Beijing (PingWest)- Tencent music, an online music entertainment platform of Tencent Holding, reported a net profit of CNY927 million (USD135 million), representing a year-over-year increase of 7%.
The total revenue in the second quarter came in at CNY 5.9 billion (USD859 million), up 31% year-over-year. The company’s quarterly result beat Wall Street analyst’s estimate.
Tencent Music operates four of the five most popular digital music apps in China, with market penetration of more than 90%. It ended the quarter with a record 31 million paying subscribers, up 33% compared to the same period of last year.
"We are pleased with second quarter results driven by the strength of both our online music and social entertainment businesses," said Cussion Pang, Chief Executive Officer of Tencent Music. "The growth in our online music paying users accelerated during the quarter, with 2.6 million paying users added sequentially. We continued to expand our music content leadership by partnering with more music labels, as well as adding more content including music-centric variety shows, short-form videos and long-form audio such as audio books and podcasts. We strengthened our alliances to produce and distribute more high-quality original soundtracks, including our partnerships within the Tencent ecosystem to develop original music content for games, films and TV shows.”