TENCENT(HK:00700) Ge Long Hui·2025-11-06 03:25Core Viewpoint - The report from Credit Lyonnais anticipates a robust performance for Tencent in Q3, with total revenue and adjusted EBIT expected to grow by 14% and 21% year-on-year, reaching CNY 190 billion and CNY 74.1 billion respectively [1] Revenue Growth - Online gaming revenue is projected to increase by 18% year-on-year, driven by strong performances from titles such as "Honor of Kings," "Peacekeeper Elite," "Delta Force," and "Clash Royale" [1] - Online advertising revenue is expected to grow by 20% year-on-year, benefiting from upgrades in advertising technology and business transformation [1] - The enterprise services segment is also anticipated to maintain over 20% year-on-year growth [1] Future Outlook - The strong momentum is expected to continue into Q4 2025, with resilient growth in online gaming, advertising, and cloud services [1] - Based on an upward adjustment of the high-margin advertising revenue growth rate to approximately 20% for 2025, the adjusted net profit forecasts for Tencent for FY2025 and FY2026 have been raised by 0.8% [1] - The firm maintains a "highly confident outperform" rating, viewing Tencent as a major beneficiary of AI applications [1]