ISTANBUL
Chinese tech firm Tencent's revenues were up 15% year-on-year in the second quarter of this year, driven by strong performance in its gaming unit and AI investments.
The revenue of the firm amounted to 184.5 billion Chinese yuan (approximately $25.7 billion) in the second quarter, up from 161.1 billion yuan ($22.44 billion) in the same period last year.
Tencent's net profit also rose 11% on an annual basis to 63.1 billion yuan ($8.79 billion), according to the financial results the firm released on Wednesday.
Domestic gaming revenue, which includes sales from China, increased 17% year-on-year to 40.4 billion yuan ($5.62 billion), owing to the success of the company's recently launched "Delta Force" game and classic titles such as "Honor of Kings," "Valorant," and "Peacekeeper Elite."
The firm's capital expenditures soared 119% to 19.1 billion yuan ($2.66 billion) in the second quarter, as Tencent invested in AI for advertising, its games, and social media platform Weixin.
“During the second quarter of 2025, we delivered double-digit revenue and non-IFRS operating profit growth on a year-on-year basis, as we invested in and also benefited from utilizing AI,” said Tencent CEO Ma Huateng.
He stated that the firm's games performed "well" in terms of users and revenue as evergreen games such as Honor of Kings and Peacekeeper Elite evolved into platforms while increasing their usage of AI, and as new games such as Delta Force broke out.
“We are striving to bring further benefits of AI to consumers and enterprises through powering more use cases within Weixin, driving usage of our AI-native app Yuanbao, and upgrading the capabilities of our HunYuan foundation models,” Huateng added.