Ge Long Hui·2025-10-21 05:12Core Viewpoint - Haitong International predicts Tencent's third-quarter revenue will increase by 14% year-on-year to 190 billion yuan, with non-IFRS operating profit expected to rise by 19% to 73 billion yuan [1] Revenue and Profit Forecast - The company has adjusted its forecast for Tencent's third-quarter gross margins in gaming and fintech & enterprise services to remain flat quarter-on-quarter [1] - The lower gross margin in gaming is attributed to copyright sharing related to the game "Delta Action," while improvements in gross margins for non-payment fintech and e-commerce are offset by a shift in revenue mix towards cloud services [1] Expense Predictions - The company has slightly increased its forecast for Tencent's quarterly sales and marketing expenses due to significant innovations in gaming promotion activities [1] Rating and Target Price - Haitong International maintains an "Outperform" rating for Tencent with a target price of 700 HKD [1]