Catenaa, Wednesday, May 14, 2025– Tencent Music’s share jumped over 14% on Wednesday after it posted a net profit gain of over 22% year over year, driven by online music services.
The Chinese Music giant recorded a total revenue of $1.01 billion, representing an 8.7% year-over-year increase, primarily due to strong year-over-year revenue growth from online music services, taking net profits to a 22.8% growth in $307 million.
Revenues from music subscriptions were $581 million, a 16.6% year-over-year growth, with the number of paying users increasing by 8.3% to 122.9 million, up by 1.9 million from the fourth quarter of 2024.
Tencent beat the market expectation by recording diluted earnings per ADS of $0.19 for the first quarter.
“Our strong first-quarter performance, marked by robust revenue growth and solid profitability, underscores the successful execution of our high-quality growth strategy, Executive Chairman of Tencent Music Cussion Pang said, adding that the company is well equipped to navigate global uncertainties with confidence.
Tencent Music shares gained by 14.6% by 2 in the afternoon with the market cap surpassing $24.7 billion. The share has gained by over 48% so far this year.
The company also posted net profit attributable to equity holders at $591 million, which is over 24% growth from last year.
During the quarter, Tencent Music renewed its multi-year contracts with Sony Music Entertainment and introduced the 360 Reality Audio sound privilege for SVIP members.
