Core Viewpoint - The report from CICC indicates that Tencent Holdings (00700) is experiencing rapid growth across various business segments, leading to an upward revision of revenue forecasts for 2025 and 2026 by 2% and 4% to 745.3 billion and 815.8 billion yuan respectively, while maintaining Non-IFRS net profit estimates unchanged [1] Group 1: Business Performance - In Q2 2025, Tencent's revenue exceeded expectations, with a year-on-year increase of 14.5% to 184.5 billion yuan, surpassing the firm's expectations by 3.5% and market expectations by 3.1% [1] - Non-IFRS net profit for Q2 2025 increased by 10% to 63.05 billion yuan, aligning closely with the firm's expectations and exceeding market expectations by 1.6% [1] - The advertising business saw a revenue increase of 20% to 35.8 billion yuan in Q2 2025, benefiting from AI applications in ad creation, placement, and analysis, with video account and mini-program ad revenues growing by 50% and search ad revenues by 60% [2] - The gaming segment reported a 22% increase in revenue to 59.2 billion yuan, exceeding expectations by 5%, with overseas game revenue up 35% [3] Group 2: AI Integration and Future Outlook - AI is significantly enhancing various business operations, particularly in advertising and gaming, by improving content production and user engagement strategies [2][3] - The company anticipates continued strong growth in gaming revenue in the second half of 2025, driven by new game launches and sustained performance of existing titles [3] Group 3: Financial Metrics - The gross margin improved by 3.6 percentage points in Q2 2025, with specific business segments like VAS, advertising, and FBS showing notable margin increases [5] - Non-IFRS operating profit grew by 18.5% in Q2 2025, while Non-IFRS net profit increased by 10%, reflecting effective cost management [5] - Capital expenditures for Q2 2025 were 19.1 billion yuan, with share buybacks totaling 19.4 billion HKD, completing 46% of the annual buyback plan in the first half of 2025 [5]

中金发布研报称，基于腾讯控股(00700)各项业务的快速增长，分别上调2025/2026年收入2%/4%至 7,453/8,158亿元，基本维持2025/2026年Non-IFRS净利润预测不变。维持跑赢行业评级，由于市场估值 中枢抬升，上调目标价17%到700港元，基于AI更长远的赋能前景，切换估值至2026年，对应2026年20x Non-IFRS P/E，有19%上行空间，当前交易于2026年17x Non-IFRS P/E。 中金主要观点如下： 游戏收入表现可打破"高基数"增长担忧，金融业务增速超预期 公司2Q25游戏收入同增22%至592亿元，超该行和一致预期5%。海外游戏收入同增35%，主要得益于 Supercell旗下游戏及《PUBG M》等游戏表现强劲，《皇室战争》于6月流水创下7年新高;国内游戏收入 同增17%，热门"搜打撤"赛道《三角洲行动》日活突破2,000万(2025年7月)。展望后续，该行认为2025 下半年公司游戏收入仍可维持较快的同比增长——一方面依赖《三角洲行动》及海外、国内长青游戏不 断迸发生命力;另一方面，部分新游库存即将上线，《无畏契约手游》国服已定档8月19日上线，全网 ...

Core Viewpoint - Tencent Holdings reported better-than-expected Q1 2025 results, with Non-IFRS net profit of 61.3 billion yuan (up 22% year-on-year) and revenue of 180 billion yuan (up 13% year-on-year) [2][3] Financial Performance - Q1 2025 operating profit was lower than expected due to one-time restructuring impacts, while gross margin improved more than anticipated at 55.8% compared to the expected 53.9% [3] - General and administrative expenses were 33.7 billion yuan, worse than the expected 28.4 billion yuan, including a one-time share-based compensation of 4 billion yuan related to restructuring [3] - Non-IFRS adjustments included share-based compensation of 10.8 billion yuan, exceeding the expected 6.6 billion yuan, but the restructuring costs had a minimal impact on Non-IFRS net profit [3] - Capital expenditures (capex) reached 27.5 billion yuan (up 91% year-on-year), higher than the expected 21.5 billion yuan, but down 25% quarter-on-quarter [3] Business Segments - Marketing services revenue was 31.9 billion yuan (up 20% year-on-year), driven by strong demand for advertising on video accounts, mini-programs, and search ads [4] - Domestic game revenue was 42.9 billion yuan (up 24% year-on-year), boosted by flagship games and new titles [4] - Overseas game revenue reached 16.6 billion yuan (up 23% year-on-year), with strong performances from titles like "Brawl Stars" and "PUBG Mobile" [4] - Social network revenue was 32.6 billion yuan (up 7% year-on-year), supported by growth in mobile game virtual items and music subscription services [4] - Financial technology and enterprise services revenue was 54.9 billion yuan (up 5% year-on-year), driven by growth in wealth management and cloud services [4] - Monthly active accounts for WeChat and WeChat reached 1.4 billion (up 3% year-on-year), indicating healthy user engagement [4]