TENCENT(HK:00700) Di Yi Cai Jing·2025-09-17 07:59Core Insights - Tencent has been actively repurchasing its shares, completing 22 consecutive trading days of buybacks as of September 16, with a total of 19.849 million shares repurchased, which will be used for cancellation [3] - The stock price of Tencent surpassed 660 HKD per share on September 17, leading to a market capitalization exceeding 6 trillion HKD [1][3] - Tencent's highest historical stock price was over 700 HKD per share in 2021, while it started this year around 400 HKD per share and reached 600 HKD per share in August [3] Financial Performance - In Q2 of this year, Tencent reported revenue of 184.504 billion CNY, a year-on-year increase of 15%, and a non-IFRS operating profit of 69.248 billion CNY, up 18% year-on-year [4] - The growth in enterprise service revenue accelerated due to increased demand for AI-related services, including GPU leasing and API token usage [4] Strategic Initiatives - Tencent is enhancing its capital expenditure to invest in IT infrastructure and data centers, with total capital expenditure reaching 83.1 billion CNY from Q4 of last year to Q2 of this year [4] - The company is also expanding its cloud business internationally, planning to establish availability zones in Osaka, Japan, and Saudi Arabia [3] - Tencent's AI application, Yuanbao, has become one of the top three AI native applications in terms of daily active users, with a monthly active user growth of 80 times over six months [3] Debt Issuance - Tencent announced its first bond issuance in four years, planning to issue a total of 9 billion CNY in notes, with the largest tranche being a 6 billion CNY 10-year bond at an interest rate of 2.5% [3]