Core Viewpoint - Jianyin International expresses optimism about Tencent Music's leadership position and sustainable profitability, attributing this to its differentiated business model, quality content, user base, and diversified revenue sources [1] Group 1: Financial Performance - Tencent Music's Q3 2025 performance slightly exceeded expectations, with total revenue and Non-GAAP net profit surpassing institutional forecasts by 3% and 4% respectively, driven by growth in non-subscription music service revenue [1] - For Q4 2025, revenue is expected to increase by 12.6% year-on-year to 8.4 billion RMB, with a net addition of 1.3 million music subscription users, bringing the total to 127 million [1] - Average revenue per paying user (ARPPU) is projected to rise by 9.9% year-on-year to 12.2 RMB, with gross margin expected to increase by 1.6 percentage points quarter-on-quarter to 45.1% [1] Group 2: Investment Outlook - Jianyin International maintains a "Outperform" rating for Tencent Music, setting a target price of 105.7 HKD, suggesting that the recent stock price pullback presents a good buying opportunity [1] - The report highlights that Q4 is typically a low season for concerts but a peak season for advertising, which may positively impact revenue [1]
建银国际：看好腾讯音乐-SW(01698)领导地位和可持续盈利能力 目标价105.7港元