Tencent first-quarter net profit forecast to rise 18%

11 articles · Updated · MarketWatch · May 11

Analysts polled by FactSet expect profit of 56.56 billion yuan and revenue up 11% to 199.03 billion yuan before Wednesday's results.
The outlook is supported by Lunar New Year gaming demand and steady evergreen franchises, even as shares fell 19% in the quarter and 22% year to date.
Investors are watching Tencent's expanded AI spending, new Hy3 model and product launches, amid concerns heavier capital expenditure could slow profit growth despite its broad ecosystem.

As profits slow and its stock tumbles, can Tencent’s massive AI spending create a new growth engine for the Chinese tech giant?

Is Tencent's super-efficient Hy3 AI a true leap forward, or a clever workaround for the constraints of US chip sanctions?