the most recent official English-language release retrievable at publication.
About This Dataset
tencent-statistics-2026.csv contains every quantitative claim in this article as a row, with the source organisation, source document, source URL, retrieval date, primary-source flag, Axis-calculated flag and a method note for each derived figure. It covers FY2021 through 1Q2026 for group financials, and 4Q2024 through 1Q2026 for quarterly operating metrics.
Licence: Creative Commons Attribution 4.0 International (CC BY 4.0). Free to use, redistribute and build on, including commercially, with attribution.
Citation: Axis Intelligence Research, Tencent Statistics 2026: Revenue, Users, Games and AI Spending, 2026.
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APA: Axis Intelligence Research. (2026). Tencent statistics 2026: Revenue, users, games and AI spending. https://axis-intelligence.com/tencent-statistics/
MLA: Axis Intelligence Research. “Tencent Statistics 2026: Revenue, Users, Games and AI Spending.” Axis Intelligence, 2026, axis-intelligence.com/tencent-statistics/.
Chicago: Axis Intelligence Research. “Tencent Statistics 2026: Revenue, Users, Games and AI Spending.” Axis Intelligence, 2026. https://axis-intelligence.com/tencent-statistics/.
Frequently Asked Questions
How much of Tencent’s operating profit is currently being absorbed by its new AI products?
Approximately RMB8.77 billion in 1Q2026, equal to 10.4 percent of non-IFRS operating profit excluding new AI products. Tencent disclosed non-IFRS operating profit of RMB75.6 billion and RMB84.4 billion excluding new AI products in the same release; the difference is the drag. The comparable 1Q2025 figure, derived from the disclosed 39.9 percent ex-AI margin, is approximately RMB2.5 billion.
Why did Tencent’s Domestic Games revenue grow only 6 percent when gross receipts grew at a teens rate?
Because of revenue recognition timing rather than demand. Tencent recognises in-game item revenue over the estimated service period, and the later Spring Festival in 2026 shifted recognition out of the March quarter. The evidence sits on the balance sheet: current deferred revenue rose 28.1 percent in three months, to RMB141,319 million at 31 March 2026 from RMB110,309 million at 31 December 2025.
Does Weixin really have 1.4 billion users in China?
No. The 1,432 million figure at 31 March 2026 is combined monthly active accounts across the domestic Weixin app and the international WeChat app, in all markets. It exceeds China’s entire internet population of more than 1.12 billion as of June 2025 by roughly 28 percent. Tencent has never published a unique-individual count.
What share of Tencent’s games revenue now comes from outside China?
International Games revenue was RMB77.4 billion in FY2025, or 32.0 percent of the RMB241.6 billion games total, growing 33 percent year on year against 18 percent domestically. In 1Q2026 the international share was 29.3 percent, a lower reading distorted by the Spring Festival timing effect on domestic recognition rather than by any international slowdown.
How does Tencent’s games business compare with NetEase’s?
Tencent’s FY2025 games revenue of RMB241.6 billion was 2.62 times NetEase’s RMB92,149 million in games and related value-added services, giving Tencent 72.4 percent of the two companies’ combined total. This is a duopoly ratio between two disclosed segment figures reported under different accounting standards, not a national market share, and it excludes privately held Chinese studios that do not publish audited segment data.
Is Tencent’s AI capital expenditure funded from operations or from the balance sheet?
From operations, on current disclosure. Free cash flow of RMB56.7 billion in 1Q2026 covered capital expenditure of RMB31.94 billion 1.78 times, and adjusted EBITDA covered it 2.81 times. The AI Self-Funding Index reading of 59.5 places the quarter in the funded-but-tightening band, down from 74.9 for FY2025, because capex intensity rose from 10.53 percent of revenue for the year to 16.26 percent in the quarter.
Why is Tencent’s fee-based VAS subscription number falling while Weixin users rise?
Fee-based VAS subscriptions were 266 million in 1Q2026 against 268 million a year earlier, a 0.7 percent decline. The metric is the average daily number of subscriptions during the quarter, not a period-end count, and it covers video, music and other subscription products rather than Weixin itself. Tencent Music, one of the components, reported membership services revenue up 6.6 percent in the same quarter — revenue per subscriber is rising while subscription volume is roughly flat.
How large is Tencent’s investment portfolio relative to the operating business?
The portfolio was approximately RMB957,219 million at 31 December 2025, or 46.9 percent of total assets. It generated RMB29,738 million of return in FY2025. Its mark-to-market moves land in other comprehensive income, which is why 1Q2026 produced IFRS net profit of RMB59.39 billion alongside total comprehensive income of negative RMB24.00 billion.
Which exchange rate should be used to convert Tencent figures into dollars?
Use the Federal Reserve H.10 noon buying rate for the period end being converted: RMB6.8980 to USD1.00 at 31 March 2026 and RMB6.9931 to USD1.00 at 31 December 2025, both as disclosed in SEC filings by Tencent Music and NetEase respectively. Applying one rate across periods introduces more than 1 percent of distortion on year-on-year dollar comparisons.
What would change the AI Self-Funding Index reading next?
A further rise in capital expenditure without a matching rise in adjusted EBITDA would lower it, since funding coverage carries the heaviest weight at 35 percent. A drawdown of the RMB146.86 billion net cash position would lower the balance-sheet component. Disclosure of new-AI-product revenue, which Tencent does not currently break out, would allow a return-side companion measure that the index deliberately does not attempt.